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HomeMy WebLinkAboutBOARD MINUTES 03-07-02 89 MINUTES OF THE REGULAR BOARD MEETING OF THE DISTRICT BOARD OF THE CENTRAL CONTRA COSTA SANITARY DISTRICT HELD ON MARCH 7, 2002 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 7, 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 At this time, President Menesini stated that it would be appropriate to acknowledge the recognition received by the District at the March 5, 2002 Contra Costa County Board of Supervisors meeting. President Menesini stated that the Board of Supervisors recognized the District Board of Directors and District staff, particularly General Manager Charles Batts, for their support and cooperation in assisting the County in replacing the Martinez and Pinole animal service facilities by approving a one-year extension of the current lease terms of the lease with the County for the Animal Services Facility on Imhoff Place. President Menesini read the framed resolution. b. INTRODUCTIONS . RECOGNIZE MICHAEL TARANTINO. PLANT OPERATOR TRAINEE President Menesini and the Board of Directors congratulated Mr. Michael Tarantino on his recent appointment to the Plant Operator Trainee position. 2. PUBLIC COMMENTS None 3. CONSENT CALENDAR It was moved by Member Hockett and seconded by Member Nejedly, that the Consent Calendar, consisting of Items a. through d., be approved as recommended, resolutions adopted as appropriate, and recordings duly authorized. a. Resolution No. 2002-010, Resolution of Application for District Annexation 159, was adopted initiating proceedings to formally annex four separate areas under the title of District Annexation 159. Motion unanimously approved on the following roll call vote: AYES: Members: NOES: Members: ABSENT: Members: Hockett, Nejedly, Lucey, Boneysteele, Menesini None None 03 07 02 90 b. The contract work for the Waste Activated Sludge Pump Replacement Project, DP 6149A, from Kaweah Construction Company was accepted, and the filing of the Notice of Completion was authorized. Motion unanimously approved on the following roll call vote: AYES: Members: NOES: Members: ABSENT: Members: Hockett, Nejedly, Lucey, Boneysteele, Menesini None None The contract work for the Deaerator Storage Tank Replacement Project, DP 6160, from Kaweah Construction Company was accepted, and the filing of the Notice of Completion was authorized. c. Motion unanimously approved on the following roll call vote: AYES: Members: NOES: Members: ABSENT: Members: d. Hockett, Nejedly, Lucey, Boneysteele, Menesini None None Formation of a contractual assessment district consisting of 19 properties on Camille Court was authorized; Resolution No. 2002-011, a resolution of intention to create Camille Court Contractual Assessment District (CAD) No. 2002-1 for the purpose of installing sewer improvements, was adopted; Resolution No. 2002-012 was adopted, approving the boundary of the assessment district; and Resolution No. 2002-013 requesting consent from Contra Costa County for CCCSD to conduct proceedings for Camille Court CAD No. 2002-1, was adopted. Motion unanimously approved on the following roll call vote: AYES: Members: NOES: Members: ABSENT: Members: Hockett, Nejedly, Lucey, Boneysteele, Menesini None None 4. HEARINGS CONDUCT PUBLIC HEARING AND CONSIDER CERTIFICATION OF A FINAL ENVIRONMENTAL IMPACT REPORT FOR THE DISTRICT'S EFFLUENT DISCHARGE LIMIT INCREASE PROJECT. DP 7176 a. b. APPROVE PROJECT AND ADOPT FINDINGS OF FACT AND STATEMENT OF OVERRIDING CONSIDERATIONS FOR THE DISTRICT'S EFFLUENT DISCHARGE LIMIT INCREASE PROJECT. DP 7176 Mr. Charles W. Batts, General Manager, stated that this Final Environmental Impact Report (EIR) for Effluent Discharge Limit Increase is related to the District's efforts to increase the quantity of treated wastewater that the District can discharged by permit to Suisun Bay. Mr. Batts introduced Dr. Gail Chesler, Associate Engineer, who stated that this item deals with the District's National Pollutant Discharge Elimination System (NPDES) permit modification process and the California Environmental Quality Act (CEQA) process, and the actual capacity of the District treatment plant to process flows at build out. Studies were done chiefly by Brown and Caldwell Engineering Consultants and it was concluded that the treatment plant could reliably treat more than 53 million gallons per day (MGD) of flow. At District build out flow is likely to be approximately 53.8 MGD. The District's NPDES permit renewal included a request to increase the discharge limit. An 03 Or7 tfî~. '.'.i: V 91 antidegradation analysis was required by the Regional Water Quality Control Board and was submitted on January 2, 2001. In June 2001 the District's NPDES permit was approved. It included language that stated an effluent discharge limit increase to 53.8 MGD would be authorized upon approval by the Regional Water Quality Control Board (RWOCB) Executive Director. Dr. Chesler reported that as of today, RWOCB staff has not yet reviewed the antidegradation analysis report. The RWQCB has received a copy of the EIR and has raised no significant concerns. Mr. Russell Leavitt, Management Analyst, stated that the purpose of this agenda item is to hold a public hearing on the District's Effluent Discharge Limit Increase Project and its EIR. While this hearing is not required by the California Environmental Quality Act (CEQA) or CEQA Guidelines, it provides the public with another opportunity to comment on the EIR. After the public hearing, the Board will consider certification of the EIR and approval of the project. Mr. Leavitt stated that as Dr. Chesler described, the project is a Board policy decision to increase the District's effluent discharge limit from an average dry weather flow of 45 MGD up to 53.8 MGD. A Final EIR for this project has been prepared and consists of two documents: the Draft EIR dated November 2001 and the Final