HomeMy WebLinkAbout02/21/2002 AGENDA BACKUPCentral Contra Costa Sanitary District
BOARD OF DIRECTORS
POSITION PAPER
Board Meeting Date: February 21, 2002 No-: 4. a. CONSENT CALENDAR
Type of Action: INFORMATIONAL
Subject: ADVISE THE BOARD OF THE CLOSE OUT OF 11 CAPITAL IMPROVEMENT
PROJECTS
Submitted By: Initiating Dept /Div.:
John Mercurio, Management Analyst Engineering /Environmental Services
REVIEWED AND RECOMMENDED FOR BOARD ACTION:
J. Mercurio Berger C. Swanson A. Farrell Charles att ,
General Mana r
ISSUE: Work has been completed on 11 capital improvement projects. The financial
results are reported to the Board prior to closing the projects' accounts.
RECOMMENDATION: This item is presented to the Board of Directors for information
only. No action is necessary.
FINANCIAL IMPACTS: As a result of the close out of these 11 projects, $123,214 is
being reallocated to the Treatment Plant, Collection System and General Improvements
Programs.
ALTERNATIVES /CONSIDERATIONS: No alternatives have been prepared. This is an
informational position paper.
BACKGROUND: These 11 capital improvement projects have been completed and staff
is closing out the project accounts. Below is a summary of the authorized budgets and
expenditures for the 11 projects by program. Attachment 1 summarizes the authorized
budgets and expenditures for each individual project. Attachment 2 contains a brief
project summary for each project.
Program
Authorized Budget
Expenditures
Underrun
(Overruns)
Treatment Plant
$1,541,000
$1,539,082
$1,918
Collection System
$1,090,000
$966,288
$123,712
General Improvements
$60,000
$62,416
($2,416)
Totals
1 $2,691,000
j $2,567,786
j 5123,214
2/13/02
U:\ PPR\ Bertera \JJMCLOSEOUTOF11CIPSREV2.WPD Page 1 of 5
POSITION PAPER
Board Meeting Date: February 21, 2002
subject: ADVISE THE BOARD OF THE CLOSE OUT OF 11 CAPITAL IMPROVEMENT
PROJECTS
The total authorized budget for the 11 projects is $2,691,000. Total project expenditures
are $2,567,786. A net underrun of $123,214 (5% of the total authorized budgets) will
result in $1,918 being returned to the Treatment Plant Program, $123,712 being returned
to the Collection System Program, and an overrun of $2,416 in the General Improvements
Program.
RECOMMENDED BOARD ACTION: No action is necessary.
2/13/02
U:\PPR \Bertera \JJMCLOSEOUTOFI 1 CIPSREV2.WPD Page 2 of 5
ATTACHMENT 1
CAPITAL PROJECTS TO BE CLOSED OUT
TREATMENT PLANT PROGRAM
DISTRICT
PROJECT
NO.
PROJECT TITLE
AUTHORIZED
I BUDGET
EXPENDITURES
UNDERRUN
(OVERRUNS)
5917
Ultra Sonic Level Transmitter
$5,000
$4,226
$774
6106
Computerized Maintenance
Mgmt System
$430,000
$437,228
($7,228)
6114
Solids Control Room MMI
$511,000
$511,953
($953)
6132
Safety Improvements
$180,000
$187,005
($7,005)
6138
Standby Power Facility
Hardening
$355,000
$343,516
$11,484
6154 T2400-Volt
Feeder Replacement
$60,000
$55,154
$4,846
Program Totals
$1,541,000
$1,539,082
$1,918
COLLECTION SYSTEM PROGRAM
DISTRICT
PROJECT
PROJECT TITLE
AUTHORIZED
EXPENDITURES
UNDERRUN
NO.
BUDGET
(OVERRUNS)
5421
Collection System Renovations
$294,000
$291,237
$2,763
5423
Rossmoor Sewer Improvements-
$224,000
$189,595
$34,405
Program Totals
Phase 6
$62,416
($2,416)
5451
Hartz Avenue Slide
$537,000
$466,309
$70,691
6128
San Ramon Pump Station
$35,000
$19,147
$15,853
Landscape Upgrade
IF- Program Totals
1 $1,090,000
j $966,288
j $123,712
GENERAL IMPROVEMENTS PROGRAM
DISTRICT
PROJECT
PROJECT TITLE
AUTHORIZED
EXPENDITURES
UNDERRUN
NO.
BUDGET
(OVERRUNS)
8188
Communication Upgrade
$60,000
$62,416
($2,416)
4737 Imhoff
Program Totals
$60,000
$62,416
($2,416)
2/13/02
U:\ PPR\ Bertera \JJMCLOSEOUTOF11CIPSREV2.WPD Page 3 of 5
ATTACHMENT 2
CAPITAL PROJECTS TO BE CLOSED OUT
TREATMENT PLANT PROGRAM
• Ultra Sonic Level Transmitter, DP 5917, replaced the defective ultra sonic level sensor,
transmitter and totalizer at the Concord West Metering Manhole.
• The Computerized Maintenance Management System, DP 6106, purchased and
installed a software system, "Mainsaver" to assist plant personnel in the management
of maintenance activities. This included work order processing, preventive
maintenance, spare parts information, and equipment repair history. The software
application was installed on the District's A/S 400 mini - computer and utilizes the same
network as does HTE.
• The Solids Control Room MMI, DP 6114, added two operator control stations to the
furnace control room and all other functions available in the POD control room so that
the shift supervisor could freely operate from either site.
• The Safety Improvements project, DP 6132, installed elevated work access platforms
in the Solids Conditioning Building. This project improved the safe access and working
area for maintenance of the Medusa Valve, the Ash unloading facility, and the Ash
house vacuum filters by installing galvanized steel platforms.
• The Standby Power Facility Hardening project, DP 6138 executed the installation of
facility improvements that were identified subsequent to the catastrophic failure of
number 1 Engine in December, 1998. The improvements include upgraded controls,
additional cooling and installation of hard piping in lieu of hoses.
• The 2400 -Volt Feeder Replacement project, DP 6154, furnished and installed a
replacement 2,400 -volt feeder from Substation to MCC 42A. MCC 42A provides
power and control for the Number 1 Applied Water Pump. The original feeder failed
and could not be repaired.
COLLECTION SYSTEM PROGRAM
• The Collection System Renovation project, DP 5421, included renovation to segments
of sewer main at various location's throughout the District. The work involved spot
repairs, short line segment replacement, manholes and rodding inlet installations. In
addition, a portion of the budget was allocated to handle emergency work and critical
new work, which arose during the year. Renovations were completed at a total of 14
sites throughout the District.
• The Rossmoor Sewer Improvements - Phase 6 project, DP 5423, was part of an
agreement to take over maintenance of private sewer mains within the Rossmoor
community. The Phase 6 project work consisted of main replacement, spot repairs on
existing mains, manholes, and rodding inlet installation.
2/13/02
U: \PPR \Bertera \JJMCLOSEOUTOF1 1 CIPSREV2.WPD Page 4 of 5
ATTACHMENT 2 (cont)
• The Hartz Avenue Slide project, DP 5451, involved relocating 120 feet of 30 -inch
trunk sewer, 60 feet of which was bored and jacked under an existing building. The
old 30 -inch trunk line, which ran along the bank of the San Ramon Creek, had
considerable settlement caused by past winter rains. A geotechnical report indicated
that further deterioration of the creek bank could potentially result in failure of the
trunk line. In addition to relocating the trunk line, a 90 foot sub -grade pier retaining
wall was constructed to protect the new sewer and existing structures.
• The San Ramon Pump Station Landscaping project, DP 6128, installed interim
landscape and security improvements to address neighborhood concerns. Permanent
improvements will be completed as part of the San Ramon Pump Station
Improvements project, DP 5460.
GENERAL IMPROVEMENTS PROGRAM
• The Communication Upgrade -4737 Imhoff project, DP 8188, installed fiberoptic
network cabling from the District's equipment installed in the Household Hazardous
Waste Collection Facility to the District's light industrial building at 4737 Imhoff Place
to provide for high speed data transmission. This project provided a reliable fast and
expandable communication link from the District's main telephone room, MIS network
servers, and the Records Management Program main computer to the District's
Records Center and Source Control facilities located at 4737 Imhoff Place.
2/13/02
U: \PPR \Bertera \JJMCLOSEOUTOFI 1 CIPSREV2.WPD Page 5 of 5
Central Contra Costa Sanitary District
' BOARD OF DIRECTORS
POSITION PAPER
Board Meeting Date: February 21, 2002 No.: 4. b. CONSENT CALENDAR
Type of Action: INFORMATIONAL
subject: ADVISE THE BOARD OF THE CLOSE OUT OF THE LAFAYETTE SEWER
RENOVATIONS PROJECT, PHASE 1 (D.P. 5465)
Submitted By: Initiating Dept ✓Div.:
Alex Rozul Engineering /Capital Projects
REVIEWED AND RECOMMENDED FOR BOARD ACTION.
«g
m6 - -
A. Rozul ilecki W. Brennan A. arrell Char es . tts,
General Manage
ISSUE: All work has been completed on Lafayette Sewer Renovation Project (D.P. 5465)
and this project can now be closed out.
RECOMMENDATION: Close out the project
FINANCIAL IMPACTS: This close out will result in $235,291 being returned to the
Collection System Program. Attachment 1 shows the project expenditures by category.
BACKGROUND: The Lafayette Sewer Renovation Project Phase 1, DP 5465, consisted
of replacing approximately 5,200 feet of deteriorating sewers within residential streets.
The sewer construction was coordinated with a City of Lafayette street renovation
project within the same area and staff negotiated with the City a cost sharing agreement
for pavement restoration. A similar cost sharing agreement was negotiated with the
Mountain View Road Owners Association. The coordination of work and cost sharing
agreements minimized the overall construction impacts to residents and reduced the total
pavement restoration costs for both agencies. The contractor, McNamara and Smallman,
Inc., commenced work on May 15, 2000. All contract work was completed and accepted
by the Board on October 5, 2000.
The original construction contract amount was $642, 944. One construction change
order was issued to rehabilitate six (6) manholes in lieu of replacement for the amount of
$6,000. Final adjustments in bid item quantities reduced the total contract value by
$37,662. The resulting total amount paid to McNamara and Smallman was $611,282.
Under the two pavement restoration cost sharing agreements the District compensated
the City $80,000 and the Mountain View Road Owners association $20,000.
2/13/02
Page 1 of 3
POSITION PAPER
Board Meeting Date: February 21, 2002
subject: ADVISE THE BOARD OF THE CLOSE OUT OF THE LAFAYETTE SEWER
RENOVATIONS PROJECT, PHASE 1 (D.P. 5465)
The total authorized budget for the project was $ 1,104,000, which included a
contingency of $129,056. Throughout the project, the contractor worked with staff to
solve construction problems. Potential problems with utility conflicts were identified early
and alignment adjustments made during construction. The contractor was sensitive to
residents' construction issues and responsive to all District requests. As a result of the
contractor's cooperativeness, the project was completed early and under budget.
The total project cost was $868,709, which is approximately 21 percent less than the
budgeted amount. The project close out will result in $235,291 being returned to the
Collection System Program.
RECOMMENDED BOARD ACTION: This item is presented to the Board of Directors for
information. No action is necessary
2/13/02
Page 2 of 3
ATTACHMENT 1
EXPENDITURE SUMMARY
LAFAYETTE SEWER RENOVATION PROJECT (DP 5465)
ACTIVITY
COST
Total Budget
$1,104,000
Construction Contracts (includes pavement restoration agreements)
$705,282
Change Orders
$6,000
Change Orders % of Construction
<1%
Total Construction Amount
$711,282
Engineering, Design, CM, Admin
$157,427
Engineering, Design, CM, Admin - % of Construction
22%
TOTAL PROJECT EXPENDITURES
$868,709
TOTAL RETURN TO COLLECTION SYSTEM PROGRAM
$235,291
2/13/02
Page 3 of 3
Central Contra Costa Sanitary District
` BOARD OF DIRECTORS
POSITION PAPER
Board Meeting Date: February 21, 2002 No.: 4.c. CONSENT CAUNDAR
Type of Action: APPROVAL
subject: ATTENDANCE AT VEHICLE MAINTENANCE MANAGEMENT CONFERENCE AND
FLEET MANAGEMENT WORKSHOPS BY FIELD OPERATIONS SUPERINTENDENT DON
RHOADS AND VEHICLE AND EQUIPMENT MAINTENANCE SUPERVISOR RICHARD
BOYLAN.
Submitted By:
John C. Pearl
Initiating Dept. /Div.:
Operations /Collection System Operations
REVIEWED AND RECOMMENDED FOR BOARD ACTION:
-JC P 11_4 K
1,1 J. Pearl J. Kelly
Charles W. Batt
General Mana r
ISSUE: Board approval is required for travel outside the State of California and for training
over $1,000 if not specifically approved in the annual budget.
RECOMMENDATION: Approve the attendance of Field Operations Superintendent Don
Rhoads and Vehicle and Equipment Maintenance Supervisor Richard Boylan at the Vehicle
Maintenance Management Conference and pre- conference workshops sponsored by and
held at the University of Washington in Seattle, Washington, from Friday, March 22,
through Thursday, March 28, 2002.
FINANCIAL IMPACTS: Registration for the conference and workshops is $2,130. The
estimated total cost is $4,200. Funds are available in the Collection System Operations
Division 2001/2002 account for Technical Training, Conferences and Meetings.
ALTERNATIVES /CONSIDERATIONS: Attend fewer pre- conference workshops, send fewer
personnel or send no one.
