HomeMy WebLinkAbout03.a. Approve minutes of meeting held 10-03-19 Page 1 of 10
Item 3.a.
k�*k CENTRAL SAN
CENTRAL CONTRA COSTA SANITARY DISTRICT
October 17, 2019
TO: HONORABLE BOARD OF DIRECTORS
FROM: KATIE YOUNG, SECRETARY OF THE DISTRICT
SUBJECT: OCTOBER 3, 2019 BOARD MEETING MINUTES
Attached are the draft minutes of the above Board meeting.
ATTACHMENTS:
1. Draft Minutes 10-03-19 Board meeting
October 17, 2019 Regular Board Meeting Agenda Packet- Page 11 of 82
Page 2 of 10
CENTRAL SAN
CENTRAL •NTRA COSTA SANITARY DISTRICT 5019 •
MINUTES* BOARD OF DIRECTORS:
DAVID R. WILLIAMS
President
REGULAR BOARD MEETING
MICHAEL R.MCGILL
Board Room President Pro Tent
Thursday, October 3, 2019 PAUL CAUSEY
1'30 p.m. JAMES
D
TAD
DRAFT
Open Session — Board Room
(Video recorded)
ROLL CALL
A regular meeting of the Board of Directors was called to order by President Williams at
1:30 p.m. Secretary of the District Katie Young called roll:
PRESENT.- Members: Causey, Nejedly, Pilecki, McGill
ABSENT. Members: Williams
PLEDGE OF ALLEGIANCE
The Board, staff and audience joined in the Pledge of Allegiance.
INTRODUCTIONS
1. New employees:
• Ann Vallee, Community Affairs Representative, Administration Department,
Communication Services and Intergovernmental Relations Division, effective
September 3, 2019
• Kurnesha Anderson, Household Hazardous Waste Technician, Engineering and
Technical Services Department, Environmental and Regulatory Compliance
Division, effective September 30, 2019
BOARD ACTION: Welcomed Ms. Vallee and Ms. Anderson.
These summary minutes are supplemented by a corresponding video recording available on the District's
website at centralsan.org.
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CENTRAL CONTRA COSTA SANITARY DISTRICT
October 3, 2019 Board Meeting Minutes -Page 2
PUBLIC COMMENT PERIOD
No comments.
REQUESTS TO CONSIDER MATTERS OUT OF ORDER
None.
AWARDS AND PRESENTATIONS
2. Receive presentation by Contra Costa Water District (CCWD) Board President
Lisa Borba on local water supply, including updated water rates and major
construction projects
Ms. Borba reviewed the presentation included with the agenda material.
Member Pilecki suggested an ad hoc committee be formed to discuss the recycled
water exchange project in order to provide guidance in an efficient manner and
determine whether the project is viable. Ms. Borba opined that CCWD is not
prepared to put together a committee at this time but fully agrees with the one water
concept and would like to continue the path staff is currently pursuing.
Board Members expressed their gratitude for Ms. Borba's time and presentation.
BOARD ACTION: Received the presentation.
