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HomeMy WebLinkAboutBUDGET AND FINANCE AGENDA 12-16-13central SPECIAL MEETING OF THE CENTRAL CONTRA COSTA SANITARY DISTRICT BUDGET AND FINANCE COMMITTEE Chair McGill Member Nejedly Monday, December 16, 2013 3:00 p.m. Executive Conference Room 5019 Imhoff Place Martinez, California INFORMATION FOR THE PUBLIC ADDRESSING THE COMMITTEE ON AN ITEM ON THE AGENDA itary District BOARD OF DIRECTORS: JAMES A NEJEDLY President DAVID R. WILLIAMS President Pro Tern PAUL H CAUSEY MICHAEL R MCGILL TAD J PILECKI PHONE: (925) 228 -9500 FAX: (925) 676 -7211 ivtivtiv. cen t ralsat. org Anyone wishing to address the Committee on an item listed on the agenda will be heard when the Committee Chair calls for comments from the audience. The Chair may specify the number of minutes each person will be permitted to speak based on the number of persons wishing to speak and the time available. After the public has commented, the item is closed to further public comment and brought to the Committee for discussion. There is no further comment permitted from the audience unless invited by the Committee. ADDRESSING THE COMMITTEE ON AN ITEM NOT ON THE AGENDA In accordance with state law, the Committee is prohibited from discussing items not calendared on the agenda. You may address the Committee on any items not listed on the agenda, and which are within its jurisdiction, under PUBLIC COMMENTS. Matters brought up which are not on the agenda may be referred to staff for action or calendared on a future agenda. AGENDA REPORTS Supporting materials on Committee agenda items are available for public review at the Reception Desk, 5019 Imhoff Place, Martinez, and on the District's website at www.centralsan.org. Not every agenda item is accompanied by written supporting material. Reports and information relating to agenda items distributed within 72 hours of the meeting to a majority of the Committee are also available for public inspection at the Reception Desk. During the meeting, information and supporting materials are available in the meeting room. AMERICANS WITH DISABILITIES ACT In accordance with the Americans With Disabilities Act and state law, it is the policy of the Central Contra Costa Sanitary District to offer its public meetings in a manner that is readily accessible to everyone, including those with disabilities. If you are disabled and require special accommodations to participate. please contact the Secretary of the District at least 48 hours in advance of the meeting at (925) 229 -7303. Budget and Finance Committee December 16, 2013 Page 2 1. Call Meeting to Order 2. Public Comments *3. Discuss Finance Committee draft charter Staff Recommendation: Discuss and provide input to staff if needed. 4. Review Expenditures (Item 3.b. in Board Binder) Staff Recommendation: Review and recommend Board approval. 5. Old Business *a. Review staff's response to the Committee's request for information regarding amount budgeted for furniture in conjunction with the Seismic Improvements for Headquarters Office Building (HOB), District Project 8226, including how much has been spent to date *b. Review additional information requested regarding item from December 2, 2013 meeting to discuss draft Position Paper to adopt resolution and authorize a contribution supporting a Walnut Creek Watershed Council Staff Recommendation: Review staff's responses. *6. Review draft letter from Board to District customers affected by errors in water usage data provided by East Bay Municipal Utility District (EBMUD) used in calculating Fiscal Year 2013 -14 commercial sewer service charges Staff Recommendation: Review draft letter and provide input to staff. 7. Risk Management *a. Review Loss Control Report and discuss outstanding claims Staff Recommendation: Review the report, discuss outstanding claims and provide direction if needed. 8. Announcements 9. Suggestions for future agenda items 10. Adjournment * Attachment 3. CHARTER FINANCE COMMITTEE Committee Members: Chair Member Meeting Schedule: TBD Primary Staff Liaison: Finance Manager Committee Mission/ The Mission of the Finance Committee is to ensure that the Goals: District is financially sound and fiscally responsible, well - managed with no material weaknesses. Goals: • Oversee the District's financial management • Review and monitor Fiscal Reserve Policy and recommend changes if needed • Monitor District expenses and claims • Support prudent business management practices Committee Scope: The Committee may review and make recommendations to the full Board. The Committee may direct staff to conduct additional research on various financial issues within