EIR Response to Comments Document dated February 2002. Both documents were prepared by Environmental Science Associates. The Draft and Final EIR's were distributed to federal, state and local government agencies that might be affected by the project. EIR's also were sent to individuals, and to community and special interest groups that expressed an interest in the project. The Draft EIR analyzed the environmental impacts of implementing an increase in the effluent discharge limit, both the direct impacts of treating and disposing of greater effluent flow volumes and the indirect impacts associated with the additional growth that would be generating that greater flow volume. The Draft EIR also evaluated several alternatives to the project, including the required no project alternative, as well as a reduced project alternative, and a hybrid alternative combining a reduced project with efforts to increase water recycling and decrease groundwater infiltration. The Draft EIR concluded that all of the direct impacts, including those pertaining to water quality and biological resources, would be less than significant. Mr. Leavitt stated that by definition, the project would be growth inducing in that it would remove one or more constraints to future development. The intent of the proposed project, however, is to respond to reasonably anticipated planned growth within the District's service area, as defined in the General Plans of service area jurisdictions. The project would serve demand for treated effluent discharge as that demand is presented to the District by local jurisdictions approving planned growth across the service area, but it would not affect the density, distribution, scope, duration, or timing of growth in the service area. Nonetheless, implementation of planned growth would result in secondary environmental effects. The effects of planned growth have been identified and addressed in the EIR's on the General Plans, and associated Specific Plans and General Plan Amendments adopted by each of the service area jurisdictions. Some of these secondary effects of growth are significant and unavoidable, others are significant but can be mitigated. The following potentially significant, unavoidable impacts as a result of planned growth in the District's service area were identified: agricultural and open space resources, land use, traffic, air quality, noise, public services, water supply and facilities, wastewater disposal capacity, energy resources, visual resources, flooding, urban runoff, and vegetation and wildlife habitat. Mr. Leavitt stated that the proposed project would mitigate the effluent discharge limitation aspect of one of the impacts: need for additional wastewater disposal capacity. The project would not address or alter the other significant and unavoidable impacts. Mr. Leavitt stated that overall, the authority to implement mitigation for impacts associated with planned growth resides with the service area jurisdictions. The District does not have the authority to implement mitigation measures associated with land use and development actions of the local jurisdictions, nor does it have the authority or jurisdiction to implement mitigation measures necessary to address many of the identified significant, secondary effects of planned growth. Furthermore, the District is not required to implement program mitigation adopted by another lead agency, if implementation of that mitigation is clearly the responsibility of, and within the jurisdiction of, the adopting agency. Mr. Leavitt noted that three public agencies submitted written comments on the Draft EIR. Those agencies were the City of San Ramon, East Bay Municipal Utility District, and 03 07 02 92 CalTrans. Their comments and the responses are included in the Final EIR Response to Comments document. Mr. Leavitt stated that despite having sent letters to the District during in the scoping process, neither the U.S. Fish and Wildlife Service, Contra Costa Water District, nor the City of Pleasant Hill submitted comments on the Draft EIR. As a result, the District can assume that the Draft EIR addressed the concerns these agencies raised. Mr. Leavitt stated that the Final EIR must be certified as being legally adequate before the District can consider approval of the project. Staff would recommend that the public hearing be held, and barring any unresolvable comments to the contrary, that the Final EIR be certified; that the District's Effluent Discharge Limit Increase Project be approved; and that the Findings of Fact and Statement of Overriding Considerations be adopted. Member Boneysteele stated that it was mentioned that the project was growth inducing. Member Boneysteele asked whether it has been taken into consideration that in this case it is more growth facilitating than growth inducing. Mr. Leavitt stated that was covered in the EIR. This takes into account what the Cities and County have planned for growth but nothing more than that. Discussion followed with regard to the no project alternative and possible consequences of exceeding the current 45 MGD NPDES permit limit. At 2:25 p.m., President Menesini opened the public hearing to receive comments regarding certification of the Final EIR and approval of the proposed Effluent Discharge Limit Increase Project, DP 7176. There being no comments, the public hearing was closed. It was moved by Member Hockett and seconded by Member Nejedly, that Resolution No. 2002-014 be adopted, certifying the Final EIR for the District's Effluent Discharge Limit Increase Project, DP 7176, as legally adequate. Motion unanimously approved on the following vote: AYES: Members: NOES: Members: ABSENT: Members: Hockett, Nejedly, Lucey, Boneysteele, Menesini None None It was moved by Member Hockett and seconded by Member Nejedly, that the District's Effluent Discharge Limit Increase Project, DP 7176, be approved; that the Findings of Fact and Statement of Overriding Considerations for the District's Effluent Discharge Limit Increase Project be adopted; and that Resolution No. 2002-015 be adopted to that effect. Motion unanimously approved on the following vote: AYES: Members: NOES: Members: ABSENT: Members: Hockett, Nejedly, Lucey, Boneysteele, Menesini None None 5. CALL FOR REQUESTS TO CONSIDER ITEMS OUT OF ORDER None 6. REPORTS a. GENERAL MANAGER 1 ) Mr. Batts, General Manager, introduced Mr. William E. Brennan, Capital Projects Division Manager, who reported that to date 1,934 feet (about 40 percent) of the Dougherty tunnel has been completed. The production last 03 Of( 0..... (;.') .' 