HomeMy WebLinkAboutBOARD MINUTES 06-02-16Central Contra Costa Sanitary District
!°rotecting public health and the environment
5019 Imhoff Place, Martinez, CA 94553-4392
MINUTES*
REGULAR BOARD MEETING
Board Room
Thursday, June 2, 2016
2:00 p.m.
1 ROLL CALL
130A1?[) OF DIRECTORS:
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DAVID R WILLIAMS
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 (arrived at 2:08 p.m.), Williams, Pilecki
ABSENT: Members: McGill
a. Pledge of Allegiance
The Board, staff and audience joined in the Pledge of Allegiance.
2, PUBLIC COMMENT PERIOD
None.
3. REQUESTS TO CONSIDER MATTERS OUT OF ORDER
The entirety of Item 6. was taken out of order, after Item 4., pending Member
Nejedly's arrival.
4. CONSENT CALENDAR
a. Approve expenditures dated June 2, 2016.
b. Receive April 2016 Financial Statements and Investment Reports.
c. Adopt Resolution No. 2016-017 confirming the Board's decision at its
May 19, 2016 meeting to eliminate the use of budget allocations among
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These summary minutes are supplemented by a corresponding video recording available on the District's
website at centralsan. org.
Book 64 — Page 240
CENTRAL CONTRA COSTA SANITARY DISTRICT
June 2, 2016 Board Meeting Minutes - Page 241
the four Capital Improvement Programs in favor of implementing individual
project budgets, effective July 1, 2016.
d. Adopt Resolution No. 2016-018 confirming the Board's decision at its
May 19, 2016 meeting to:
1) Amend the table of authorization limits set forth in the Capital
Improvement Program (CIP) Budget to:
• Reflect the elimination of CIP Budget allocations effective July 1,
2016, and
• Modify current authorization limits for the General Manager and
Board of Directors related to the CIP Budget commencing with
Fiscal Year 2016-17; and
2) Rescind Resolution No. 2014-008 effective July 1, 2016.
Member Causey commented that he was willing to vote in favor of the Consent
Calendar, including Item 4.d., but reiterated his concern raised at the May 19, 2016
Board meeting that the $500, 000 authority limit for the General Manager to transfer
funds to individual project budgets is too high.
BOARD ACTION: Motion was made by Member Causey and seconded by
Member Williams to adopt the Consent Calendar as recommended. Motion
passed by the following vote of the Board:
AYES: Members: Causey, Williams, Pilecki
NOES: Members: None
ABSENT: Members: McGill, Nejedly
The Board proceeded to Item 6., pending arrival of Member Nejedly.
5. PUBLIC HEARINGS
a. Conduct public hearings on the following matters:
1) Consider adopting ordinances as follows:
Senior Engineer Thomas Brightbill presented the PowerPoint included
in the agenda materials.
President Pilecki noted that the Finance Committee thoroughly
reviewed the fee changes set forth in the proposed uncodified
ordinances and concurred with staff's recommendations. He then
opened a single public hearing for Items 5.a.1)a) through 5.a.1)c).
There being no members of the public present, the hearing was
closed.
CENTRAL CONTRA COSTA SANITARY DISTRICT
June 2, 2016 Board Meeting Minutes - Page 242
a) Uncodified Ordinance No. 290 to replace the "Schedule of
Environmental and Development -related Rates and Charges"
adopted pursuant to Ordinance No. 287 in accordance with
District Code Chapter 6.30. Approval recommended by Finance
Committee.
Data is available, as required by Government Code Title 7, Division 1,
Chapter 8, Section 66016. If you have questions, please contact Senior
Engineer Thomas Brightbill at (925) 229-7338.
BOARD ACTION: Motion was made by Member Nejedly and
seconded by Member Causey to adopt Uncodified
Ordinance No. 290 and make necessary findings to replace
the "Schedule of Environmental and Development -Related
Rates and Charges" adopted pursuant to Ordinance
No. 287 in accordance with District Code Chapter 6.30.
Motion passed by unanimous roll call vote of the Board
Members present. [4-0-1; McGill, absent.]
b) Uncodified Ordinance No. 291 to replace the "Schedule of
Capacity Fees, Rates and Charges" adopted pursuant to
Ordinance No. 288 in accordance with District Code Chapter
6.12. Approval recommended by Finance Committee.
Data is available, as required by Government Code Title 7, Division 1,
Chapter 8, Section 66016. If you have questions, please contact Senior
Engineer Thomas Brightbill at (925) 229-7338.
