HomeMy WebLinkAboutBOARD MINUTES 02-18-101
MINUTES OF THE REGULAR MEETING
OF THE DISTRICT BOARD OF THE
CENTRAL CONTRA COSTA SANITARY DISTRICT
HELD ON FEBRUARY 18, 2010
The Board of Directors of the Central Contra Costa Sanitary District convened in a
regular meeting at their regular place of business, 5019 Imhoff Place, Martinez, County
of Contra Costa, State of California, at 2:00 p.m. on Thursday, February 18, 2010.
President McGill called the meeting to order and requested that the Secretary call roll.
1. ROLL CALL
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PRESENT: Members: Hockett, Lucey, Menesini, Nejedly, McGill
ABSENT: Members: None .
a. PLEDGE OF ALLEGIANCE TO THE FLAG
Board and staff joined in the Pledge of Allegiance.
b. INTRODUCTIONS
The Board welcomed newly-hired Human Resources Analyst, Chris Ko.
2. PUBLIC COMMENTS
There were no public comments.
3. CONSENT CALENDAR
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It was moved by Member Menesini and seconded by Member Hockett to adopt the
Consent Calendar with the exception of Item 3.h. Motion passed by unanimous vote of
the Board.
a. Approve expenditures dated February 18, 2010. Reviewed by Budget and
Finance Committee.
b. Receive December 2009 Financial Statements. Reviewed by Budget and
Finance Committee.
c. Approve minutes of January 21, 2010 Board meeting.
Book 59 -Page 187
Board Minutes of February 18, 2010
d. Adopt Resolution 2010-008 accepting grants of easements from property owners
in the Moraga Del Rey neighborhood, Orinda, District Project 5950 -Parcels 10, ,
33 and 47; and authorize staff to record documents with the Contra Costa County
Recorder.
e. Authorize execution of the updated Pretreatment Memorandum of Understanding
with the City of Concord for the District to continue conducting pretreatment
program activities in the City of Concord's sewer service area.
f. Deny claim from Encompass Insurance for repair costs to their insured's vehicle.
g. Accept the contract work for the Pleasant Hill Sewer Renovations, Phase 1,
District Project 5961, completed by McNamara and Smallman Construction, Inc.,
and authorize filing of the notice of completion.
h. Authorize the substitution of Bailey Fence Company, Inc. and BR Acoustical,
Inc., the listed subcontractors, with AJR Door Service, Inc. and Daley's Drywall
for the fencing and acoustical ceiling work on the CSOD Administration, Crew,
and Warehouse Facility, District Project 8208.
Staff responded to Member Menesini's questions regarding the reason for the
substitution request.
It was moved by Member Menesini and seconded by Member Hockett to approve ,
Item 3.h. Motion passed by unanimous vote of the Board.
4. CALL FOR REQUESTS TO CONSIDER ITEMS OUT OF ORDER
Item 5.a.2) was taken out of order immediately prior to Item 5.a.1).
5. REPORTS
a. GENERAL MANAGER
1) Pollution Prevention Report for 2009 and Pollution Prevention Plan for
2010.
General Manager James Kelly stated that the District's National Pollutant
Discharge Elimination System (NPDES) permit requires staff to submit an annual
report of pollution prevention activities for the previous year, and that this was
reviewed by the Outreach Committee.
Assistant Engineer Melody LaBella provided highlights from the 2009 Pollution
Prevention Annual Report and the 2010 Pollution Prevention Plan. The
Household Hazardous Waste Collection Program collected 1.8 million Ibs of '
household hazardous waste, over 60,000 Ibs of biocides and over 2,200 gallons
Book 59 -Page 188
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Board Minutes of February 18, 2010
of cooking fats or oil. A total:of 4,700 Ibs of unwanted pharmaceuticals was also
' collected.
She described the Source Control Program and stated that staff has continued
the Industrial Users Academy and implementation of the Mandatory Dental
Amalgam Program. The High School Mercury Minimization Program was also
continued and the 17th Annual Pollution Prevention Awards were conducted.
Community outreach included several Pollution Prevention and "green" articles in
the three issues of "Pipeline" mailed to all customers. Over 324 plant tours were
conducted.
New goals for 2010 include working with Contra Costa Clean Water Program to
ensure District standards are met for stormwater diversions; a residential fats, oil
and grease pilot study; and the addition of pyrethroid pesticides as a pollutant of
emerging concern in the 2010 Pollution Prevention Plan.
2) Contractual Assessment Districts (CAD) Financing Options Update.
General Manager James Kelly stated that, last year, a group of property owners
along Sunnybrook Road in Alamo requested that the District form a contractual
assessment district to finance a public sewer to serve their neighborhood. Staff
advised the Board that, because of a state law passed in 2008, the District was
prohibited from forming CADS and that the CAD program had been discontinued
in 2004. At the December 3, 2009 Board meeting, staff reported that the District
would be able to initiate contractual assessment districts as of January 1, 2010,
as a result of corrective legislation. Staff requested direction about restarting a
contractual assessment district program. The Board asked staff to provide
additional information about resuming a CAD program, including financing
options.