BACKGROUND: The District has a substantial investment in its vehicle and equipment fleet
and in the maintenance shop which supports it. The estimated replacement value of the
fleet is $3.5 million. The conference and workshops provide valuable training on subjects
such as vehicle fleet management (which focuses on life cycle costing, specification
development and strategies for improving the management of these assets) and effective
shop management (including work scheduling, productivity control, use of new vs. rebuilt
parts, budget preparation and other topics).
The District has more than 90 vehicles and many pieces of construction equipment that
are serviced by the Vehicle and Equipment Maintenance Shop and managed by Field
2/14/02
CSO /C: \WINDOWS \TEMP \fleetrng.wpd Page 1 of 2
POSITION PAPER
Board Meeting Date: February 21, 2002
subject: ATTENDANCE AT VEHICLE MAINTENANCE MANAGEMENT CONFERENCE AND
FLEET MANAGEMENT WORKSHOPS BY FIELD OPERATIONS SUPERINTENDENT DON
RHOADS AND VEHICLE AND EQUIPMENT MAINTENANCE SUPERVISOR RICHARD
BOYLAN.
Operations Superintendent Don Rhoads and Vehicle and Equipment Maintenance
Supervisor Richard Boylan. They also manage the Shop itself, which was expanded and
moved several years ago due to the Caltrans Freeway Overpass project. Mr. Rhoads was
hired as a Field Operations Superintendent in October 2000, and while his experience in
water distribution and wastewater collection is substantial, his experience in fleet
management is considerably less. In January 2001, Mr. Boylan was promoted to the
position of Vehicle and Equipment Maintenance Supervisor, and although he has a great
deal of experience in physically maintaining fleets, he lacks management experience and
can benefit from the instruction and information exchange available at the conference and
workshops. The value of the District's fleet and the reliability demanded of it mandate a
modern management approach. Attendance at this annual West Coast conference is part
of this plan.
RECOMMENDED BOARD ACTION: Approve the attendance of Field Operations
Superintendent Don Rhoads and Vehicle and Equipment Maintenance Supervisor Richard
Boylan at the Vehicle Maintenance Management Conference and pre- conference
workshops in Seattle, Washington, March 22 - 28, 2002.
2/14/02
CSO /C: \WINDOWS \TEMP \fleetrng.wpd Page 2 of 2
'A
�D
cr
C
N
N
O
O
N
O
0)
MT
a
v
Mi
m
m
O
I
c
r-t
O
N
O
r
rot
WA
C)
1�1
0
C
P'f
EP
CD
00
rt
0
0
0
0
0-
c
c
c
c
Lo
O
O
O
4,-q-
-bq-
CJ1
N
N
(D
C)
<
U,.000
O°o
°o
o'
O
n
-O
:3
O
CD
U)
O
-0
(D
�-
o
rt
�".
o�.
c°
(D
o
a)
=3
C
�
n
�
o
r..r.
�,
cn
rt
O
3
rt
V)
`C O
3
O Q.
rr _0 70
r•r H
CL
a
=-
CL
n
o �
� � a
�- -I
-. O
7v
N
o cu
000 O
r-r
o' Z
r
n1�■�■1
a a I =q
O
1 1 I 0- F-L
c-•t 00 lo*�
—u5,- > m m cn c O 1*14 '_� _0
C) U) C. oC.
W
o -0 -Uc�- _0
0 0
3 o° o m
° = - o-
> o-)O -.c:
0- O M CD
p CD CD O c-r
C:) O `�G r�•t• O
o 3 �• r-r
o� � ono O o
� I
70
0 n - p N iD .
Ln
s. O C: �.
rr -' O O - •
Lo M Q7
CD _0
n
c
7v
70
rn
Z
=q
n
00
a
c
z
0
X
N
O
Z
r
3
— 61-V dID 100i/8ID £0 -ZOOZ PLIL 20-1007 {d
sn'ouum luawlledaQ Xq apew XisnoInald suonsaolle unuanO laafold Xq paanpanls
1aslluoa uo►1an11suoa3o plsMs3O awn is paystlgelsa st 13i3pnq laafold lsui3b
lunoaoe X3ua2unuo3 welgold olgeaildde agl3o aaueleq 2ummw agl Xq p3l!w► -1£
lunoaan Aauaounuoo pus laii pnq welgold algealldds ag13o saausleq Suiuiewal ayl Xq paliuti-lz
swsl�?old 1aleM palaAaa -1 pue `sluawanoldwl Islau30 `walsXS U011aallOJ `lUeld luawle311,
(palinba,l
laded uO►llsOd
u011ad pleog
InuOIleu.uojul) uo'latl
1ot1d palnnba -{ ION
auON
laafold lno -oso10
p1e08 1011d peH
aneH gaigM slaafold
aneH golgM slaafold
laSpng leui,d
S.q.£lai?png
000`01 $ 3o wnwixuW
e 10 8
sun11an0 p5png
3O %91 ueg11a1ua10
laafold leul d 30 %S I
uul qJ
laafold leu�,y 30 %S
laafold 103 spun,d aleool lV
slun000y
aouelsg pun,d
algeailddd loN
algeailddd loN
Xoua�3utluo0 /sl38png
wR1201d of spun,d
uoilonilsuo0 laMaS
leluawalddnS oziloglnd
000`S$ uegl lale3l0
ssa-110 000`5$
auoN
Xouo2ulluo0 luawdinbg
slunooad
ADWOulluo0 we1SO1d
000`52$ uegl laleal0
,laafold
lad ssa-110 000`SZ$
000`01$
wo13 slaafold Ienpinipul
of spun3 aleoolly
s13p10 o2ueg0
000`09$ uegl 131e310
ss3-110 000`05$
ssa"I 10 000`01$
uotlorulsuo0 aztloglny
000`5 Is ueq,L nleal0
ssa-110 000`S I $
auON
sloelluoo
U011anllSUOD p1eMd
000`09$ ueq,l, laleal0
sso-I 10 000`05$
ssa-1 10 000`SZ$
sluawpuawd 1sl3elluo0
luellnsuo0 aziloglny
pallnba2l
ZAoua2ulluo0 snld
ssa�l 10 000 SZ$
slaafold p0png lenp!nIpul
uollezilo In o
g d N
lad n we1SO1 M0
P 8 dI .L
of s un aleao
P d lId
sla�pn g
ltwi� ol�N
auoll
auol\MISO'd
lel►de0 aziloglnV
11wi -1 ON
3UON
auON
ueld lel►de0 anolddd
S2IO LJ�2[Ia
E39VNVK
HO,LDIHIa
NOI.L3d
30 Q2id08
llvld3N30
.LN3w LHvdga
.LIWIZ NOIJ VZRIOHIfIV
WV-dDONd J N3WgA02idWI -Id LIdVD
0
�=3
0- cli
Q
E; 0-
m3
o rD
a. cn
Ln
�o
Ln °
o°
o°
o3
oC:
En
c�
r
3
�rn
C
G)3
rn�
�rn
7v =
rn�
�O
O 7v
�n
Cr
o �v
arm
o
0
X Z
40 mn
3
0
0
�3
3
-0
M
-0
�
(D
o
C
n
�o
I
ul
C:
rt
�
e
o.
r*
3
n
o=
x
3
�
�
n
� .
a t'
o
0
Ln
ul
C)
FD
o
C)
'
o
...h
o
r
3
�rn
C
G)3
rn�
�rn
7v =
rn�
�O
O 7v
�n
Cr
o �v
arm
o
0
X Z
40 mn
0 0 0
-0 ( rn =
O n n
co 3
°o c �tw
o w 07
�3o
C: Q
�•_
x
�-
n
r-t- r-r � CAD �
77 � o
CJ1 Ln
O
O aJ CO <,
O
O
. C:
ai
o
C: 3
r--l- n
co D
o
o �-
CL
3
ii
z
c�
H
C
rn
o 0
c-01-
Cl- (,q
0- o
cD
0
C)
�o
o�
n
0
0
r z
O
� o
rn
� X
n
0
0
0
1
-fzplr
Lri
0
0
0
0
F)"
cD
Uia
r10
•
07
rt
0
0
-0
cD
0
ai
CL
•
u
r)
0
z
0
r-
TI
O
70
A
O
Z
C
a
z
Mi
ii
0
z
A
'0
O
w
W
r
rn
a
c
z
0
�v
r
H
3
a
rm
�l
rn
70
Z
a
rn
* —n
0 0
0'
cD O
O
-Uc�- O
F" O
Ln O
00
O�
O �
rat
0
4z
0
CD
= z
^H
IJ 1 rt
= o
M
7� x
r)
cD
cD
r
0
0
6
Un
O
O
O
0
CD
(D
0
C)
O
O'
0
cD
O
CD
O
X
m
r
m
X_
s
mn
0
ii
0
z
c
r
a
z
�i
A
O
Z
n
0
H
r
rn
a
c
x
0
p
M
�j
S
I"
w
3
r
�l
rn
70
Z
a
rn
ul
rn
Z
n
2
3
a
�o
z
G)
TI
m
Z
v
z
G)
(A
iii
-n
C7
(D
0
a)
0
CD
l J
o
<
�..
<
O
(D
�_
0
(11
:3
LC)
CD
11
O
4;0�
=3
--T
FT
0
0
0:
ti
(n
LO
7a
;;;�
CD
�,
r*.
o
r--r
°
c=
�
=3
o
Q.
n
�-r'
0
-h
0
o
n
0
—
0
..
C7
I
app
(D
3�
n,
Lo
-
�
C
(�
0
.
cn
C:
=r
Q
CD
�
(p
r
0
_
�Ln
m
D
•
'
=3
r-11
O
=
cQ
Ln
�-
0
fl,
CD
F"
0
—
0
�.
C)
�
nn
- °o
c
-Z
o
<
=o
—h
CD
rn
Z
n
2
3
a
�o
z
G)
TI
m
Z
v
z
G)
(A
•
C C
= C
070
;arn
P--4 0
D
�-An
0
Z Cn
1-40
3 Z
Lr)�
D
0
0
70
rn
U)
rn
C
r
r
D
z
rn
O
rn
U)
D
rn
rn
N
r
rn
X
r
-i
O
rn
O
O
Z
rn
D
n
n
O
C
z
D
O
vo
0
D
70
00
D
rD
Z
(7
m
O
0
rn
n
Cn
O
Z
•
D
D
C
O
N
O
z
D
7v
rn
O
D
-v
O
r
n
c
3
3
a
Central Contra Costa Sanitary District
' BOARD OF DIRECTORS
POSITION PAPER
Board Meeting Date: February 21, 2002 No.: 7.a. REAL PROPERTY
Type of Action: Authorize Agreement Modification
subject. AUTHORIZE THE GENERAL MANAGER TO EXECUTE A LEASE AGREEMENT
MODIFICATION WITH CONTRA COSTA COUNTY FOR THE ANIMAL SERVICES
FACILITY.
Submitted By, .
Randall M. Musgraves
Initiating Dept/Div.:
Administration
REVIEWED AND RECOMMENDED FOR BOARD ACTION.
V. Lamica R.,Ausgofies
General Manager
ISSUE: The Board of Directors' approval, authorizing the General Manager to execute the
agreement modifications, is requested to modify the current lease with Animal Services
Department, Contra Costa County.
RECOMMENDATION: Authorize the General Manager to execute the proposed lease
agreement modifications with Contra Costa County for the Animal Services facility.
FINANCIAL IMPACTS: The monthly lease amount of $5,800 was to be increased to $23,200
on November 4, 2002. The District could lose up $261,000 if the County stayed the full
additional year as requested for completion of their new facility. This amount would be offset
by the County's willingness to pay for the demolition and removal of unwanted structures from
the site, valued at approximately $75,000. The total financial impacts are difficult to estimate
due to the ambiguous nature of the demolition and the potential negative impact to the District
if the County became uncooperative in other areas. The more important issue is the likely strain
between the two agencies created by enforcing the current agreement.
ALTERNATIVES /CONSIDERATIONS: Options include enforcing the current agreement or
negotiating an increase in the lease amount greater than the $5,800 but less than the $23,200.
The third option is the recommended option of obtaining some financial benefit for the lease
agreement extension, without appearing unfairly opportunistic.
BACKGROUND: The Animal Services facilities and property was purchased by the District as
buffer property in 1999. The District currently has a lease agreement with Contra Costa County
for the Animal Services facility. The agreement was executed on November 2, 1999 with the
Animal Services to move by November 4, 2002, prior to significant lease rate increases. The
County Animal Services Department had planned to open a new facility during the summer of
2002. The County Board of Supervisors recently approved these new facilities after resolving
design and funding issues. The County and District have had discussions concerning the
feasibility of a one year lease extension at the current rate to November 4, 2003.
The County is currently leasing the property from the District for $5,800 per month. The lease
was structured to provide a penalty to the County if Animal Services stayed longer than the
2/14/02 Page 1 of 3
POSITION PAPER
Board Meeting Date: February 21, 2002
subject. AUTHORIZE THE GENERAL MANAGER TO EXECUTE A LEASE AGREEMENT
MODIFICATION WITH CONTRA COSTA COUNTY FOR THE ANIMAL SERVICES
FACILITY
three years. The purpose of the lease rate escalation or penalty to the monthly rate of $23,200
from November 5, 2002, and $29,000 from February 5, 2003, was simply to provide the County
with an incentive to move in a timely manner. The District has no plans for the use of the
facility which would be negatively impacted by the lease extension. The County has agreed to
pay for the demolition and removal of any unwanted structures at the site upon vacating the
premises. These activities were not part of the original lease agreement and are estimated in
today's dollars at approximately $75,000.
