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HomeMy WebLinkAbout01/12/2006 AGENDA BACKUPJanuary 12, 2006 3.a. AWARDS AND COMMENDATIONS Page 1 of 3 Resolution commending Barbara D. Hockett for her service as President of the Central Contra Costa Sanitary District Board of Directors RESOLUTION NO. 2006 -001 RESOLUTION COMMENDING BARBARA D. HOCKETT FOR HER SERVICE AS PRESIDENT OF THE CENTRAL CONTRA COSTA SANITARY DISTRICT BOARD OF DIRECTORS WHEREAS, Barbara D. Hockett was appointed to serve as President of the Board of Directors of the Central Contra Costa Sanitary District for 2005; and WHEREAS, under the able leadership of President Hockett, the District accomplished significant goals and objectives, promoting the mission, vision and values of the District to be a high performance organization that provides exceptional customer service and full regulatory compliance at responsible rates; and WHEREAS, President Hockett also served on the Board Household Hazardous Waste Committee, Personnel Committee and Budget and Finance Committee, providing oversight and review of the District's hazardous waste program, hiring practices and fiscal management; and WHEREAS, President Hockett served as the District representative at Sanitation and Water Agencies of Contra Costa County meetings, as well as acting as District liaison with the Towns of Alamo and Danville and the City of San Ramon; and WHEREAS, during her term of office, President Hockett promoted and fostered the development of partnerships and joint powers agreements with various cities and agencies in the District, which streamlined projects, improved efficiencies and reduced costs, including a two -year extension of the agreement with Contra Costa Clean Water Program authorizing Source Control to continue conducting storm water inspections; and WHEREAS, President Hockett, understanding how businesses and residents may be confused about the public agency permit process, was instrumental in providing direction and input on the creation of a brochure to explain to CCCSD customers how our permit process works; and WHEREAS, another significant accomplishment was the update of the Solids Handling Master Plan, which provides long -term plans for the treatment and disposal of biosolids produced by the District wastewater treatment facility; and WHEREAS, President Hockett oversaw the closure of the Orinda - Moraga Disposal Service Receivership and subsequent disbursement of funds back to the affected residents; and WHEREAS, over the past year, the District constructed six major collection system projects which renovated or replaced over 50,000 feet of pipe, and has substantially completed the renovation of the Lower Orinda Pumping Station; and WHEREAS, the District expanded its service area by connecting over 2,600 new customers, primarily in the Dougherty Valley area, creating over $10,500,000 in sewer connection fees; and WHEREAS, in 2005 the District received the prestigious National Award for Pretreatment Program Excellence from the U.S. Environmental Protection Agency, recognizing the District's outstanding ongoing pollution prevention efforts, and also received the National Association of Clean Water Agencies Gold Award for 100 percent compliance with NPDES permit requirements; and WHEREAS, the District also received the 2004 Achievement of Excellence in Procurement Award from the California Association of Public Purchasing Officers, commending the District for organizational excellence in public procurement; and WHEREAS, during President Hockett's term as President, the prestigious Certificate of Achievement for Excellence in Financial Reporting was received from the Government Finance Officers Association for the District's 2004 fiscal year Comprehensive Annual Financial Report. NOW, THEREFORE, BE IT RESOLVED that President Barbara D. Hockett is hereby commended for her distinguished service and leadership to the Central Contra Costa Sanitary District during her year of office, resulting in the continued success of this high - performance, fiscally - responsible organization that protects the public health and environment every day. PASSED AND ADOPTED this 12th day of January 2006. Mario M. Menesini President of the Board of Directors Parke L. Boneysteele Gerald R. Lucey James A. Nejedly COUNTERSIGNED: Elaine R. Boehme Secretary of the District Central Contra Costa Sanitary District ' BOARD OF DIRECTORS POSITION PAPER Board Meeting Date: January 12, 2006 No.: 4.a. CONSENT CALENDAR Type of Action: ADOPT RESOLUTION Subject: ADOPT RESOLUTION ACCEPTING 11 GRANTS OF EASEMENTS FOR SEWER PURPOSES RELATED TO THE ALHAMBRA VALLEY TRUNK SEWER PROJECT, DP -5919 Submitted By: Initiating Dept. /Div.: Ricardo Hernandez Engineering /Environmental Services Senior Engineering Assistant REVIEWED AND RECOMMENDED FOR BOARD ACT ON: IL R. Hernandez M. Penffy- 'G/Swanson A. Farrell rle *mane;r Gener ISSUE: The Board of Directors must accept Grants of Easements by resolution. RECOMMENDATION: Adopt a resolution accepting the Grants of Easements for easements purchased to accommodate the Alhambra Valley Trunk Sewer. FINANCIAL IMPACTS: Total cost of the 11 easements is $37,004. Funds for right -of- way purchases were included in the approved budget for this project ALTERNATIVES /CONSIDERATIONS: None. BACKGROUND: The subject easements are to accommodate the new sewer being designed within a private section of Wanda Way as part of the Alhambra Valley Sewer — Phase 1 Project (map attached). Staff has concluded that this transaction is exempt from the California Environmental Quality Act (CEQA) under District CEQA Guidelines Section 15305, since it involves a minor alteration in land use limitations. Approval of these Grants of Easements will establish the Board of Directors' independent finding that this action is exempt from CEQA. RECOMMENDED BOARD ACTION: Adopt a resolution to accept the Grants of Easements from Matthew H. Parkinen; Jerome Michael Ott and Linda Fishman Ott, Trustees; Harvey M. Feld; Ruth J. Nolte, Trustee; John Johnston and Barbara Colton Johnson; Ronald L. Dalton and Athena R. Costis; Edward E. Fong and Amy L. Fong, Trustees; Ronald Sadusky and Jennifer Sadusky; Peter G. Allen and Marianne Allen; Harold L. Olson and Marie J. Olson, Trustees; Paul F. Albright and Carol S. Albright; and authorize staff to record the Grants with the County Recorder. Page 1 of 2 N: \ENVRSEC \Position Papers \Hernandez R \5919 GOE Alhambra Valley Trunk Sewer Project.doc tlV / SrRENT��r -� / / NATIONAL PARK SERVICE JOHN MUIR NAT'L HIST. SITE 366- 101 -001 PARKINEN 366 -101 -002 ALBRIGHT 1Q MARTINEZ LOCATION MAP N. T. S. / 366 -102 -012 DALTON /COSTIS 366 - 102 -011 JOHNSTON LEGEND: N PRIVATE ROAD EASEMENT PROPOSED EASEMENT AREA _ EASEMENTS PREVIOUSLY OBTAINED Central Contra Costa Attachment Sanitary District WANDA WAY (PRIVATE SECTION) MAP ' ALHAMBRA VALLEY SEWER -PHASE 1 Central Contra Costa Sanitary District ' BOARD OF DIRECTORS POSITION PAPER Board Meeting Date: January 12, 2006 No.: 4.b. CONSENT CALENDAR Type of Action: ACCEPT CONTRACT WORK subject: ACCEPT THE CONTRACT WORK FOR THE HOUSEHOLD HAZARDOUS WASTE FACILITY PAINT BULKING ROOM MODIFICATIONS PROJECT, DISTRICT PROJECT 8209, AND AUTHORIZE THE FILING OF THE NOTICE OF COMPLETION Submitted By: Initiating Dept /Div.: Clint Shima, Assistant Engineer Engineering / Capital Projects REVIEWED AND RECOMMENDED FOR BOARD ACTION: Akarles C. Shima B. Than Acting Capital Projects A. Farrell Division Manager General Mai ISSUE: Construction has been completed on the Household Hazardous Waste Facility Paint Bulking Room Modification Project, District Project 8209, and the work is now ready for acceptance. RECOMMENDATION: Accept the contract work for the Household Hazardous Waste Facility Paint Bulking Room Modification Project, District Project 8209, and authorize the filing of the Notice of Completion. FINANCIAL IMPACTS: None related to this action. ALTERNATIVES /CONSIDERATIONS: Not Applicable. Filing the Notice of Completion is required under the California Civil Code, Section 3093. BACKGROUND: In the past, latex paint was bulked by hand for 5- gallon containers and by machine for 1- gallon containers. During peak periods, paint was received faster than it could be bulked. Paint containers were delivered to the bulking room in large bins carried by a forklift, however the room was not designed to accommodate the forklift. To improve the efficiency and