Environmental Services Division Manager Curt Swanson presented a report
about financing options for a possible CAD program. He stated that the CAD
program ran from 1997 to 2004, and in 2007 the District formed the Alhambra
Valley Assessment District for the Alhambra Valley sewer connection project.
There has been significant interest in forming a new CAD for the Sunnybrook
Road area, which has 15 potential connections, and some interest from residents
of Cordell/Harper Lane in Danville, La Sonoma Way in Alamo, Jackson Way in
Alamo, and six other areas in Orinda, Lafayette and Walnut Creek.
Mr. Swanson suggested that before a CAD program is reinstated, the Board
should consider funding source and level, financing terms and length, and
program rules. Previously, District reserves were used to finance CADs.
Financing options also include bonds, loans, or a combination of bonds and
' loans.
Book 59 -Page 189
Board Minutes of February 18, 2010
Mr. Swanson explained the CAD program rules that were in existence from 1997-
2004. He stated that staff recommends using the same rules for any future '
CADs, and also recommends using loans to finance the program rather than
District reserves.
Member Nejedly asked whether staff has a recommendation for a cap for the
program. Staff responded that that matter has not been addressed. Member
Nejedly stated his support for reinstating the CAD program, and expressed a
preference for financing the program through District reserves rather than loans.
Member Lucey concurred with Member Nejedly's position.
Member Hockett stated that she would need more information comparing the use
of loans versus District reserves before making a decision.
Member Menesini also expressed support for reinstatement of the CAD program.
President McGill asked questions concerning liens, loan rates, and how a loan
would be collected from the property owner. He stressed the importance of
flexibility and options for repayment.
Steven Savage, resident of Sunnybrook Road, addressed the Board in support of
reinstating the CAD program in his neighborhood. He stated that he knows of '
sixteen residents who support the CAD program. He requested that the District
look at financing the fees that would be assessed.
District Counsel Kent Alm confirmed that, in the earlier CAD program, fees were
not to be financed. He stated that fees can in fact be financed, but not through
an assessment district program.
General Manager James Kelly stated that staff will bring the matter back to the
Board with additional information for consideration.
3) Contra Costa County Employees' Retirement Association (CCCERA)
Update.
Director of Administration Randy Musgraves referred to his memorandum dated
February 18, 2010 summarizing the recent CCCERA Board meeting. He stated
that, at that meeting, the CCCERA Board adopted acost-of-living adjustment
(COLA) of 2.5% as of April 1, 2010. Also at that meeting, the CCCERA Board
directed their legal counsel to bring a proposal to the CCCERA Board that would
modify their terminal compensation policy for new employees. The proposal
would redefine compensation for retirement purposes to include pay for what is:
earned, payable in cash, to the employee, during service, in the "final
compensation" period. The definition of new employee was to be clearly defined ,
by their legal counsel, with the understanding that the employers have an
Book 59 -Page 190
Board Minutes of February 18, 2010
opportunity to provide comment at the public Board meeting when the matter is
' discussed. He stated that nothing is being changed for retirees and active
employees, but future employees will have limited ability to spike their retirement.
He confirmed that the CCCERA Board has not yet taken a vote on the matter.
4) General Manager James Kelly announced that Environmental Services
Division Manager Curt Swanson will be attending the Washington D.C.
California Association of Sanitation Agencies (CASA) Conference from
Sunday, March 7 through Wednesday, March 10, 2010, in place of
himself.
5) General Manager James Kelly announced that the following is a list of
past/expected retirements, thus far, for 2010:
Dennis Almond, Construction Inspector -March date anticipated
Rich Boylan, Vehicle & Equipment Maintenance Supervisor -March 30tH
Bill Brennan, Director of Collection Systems -February 16tH
Bill Clement, Engineering Support Supervisor -March Stn
Doug Craig, Director of Plant Operations -March 30tH
Sue Hasselwander, Chemist II -January 19tH
Doris Keifer, Administrative Assistant -March 17tH
Chris Keith, Construction Equipment Operator -January 21St
' Paul Louis, Maintenance Supervisor -March 24tH
Darlene Ross, Human Resources Analyst -February 16tH
Adela (Deily) Schwitters, Engineering Technician II -March 3`d
Patricia Kast, Administrative Support Supervisor -March 17th
For this same time frame in 2009, there was a total of four retirements.
6) General Manager James Kelly announced that Environmental Services
Division staff will host a community meeting on Wednesday, March 3,
2010, in the Mt. Diablo Room at the Danville Library located at 400 Front
Street in Danville. The meeting will begin at 7 p.m., and is being held to
give residents an opportunity to learn more about the annexation process.
Staff initiated the "open house" meeting process after the Local Agency
Formation Commission (LAFCO) recommended that we expand our
routine outreach to affected property owners who have not petitioned for
annexation to the District. The recommendations were made by LAFCO's
Commissioners at the public hearing for DA 170. The meeting information
will include the availability of sewer service, and the procedures, and cost
for connecting to the District's sewer system.
b. COUNSEL FOR THE DISTRICT
District Counsel Kent Alm provided an update on the Novato Sanitary District.
