Loading...
HomeMy WebLinkAboutBOARD MINUTES 03-21-13MINUTES OF THE REGULAR MEETING OF THE DISTRICT BOARD OF THE CENTRAL CONTRA COSTA SANITARY DISTRICT HELD ON MARCH 21, 2013 The Board of Directors of the Central Contra Costa Sanitary District convened in a regular meeting in the Board Room, 5019 Imhoff Place, Martinez, County of Contra Costa, State of California, at 2:00 p.m. on Thursday, March 21, 2013. President Nejedly called the meeting to order and requested that the Secretary call roll. 1. ROLL CALL PRESENT: Members: Causey, McGill, Pilecki, Williams, Nejedly ABSENT: Members: None a. PLEDGE OF ALLEGIANCE TO THE FLAG The Board and staff joined in the Pledge of Allegiance. 2. PUBLIC COMMENTS There were no public comments. 3. CONSENT CALENDAR a. Approve minutes of Board meeting held February 21, 2013. b. Approve expenditures dated March 21, 2013. Reviewed by Budget and Finance Committee. C. Receive the 2012 Annual Report of the Deferred Compensation Plan Advisory Committee. Reviewed by Budget and Finance Committee. d. Approve use of revised administrative overhead percentage of 196 percent (three - year average rate) for billing outside agencies and for calculating the annual Environmental and Development - Related Rates and Charges. Reviewed by Budget and Finance Committee. e. Set public hearing on April 18, 2013 at 2:00 p.m. to consider adoption of an uncodified ordinance to amend the Schedule of Environmental and Development - Related Rates and Charges. Reviewed by Budget and Finance Committee. Book 62 — Page 158 CENTRAL CONTRA COSTA SANITARY DISTRICT Board Minutes of March 21, 2013 f. Set public hearing on April 18, 2013 at 2:00 p.m. to consider adoption of an uncodified ordinance to amend the Schedule of Capacity Fees. Reviewed by Budget and Finance Committee. g. Adopt Resolution 2013 -004 accepting a grant of easement from 3977 S Peardale Associates, a California limited partnership, owners at 3977 South Peardale Drive in Lafayette (District Project 8404 — Parcel 8), and authorizing staff to record documents with the Contra Costa County Recorder. h. Adopt Resolution 2013 -005 accepting a grants of easement from Jeffrey P. Slusarz and Elizabeth C. Slusarz, Alexander Hexemer and Michelle Hexemer, Edward D. Fernandez and Darlene A. Silver, Richard S. Wright, Gregory Ross and Kelli Ross, Bradley John Reital and Lindsay Hall, and Stephen L. Larmore, property owners at 49 Margaret Drive, 1282 Rudgear Road, 849 Hawthorne Drive, 868 Holly Hill Drive, 2181 Hillview Drive, and 2191 Hillview Drive in Walnut Creek, and 102 Austin Lane in Alamo, respectively, and authorizing staff to record the documents with the Contra Costa County Recorder. i. Adopt changes to job classification of Accountant. Approval recommended by Human Resources Committee. j. Adopt changes to job classification of Human Resources Analyst. Approval recommended by Human Resources Committee. k. Authorize military duty leave of absence without pay for Plant Operator I Todd Riley from April 2 through June 27, 2013. Member Pilecki requested that Items 3.d through 3.f be pulled from the Consent Calendar. With respect to Item 3.d., he expressed concern that changing the administrative overhead percentage from an annual rate to an average rate may not allow for full cost recovery. Member Causey shared his concern. Member Pilecki suggested postponing Items 3.e. and 3.f. until resolution of Item 3.d. Finance Manager Thea Vassallo said the proposal in Item 3.d. to switch to an average administrative overhead rate was intended to be a one -time change for the coming fiscal year only. She mentioned that staff was in the process of surveying other agencies and, if a policy change is to be recommended for future years, staff will bring the matter back to the Board for a more in -depth discussion at a later date. After noting that the Budget and Finance Committee agreed with staff's recommendation to use a three -year average rate for Fiscal Year 2013 -14, Member McGill suggested tabling Item 3.d. until the April 4, 2013 meeting to give Ms. Vassallo an opportunity to make a presentation to the entire Board and allow the Board to discuss the issue more fully. Doing so would allow time for the Board to make its decision before the planned April 18, 2013 public hearings on Items 3.e. and V. It was moved by Member McGill and seconded by Member Pilecki to adopt the Consent Calendar as recommended, with the exception of Item 3.d., which was