Initially, the County planned to consolidate all animal shelter operations in the new animal
shelter in Martinez, thereby allowing the closure of the fifty year old animal shelter facilities in
both Martinez and Pinole while substantially reducing operating costs. This plan was rejected
by the Board of Supervisors in April 2001 in response to the outcry of West County residents
who strongly advocated for the continuation of a shelter program in that portion of the county.
Finding a solution to this problem led to considerable delays in the planning and design for the
Martinez facility project, while developing a smaller satellite shelter in Pinole in a way that was
still cost - effective. The entire construction bid package, as well as the land swap with Pinole,
was approved by the Board of Supervisors at their February 5, 2002 meeting. Bids will be
opened in mid - March, with an expectation of award on April 23, 2002. This should allow the
County to construct the Martinez facility and allow relocation by November 2003.
The District has always attempted to develop and maintain good relations with its neighboring
cities, agencies and the County. The new County Administrator, Mr. John Sweeten, and the
District's General Manager have been meeting in an effort to strengthen that relationship.
There are many important areas where the County and the District can become important allies
to the benefit of the general public. Staff views this agreement modification as a positive
statement in partnering with the County Animal Services Department and developing a mutually
beneficial solution. The new facility will be located at Imhoff Way, just north of the District and
will be serviced by recycled water for its landscape. Other current partnering activities with the
County include:
• Joint Global Positioning System (GPS) survey
• Right -Of -Way Agreements for District sewer projects
• One stop permitting services for both agencies
• Access and agreements with County Flood Control
• Base map data conversion project saving the District approximately $400,000
• Joint Powers Agreement for Digital Ortho photographs saving the District
approximately $200,000
• Movement of the Right -Of -Way on the Iron Horse Trail
2/14/02 Page 2 of 3
POSITION PAPER
Board Meeting Date: February 21, 2002
subject AUTHORIZE THE GENERAL MANAGER TO EXECUTE A LEASE AGREEMENT
MODIFICATION WITH CONTRA COSTA COUNTY FOR THE ANIMAL SERVICES
FACILITY
In addition, the District is currently working or will be working with the County on:
Possible radio communications system improvements
Coordination of public works projects
Sewer Service Charge automation improvements for billing on the Property Tax
Roll
Again, staff believes that this lease agreement modification will significantly benefit the District
through demolition and removal cost savings at the site and improved cooperation between the
two agencies.
RECOMMENDED BOARD ACTION: Authorize the General Manager to execute the proposed
agreement modification providing Contra Costa County a one year extension at the current
lease rate for the Animal Services facility and providing for disposal and removal costs to be
paid for by the County.
2/14/02 Page 3 of 3
Central Contra Costa Sanitary District
l BOARD OF DIRECTORS
POSITION PAPER
Board Meeting Date: February 21, 2002 No•: 11.a. BUDGET AND FINANCE
Type of Action: APPROVE RESOLUTION
Sub /ect: APPROVE A BOARD RESOLUTION TO ADOPT THE REVISED SECTION 457
DEFERRED COMPENSATION PLAN DOCUMENT
Submitted By: Initiating DeptJDiv.:
Debbie Ratcliff, Controller Administrative /Finance & Accounting
REVIEWED AND RECOMMENDED FOR BOARD ACTION.
D. Ratcliff R Mus raves
General
ISSUE: Board authorization is needed to adopt the revised Section 457 Deferred
Compensation Plan Document.
RECOMMENDATION: Approve a Board Resolution adopting the revised Section 457
Deferred Compensation Plan Document.
FINANCIAL IMPACTS: None
ALTERNATIVES /CONSIDERATIONS• Based on the "Economic Growth and Tax Relief
Reconciliation Act of 2001," the District is required to revise the Section 457 Deferred
Compensation Plan Document.
BACKGROUND: The District established a Section 457 Deferred Compensation Plan
covering all full -time employees in January 1976. The Plan is administered by the
District's Deferred Compensation Plan Advisory Committee.
On June 7, 2001, President Bush signed into law the "Economic Growth and Tax Relief
Reconciliation Act of 2001." This law established several provisions which have major
impact on certain features of our Section 457 Deferred Compensation Plan Document
effective January 1, 2002.
2/8/02
S:\ ADMIN\ POSPAPER \457DefComp.02.21.02pp.wpd Page 1 of 25
POSITION PAPER
Board Meeting Date: February 21, 2002
Subject: APPROVE A BOARD RESOLUTION TO ADOPT THE REVISED SECTION 457
DEFERRED COMPENSATION PLAN DOCUMENT
The following three major areas of reform are included in the revised plan document:
♦ Contributions - Effective January 1, 2002, the 457 Plan contribution limits will be
raised substantially. The dollar contribution limit will be increased over a five -year
period as follows:
Year
Contribution Limit
2002
$11,000
2003
$12,000
2004
$13,000
2005
$14,000
2006
$15,000
After 2006, the limit will be indexed to inflation in $500 increments.
Catch -up limits have also been increased from a maximum of $15,000 to twice the
normal 457 contribution limit in effect for that year, i.e. $22,000 in year 2002 and
$30,000 in year 2006.
A special age 50 catch -up contribution is also allowed under the new law starting at
$1,000 the first year and increasing to $5,000 in year five.
♦ Portability of Account Assets - Effective January 1, 2002, participants will be
allowed to roll most 457 Plan distributions into 401 Plans and traditional IRA's, and
vice versa when they move between jobs in the public, private, nonprofit, and
education sectors. In the past, transfers from 457 Plans were only allowed to be
rolled over to another 457 Plan.
♦ Distributions - In the past, participants had to select a beginning payment date for
distributions within 60 days of leaving employment, with one opportunity to
postpone that date. Also, once distributions commenced, the payment schedule
could not be changed. These limitations have been eliminated as of January 1,
2002. Now, participants can start and stop payments, and change the amounts
received giving more flexibility to their withdrawals as life circumstances change.
2/8/02
S:\ ADMIN\ POSPAPER \457DefComp.02.21.02ppmpd Page 2 of 25
POSITION PAPER
Board Meeting Date: February 21, 2002
subject: APPROVE A BOARD RESOLUTION TO ADOPT THE REVISED SECTION 457
DEFERRED COMPENSATION PLAN DOCUMENT
The attached revised Plan Document was provided by ICMA Retirement Corporation. It
has been reviewed by Lee Trucker from the legal firm of Trucker • Huss who specializes
in benefit law. The other two deferred compensation carriers that the District utilizes (i.e.,
ITT Hartford and National Deferred) have reviewed and approved the plan document as
well.
RECOMMENDED BOARD ACTION: The Deferred Compensation Plan Advisory Committee
recommends that the Board approve a Resolution adopting the revised Section 457
Deferred Compensation Plan Document.
2/13/02
SA ADMIN\ POSPAPER \457DefComp.02.21.02pp.wpd Page 3 of 25
RESOLUTION NO.
A RESOLUTION ADOPTING THE REVISED SECTION 457 DEFERRED
COMPENSATION PLAN DOCUMENT
WHEREAS, the Employer has employees rendering valuable services; and
WHEREAS, the Employer has established a deferred compensation plan for
such employees that serves the interest of the Employer by enabling it to provide
reasonable retirement security for its employees and by assisting in the attraction and
retention of competent personnel; and
WHEREAS, the Employer has determined that the continuance of the deferred
compensation plan will serve these objectives; and
WHEREAS, amendments to the Internal Revenue Code have been enacted that
require changes to the structure of and allow enhancements of the benefits of the
deferred compensation plan:
NOW, THEREFORE, BE IT RESOLVED that the Board of Directors of the Central
Contra Costa Sanitary District hereby amends and restates the Section 457 Deferred
Compensation Plan Document as of January 1, 2002.
PASSED AND ADOPTED this 21St day of February 2002, by the District Board
of the Central Contra Costa Sanitary District by the following vote:
AYES: Members:
NOES: Members:
ABSENT: Members:
President of the Board of Directors
Central Contra Costa Sanitary District
COUNTERSIGNED: County of Contra Costa, State of California
Secretary of Central Contra Costa
Sanitary District, County of Contra
Costa, State of California
Approved as to Form:
Kenton L. Alm
District Counsel
Page 4 of 25
SAADMIWATCLIFRResolution - 457 Deferred Comp 02- 02.wpd
CENTRAL CONTRA COSTA SANITARY DISTRICT
DEFERRED COMPENSATION PLAN
As Amended and Restated Effective January 1, 2002
Article I. Purpose
The Employer hereby establishes the Employer's Deferred Compensation Plan and
Trust, hereafter referred to as the "Plan." The Plan consists of the provisions set forth
in this document.
The primary purpose of this Plan is to provide retirement income and other deferred
benefits to the Employees of the Employer and the Employees' Beneficiaries in
accordance with the provisions of Section 457 of the Internal Revenue Code of 1986,
as amended (the "Code ").
This Plan shall be an agreement solely between the Employer and participating
Employees. The Plan and Trust forming a part hereof are established and shall be
maintained for the exclusive benefit of Participants and their Beneficiaries. No part of
the corpus or income of the Trust shall revert to the Employer or be used for or
diverted to purposes other than the exclusive benefit of Participants and their
Beneficiaries.
Article II. Definitions
2.01 Account: The bookkeeping account maintained for each Participant reflecting the
cumulative amount of the Participant's Deferred Compensation, including any income,
gains, losses, or increases or decreases in market value attributable to the Employer's
investment of the Participant's Deferred Compensation, and further reflecting any
distributions to the Participant or the Participant's Beneficiary and any fees or expenses
charged against such Participant's Deferred Compensation.
2.02 Accounting Date: Each business day that the New York Stock Exchange is open
for trading, as provided in Section 6.06 for valuing the Trust's assets.
2.03 Administrator: The person or persons named to carry out certain nondiscretionary
administrative functions under the Plan, as hereinafter described. The Employer may
remove any person as Administrator upon 60 days' advance notice in writing to such
person, in which case the Employer shall name another person or persons to act as
Administrator. The Administrator may resign upon 60 days' advance notice in writing
to the Employer, in which case the Employer shall name another person or persons to
act as Administrator.
2.04 Automatic Distribution Date: Prior to January 1, 2002, "Automatic Distribution
Date" means the 60th day of the calendar year after the Plan Year of the Participant's
S /Admin /Ratcliff /Plan`rrustBroch — 02- 08- 02.doc ]
Page 5 of 25
Retirement or any other date permitted under the regulations promulgated under Code
section 457. On and after January 1, 2002, "Automatic Distribution Date" means
April 1 of the calendar year after the Plan Year the Participant attains age 70-1/2 or, if
later, has a Severance Event.
2.05 Beneficiary: The person or persons designated by the Participant in his or her
Joinder Agreement who shall receive any benefits payable hereunder in the event of
the Participant's death. In the event that the Participant names two or more
Beneficiaries, each Beneficiary shall be entitled to equal shares of the benefits payable
at the Participant's death, unless otherwise provided in the Participant's Joinder
Agreement. If no beneficiary is designated in the Joinder Agreements if the
Designated Beneficiary predeceases the Participant, or if the designated Beneficiary
does not survive the Participant for a period of fifteen (15) days, then the estate of the
Participant shall be the Beneficiary.
2.06 Deferred Compensation: The amount of Normal Compensation otherwise payable
to the Participant which the Participant and the Employer mutually agree to defer
hereunder, any amount credited to a Participant's Account by reason of a transfer
under Section 6.09, a rollover under Section 6.10, or any other amount which the
Employer agrees to credit to a Participant's Account.
2.07 Dollar Limitation: The applicable dollar amount within the meaning of Section
457(b)(2)(A) of the Code, as adjusted for the cost -of- living in accordance with Section
457(e)(15) of the Code.
2.08 Employee: Any individual who provides services for the Employer, whether as an
employee of the Employer or as an independent contractor, and who has been
designated by the Employer as eligible to participate in the Plan.
Central Contra Costa
2.09 Employer: Sanitary District which is a political subdivision,
agency or instrumentality of the [State /Commonwealth] of Cal i forni a ,
within the meaning of Section 414(d) of the Code and Section 3(32) of the Employee
Retirement Income Security Act of 1974, as amended ( "ERISA ").
2.10 457 Catch -Up Dollar Limitation: Prior to January 1, 2002, "457 Catch -Up Dollar
Limitation" means $15,000. On and after January 1, 2002, "457 Catch -Up Dollar
Limitation" means twice the Dollar Limitation.
2.11 Includible Compensation: The amount of an Employee's compensation from the
Employer for a taxable year that is attributable to services performed for the Employer
and that is includible in the Employee's gross income for the taxable year for federal
income tax purposes as defined in Section 457(e)(5) of the Code; such term does not
include any amount excludable from gross income under this Plan or any other plan
described in Section 457(b) of the Code or any other amount excludable from gross
income for federal income tax purposes. Includible Compensation shall be determined
without regard to any community property laws.
S /Admin /Ratcliff /PlanTrustBroch — 02- 08- 02.doc 2
Page 6 of 25
2.12 Joinder Agreement: An agreement entered into between an Employee and the
Employer, including any amendments or modifications thereof. Such agreement shall
fix the amount of Deferred Compensation, specify a preference among the investment
alternatives designated by the Employer, designate the Employee's Beneficiary or
Beneficiaries, and incorporate the terms, conditions, and provisions of the Plan by
reference.
2.13 Normal Compensation: The amount of Compensation which would be payable to
a Participant by the Employer for a taxable year if no Joinder Agreement were in effect
to defer compensation under this Plan.