1'1 /' , íY M"d 93 week was the best to date. There have been no major equipment failures in the two weeks since the last report. Mr. Brennan stated that if this continues, the tunnel could be finished in eight weeks, about the beginning of May. William C. Smith Company, the tunneling subcontractor, has one 12-hour shift working six days a week. Mr. Brennan showed pictures and described the tunneling operation. Member Hockett requested a copy of the photographs. Mr. Brennan reported that the issues relating to the landscaping for the west tunnel portal have been resolved and the District is in the process of preparing the plans for final approval by the City of San Ramon. The City of San Ramon Senior Planner Charlie Mullen received informal agreement from the Royal Ridge Homeowners Association to have trees planted on the Homeowners Association right-of-way. Once the Homeowners Association signs the necessary papers, the trees will be planted at the developers' expense and the City of San Ramon will maintain the trees. Mr. Brennan reported that a total of five claim forms have been sent out for the Dougherty Tunnel and Trunk Sewer Project. Two claims had been received previously and a third claim was received this week. The claims are being investigated jointly by the contractor's insurance company and the District. With regard to the San Ramon Force Main Project, Mr. Brennan reported that it is the desire of the City of San Ramon for the District and the Dublin San Ramon Services District/East Bay Municipal Utility District Recycled Water Authority (DERWA) to investigate a joint project. As directed by the Board, a letter from President Menesini was distributed to the Mayor and San Ramon City Council on February 26, 2002. An item relating to installation of fiber optic cable on PG & E transmission towers adjacent to the Iron Horse Trail between the PG & E substation and the PG & E learning center was on the same agenda. This resulted in some discussion about visual impacts of overhead lines. City of San Ramon staff has been directed to bring back to the City Council on March 12, 2002 the matters of a cooperative project between the District and DERWA and underground installation of the PG & E cable. Mr. Brennan stated that a meeting had been scheduled for February 27, 2002 to discuss these issues and possible joint project. DERWA construction could not be ready to go this year so the District would have to be delayed one year in order to do a joint project. The DERWA project will require easements from the County and the County was not aware of the DERWA project. So there is some work needed with the County. Because of these complications the developers' representative would not agree to delay of the force main project for one year and the meeting ended. All of this will once again be discussed at the San Ramon City Council meeting on March 12, 2002. The District will be represented there and will be prepared to answer questions. Mr. Kenton L. Aim, Counsel for the District, stated that the City could claim that the District needs an encroachment permit to go under the streets. That could delay the project. Member Boneysteele stated that the whole thing with the City of San Ramon is institutionally flawed. Member Boneysteele stated that if there ever is an opportunity for the City to take over this portion of the sewer system and run it themselves, that would be much preferable. Mr. Brennan stated that District staff met with City of San Ramon staff regarding the encroachment permit. It was a cordial meeting, but it is not possible to predict what the City Council will do. The San Ramon Force Main Project is now advertising and award of the contract is planned for Board consideration at the first Board Meeting in April 2002. 03 07 02 94 03 2) Mr. Batts, General Manager, introduced Mr. John Pearl, Collection System Operations Division (CSOD) Manager, who provided an overview and update on CSOD. Mr. Pearl stated that in September 2001, CSOD Field Operations Superintendent Bill Echols reported to the Board on sewer overflows and the fact that when CSOD staff began in 2000 to concentrate on the backlog, priority work, and manhole raising last year, the routine cleaning work suffered and the number of overflows increased. Early this year CSOD refocused its efforts on routine cleaning in an attempt to reduce overflows. There is much more to talk about now as work progresses at CSOD. Mr. Pearl began with an overview of CSOD Division which was formed in November 2001 when the Collection System Operations Department and Plant Operations Departments were consolidated into one Operations Department. CSOD is a purely operational group of 50 employees, responsible for over 1,500 miles of sewer, 23 pumping stations, and 10 miles of recycled water pipe to 19 active customer sites. CSOD is usually the first point of customer contact. Mr. Pearl reviewed the significant employee turnover in CSOD employees during the last three years. The mission of CSOD is to collect and transport wastewater, repair sewer lines and related facilities, work in both streets and easements, lift wastewater (20 percent of total flow) over hills, distribute recycled water, and manage and maintain the District's vehicle fleet. Mr. Pearl