BOARD ACTION: Motion was made by Member Williams
and seconded by Member Nejedly to adopt Uncodified
Ordinance No. 291 and make necessary findings to replace
the "Schedule of Capacity Fees Rates and Charges"
adopted pursuant to Ordinance No. 288 in accordance with
District Code Chapter 6.12. Motion passed by unanimous
roll call vote of the Board Members present. [4-0-1; McGill,
absent.]
c) Ordinance No. 292 amending District Code Chapter 6.30,
including retitling the Schedule of Environmental and
Development -Related Rates and Charges to "Schedule of
Environmental and Development Fees and Charges."
BOARD ACTION: Motion was made by Member Causey and
seconded by Member Williams to adopt Ordinance No. 292
amending District Code Chapter 6.30. Motion passed by
unanimous vote of the Board Members present. [4-0-1;
McGill, absent.]
CENTRAL CONTRA COSTA SANITARY DISTRICT
June 2, 2016 Board Meeting Minutes - Page 243
2) Consider adopting the Fiscal Year 2016-17 Budget as follows:
a) Consider adopting the Fiscal Year 2016-17 District Budget,
including the:
• Operations and Maintenance Budget
• Capital Improvement Budget
• Self -Insurance Budget
• Debt Service Budget;
b) Find that the Fiscal Year 2016-17 Budget is exempt from the
California Environmental Quality Act (CEQA);
c) Approve the list of conferences as set forth in Attachment 1 to
the Position Paper; and
d) Authorize the General Manager to renew the District's expiring:
• Excess liability insurance for a premium not to exceed
$340,000; and
• Property insurance for a premium not to exceed $140,000.
General Manager Bailey said there would be no presentation on the
above budgets because they were explained at the May 19, 2016
Board meeting. However, he said staff was available to respond to
questions.
President Pilecki opened the public hearing to consider adoption of the
Fiscal Year 2016-17 District Budget. There being no members of the
public present, the public hearing was closed.
Member Williams prefaced his vote on the District Budget by stating
that he supports recycling water but continues to have concerns about
the District getting out in front of recycled water projects absent
collaboration with Contra Costa Water District (CCWD), which needs to
partner with the District in this regard. Even so, he recognizes the
need to continue to operate the facilities that are in place and
encourages continued efforts working with CCWD to expand the
Recycled Water Program. He said he would be voting in favor of the
proposed Budget.
Member Causey stated that the Finance Committee considered the
Operations and Maintenance Budget at its meeting earlier in the week.
He said he was very pleased with the excellent work done by staff in
producing a great document that is much improved over prior budgets.
He pointed out how the Budget uses the Effective Utility Management
(EUM) model and incorporates key components of the Fiscal Year
2016-18 Strategic Plan.
Member Causey provided the following observations on the District
Budget, which were also conveyed at the recent Finance Committee
meeting, that he would like addressed during the next budget cycle:
CENTRAL CONTRA COSTA SANITARY DISTRICT
June 2, 2016 Board Meeting Minutes - Page 244
1. Utilize consistent terminology (e.g., the term "expansion" should
only refer to new assets or increased capacity of existing
assets);
2. Incorporate Strategic Plan metrics by department;
3. Consider creating a new pension trust fund to address unfunded
pension liabilities;
4. Consider a mechanism for moving year-end funds that exceed
the targeted reserve for the capital program to the sewer
construction fund to help with asset replacement;
5. Consider incorporating rate evaluation/Proposition 218
processes into the Budget Calendar flow chart on page 10;
6. Review changes in standby pay;
7. Segregate projects in capital program as either equipment
replacement and capacity expansion;
8. Evaluate the methodology used for prioritization of capital
projects;
9. Clarify the allocation of labor costs for full-time engineering
employees between the capital program and the Operations and
Maintenance Budget; and
10. Create a separate recycled water fund, including a breakout for
full-time employees (similar to no. 9 above).