safety of paint bulking, a new bulking machine was installed to mechanically bulk 5- gallon and smaller containers. The room was modified to better accommodate the forklift and large bins. On July 7, 2005, the Board of Directors authorized the award of a construction contract for this work in the amount of $172,001 to Power Engineering Contractors. The contractor was issued a Notice to Proceed, which was effective August 10, 2005, with a required contract completion date of December 7, 2005. The District had beneficial use of the work on November 11, 2005. All contract work is complete at this time. N: \PESUP \Position Papers \Shima \8209 Acceptance.doc Page 1 of 2 POSITION PAPER Board Meeting Date: January 12, 2006 sub /eat: ACCEPT THE CONTRACT WORK FOR THE HOUSEHOLD HAZARDOUS WASTE FACILITY PAINT BULKING ROOM MODIFICATIONS PROJECT, DISTRICT PROJECT 8209, AND AUTHORIZE THE FILING OF THE NOTICE OF COMPLETION It is appropriate to accept the contract work at this time. The total authorized budget for this project is $305,000. An accounting of the project costs will be provided to the Board of Directors at project closeout. RECOMMENDED BOARD ACTION: Accept the contract work for the Household Hazardous Waste Facility Paint Bulking Room Modification Project, District Project 8209, and authorize the filing of the Notice of Completion. NAPESUP \Position Papers \Shima \8209 Acceptance.doc Page 2 of 2 Central Contra Costa Sanitary District ' BOARD OF DIRECTORS POSITION PAPER Board Meeting Date: January 12, 2006 No.: 4.c. CONSENT CALENDAR Type of Action: ACCEPT CONTRACT WORK subject: AUTHORIZE THE GENERAL MANAGER TO EXECUTE A CONSTRUCTION CONTRACT CHANGE ORDER; ACCEPT THE CONTRACT WORK AND AUTHORIZE FILING THE NOTICE OF COMPLETION FOR THE SOUTH ORINDA SEWER IMPROVEMENTS, PHASE 2, PROJECT, DISTRICT PROJECT 5558 Submitted By: Initiating Dept /Div.: Alex Rozul, Associate Engineer Engineering / Capital Projects REVIEWED AND RECOMMENDED FOR BOARD ACTION. '! �� , r-:, - 0 _ AXD 0-90A � A. zul ilecki A. AntkoWak A. Farrel *Ch General ISSUE: Authorization by the Board of Directors is required for the General Manager to execute a construction contract change order in an amount greater than $50,000. Also, construction is completed on the South Orinda Sewer Improvements, Phase 2, Project, District Project 5558, and the work is now ready for acceptance. RECOMMENDATION: Authorize the General Manager to execute a change order in an amount not to exceed $62,000; accept the contract work for the South Orinda Sewer Improvements, Phase 2, Project, District Project 5558, and authorize the filing of the Notice of Completion. FINANCIAL IMPACTS: The cost for the change order will be partially offset by savings in several contract bid items that had a final quantity less than the quantity in the original bid. The resulting net effect is to increase the final contract amount by approximately $35,000. Currently, there is adequate funding within the project budget for this change order. There is no financial impact related to accepting the project. ALTERNATIVES /CONSIDERATIONS: Do not approve the change order. The contractor will file a claim, which will be adjudicated in accordance with the contract specifications and public contract codes. Filing the Notice of Completion is advisable under the California Civil Code, Section 3090. BACKGROUND: The South Orinda Sewer Improvements, Phase 2, Project corrected sewer capacity deficiencies within Glorietta Boulevard identified in the Collection System Master Plan as high priorities. Overflows in the project area are of a particular concern, since the area drains to San Pablo Reservoir, an East Bay Municipal Utility District (EBMUD) water supply source. N: \PESUP \Cbradley \Position Papers\2006 \January\5558 - Accept Contract Work.doc Page 1 of 2 POSITION PAPER Board Meeting Date: January 12, 2006 subject: AUTHORIZE THE GENERAL MANAGER TO EXECUTE A CONSTRUCTION CONTRACT CHANGE ORDER; ACCEPT THE CONTRACT WORK AND AUTHORIZE FILING THE NOTICE OF COMPLETION FOR THE SOUTH ORINDA SEWER IMPROVEMENTS, PHASE 2, PROJECT, DISTRICT PROJECT 5558 This project replaced approximately 6,000 feet of 8 -inch to 15 -inch diameter sewer on Glorietta Boulevard from Orchard Road to Parklane Drive using open -cut construction and 2,000 feet of 6 -inch to 8 -inch diameter sewers located within easements near Moraga Via and Hillcrest Drive utilizing pipebursting construction. In addition, during construction the Collection System Operations Division (CSOD) identified sewers within the project area that required urgent repair. These additional sewer repairs were added to the project as change orders and included spot repairs on Glorietta Boulevard, pipebursting in an easement off Overhill Road, and major open -cut construction on Moraga Way. During construction on Glorietta Boulevard, between Stations 22 +76 and 32 +00, the existing sewer was found to be outside the trench limits, which is different than anticipated in the project plans. Also within this area, the contractor encountered unstable soil conditions. The unexpected location of the existing sewer combined with the loose soil resulted in reduced excavation rates and wider trench widths. It also required the contractor to modify his planned trench shoring to include the use of a trench shield and steel plates. The contractor submitted a request for additional compensation for delays, lost productivity, increased excavation and backfill volumes, and greater replacement paving area. Staff thoroughly reviewed the contractor's supporting documents and negotiated a settlement. Board authorization to execute a contract change order for an amount not to exceed $62,000 is requested to settle the contractor's request for additional compensation. On May 19, 2005, the Board of Directors (Board) authorized the award of a contract for the construction of the project to K.J. Woods Construction, Inc. The Notice to Proceed was issued on June 13, 2005 and the work was substantially completed on December 2, 2005. The remaining items of work consist of minor punch -list items, which do not affect the project acceptance. The total authorized budget for the project is $2,612,000. The budget includes the cost of engineering design, District forces, testing services, contractor services, etc. An accounting of the project costs will be provided to the Board at the time of project closeout. RECOMMENDED BOARD ACTION: Authorize the General Manager to execute a change order in an amount not to exceed $62,000; accept the contract work for the South Orinda Sewer Improvements, Phase 2, Project, District Project 5558, and authorize the filing of the Notice of Completion. N:\PESUP \Cbradley \Position Papers \2006 \January\5558 - Accept Contract Work.doc Page 2 of 2 Central Contra Costa Sanitary District ' BOARD OF DIRECTORS POSITION PAPER Board Meeting Date: January 12, 2006 No*: 4. d. CONSENT CALENDAR Type of Action: AUTHORIZE AGREEMENT subject: AUTHORIZE THE GENERAL MANAGER TO EXECUTE A PROFESSIONAL SERVICES AGREEMENT WITH JDH CORROSION CONSULTANTS, INC. FOR A DISTRICT -WIDE CATHODIC PROTECTION SYSTEM SURVEY, STRATEGY, IMPLEMENTATION AND MONITORING PROGRAM, DISTRICT PROJECT 6142 Submitted By: Initiating DeptJDiv.: Wesley Adams, Assistant Engineer Engineering / Capital Projects REVIEWED AND RECOMMENDED FOR BOARD ACTION: W. Adams ecki A. Antkowiak A. Farrell Charles W. BFe General Man ISSUE: The Board of Directors' authorization is required for the General Manager to execute a professional services agreement in an amount greater than $50,000. RECOMMENDATION: Authorize the General Manager to execute a professional services agreement with JDH Corrosion Consultants, Inc. for $150,000 for a District -wide Cathodic Protection System Survey, Strategy, Implementation and Monitoring Program, District Project 6142. FINANCIAL IMPACTS: The initial cost of the project, including staff time, is $200,000. The project is needed to ensure protection of hundreds of millions of dollars worth of District facilities. Additional construction projects may be recommended as a result of this project. ALTERNATIVES /CONSIDERATIONS: An alternative would be to have no project, which would adversely affect the cathodic protection of District facilities. This is not recommended. BACKGROUND: The District is responsible for maintenance and operation of the treatment plant, pumping stations, collection system pipelines, and reclaimed water