2.14 Normal Limitation: The maximum amount of Deferred Compensation for any
Participant for any taxable year (other than amounts referred to in Sections 6.09 and
6.10).
2.15 Normal Retirement Age: Age 70-1/2, unless the Participant has elected an
alternate Normal Retirement Age by written instrument delivered to the Administrator
prior to a Severance Event. A Participant's Normal Retirement Age determines the
period during which a Participant may utilize the 457 Catch -Up Dollar Limitation of
Section 5.02(b) hereunder. Once a Participant has to any extent utilized the catch -up
limitation of Section 5.02(b), his Normal Retirement Age may not be changed.
A Participant's alternate Normal Retirement Age may not be earlier than the earliest
date that the Participant will become eligible to retire and receive unreduced retirement
benefits under the Employer's basic retirement plan covering the Participant and may
not be later than the date the Participant will attain age 70-1/2. If a Participant
continues employment after attaining age 70-1/2, not having previously elected
alternate Normal Retirement Age, the Participant's alternate Normal Retirement Age
shall not be later than the mandatory retirement age, if any, established by the
Employer, or the age at which the Participant actually has a Severance Event if the
Employer has no mandatory retirement age. If the Participant will not become eligible
to receive benefits under a basic retirement plan maintained by the Employer, the
Participant's alternate Normal Retirement Age may not be earlier than age 55 and may
not be later than age 70-1/2.
2.16 Participant: Any Employee who has joined the Plan pursuant to the requirements
of Article IV.
2.17 Percentage Limitation: Prior to January 1, 2002, the Percentage Limitation
means 33 1/3 percent of the participant's Includible Compensation for the taxable
year, which will ordinarily be equivalent to the lesser of the Dollar Limitation in effect
for the taxable year or 25 percent of the Participant's Normal Compensation. After
December 31, 2001, the Percentage Limitation means 100 percent of the participant's
3
S /Admin /Ratcliff /PlanTrustBroch - 02- 08- 02.doc Page 7 of 25
Includible Compensation for the taxable year, which will ordinarily be equivalent to the
lesser of the Dollar Limitation in effect for the taxable year or 50 percent of the
Participant's Normal Compensation.
2.18 Plan Year: The calendar year.
2.19 Retirement: The first date upon which both of the following shall have occurred
with respect to a participant: Severance Event and attainment of age 65.
2.20 Severance Event: Prior to January 1, 2002, severance of the Participant's
employment with the Employer that constitutes a "separation from service" within the
meaning of Section 402(e)(4)(D)(iii) of the Code. After December 31, 2001, a
Severance Event means a severance of the Participant's employment with the
Employer within the meaning of Section 457(d)(1)(A)(ii) of the Code.
In general, a Participant shall be deemed to have experienced a Severance Event for
purposes of this Plan when, in accordance with the established practices of the
Employer, the employment relationship is considered to have actually terminated. In
the case of a Participant who is an independent contractor of the Employer, a
Severance Event shall be deemed to have occurred when the Participant's contract
under which services are performed has completely expired and terminated, there is no
foreseeable possibility that the Employer will renew the contract or enter into a new
contract for the Participant's services, and it is not anticipated that the Participant will
become an Employee of the Employer, or such other events as may be permitted under
the Code.
2.21 Trust: The Trust created under Article VI of the Plan which shall consist of all
compensation deferred under the Plan, plus any income and gains thereon, less any
losses, expenses and distributions to Participants and Beneficiaries.
Article III. Administration
3.01 Duties of the Employer: The Employer shall have the authority to make all
discretionary decisions affecting the rights or benefits of Participants which may be
required in the administration of this Plan. The Employer's decisions shall be afforded
the maximum deference permitted by applicable law.
3.02 Duties of Administrator: The Administrator, as agent for the Employer, shall
perform nondiscretionary administrative functions in connection with the Plan,
including the maintenance of Participants' Accounts, the provision of periodic reports
of the status of each Account, and the disbursement of benefits on behalf of the
Employer in accordance with the provisions of this Plan.
4
S /Admin /Ratcliff /Plan`rrustBroch - 02- 08- 02.doc
Page 8 of 25
Article IV. Participation in the Plan
4.01 Initial Participation: An Employee may become a Participant by entering into a
Joinder Agreement prior to the beginning of the calendar month in which the Joinder
Agreement is to become effective to defer compensation not yet earned, or such other
date as may be permitted under the Code.
4.02 Amendment of Joinder Agreement: A Participant may amend an executed
Joinder Agreement to change the amount of Normal Compensation not yet earned
which is to be deferred (including the reduction of such future deferrals to zero). Such
amendment shall become effective as of the beginning of the calendar month
commencing after the date the amendment is executed, or such other date as may be
permitted under the Code. A Participant may at any time amend his or her Joinder
Agreement to change the designated Beneficiary, and such amendment shall become
effective immediately.
Article V. Limitations on Deferrals
5.01 Normal Limitation: Except as provided in Section 5.02, the maximum amount of
Deferred Compensation for any Participant for any taxable year, shall not exceed the
lesser of the Dollar Limitation or the Percentage Limitation.
5.02 Catch -Up Limitations:
(a) Catch -up Contributions for Participants Age 50 and Over: A Participant who
has attained the age of 50 before the close of the Plan Year, and with
respect to whom no other elective deferrals may be made to the Plan for the
Plan Year by reason of the Normal Limitation of Section 5.01, may enter into
a Joinder Agreement to make elective deferrals in addition to those permitted
by the Normal Limitation in an amount not to exceed the lesser of (1) the
applicable dollar amount as defined in Section 414(v)(2)(B) of the Code, as
adjusted for the cost -of- living in accordance with Section 414(v)(2)(C) of the
Code, or (2) the excess (if any) of (i) the Participant's compensation (as
defined in Section 415(c)(3) of the Code) for the year, over (ii) any other
elective deferrals of the Participant for such year which are made without
regard to this Section 5.02(a). An additional contribution made pursuant to
this Section 5.02(a) shall not, with respect to the year in which the
contribution is made, be subject to any otherwise applicable limitation
contained in Section 5.01 above, or be taken into account in applying such
limitation to other contributions or benefits under the Plan or any other plan.
This Section 5.02(a) shall not apply in any year to which Section 5.02(b)
applies. The provisions of this Section 5.02(a) of the Plan shall only apply
on and after January 1, 2002.
(b) Last Three Years Catch -up Contribution: For each of the last three (3)
taxable years for a Participant ending before his or her attainment of Normal
S /Admin /Ratcliff /Plan`rrustBroch — 02- 08- 02.doc
5
Page 9 of 25
Retirement Age, the maximum amount of Deferred Compensation shall be
the lesser of: (1) the 457 Catch -Up Dollar Limitation, or (2) the sum of (i)
the Normal Limitation for the taxable year, and (ii) the Normal Limitation for
each prior taxable year of the Participant commencing after 1978 less the
amount of the Participant's Deferred Compensation for such prior taxable
years. A prior taxable year shall be taken into account under the preceding
sentence only if (x) the Participant was eligible to participate in the Plan for
such year (or in any other eligible deferred compensation plan established
under Section 457(b) of the Code which is properly taken into account
pursuant to regulations under Section 457), and (y) compensation (if any)
deferred under the Plan (or such other plan) was subject to the Normal
Limitation.
5.03 Other Plans: Notwithstanding any provision of the Plan to the contrary, the
amount excludible from a Participant's gross income under this Plan or any other
eligible deferred compensation plan under Section 457(b) of the Code shall not exceed
the limits set forth in Sections 457(b) and 414(v) of the Code. Prior to January 1,
2002, the limits under Section 457(b) of the Code described in the first sentence of
this Section 5.03 shall be further reduced by any amount excluded from gross income
under Sections 401(k), 402(e)(3), 402(h)(1)(B), and 403(b) of the Code, or any amount
with respect to which a deduction is allowable by reason of a contribution to an
organization described in Section 501(c)(18) of the Code.
Article VI. Trust and Investment of Accounts
6.01 Investment of Deferred Compensation: A Trust is hereby created to hold all the
assets of the Plan for the exclusive benefit of Participants and Beneficiaries, except
that expenses and taxes may be paid from the Trust as provided in Section 6.03. The
trustee shall be the Employer or such other person that agrees to act in that capacity
hereunder.
6.02 Investment Powers: The trustee or the Administrator, acting as agent for the
trustee, shall have the powers listed in this Section with respect to investment of Trust
assets, except to the extent that the investment of Trust assets is directed by
Participants, pursuant to Section 6.05.
(a) To invest and reinvest the Trust without distinction between principal and
income in common or preferred stocks, shares of regulated investment
companies and other mutual funds, bonds, loans, notes, debentures, certificates
of deposit, contracts with insurance companies including but not limited to
insurance, individual or group annuity, deposit administration, guaranteed
interest contracts, and deposits at reasonable rates of interest at banking
institutions including but not limited to savings accounts and certificates of
deposit. Assets of the Trust may be invested in securities that involve a higher
degree of risk than investments that have demonstrated their investment
performance over an extended period of time.
S /Admin/Ratcliff /Plan`rrustBroch — 02- 08- 02.doc 6
Page 10 of 25
(b) To invest and reinvest all or any part of the assets of the Trust in any common,
collective or commingled trust fund that is maintained by a bank or other
institution and that is available to Employee plans described under Sections 457
or 401 of the Code, or any successor provisions thereto, and during the period
of time that an investment through any such medium shall exist, to the extent
of participation of the Plans the declaration of trust of such commonly
collective, or commingled trust fund shall constitute a part of this Plan.
(c) To invest and reinvest all or any part of the assets of the Trust in any group
annuity, deposit administration or guaranteed interest contract issued by an
insurance company or other financial institution on a commingled or collective
basis with the assets of any other 457 plan or trust qualified under Section
401(a) of the Code or any other plan described in Section 401(a)(24) of the
Code, and such contract may be held or issued in the name of the
Administrator, or such custodian as the Administrator may appoint, as agent
and nominee for the Employer. During the period that an investment through
any such contract shall exist, to the extent of participation of the Plan, the
terms and conditions of such contract shall constitute a part of the Plan.
(d) To hold cash awaiting investment and to keep such portion of the Trust in ash
or cash balances, without liability for interest, in such amounts as may from
time to time be deemed to be reasonable and necessary to meet obligations
under the Plan or otherwise to be in the best interests of the Plan.
(e) To hold, to authorize the holding of, and to register any investment to the Trust
in the name of the Plan, the Employer, or any nominee or agent of any of the
foregoing, including the Administrator, or in bearer form, to deposit or arrange
for the deposit of securities in a qualified central depository even though, when
so deposited, such securities may be merged and held in bulk in the name of the
nominee of such depository with other securities deposited therein by any other
person, and to organize corporations or trusts under the laws of any jurisdiction
for the purpose of acquiring or holding title to any property for the Trust, all
with or without the addition of words or other action to indicate that property is
held in a fiduciary or representative capacity but the books and records of the
Plan shall at all times show that all such investments are part of the Trust.
(f) Upon such terms as may be deemed advisable by the Employer or the
Administrator, as the case may be, for the protection of the interests of the Plan
or for the preservation of the value of an investment, to exercise and enforce by
suit for legal or equitable remedies or by other action, or to waive any right or
claim on behalf of the Plan or any default in any obligation owing to the Plan, to
renew, extend the time for payment of, agree to a reduction in the rate of
interest on, or agree to any other modification or change in the terms of any
obligation owing to the Plan, to settle, compromise, adjust, or submit to
arbitration any claim or right in favor of or against the Plans to exercise and
S /Admin /Ratcliff /PlanTrustBroch — 02- 08- 02.doc
7
Page 11 of 25
enforce any and all rights of foreclosure, bid for property in foreclosure, and
take a deed in lieu of foreclosure with or without paying consideration therefore,
to commence or defend suits or other legal proceedings whenever any interest
of the Plan requires it, and to represent the Plan in all suits or legal proceedings
in any court of law or equity or before any body or tribunal.
(g) To employ suitable consultants, depositories, agents, and legal counsel on
behalf of the Plan.
(h) To open and maintain any bank account or accounts in the name of the Plan,
the Employer, or any nominee or agent of the foregoing, including the
Administrator, in any bank or banks.
(i) To do any and all other acts that may be deemed necessary to carry out any of
the powers set forth herein.
6.03 Taxes and Expenses: All taxes of any and all kinds whatsoever that may be
levied or assessed under existing or future laws upon the Plan, or in respect to the
Trust, or the income thereof, and all commissions or acquisitions or dispositions of
securities and similar expenses of investment and reinvestment of the Trust, shall be
paid from the Trust. Such reasonable compensation of the Administrator, as may be
agreed upon from time to time by the Employer and the Administrator, and
reimbursement for reasonable expenses incurred by the Administrator in performance
of its duties hereunder (including but not limited to fees for legal, accounting,
investment and custodial services) shall also be paid from the Trust.
6.04 Payment of Benefits: The payment of benefits from the Trust in accordance
with the terms of the Plan may be made by the Administrator, or by any custodian or
other person so authorized by the Employer to make such disbursement. The
Administrator, custodian or other person shall not be liable with respect to any
distribution of Trust assets made at the direction of the Employer.
6.05 Investment Funds: In accordance with uniform and nondiscriminatory rules
established by the Employer and the Administrator, the Participant may direct his or
her Accounts to be invested in one (1) or more investment funds available under the
Plan; provided, however, that the Participant's investment directions shall not violate
any investment restrictions established by the Employer. Neither the Employer, the
Administrator, nor any other person shall be liable for any losses incurred by virtue of
following such directions or with any reasonable administrative delay in implementing
such directions.