Member Pilecki noted that this year's Budget represents a complete
overhaul from previous years. The new Budget ties all the separate
District's budgets together so they are working in unison, links the
Budget with the Strategic Plan, reflects the recent change from
allocation -based budgeting for capital projects to individual project
budgets, reflects prioritization of capital projects based on the Asset
Management Policy, reflects rates as set after the 2015 Cost of
Service Study and Staffing Needs Assessment, incorporates the new
Reserves Policy and the District's plan for addressing unfunded
pension liabilities, and prepares for the Comprehensive Wastewater
Master Plan to support the capital budget. He praised staff for their
efforts.
As Executive Director of Bay Area Clean Water Agencies (BA C WA),
Member Williams recused himself from the following action and exited
the Board Room.
BOARD ACTION: Motion was made by Member Causey and
seconded by Member Nejedly to approve and adopt those portions
of the Fiscal Year 2016-17 Operations and Maintenance Budget
related to budgeted financial transactions with BACWA. Motion
passed by the following vote of the Board:
AYES: Members: Causey, Nejedly, Pilecki
NOES: Members: None
ABSENT: Members: McGill, Williams
CENTRAL CONTRA COSTA SANITARY DISTRICT
June 2, 2016 Board Meeting Minutes - Page 245
Member Williams returned to the Board Room.
BOARD ACTION: Motion was made by Member Causey and
seconded by Member Williams to:
a. Approve and adopt the remainder of the Fiscal Year 2016-17
District Budget, including the:
• Operations and Maintenance Budget
• Capital Improvement Budget
• Self -Insurance Budget
• Debt Service Budget;
b. Find that the Fiscal Year 2016-17 Budget is exempt from
CEQA;
c. Approve the list of conferences as set forth in Attachment 1
to the Position Paper; and
d. Authorize the General Manager to renew the District's
expiring:
• Excess liability insurance for a premium not to exceed
$340,000; and
• Property insurance for a premium not to exceed $140,000.
Motion passed by unanimous vote of the Board Members present.
[4-0-1; McGill, absent.]
6. REPORTS AND ANNOUNCEMENTS
The entirety of Item 6. was taken out of order, immediately following Item 4.
Member Nejedly arrived during Item 6.a.1)a).
a. General Manager
1) Reports
a) Update on upcoming 70th Anniversary Celebration on July 16,
2016.
Communication Services and Intergovernmental Relations
Manager Emily Barnett gave a brief update on the upcoming
event and responded to questions from Board Members.
BOARD ACTION: Received the update.
CENTRAL CONTRA COSTA SANITARY DISTRICT
June 2, 2016 Board Meeting Minutes - Page 246
2) Announcements
a) Public Bidding for the Plant Control System Network Upgrades -
Fiber Optic Installation, District Project 7317
b) Recent Sewer Summit hosted by Planning and Development
Service Group
c) Review of water consumption data for Dr. H. Jay Kerr
d) Annual Employee Appreciation Picnic scheduled for August 17,
2016
e) General Manager Roger S. Bailey to attend American Water
Works Association Annual Conference in Chicago, Illinois, from
June 19-22, 2016
The following announcement was made at the meeting:
General Manager Bailey said the recent Contra Costa Grand
Jury Report No. 1606, "Reclaiming our Water," which was
received by the District on May 31, 2016, has been scheduled
for discussion at the June 6 Administration Committee meeting.
The deadline for response is August 31.
BOARD ACTION: Received the announcements.
b. Counsel for the District — No report.
c. Secretary of the District
Ms. Boehme announced the following upcoming Committee meetings:
Administration — Monday, June 6 at 8:30 a.m.
Engineering & Operations — Tuesday, June 7 at 10:30 a.m.
d. Board Members
1) 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
Member Causey stated that he will be conducting his Southern Area
Briefing tomorrow at 8:30 a.m. in San Ramon for his liaison cities.
CENTRAL CONTRA COSTA SANITARY DISTRICT
June 2, 2016 Board Meeting Minutes - Page 247
Member Neledly — No report.
Member Williams — No report.
President Pilecki — No report.
BOARD ACTION: Received the reports.
2) Requests 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.
No requests.
7. EMERGENCY SITUATIONS
None.
8. REQUESTS FOR FUTURE AGENDA ITEMS
None.
9. ADJOURNMENT
The meeting was adjourned at 3:02 p. m.
PJ_J,
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
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