stressed that the real focus is keeping wastewater within the collection system. In 1999 there were 100 collection system overflows, in 2000 there were 144, and in 2001 there were 141 of which 36 were reportable overflows of more than 100 gallons and 2 were more than 1,000 gallons. The majority of the reportable overflows were in the Lamorinda and Walnut Creek areas with a few in Martinez and Pleasant Hill. Mr. Pearl reviewed CSOD performance and statistics relating to injury and illness statistics and vehicle accidents in 2001, financial performance, and customer service statistics resulting in an overall service percentage of 3.72 out of a possible 4.0 for a letter grade of A. Mr. Pearl reviewed pipeline statistics, noting that in 1946 there were 15 miles of pipeline. Today CSOD is responsible for over 1,500 miles of pipeline, 391 miles of easements, 1,080 miles of 6- and 8-inch pipe and 645 miles of vitrified clay pipe. Cleaning is the heart and soul of CSOD. Two- thirds of the collection system is on routine cleaning at an interval less than 10 years. Vitrified clay and asbestos cement pipe of 12-inches or less is the priority for cleaning. CSOD is also responsible for the District's recycled water system. There are approximately 10 miles of pressurized recycled water lines to 19 delivery sites. The recycled water pipe is of various materials and ranges in size from 24-inch to 8-inch. Mr. Pearl stated that Pumping Stations are now part of the CSOD. Mr. Pearl showed a map of the pumping station locations and photographs of the various pumping stations. CSOD uses the following priority system for job folders: . Priority 1 ~ Homeowner complaint ~ Dig up equipment lost or stuck in pipe (retrieve TV camera, stuck augers or hydro hose) Emergency repairs ~ . Priority 2 ~ Confined space entry to remove heavy roots ~ Structure paved over in street 07 02 95 . Priority 3 ~ Minor sewer cracking ~ Rodding inlet "¡šer repairs . Priority 4 ~ Channel repairs for TV access ~ Request from crews for new manhole . Priority 5 ~ Backlog prior to May 1992 Mr. Pearl reviewed the folder turnover (number of added folders and number of completed folders) from March 2000 through January 2002 and recent construction activity which has aided in reducing the backlog. CSOD also operates the vehicle shop for District vehicles. The current District vehicle inventory is 96 but a reduction to 87 is proposed in upcoming vehicle budget. Photographs of the vehicles and vehicle shop were shown. CSOD has historically participated in benchmarking efforts, including the California Collection System Collaborative Benchmarking, with 12 other agencies. Mr. Pearl reviewed some of the results of the benchmarking effort, noting that the District has a more difficult system to maintain because a smaller percentage of District facilities are in the public right of way and a greater percentage of District sewer pipeline is small pipe. Through the years, CSOD has received many awards: the California Water Environment Association (CWEA) Bay Section Collection System of the Year for 1988, 1992, and 1996; the CWEA Statewide Award for Excellence in 1988 and the CWEA Statewide Collection System of the Year Award in 1992; and the U.S. Environmental Protection Agency Operations and Maintenance Excellence Award in 1989. Former Director of Collection System Operations John Larson is currently President of CWEA. Collection System Maintenance Supervisor Paul Louis is Past Chair of the CWEA Statewide Collection Systems Committee, Chair of the CWEA Statewide Awards Committee, Northern Liaison to CWEA Statewide TCP Committee, CWEA Bay Section Collection Systems Committee, and Second Director in line for CWEA Bay Section Chair. Mr. Pearl stated that CSOD is a user of critical information systems: Fleet Max for the vehicle shop, SMMS/Sussex/laptop computers for field cleaning and repair, Mainsaver for Pumping Stations, Ethernet for communication with the rest of the District, and Geographic Data Integration System will also be of great benefit when development and implementation are completed. This information will be accessed on laptops by field people for information during the workday and can be updated from the field. Mr. Pearl stated that CSOD staffing is needs based. We are not sure yet of the impacts of new regulations such as CMOM (Capacity, Management, Operations and Maintenance) and the prohibition on Sanitary Sewer Overflows (SSO's) on future staffing needs. The other unknown at this time is the number of repairs/amount of renovation identified by TV inspection program to assess system condition. In the past efficiencies have been gained and cleaning crew size has gone from three members to two, construction crews have gone from five members to four, and pumping stations operators have gone from nine to seven. The TV inspection program is targeting more than 250,000 feet of 6-inch, 8-inch, and 10-inch pipe. The first area of focus is in the East Bay Municipal Utility District (EBMUD) watershed. A significant pilot effort on chemical root control has recently been undertaken, focusing on system segments that require hand rodding. This year 27,000 feet of pipe will be completed at a cost of $0.75 per foot. The root reduction effect is guaranteed for two years for 03 07 02 96 03 the first chemical treatment and for three years for subsequent treatments. A corrosion control program is also underway to try to reduce the rate of corrosion in reinforced concrete pipe. Crown spraying of 13,500 feet of concrete pipe has been completed in the Martinez and Moraga areas. CSOD is working with the Engineering Department on the causes and controls of such pipe corrosion. Pumping stations are required in some areas of the District to lift sewage in spite of the "no pumping station policy" because of the terrain. Current major pumping station projects include the Pumping Station Supervisory Control and Data