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HomeMy WebLinkAboutBOARD MINUTES 12-17-09 MINUTES OF THE REGULAR MEETING OF THE BOARD OF DIRECTORS OF THE CENTRAL CONTRA COSTA SANITARY DISTRICT HELD ON DECEMBER 17, 2009 The Board of Directors of the Central Contra Costa Sanitary District convened in a regular meeting at its regular place of business, 5019 Imhoff Place, Martinez, County of Contra Costa, State of California, at 2:00 p.m. on Thursday, December 17, 2009. President Nejedly called the meeting to order and requested that the Secretary call roll. 1. ROLL CALL PRESENT: Members: Hockett, Lucey, McGill, Menesini, Nejedly ABSENT: Members: None a. PLEDGE OF ALLEGIANCE TO THE FLAG Board and staff joined in the Pledge of Allegiance. 2. PUBLIC COMMENTS There were no public comments. 3. CONSENT CALENDAR It was moved by Member Hockett and seconded by Member McGill to adopt the Consent Calendar as recommended. Motion passed by unanimous vote of the Board. a. Approve expenditures dated December 17, 2009. Reviewed by Budget and Finance Committee. b. Approve minutes of November 12 and November 19, 2009 Board meeting. c. Advise the Board of the closeout of Martinez Sewer Renovations, Phase 2, District Project 5979. d. Adopt Resolution 2009-109 accepting a grant of easement from Michael J. Sonnikson and Jana Rae Sonnikson, property owners at 1064 Dolores, Lafayette, District Project 159, and authorize staff to record documents with the Contra Costa County Recorder. e. Approve the continued use of the administrative overhead percentage of 178 percent for Fiscal Year 2010-2011. Reviewed by Budget and Finance Committee. Book 59 – Page 152 Board Minutes of December 17, 2009 f. Adopt Resolution 2009-110 authorizing the President of the Board and the Secretary of the District to execute an encroachment agreement with the Town of Danville relating to proposed improvements at Hap Magee Ranch Park, District Project 4921 - Parcel 2 R-1, and authorize staff to record documents with the Contra Costa County Recorder. 4. CALL FOR REQUESTS TO CONSIDER ITEMS OUT OF ORDER None. 5. BIDS AND AWARDS a. HOLD A PROTEST HEARING TO CONSIDER W. E. LYONS CONSTRUCTION CO.’S BID PROTEST; AWARD A CONSTRUCTION CONTRACT IN THE AMOUNT OF $792,484 TO BOBO CONSTRUCTION, INC., THE LOWEST RESPONSIVE BIDDER FOR HOUSEHOLD HAZARDOUS WASTE COLLECTION FACILITY IMPROVEMENTS PROJECT, DISTRICT PROJECT 8216; FIND THAT THE PROJECT IS EXEMPT FROM CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA), AND AUTHORIZE THE GENERAL MANAGER TO EXECUTE THE CONTRACT DOCUMENTS SUBJECT TO SUBMITTAL REQUIREMENTS; AND AUTHORIZE THE GENERAL MANAGER TO EXECUTE AN AMENDMENT, NOT TO EXCEED $64,000, TO AN EXISTING PROFESSIONAL ENGINEERING SERVICES AGREEMENT WITH CALPO, HOM, AND DONG ARCHITECTS General Manager James Kelly stated that the purpose of the Household Hazardous Waste Collection Facility Improvements Project is to improve the working conditions, and in the District’s Vehicle Maintenance Shop, to improve safety conditions throughout the treatment plant. On December 1, 2009, four sealed bids were received and opened. After thorough review by staff and legal counsel, Bobo Construction, Inc. was found to be the lowest responsive bidder at $792,484. On December 7, 2009, the second lowest bidder, W.E. Lyons Construction Co., filed a protest alleging that the apparent low bidder failed to properly execute the District’s bid forms. After thorough review by staff and legal counsel, staff notified W.E. Lyons Construction Co. of staff’s recommendation to the Board to reject the bid protest on the grounds that their allegations were unfounded and immaterial. On December 15, 2009, W.E. Lyons Construction Co. formally withdrew its bid protest. Staff recommends the Board award the contract to Bobo Construction, Inc., the lowest responsive bidder. It was moved by President Nejedly and seconded by Member Menesini to award a construction contract to Bobo Construction, Inc.; to find that the project is exempt from CEQA; to authorize the General Manager to execute the contract documents as Book 59 – Page 153 Board Minutes of December 17, 2009 recommended; and to authorize the General Manager to execute an amendment to an existing professional engineering services agreement with Calpo, Hom, and Dong Architects. Motion passed by unanimous vote of the Board. 