HomeMy WebLinkAboutBOARD MINUTES 05-19-16Central Contra Costa Sanitary District
Piotecting public health and the environment 50191mhoff Place, Martinez, CA 94553-4392
MINUTES*
REGULAR BOARD MEETING
Board Room
Thursday, May 19, 2016
2:00 p.m.
ROLL CALL
BOARD OF DIRECTORS:
TAD J PILECKI
Prc vdeu r
PAUL II CA/'SL• Y
Preaulenr Piu Tem
MICHAEL R MCGILL
J.IMPS A NPJLDLY
[Al'ID R WILLI WS
A regular meeting of the Board of Directors was called to order by President Pilecki
at 2:00 p.m. Secretary of the District Elaine Boehme called roll:
PRESENT: Members: Causey, Nejedly, Williams, Pilecki
ABSENT: Members: McGill
a. Pledge of Allegiance
The Board, staff and audience joined in the Pledge of Allegiance.
PUBLIC COMMENT PERIOD
Kristie Carter of Danville commented on the Diablo Country Club (DCC) satellite
water recycling facility (SWRF) demonstration project, stating that its proposed
location is within 100 feet of several residences backing up to DCC, including hers.
While she is supportive of the project, she does not support the proposed location,
which may increase effluent to existing creeks and reduce property values between
$200,000 and $500,000. She said it is imperative that a different location be found
that does not impact other residences and requested the matter be agendized.
Walden Carlson, whose property is adjacent to DCC, commented on the same issue
as Ms. Carter, stating that he strongly supports the concept of providing recycled
water to the golf course, but strongly objects to the current proposed location. A
summary of his comments was provided to staff.
3. REQUESTS TO CONSIDER MATTERS OUT OF ORDER
None.
These summary minutes are supplemented by a corresponding video recording available on the District's
website at centralsan. org.
Book 64— Page 233
CENTRAL CONTRA COSTA SANITARY DISTRICT
May 19, 2016 Board Meeting Minutes - Page 234
4. CONSENT CALENDAR
a. Approve minutes of Board meetings held on the following dates:
1) May 5, 2016;
2) May 10, 2016; and
3) May 12, 2016.
b. Authorize the reclassification of one Senior Accountant position (S-70,
$92,115-$111,554) to a Finance Administrator position (S-78, $111,554-
$135,225.) Approval recommended by Administration Committee.
c. Authorize the General Manager to pre -purchase natural gas through a service
agreement with Shell Energy North America, LP, for the period January 1,
2018 through December 31, 2018, at a price not to exceed $4.50 per
decatherm, not including transportation service costs. Approval
recommended by Engineering & Operations Committee.
d. Approve a supplemental authorization of $423,867 from the Sewer
Construction Fund to the Development Sewerage Project, District Project
8420. Approval recommended by Engineering & Operations Committee.
e. Award a construction contract in the amount of $563,500 to National High
Voltage Services, Inc., the lowest responsive and responsible bidder for the
Substation 16 Switchgear Replacement, District Project 7324; authorize the
General Manager to execute the contract documents subject to submittal
requirements; and authorize the General Manager to execute an agreement
amendment with Brown and Caldwell to increase the cost ceiling from
$850,000 to $990,000 to provide as -needed construction services for the
Project. Approval recommended by Engineering & Operations Committee.
f. Authorize the General Manager to solicit and negotiate a construction
contract for the Pump and Blower Building Seismic Upgrades, District
Project 7291. Approval recommended by Engineering & Operations
Committee.
Member Causey pointed out a minor correction to page 7 of the May 5, 2016
meeting minutes regarding the meeting with Rossmoor officials.
BOARD ACTION: Motion was made by Member Causey and seconded by
Member Nejedly to adopt the Consent Calendar with the revision to the May 5,
2016 minutes requested by Member Causey. Motion passed by unanimous
vote of the Board Members present. [4-0-1; McGill absent.]