6.06 Valuation of Accounts: As of each Accounting Date, the Plan assets held in
each investment fund offered shall be valued at fair market value and the investment
income and gains or losses for each fund shall be determined. Such investment
income and gains or losses shall be allocated proportionately among all Account
balances on a fund -by -fund basis. The allocation shall be in the proportion that each
S /Admin/Ratcliff /PlanTrustBroch — 02- 08- 02.doc
Page 12 of 25
such Account balance as of the immediately preceding Accounting Date bears to the
total of all such Account balances as of that Accounting Date. For purposes of this
Article, all Account balances include the Account balances of all Participants and
Beneficiaries.
6.07 Participant Loan Accounts: Participant Loan Accounts shall be invested in
accordance with Section 8.03 of the Plan. Such Accounts shall not share in any
investment income and gains or losses of the investment funds described in Sections
6.05 and 6.06.
6.08 Crediting of Accounts: The Participant's Account shall reflect the amount and
value of the investments or other property obtained by the Employer through the
investment of the Participant's Deferred Compensation pursuant to Sections 6.05 and
6.06. It is anticipated that the Employer's investments with respect to a Participant
will conform to the investment preference specified in the Participant's Joinder
Agreement, but nothing herein shall be construed to require the Employer to make any
particular investment of a Participant's Deferred Compensation. Each Participant shall
receive periodic reports, not less frequently than annually, showing the then current
value of his or her Account.
6.09 Transfers:
(a) Incoming Transfers: A transfer may be accepted from an eligible deferred
compensation plan maintained by another employer and credited to a
Participant's Account under the Plan if (i) the Participant has had a
Severance Event with that employer and become an Employee of the
Employer, and (ii) the other employer's plan provides that such transfer will
be made. The Employer may require such documentation from the
predecessor plan as it deems necessary to effectuate the transfer in
accordance with Section 457(e)(10) of the Code, to confirm that such plan
is an eligible deferred compensation plan within the meaning of Section
457(b) of the Code, and to assure that transfers are provided for under such
plan. The Employer may refuse to accept a transfer in the form of assets
other than cash, unless the Employer and the Administrator agree to hold
such other assets under the Plan.
Any such transferred amount shall not be treated as a deferral subject to the
limitations of Article V, except that, for purposes of applying the limitations
of Sections 5.01 and 5.02, an amount deferred during any taxable year
under the plan from which the transfer is accepted shall be treated as if it
has been deferred under this Plan during such taxable year and compensation
paid by the transferor employer shall be treated as if it had been paid by the
Employer.
(b) Outgoing Transfers: An amount may be transferred to an eligible deferred
compensation plan maintained by another employer, and charged to a
S /Admin /Ratcliff /PlanTrustBroch — 02- 08- 02.doc
9 Page 13 of 25
Participant's Account under this Plan, if (i) the Participant has a Severance
Event with the Employer and becomes an employee of the other employer,
(ii) the other employer's plan provides that such transfer will be accepted,
and (iii) the Participant and the employers have signed such agreements as
are necessary to assure that the Employer's liability to pay benefits to the
Participant has been discharged and assumed by the other employer. The
Employer may require such documentation from the other plan as it deems
necessary to effectuate the transfer, to confirm that such plan is an eligible
deferred compensation plan within the meaning of Section 457(b) of the
Code, and to assure that transfers are provided for under such plan. Such
transfers shall be made only under such circumstances as are permitted
under Section 457 of the Code and the regulations thereunder.
6.10 Eligible Rollover Distributions:
(a) Effective Date: This Section 6.10 is effective January 1, 2002.
(b) Incoming Rollovers: An eligible rollover distribution may be accepted from an
eligible retirement plan maintained by another employer and credited to a
Participant's Account under the Plan. The Employer may require such
documentation from the distributing plan as it deems necessary to effectuate
the rollover in accordance with Section 402 of the Code and to confirm that
such plan is an eligible retirement plan within the meaning of Section
402(c)(8)(B) of the Code. The Plan shall separately account for eligible
rollover distributions from any eligible retirement plan that is not an eligible
deferred compensation plan described in Section 457(b) of the Code
maintained by an eligible governmental employer described in Section
457(e)(1)(A) of Code.
(c) Outgoing Rollovers: Notwithstanding any provision of the Plan to the
contrary that would otherwise limit a distributee's election under this
Section, a distributee may elect, at the time and in the manner prescribed by
the Administrator, to have any portion of an eligible rollover distribution paid
directly to an eligible retirement plan specified by the distributee in a direct
rollover.
(d) Definitions:
(1) Eligible Rollover Distribution: An eligible rollover distribution is any
distribution of all or any portion of the balance to the credit of the
distributee, except that an eligible rollover distribution does not include:
any distribution that is one of a series of substantially equal periodic
payments (not less frequently than annually) made for the life (or life
expectancy) of the distributee or the joint lives (or joint life expectancies)
of the distributee and the distributee's designated beneficiary, or for a
specified period of ten years or more; any distribution to the extent such
S /Admin/Ratcliff /PlanTrustBroch — 02- 08- 02.doc 10
Page 14 of 25
distribution is required under Sections 401(a)(9) and 457(d)(2) of the
Code; and any distribution made as a result of an unforeseeable
emergency of the employee. For purposes of distributions from other
eligible retirement plans rolled over into this Plan, the term eligible rollover
distribution shall not include the portion of any distribution that is not
includible in gross income (determined without regard to the exclusion for
net unrealized appreciation with respect to employer securities).
(2) Eligible Retirement Plan: An eligible retirement plan is an individual
retirement account described in Section 408(a) of the Code, an individual
retirement annuity described in Section 408(b) of the Code, an annuity
plan described in Sections 403(a) or 403(b) of the Code, a qualified trust
described in Section 401(a) of the Code, or an eligible deferred
compensation plan described in Section 457(b) of the Code which is
maintained by an eligible governmental employer described in Section
457(e)(1)(A) of the Code, that accepts the distributee's eligible rollover
distribution.
(3) Distributee: A distributee includes an employee or former employee. In
addition, the employee's or former employee's surviving spouse and the
employee's or former employee's spouse or former spouse who is the
alternate payee under a qualified domestic relations order, as defined in
Section 414(p) of the Code, are distributees with regard to the interest of
the spouse or former spouse.
(4) Direct Rollover: A direct rollover is a payment by the plan to the eligible
retirement plan specified by the distributee.
6.11 Trustee -to- Trustee Transfers to Purchase Permissive Service Credit: All or a
portion of a Participant's Account may be transferred directly to the trustee of a
defined benefit governmental plan (as defined in Section 414(d) of the Code) if such
transfer is (A) for the purchase of permissive service credit (as defined in Section
415(n)(3)(A) of the Code) under such plan, or (B) a repayment to which Section 415 of
the Code does not apply by reason of subsection (k)(3) thereof, within the meaning of
Section 457(e)(17) of the Code.
6.12 Treatment of Distributions of Amounts Previously Rolled Over From 401(a) and
403(b) Plans and IRAs. For purposes of Section 72(t) of the Code, a distribution from
this Plan shall be treated as a distribution from a qualified retirement plan described in
Section 4974(c)(1) of the Code to the extent that such distribution is attributable to an
amount transferred to an eligible deferred compensation plan from a qualified
retirement plan (as defined in Section 4974(c) of the Code).
6.13 Deemed IRAs: Effective for Plan Years beginning after December 31, 2002, the
Employer may elect to allow Employees to make voluntary employee contributions to a
separate account or annuity established under the Plan that complies with the
S /Admin /Ratcliff /PlanTrustBroch — 02- 08- 02.doc 11
Page 15 of 25
requirements of Code section 408(q) and any regulations promulgated thereunder.
Such accounts or
annuities shall meet the applicable requirements of Code sections 408 or 408A and
shall be treated as an individual retirement plan that is not part of the Plan.
6.14 Employer Liability: In no event shall the Employer's liability to pay benefits to a
Participant under this Plan exceed the value of the amounts credited to the
Participant's Account; neither the Employer nor the Administrator shall be liable for
losses arising from depreciation or shrinkage in the value of any investments acquired
under this Plan.
Article VII. Benefits
7.01 Retirement Benefits and Election on Severance Event:
(a) General Rule: Except as otherwise provided in this Article VII, the
distribution of a Participant's Account shall commence as of a Participant's
Automatic Distribution Date, and the distribution of such benefits shall be
made in accordance with one of the payment options described in Section
7.02. Notwithstanding the foregoing, but subject to the following
paragraphs of this Section 7.01, the Participant may elect following a
Severance Event to have the distribution of benefits commence on a fixed
determinable date other than that described in the preceding sentence, but
not later than April I of the year following the year of the Participant's
Retirement or attainment of age 70-1/2, whichever is later. Prior to January
1, 2002, an election made pursuant to the preceding sentence shall not be
valid unless such election is made not less than 30 days prior to the date
that the distribution of a Participant's Account would otherwise commence.
(b) Additional Delay in Distribution: The Participant may elect to defer the
commencement of distribution of benefits to a fixed determinable date later
than the date provided in Section 7.01(a), but not later than April 1 of the
year following the year of the Participant's retirement or attainment of age
70-1/2, whichever is later, provided, however, that in the case of elections
made prior to January 1, 2002, (a) such election is made after the 61st day
following the Participant's Severance Event and before commencement of
distributions, (b) the Participant may only make only one (1) such election,
and (c) such election is made not less than 30 days prior to the date the
distribution of a Participant's Account would otherwise commence.
Notwithstanding the foregoing, the Administrator, in order to ensure the
orderly administration of this provision, may establish a deadline after which
such election to defer the commencement of distribution of benefits shall not
be allowed.
(c) Loans: Notwithstanding the foregoing provisions of this Section 7.01, no
election to defer the commencement of benefits after a Severance Event
S /Admin/Ratcliff /Plan`rrustBroch — 02- 08- 02.doc
12
Page 16 of 25
shall operate to defer the distribution of any amount in the Participant's Loan
Account in the event of a default of the Participant's loan.
7.02 Payment Options: As provided in Sections 7.01, 7.04 and 7.05, a Participant
may elect to have value of the Participant's Account distributed in accordance with
one of the following payment options, provided that such option is consistent with the
limitations set forth in Section 7.03.
(a) Equal monthly, quarterly, semi - annual or annual payments in an amount
chosen by the Participant, continuing until his or her Account is exhausted;
(b) One lump -sum payment;
(c) Approximately equal monthly, quarterly, semi - annual or annual payments,
calculated to continue for a period certain chosen by the Participant.
(d) Annual Payments equal to the minimum distributions required under Section
401(a)(9) of the Code, including the incidental death benefit requirements of
Section 401(a)(9)(G), over the life expectancy of the Participant or over the
life expectancies of the Participant and his or her Beneficiary.
(e) Payments equal to payments made by the issuer of a retirement annuity
policy acquired by the Employer.
(f) A split distribution under which payments under options (a), (b), (c) or (e)
commence or are made at the same time, as elected by the Participant
under Section 7.01, provided that all payments commence (or are made) by
the latest benefit commencement date under Section 7.01.
(g) Any other payment option elected by the Participant and agreed to by the
Employer and Administrator.
A Participant's selection of a payment option made after December 31, 1995, under
Subsections (a), (c), or (g) above may include the selection of an automatic annual
cost -of- living increase. Such increase will be based on the rise in the Consumer Price
Index for All Urban Consumers (CPI -U) from the third quarter of the last year in which
a cost -of- living increase was provided to the third quarter of the current year. Any
increase will be made in periodic payment checks beginning the following January.
If, prior to January 1, 2002, a Participant or Beneficiary made a timely election of a
payment date but failed to specify a payment option or failed to make a timely election
of both payment date and option, and as a result, either was defaulted to benefit
commencement at age 65, or such other date as the Participant or Beneficiary may
have specified, benefits shall be paid annually in the amount of $100 per year
commencing at age 65 or the date specified by the Participant or Beneficiary until the
Participant or Beneficiary reaches age 70 -1/2. When the Participant or Beneficiary
S /Admin /Ratcliff /Plan`rrustBroch - 02- 08- 02.doc 13
Page 17 of 25
reaches age 70 -1/2, payments shall be made in accordance with Code section
401(a)(9) and the regulations thereunder.
7.03 Limitation on Options: No payment option may be selected by a Participant
under subsections 7.02(a) or (c) unless the amount of any installment is not less than
$ 100 per year. No payment option may be selected by a Participant under Sections
7.02, 7.04, or 7.05 unless it satisfies the requirements of Sections 401(a)(9) and
457(d)(2) of the Code, including that payments commencing before the death of the
Participant shall satisfy the incidental death benefit requirements under Section
401(a)(9)(G).
7.04 Post - Retirement Death Benefits:
(a) Should the Participant die after he /she has begun to receive benefits under a
payment option, the remaining payments, if any, under the payment option
shall continue until the Administrator receives notice of the Participant's
death. Upon notification of the Participant's death, benefits shall be payable
to the Participant's Beneficiary commencing not later than December 31 of
the year following the year of the Participant's death, provided that the
Beneficiary may elect to begin benefits earlier than that date.
(b) If the Beneficiary has not attained age 80 at the time payments commence,
he or she may elect to receive payments in a single lump -sum payment or in
equal or approximately equal monthly, quarterly, semi - annual or annual
payments continuing over a period not to exceed ten years from the first
payment. The Beneficiary also may elect to receive a partial lump -sum
payment followed by monthly, quarterly, semi - annual or annual installments,
provided that all payments are made within a period of ten years from the
initial payment. In the event that the Beneficiary is age 80 or over, the
remaining balance in the Participant's account will be paid to the Beneficiary
in a single lump sum.