system. These facilities and systems, along with other miscellaneous underground structures and pipelines (wastewater and recycled water), require continuous cathodic protection and monitoring. In 1999, a Cathodic Protection Survey of the collection system and treatment plant was performed that identified facilities that needed replacement and improvements over the following five -year period. The report also N:\PESUP\Cbradley\Positon Papers \2006 \January\6142 - Authorize Agreement -JDH Corrosion.DOC Page 1 of 2 POSITION PAPER Board Meeting Date: January 12, 2006 subject. AUTHORIZE THE GENERAL MANAGER TO EXECUTE A PROFESSIONAL SERVICES AGREEMENT WITH JDH CORROSION CONSULTANTS, INC. FOR A DISTRICT -WIDE CATHODIC PROTECTION SYSTEM SURVEY, STRATEGY, IMPLEMENTATION AND MONITORING PROGRAM, DISTRICT PROJECT 6142 identified existing facilities requiring further investigations. Most of the work identified in the 1999 report has been completed. However, work done in prior years is nearing the end of its useful life, and it has been over five (5) years since the last survey. A new survey is required, and a master plan, including strategy implementation and monitoring program, needs to be developed for the next five -year period. This program is needed to ensure that the facilities, structures, and pipelines are adequately protected and to identify any other facilities that require protection. On September 9, 2005, Requests for Proposals (RFP) for the District -wide Cathodic Protection System Survey, Strategy, Implementation and Monitoring Project were sent to three corrosion engineering consultant firms. These firms are JDH Corrosion Consultants, Inc., V &A Consulting Engineers, Inc., and Corrpro Companies, Inc. On September 30, 2005, all three firms responded to the RFP. After review and evaluation of the proposals two of these firms were invited for interviews. Based on the proposal and interviews, JDH Corrosion Consultants, Inc. was selected because they presented the best overall team, costs, and technical approach. Staff has negotiated a professional engineering services agreement with JDH Corrosion Consultants, Inc. to complete the survey of the existing cathodic protection systems and develop a District -wide strategy, implementation, and monitoring program. This program includes collection system and pumping stations, reclaimed water, and treatment plant facilities. This project is included in the 2005 -06 Capital Improvement Budget on pages CS -8 and TP -96. Staff has concluded that this project is exempt from the California Environmental Quality Act (CEQA) under District CEQA Guidelines Section 15262 since it involves planning activities for possible future actions, which the District has not approved, adopted, or funded. The Board of Directors' approval of this project will constitute an independent finding that this project is exempt from CEQA. RECOMMENDED BOARD ACTION: Authorize the General Manager to execute a professional services agreement with JDH Corrosion Consultants, Inc. in the amount of $150,000 for a District -wide Cathodic Protection System Survey, Strategy, Implementation and Monitoring Program, District Project 6142. NAPESURCbradleyTosition Papers\2006Wanuary\6142- Authorize Agreement -JDH Corrosion.DOC Page 2 of 2 PUBLIC HEARING TO RECEIVE COMMENTS ON A PROPOSED ORDINANCE TO AMEND DISTRICT CODE SECTION 6.20.300 SCHEDULE OF REIMBURSEMENT FEES Suggested Agenda January 12, 2006 I. Request staff presentation. II. Public Hearing: A. Receive public comments. B. Request staff response, as appropriate. C. Close Public Hearing. III. Board deliberation regarding proposed ordinance to amend District Code Section 6.20.300 Schedule of Reimbursement Fees, and adoption of revised District Code Section 6.20.300 Schedule of Reimbursement Fees. N: \ENVRSRV\PERMITS \REIMBURSEMENTS \5786 - HIGHLAND DRIVE, DAN \HEARING AGENDA 5786.DOC Central Contra Costa Sanitary District /Ja i BOARD OF DIRECTORS POSITION PAPER Board Meeting Date: January 12, 2006 No.: 5.a. HEARINGS Type of Action: CONDUCT HEARING; ADOPT ORDINANCE subject: CONDUCT A PUBLIC HEARING TO RECEIVE COMMENTS ON A PROPOSED ORDINANCE TO AMEND DISTRICT CODE SECTION 6.20.300 SCHEDULE OF REIMBURSEMENT FEES, TO ESTABLISH REIMBURSEMENT FEES APPLICABLE TO PROPERTIES WHICH COULD CONNECT TO DISTRICT PROJECT 5786 OR 5792 Submitted By: Initiating Dept /Div.: Michael J. Penny, Associate Engineer Engineering /Environmental Services REVIEWED AND RECOMMENDED FOR BOARD ACTION: M. "We nny J. Miyamoto -Mills C. Swanson 11, IA A. Farrell General ISSUE: When a reimbursement fee is proposed for a property that could directly connect to a "standard facility," the District Code requires that a public hearing be held prior to the Board of Directors' consideration of the fee for adoption. RECOMMENDATION: Conduct a public hearing to receive comments on the proposed Ordinance to amend District Code Section 6.20.300, Schedule of Reimbursement Fees, to establish reimbursement fees applicable to property that could directly connect to District Project 5786or 5792 sewers. Adopt the Ordinance. FINANCIAL IMPACTS: An administrative charge to recover District costs is paid by the installer for setup of the reimbursement account and for each fee collection transaction. ALTERNATIVES /CONSIDERATIONS: Not applicable. BACKGROUND: Projects 5786 and 5792 are "standard facilities," as defined in the District Code. Certain individual property owners within the boundary of the project area are the installers of these facilities. To fairly and equitably distribute the cost for these facilities, the District Code provides for the installers to be reimbursed for the proportion of cost allocable to other properties which connect to the sewers within 20 years of project acceptance by the District. Staff has drafted a proposed Ordinance (Attachment 1) to establish reimbursement fees for properties that connect to these projects' sewers. Exhibits A -1 and A -2 of Attachment 1 show the locations of the projects and the properties that could directly connect to the projects' sewers. The proposed reimbursement fees will be collected from property owners, if and when they connect their property to the sewer system. The collected fee will be held in a separate account, and disbursed to the installers of the project. Page 1 of 9 N: \ENVRSEC \Position Papers \Penny \5786 5792 Conduct Public Hearing - Adopt Ordinance.doc POSITION PAPER Board Meeting Date: January 12, 2006 subject. CONDUCT A PUBLIC HEARING TO RECEIVE COMMENTS ON A PROPOSED ORDINANCE TO AMEND DISTRICT CODE SECTION 6.20.300 SCHEDULE OF REIMBURSEMENT FEES, TO ESTABLISH REIMBURSEMENT FEES APPLICABLE TO PROPERTIES WHICH COULD CONNECT TO DISTRICT PROJECT 5786 OR 5792 Calculations of the proposed reimbursement fees are summarized in Exhibits B -1 and B -2 of Attachment 1. The fees would be charged in addition to Capacity Fees and other District charges, such as those for permits, inspection, and sewer service. The District Code requires that reimbursement fees be adjusted at least annually to account for the increase or decrease in value of the facilities due to inflation and depreciation. These fees may also be adjusted to account for differences between estimated and actual costs, and increases or decreases in the number of connections that may connect to the facilities. However, once a particular property has connected to the public sewer, and the fees have been paid, the District will not collect any additional reimbursement fees for that connection, nor refund any excess reimbursement fees which might otherwise be occasioned by these adjustments. Appropriate notices have been posted, and published in the Contra Costa Times. In addition, individual letter notices were mailed to the owners of all affected properties, as required by District Code. RECOMMENDED BOARD ACTION: Conduct a public hearing to receive comments on the proposed ordinance to amend District Code Section 6.20.300 Schedule of Reimbursement Fees, to establish reimbursement fees for applicable properties that could directly connect to Project 5786 or 5792 sewers. Adopt the Ordinance. Page 2 of 9 N: \ENVRSEC \Position Papers \Penny \5786 5792 Conduct Public Hearing - Adopt Ordinance.doc ATTACHMENT 1 ORDINANCE NO. AN ORDINANCE TO AMEND DISTRICT CODE SECTION 6.20.300 SCHEDULE OF REIMBURSEMENT FEES TO ESTABLISH REIMBURSEMENT FEE APPLICABLE TO PROPERTIES THAT DIRECTLY CONNECT TO PROJECT 5786 (HIGHLAND DRIVE, DANVILLE) OR PROJECT 5792 (GABLE LANE, LAFAYETTE) STANDARD SEWER FACILITIES WHEREAS, the Central Contra Costa Sanitary District (District) Code Chapter 6.20 provides for reimbursement to installers of standard and special facilities from fees charged property owners when they apply to connect their property to the public sewer system; and WHEREAS, District Code Chapter 6.20 provides for the establishment of reimbursement accounts for constructed standard and special facilities; and WHEREAS, Project 5786 and 5792 sewers, the locations of which are shown on Exhibits A -1 and A -2 of this ordinance, incorporated in full herein by this reference, are standard facilities as defined in District Code Chapter 6.20; and WHEREAS, reimbursement fees have been calculated by the method specified in District Code Chapter 6.20, which calculations are summarized in Exhibits B -1 and B -2 of this Ordinance, incorporated in full herein by this reference; and . WHEREAS, a properly noticed public hearing to receive comments on the proposed reimbursement fees was conducted at the District Board of Directors' regularly scheduled meeting on January 12, 2006. NOW, THEREFORE, the Board of Directors of the Central Contra Costa Sanitary District does ordain as follows: Reimbursement fee applicable to properties that directly connect to Project 5786 or 5792 standard sewer facilities, designated on Exhibits A -1 and A -2 are hereby established. Said reimbursement fees, which shall be consecutively added to District Code Section 6.20.300 Schedule of Reimbursement Fees, have been calculated in the manner set forth in District Code Chapter 6.20 and shown in Exhibits B -1 and B -2 of this ordinance. The reimbursement fee for properties NAENVRSEC \Position Papers \Penny \5786 5792 Ordinance 1- 06.doc that directly connect to either project as cited above shall be as follows: District Description of Facility Allowable Number Reimbursement Project Actual Cost of RUES Fee per Unit Number 5786 Highland Drive Danville $327,358.10 19 $17,229.37 5792 Gable Lane Lafayette $53.900.43 5 $10,786.69 The reimbursement fees set forth herein shall be administered, adjusted, and collected according to the provisions of District Code Chapter 6.20. Exhibits A -1, A -2, B -1 and B -2 hereto shall not be incorporated into the District Code; however, copies of same shall be maintained in the District offices, and made available for inspection during the periods when the subject reimbursement fee is in effect. This ordinance shall be a general regulation of the District and shall be published once in the Contra Costa Times, a newspaper of general circulation within the District, and shall be effective on the eighth calendar day following such publication. PASSED AND ADOPTED by the Board of Directors of the Central Contra Sanitary District on the 12th day of January 2006, by the following vote: AYES: Members: NOES: Members: ABSENT: Members: COUNTERSIGNED: President of the Board of Directors, Central Contra Costa Sanitary District County of Contra Costa, State of California APPROVED AS TO FORM: Secretary of the District Kenton L. Alm, Counsel for the District Central Contra Costa Sanitary District NAENVRSEMPosition Papers \Penny \5786 5792 Ordinance 1- 06.doc M .r ,*,e "Oe 208 - 130- 032/033 EXHIBIT A -1 / 2 8 -100- r r / 492` ,\ 496 `r 08- 100 -006 \r r i r / e`s , 208 -100 -007 / J / 208- 120 -0081 EBMUD 208 - 120 -007 s� 208 -120 -006 cp 208 - 120 -00 s 208 - 120 -014 e 208 - 120 -004 `s"'0 �V �� �G 208 - 120 -013 e 9 �O 208- 130.004 A y � 208- 120 -012 O.j�� 208- 120 -010 s O s A 208 - 130 -017 Shp 208- 120 -011 e Ir e ' 208 -130 -018 Legend 208 - 130 -034 � t N u 1 Potential Connectors - 208 - 130 -035 11-M No. of RUE's eInstaller - No. of RUE'S — — — — Project 5786 facilities EXHIBIT A - 2 " 1 r�GABLE LN 1 ..� 230 - 030 -033/ j� 42 -�6• / 230 - 030 -031 Qu 9 7 Legend Potential Connectors - No. of RUE's eInstaller - No. of RUE's — — -- — Project 5792 facilities e 230 - 030 -027 s u 230 - 030 -026 EXHIBIT B -1 REIMBURSEMENT FEE CALCULATION PROJECT 5786, HIGHLAND DRIVE, DANVILLE IMF My Construction $288,587.60 Engineering 12,697.00 District Fees 26,073.50 Total $327,358.10 19 Residential Unit Equivalents (RUE) $327,358.10 / 19 RUE = $17,229.37 Street Address Assessors Parcel Number Number of RUE's Installer Waive Fee Potential Fee 492 Highland Dr. 208 - 100 -005 1 Yes N/A No 496 Highland Dr 208 - 100 -006 1 Yes N/A No 512 Highland Dr. 208 - 100 -007 1 Yes N/A No 518 Highland Dr. 208 - 120 -008 1 Yes N/A No 523 Highland Dr. 208 - 120 -014 1 Yes N/A No 535 Highland Dr. 208 - 120 -013 1 Yes N/A No 536 Highland Dr. 208 - 120 -005 1 Yes N/A No 544 Highland Dr. 208 - 120 -004 1 Yes N/A No 545 Highland Dr. 208 - 120 -012 1 Yes N/A No 550 Highland Dr. 208 - 130 -004 1 Yes N/A No 505 Highland Dr. 208 - 130 -035 1 Yes N/A No 580 Highland Dr. 208 - 130 - 032/033 1 Yes N/A No NAENVRSEMPosition Papers \Penny \5786 5792 Ordinance 1- 06.doc 524 Highland Dr. 208 - 120 -007 1 No No Yes 529 Highland Dr. 208 - 120 -010 1 No No Yes 530 Highland Dr. 208 - 120 -006 1 No No Yes 555 Highland Dr. 208 - 130 -018 1 No No Yes 560 Highland Dr. 208 - 130 -017 1 No No Yes 575 Highland Dr. 208 - 130 -034 1 No No Yes 7 Lonesome Rd. 208 - 130 -017 1 Yes N/A No N: \ENVRSEC \Position Papers \Penny \5786 5792 Ordinance 1- 06.doc EXHIBIT B -2 REIMBURSEMENT FEE CALCULATION PROJECT 5792, GABLE LANE, LAFAYETTE Construction $47,092.00 Engineering 2,900.00 District Fees 3,941.43 Total $53,933.43 5 Residential Unit Equivalents (RUE) $53,933.43 / 5 RUE = $10,786.69 Street Address Assessors Parcel Number Number of RUE's Installer Waive Fee Potential Fee 1 Gable Lane 230 - 030 -027 1 Yes N/A No 5 Gable Lane 230 - 030 -026 1 No No Yes 8 Gable lane 230 - 030 -033 1 No No Yes 9 Gable lane 230 - 030 -031 2 No No Yes NAENVRSEMPosition Papers \Penny \5786 5792 Ordinance 1- 06.doc Item 5.a PROPOSED ORDINANCE TO AMEND SCHEDULE OF REIMBURSEMENT FEES CCCSD Board Meeting January 12, 2006 Item 5.a Public Hearing for Reimbursement Accounts 1/12/2006 1. Hearing set on 12/1/2005 and 12/15/2005 2. All Parties Notified by Mail — Sent 12/2/2005 and 12/16/2005 3. Notice of Hearing was advertised on 12/20/2005 in the CC Times 4. Locations and Project Details a. Job 5786, Highland Drive, Danville (Aerial photo with parcels and sewer highlighted) i. 2,603 ft. of 8 -inch sewer ii. $327,358.10 1. District Fees - $26,073.50 2. Engineering - $12,697.00 3. Construction - $288,587.60 iii. 19 Parcels — 13 Installers iv. Mr. Ross Owens (installer) called requesting information on how reimbursements would be divided. b. Job 5792, Gable Lane, Lafayette (Aerial photo with parcels and sewer highlighted) i. 292 ft. of 8 -inch sewer ii. $53,933.43 1. District Fees - $3,941.43 2. Engineering - $2,900.00 3. Construction - $47,092.00 iii. 4 Parcels with 5 living units iv. Ed Wagstaff, the installer, emailed asking if the residents at 9 Gable Lane had any objection to the District assigning 2 RUEs to their property. No objections have been made. v. Bob Scarbrough, owner of 9 Gable Lane, called and requested copies of the cost data for construction. It was provided. 5. Questions 2 Item 5.a Highland Drive Item 5.a Gable Lane Item 7.A.1 PROPOSED MANDATORY AMALGAM SEPARATOR PROGRAM Curtis Swanson January 12, 2006 REGULATORY CHANGES • CCCSD influent and effluent concentrations are 260 and 30 ppt. • Mercury limit under current NPDES permit: > 87 ppt monthly average > 1000 ppt daily maximum • Remanded TMDL (October 2005) would have set mercury concentration triggers for treatment plants: > 36 ppt annual average 65 ppt maximum • San Francisco Bay Basin Plan has a mercury limit to be achieved in 2010: > 25 ppt 4 -day average J-TEM 1 Need for Mercury Reduction „ Efforts . The District's effluent has the. highest mercury concentration of the Bay Area POTW's. . This is due to limited source control and the recycle stream from the incinerator. • Staff recommends reducing mercury in the treatment plant influent and incinerator recycle to meet future effluent limits. 