CONSENT CALENDAR
3. Approve the following:
a. September 19, 2019 Board meeting minutes
4. Approve expenditures dated October 3, 2019
5. Receive August 2019 Financial Statements and Investment Reports
6. Adopt Resolution No. 2019-060 in support of Water Professionals Appreciation
Week October 5-13, 2019
7. Approve proposed Board Calendar for 2020
8. Approve proposed Board Member conference attendance for 2020
9. Confirm publication of a summary of uncodified District Ordinance No. 308
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October 3, 2019 Board Meeting Minutes -Page 3
10. Adopt Resolution No. 2019-061 accepting a recorded Grant of Irrevocable Offer of
Dedication of a Sanitary Sewer Easement, related to Job 6538, located in Walnut
Creek
11. Adopt Resolution No. 2019-062 accepting an offer of dedication from a recorded
Grant of Irrevocable Offer of Dedication of a Sanitary Sewer Easement and
accepting a portion of the offer of dedication of a sanitary sewer easement as
depicted on Subdivision Map 9330, located in Moraga
12. Adopt Resolution No. 2019-063 accepting a portion of the offers of dedication of
sanitary sewer easements in San Ramon as depicted on Subdivision Map 9325
13. Adopt Resolution No. 2019-064 accepting recorded Grants of Irrevocable Offers of
Dedication of sanitary sewer easements as related to Jobs 6627 and 6636 in San
Ramon, and Job 6653 in Alamo
14. Adopt Resolution No. 2019-065 accepting recorded Grants of Irrevocable Offers of
Dedication of sanitary sewer easements as related to Job 6549 in Pleasant Hill
15. Adopt Resolution No. 2019-066 accepting an offer of dedication of a sanitary sewer
easement as depicted on Subdivision Map 9469 and accepting a recorded Grant of
Irrevocable Offer of Dedication of a sanitary sewer easement as related to Job 6660
in Pleasant Hill
16. Adopt Resolution No. 2019-067 authorizing an amendment to an existing sanitary
sewer easement as related to Job 6630 in San Ramon
17. Authorize the General Manager to execute a professional engineering services
agreement in an amount not to exceed $450,000 with HDR, Inc. to provide on-call
services for the Planning and Development Division for a three-year term
18. Authorize the General Manager to execute a professional engineering services
agreement in an amount not to exceed $150,000 with Hazen and Sawyer, P.C. to
provide on-call services for the Planning and Development Division for a three-year
term
19. Authorize the General Manager to execute a professional engineering services
agreement in an amount not to exceed $900,000 with West Yost Associates to
provide on-call services for the Planning and Development Division for a three-year
term
Ms. Young advised the Board that Item 7., 2020 Board Calendar, had a minor correction for
the Board Workshop in February 2020 that was published in the agenda materials. She
provided the Board with an updated calendar, listing the Board Workshop on February 3,
2020.
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October 3, 2019 Board Meeting Minutes -Page 4
BOARD ACTION: Motion was made by Member Pilecki and seconded by Member
Nejedly to adopt the Consent Calendar with the change to Item 7. Motion passed by
unanimous vote of the Board Members present. [4-0-1; President Williams absent.]
OTHER BOARD ACTION ITEMS
20. Receive Capital Improvement Budget Fiscal Year 2018-19 Pre-Audit Year-End
Status Report
Capital Projects Division Manager Edgar Lopez reviewed the presentation included
with the agenda material.
Member Pilecki asked if there are enough staff and resources internally to meet the
increasing level of capital improvement projects on the horizon. General Manager
Roger S. Bailey stated that District staffing is at the optimal level and, in order to
handle the workload, staff will augment with outside consulting services and
contractors as needed.
BOARD ACTION: Received the report.
21. Receive Fiscal Year 2018-19 Pre-Audit Year-End Financial Statement Summary
Report; and consider alternatives for allocating (a) $9.78 million FY 2018-19
favorable budget variance, and (b) $1.25 million budgeted in FY 2019-20 toward
employee-related unfunded liabilities
This item was heard following Item 22.a. and 22.b., which were taken out of order.
Director of Finance and Administration Phil Leiber reviewed the presentation
included with the agenda material.
There was a lengthy discussion on the different options presented by staff, including
leaving funds in Sewer Construction, funding employee related liabilities (including
Other Post-Employment Benefits (OPEB) and pension obligations), and establishing
a rate stabilization fund.
Member Pilecki questioned the flexibility of putting the monies in a rate stabilization
fund. Mr. Leiber stated that there would be no loss in terms of flexibility and the
Board may move the funds at its discretion, for any lawful use.
In response to questions from Members Pilecki and Causey regarding OPEB
funding and contributions to the Pension Prefunding Trust, Finance Administrator
Todd Smithey explained that based on current valuation assumptions, the OPEB
Trust is expected to be fully funded in 15 years if no further contributions are made.