(c) In the event that the Beneficiary dies before the payment of death benefits
has commenced or been completed, the remaining value of the Participant's
Account shall be paid to the estate of the Beneficiary in a lump sum. In the
event that the Participant's estate is the Beneficiary, payment shall be made
to the estate in a lump sum.
7.05 Pre - Retirement Death Benefits:
(a) Should the Participant die before he or she has begun to receive the benefits
provided by Section 7.01, the value of the Participant's Account shall be
payable to the Beneficiary commencing not later than December 31 of the
year following the year of the Participant's death, provided that the
Beneficiary may elect to begin benefits earlier than that date.
S /Admin /Ratcliff /Plan`rrustBroch — 02- 08- 02.doc 14
Page 18 of 25
(b) If the Beneficiary has not attained age 80 at the time payments commence,
he or she may elect to receive payments in a single lump -sum payment or in
equal or approximately equal monthly, quarterly, semi - annual or annual
payments continuing over a period not to exceed ten years from the first
payment. The Beneficiary also may elect to receive a partial lump -sum
payment followed by monthly, quarterly, semi - annual or annual installments,
provided that all payments are made within a period of ten years from the
initial payment. In the event that the Beneficiary is age 80 or over, the
remaining balance in the Participant's account will be paid to the Beneficiary
in a single lump sum.
(c) In the event that the Beneficiary dies before the payment of death benefits
has commenced or been completed, the remaining value of the Participant's
Account shall be paid to the estate of the Beneficiary in a lump sum. In the
event that the Participant's estate is the Beneficiary, payment shall be made
to the estate in a lump sum.
7.06 Unforeseeable Emergencies:
(a) In the event an unforeseeable emergency occurs, a Participant may apply to
the Employer to receive that part of the value of his or her Account that is
reasonably needed to satisfy the emergency need. If such an application is
approved by the Employer, the Participant shall be paid only such amount as
the Employer deems necessary to meet the emergency need, but payment
shall not be made to the extent that the financial hardship may be relieved
through cessation of deferral under the Plan, insurance or other
reimbursement, or liquidation of other assets to the extent such liquidation
would not itself cause severe financial hardship.
(b) An unforeseeable emergency shall be deemed to involve only circumstances
of severe financial hardship to the Participant resulting from a sudden
unexpected illness, accident, or disability of the Participant or of a dependent
(as defined in Section 152(a) of the Code) of the Participant, loss of the
Participant's property due to casualty, or other similar and extraordinary
unforeseeable circumstances arising as a result of events beyond the control
of the Participant. The need to send a Participant's child to college or to
purchase a new home shall not be considered unforeseeable emergencies.
The determination as to whether such an unforeseeable emergency exists
shall be based on the merits of each individual case.
7.07 Minimis Accounts: Notwithstanding the foregoing provisions of this Article,
prior to January 1, 2002, if the portion of the value of a Participant's Account does
not exceed the dollar limit under Section 41 1(a)(1 1)(A) of the Code as described in
Section 457(e)(9)(A) of the Code and (a) no amount has been deferred under the Plan
with respect to the Participant during the 2 -year period ending on the date of the
S /Admin /Ratcliff /PlanTrustBroch — 02- 08- 02.doc 15
Page 19 of 25
distribution and (b) there has been no prior distribution under the Plan to the Participant
pursuant to this Section 7.07, the Participant may elect to receive or the Employer
may involuntarily distribute the Participant's entire Account without the consent of the
Participant. Such distribution shall be made in a lump sum.
On or after January 1, 2002, if the value of a Participant's Account is less than
$ 1,000, the Participant shall be paid to the Participant in a single lump sum
distribution, provided that (a) no amount has been deferred under the Plan with respect
to the Participant during the 2 -year period ending on the date of the distribution and (b)
there has been no prior distribution under the Plan to the Participant pursuant to this
Section 7.07. If the value of the Participant's Account is at least $ 1000 but not more
than the dollar limit under Code Section 41 1(a)(1 1)(A) and (a) no amount has been
deferred under the Plan with respect to the Participant during the 2 -year period ending
on the date of the distribution and (b) there has been no prior distribution under the
Plan to the Participant pursuant to this Section 7.07, the Participant may elect to
receive his or her entire Account. Such distribution shall be made in a lump sum.
Article VIII. Loans to Participants
8.01 Availability of Loans to Participants:
(a) The Employer may elect to make loans available to Participants in this Plan.
If the Employer has elected to make loans available to Participants, a
Participant may apply for a loan from the Plan subject to the limitations and
other provisions of this Article.
(b) The Employer shall establish written guidelines governing the granting of
loans, provided that such guidelines are approved by the Administrator and
are not inconsistent with the provisions of this Article, and that loans are
made available to all Participants on a reasonably equivalent basis.
8.02 Terms and Conditions of Loans to Participants:
Any loan by the Plan to a Participant under Section 8.01 of the Plan shall satisfy the
following requirements:
(a) Availability. Loans shall be made available to all Participants on a reasonably
equivalent basis.
(b) Interest Rate. Loans must be adequately secured and bear a reasonable
interest rate.
(c) Loan Limit. No Participant loan shall exceed the present value of the
Participant's Account.
16
S /Admin /Ratcliff /PlanTrustBroch — 02- 08- 02.doc Page 20 of 25
(d) Foreclosure. In the event of default on any installment payment, the
outstanding balance of the loan shall be a deemed distribution. In such
event, an actual distribution of a plan loan offset amount will not occur until
a distributable event occurs in the Plan.
(e) Reduction of Account. Notwithstanding any other provision of this Plan, the
portion of the Participant's Account balance used as a security interest held
by the Plan by reason of a loan outstanding to the Participant shall be taken
into account for purposes of determining the amount of the Account balance
payable at the time of death or distribution, but only if the reduction is used
as repayment of the loan.
(f) Amount of Loan. At the time the loan is made, the principal amount of the
loan plus the outstanding balance (principal plus accrued interest) due on any
other outstanding loans to the Participant from the Plan and from all other
plans of the Employer that are qualified employer plans under Section
72(p)(4) of the Code shall not exceed the lesser of:
(1) $50,000, reduced by the excess (if any) of
(a) The highest outstanding balance of loans from the Plan during
the one (1) year period ending on the day before the date on
which the loan is made, over
(b) The outstanding balance of loans from the Plan on the date on
which such loan is made; or
(2) One -half of the value of the Participant's interest in all of his or her
Accounts under this Plan.
(g) Application for Loan. The Participant must give the Employer adequate
written notice, as determined by the Employer, of the amount and desired
time for receiving a loan. No more than one (1) loan may be made by the
Plan to a Participant's in any calendar year. No loan shall be approved if an
existing loan from the Plan to the Participant is in default to any extent.
(h) Length of Loan. Any loan issued shall require the Participant to repay the
loan in substantially equal installments of principal and interest, at least
monthly, over a period that does not exceed five (5) years from the date of
the loan; provided, however, that if the proceeds of the loan are applied by
the Participant to acquire any dwelling unit that is to be used within a
reasonable time (determined at the time of the loan is made) after the loan is
made as the principal residence of the Participant, the five (5) year limit shall
not apply. In this event, the period of repayment shall not exceed a
reasonable period determined by the Employer. Principal installments and
interest payments otherwise due may be suspended for up to one (1) year
S /Admin /Ratcliff /PlanTrustBroch — 02- 08- 02.doc 17
Page 21 of 25
during an authorized leave of absence, if the promissory note so provides,
but not beyond the original term permitted under this subsection (h), with a
revised payment schedule (within such term) instituted at the end of such
period of suspension.
(i) Prepayment. The Participant shall be permitted to repay the loan in whole or
in part at any time prior to maturity, without penalty.
(j) Promissory Note. The loan shall be evidenced by a promissory note
executed by the Participant and delivered to the Employer, and shall bear
interest at a reasonable rate determined by the Employer.
(k) Security. The loan shall be secured by an assignment of the participant's
right, title and interest in and to his or her Account.
(1) Assignment or Pledge. For the purposes of paragraphs (f) and (g),
assignment or pledge of any portion of the Participant's interest in the Plan
and a loan, pledge, or assignment with respect to any insurance contract
purchased under the Plan, will be treated as a loan.
(m)Other Terms and Conditions. The Employer shall fix such other terms and
conditions of the loan as it deems necessary to comply with legal
requirements, to maintain the qualification of the Plan and Trust under
Section 457 of the Code, or to prevent the treatment of the loan for tax
purposes as a distribution to the Participant.
The Employer, in its discretion for any reason, may also fix other terms and conditions
of the loan, including, but not limited to, the provision of grace periods following an
event of default, not inconsistent with the provisions of this Article and Section 72(p)
of the Code, and any applicable regulations thereunder.
8.03 Participant Loan Accounts:
(a) Upon approval of a loan to a Participant by the Employer, an amount not in
excess of the loan shall be transferred from the Participant's other
investment fund(s), described in Section 6.05 of the Plan, to the
Participant's Loan Account as of the Accounting Date immediately preceding
the agreed upon date on which the loan is to be made.
(b) The assets of a Participant's Loan Account may be invested and reinvested
only in promissory notes received by the Plan from the Participant as
consideration for a loan permitted by Section 8.01 of the Plan or in cash.
Uninvested cash balances in a Participant's Loan Account shall not bear
interest. Neither the Employer, the Administrator, nor any other person shall
be liable for any loss, or by reason of any breach, that results from the
Participant's exercise of such control.
S /Admin /Ratcliff /Plan`rrustBroch - 02- 08- 02.doc 18
Page 22 of 25
(c) Repayment of principal and payment of interest shall be made by payroll
deduction or, where repayment cannot be made by payroll deduction, by
check, and shall be invested in one (1) or more other investment funds, in
accordance with Section 6.05 of the Plan, as of the next Accounting Date
after payment thereof to the Trust. The amount so invested shall be
deducted from the Participant's Loan Account.
(d) The Employer shall have the authority to establish other reasonable rules, not
inconsistent with the provisions of the Plan, governing the establishment and
maintenance of Participant Loan Accounts.
Article IX. Non - Assignability
9.01 In General: Except as provided in Article VIII and Section 9.02, no Participant or
Beneficiary shall have any right to commute, sell, assign, pledge, transfer or otherwise
convey or encumber the right to receive any payments hereunder, which payments and
rights are expressly declared to be non - assignable and non - transferable.
9.02 Domestic Relations Orders:
(a) Allowance of Transfers: To the extent required under a final judgment,
decree, or order (including approval of a property settlement agreement) that
(i) relates to the provision of child support, alimony payments, or marital
property rights and (ii) is made pursuant to a state domestic relations law,
any portion of a Participant's Account may be paid or set aside for payment
to a spouse, former spouse, child, or other dependent of the Participant.
Where necessary to carry out the terms of such an order, a separate
Account shall be established with respect to the spouse, former spouse, or
child who shall be entitled to make investment selections with respect
thereto in the same manner as the Participant; any amount so set aside for a
spouse, former spouse, or child shall be paid out in a lump sum at the
earliest date that benefits may be paid to the Participant, unless the order
directs a different time or form of payment. Nothing in this Section shall be
construed to authorize any amount to be distributed under the Plan at a time
or in a form that is not permitted under Section 457(b) of the Code. Any
payment made to a person pursuant to this Section shall be reduced by any
required income tax withholding.
(b) Release from Liability to Participant: The Employer's liability to pay benefits
to a Participant shall be reduced to the extent that amounts have been paid
or set aside for payment to a spouse, former spouse, or child pursuant to
paragraph (a) of the Section. No such transfer shall be effectuated unless
the Employer or Administrator has been provided with satisfactory evidence
that the Employer and the Administrator are released from any further claim
by the Participant with respect to such amounts. The Participant shall be
S /Admin /Ratcliff /PlanTrust8roch - 02- 08- 02.doc 19
Page 23 of 25
deemed to have released the Employer and the Administrator from any claim
with respect to such amounts, in any case in which (i) the Employer or
Administrator has been served with legal process or otherwise joined in a
proceeding relating to such transfer, (ii) the Participant has been notified of
the pendency of such proceeding in the manner prescribed by the law of the
jurisdiction in which the proceeding is pending for service of process in such
action or by mail from the Employer or Administrator to the Participant's last
known mailing address, and (iii) the Participant fails to obtain an order of the
court in the proceeding relieving the Employer or Administrator from the
obligation to comply with the judgment, decree, or order.
(c) Participation in Legal Proceedings: The Employer and Administrator shall not
be obligated to defend against or set aside any judgement, decree, or order
described in paragraph (a) or any legal order relating to the garnishment of a
Participant's benefits, unless the full expense of such legal action is borne by
the Participant. In the event that the Participant's action (or inaction)
nonetheless causes the Employer or Administrator to incur such expense, the
amount of the expense may be charged against the Participant's Account
and thereby reduce the Employer's obligation to pay benefits to the
Participant. In the course of any proceeding relating to divorce, separation,
or child support, the Employer and Administrator shall be authorized to
disclose information relating to the Participant's Account to the Participant's
spouse, former spouse, dependent, or child (including the legal
representatives of the spouse, former spouse, or child), or to a court.
Article X. Relationship to other Plans and Employment Agreements
This Plan serves in addition to any other retirement, pension, or benefit plan or system
presently in existence or hereinafter established for the benefit of the Employer's
employees, and participation hereunder shall not affect benefits receivable under any
such plan or system. Nothing contained in this Plan shall be deemed to constitute an
employment contract or agreement between any Participant and the Employer or to
give any Participant the right to be retained in the employ of the Employer. Nor shall
anything herein be construed to modify the terms of any employment contract or
agreement between a Participant and the Employer.