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Board Minutes of February 18, 2010
c. SECRETARY OF THE DISTRICT '
Announced upcoming meetings of the Human Resources Committee and
Recycled Water Committee.
d. BOARD MEMBERS
1) Board Member reports on future meetings or conferences for which they
will receive the stipend for which the District will pay their expenses;
recent meetings for which they received the stipend; and meetings or
conferences for which the District paid their expenses.
Member Hockett
Member Hockett announced that she will attend the upcoming meeting in
Danville regarding District annexations.
Member Neledly
Members Nejedly and Hockett reported on the February 17, 2010 Budget
and Finance Committee meeting. The Board received the report without '
comments.
President McGill
President McGill provided a written report on his meeting attendance.
President McGill and Member Menesini reported on the February 9, 2010
Capital Projects Committee meeting and summarized the Action
Summary. He noted that the Committee recommended increasing the
General Manager's authority from $5,000 to $15,000 for equipment
purchases. The Board received the report without comments.
2) Announcements
President McGill provided a written report covering Announcements.
President McGill announced his intention, with Board concurrence, to
send a letter to Contra Costa Special Districts Association (CCSDA) Chair
Bette Boatmun notifying her of the District's intent to hand over the
administrative support of CCSDA to another agency once she has
selected a replacement. The District has been providing administrative
support to CCSDA for almost three years.
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Book 59 -Page 192
Board Minutes of February 18, 2010
Member Lucey stated that he did not receive a copy of the letter from a
' District retiree that was published in the San Ramon Valley Times
concerning himself and Member Hockett. He requested that when any
such articles are published he be given a copy.
Member Menesini announced the upcoming Environmental Alliance
meeting to be held on February 22, 2010.
6. ADMINISTRATIVE
a. RECEIVE THE 2009-2010 OPERATIONS AND MAINTENANCE BUDGET
REVIEW FOR THE SIX MONTHS ENDED DECEMBER 31 2009 AND
PROJECTIONS FOR THE FULL FISCAL YEAR
General Manager James Kelly stated that staff provides a detailed financial report to the
Board twice a year, once at the six month point, and again in May during the budget
cycle. In addition, the Board receives monthly financial statements in their Board binder
to review, and the Budget and Finance Committee reviews these also. Controller
Debbie Ratcliff will present the financial status for the O&M Budget, and the Director of
Engineering Ann Farrell will provide amid-year status report for the Capital Budget.
Controller Debbie Ratcliff presented the financial status for the O&M Budget. She
' stated that the actual revenues for the six months ending December 31, 2009 are
$27,463,660, compared with the projected revenues of $27,654,074. Total expenses
were $26,831,215, compared with the projected expenses of $28,747,674. Total
revenues for the full fiscal year are projected to be $60,400,696, compared with the
budgeted $61,668,296. Total projected expenses for the full fiscal year are
$58,035,857, compared with the budgeted $59,745,669.
Favorable variances include the cost of labor, which is under budget due to vacant-~-' '--:, ` , , ~ .
positions; repairs and maintenance; outside services; and materials and supplies.{~ _ ~~~~'
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b. 2009-2010 CAPITAL IMPROVEMENT BUDGET MID-YEAR"STATUS RESORT"'-
_ ~ ,~
Director of Engineering Ann Farrell presented a brief status report on the mid=year '- - ..
Capital Improvement Budget. She stated that total expenditures of $40.1 million were! . l
budgeted for 2009-10, and are projected to be $32.5 million. Total revenue was
budgeted at $25.2 million, and are projected to be $20 million. The reduction in revenue
is due primarily to no sewer service charge increase and reductions in facility capacity
fees, interest income, and property tax revenue.
She presented charts showing the FY 2009-10 capital revenue by category, and by
program. Total projected expenditures for 2009-10 are $32.5 million, which is a $7.6
million reduction of what was budgeted. However, because revenues are also
' significantly reduced, there will still be a projected $12.5 million draw down of the Sewer
Construction Fund balance.
Book 59 -Page 193
Board Minutes of February 18, 2010
She explained major variances in the Treatment Plant Program and the Collection '
System Program, which included a good bidding climate, increased scope in certain
projects, deferring some projects, and unbudgeted emergency repairs.
7. EMERGENCY SITUATIONS REQUIRING BOARD ACTION
None.
8. SUGGESTIONS FOR FUTURE AGENDA ITEMS
None.
9. ADJOURNMENT
There being no further business to come before the Board, President McGill adjourned
the meeting at 3:25 p.m.
Michael R. McGill
President oft oard of Directors,
Central Contra Costa Sanitary District,
County of Contra Costa, State of California
COUNTERSIGNED:
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'`,t^ Elaine R. 8oehme
Secretary`of the Central Contra Costa
~'~ ~Sau~itary District, County of Contra Costa,
State of California
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Book 59 -Page 194