For this reason, he said no additional contribution to the OPEB trust was budgeted in
the current fiscal year. He also confirmed Member Pilecki's understanding that it
would not be detrimental if the OPEB Trust were to become fully funded because
those funds remain available for the District's use; however, the same may not be
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October 3, 2019 Board Meeting Minutes -Page 5
said for excess contributions to the Contra Costa County Employees'Retirement
Association (CCCERA) pension fund.
Member Causey inquired about the potential issue of"superfunding"of the pension
fund (where contributions are required to continue even when the pension funding
level reaches 100%). Mr. Bailey said he plans to schedule a future Board discussion
regarding policy issues related to optimal funding levels for the OPEB Trust and
pension obligations (in CCCERA and in the Pension Prefunding Trust).
BOARD ACTION: Motion was made by Member Causey and seconded by
Member Nejedly to receive the Fiscal Year 2018-19 Pre-Audit Year-End
Financial Statement Summary Report and
• Allocate the $9.78 million FY 2018-19 favorable budget variance as follows:
o $5.92 million to the Sewer Construction Fund,
o $1.25 million to the Pension Prefunding Trust,
o $2.61 million to fund a Rate Stabilization Fund (RSF), after revising
BP 017 - Fiscal Reserves specifying operation of the RSF, and
• Allocate the $1.25 million budgeted in FY 2019-20 for employee-related
unfunded liabilities to Central San's OPEB Trust.
Motion passed by unanimous vote of the Board Members present. [4-0-1;
President Williams absent.]
Member Causey thanked staff for the opportunity to thoroughly explore the options
for utilizing the favorable budget variance. As a Board Member, he said it allowed
for a better understanding of the options available and the flexibility of those options.
He stated that staff did an excellent job providing the information needed in order for
the Board to make a policy decision.
REPORTS AND ANNOUNCEMENTS
22. General Manager— Reports
a. Receive quarterly informational list of pending Board and Standing Committee
future agenda items
This item was heard following Item 20, which was taken out of order.
BOARD ACTION: Received the list.
b. Receive Internal Audit Report on revenue controls
Temporary Senior Internal Auditor Erica Brooks Peters reviewed the
presentation included with the agenda material.
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October 3, 2019 Board Meeting Minutes -Page 6
Member Pilecki expressed concern about one of the recommendations in the
audit regarding the Permit Counter not accepting cash payments. Mr. Bailey
agreed and advised that staff will consider the audit recommendations and
findings and will implement them as appropriate.
In response to a question from President Pro Tem McGill, Ms. Brooks Peters
said staff was very cooperative with the audit and agreed with the audit
recommendations.
Member Causey requested that all future audits be presented to an
appropriate Board Committee prior to being presented to the full Board.
BOARD ACTION: Received the report.
At this point in the meeting, President Pro Tem reverted to Item 21, which was taken
out of order.
C. Receive Fiscal Year 2018-19 Household Hazardous Waste Program Annual
Report
This item was heard following Item 21, which was taken out of order.
Household Hazardous Waste Technician Winston Ingram reviewed the
presentation included with the agenda material.
Member Causey expressed concern about the unincorporated area of San
Ramon regarding a recycling program. Household Hazardous Waste
Supervisor David Wyatt advised the Board that San Ramon has begun a new
solids waste and recycling contract and will be looking into a program in the
upcoming months.
BOARD ACTION: Received the report.
23. General Manager— Announcements
a. Announcements — October 3, 2019
1) Transparency Certificate of Excellence Awarded to Central San
2) Report on Fiscal Year 2018-19 Capital Project Close-Outs
3) Outreach event scheduled for October 17, 2019 regarding Pump
Station Upgrades Project, Phase 1 , District Project 8436
No further announcements were made during the meeting.
BOARD ACTION: Received the announcements.