Article XI. Amendment or Termination of Plan
The Employer may at any time amend this Plan provided that it transmits such
amendment in writing to the Administrator at least 30 days prior to the effective date
of the amendment. The consent of the Administrator shall not be required in order for
such amendment to become effective, but the Administrator shall be under no
obligation to continue acting as Administrator hereunder if it disapproves of such
amendment. The Employer may at any time terminate this Plan.
S /Admin /Ratcliff /PlanTrustBroch — 02- 08- 02.doc 20
Page 24 of 25
The Administrator may at any time propose an amendment to the Plan by an
instrument in writing transmitted to the Employer at least 30 days before the effective
date of the amendment. Such amendment shall become effective unless, within such
30 -day period, the Employer notifies the Administrator in writing that it disapproves
such amendment, in which case such amendment shall not become effective. In the
event of such disapproval, the Administrator shall be under no obligation to continue
acting as Administrator hereunder.
Except as may be required to maintain the status of the Plan as an eligible deferred
compensation plan under Section 457(b) of the Code or to comply with other
applicable laws, no amendment or termination of the Plan shall divest any Participant
of any rights with respect to compensation deferred before the date of the amendment
or termination.
Article X11. Applicable Law
This Plan and Trust shall be construed under the laws of the state where the Employer
is located and is established with the intent that it meet the requirements of an
"eligible deferred compensation plan" under Section 457(b) of the Code, as amended.
The provisions of this Plan and Trust shall be interpreted wherever possible in
conformity with the requirements of that Section of the Code.
In addition, notwithstanding any provision of the Plan to the contrary, the Plan shall be
administered in compliance with the requirements of Code section 414(u).
Article XIII. Gender and Number
The masculine pronoun, whenever used herein, shall include the feminine pronoun, and
the singular shall include the plural, except where the context requires otherwise.
21
S /Admin /Ratcliff /PlanTrustBroch — 02- 08- 02.doc Page 25 of 25
Central Contra Costa Sanitary District
' BOARD OF DIRECTORS
POSITION PAPER
Board Meeting Date: FEBRUARY 21, 2002 No.: 11.b. BUDGET AND FINANCE
Type of Action: RECEIVE BUDGET REVIEW
subject: RECEIVE THE 2001 -2002 OPERATIONS AND MAINTENANCE BUDGET REVIEW
FOR THE SIX MONTHS ENDED DECEMBER 31, 2001
Submitted By: Initiating Dept. /Div.:
Debbie Ratcliff, Controller Administrative Department
REVIEWED AND RECOMMENDED FOR BOARD ACTION.
zk_ 2t.fA.X�,
D. Ratcliff Rh raves
General
ISSUE: A report of the results of a comparative review of actual and budgeted Operations
and Maintenance (O &M) revenues and expenses for the first six months of the 2001-
2002 fiscal year as well as full year projections are provided in this Position Paper. In
addition, any significant variances from budget for the first six months and any significant
full year projected variances are discussed.
RECOMMENDATION: Receive the 2001 -2002 Operations and Maintenance Budget
Review for the six months ended December 31, 2001 and full fiscal year projections.
FINANCIAL IMPACTS: For the first six months ended December 31, 2001, total O &M
revenues are $20,642,158 compared to a budget of $20,414,086 for a positive variance
of $228,072 or 1.12 %. Total O &M expenses for the first six months are $17,390,877
compared to a budget of $19,034,990 for a positive variance of $1,644,113 or 8.64 %.
The six month status reflects the financial results at a certain point in time and looks quite
optimistic.
Total projected 0 &M revenues for the full year are $41,205,800 compared to a budget
of $40,991,600 for a positive variance of $214,200 or 0.52 %. Total projected O &M
expenses for the full year are $39,148,433 compared to a budget of $40,209,305 for a
favorable variance of $1,060,872 or 2.64 %. The primary reason for decreased expenses
is due to long term gas contracts secured for the District which are lower than budget in
addition to reduced usage of natural gas in favor of the less expensive landfill gas.
ALTERNATIVES /CONSIDERATIONS: None
BACKGROUND: The table on Attachment B compares actual O &M revenue and expense
for the first six months of the fiscal year to the six -month budget. Significant variance
2/13/02
G: \FINANCE \6mopp.201.wpd Page 1 of 5
POSITION PAPER
Board Meeting Date: FEBRUARY 21, 2002
subject: RECEIVE THE 2001 -2002 OPERATIONS AND MAINTENANCE BUDGET REVIEW
FOR THE SIX MONTHS ENDED DECEMBER 31, 2001
explanations are included on the table. Attachment A compares full year O &M projections
to budget. Anticipated significant projected variances from the annual 2001 -2002 0 &M
Revenue and Expense budget are listed below:
Revenue:
Total O &M Revenue is projected to be $214,200 higher than budgeted
mainly due to higher than expected Sewer Service Charge revenue as a
result of adjustments and corrections reported to the County. This
favorable variance is partially offset by lower City of Concord revenues
which reflects their portion of utility savings in the District Plant.
Expense:
Salaries: Salaries and Wages expense is projected to be $103,023 or
0.68% lower than budgeted due to unfilled positions below the budgeted
vacancy factor resulting from retirements and many positions being filled
later than anticipated during the fiscal year.
Benefits: Benefit costs are anticipated to be close to budget for the full
year.
Utilities: Utilities expense is projected to be $1,205,300 less than budgeted
due to long term gas contracts secured for the District which are lower than
budget, reduced usage of natural gas in favor of the less expensive landfill
gas and lower than budgeted electrical usage.
Repairs & Maintenance: Repairs & Maintenance expense is projected to be
$45,800 over budget due to greater than anticipated costs to repair the off -
line furnace. These costs include replacement of refractory, metal work,
and repairs to the center shaft.
Outside Services: Outside Services expense is projected to be $38,900
over budget primarily due to temporary employees being used to fill vacant
positions during recruitments.
Materials & Supplies: Materials & Supplies expense is projected to be
$59,500 over budget due to greater than anticipated expenditures for lamp
ballasts and UV lamps.
2/13/02
G: \FINANCE \6mopp.201.wpd Page 2 of 5
POSITION PAPER
Board Meeting Date: FEBRUARY 21, 2002
subject: RECEIVE THE 2001 -2002 OPERATIONS AND MAINTENANCE BUDGET REVIEW
FOR THE SIX MONTHS ENDED DECEMBER 31, 2001
These full year O &M projections are the projections that were shown to the Board
at the Financial Planning Workshop on January 24, 2002. The full year O &M
expense projections for fiscal year 2001 -2002 indicate that the District's O &M
expenses will be under budget by $1.1 million. As discussed at the Board
Workshop, these savings are primarily due to both energy and labor savings.
The Revenue over Expense results for the 2001 -2002 O &M budget anticipated an
increase to the O &M Reserve balance of $782,000. Based on favorable revenue
results and significantly reduced O &M expenses (ie: energy and labor savings) the
full year 0 &M projections indicate that the 0 &M Reserve balance will increase by
$2,057,000.
RECOMMENDED BOARD ACTION: Receive the 2001 -2002 Operations and Maintenance
Budget Review for the six months ended December 31, 2001 and projections for the full
fiscal year.
2/13/02
GAR NANCE \6mopp.201.wpd Page 3 of 5
ATTACHMENT A
Central Contra Costa Sanitary District
Revenue & Expense Account Summary
PROJECTED FOR THE YEAR ENDING JUNE 30, 2002
Variance
Variance
Projected
Budget
Amount
%
REVENUES:
Sewer Service Charge
31,240,500
30,466,500
774,000
2.54%
City of Concord (O &M)
6,659,000
7,150,000
(491,000)
-6.87%
Other
3,306,300
3,375,100
(68,800)
- 2.04%
Total Revenues
41,205,800
40,991,600
214,200
0.52%
EXPENSES:
Total Labor Charges
15,093,293
15,196,316
103,023
0.68%
Employee Benefits
7,920,140
7,844,105
(76,035)
-0.97%
Directors Fees & Expenses
50,000
50,000
0
0.00%
Chemicals
938,000
938,000
0
0.00%
Utilities
5,273,200
6,478,500
1,205,300
18.60%
Repairs & Maintenance
2,576,400
2,530,593
(45,807)
-1.81%
Hauling & Disposal
977,800
952,785
(25,015)
- 2.63%
Professional & Legal
290,600
290,600
0
0.00%
Outside Services
2,329,700
2,290,758
(38,942)
-1.70%
Self- Insurance
200,000
200,000
0
0.00%
Materials & Supplies
1,349,100
1,289,575
(59,525)
-4.62%
Other Expenses
2,150,200
2,148,073
(2,127)
- 0.10%
Total Expenses
39,148,433
40,209,305
1 1,060,872
2.64%
To /(From) Reserves
2,057,367
782,2951
1,275,072
Page 4 of 5
Page 5 of 5
N y
7
d
T
N m
C
m
m
C
0
m
...
x 0
y
m
O
N
m
'N
m
CL
m >
m
m
m
o
C
u
m
om
T to
N
Ta1O
m
2,
m�
m 0
E
C
am
S
a
U
O
m
¢m
y jO
O
m N
y
N
c
0
C
,�
V
°>
m
m
YO
N m
%-
C
U «
U
c
m
c m
v
v
°
Cr. m
t2
0
c
0
c
o c
m
u
.02
E °1
m
a
5t
0-0
cv
�V a
v
E
OD
tce
«
O
p
0
m
0�
�
C
O
,
N
N
7 0
O
N
OC
«
0
C
Om
0m
U
c
« O
tF m
V E
m
>
O d
> m
G
d
L
a
N
Co
a
m
o°
E
c u
U
0
E
E
V
$
m
v E
c1°
N
U
O
a
Nvm
m
A
N
V
m
:3
N
C
A
Q
A
N
C
L
t O
C
O
M
0
.m
E
w LL
N
d
c
`0
a
16
o
C
r
N
'
m
Ero
E
M
a m
i
m vi
X.2
u
�v
CJ M
E
c
s v
m
C N
v
`m
m
0 'Z
a o
'= £ cc
m'y W
°u
H
g
tco
°p
aLm,
m
E
m to
7 m
m
vU
p
O p
m x
m
0
c
u
v«
W
m
3
mio
�m
°1v
�
oo
u
m
a`1c
00
yc
3�
W
r
N
m
O
N°
3 C
`m .fl
of
v«
.CO-.
J
N F�
O
m o
to
m
m
N 'N
7
p
m
5
'0
etj
�v
C
y«
CA
cc �
L
y
U
O>
4i
m
'p
Or
'
N `O
m
x1C
W
:3
Q
C
N
0
>
E
rc
n
O
:3 2!
O
IA
NJ
V =
m
7
a
Oa
E
m N
rn
t
CYJ�'
Z
u
rn
00
o
tp
Q
in
w�
00
C6
v
to
O
V ca O
C
O
N
Q
Cl)
t7
N
O)
a0
Oi
p
N
00
m a
c
X
m > y
V CC T
8
f0
N
O_
0
�
N
f'1
0
V
co
F.
Y
u c
n
n
O
01
r
O
m
o1
of
n0
Cl)
Y'1
M
O
01
Cf
t7
0)
ri
O
m
n
tD
CO
O
V
'Q
cc
C=
0 0
r
N
N
N
N
M
n
N
'M
N
01
N
10
O
A Q
LL.
tD
M
t0
00
t0
w
W
O
M
N
UI
Cl)
CO
M
U7
O
Q
O
N
t0
Q
<
O
O
01
M
1`
O
M
O
N
M
t0
t0
at
Uf
o)
N
01
W
N
U)
O
m
CO
n
Q
U)
t0
n
Q
N
N
o1
U)
N
Q
7
Q
PI
Q
Q
h
Q
Cl)
O
.p
tD
r,
c
a
(0
t0
Q
00
N
Q
O
t0
t0
O
t0
O
n
P1
N
OI
m
N
0)
1(G7
t0
t0
M_
00
tp
O
M
!O
Q
N
Q
N
Q
O
Q
h
M
N
M
t0
Q
r
1�
1�
►�
O
O
�
Q
(7
f�
t'1
t�I
tl
N
t0
N
N
OO
m
r
M
M
01
O
G
N
N
Q
UI
Q
N
00
O
In
o1
t0
Of
t0
O
�
to
O
O
t-
to
M
O
01
O
01
^
O1
t0
t?
U)
Q
M
O
t0
U1
M
Q
CD
O
N
r`
ri
r
0
U
Im
y
C
N
m
m
L
0
tm
«
C
.0
N
N
0
tT
0
N
m
d
Z
LU
0
c
7
L
C
a
as
V
:3
N
N
W
0
O
Y
H
.0
al
f
r
m
%
m
x
Y
x
:)
Z
O
Z
m
m
c
y
v
N
m
w
w
OR
-1
0
E
ru
ui
2
to
F-
Q
w
0:
0
to
U
o
O
r-
w
o
1-
w
L
v
m
w
to
z
a
o
o
o
~
Page 5 of 5
2001 -2002
OPERATIONS &MAINTENANCE
SIX MONTH
BUDGET REVIEW
W ,W^ w 'WA
^ N
J Z J Z Z Z
H j F- a. j
8
3
x
0
W
0
0
0
W
9
m
N
N
N
W
W
W
C/)
W
W
C/)
QLij
J
auzw
wxw
m
0c
OW
cc
0W
LU
Om
CN
�
N
Q OaC
LL O
~
V
~
V
LL
Z
O
N
O
Q =
V
!S
F—
Q
N
O
N
C/)
�
C'4
W
}
C/)
N
QZ
W
F-
a
�
x
W
Q
zN
O
p
M
Uc)
N
Q
ON
�--
00
0
Cl)
LLI
}
m
U
�
�
Q
W
Q
cc
>
F-
W
Z
1=
LL
02
J
V
J
0
Q
cr.