tabled for discussion at the next meeting on April 4, 2013. Motion passed by unanimous vote of the Board. Book 62 — Page 159 None. CENTRAL CONTRA COSTA SANITARY DISTRICT Board Minutes of March 21, 2013 4. CALL FOR REQUESTS TO CONSIDER ITEMS OUT OF ORDER 5. PUBLIC HEARINGS a. HOLD PUBLIC HEARING AND CONSIDER ADOPTING RESOLUTION OF APPLICATION 2013 -006 APPROVING A NEGATIVE DECLARATION, THE PROPOSED ANNEXATION AND THE APPLICATION TO CONTRA COSTA LOCAL AGENCY FORMATION COMMISSION ( LAFCO) INITIATING ANNEXATION PROCEEDINGS FOR CENTRAL CONTRA COSTA SANITATION DISTRICT ( CCCSD) DISTRICT ANNEXATION 184 - ALAMO AND DANVILLE Provisional General Manager Curt Swanson stated that staff prepared and circulated a draft Negative Declaration documenting that District Annexation 184, consisting of two properties in Alamo and four properties in Danville, will have no significant environmental impacts. He said it is the District's practice to conduct a public hearing to receive public comments prior to considering approval of a Negative Declaration. Engineering Assistant III Russell Leavitt presented a brief report summarizing the District Annexation 184. The public hearing was opened and closed without comments. In response to a question from Member McGill, Mr. Leavitt said this and other annexations that are currently in process are the result of Local Agency Formation Commission's (LAFCO's) most recent municipal service review. Member McGill complimented staff on its efforts in this regard. It was moved by Member Causey and seconded by Member McGill to adopt Resolution of Application 2013 -006 approving a Negative Declaration, the proposed annexation, and the application to Contra Costa LAFCO initiating annexation proceedings for CCCSD District Annexation 184 — Alamo and Danville. Motion passed by unanimous vote of the Board. b. HOLD PUBLIC HEARING TO CONDUCT ANNUAL PUBLIC REVIEW OF BOARD MEMBER COMPENSATION AND BENEFITS AND CONSIDER (1) ADOPTING AN ORDINANCE AMENDING TITLE 2 ADMINISTRATION OF DISTRICT CODE SECTION 2.04.030, "COMPENSATION OF BOARD MEMBERS," IF A CHANGE IN STIPEND IS DESIRED; AND (2) DIRECTING STAFF TO AMEND OTHER COMPENSATION AND BENEFITS Secretary of the District Elaine Boehme explained that in 2011 Contra Costa Grand Jury Report No. 1104 recommended that the District conduct an annual public review of compensation and benefits provided to Board Members to decide whether Book 62 — Page 160 CENTRAL CONTRA COSTA SANITARY DISTRICT Board Minutes of March 21, 2013 any changes are warranted. For the sake of transparency, in 2012 the Board formally established via Resolution No. 2012 -018 that the District's annual public review would be conducted at a properly noticed public hearing so that public comments could be received prior to considering any changes to Board Member compensation and benefits. Ms. Boehme noted that the agenda packet contained the results of a recent survey of Board compensation and benefits of other special districts. The public hearing was opened and closed without comments. President Nejedly noted that the Board meeting stipend was reduced last year from $221 to $185 per meeting, which is at the mid range or lower as compared to other agencies in the area. Member Williams proposed leaving the District's Board compensation and benefits unchanged. Member McGill and President Nejedly concurred. It was moved by Member Williams and seconded by Member McGill that Board Member compensation and benefits shall remain unchanged. Motion passed by unanimous vote of the Board. 6. BIDS AND AWARDS a. AWARD A CONSTRUCTION CONTRACT IN THE AMOUNT OF $2,150,351 TO PLATINUM PIPELINE, INC., THE LOWEST RESPONSIVE AND RESPONSIBLE BIDDER FOR THE CONCORD LANDSCAPE PROJECT, DISTRICT PROJECT 7299; AUTHORIZE THE GENERAL MANAGER TO EXECUTE THE CONTRACT DOCUMENTS SUBJECT TO SUBMITTAL REQUIREMENTS, AUTHORIZE THE GENERAL MANAGER TO EXECUTE A RIGHT -OF -ENTRY AGREEMENT WITH BUCHANAN FIELDS GOLF COURSE, INC.; AND AUTHORIZE THE GENERAL MANAGER TO AMEND AN EXISTING PROFESSIONAL SERVICES AGREEMENT WITH CAROLLO ENGINEERS, INC. IN THE AMOUNT OF $325,000, FOR A NEW CONTRACT CEILING OF $545,000, FOR DESIGN AND CONSTRUCTION SUPPORT SERVICES FOR THIS PROJECT Provisional General Manager Curt Swanson said the Concord Landscape Project, District Project 7299, includes construction of about 2.3 miles of new recycled water distribution piping within the Diamond Boulevard and Meridian Park Boulevard area of Concord. In