2 Dental Mercury Inventory WW • Surveyed dentist during 2005 • Only 35 of 313 amalgam - generating dental practices use or plan to use amalgam separators • This level of amalgam separators is not sufficient to lower the influent mercury concentration Mandatory Use of Amalgam Separators • 47% of influent mercury is from dental offices • Installation costs range from $500 - $2500 (average cost is $600 - $700) . Annual maintenance cost is estimated to be $200 . Staff recommends implementation of a mandatory amalgam separator program 3 Other Agencies' Approach to Amalgam Separators • Palo Alto, San Francisco, and EBMUD have mandatory amalgam separator ordinances • Regional Board could place requirement for mandatory amalgam separators in our new NPDES permit • State -wide mandatory programs have been proposed, but not yet approved Next Steps • Staff plans to develop a mandatory amalgam separator program for consideration by the Board • Initial discussion with P2 Plan to be presented on February 16, 2006 • Compliance Target — mid to late 2007 • Board will be given program options for consideration later this year • Staff seeks concurrence with the concept of a mandatory amalgam separator program 4 4—J c V L C 4- 0 V L 0 V) N �L Cl) � o C _ M (D O E L ^a) I _ O O U- cn � )o NN M CD r O N M :g 0 � O � 0O a O 2 N Q Y cu c N O co N cu N � Q 2 E L 0 N N 5 L L N L oi N N O Q c LL N E O N tm 00 —Cu cc Q = 0 N d V � 0 o LO _ N C d w L- a) i-� m N L N � N C to J 7.a.2 WET WEATHER REPORT Board of Directors Meeting January 12, 2006 Presented by Bill Brennan and Doug Craig Wet Weather Report Collection System • Pumping Stations Treatment Plant • Focus on the storms of New Year's weekend Collection System • 15 call outs from 12/30/05 to 01/02/06 • As many as three crews responding to calls on 12/31/05 • One overflow — Karen Lane — 4,500 gallons • Checked creek crossings and slides Pumping Stations • Pumping Stations North (Martinez system) had 4 call outs due to wet weather and alarms • Flooding in Martinez and Clyde • Systems worked as designed 2 Martinez Pumping Station Railroad Near Martinez Pumping Station Clyde Pumping Station Pumping Stations Pumping Stations West (major stations: Moraga, Orinda Crossroads, Lower Orinda) had 3 call outs for the start of the wet - weather diesel pumps • Systems worked as designed Lower Orinda was staffed from 6:30 p. m. on 12/30/05 to 10:00 P.M. on 12/31/05 M Summary Collection System and Pumping Stations • The Board has invested millions of dollars in the pumping stations and pipelines. • This resulted in a robust pumping station system that responded well to the rains of New Year's weekend and a pipeline system that kept sewage inside the pipe, aside from one overflow. • CSOD staff responded with speed and commitment to the mission of the District. • Staff is reviewing the event to see how we can improve the system and our response. Wet Weather Report Rainfall • December rainfall: 16 days and 11.79 inches • January rainfall: 3 days and 1.11 inches • Peak day: 3.95 inches (December 31, 2005) 5 Grayson Creek Treatment Plant Flow • Peak hour: 238 MGD (new record) • Peak day: 168 MGD • Peak — 3 day: 126 MGD • Peak — 5 day: 113 MGD • Maximum bypass to holding basins: 130 MGD (mainly raw sewage) 0 Concrete Channel to Basin "B" Power Demand • Dry weather use: 3,400 Kw • Peak hour: 5,520 Kw • Peak day: 5,000 Kw • Peak — 5 day: 4,577 Kw Basin Storage • Basin `B" storage: 90 —100 MG • Drained back and processed all diverted flows • Some odor — No confirmed complaints Capacity Issues • UV restricted process to: 105 — 110 MGD • Pacheco Slough water level • Primary clarifiers had low solids removal • Excessive grit/plugged piping What Worked Well • No PG &E failures • No Cogeneration issues • New Plant Operators performed well • Minimal maintenance issues and call -ins • Met permit requirements z 0 t Q cn U U U ✓t % �� v 100'8 VC -X7566 100' -8 VC-X1539 24'36 RC -X1580 m � . 20743 VC-X1586 W00 I ^ S ,jG XAS52 Central Contra Costa Sanitary District "J&�l 24' 36 RC X156C G a' 'sue n 7 T LANCASTER RD. ATTACHMENT DAMAGED PIPE MAP A 0 U t W.W-41 O cU January 12, 2006 7.d.2) REPORTS Page 1 of 4 2006 Board Committee Assignments Central Contra Costa Sanitary District January 12, 2006 TO: HONORABLE MEMBERS OF THE BOARD FROM: MARIO M. MENESINI, PRESIDENT OF THE BOA SUBJECT: 2006 BOARD COMMITTEE ASSIGNMENTS Teo I would propose the Standing Board Committee assignments listed below to be made to reflect the current needs and activities of the District. You will note that I am also proposing the creation of an Ad Hoc CSO Committee. This Committee will meet as needed and work more closely with staff to review the recommended Collection System Operations Division Corporation Yard Improvements. The function of this Ad Hoc Committee will be to review and refine the staff - recommended alternative, the other alternatives developed by staff, and to develop any new alternatives the Committee feels appropriate. The goal will be to select two to three alternatives to bring back to the full Board. One of the alternatives brought back to the full Board will be the staff recommended 20 -year alternative. The Ad Hoc Committee will provide regular updates to the Board on its progress and to receive input. Standing Committees Budget and Finance Committee CURRENT PROPOSED Chair: (Lucey) Lucey Member: (Hockett) Boneysteele Capital Proiects Committee CURRENT PROPOSED Chair: (Boneysteele) Boneysteele Member: (Lucey) Hockett Household Hazardous Waste Committee CURRENT PROPOSED Chair: (Hockett) Lucey Member: (Boneysteele) Boneysteele Outreach Committee CURRENT PROPOSED Chair: (Menesini) Menesini Member: (Nejedly) Hockett Personnel Committee CURRENT PROPOSED Chair: (Nejedly) Nejedly Member: (Hockett) Menesini Real Estate Committee CURRENT PROPOSED Chair: (Lucey) Nejedly Member: (Nejedly) Boneysteele Recycled Water Committee CURRENT PROPOSED Chair: (Boneysteele) Hockett Member: (Menesini) Lucey CSO AD HOC COMMITTEE (New Ad Hoc Committee) PROPOSED Chair: Nejedly Member: Menesini Representatives to Outside Agencies California Special Districts Association Contra Costa Chapter Representative: Menesini Alternate: Boneysteele Friends of San Francisco Estuary Representative: Menesini Sanitation and Water Agencies of Contra Costa County Representative: Hockett Alternate: Lucey Board Liaison to Cities and County Concord Nejedly Pacheco Alamo Hockett Danville San Ramon Lafayette Boneysteele Walnut Creek Martinez Menesini Pleasant Hill Contra Costa County Moraga Lucey Orinda Central Contra Costa Sanitary District ' BOARD OF DIRECTORS POSITION PAPER Board Meeting Date: January 12, 2006 No.: 8.a. ENGINEERING Type of Action: AUTHORIZE AGREEMENT subject: AUTHORIZE THE PRESIDENT OF THE BOARD OF DIRECTORS AND THE SECRETARY OF THE DISTRICT TO EXECUTE A JOINT POWERS AGREEMENT WITH THE CITY OF MARTINEZ FOR THE MORELLO BRIDGES REPAIR PROJECT, DISTRICT PROJECT 5642 Submitted By: Initiating Dept. /Div.: Tom Godsey, Associate Engineer Engineering / Capital Projects REVIEWED AND RECOMMENDED FOR BOARD ACTION: A, L ko--z, �k T. Godsey . P i A. Antkowiak A. 1 ha es General ISSUE: The Board of Directors' authorization is required for Joint Powers Agreements (JPA) with other public agencies that exceed $50,000. RECOMMENDATION: Authorize the President of the Board of Directors and the Secretary of the District to execute a Joint Powers Agreement with the City of Martinez (City) for replacement of the pedestrian bridges and supported District sewer in Hidden Lakes Park in Martinez. FINANCIAL IMPACTS: Under the proposed JPA, the District will pay 50% of all design and construction costs of the joint project. The District's share of the joint construction project is estimated to be $200,000. The City will assume responsibility for maintenance of the bridges after completion of the replacement project. ALTERNATIVES /CONSIDERATIONS: The Board could decline to authorize the agreement, which would result in the continued closure of the pedestrian pipe bridges that support our sewer. In order to protect the District sewer, the District would then need to either reconstruct a pipe bridge at the existing pedestrian pipe bridge location or construct a new pipe bridge at an adjacent location. Either of these alternatives would be more expensive than a joint project with the City of Martinez. BACKGROUND: The District sewer was suspended beneath two wooden pedestrian bridges in 1981 to serve Hidden Valley Estates in Martinez. At that time, ownership of the bridges and responsibility for continued maintenance was not established. Over time, the wooden support structure of the bridges deteriorated and, in late 2002, it was established that the bridges were failing and should be closed to pedestrian traffic. Because the District sewer supported by the bridges was at risk, the