Acquisition (SCADA) Project, the San Ramon Pumping Station Renovations Project, and later the Lower Orinda Pumping Station Renovations Project. Mr. Pearl stated that opportunities for CSOD include: . Continue the focus on sewer pipe cleaning effectiveness and efficiency; . Improved management of routine cleaning schedules; . Management of the vehicle fleet maintenance; . Pumping Station SCADA and remote operation; . Increased cooperation and integration between CSO and Pumping Stations personnel; . Use of information technology to address sewer issues; . Use of improved technology for sewer cleaning and repair; . Coordination with Engineering, including Source Control on CSOD problems and projects; . Resolution of issues around major slides and erosion areas effecting District sewers; . Identification of causes and cures for pipe corrosion; . Dealing with the impact of new regulations on the collection system; . Continued benchmarking and implementation of "best practices;" and . Crew Leader and employee training program. Mr. Pearl stated that it is his observation that CSOD is a good organization and CSOD is doing good work. Mr. Pearl stated that he believes he is a good fit for CSOD. His background is in complicated facilities including steel mills and treatment plants; with experience in maintenance planning, preventative and predictive maintenance; training in analysis and problem solving with many years of operations and management experience; experience in highly regulated climates; and a background in pumping stations and maintenance. In closing, Mr. Pearl stated that there are lots of challenges and opportunities to practice continuous improvement to meet the demands of the regulatory community and the customers we serve. The one constant is change. Member Boneysteele complimented Mr. Pearl on his presentation, stating that it was one of the best presentations he has received during his 35 years on the Board. Ov¡ 02 97 Discussion followed with regard to the CSOD backlog and Priority 1 jobs. The backlog is currently down from 550 to approximately 490 and Priority 1 jobs are down from åppròximately 160 to 122. These are not stagnant numbers because new jobs keep coming in, particularly from the TV inspection and cleaning crews. Mr. James Kelly, Director of Operations, stated that during a recent CSOD planning session, the increase in sewer overflows was a focus. It was decided to concentrate on the routine cleaning, trying to balance the priorities of reducing overflows and bringing down the number of Priority 1- backlog projects. Member Nejedly stated that a backlog of 400 and 125 Priority 1 jobs is unacceptable to him. Mr. Kelly stated that while staff is concerned about Priority 1 jobs, the bulk of the overflows in the system occurred because of roots in sewers and the staffing focus has been placed in that area. The causes of overflows were analyzed. Eighty percent or more were caused by root stoppages that could have been avoided if the sewer had been cleaned. The bulk of our resources were devoted to projects that make the most difference. Less than 20 percent of the overflows were from grease. Mr. Kelly stated that CSOD is looking at ways for crews to become more efficient and effective. More people were authorized by the Board and more people are in the field, both for cleaning and construction. Mr. Batts stated that although new folders are being added all the time, the total number of backlog jobs is dropping. Staff wants to reduce the backlog, but staff also wants to reduce the number of overflows. We are looking at the use of new technology for root control and grease control. Even though three new people have been hired, others have retired. More people and equipment could be used at CSOD, but the benefits must be carefully weighed against the long term costs. Following discussion, it was agreed that a workshop will be held to discuss these issues. Member Lucey requested that staff be prepared to provide information on how to improve CSOD efficiency and operations; and if more resources are needed in this area, it may be necessary to take those resources from other areas. Member Hockett stated that the Board must also be willing to consider raising the Sewer Service Charge if necessary. The use of temporary employees should also be considered. Mr. Batts stated that he would welcome this an opportunity to come back to the Board to discuss new and different ways of getting the job done. 3) Mr. Batts, General Manager, stated that emergency response is an integral part of the District's safety program. On February 25 and 26, 2002, District employees received emergency response training. Several areas were identified where the District needs additional work and training. Mr. Batts introduced Mr. David Clovis, Safety and Risk Manager, who provided an overview of the emergency response training. Ms. Wende Schallman, was the instructor. Ms. Schallman is a retired Alameda County Fire Service Training Officer and California Specialized Training Institute Certified Instructor with 18 years experience in incident command. The training focused on the incident command system, implementation of the District's emergency response plan, understanding the hazards and risks associated with emergencies, managing and mitigating an emergency, and getting back to normal operation after an emergency. The General Manager, Management Team, Plant Superintendents, CSOD Superintendents and Supervisors, and Shift Supervisors attended the training. Mr. Clovis distributed a quick reference guide to CCCSD Emergency Response Contingency Plans and indicated that all District employees will receive training on this document. The training presentation focused on principles of emergency management, structure of command, managing multiple functions, communications, developing action plans, activating the 03 07 02 98 emergency system, perimeter control, coordinating