addition, the District has been awarded a State Proposition 84 grant that will provide $1,030,000 in funding assistance for this construction. The engineer's construction cost estimate was $3,700,000. On February 20, 2013, ten sealed bids were received. Platinum Pipeline, Inc. was the apparent low bidder with a bid price of $2,150,351. Mr. Swanson said staff found the bid to be responsive and recommended that the Board award the contract. Associate Engineer Stephanie Gronlund noted that the Concord Landscape Project eventually will provide recycled water to an anticipated 36 customers, 23 of whom have signed letters of intent, and 18 of whom have the ability to connect in the near Book 62 — Page 161 CENTRAL CONTRA COSTA SANITARY DISTRICT Board Minutes of March 21, 2013 term. The estimated net cost to the District will be $2,365,000, which amount will be reduced by $1,800,000 if the District receives Title XVI federal grant funding, potentially reducing the District's cost to $565,000. Completion of the project is anticipated in February 2014. Member Williams pointed out that Contra Costa Water District (CCWD) will be providing no funds for this project, even though it would benefit CCWD's customers. He suggested that District funds and staff time would be better spent moving forward on higher - priority sewer projects rather than a recycled water project that falls under the domain of CCWD. The District's ratepayers essentially will be subsidizing CCWD's ratepayers, who are already charged for recycled water as part of CCWD's overall program. He acknowledged that he is fully supportive of recycling water, but not in such a way that it subsidizes another agency's ratepayers. Other than the feel -good effects of doing the right thing (recycling), it was his belief that the project will provide no value to the District's ratepayers. Member Pilecki agreed with Member Williams but believed this particular project is too far along to be stopped. Member Causey suggested discussing the issue with CCWD. Member Williams responded that the District has been stonewalled by CCWD in the past, yet CCWD takes credit in its literature for the recycled water projects funded by the District and other local wastewater agencies, thus enabling CCWD to avoid its obligations. President Nejedly acknowledged that, thus far, CCWD has refused to participate in funding recycled water projects. In the meantime, he said the District is pumping 45 million gallons of recycled water per year into the Suisun Bay that could be used for other purposes. In his opinion, taking action has been the appropriate path, particularly in this instance because of the favorable bid and strong potential for grant funding. He said finding use for a byproduct of the District's treatment plant is the right thing to do and does benefit the District's ratepayers. With regard to CCWD, Member McGill said its past stance may be changing because CCWD has been involved with various studies related to this project and has been supportive with respect to grant funding. Noting that the District has struggled for quite some time to find a beneficial use for its recycled water, Member McGill said he sees these types of projects as a very important part of the District's mission to implement systems for on -land disposal of its recycled water. Member Causey noted that the final estimated cost of the Concord Landscape Project is roughly 7.5 percent higher than budgeted. He said the same was true of the other two projects up for award at this meeting and it caused him concern. He stated his preference for analyzing costs on a project -by- project basis, and noted that the District's program -based approach makes it difficult to evaluate costs on any particular project. Member Causey suggested the Capital Projects Committee should discuss the merits of a project- versus program -based philosophy for evaluating capital project costs. Book 62 — Page 162 CENTRAL CONTRA COSTA SANITARY DISTRICT Board Minutes of March 21, 2013 It was moved by Member McGill and seconded by President Nejedly to award a construction contract to Platinum Pipeline, Inc. and authorize the General Manager to execute (1) contract documents subject to submittal requirements; (2) a Right -of- Entry Agreement with Buchanan Fields Golf Course, Inc.; and (3) an amendment to an existing professional services agreement with Carollo Engineers, Inc. Motion passed by the following vote of the Board: