HomeMy WebLinkAboutBOARD MINUTES 11-19-15Central Contra Costa Sanitary District
Protecting public health and the environment •
5019 Imhoff Place, Martinez, CA 94553-4392
MINUTES*
REGULAR BOARD MEETING
Board Room
Thursday, November 19, 2015
2:00 p.m.
1. ROLL CALL
BOARD OF DIRECTORS:
MICHAEL R. MCGILL
President
TAD J. PILECKI
President Pro Tem
PAUL H. CAUSEY
JAMES A. NEJEDLY
DAVID R WILLIAMS
A regular meeting of the Board of Directors was called to order by President McGill
at 2:00 p.m. Secretary of the District Elaine Boehme called roll:
PRESENT: Members: Causey, Nejedly, Pilecki, Williams, McGill
ABSENT: Members: None
a. Pledge of Allegiance to the Flag
The Board, staff and audience joined in the Pledge of Allegiance.
b. Introduction
• Nitin Goel, Associate Engineer in the Engineering/Planning and
Development Services Division, effective October 30, 2015.
BOARD ACTION: Welcomed Mr. Goel.
2. PUBLIC COMMENTS
None.
3. AWARDS AND COMMENDATIONS
a. Receive renewed District Transparency Certificate of Excellence from the
California Special Districts Association (CSDA) Leadership Foundation.
BOARD ACTION: President McGill received the award from CSDA Bay
Area Network Board Members Stanley Caldwell and Sherry Sterrett.
These summary minutes are supplemented by a corresponding audio recording available on the District's
website at centralsan.org.
Book 64 — Page 135
CENTRAL CONTRA COSTA SANITARY DISTRICT
November 19, 2015 Board Meeting Minutes — Book 64 - Page 136
4. CONSENT CALENDAR
a. Approve minutes of Board meetings held on the following dates:
1) November 5, 2015 (regular meeting); and
2) November 6, 2015 (Board Strategic Planning Workshop).
b. Approve expenditures dated November 19, 2015. Approval recommended by
Finance Committee.
c. Award a construction contract in the amount of $446,120 to Aztec
Consultants Inc., the lowest responsive and responsible bidder for
construction of the Plant Control System UPS (uninterruptible power supply)
Replacement, District Project 6171; 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. Approval recommended by Engineering & Operations
Committee.
Member Williams asked to pull Item 4. a.1) for correction, and President McGill said
staff had requested that Item 4.c. be pulled for discussion.
BOARD ACTION: Motion was made by Member Causey and seconded by
Member Pilecki to adopt Consent Calendar Item 4.b. as recommended. Motion
passed by unanimous vote.
With regard to Item 4. a.1), Member Williams requested a minor correction to page 4,
paragraph 5, line 6 — to replace the words "clean water agencies" with "drinking
water agencies."
BOARD ACTION: Motion was made by Member Williams and seconded by
Member Causey to adopt Consent Calendar Item 4.a.1) with the requested
corrected wording. Motion passed by unanimous vote.
With regard to Item 4.c., Director of Engineering and Technical Services Jean -Marc
Petit explained that the staff recommendation changed after the agenda packet was
distributed. The revised staff recommendation was to reject all bids because it was
learned earlier in the day that a supplier utilized by all bidders quoted an incorrect
price which affected all bids.
District Counsel Kent Alm said that, in his judgment, all bids should be rejected
because the misquoted price applied to all bids. The mistake was apparently
unfavorable to the District, and rebidding is expected to favorably impact the District.
BOARD ACTION: Motion was made by Member Williams and seconded by
Member Pilecki to reject all bids for construction of the Plant Control System
UPS Replacement, District Project 6171. Motion passed by unanimous vote.
CENTRAL CONTRA COSTA SANITARY DISTRICT
November 19, 2015 Board Meeting Minutes — Book 64 - Page 137
5. CALL FOR REQUESTS TO CONSIDER ITEMS OUT OF ORDER
None.
6. REPORTS
a. General Manager
1) Accept (1) the audited Financial Statements for fiscal years ended
June 30, 2015 and 2014 — audit performed by Maze & Associates, and
(2) the auditor's memorandum on internal control and required
communications for the fiscal year ended June 30, 2015. Acceptance
recommended by Finance Committee.
Vikki Rodriguez of Maze & Associates presented the audited financial
statements for fiscal years ended June 30, 2015 and 2014, noting that
the District received a clean opinion again this year. She also
explained the impact of newly implemented Governmental Accounting
Standards Board (GASB) pronouncements 68 and 71. As stated in the
memorandum on internal control and required communications, Maze
found no material weaknesses or issues of non-compliance. The audit
process was smooth, and staff responded to the auditors' requests in a
timely manner.