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October 3, 2019 Board Meeting Minutes-Page 7
24. Counsel for the District — No report.
25. Secretary of the District
Ms. Young announced the following upcoming Committee meetings:
Administration — Tuesday, October 15 at 8:30 a.m.
Engineering & Operations— Tuesday, October 15 at 2:00 p.m.
BOARD ACTION: Received the announcements.
26. Board Members — Committee Minutes
a. September 16, 2019 — Real Estate, Environmental & Planning Committee —
Chair Pilecki and Member McGill
b. September 17, 2019 — Engineering & Operations Committee — Chair Nejedly
and Member Pilecki
C. September 24, 2019 — Finance Committee — Chair Causey and Member
Nejedly
BOARD ACTION: Received the Committee minutes.
27. Board Members - 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.
a. Member Causey
Member Causey thanked staff for the recent opportunity to visit the Permit
Counter to see how busy it is and to better understand customer and
operational needs.
Member McGill
• September 21-25, 2019 —Water Environment Federation Technical
Exhibition (WEFTEC) in Chicago, Illinois
Member McGill also provided a written report covering his announcements
and other meetings.
Member Neiedly— No report.
Member Pilecki — No report.
President Williams —Absent.
BOARD ACTION: Received the reports and announcements.
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October 3, 2019 Board Meeting Minutes-Page 8
28. Board Members - 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.
29. Board Members — Other Items
a. Consider proposed changes to Contra Costa Special Districts Association
(CCSDA) Bylaws
As Board Representative to the CCSDA, President Pro Tem McGill requested
Board Member comments with regard to the proposed Bylaw changes. He
said he recommended that this Board approve the proposed changes.
BOARD ACTION: The Board Members had no objection to the proposed
Bylaw changes.
EMERGENCY SITUATIONS
None.
REQUESTS FOR FUTURE AGENDA ITEMS
Member McGill requested staff to provide information to the Real Estate, Environmental &
Planning (RESP) Committee regarding microplastics in the Bay. He referred to an article in
the newspaper on October 2, 2019 stating that two sources of microplastics in the Bay
include wastewater communities and stormwater. Environmental and Regulatory
Compliance Division Manager Lori Schectel said she recently attended a symposium on
microplastics in Berkeley and would be providing an update at the next REEP Committee
meeting.
ANNOUNCE CLOSED SESSION (pursuant to Government Code Section 54957.7)
District Counsel Kent Alm announced that a closed session would be held for Items 30
and 31.
RECESS TO CLOSED SESSION
The Board recessed at 3:17p.m. to reconvene in closed session in the Caucus Room.
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October 3, 2019 Board Meeting Minutes-Page 9
Closed Session
(Not video recorded)
CLOSED SESSION
30. Conference with Legal Counsel - existing litigation pursuant to Government Code
Section 54956.9(d)(1):
• Contra Costa County Deputy Sheriffs Association, et al. v. Contra Costa County
Employees'Retirement Association (CCCERA), et al., Court of Appeal,
1 st Appellate District, Division Four, Case No. Al 41913
Member Pilecki recused himself from Item 31.
31. Conference with Legal Counsel - existing litigation pursuant to Government Code
Section 54956.9(d)(1):
• Kappel v. Central Contra Costa Sanitary District, et al., Contra Costa County
Superior Case No. C19-01012
RECESS TO OPEN SESSION
The Board recessed at 3:44 p.m. to reconvene in open session in the Board Room.
REPORT OUT OF CLOSED SESSION
None.
ADJOURNMENT
The meeting was adjourned at 3:45 p.m.
Michael R. McGill, P.E.
President Pro Tem of the Board of Directors
Central Contra Costa Sanitary District
County of Contra Costa, State of California
COUNTERSIGNED:
Katie Young
Secretary of the District
Central Contra Costa Sanitary District
County of Contra Costa, State of California
October 17, 2019 Regular Board Meeting Agenda Packet- Page 20 of 82