the Committee Mission. The Committee may concur with General Manager recommendations when within GM authority, which will be reported to the Board as required. Adopted by Committee: Accepted by Board: COMMITTEE ACTIVITIES: (included for informational purposes only — not part of charter) Review methods to fund and report District liabilities Review policies and procedures relating to finance functions and risk management. Review of investments and investment policies, risk management, financial reports, check registers and financial strategies, Deferred Compensation Plans, debt financing. Review expenditures Interview and recommend contracts for internal and external auditing services Receive and review financial audits Review of audited financial statements, CAFR, methods for funding unfunded liabilities Financing for proposed Assessment Districts Review purchasing procedures, proposals for fee changes. Review arbitrage rebate calculations, unfunded liability issues Operations and Maintenance Budget Financial Plan CCCERA (finance- related) Fees /Rates Overhead Budgeting, rate - setting, financial acquisitions and strategies Financial impact of employee benefits and travel policy Review claims and recommend Board action for items that exceed staff authority Review insurance program and recommend Board action for items that exceed staff authority Review self- insurance program Computer loans Purchasing — review policies aQ A. Central Contra Costa Sanitary District December 16, 2013 TO: BUDGET AND FINANCE COMMITTEE FROM: THEA VASSALLO, FINANCE MANAGER 4- VIA: ROGER BAILEY, GENERAL MANAGER SUBJECT: EXPENDITURE FOLLOW -UP _ I At the December 2, 2013 Budget and Finance Committee meeting, staff was asked to provide additional information on the furniture purchased as part of the capital project, Seismic Improvements for Headquarters Office Building (HOB). Per discussion with Senior Engineer Edgar Lopez and Capital Projects Division Manager Andrew Antkowiak, the HOB Seismic project budget included $65,000 for cubicle replacement. Actual costs spent on replacements included reconfiguring older work areas, improving work efficiency, and Americans with Disabilities Act (ADA) improvements. Purchases are summarized as follows: Area Department Total ($) Description Cubicles - Originally Planned and Budgeted in CIP Replace and reconfigure cubicles HOB 2 Engineering Support 46,800 HOB 3 Central Services 5,400 Reconfigure SOD area and lateral files HOB 2 Admin Safety & Risk 600 Reconfigure cubicle Total Spent 52,800 Cubicles - O &M HOB 1 Environmental Services 16,800 Replace and reconfigure cubicles HOB 3 Human Resources 4,700 Reconfigure staff cubicles to offices HOB 1 Engineering Permits 2,700 Reconfigure newly open vault area Total Spent 24,200 Install Estimated 2,500 Basic furniture tasks, repairs and install Total 79,500 Furniture Estimated 20.000 Relocation of current staff to new office space The actual known expenditures for cubicle replacement to date related to the HOB Seismic capital project is $79,500. It is projected that an additional $20,000 in furniture purchases will be spent on current office needs. S.b Central Contra Costa Sanitary District December 12, 2013 TO: BUDGET AND FINANCE COMMITTEE VIA: ROGER S. BAILEY, GENERAL MANAGE 1 FROM: CURTIS W. SWANSON, DIRECTOR OF OPERATIONS U SUBJECT: ADDITIONAL INFORMATION REGARDING THE WALNUT CREEK WATERSHED COUNCIL The Walnut Creek Watershed Council (WCWC) was formed in late 2012. The purpose of the WCWC is to develop a vision to guide future watershed protection, restoration and stewardship. The WCWC is sponsored by the Contra Costa Resource Conservation District ( CCRCD) and the Contra Costa County Flood Control and Water Conservation District (CCCFCWCD). Staff support for the WCWC is provided by the CCRCD and CCCFCWCD. In addition, the City of Walnut Creek is providing $10,000 in staff support. The WCWC is seeking a grant from the U. S. Bureau of Reclamation to develop a vision plan for the entire creek that will include projects to improve habitat, watershed function, and water quality. The Walnut Creek Watershed is the largest watershed in Contra Costa County, covering approximately 150 square miles. The watershed includes parts or all of nine cities and towns in the Central Contra Costa County. Walnut Creek and its principal tributaries, Las Trampas, San Ramon, Grayson, and Pine Creeks, extend from San Ramon all the way to Suisun Bay. A financial contribution from the District could be used to fund development of the watershed vision plan and WCWC administration. The District could also specify a specific project or purpose for the contribution. If