HomeMy WebLinkAbout04.a.1) Draft minutes of October 17, 2013 Board meetingMINUTES OF THE REGULAR MEETING
OF THE DISTRICT BOARD OF THE
CENTRAL CONTRA COSTA SANITARY DISTRICT
HELD ON OCTOBER 17, 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, October 17, 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 September 19, 2013 Board meeting.
b. Approve expenditures dated October 17, 2013. Reviewed by Budget and Finance
Committee.
C. Adopt Resolution 2013 -035 approving a Road Maintenance Agreement with Norris
Canyon Estates Owners Association related to the Norris Canyon Estates Phase IV
Development (APN 211 - 210 - 074 -4), and authorizing staff to record the agreement
with the Contra Costa County Recorder.
It was moved by Member McGill and seconded by Member Causey to adopt the Consent
Calendar as recommended. Motion passed by unanimous vote of the Board.
4. CALL FOR REQUESTS TO CONSIDER ITEMS OUT OF ORDER
None.
CENTRAL CONTRA COSTA SANITARY DISTRICT
Board Minutes of October 17, 2013
5. REPORTS
a. GENERAL MANAGER
1) Update on Seismic Improvements for Headquarters Office Building (HOB),
District Project 8226
This matter was continued from the October 3, 2013 Board meeting.
Associate Engineer Nathan Hodges presented construction photos and an
update on the nearly complete HOB Seismic Improvements project, whose
original contract amount was for $2,807,151. With five change orders, Mr.
Hodges reported the total project amount to be $2,929,411, with $2,401,890
paid so far to the general contractor, D.L. Falk. Staff has received 105
requests for information (RFIs) and one stop notice for $157,857 from IBS
Steel, the original structural steel provider and installer. D.L. Falk has been
notified of the stop notice and is working to resolve it.
Mr. Hodges also reported that structural welding has been completed, and the
floors, walls, and ceilings have been rebuilt. Plumbing, HVAC, and electrical
has been restored, and carpeting will be complete by end of the week. With
painting almost finished, cleaning will begin shortly. The related Network
Upgrades, District Project 8234, and Fire Protection, District Project 7283, are
also nearing completion. The total project work is complete at 95 %, with time
expired also at 95 %. Staff anticipates substantial completion by October 31,
and November will consist of punch list items and moving coordination for
staff to move back to the building in December 2013.
Member Pilecki asked if a reopening ceremony has been scheduled, to which
Mr. Hodges replied that one has not been planned.
2) Receive Fiscal Year 2012 -13 Household Hazardous Waste (HHW) Collection
Facility Annual Report
This matter, which was reviewed by Environmental Services Committee, was
also continued from the October 3, 2013 Board meeting.
Senior HHW Technician Winston Ingram reported that the HHW Program, in
its 16" year of operation, is an important element of the District's pollution
prevention program, and presented a summary of the Fiscal Year 2012 -13
HHW Program Annual Report. During this fiscal year, over 2 million pounds
of waste was collected, the most since the facility has been in operation.
Over 433,000 pounds of waste was given away to about 15,000 customers,
which comprised 21 percent of the total volume of waste collected and saved
the District over $151,000. The total operating cost per car has risen from
$87 to $93. An average of 131 cars a day visited the facility on Saturdays,
and participation in the Small Business Program was slightly down from 378
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Board Minutes of October 17, 2013
to 291 customers. This drop was attributed to stabilization of the housing
market and use of new, free -to -use PaintCare dropoff sites. PaintCare
products totaling 250,197 pounds were collected by the HHW Collection
Facility from March 2013 to June 2013, providing rebate and cost savings to
the District.
Member Causey noted that the Environmental Services Committee has asked
staff to explore ways to enhance the participation rates in the San Ramon
area.
Member Pilecki added that San Ramon's door -to -door program collected
57,000 pounds last year, representing a significant dropoff from the 72,000
pounds collected the prior year. For the 55,000 pounds collected last year,
the District's spent about $20,000. For only two additional thousand pounds,
San Ramon spent about $150,000. The Environmental Services Committee
recommended that staff work with the City of San Ramon to better its
collection program.
3) Update on Treatment Plant Surcharge Area Site Characterization - Part 1 —
Soil Investigation
General Manager Roger Bailey reported that the District's National Pollutant
Discharge Elimination System (NPDES) Permit requires completion of a Site
Characterization Study of the Treatment Plant Surcharge Fill Area, since the
District identified the area as a possible location where future ammonia or
nutrient removal treatment equipment would be located. This study would
define the presence of contaminated material so a future decision to expand
treatment equipment would not be delayed.