5. OTHER BOARD ACTION ITEMS
a. Consider the following:
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CENTRAL CONTRA COSTA SANITARY DISTRICT
May 19, 2016 Board Meeting Minutes - Page 235
1) Eliminating the use of budget allocations among the four Capital
Improvement Programs (CIP) in favor of implementing individual
project budgets, effective July 1, 2016; and
2) Adopting Resolution No. 2016-017:
a) Amending the table of authorization limits under the CIP Budget
to (1) reflect the elimination of CIP Budget allocations effective
July 1, 2016, and (2) modify current authorization limits for the
General Manager and Board of Directors related to the CIP
Budget commencing with Fiscal Year 2016-17; and
b) Rescinding Resolution No. 2014-008, effective July 1, 2016.
Proposed new authorization limits recommended for approval by Engineering
& Operations Committee.
Capital Projects Division Manager Edgar Lopez presented the PowerPoint
contained in the agenda packet, which explained the proposed transition from
a system using CIP budget allocations among the four CIPs to one which
utilizes individual project budgets. He also explained that the transition will
necessitate revisions to the table of authorization limits under the CIP Budget.
Member Williams stated that two of the reasons for using CIP budget
allocations for the past 30 years were to prevent over -estimations of project
budgets (which can lead to increased sewer service rates) and reduce the
burden on staff from having to bring position papers to the Board when
project costs change. He said he was supportive of the transition to individual
project budgets but was struggling with the Board's role in the process and
questioned whether the recommendation of placing a $50,000 limit on the
General Manager's authority to transfer funds to individual project budgets
was too low. He moved that the authorization limit be increased to $500,000
to avoid over -estimating project costs and limit the number of times staff will
be required to bring items to the Board to transfer funds.
Member Causey expressed support for the transition to individual project
budgets, but did not support Member Williams' motion. He acknowledged
that it is difficult to estimate project costs so far ahead of time, but strongly
believes that the Board needs to retain the responsibility for approving fund
transfers. Member Causey asked if Member Williams would consider
changing his motion to place the authority limit at $100,000 for one year to
see how it goes.
Member Nejedly agreed with Member Williams, stating that the General
Manager should be able to move funds within an approved total budget as
needed to complete projects.
CENTRAL CONTRA COSTA SANITARY DISTRICT
May 19, 2016 Board Meeting Minutes - Page 236
President Pilecki said he was supportive of a limit of more than $50, 000 for
transferring funds to individual projects.
Member Williams repeated his motion to eliminate CIP budget allocations and
set a $500, 000 authorization limit for the General Manager to transfer funds to
individual project budgets effective July 1, 2016. Member Nejedly seconded
the motion.
Member Causey requested the motion be split into two motions.
BOARD ACTION: Motion was made by Member Williams and seconded
by Member Causey to eliminate CIP budget allocations in favor of
individual project budgets effective July 1, 2016. Motion passed by
unanimous vote of the Board Members present. [4-0-1; McGiII absent.]
BOARD ACTION: Motion was made by Member Williams and seconded
by Member Nejedly to amend the table of authorization limits under the
CIP Budget to (1) reflect the elimination of CIP budget allocations
effective July 1, 2016, and (2) increase the current authorization limit to
$500,000 for the General Manager to transfer funds to individual project
budgets commencing with Fiscal Year 2016-17. Motion passed by the
following vote of the Board:
AYES: Members: Nejedly, Williams, Pilecki
NOES: Members: Causey
ABSENT: Members: McGill
Upon conclusion of the discussion regarding Item 6.a.1)a), this item was
revisited by General Manager Bailey, who said the proposed resolution
included with the agenda materials combined both of the above actions into a
single resolution. While the direction of the Board was clear, the resolution
should be separated into two separate resolutions because the votes were
different on the two motions.
The Board Members directed staff to bring both items back at the next
meeting with two separate resolutions confirming the Board's direction.
6. REPORTS AND ANNOUNCEMENTS
a. General Manager
1) Reports
a) Receive Strategic Plan for Fiscal Years 2016-18. Reviewed by
Administration Committee.