6. REPORTS a. GENERAL MANAGER 1) Contra Costa County Employees’ Retirement Association (CCCERA) Update General Manager James Kelly stated that the Board has received a memo in the agenda packet regarding this matter. He asked whether the Board wished to take a position on the retirement issue. Board Members discussed the memo, acknowledging that the topic is very complicated. They felt that, at the moment, there is insufficient information to take a position. The implications and repercussions of any action are unknown. The Board’s preference was to wait and see how the issue evolves and follow closely what steps the CCCERA Board takes. Mr. Kelly stated that he will present additional information at the next Board meeting. Mr. Kelly also stated that he was recently interviewed over the phone by Contra Costa County reporter Daniel Borenstein regarding the District’s retirement program. An article may appear in this weekend’s Contra Costa Times. 2) Special Capacity Fee Studies Update General Manager James Kelly stated that the District has a sewer capacity fees schedule for residential users and certain categories of commercial and industrial users. For those commercial or industrial users that do not fall into the established categories or have unique circumstances, the District conducts a special study to calculate the capacity fee. A condition of the special study is the review of the study after three or more years of operation to determine the accuracy of the calculated capacity fee. As a result of these reviews, a user may owe additional capacity fees or may be due a refund. The last presentation to the Board about special capacity fee studies was in December 2008. At that time, staff had determined that two large customers, Kaiser Walnut Creek Medical Center and Contra Costa County Juvenile Hall, could owe significant additional capacity fees. Environmental Services Division Manager Curt Swanson presented an update on Kaiser Walnut Creek Medical Center and Contra Costa County Juvenile Hall capacity fees as well as a new special study being prepared for John Muir Medical Center in Walnut Creek. He stated that a user may request a special Book 59 – Page 154 Board Minutes of December 17, 2009 study to address a site-specific wastewater discharge. In such cases, the user pays a fee for the study. A special study sets the wastewater strength and volume for a particular business or industry, and is usually re-evaluated after two to five years of operation. He described the studies conducted on the Kaiser Medical Center expansion and reviews conducted in 2006, 2008, and 2009. A multi-phase expansion began in the late 1990s and was completed in 2003. Water usage continued to rise from 2001 to 2007. Water usage decreased significantly in 2008 and 2009. No additional fees are owed, based on the 2009 usage. He described the County Juvenile Hall reviews in 2008 and 2009. The original facility capacity was 160 beds. A new 240-bed facility was completed in 2005. Capacity fees were based on a net increase of 120 beds, as the County was going to remove an older area that contained 120 beds. Water use at Juvenile Hall was higher than projected in 2006 and 2007. However, water usage declined by 24 percent in 2008. Based on 2008 water usage, no additional capacity fees are owed. The John Muir Medical Center expansion began in 2008 and is expected to be completed in 2012. A special study is currently being prepared. A preliminary determination indicates that $670,000 in capacity fees will be owed to the District. Staff will continue to monitor water usage at the Kaiser facility and County Juvenile Hall, and will monitor the construction of the John Muir hospital expansion. John Muir Medical Center plans to pay the capacity fees in 2010-11. 3) Hall Drive Design Issues Senior Engineer Alex Rozul presented information about the Hall Drive Sewer Improvements project. He stated that the rear yard sewer was installed in 1952, and is high maintenance, with property owner improvements constructed over the pipe. The Hall Drive sewer was installed in 1990 and was located deep to allow homes to connect. A new sewer was designed to be installed closer to the homes, which would require re-routing of the laterals. This would also require new temporary construction easements and permanent easements. The construction will use trenchless technology as much as possible, and the project is planned for summer 2010. The total cost of the project is $1.4 million, which does include other projects. General Manager James Kelly stated that some policy decisions may need to be made regarding matters of condemnation and right of way. Member Lucey stated that this type of project will be happening more and more. He agreed that the Board needs to decide whether to adopt a policy or address Book 59 – Page 155 Board Minutes of December 17, 2009 them on an ad hoc basis. He stated that it will be very expensive and he is not in favor of the expenditure. Director of Engineering Ann Farrell stated that the District has a new approach to right of way issues. An appraisal will be obtained and the owner offered the appraised value. If the offer is declined, staff will initiate condemnation proceedings. Staff will no longer negotiate with property owners and increase offers in order to obtain acquiescence. 