District explored a joint solution with the City. NAPESUMCbradley \Position Papers\2006\January\5642 - Morello Bridges Repair.DOC Page 1 of 3 POSITION PAPER Board Meeting Date: January 12, 2006 subject: AUTHORIZE THE PRESIDENT OF THE BOARD OF DIRECTORS AND THE SECRETARY OF THE DISTRICT TO EXECUTE A JOINT POWERS AGREEMENT WITH THE CITY OF MARTINEZ FOR THE MORELLO BRIDGES REPAIR PROJECT, DISTRICT PROJECT 5642 The Morello Bridges Repair Project will replace an existing 8 -inch sewer line suspended beneath two pedestrian bridges in Hidden Lakes Park in Martinez (see Drawing No. 1). Construction of the sewer will involve close cooperation with the City of Martinez. The City will be the lead agency responsible for project management, permitting, and bidding, as well as contract administration during construction and inspection of the bridge construction. District staff prepared the plans and specifications for the sewer portion of the project and will inspect and provide submittal review for the sewer construction. The District will also provide construction staking and surveying assistance. The actual total cost of the District's share of the joint project will be determined at the time of bid. The estimated District share of the joint construction project cost is $200,000. Following replacement of the bridges, the City of Martinez will assume ownership and responsibility for all future maintenance of the bridges. The City of Martinez will be considering this JPA at their January 18, 2006 Council meeting. The replacement of the pipe and bridges is included in the fiscal year 2005 -2006 Capital Improvement Budget (CIB) on pages 44 -46. Staff has conducted a cash -flow analysis of the Collection System Program Budget and concluded that adequate allocatable funds are available for this project. Staff has concluded that this project is exempt from the California Environmental Quality Act (CEQA) under District CEQA Guidelines, Section 15301, since it involves only alterations of existing facilities with negligible or no expansion of capacity. Approval of this project will establish the Board of Directors' independent finding that the project is exempt from CEQA. RECOMMENDED BOARD ACTION: Authorize the President of the Board of Directors and the Secretary of the District to execute a Joint Powers Agreement with the City of Martinez for the Morello Bridges Repair Project, District Project 5642. NAPESUP\Cbradley \Position Papers\2006 \January\5642 - Morello Bridges Repair.DOC Page 2 of 3 \ 4 c�yTF � a 9 BEE v DWROOD AVE �o PROJECT 9�F LOCATION CHILPANCINGO PKWY y AREA MAP NTS 0 300 \ E FEET E n Central Contra Costa Sanitary District v u SILVERWOOD DR 0 o w L o OQ - 'yVUOD\ O� Mp9F�D CENTER AVE LEGEND: EXISTING SEWER LINE EXISTING SEWER LINE (ON BRIDGES) EXISTING MANHOLE Ci Drawing No. MORELLO PEDESTRIAN BRIDGES CCCSD D.P. 5642 Page 3 of 3 � l r1 m A cn U U U NEI U Or O 0 -' ........... r I- Im u a- . am �E�r ��� --�. �� r-� ►�.i CCU 4� polo 4 muom% 0 i CL i 0 y- tZ c 0 CL i l 0 ;qlklo-1 4� Central Contra Costa Sanitary District ' BOARD OF DIRECTORS POSITION PAPER Board Meeting Date: January 12, 2006 No.: g,b. ENGINEERING Type of Action: AUTHORIZE CHANGE ORDER Subject: AUTHORIZE THE GENERAL MANAGER TO EXECUTE A CONSTRUCTION CHANGE ORDER WITH KAWEAH CONSTRUCTION COMPANY ON THE TREATMENT PLANT PROTECTIVE COATING AND PIPING RENOVATIONS PROJECT, PHASE 3 (DP 7233) Submitted By: Initiating Dept ✓Div.: Nathan Hodges, Assistant Engineer Engineering /Capital Projects REVIEWED AND RECOMMENDED FOR BOARD ACTION: fIrr — El�_r A - AA;ka--,q �k — i �NHodges B. Than Acting Capital Projects A. Farrell harles . Division Manager General Ma ISSUE: Authorization of the Board of Directors is required for the General Manager to execute a construction change order in an amount greater than $50,000. RECOMMENDATION: Authorize the General Manager to execute a construction change order in an amount not to exceed 50 percent of $374,352.00 or $187,176 to Kaweah Construction Company on the Treatment Plant Protective Coating and Piping Renovations Project, Phase 3, District Project 7233. FINANCIAL IMPACTS: The change order in the amount of $187,176 represents fourteen percent (14 %) of the original construction contract amount. ALTERNATIVES /CONSIDERATIONS: Do not authorize the construction change order, and have staff renegotiate. BACKGROUND: On August 2, 2005, the South Quad Clarifier No. 4 was found damaged. The bottom slab had lifted, shifting the clarifier center column and shearing the walkway beam bolts. After investigating the extent of damage, the contractor, Kaweah Construction Company ( Kaweah), produced a design to restore the clarifier to its pre- existing condition. District Counsel, in closed session during the November 3, 2005, Board Meeting, presented several options to fund the clarifier repair. The initial cost estimate ranged between $300,000 and $400,000 at that time. The Board indicated that a firm cost estimate be prepared and agreed with the concept that costs of repair would be shared equally between Kaweah and the District. N: \PESUP \Position Papers \Hodges \7233 Kaweah CO 5.doc Page 1 of 2 POSITION PAPER Board Meeting Date: January 12, 2006 Subject. AUTHORIZE THE GENERAL MANAGER TO EXECUTE A CONSTRUCTION CHANGE ORDER WITH KAWEAH CONSTRUCTION COMPANY ON THE TREATMENT PLANT PROTECTIVE COATING AND PIPING RENOVATIONS PROJECT, PHASE 3 (DP 7233) District staff continued work with Kaweah to develop an acceptable repair solution. On December 2, 2005, Kaweah submitted a design that was accepted by District staff. Repair costs have been received and a settlement agreement has been prepared. The settlement agreement provides for a lump sum payment to Kaweah to repair the clarifier. In order to expedite the repair and return the clarifier to service quickly, two cost options have been prepared. Option 1 is for replacement of the entire 9 -inch thick concrete slab. Option 2 is for replacement of only the portion of the 9 -inch thick concrete slab that experienced significant uplift. To determine which repair option to implement, the steel reinforcement will be sampled and tested. If testing shows only a portion of the steel has failed, then Option 2 will be implemented at a total cost of $335,678. If the steel has failed in the entire 9 -inch slab, then Option 1 will be implemented at a total cost of $374,352. All costs associated with the implemented option will be shared equally between Kaweah and the District. Staff has authorized work to begin on the repair because the unavailability of the clarifier is problematic during wet weather. Accrued costs are not expected to exceed staff authority by the time of the Board meeting. A closed session has been scheduled to discuss this matter with the Board, if needed. RECOMMENDED BOARD ACTION: Authorize the General Manager to execute a construction change order in an amount not to exceed $187,176 to Kaweah Construction Company on the Treatment Plant Protective Coating and Piping Renovations Project, Phase 3, District Project 7233. N:\PESUP \Position Papers \Hodges \7233 Kaweah CO 5.doc Page 2 of 2 .n 00 E a) 0 0 N N L D j O M W z Cl) C� w pC z W a- a � Z Q Q J O V v D j Q i= � v C� w = o a a 0 cn Q 0 N a z a L N 0 0 L A 0 0 i 0 v 0 J N i a� W 4= O �a E E cn 0 E _� 0 cn a O ) •�•+ CL 0 O O � O C� u- cn o0 CL = a = O O 00 -� m C. oa L O cn CD .0 CD m _ w E '� M m V M Z O 0 cn CL E O Cf) _ 4� O L. O E v *a V O C/) o W> w cod AW 0 H N N L 0 L am m L L m O _ O W V m 4i .LM L V cos 4)N._ •- M V L O -a E .- > O O .L' V Z @ .