Member Causey noted that the Other Post -Employment Benefits
(OPEB) unfunded liability was roughly $70 million and suggested that
staff review the approach for dealing with it.
BOARD ACTION: Motion was made by Member Pilecki and
seconded by Member Nejedly to accept the audited Financial
Statements for fiscal years ended June 30, 2015 and 2014, and the
memorandum on internal control and required communications
for fiscal year ended June 30, 2015. Motion passed by unanimous
vote.
2) Receive Fiscal Year 2014-15 Household Hazardous Waste (HHW)
Collection Facility Annual Report. Receipt recommended by Real
Estate, Environmental and Planning Committee.
Senior HHW Technician Winston Ingram presented a summary of the
Fiscal Year 2014-15 HHW Collection Facility Annual Report.
BOARD ACTION: Received the report.
CENTRAL CONTRA COSTA SANITARY DISTRICT
November 19, 2015 Board Meeting Minutes — Book 64 - Page 138
3) General Manager Announcements
a) Public bidding for Pleasant Hill -Grayson Creek Trunk Sewer,
District Project 8412
b) Risk Management Administrator Shari Deutsch attended out-of-
state PRIMA Institute Conference in Albuquerque, New Mexico
from November 4-6, 2015
c) Update on Residential Recycled Water Fill Station
BOARD ACTION: Received the announcements.
b. Counsel for the District
Mr. Alm announced that he will not be in attendance at the December 3, 2015
meeting. One of his associates will attend in his place.
c. Secretary of the District
Ms. Boehme announced the following upcoming Committee meetings:
Administration — Monday, November 23 at 8:00 a.m.
Finance — Tuesday, November 24 at 3:00 p.m.
d. Board Members
1) Board Member reports on recent meetings or conferences for which
they received the stipend or for which the District paid their expenses;
and future meetings or conferences for which they will receive the
stipend or for which the District will pay their expenses.
Member Williams
No report.
Member Causev
a) November 10, 2015 — Engineering & Operations Committee
meeting — Member Causey and President McGill (Alternate).
• November 12, 2015 — East Bay Leadership Council's 5th Annual
Philanthropy Awards Breakfast at Blackhawk Automotive
Museum in Danville.
Member Causey also reported that he had attended the November 18,
2015 Contra Costa Local Agency Formation Commission (LAFCO)
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November 19, 2015 Board Meeting Minutes — Book 64 - Page 139
meeting, at which Associate Engineer Melody LaBella gave a well-
received presentation that broadly covered all of the recycled water
issues that the District is currently working on.
Member Neiedly
b) November 10, 2015 — Finance Committee meeting — Member
Nejedly and Member Pilecki.
Member Pilecki
c) November 12, 2015 — Real Estate, Environmental & Planning
Committee meeting — Member Pilecki and President McGill.
President McGill
• November 5, 2015 — Contra Costa County Mayors' Conference
hosted by the City of Richmond. Speaker: Former State
Senator Art Torres on "The Promise and Progress of Stem Cell
Research in California Today."
• November 12, 2015 — East Bay Leadership Council's 5th Annual
Philanthropy Awards Breakfast at Blackhawk Automotive
Museum in Danville.
• November 12, 2015 — IACCC (Industrial Association of Contra
Costa County) Annual Supervisors' Luncheon in Pleasant Hill.
BOARD ACTION: Received the reports.
2) Board Member Announcements
President McGill provided a written report covering his announcements
and other meetings.
President McGill also announced that he has been invited to attend a
meeting of the Contra Costa County ad hoc supervisors committee that
relates to the northern waterfront to provide an update on the CoCo
San Sustainable Farm.
Members Williams, Causey and Pilecki expressed reservation as to
whether it was appropriate for a Board Member to speak on behalf of
CENTRAL CONTRA COSTA SANITARY DISTRICT
November 19, 2015 Board Meeting Minutes — Book 64 - Page 140
the District with respect to the Farm. President McGill said he would
focus on promoting uses for recycled water.
BOARD ACTION: Receive the announcements.
3) Board Member requests for authorization to receive a stipend for
meeting attendance or expense reimbursement not specifically
addressed in the current Board Compensation Resolution, or
authorization for conference attendance not previously approved by
the Board.
No requests.
7. ENGINEERING
a. Consider approving the principles of agreement with Contra Costa Water
District (CCWD) and direct staff to draft a wholesale agreement for an
average of 0.5 million gallons per day (MGD) of recycled water to be
delivered to CCWD as part of a proposed Refinery Recycled Water Project.