you have additional questions or need additional information, please contact me at 925 - 229 -7336. NAPOSUP \Board of Directors \Board - Budget & Finance Committee \Walnut Creek Watershed Council - Memo to B &G 12- 2013.docx Central Contra itary District Dear Mr. Coate: Thank you for your November 21, 2013 letter regarding water consumption data supplied to the Central Contra Costa Sanitary District (Central San) by EBMUD. We received the corrected water consumption data on November 22nd and our staff is working to recalculate our annual sewer service charge for affected customers. Our initial assessment is that the incorrect consumption data affected 68 Central San customers. Since the error affected only customers who are billed based on consumption, and since these customers typically have larger sewer bills, we estimate that the total amount to be credited back will be $1,237,450.49. In order to prevent future data errors, I would like to request that your staff provide as much information as possible about the source of the error. Hopefully, this will allow both of our staffs to revise their quality control process to detect these types of errors. Our staff has already processed corrections for 23 property owners who contacted us about this error. We have prepared the attached letter to the remaining 45 property owners notifying them of the error and advising them that a correction is being submitted to the Contra Costa County Tax Collector. I feel that it would be appropriate for both of us to sign the letter. Si cerely, 1 Roger S. Bailey General Manager N: \ENVRSEC\Admin \Bailey\2013 \Letters \Response to EBMUD 2013- 12- 13.doc Recycled Paper PHONE: (925) 228 -9500 December 13, 2013 FAX: (925) 676 -7211 www.centralsan.org Mr. Alexander Coate General Manager ROGI. -W & BAILLY General Manager East Bay Municipal Utility District KFN70NL. 375 Eleventh Street ALAI CounselfortheDistrict Oakland, CA 94607 (510) 808 -2000 1:7-41M.'11. BOF,HMF, Secretary of the Dt strict Dear Mr. Coate: Thank you for your November 21, 2013 letter regarding water consumption data supplied to the Central Contra Costa Sanitary District (Central San) by EBMUD. We received the corrected water consumption data on November 22nd and our staff is working to recalculate our annual sewer service charge for affected customers. Our initial assessment is that the incorrect consumption data affected 68 Central San customers. Since the error affected only customers who are billed based on consumption, and since these customers typically have larger sewer bills, we estimate that the total amount to be credited back will be $1,237,450.49. In order to prevent future data errors, I would like to request that your staff provide as much information as possible about the source of the error. Hopefully, this will allow both of our staffs to revise their quality control process to detect these types of errors. Our staff has already processed corrections for 23 property owners who contacted us about this error. We have prepared the attached letter to the remaining 45 property owners notifying them of the error and advising them that a correction is being submitted to the Contra Costa County Tax Collector. I feel that it would be appropriate for both of us to sign the letter. Si cerely, 1 Roger S. Bailey General Manager N: \ENVRSEC\Admin \Bailey\2013 \Letters \Response to EBMUD 2013- 12- 13.doc Recycled Paper December 16, 2013 Property Owner Name Address City, CA Zip Dear Property Owner Name: PHONE: (925) 228 -9500 FAX: (925) 676 -7211 imm centralsan. org ROGER S HAILEY GeneralAlanager KENI'ON L. ALM Counsel far the District (510) 808 -2000 ELAINE R 80EHML Secretary ofthe District The Central Contra Costa Sanitary District (Central San) recently became aware of a problem with the annual sewer bills for a small number of our non - residential customers. In working with these customers we determined that the water consumption data we received from East Bay Municipal Utility District ( EBMUD) was incorrect for this small group of users. This water consumption data is used to calculate your annual sewer bill. Our review indicates that your parcel was overcharged $_ for fiscal year 2013 -14. We apologize and Central San has submitted a correction to the Contra Costa County Tax Collector. Our understanding is that they will be sending you a revised bill after the first of the year which reflects the adjustments. Central San and EBMUD are working together to ensure that we produce accurate sewer bills and are implementing several procedural and technology changes to prevent this from happening again. 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