� CL O i O 0 L L � W � O CL ca O cn a 0 O O 0 m L O V M E L � O �V �■+ L :r m 0 O CL ._ L Z ow . N i 0 as 0 v as Cr 4) O AM& L O AW AMA V Q Lm V O• V CL � L V � � L 'a L LL N O >+ Lm O � V � L Q� CL E 0 Lm C4 0 E Lo x cn E w m to)- M 0 L ti y Q � � V) N N i 0 Central Contra Costa Sanitary District ' BOARD OF DIRECTORS POSITION PAPER Board Meeting Date: January 12, 2006 No.: 8.c. ENGINEERINO Type of Action: AUTHORIZE AGREEMENT subject: AUTHORIZE THE GENERAL MANAGER TO ENTER INTO AN OPTION AGREEMENT WITH TROJAN TECHNOLOGIES, INC. TO PAY A LICENSE FEE FOR USE OF AN ALTERNATE SUPPLIER'S TECHNOLOGY IN CONNECTION WITH THE ULTRAVIOLET DISINFECTION EXPANSION PROJECT, DP 7240 Submitted By: Initiating Dept /Div.: Ba T. Than, Senior Engineer Engineering /Capital Projects REVIEWED AND RECOMMENDED FOR BOARD ACTION: A Charles W. acts, B. Than Acting Capital Projects A. Farre General Manager Division Manager ISSUE: Board of Director's authorization is required for the General Manager to enter into agreements that could obligate the District to expenditures greater than $50,000. RECOMMENDATION: Authorize the General Manager to enter into an option agreement that could obligate the District to pay a license fee of up to $160,000 to Trojan Technologies, Inc. (Trojan) to enable purchase of ultraviolet (UV) disinfection equipment to match the existing equipment (designed and manufactured by Fischer & Porter / Elsag Bailey /ABB). FINANCIAL IMPACTS: This authorization could obligate the District to pay for an option on a license agreement. If the District does not ultimately use the Fischer & Porter / Elsag Bailey /ABB designed equipment for any reason, the District would forfeit the amount paid for the option. This amount is not currently negotiated but would likely be within staff authority. The payment of the license fee would be authorized by the Board in a separate action at the time of award of the Ultraviolet Disinfection Expansion Project Construction Contract. ALTERNATIVES /CONSIDERATIONS: If an appropriate fee and appropriate terms and conditions cannot be negotiated for the license, similar UV equipment could be purchased directly from Trojan. Unfortunately, the equipment offered by Trojan does not match the existing UV equipment, so its use is not preferred. BACKGROUND: On December 1, 1994, the District awarded the Ultraviolet Disinfection Facilities Project (District Project 7100) to install 18 banks of ultraviolet lamps in six channels for disinfection of final effluent. At the time, there were three known manufacturers that were able to supply the equipment. The low bidder, Fischer & Porter (later Elsag Bailey and then ABB) was at the time in a patent dispute with Trojan. The District received a very favorable bid from Fischer & Porter and N: \TREATPLANT\7240 - UV Disinfection Expansion \7240 Execute Agreement 1- 06.doc Page 1 of 3 POSITION PAPER Board Meeting Date: January 12, 2006 subject AUTHORIZE THE GENERAL MANAGER TO ENTER INTO AN OPTION AGREEMENT WITH TROJAN TECHNOLOGIES, INC. TO PAY A LICENSE FEE FOR USE OF AN ALTERNATE SUPPLIER'S TECHNOLOGY IN CONNECTION WITH THE ULTRAVIOLET DISINFECTION EXPANSION PROJECT, DP 7240 elected to purchase their equipment with the knowledge that a patent dispute was pending. On December 17, 1997, a settlement was reached between Elsag Bailey (previously Fischer & Porter) and Trojan, known as an Asset Purchase Agreement, which essentially allowed Trojan to purchase all of Elsag Bailey's assets (including intellectual properties) and provided that Elsag Bailey could only service existing accounts going forward. Subsequently, Elsag Bailey /ABB and then IronBrook Partners (IronBrook) were assigned the rights of Elsag Bailey /ABB for servicing existing accounts as provided for in the Asset Purchase Agreement. Currently, Trojan does not manufacture or supply the spare parts for the existing UV equipment. The District wishes to install six new banks of lamps in two additional channels to increase the maximum flow capacity of the secondary treatment system from 90 million gallons per day (mgd) to 135 mgd. The benefits of this project are in greater equipment redundancy, improved disinfection during high turbidity events, and reduced use of the wet weather storage ponds and reduced instances of overflow to Walnut Creek. Some of these issues have been discussed with the Board in previous meetings. District staff believes that it is in the District's best interest to operate the UV facility with matching equipment throughout. This approach will substantially simplify stocking of spare parts and provide more efficient operation, as staff need only be familiar with one system. IronBrook is the current vendor for the equipment, which matches the Elsag Bailey /ABB equipment previously installed by the District. Accordingly, over the last several months, District staff has been in discussion with both IronBrook and Trojan about whether the District intended purchase of six new banks of lamps for installation in two additional channels is covered under the existing account provisions of the Asset Purchase Agreement. Trojan has maintained that installation of new modules is a new installation and not maintenance of an existing account. Therefore, Trojan contends IronBrook does not have the right to furnish this equipment without a license from Trojan. IronBrook disagrees with Trojan's position. After much discussion and review of relevant documents, District engineering and legal staff recognized that Trojan has a tenable position and IronBrook is not interested in litigating their position. We therefore conclude that a licensing agreement should be entered into with Trojan if the District wishes to utilize matching equipment. A license fee of $160,000, approximately ten percent of Trojan's estimate for furnishing their equipment, has been preliminarily negotiated by staff. The terms and condition would cover a license for the new equipment and any future parts. The specifics of these terms and conditions are still being negotiated. The concept would be to pay Trojan a nominal amount now for an option to purchase a license agreement when and if we negotiate a sole source agreement with IronBrook and award a construction N: \TREATPLANT\7240 - UV Disinfection Expansion \7240 Execute Agreement 1- 06.doc Page 2 of 3 POSITION PAPER Board Meeting Date: January 12, 2006 subject AUTHORIZE THE GENERAL MANAGER TO ENTER INTO AN OPTION AGREEMENT WITH TROJAN TECHNOLOGIES, INC. TO PAY A LICENSE FEE FOR USE OF AN ALTERNATE SUPPLIER'S TECHNOLOGY IN CONNECTION WITH THE ULTRAVIOLET DISINFECTION EXPANSION PROJECT, DP 7240 contract. Final authorization to obtain the license would come back to the Board for approval with the equipment purchase and construction contract award. Because such an option could obligate the District to a future expenditure that exceeds staff authority, staff is requesting Board approval of this approach at this time. If the terms and conditions of the arrangement with IronBrook and Trojan cannot be negotiated to protect the District's long -term access to spare parts, the District can elect to purchase Trojan UV disinfection equipment. While this equipment is not identical to the current equipment, it is a proven technology similar enough that operations and maintenance staff could adapt to it use. This would require two sets of spare parts, and additional operation and maintenance training. Staff believes the Project could incorporate its use if necessary. Staff recommends entering into an option for a license from Trojan at this time in order to allow this project to proceed without danger of patent litigation disrupting the Project. The license fee of $160,000, plus an additional amount for the option, has been preliminary negotiated. Staff will keep the Board informed as the discussions with both vendors progress. RECOMMENDED BOARD ACTION: Authorize the General Manager to enter into an option agreement for a nominal amount within staff authority, that would obligate the District to pay a license fee of up to $160,000 to Trojan Technologies to enable purchase of ultraviolet disinfection equipment to match the existing Elsag Bailey /ABB designed equipment. N: \TREATPLANT\7240 - UV Disinfection Expansion \7240 Execute Agreement 1- 06.doc Page 3 of 3 8 REVISED RECOMMENDATION FOR ITEM 8.C. Staff Recommendation (Motion Required): Authorize the General Manager to pay a license fee of $160,000 to Trojan Technologies for use of an alternate supplier's technology as recommended. :, ULTRAVIOLET DISINFECTION EXPANSION PROJECT DP 7240 UPDATE January 12, 2006 Board Meeting Change in Board Authorization Needed • Staff wishes to continue negotiations with IronBrook and Trojan on patent and equipment procurement issues • Direction changed since position paper... option costs found to be prohibitive. • Staff needs authority to commit the District to purchase of a license agreement from Trojan Technologies for $160,000. Ultraviolet (UV) Disinfection Expansion Project • Increases wet weather capacity 90 -135 mgd • Reduces overflows to holding ponds • Increases from 6 to 8 UV channels • Desirable to match existing technology — Reduces inventory of spare parts — Reduces operator training needs — More efficient UV Disinfection Technology • Two vendors currently supply system • IronBrook Partners system identical • Trojan Technologies system similar — Power distribution located in channel — Electrical components different — Lamps and lamp configuration identical 1. F � . .F !lllii { � i I I '� •� �?