4) General Manager James Kelly announced that the State’s Proposition 1A Receivables Program financing closed the morning of November 19, 2009. $1.895 billion of Revenue Bonds were sold with an interest rate of four percent. This securitization amount represents about 95 percent of the State’s property tax take. The 1,270 participating local agencies included 410 cities, 803 special districts, and 57 of the State’s 58 counties. The average receivable was about $1,492,000. Stone and Youngberg was one of the five banks in the underwriting syndicate. The District did not participate in this program and instead will be repaid by the State in three years with interest at two percent per year. 5) General Manager James Kelly announced that inspection services under the Clean Water Program (CWP) Service Agreement were suspended on July 1, 2009, due to delays with finalizing the agreement. The most recent delay is associated with the CWP waiting to receive signed resolutions from the participating cities. The CWP has received signed resolutions from several cities and has provided staff with a fully-executed service agreement. District inspectors have begun services in the cities as the resolutions are processed (e.g. Danville, Orinda, and Concord). Most, if not all, the Central County Cities, except for Walnut Creek who withdrew from the service agreement this fiscal year, are expected to process resolutions this month and will be fully implementing the service agreement in 2010. b. COUNSEL FOR THE DISTRICT No reports. c. SECRETARY OF THE DISTRICT No reports. d. BOARD MEMBERS 1) Board Member reports on future meetings or conferences for which they will receive the stipend or for which the District will pay their expenses; Book 59 – Page 156 Board Minutes of December 17, 2009 recent meetings for which they received the stipend; and meetings or conferences for which the District paid their expenses. Member Hockett Member Hockett reported on her attendance at the December 3, 2009 Contra Costa County Mayors’ Conference. Members Hockett and McGill reported on the December 15, 2009 Recycled Water Committee and summarized the Action Summary. The Board received the report without comments. Member Lucey Member Lucey reported on the December 16, 2009 Budget and Finance Committee meeting and summarized the Action Summary. The Board received the report without comments. Member McGill Member McGill provided a written report on his attendance at meetings for which he received the stipend or for which the District paid his expenses. 2) President-Elect McGill announced the proposed 2010 Board Committee assignments and asked Board Members to contact him if they had comments or questions. The assignments were as follows: Budget and Finance Committee Chair: Nejedly Member: Hockett Capital Projects Committee Chair: McGill Member: Menesini Household Hazardous Waste Committee Chair: Menesini Member: Lucey Human Resources Committee Chair: Lucey Member: Menesini Outreach Committee Chair: McGill Member: Menesini Book 59 – Page 157 Board Minutes of December 17, 2009 Real Estate Committee Chair: Lucey Member: Nejedly Recycled Water Committee Chair: McGill Member: Hockett California Special Districts Association Contra Costa Chapter Representative: McGill Alternate: Lucey Friends of San Francisco Estuary Representative: Menesini Sanitation and Water Agencies of Contra Costa County Representative: Hockett Alternate: McGill Board Liaison to Cities and County Concord Nejedly Contra Costa County Alamo Hockett Danville San Ramon Pleasant Hill McGill Walnut Creek Martinez Menesini Lafayette Pacheco Moraga Lucey Orinda 3) Announcements Member McGill provided a written report covering Announcements. Book 59 – Page 158 Board Minutes of December 17, 2009 7. SUGGESTIONS FOR FUTURE AGENDA ITEMS ' Member McGill requested a copy of the meeting notes from the October 2007 Board retreat and an update on where the District is regarding the goals and objectives identified at that meeting. 8. ADJOURNMENT There being no further business to come before the Board, President Nejedly adjourned the meeting at 3:05 p.m. Michael R. McGill President of th oard of Directors, Central Contra Costa Sanitary District, County of Contra Costa, State of California -, CCUIli~iTERSIGNED: ~~ ~. , , - - (~` , . '. !` w_ f , _ - .Y tea. is .f'^% ' ~-'_ Elaine R._.3rehme )~~~'~_ - ^^ -Secretarjr, cf-the Central Contra Costa ,, .au,rait~ry_~Qistrict, County of Contra Costa, State'of California 1 Book 59 -Page 159