CENTRAL CONTRA COSTA SANITARY DISTRICT
May 19, 2016 Board Meeting Minutes - Page 237
Deputy General Manager Ann Sasaki presented the PowerPoint
included with the agenda materials.
President Pilecki expressed appreciation for the Strategic Plan's
tie-in to the District's budgets and capital improvement program.
BOARD ACTION: Received the Strategic Plan for Fiscal
Years 2016-18.
b) Receive District Budget for Fiscal Year 2016-17. Operations
and Maintenance (O&M) portion reviewed by Finance
Committee; Capital portion reviewed by Engineering &
Operations Committee.
Finance Administrator Todd Smithey presented that portion of
the PowerPoint included with the agenda materials related to
the O&M, Self -Insurance and Debt Service Budgets. Capital
Projects Division Manager Edgar Lopez presented the portion
related to the Capital Improvement Budget.
Member Williams commented with regard to the conferences
and training portion of the O&M Budget. He noted that three
attendees have been budgeted to attend the Water Environment
Federation Technical Exhibition and Conference (WEFTEC) in
the next fiscal year. As the largest industry show in the nation,
he said WEFTEC is beneficial for staff because it allows for
professional development and the opportunity to network with
otheragencies. Therefore, he proposed increasing the number
of District staff attendees from three to five. Members Causey
and Nejedly concurred with Member Williams' suggestion.
BOARD ACTION: Received the District Budget for Fiscal
Year 2016-17.
2) Announcements
Mr. Bailey asked Communication Services and Intergovernmental
Affairs Manager Emily Barnett to present the following announcement
at the meeting:
a) Recent outreach efforts on the Pleasant Hill -Grayson Creek
Trunk Sewer Project, District Project
BOARD ACTION: Received the announcement.
b. Counsel for the District — No report.
CENTRAL CONTRA COSTA SANITARY DISTRICT
May 19, 2016 Board Meeting Minutes - Page 238
c. Secretary of the District
Ms. Boehme announced a Finance Committee meeting will be held Monday,
May 23, 2016 at 3:00 p.m.
d. Board Members
1) Committee Minutes
a) May 9, 2016 — Administration Committee meeting — Member
Williams and Member McGill.
b) May 10, 2016 — Engineering & Operations Committee meeting —
Member Causey and President Pilecki.
c) May 10, 2016 — Real Estate, Environmental & Planning
Committee meeting — Member McGill and Member Nejedly.
Member Williams noted the Committee minutes referred to a
potential community event to celebrate Hilton Concord's
connection to the District's recycled water system. He said that
such connections are considered accepted services by
ratepayers. Instead, he suggested that any funds that might
otherwise have been committed to a celebratory event be used
to offset the cost of sending two additional employees to
WEFTEC (see Item 6.a.1)b) above). Member Causey
concurred with this suggestion.
BOARD ACTION: Received the minutes.
2) Reports and Announcements - Board Member reports on recent
meetings or conferences for which they received the stipend or for
which the District paid their expenses.
Member Causev — No report.
Member Neiedlv — No report.
Member Williams — No report.
President Pilecki
• May 5, 2016 — Contra Costa County Mayors' Conference hosted
by the City of Pleasant Hill.
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CENTRAL CONTRA COSTA SANITARY DISTRICT
May 19, 2016 Board Meeting Minutes - Page 239
President Pilecki announced that the City of Martinez has hired a new
City Manager, Brad Kilger, former City Manager for the City of Benicia.
President Pilecki also announced that on May 6, 2016 he attended the
Spring Summit Conference of the Bay Planning Coalition.
BOARD ACTION: Received the reports.
3) Reauests for Stipend/Reimbursement or Conference Attendance —
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.
Member Causey stated that he will be hosting a Southern Area Briefing
with his liaison cities (Alamo, Danville and San Ramon) on June 3, 2016.
7 EMERGENCY SITUATIONS
None.
8. REQUESTS FOR FUTURE AGENDA ITEMS
None.
9. ADJOURNMENT
The meeting was adjourned at 4:25 p.m.
PjJ/_gr,erc) Tad J. Pilecki
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