Reviewed by Real Estate, Environmental & Planning Committee.
Planning and Development Services Division Manager Danea Gemmell
reviewed the principles of agreement included with the agenda materials and
responded to questions from the Board Members.
BOARD ACTION: Motion was made by Member Pilecki and seconded by
Member Nejedly to approve principles of agreement with CCWD and
direct staff to draft a wholesale agreement for an average of 0.5 MGD of
recycled water to be delivered to CCWD. Motion passed by unanimous
vote.
b. Receive presentation comparing actual water consumption data with Cost of
Service Study (COSS) assumptions regarding billing rates for schools, and
consider setting a public hearing for December 17, 2015 at 2:00 p.m. to
receive public comment on amending Exhibit A to uncodified Ordinance
No. 285 to reduce the Sewer Service Charge for high schools. Approval
recommended by Finance Committee.
Ms. Gemmell gave a brief presentation. She said she has spoken to a
number of the affected schools/districts and they were pleased with the
proposed reduction in charges.
BOARD ACTION: Motion was made by Member Causey and seconded
by Member Williams to set a public hearing for December 17, 2015 at
2:00 p.m. to receive public comment on amending Exhibit A to
uncodified Ordinance No. 285 to reduce the Sewer Service Charge for
high schools. Motion passed by unanimous vote.
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November 19, 2015 Board Meeting Minutes — Book 64 - Page 141
c. Approve a contingency project in an amount not to exceed $115,000 for
installation of an automated commercial recycled water truck fill station on the
District's Kiewit property, and approve a supplemental authorization of
$85,000 from the Sewer Construction Fund to the Recycled Water Program
Contingency Account. Reviewed by Engineering & Operations Committee.
Capital Projects Division Manager Edgar Lopez reviewed the presentation
distributed prior to the meeting, noting that this project was not included in the
Capital Improvement Budget for this year so it would be considered a
contingency project.
BOARD ACTION: Motion was made by Member Nejedly and seconded
by Member Causey to approve (1) a contingency project to install an
automated commercial recycled water truck fill station on the Kiewit
property, and (2) a supplemental authorization, both as recommended.
Motion passed by unanimous vote.
d. Approve a one-year emergency drought relief pilot project to provide recycled
water through the hydrant truck filling program without charge to commercial
customers. Approval recommended by Engineering & Operations
Committee.
Ms. Gemmell reviewed the presentation contained in the agenda materials.
Mr. Alm commented that Proposition 218 applies to recycled water. He said
he was in support of this proposal because it is a pilot project and supports
the State's emergency drought declaration. However, on a long-term basis,
solid data is needed to justify charging only certain customers for recycled
water.
BOARD ACTION: Motion was made by Member Nejedly and seconded by
Member Williams to approve a one-year emergency drought relief pilot
project to provide recycled water through the hydrant truck filling program
without charge to commercial customers, effective December 1, 2015.
Motion passed by unanimous vote.
8. EMERGENCY SITUATIONS REQUIRING BOARD ACTION
None.
9. SUGGESTIONS FOR FUTURE AGENDA ITEMS
Member Williams said the current method used by the Board with regard to
suggestions for future agenda items can be confusing for staff as to whether or not
they should expend time on such matters. For example, the question raised earlier
in the meeting by Member Causey regarding OPEB unfunded liability was left open
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November 19, 2015 Board Meeting Minutes — Book 64 - Page 142
ended, leaving staff to wonder if it is expected to spend time preparing a formal
response. For that reason, and as Chair of the Administration Committee, he
proposed that a code of conduct/ethics policy be developed to clarify if and when
staff time should be devoted to any particular suggestion. A discussion took place
among the Board Members as to the most appropriate way to communicate
suggestions to staff. Ms. Boehme noted that a discussion on the merits of
developing a code of conduct/ethics policy was scheduled for the next
Administration Committee agenda.
Member Causey said he would like more information on what may or may not be
done to address the OPEB unfunded liability going forward. Upon discussion, it was
the consensus of the Board that it would be sufficient if staff highlighted this topic
during the upcoming budget process.
BOARD ACTION: Requested that staff highlight the approach for dealing with
the OPEB unfunded liability during the upcoming budget process.
10. ADJOURNMENT
The meeting was adjourned at 4:33 p.m.
Michael R. Mc iH'P.E.
President of the Board of Directors
Central Contra Costa Sanitary District
County of Contra Costa, State of California
COUNTERSIGNED:
eE /41
Elaine R. Boehme, CMC
Secretary of the District
Central Contra Costa Sanitary District
County of Contra Costa, State of California