AYES: Members: Causey, McGill, Pilecki, Nejedly NOES: Members: Williams ABSENT: Members: None b. AWARD A CONSTRUCTION CONTRACT IN THE AMOUNT OF $1,321.305 TO CARONE & COMPANY, INC., THE LOWEST RESPONSIVE AND RESPONSIBLE BIDDER FOR THE LAFAYETTE SEWER RENOVATIONS, PHASE 8 DISTRICT PROJECT 8404, FIND THAT THE PROJECT IS EXEMPT FROM CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA): AND AUTHORIZE THE GENERAL MANAGER TO EXECUTE THE CONTRACT DOCUMENTS SUBJECT TO SUBMITTAL REQUIREMENTS Provisional General Manager Curt Swanson stated that on March 5, 2013, the District received five bids for the construction of Lafayette Sewer Renovations, Phase 8, District Project 8404. The project consists of installing approximately 8,500 linear feet of 6- and 8 -inch sewer lines within public right -of -way and private easements utilizing open cut, pipebursting and horizontal directional drilling construction methods. He said staff had reviewed the bids and recommended awarding the project to Carone & Company for $1,321,305. Member Causey repeated his concerns as mentioned previously regarding project cost evaluation. It was moved by Member Williams and seconded by Member McGill to find that the project is exempt from CEQA; award a construction contract to Carone & Company, Inc.; and authorize the General Manager to execute the contract documents subject to submittal requirements. Motion passed by unanimous vote of the Board. C. AWARD A CONSTRUCTION CONTRACT IN THE AMOUNT OF $2,046.630 TO CALIFORNIA TRENCHLESS, INC., THE LOWEST RESPONSIVE AND RESPONSIBLE BIDDER FOR THE 2013 CURED -IN -PLACE PIPE (CIPP) PROJECT, DISTRICT PROJECT 8405: FIND THAT THE PROJECT IS EXEMPT FROM CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA); AND AUTHORIZE THE GENERAL MANAGER TO EXECUTE THE CONTRACT DOCUMENTS SUBJECT TO SUBMITTAL REQUIREMENTS Provisional General Manager Curt Swanson explained that on February 28, 2013, the District received six bids for construction of 2013 CIPP Project, District Project 8405. This project will renovate approximately 6,200 linear feet of 18 -, 21- and 36- inch trunk sewer pipelines by CIPP method in Walnut Creek and Martinez. He said Book 62 — Page 163 CENTRAL CONTRA COSTA SANITARY DISTRICT Board Minutes of March 21, 2013 staff reviewed the bids and recommended awarding the project to California Trenchless, Inc. for $2,046,630. Member Causey again reiterated his concerns mentioned previously regarding project cost evaluation. It was moved by Member Pilecki and seconded by Member McGill to find that the project is exempt from CEQA; award a construction contract to California Trenchless, Inc.; and authorize the General Manager to execute the contract documents subject to submittal requirements. Motion passed by unanimous vote of the Board. 7. REPORTS a. Announcements The following written announcements were included with the agenda packet: 1) Recent personnel advancement — Robert Kin advanced to Plant Operator III effective January 16, 2013 2) Update on Caffe Classico Source Control issues The following additional announcements were distributed at the meeting: 3) Pacific Gas and Electric Company (PG &E) plans natural gas utility outage for Treatment Plant 4) Request for Section 219 Program Funding Authorization for the Water Resources Development Act (WRDA). b. COUNSEL FOR THE DISTRICT District Counsel Kent Alm reported that a closed session would be held for Items 13.a. and 13.b. C. SECRETARY OF THE DISTRICT None. d. BOARD MEMBERS 1) Board Member reports on recent meetings for which they received the stipend, and meetings or conferences for which the District paid their expenses, future meetings or conferences for which they will receive the stipend or for which the District will pay their expenses Book 62 — Page 164 CENTRAL CONTRA COSTA SANITARY DISTRICT Board Minutes of March 21, 2013 Member Williams Member Williams announced that, as a Board member of the National Association of Clean Water Agencies ( NACWA), he must be a designated representative of a member agency. Given his recent retirement from East Bay Municipal Utility District (EBMUD), he requested that the Board designate him as the District's representative to NACWA for the remainder of his current NACWA term, through July 2014. The Board directed staff to agendize the matter for discussion on April 4, 2013. Member Causey Member Causey reported on the February 25 -27, 2013 California Association of Sanitation Agencies (CASA) Legislative Conference in Washington, D.C. Member McGill Member McGill reported on the March 7, 2013 Contra Costa County Mayors Conference hosted by the City of Pleasant Hill featuring speakers from the Contra Costa Voluntary Organizations Active in Disaster and the support they provide communities after a natural or man -made disaster. Member McGill reported on the March 13, 2013 Industrial Association of Contra Costa County (IACCC) March Forum featuring a presentation by the Contra Costa Water District on the recent expansion of the Los Vaqueros Reservoir. Member McGill and President Nejedly reported on the March 18, 2013 Budget and Finance Committee meeting and summarized the Action Summary. The Board received the report without comment. Member Pilecki Member Pilecki and Member Causey reported on the March 19, 2013 Environmental Services Committee meeting and summarized the Action Summary. The Board received the report without comment. 2) Announcements Member McGill provided a written report covering Announcements and other meetings. Book 62 — Page 165 CENTRAL CONTRA COSTA SANITARY DISTRICT Board Minutes of March 21, 2013 8. ENGINEERING a. DETERMINE WHETHER THE CONNECTION FEE DEFERRAL PROGRAM SHOULD BE ALLOWED TO EXPIRE ON JUNE 30 2013• IF THE PROGRAM IS TO BE CONTINUED, SET A PUBLIC HEARING ON APRIL 18 2013 AT 2.00 P.M. TO CONSIDER EXTENDING THE PROGRAM Provisional General Manager Curt Swanson explained that the Board created the Connection Fee Deferral Program in early 2009 at the request of homebuilders and developers. The program will expire on June 30, 2013 unless extended by Board action. It was the recommendation of staff to let the program sunset due to low usage. However, he said if the Board wished to consider extending the program, a public hearing would be necessary. Environmental Services Division Manager Danea Gemmell briefly explained the history of the program and noted that when it was last extended in June 2011, it was limited to connections in subdivisions. There has been no activity under the program since September 2011 and only one homebuilder (Shapell Homes) has an outstanding balance ($695,640), which is expected to be paid in September 2013. Member McGill commented that the Budget and Finance Committee recommended that the program be extended due to the fact that the economy has not fully recovered. President Nejedly believed extension of the program was appropriate because the costs to administer it are very low and there are homebuilders who may still need to take advantage of the program. He asked staff to check with local building industry associations before a final decision is made. Noting the low usage rate and the impact on staff time to administer the program, Member Williams suggested that consideration be given to allowing the program to sunset and instead considering fee deferrals on a case -by -case basis. District Counsel Kent Alm discouraged offering fee deferrals on a case -by -case basis so there could be no argument about discrimination; it was his recommendation that any such program be set forth by ordinance. Member Pilecki said he was generally not in favor of deferring fees. He had no objection to holding a public hearing, but wished to receive input from the homebuilding industry in order to justify continuation of the program. It was moved by Member McGill and seconded by President Nejedly to set a public hearing for April 18, 2013 at 2:00 p.m. to consider extending the Connection Fee Deferral Program. Motion passed by unanimous vote of the Board. Book 62 — Page 166 CENTRAL CONTRA COSTA SANITARY DISTRICT Board Minutes of March 21, 2013 9. COLLECTION SYSTEM a. RECEIVE THE 2012 COLLECTION SYSTEM SANITARY SEWER OVERFLOW ANNUAL REPORT Collection System Operations Division Manager Paul Seitz reviewed the 2012 Collection System Sanitary Sewer Overflow Annual Report. He said the report is no longer required to be submitted to the Regional Water Quality Control Board (RWQCB), but it is submitted to the District's Board of Directors annually. The Board Members acknowledged receipt of the 2012 Collection System Sanitary Sewer Overflow Annual Report. 