the emergency scene, the psychological impact of emergencies, handling the media, and activating the emergency operations center. Desktop exercises were conducted using scenarios including an aircraft crash, bomb threat, civil unrest, disruptive intruder, compressed gas release, power outage, earthquake, fire, floods, high winds, natural gas leak, and collection system spill. Mr. Clovis stated that District emergency response efforts are coordinated with the County. The District is a participant in the Countywide Mutual Aid System. The District also participates in the Wastewater and Water Agencies Mutual Response Agreement (WWARN), Countywide Incident Command Operations meetings, County Emergency Alert System, and provides staffing to the Emergency Operations Center in the event of a major emergency. Mr. Clovis stated that as a result of the training just completed, additional activities were identified. Next steps include: . Modifying and updating the current District Emergency Plan; . Training additional CCCSD employees on emergency preparedness and incident command; . Conducting training drills on evacuation and shelter in place on a regular basis; and . Continuing work on the District notification system in the Plant Operations facilities and Headquarters Office Building. In closing, Mr. Clovis stated that there are some changes going on in Safety and Risk Management. Mr. Dave Albinus, Operations Safety Specialist, will be retiring at the end of March 2002. Mr. Clovis stated that he will also be leaving the District on March 20, 2002 to take a position with the City of Mountain View. Mr. Clovis stated that it has been a pleasure to work for the Board of Directors and for the District. The Board wished Mr. Clovis well and thanked him for the work he has done for the District. BREAK At 4:28 p.m., President Menesini declared a recess, reconvening at the hour of 4:42 p.m., with all parties present as previously designated. 03 4) Mr. Batts, General Manager, introduced Mr. Doug Craig, Plant Operations Division Manager, who reported that on February 24, 2002 at 11 :20 p.m., the District experienced an unscheduled Pacific Gas and Electric (PG&E) power failure. The power failure was caused by a ground fault and severely impacted operations. The ground fault occurred 1.77 miles east of the Bowman Water Plant. The cause is unknown. One other customer, the Bowman Water Plant, was affected. Power was restored by PG&E at 11 :53 p.m. When the power outage occurred, the treatment plant went black. The cogeneration facility tripped off and went down hard. Standby power did not automatically start because breakers opened at different places in the plant. Standby power was manually started but failed because breakers were still open. Plant Operators had to find the breakers and assess what happened and get them back on line. PG&E restored power at 11 :53 p.m. Treatment plant power was restored at 11 :57 p.m. The cogeneration unit was manually started three times but failed every time because of excessive vibration. Mr. Craig stated that the District was very fortunate because the power failure occurred just prior to the shift change at 11 :30 p.m. Two shifts of Plant Operators and an Electrical Technician were available and 07 /"0, r" U ~ U)J V~ 99 worked to restore power, responding to just less than 500 alarms in 33 minutes. Restarting and stabilizing processes took a long time. Every piece of equipment had gone down including the furnace, water system, steam system, and so on. No air was available to the activated sludge tanks for over 3 hours. Effluent was diverted to the holding basins for 44 hours. No National Pollutant Discharge Elimination System (NPDES) permit violations or furnace opacity exceedances occurred. There were two odor complaints. Mr. Craig stated that the cogeneration unit tripped on the ground fault. Internal damage to the unit was incurred. The gas combustion turbine was sent to Houston on February 27, 2002. Anew, rebuilt unit arrived March 7, 2002 and should be up and running tomorrow morning. Mr. Craig stated that this is an incredibly rapid response. Solar, the provider of the cogeneration unit, indicated there would be no cost to the District because of the existing maintenance contract the District has with them. In addition, the turbine is made to take full load rejection which is another reason Solar may be taking full responsibility. Mr. Craig stated that there are other costs associated with the power outage however. The cost of cogeneration electricity is equal to PG&E electric cost. The value of the steam generated is approximately $48,000 for the 12 days, the PG&E demand charge will be approximately $34,000 for two months, and the additional odor control chemicals needed when flow was diverted to the ponds is estimated at $5,000 for a total of $87,000. Mr. Craig stated that some good things will come from this. The District is getting a new cogeneration unit and we will not have to go through the normal maintenance shut down in April so we will avoid peak demand charges at that time. In summary, Mr. Craig stated that this was a rare event and nothing similar has occurred in the last 20 years. The timing was fortunate because two shifts were available to respond to the emergency and the staff response was rapid. No violations occurred. There was a quick turnaround on the cogeneration unit. Finally, even without having to pay the turbine repair costs, it was still a costly event for the District. Discussion followed with regard to standby power and possible alternatives, and the outstanding staff response. It was moved by Member Boneysteele and seconded by Member Hockett, that a commendation be prepared recognizing the outstanding efforts of the crews that responded to this emergency. There being no objection, the motion was unanimously approved. 