Environmental Compliance Superintendent Tim Potter provided background
on the project, which is the third element of the Nutrient Facility Plan and Site
Characterization. He stated that, in the 1960s, the District accepted waste
material from Shell Refinery and used it as fill and to stabilize the soil. It was
found later that the material was contaminated with organic sludge, lead
sulfate, sulfuric acid and tars. Pond A, the Surcharge Fill Area, and
Undeveloped Areas were affected. The Department of Toxic Substances
Control (DTSC) became the lead agency and performed studies from 1989 to
2002. In 1995, a voluntary cleanup agreement was signed, consolidating the
impacted area to Pond A and the Surcharge Fill Area. In 2003, a 12 -inch soil
cap was installed, and, in 2004, an enforceable agreement was signed with
DTSC, putting land use restrictions on the property.
Mr. Potter stated that the objectives of the project are limited to the Surcharge
Fill Area, to define the extent of the waste material present for the nutrient
studies, and to identify data gaps.
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CENTRAL CONTRA COSTA SANITARY DISTRICT
Board Minutes of October 17, 2013
4) Announcements
The following written announcements were included with the agenda packet:
a) Recent Promotions:
1) Glen Bradley promoted to Maintenance Planner effective
September 23, 2013
2) Jason Atoigue promoted to Pumping Stations Operator I
effective October 1, 2013
3) Rita Cheng promoted to Associate Engineer effective October 2,
2013
b) Recent Personnel Advancement — Janet Weeks advanced to
Accounting Technician III effective October 9, 2013
c) Annual Employee Service Awards Luncheon to be held October 23,
2013
d) Reimbursement Account annual notices mailed
e) Recap of contracts signed by General Manager during third quarter
2013
Member Causey requested that future contracts recaps include the
District Project numbers.
The following announcements were distributed at the meeting:
f) Address of temporary Concord offices has changed to 1470 Civic
Court effective immediately
g) District Supports National Medicine Abuse Awareness Month
h) Extended Shutdown for Treatment Plant Cogeneration Unit
b. COUNSEL FOR THE DISTRICT
District Counsel Kent Alm reported that, at the last Board meeting, there was no
formal vote on staff and Counsel's recommendation to form an ad hoc committee to
negotiate the terms of a lease agreement with CoCo San Sustainable Farm for lease
of a portion of the Kiewit property in Martinez. Staff will place an item on a future
agenda for the Board to consider forming the committee. It has been past practice
that, if stipends are to be paid as they will be to the members of the proposed ad hoc
committee, the Board must approve the appointment, as an act of conformance to
the Brown Act and the Fair Political Practices Commission (FPPC). Formation and
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CENTRAL CONTRA COSTA SANITARY DISTRICT
Board Minutes of October 17, 2013
meetings of this ad hoc committee would be in lieu of having the Enterprise
Committee review the lease terms before bringing the matter back to the Board for
final consideration.
C. SECRETARY OF THE DISTRICT
1) Review draft Board Calendar for 2014
Secretary of the District Elaine Boehme stated that the Board received the
draft 2014 Board Calendar in its agenda packets. Similar to prior years,
meetings were added for Capital Projects. Workshops, and meetings in July
were juggled to accommodate timing for placing Sewer Service Charges on
the County Tax Roll.
Member Pilecki noted that, at the last rate - setting meeting, the Board
discussed holding the next meeting in the evening to allow for more public
participation.
Member Causey suggested that the rate - setting hearing be held in early
2014, in time for the Accounting Department to put together its Financial Plan.
He also noted that the Board may want to hold workshops similar to the
upcoming Board Priorities Workshop on an annual basis.
2) Announce District receipt of Transparency Certificate of Excellence from the
California Special Districts Association (CSDA) Leadership Foundation
Secretary of the District Elaine Boehme announced that the District was
recently awarded the Transparency Certificate of Excellence from the CSDA
Special Districts Leadership Foundation (SDLF). The Board has been given
copies of the application packet, and Stanley R. Caldwell, CSDA Board
President and Vice President of the Mt. View Sanitary District Board of
Directors, will formally present the certificate to the District at the November
21, 2013 Board meeting.
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
Member McGill
Member McGill reported on the October 3, 2013 East Bay Leadership Council
reception for Transportation Agency Secretary Brian P. Kelly, and the Contra
Costa Mayors Conferenced hosted by the City of Clayton later that same day.