� � i! i �! i t �; i f I I l f ? UV System Technology • Trojan Technologies holds original patent • Patent infringement charged by Trojan against Fischer Porter/Elsag Bailey /ABB • Settlement agreement in 1997 provides for Elsag Bailey (now IronBrook Partners) to service only existing installations • Do two new channels = service existing installation in accordance with agreement? UV System Technology • Trojan maintains new module installation is not servicing existing installation • IronBrook disagrees but does not want to litigate their position • District legal and engineering staff conclude that license agreement with Trojan is necessary to match existing equipment s UV System License Costs • Typical license cost 5 -15% of technology • Trojan estimate Feb 2005 $1.651 M • IronBrook estimate Jan 2005 $1.494 M • IronBrook lower by $157,000 • 10% Trojan estimate = $160,000 • License fee of 10% ($160,000) makes IronBrook similar cost to Trojan based on 2005 price quotes UV System License Terms and Conditions • Trojan must guarantee access to patented spare parts through IronBrook for all time • If IronBrook goes out of business, Trojan must guarantee access to patented spare parts through another vendor for all time C UV License Negotiations New Developments • Option costs are significant and in addition to license cost of $160,000 per Trojan • Only two alternatives available: — Pay $160,000 and purchase IronBrook UV — Purchase Trojan UV • Save option costs and pay license costs up front, if Trojan agrees to credit license cost against purchase of Trojan UV Modified UV System Procurement Approach • Complete negotiation of IronBrook Package — $160,000 license from Trojan — $1,650,000 current quote from IronBrook • Include firm price in UV installation construction bid documents. • Bring UV construction project to Board • If agreement not reached with IronBrook, negotiate price with Trojan including $160,000 credit, then bid construction project. 7 Board Authorization Needed • Staff wishes to continue negotiations with IronBrook and Trojan on patent and equipment procurement issues • Staff needs authority to commit the District to purchase of a license agreement from Trojan Technologies for $160,000. January 12, 2006 10.b. BUDGET AND FINANCE Page 1 of 4 Adjourn Special Board Meeting and reconvene as the Central Contra Costa Sanitary District Facilities Financing Authority to conduct its Annual Meeting. CENTRAL CONTRA COSTA SANITARY DISTRICT FACILITIES FINANCING AUTHORITY ANNUAL MEETING JANUARY 12, 2006 AGENDA 1. CALL TO ORDER 2. ROLL CALL 3. PUBLIC COMMENTS 4. ELECTION OF OFFICERS a. Election of Officers pursuant to Article III, Section 2 of the Bylaws as follows: 1) Appoint President of the Authority (Chair of the Budget and Finance Committee of the District Board of Directors); 2) Appoint Vice President of the Authority (remaining Member of the Budget and Finance Committee of the District Board of Directors); 3) Appoint Executive Director of the Authority (General Manager of the District); 4) Appoint Treasurer of the Authority (Controller of the District); and 5) Appoint Secretary of the Authority (Secretary of the District). 5. APPROVAL OF MINUTES a. Approve Minutes of January 13, 2005. 6. BUDGET AND FINANCE a. The Treasurer of the Authority will present Financial Status Report for 2005. 7. OTHER BUSINESS RELATING TO MATTERS ABOVE 8. ADJOURNMENT a. Adjourn annual meeting of the Authority and reconvene as the Board of Directors of the Central Contra Costa Sanitary District. MINUTES OF THE ANNUAL MEETING OF THE CENTRAL CONTRA COSTA SANITARY DISTRICT FACILITIES FINANCING AUTHORITY HELD ON JANUARY 13, 2005 At 3:04 p.m., President Hockett adjourned the Adjourned Regular Board Meeting and Member Lucey, Chair of the Central Contra Costa Sanitary District ( CCCSD) Facilities Financing Authority, convened the annual meeting of the CCCSD Facilities Financing Authority. Chair Lucey requested that the Secretary call roll. PRESENT: Directors: Menesini, Boneysteele, Nejedly, Hockett, Lucey ABSENT: Directors: None Chair Lucey requested public comments, and noted that there were none. Chair Lucey stated that in accordance with the Bylaws of the Authority, it would be appropriate to elect officers at this time. By unanimous acclamation pursuant to Article III, Section 2 of the Bylaws, the following slate of officers shall be elected for 2005: 1) Chair of the Authority shall be Director Gerald R. Lucey, Chair of the Budget and Finance Committee of the District Board of Directors; 2) Vice Chair of the Authority shall be Director Barbara D. Hockett, the remaining member of the Budget and Finance Committee of the District Board of Directors; 3) Executive Director of the Authority shall be Mr. Charles W. Batts, General Manager of the District; 4) Treasurer of the Authority shall be Ms. Deborah Ratcliff, Controller of the District; and 5) Secretary of the Authority shall be Ms. Joyce E. Murphy, Secretary of the District. It was moved by Director Hockett and seconded by Chair Lucey, that the minutes of the CCCSD Facilities Financing Authority annual meeting of January 15, 2004, be approved as presented. There being no objection, the motion was unanimously approved. MINUTES OF THE ANNUAL MEETING OF THE CENTRAL CONTRA COSTA SANITARY DISTRICT FACILITIES FINANCING AUTHORITY HELD ON JANUARY 13, 2005 At 3:04 p.m., President Hockett adjourned the Adjourned Regular Board Meeting and Member Lucey, Chair of the Central Contra Costa Sanitary District ( CCCSD) Facilities Financing Authority, convened the annual meeting of the CCCSD Facilities Financing Authority. Chair Lucey requested that the Secretary call roll. PRESENT: Directors: Menesini, Boneysteele, Nejedly, Hockett, Lucey ABSENT: Directors: None Chair Lucey requested public comments, and noted that there were none. Chair Lucey stated that in accordance with the Bylaws of the Authority, it would be appropriate to elect officers at this time. By unanimous acclamation pursuant to Article III, Section 2 of the Bylaws, the following slate of officers shall be elected for 2005: 1) Chair of the Authority shall be Director Gerald R. Lucey, Chair of the Budget and Finance Committee of the District Board of Directors; 2) Vice Chair of the Authority shall be Director Barbara D. Hockett, the remaining member of the Budget and Finance Committee of the District Board of Directors; 3) Executive Director of the Authority shall be Mr. Charles W. Batts, General Manager of the District; 4) Treasurer of the Authority shall be Ms. Deborah Ratcliff, Controller of the District; and 5) Secretary of the Authority shall be Ms. Joyce E. Murphy, Secretary of the District. It was moved by Director Hockett and seconded by Chair Lucey, that the minutes of the CCCSD Facilities Financing Authority annual meeting of January 15, 2004, be approved as presented. There being no objection, the motion was unanimously approved. Ms. Deborah Ratcliff, Treasurer of the Authority, reported that in December 1994 Certificates of Participation were issued in the amount of $25 million for a 20 -year period. In October 1998 revenue bonds were issued to refund all outstandingdebt at 3.5 percent to 4.7 percent interest. In 2004 a final arbitrage calculation was done on the original bonds issued in 1994, resulting in receipt of $21,000 back from the Internal Revenue Service. There are -eleven remaining years of debt service on the 1998 revenue bonds. The outstanding balance is $20,750,000 and the debt service in 2004 was $2,216,000. In May 2002 Revenue Installment Certificates in the amount of $16,565,000 were issued with a 20 -year term and interest rates ranging from 4 percent to 5 percent. Debt service in 2004 was $743,000, which represents an interest only payment. Chair Lucey thanked Ms. Ratcliff for her report. There being no further business to come before the Board, Chair Lucey adjourned the annual meeting of the CCCSD Facilities Financing Authority at the hour of 3:07 p.m. and turned the meeting back to President Hockett. Gerald R. Lucey President of the Central Contra Costa Sanitary District Facilities Financing Authority COUNTERSIGNED: Elaine R. Boehme Secretary of the Central Contra Costa Sanitary District Facilities Financing Authority