5) Mr. Batts, General Manager, introduced Ms. Harriette Heibel, Community Affairs Manager, who reviewed the draft Pipeline Newsletter which was previously distributed to the Board. Ms. Heibel requested input from the Board and indicated that the Board comments will be incorporated, and the newsletter will be printed and mailed by the first week in April. The Board provided suggestions relating to the District report card and awards sections, and inclusion of information about the costs of projects and the benefits to the public. Ms. Heibel thanked the Board for their input. 6) Mr. Batts, General Manager, stated that the issue of bond financing was brought to the Board at the Financial Planning and Policy Workshop in January 2002. Staff has been working to start the bond financing process and to update the draft Official Statement. Mr. Tom Lockard of Stone and Youngberg, the financial advisor used by the District on the previous bond financing, is aiding in this process. Mr. Batts introduced Ms. Deborah Ratcliff, Controller, who stated that the January 24, 2002 the need for bond financing was discussed and it was proposed that the firm of Stone and Youngberg be used to assist in that process. Bond financing in the amount of $15 million is needed to cover the costs of moving forward the San Ramon projects in accordance with the settlement agreement between the District, the City of San Ramon, and the developers. It is expected that the bond amount will be approximately $16.5 million to cover the reserve 03 07 02 100 03 7) 8) 9) 10) 11 ) 12) 13) account and costs of the issuance. Ms. Ratcliff reviewed the proposed bond financing schedule which calls for a Budget and Finance Committee review and receipt of the Preliminary Official Statement on April 15, 2002, full Board review on April 18, 2002, adoption of required resolutions on May 9, 2002, marketing the Preliminary Official Statement on May 14, 2002, and sale of bonds the first week of June 2002. Mr. Tom Lockard, of Stone and Youngberg, will be present at both the April 15 Budget and Finance Committee meeting and the April 18 Board Meeting. Mr. Lockard will discuss the type of sale, costs of issuance, terms, reserve account, and related items. Mr. Chick Adams, of Jones Hall, will serve as bond counsel for the issuance. Mr. Batts, General Manager, stated that the discussion of property acquisition for sewering Wendt Ranch Subdivision will be continued to March 21, 2002 because of the lateness of the hour. Mr. Batts, General Manager, announced that the pump supplier for the Moraga/Orinda Crossroads Pumping Stations pumps, Morris Pump, has submitted their proposed fix for the vibration problem. Pretech, the District's vibration consultant, has nearly completed their review. Indications are that the proposed fix has a reasonable chance of working and that the District will allow Morris Pump and GSE to build a prototype fix at each pumping station for one pump. Construction and testing is expected to be done in the month of March. Mr. Batts, General Manager, stated that Personnel Committee review of the 2002-2003 Staffing Plan is scheduled for March 18, 2002. However, Human Resources begins recruitment for summer student positions in early March when students are home for spring break. It is requested that the starting rate for summer students be increased by $2 per hour from $10 per hour to $12 per hour. The Board voiced no objection. Mr. Batts, General Manager, announced that the District is advertising for bids for the San Ramon Pumping Station Renovation Project. The engineer's estimate is $3.6 million. Mr. Batts, General Manager, announced that the District is advertising for bids for the Lafayette Sewer Renovation Project, Phase 3A. The engineer's estimate is $182,000. Mr. Batts, General Manager, announced that the District is also advertising for the Treatment Plant Solids Conditioning Building Ventilation Improvements Project. The engineer's estimate is $1.6 million. Mr. Batts, General Manager, announced that on Sunday, February 24, 2002, at 9:53 p.m., the District's answering service received a call from a homeowner at 2928 St. Denis in the Danville/San Ramon area reporting an overflowing manhole. The on-call crew arrived at the site at 10:30 p.m. The stoppage was removed by approximately 11 :30 p.m. An investigation the next day revealed two low spots where grease had settled out and eventually plugged the line. The TV crew determined that the upstream line segment also had heavy grease deposits. A hydrovac crew cleaned a total of seven line segments, five of which had heavy grease deposits. At the time of the stoppage, the lines were on a 120-month routine cleaning schedule. These lines have now been put on a one-year cleaning cycle. The on-call Crew Leader estimated the overflow volume to be less than 1,000 gallons. The on-call Crew Leader alerted the Pumping Stations to avoid potential problems there. 14) Mr. Batts, General Manager, announced that on Sunday, March 3, 2002, Collection System Operations Division responded to a request from Delta Diablo Sanitation District for assistance with a problem at their pumping 07 G...' .'.~... "....i.:.~.. ",";I / "J ~';'! 