10. HUMAN RESOURCES a. ADOPT RESOLUTION 2013 -007 APPOINTING ALAN WEER AS PLANT OPERATIONS DIVISION MANAGER M -24 ($11,530 - $14,015), EFFECTIVE MARCH 21, 2013 Provisional General Manager Curt Swanson stated that the Plant Operations Division Manager is a key position responsible for managing 24 -hour operation of the District's Treatment Plant and achieving full regulatory compliance. The position, which oversees a staff of 35 operators and engineers, became vacant last October when the incumbent retired and Alan Weer was appointed as the Provisional Plant Operations Division Manager. After a recruitment process, Mr. Weer emerged as the top candidate. Mr. Swanson reviewed Mr. Weer's credentials and said it was important to restore organizational stability in that department and provide leadership on an ongoing basis. He said Mr. Weer has demonstrated he is capable of doing both and it was his recommendation that Mr. Weer be appointed as Plant Operations Division Manager effective immediately. Member Pilecki commented that he had no objection to the appointment of Mr. Weer due to his qualifications. However, he wished to refrain from making any other appointments until a new General Manager is in place and has had an opportunity to evaluate the organizational structure, both from a structural and cost standpoint. Member Causey said he concurred with Member Pilecki insofar as Mr. Weer's qualifications, but said he could not support his appointment because it would tie the hands of the new General Manager. Member McGill stated that an interim General Manager should be treated like any other General Manager, and any new General Manager understands that he or she will inherit the programs already in place. He said he was supportive of Mr. Swanson's recommendation to appoint Mr. Weer. Book 62 — Page 167 None. CENTRAL CONTRA COSTA SANITARY DISTRICT Board Minutes of March 21, 2013 Member Williams expressed the view that Mr. Weer was an excellent candidate with sterling credentials. He also said it is possible for a new General Manager to reorganize with existing staff. It was moved by President Nejedly and seconded by Member McGill to appoint Alan Weer as Plant Operations Division Manager, M -24 ($11,530 - $14,015), effective March 21, 2013. Motion passed by the following vote of the Board: AYES: Members: McGill, Pilecki, Williams, Nejedly NOES: Members: Causey ABSENT: Members: None 11. EMERGENCY SITUATIONS REQUIRING BOARD ACTION 12. SUGGESTIONS FOR FUTURE AGENDA ITEMS With respect to the ongoing recruitment for a new General Manager, Member Causey requested that the recruiter contact each Board Member individually to assure that their individual priorities and /or concerns are taken into consideration during the recruitment process. The Board concurred with this request. 13. CLOSED SESSION The Board recessed at 4:00 p.m. to reconvene in closed session in the Caucus Room regarding the following matters: a. Conference with Legal Counsel - Anticipated Litigation - significant exposure to litigation pursuant to Government Code Section 54956.9(b): • Contra Costa County Deputy Sheriffs Association, et al. v. Contra Costa County Employees' Retirement Association (CCCERA), et al., Contra Costa County Superior Court Case No. MSN12 -1870. b. Conference with labor negotiators pursuant to Government Code Section 54957.6: District Negotiators: • Labor Negotiation and Benefits Counsel Edward L. Kreisberg, Esq. • Provisional General Manager Curt Swanson • Human Resources Manager Teji O'Malley • Secretary of the District Elaine Boehme Book 62 — Page 168 CENTRAL CONTRA COSTA SANITARY DISTRICT Board Minutes of March 21, 2013 Employee Organizations: • Employees' Association, Public Employees Union, Local One • Management Support/Confidential Group (MS /CG) • Management Group The Board recessed at 4:56 p.m. to reconvene in the Board Room in open session. 14. REPORT OUT OF CLOSED SESSION District Counsel Kent Alm reported that, with regard to Item 13.a., the Board authorized District Counsel to appear on behalf of the District at the show cause hearing. Counsel was instructed not to object to the District's joinder into the existing lawsuit. With regard to Item 13.b., Mr. Alm reported that the Board provided direction to the District Negotiators and District Labor Counsel Daniel Clinton. 15. ADJOURNMENT There being no further business to come before the Board, President Nejedly adjourned the meeting at 4:59 p.m. G Ja A. Nejedly President of the Board of Directors Central Contra Costa Sanitary District County of Contra Costa, State of California COUNTERSIGNED: Elaine R. Boehme, CIVIC Secretary of the District Central Contra Costa Sanitary District County of Contra Costa, State of California Book 62 — Page 169