Member McGill also reported on the Annual Water Environment Federation
Technical Exhibition and Conference (WEFTEC) in Chicago held October 5 -9,
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Board Minutes of October 17, 2013
2013, and the October 9, 2013 Industrial Association of Contra Costa County
(IACCC) Forum featuring speaker Gary Darling, General Manager of Delta
Diablo Sanitation District
Member McGill and President Nejedly reported on the October 14, 2013 Budget
and Finance Committee meeting and summarized the Action Summary. The
Board received the report without comment.
Member Williams
Member Williams reported on the Annual Water Environment Federation
Technical Exhibition and Conference (WEFTEC) in Chicago held October 5 -9,
2013. He stated his belief that the Board should consider the issue of the Utility
of the Future, weighing dollars versus risk, technologies involving digestion and
analysis of digestion, and the potential for the District to generate more of its
own energy.
Member Williams and President Nejedly also reported on the October 15, 2013
Policy Development and Internal Operations Committee meeting.
Member Causey noted that, given the proposed transition to paperless agenda
packets and use of iPads, perhaps the Board Room should be revitalized and
technology upgrades be considered in all aspects of the Board Meetings.
2) Announcements
Member McGill provided a written report covering Announcements and other
meetings.
6. BUDGET AND FINANCE
a. ACCEPT AUDITED FINANCIAL STATEMENTS FOR FISCAL YEAR ENDED
JUNE 30, 2013 —AUDIT PERFORMED BY MAZE & ASSOCIATES
The Budget and Finance Committee reviewed the draft financial statements with
David Alvey, CPA, of Maze & Associates at its September 30, 2013 meeting and
recommended Board acceptance.
General Manager Roger Bailey stated that Maze & Associates has completed its first
audit of the District's financial statements under its current contract. Maze &
Associates had previously served as the District's auditors during Fiscal Years 1991-
95. He introduced Engagement Partner Vikki Rodriguez, CPA from Maze &
Associates, to provide an overview of the District's audited financial statements for
the fiscal year ended June 30, 2013.
Ms. Rodriguez stated that she was pleased to issue the District a clean, unmodified
opinion. During the audit, Governmental Accounting Standards Board (GASB)
1.1
None.
None.
CENTRAL CONTRA COSTA SANITARY DISTRICT
Board Minutes of October 17, 2013
Statement No. 63 was implemented, whose only impact to the report was the
change in title of "net assets" to "net position." The District's net income was found
to be $9.1 million, and the audit was smooth, with accurate and timely responses
from District staff. All reporting was found to be in compliance with Generally
Accepted Accounting Principles (GAAP) and GASB Statements, and there was no
indication of errors or misuse of funds. Internal controls were found to be adequate.
Her firm had one comment on inventory, but it was not a significant deficiency. No
material weaknesses were found, nor were there any significant deficiencies to
report to the Board.
Member Causey stated that he had questions, but they related more to the policies
of the District than the audit itself. He requested that potential outside investment
opportunities other than Local Agency Investment Fund (LAIF) be evaluated.
Member McGill recalled that the Budget and Finance Committee has considered it in
the past, but could reconsider it.
Member Causey also noted that it might be worthwhile to review the contract with
the City of Concord for flexibility in asking them to make regular, quarterly payments,
even if on an estimated basis, for better cash flow. General Manager Roger Bailey
stated that a summary of the major contract stipulations could be presented to the
Board.
The Board accepted the audited financial statements for the fiscal year ended
June 30, 2013. Motion passed by unanimous vote of the Board.
7. EMERGENCY SITUATIONS REQUIRING BOARD ACTION
8. SUGGESTIONS FOR FUTURE AGENDA ITEMS
9. ANNOUNCEMENT OF CLOSED SESSION
District Counsel Kent Alm announced that no closed session was needed for Item 10.a.
10. CLOSED SESSION
The Board did not hold the scheduled Closed Session on the following matter:
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CENTRAL CONTRA COSTA SANITARY DISTRICT
Board Minutes of October 17, 2013
a. CONFERENCE WITH LEGAL COUNSEL - ANTICIPATED LITIGATION -
SIGNIFICANT EXPOSURE TO LITIGATION PURSUANT TO GOVERNMENT
CODE SECTION 54956.9(b):
None.
• One Potential Case — California River Watch
11. REPORT OUT OF CLOSED SESSION
12. ADJOURNMENT
There being no further business to come before the Board, President Nejedly adjourned the
meeting at 3:40 p.m.
James A. Nejedly
President of the Board of Directors
Central Contra Costa Sanitary District
County of Contra Costa, State of California
COUNTERSIGNED:
Elaine R. Boehme, CMC
Secretary of the District
Central Contra Costa Sanitary District
County of Contra Costa, State of California
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