15) 16) 101 station on Bridgehead Road. One of the District's standby pumps was delivered for their use. The next day the pump was returned when they were able to secure reíltål écjuipmènt. Mr. Batts, General Manager, stated that at the February 7, 2002 Board Meeting, the Board authorized staff to negotiate a ground lease agreement with Sprint PCS for the placement of an antenna on the District's property at 4737 Imhoff Place near the light industrial building. Sprint PCS wanted renewal options that would have taken the lease term out to 20 years. District Counsel advised staff to solicit bids for the lease. Staff has placed an official notice to bidders to receive proposals on March 28, 2002 for leasing the property for not less than $1,500 per month with a 4 percent increase annually and a term of 5 to 25 years. Mr. Batts, General Manager, provided an update on the action in Sacramento to deal with the State's $12.6 billion deficit. State staff is recommending eliminating the Education Relief Augmentation Fund (ERAF) exemption for multi-county special districts. The Senate Local Government Committee has also requested information on the current ERAF property tax shift for independent special districts. The State is also proposing increasing permit fees on dischargers that would cover the cost of the core regulatory program. While there are many issues to be resolved before this will occur, it is believed the discharge permits will increase from $10,000 to $25,000 and the base (those who require permits) will also increase. b. COUNSEL FOR THE DISTRICT None c. SECRETARY OF THE DISTRICT None d. BOARD MEMBERS None 7. TREATMENT PLANT AUTHORIZE $25.000 OF SUPPLEMENTAL FUNDS FOR THE AERATION AIR LEAK DETECTION ASSESSMENT PROGRAM. DP 6157A: AUTHORIZE A CONTRACT CHANGE ORDER a. Mr. Batts, General Manager, introduced Mr. Jim Belcher, Senior Engineer, who described the first phase of the work to excavate and expose buried treatment plant aeration air piping. Mr. Belcher showed a video of the leaks and described the bubbling air and water. Additional funds are requested to complete this work. Following discussion, it was moved by Member Nejedly and seconded by Member Boneysteele, that $25,000 in additional funding be authorized for the Aeration Air Leaks Damage Assessment Project, DP 6157 A, and that issuing Contract Change Order No.1 to D&D Pipelines in an amount up to $50,000 be authorized. There being no objection, the motion was unanimously approved. 8. APPROVAL OF EXPENDITURES a. EXPENDITURE LIST DATED MARCH 7. 2002 Member Boneysteele, Chair of the Budget and Finance Committee, stated that he and Member Hockett reviewed the expenditures and found them to be satisfactory. 03 07 02 102 It was moved by Member Boneysteele and seconded by Member Hockett, that the Expenditure List dated March 7, 2002, including Self Insurance Check Nos. 101854- 101855, Running Expense Check Nos. 137090-137197, and Sewer Construction Check Nos. 24301-24329, be approved as recommended. There being no objection, the motion was unanimously approved. 9. BUDGET AND FINANCE a. APPROVE AN INCREASE IN THE LOCAL AGENCY INVESTMENT FUND (LAIF) MAXIMUM INVESTMENT LIMIT Mr. Batts, General Manager, introduced Ms. Deborah Ratcliff, Controller, who stated that from time to time the State Treasurer increases the Local Agency Investment Fund (LAIF) deposit limit. The last time this occurred way in September 1998. The limit was recently increased from $30 million to $40 million. Typically investments in LAIF pay about 1 percent to 1.5 percent higher than other short term investments. The funds are very safe and very liquid. Ms. Ratcliff recommended that the Board approve increasing the LAIF maximum investment limit. Member Boneysteele, Chair of the Budget and Finance Committee, stated that he and Member Hockett reviewed this with staff, weighing the risk and reward, and would recommend approval by the Board. It was moved by Member Hockett and seconded by Member Boneysteele, that the Sewer Construction Fund LAIF account maximum investment balance be increased to $40 million. There being no objection, the motion was unanimously approved. b. RECEIVE JANUARY 2002 FINANCIAL STATEMENTS Ms. Ratcliff, Controller, reviewed the results of operations and maintenance for the month of January 2002, noting that expenditures were $170,000 less than budget, representing a 4.7 percent favorable variance. Year-to-date expenditures were $1.8 million under budget. Year-to-date revenues of $23,326,000 were $343,000 less than budget, representing a 1.4 percent unfavorable variance. Ms. Ratcliff reported that year-to-date Sewer Construction Fund expenditures were $20 million, and year-to-date Sewer Construction Fund revenues were $11.5 million, cutting into the Sewer Construction Fund balance by $8.5 million. Ms. Ratcliff reported that the District's temporary investments were held in Treasury bills and Treasury notes and the District's Local Agency Investment Fund (LAIF) account with interest rates ranging from 1.9 percent to 6.7 percent. The latest interest rate as of December 2001 was 1.9 percent. The average yield of the LAIF account through December 2001 was 3.26 percent. President Menesini declared that the January 2002 Financial Statements were duly received. 10. EMERGENCY SITUATIONS REQUIRING BOARD ACTION None 11. ANNOUNCEMENTS/SUGGESTIONS FOR FUTURE AGENDA ITEMS Collection System Operations Division (CSOD) recommendations for addressing backlog will be reviewed at a future Board Meeting. 03 07 rfj);¡' C...!.".' t,¡ ~:'~ 103 12. CLOSED SESSION a. SIGNIFICANT EXPOSURE TO LITIGATION Pursuant to Government Code Section 54956.9(b), a point has been reached where in the opinion of the Board of Directors of the Central Contra Costa Sanitary District, on the advice of its Counsel, based on existing facts and circumstances, there is a significant exposure to litigation against the District. One potential matter is to be discussed. At 5:48 p.m., President Menesini declared the closed session to discuss litigation pursuant to Government Code Section 54956.9(b) as noted above. At 5:55 p.m., President Menesini concluded the closed session and reconvened the meeting into open session. 13. REPORT OF DISCUSSIONS IN CLOSED SESSION No decisions were made or votes taken in closed session which require reporting at this time. 14. ADJOURNMENT There being no further business to come before the Board, President Menesini adjourned the meeting at the hour of 5:56 p.m. ~o~~ President of the Board of Directors, Central Contra Costa Sanitary District, County of Contra Costa, State of California COUNTERSIGNED: Se re ar of the Centra Co tra Costa Sa . ry District, County of Contra Costa, State of California 03 07 02