W J
O
O
M
O
F—
F— <
I
19t
M
W
LU F-
ON
�t
Lr
(�
O
cc Q
a.
T--
40
6i
M
N
<11P
8
3
x
0
W
0
0
0
W
9
m
N
N
N
W
W
C/)
W
W
C/)
QLij
auzw
wxw
W CL
0c
OW
cc
0W
8
3
x
0
W
0
0
0
W
9
m
N
PROJECTED FULL -YEAR EXPENSE VARIANCES
FAVORABLE VARIANCES:
• Salaries & Wages under budget due to unfilled
positions resulting from retirements
• Utilities under budget due to favorable long term gas
contracts secured by District
UNFAVORABLE VARIANCES:
• Repairs and Maintenance over due to greater than
expected costs to repair the off -line furnace
• Outside Services over due to use of temporary help
to fill vacant positions
• Materials and Supplies over due to increased
expenditures for lamp ballasts and UV lamps
S:\BUDGET \01- 02.0 &M RE V.OH.wpd
CENTRAL CONTRA COSTA SANITARY DISTRICT - HISTORICAL TRENDS
(In $000's)
1999-2000
Revenue $15,688 15,065 31,780 31,618
Expense $14.722 16,376 33.579 33,853
To/(From) Reserves $ 966 11-1-3 11 (1.7 (2.2351
1998-1999
Revenue $17,331 16,241 31,137 31,168
Expense $14,838 15,661_ 32,646 32,827
To/(From)Reserves $ 2.493 580 1( ,5M
1997-1998
Revenue $15,009 15,197 29,521 28,900
Expense $13.463 14,749 29.807 29,280
To/(From) Reserves $ 1,546 44 (286) (3801
Six -Month
Six -Month
Full Year Full Year
2000-2001
Actual
Budget
Actual Budget
Revenue
$ 18,395
18,319
37,716 36,372
Expense
$17,575
18"057
38"269 35,861
To /(From) Reserves
$ 820
262
(5531 511
1999-2000
Revenue $15,688 15,065 31,780 31,618
Expense $14.722 16,376 33.579 33,853
To/(From) Reserves $ 966 11-1-3 11 (1.7 (2.2351
1998-1999
Revenue $17,331 16,241 31,137 31,168
Expense $14,838 15,661_ 32,646 32,827
To/(From)Reserves $ 2.493 580 1( ,5M
1997-1998
Revenue $15,009 15,197 29,521 28,900
Expense $13.463 14,749 29.807 29,280
To/(From) Reserves $ 1,546 44 (286) (3801
4w
W
cn
C t!
E
a.
a� a�
o
L �
a= �
E a
m >m
iQ L
R
u�
N'-
O �
O
N
O
O
N
= N
00
4w O
� N
a-+
� N
L
a �
L L
O �
m V.
u
W
Lu F—
Q H
to
OW w
°' >- w
IL a
a Q
v v
N
O
r
O
O
N
cosy
o
o
o
0
0'
v c m
0
0
O
cM
0
O
ea p •—•
J p
M
m
0
o
O
r
M
O
6
r
6c+
69'
U) _
0
0
0
0
o
O
Q
M
v
�rS
LL 0
(O
�
�
E9
E9
o
°o_
°o
0
0
O
00
(a CD
0
0
O
cM
M
C N
W C -
O
M
4
o
M
40
r
M
O
C„)
M
(D
r
d^
�
V
�
�
Q
�
CL
0
0
0
co
co
co
c
0
0
0
W
r
M
69
0
°o
0
M
ti
0
0
0
C6
co
�i
0
0
0
ti
co
r
c0
r
40
0
0
0
oo
ti
r
of
0
°o
0
M
r
0
0
0
ti
r
tC
r
0
0
0
r
r
of
r
o°
°o_
°o
0
0
O
00
O
0)
�
O
cM
M
N
cm ww
r
69
M
4
op"
M
40
m
Vcccc=
E
o
°o_
00
o
o
o
00
NN
Oa
r
r
op"
cc -0
O
r
d^
�
N
a
�
a�
t
t
co
O
0
O
C
�
Q
O
3
w
tm
O
a
E
c�
rn
M
m
N
o
a
o
a
E
a
U)
o
0
a
�'
a
E
E
m
a
H
U
C7
�
0 CD
00 O
L6 rf
o eCi
� 00
r M
6fl 6R
d
t
CD
7
O
D
•3
� r
H �
c N
ca
m
c
c
a�
s
rn
7
0
0
00
0
M
ch
r
69
c
a�
0
0
0
ey
co
co
�i
M
6f>
C
O
Q
K
W
J
a
H
0
00. W
wm
w D
H
H Z
is IL
V)X(�
W W 0
wva
>- wL-
_0 O Z
�J
m IL CL
N 0 Z
UJ
9
U.
r
N 0 W
ao�c~
�a
J
Q �
'v
o
0
0
0
0
0
CD c
0
0
0
0
0
0
m ea
0
0
0
0
0
0
=
c��oo�cflo0
d Om
Mtow00
M
L
N
N
�
O
L
0
00
0
0
0
O
00
O
0
00
Ccr
o
0
0
0
0
0
-p
,=
(6
psi
v
ui
Oo
M
CA
r
mt
tQ
O
W C N
00
M
r
r
M
L O t 7
•-
� V
� U
op
L
o-
0%
to
0%
6-*
1 6-.-
te
0
0
0
0
0
0
O
O
O
O
o
0
•3
0
0
o
O
o
0
=
0
voriuiT
=o
m
CO
Ul
r
h
O
lqt
N
M
t`
N
t`
N
N m
r
O c
oU)Q
LL
-0
o
a�i
aci
o
cc
a
�,
t
U
M
U
a
N
;Eo�c�
...
°
omE
cO
E
CD
a
•5
c
Q
N
O
a
W
o
o
a
�.
M
>
o
cc
N
m
E
o
c
J
a
c
0�
�
L
U U m
•�' d
N
IV
CV)
q•
O
M
H•O
ti
r
lqt
r
r
r
CO
r
qt
r
00
r
o a. Z
0 O 0
0 0 0
M o ce
v M M
619, 16CO-1 4,%
O O 0
0 0 0
O N M
00 00 tG
N INI to
is 161%1 49-
M INI w
J
0
a
.0 O
H
N U)
U
0)
o 0
a 0
a
a �
� J
»� a
a �
z
W
LU
N �
O Q
a
0
E.
F-
aW
W M
w D
H
Cl) —
H Z Q
UJ
cn x
W
Lu C)
w
Cl)
U 0 Z
NnO
CD U
C:l ,L W
N J
la Q O
�g
J �
Q �
LL
0
c
o
o
0
00
c o m_
0
0
0
0
0
0
0
0
0
0
c
CD
o
o
(D j U
M
M
O
M
r
6c�
P-
U)
M
Lf)
40
qq
N
COO
M
0
3
U
a)
c
i
CO
La
ova
69
N
69
40
w
0
40
o
F-
o
0
0
0
O
V) N
0
0
0
0
O
W c
O
r
M
d
O
N
o
N
LO
V
}
CN
40
O
69
69
Q
0
L
a
cu
>
LO
c
m 0 E E
0000
00
N W 'D
0
0
0
O
00
m
00
M
N
N
ti
t Q
69
69
LL
3
N
E
E
.�
0
a)
"
N
O
C
a)
tL
L
a)
(D
�
:o ,
Z
c:
cu
CO
m
g
C
CL
O
F-
E
tl
O
cn
a
0
v
-
>
c
d
Ll-
oo
Q
N
CL
Q
W
U
`�
O
U
a`)
U
E
N
c
c
ca
o
cu
=
O
O
C/5
o
m
�
m
c
E
N
i
O
D
a
O
U
a-
L
v a)
�i
0
rl-
U)
7
r-
r-
M
N
O
.L
N
0
U')
U-)
co
CL z
cu
0
00
00
00_
O
o
0
0
O
O
CD
o
r
0
w
O
6c�
co
a)
co
07
r -
COO
M
0
3
U
a)
c
i
CO
La
L6
69
N
69
40
69
40
0
00_
�
o
0
O
o
O
O
r
U-)
w
O
m
M
a)
co
07
r -
O
r
0
3
U
a)
c
i
La
L6
N
69
40
69
�
�
OO
O
O
O
O
r
U-)
w
O
O
M
M
w
07
r -
O
r
0
3
U
a)
c
i
CD
L6
N
69
40
69
40
�
t
o
0
0
0
3
0
3
U
a)
c
i
o
F-
E
cn
>
o
0
a)
—
N
cn
_
Lj
=3
-0
c�
m
O
O
O
o
a
a
N
o
U
o
F-
U
>,
CD
a)
O
O
Q
0
0
cu
>
LO
F
W
CO) H
Z LL
ca X M
Ewa
wwz
GO.2
ma>
v0W.
oQ a �
p � J
N0�
w°Cw
Q �
.0
0
tU COO
o
0
0
� c
o00
cli
tU O m
�T-ti
M
M
N
M
co
Irl-
�
�
O
a
0
0
O
0
0
0
Cl
H O
N
M
•-
C O
N
CO
(A
L
CO
r
w C
M
CU V
�
O Q
L
a
r
4000
3 c
40
0
0
N
oti0
V m ,O
N M N
O C
OCOQ
LL
E
CD
O cx
♦,
(D
P
>
c
�
Q
.o
m
aL
c
—°
(D
O
s
U
=
m
M
CU
O�
H
:;z
C1
�
U
E
+r
y
i
O
co
O
(U
p
�
�
V V
lIrl-
r
lf)
cr)
CD
CA
Irl-
M
W
CO
OD
Tl-
co
oa
O 1401 o
co
0
°0
co
C)
N
0
C
cli
N
ti
M
M
N
M
O 1401 o
co
0
co
0
N
O
C
cli
r
iR
M� r:
a a
o y o
m ~
N a- z
c w
(1)
�
>
> O
o w
E a
CU w
U Z
LU
t �
F�
0
0
0
0
0
M
co
Irl-
�
�
O
r
iR
M� r:
a a
o y o
m ~
N a- z
c w
(1)
�
>
> O
o w
E a
CU w
U Z
LU
t �
F�
NF
I.L
ON
w�
�• Z
4c LU
co x
W
W V
tio- 7
00
�a
VO
O Q
T
m
O
00 LL
N
W Q
J �
Q �
CO)
g�
LL
fn
V
W
W
H
0
J
W
Ir
0
O
O
O
O
N
T
O
O
O
N
Re
49
O
O
O
OD
T
T
CO)
H
0
W
H
3
W
J
W
W
=
O
O
O
o
CL
d O m
p
M
O
O
C
0T-
M
1-O
M
•v
5
���
6R
IL
C r M
0)
r-
O
O
O
W O C� O
ao
co
co
O
O
4) CD
Cc v N
r
O
i
W
Z
W
W
ce
J
a
a
a
V
N
O
O
N
O
O
N
0
0
0
0
0
0
0
°o
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
C)
�
o
o
C)
C)
Ln
pt
L
to
,--i
O
00
Ln
a
-�
N
N
0
0
0
0
0
°o
o
°
°
°
o
o
o
0
0
0
0
0
0
Ln
N
to
,--i
O
O
Cla
-�
N
N
66
E
a�
ii
c'
�
=3
=3
-0
Q
CL
ra
U
J
Jc:
C
D
Q�
L
Q
0)
7
4-J
.0
C-
I-'
L
H
V
Q
a
i
O
Z
J
H
H
a
a
V
N
0
O
N
rl
O
O
N
V)
W
M
z
W
W
cc
Q
a
Q
V
F-
w
D
O
M
CC
w
O
Q
Q
O
W
z
W
a
x
W
mi
a
a
Q
V
N
N
O
O
O
0
O
O
O
O
O
�
O
O
N
N
�
�
Ln
N
N
iA-
409-
-�-
F-
w
D
O
M
CC
w
O
Q
Q
O
W
z
W
a
x
W
mi
a
a
Q
V
F-
w
C�
D
O
0
QC
w
O
Q
Q
O
O
O
O
O
O
M
0
Z
W
W
DC
oC
m
W
D
O
O
O
O
O
00
la
W
z
Q
V
0
z
M
LLM
J
a
a
Q
V
I-
W
z
N
N
N
O
O
O
O
O
O
O
O
O
O
O
O
N
N
�
N
M
-U:�-
iA-
idltl-
F-
w
C�
D
O
0
QC
w
O
Q
Q
O
O
O
O
O
O
M
0
Z
W
W
DC
oC
m
W
D
O
O
O
O
O
00
la
W
z
Q
V
0
z
M
LLM
J
a
a
Q
V
I-
W
z
N
N
N
O
O
O
rl
rl
r�
O
O
O
O
O
O
N
N
N
W
V
Z
a
m
cl
z
LL
J
a
a
a
V
N
O
O
N
O
O
N
0
0
N
n
0
0
°o
0
0
0
0
0
°
= C) -
- C)
°
�o
00
oo
M
N
ra
m
0)
4)
m
W
z
0
W
F-
V
W
n
O
oC
a
N
O
O
O
N
0)
ra
U
LL
ro
.Q
ro
U
N
0
0
N
n
s•.
ra
m
.0)
(1)
m