HomeMy WebLinkAbout01.a.(Handout)2023-08-17 Board Minutes_AMENDEDLCENTRAL SAN
MINUTES*
REGULAR BOARD MEETING
Board Room
Thursday, August 17, 2023
2:30 p.m.
AMENDED
Open Session — Board Room
(Video recorded)
ROLL CALL
BOARD OF DIRECTORS:
BARBARA D. HOCKETT
President
MARIAHN LAURITZEN
President Pro Tem
MICHAEL R. MCGILL
TAD J PILECKI
FLORENCE T. WEDINGTON
A regular meeting of the Board of Directors was called to order by President Hockett at
2:30 p.m. Secretary of the District Katie Young called roll:
PRESENT: Members: Lauritzen, McGill, Pilecki, Wedington, Hockett
ABSENT. Members: None
PLEDGE OF ALLEGIANCE
The Board, staff and audience joined in the Pledge of Allegiance.
INTRODUCTIONS
1. Introduce Fall 2023 Intern Students
It was announced that the fall interns would be introduced at a future meeting.
BOARD ACTION: Welcomed Fall 2023 Intern Students.
PUBLIC COMMENT PERIOD
No comments.
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.
CENTRAL CONTRA COSTA SANITARY DISTRICT
August 17, 2023 Board Meeting Minutes - Page 2
CONSENT CALENDAR
2. Approve the following:
a. August 3, 2023 Board meeting minutes
3. Adopt the side letters between the District and the Management Group; Management
Support/Confidential Group; and AFSCME, Public Employees' Union, Local #1
regarding the change in "core" medical plans for all employees
BOARD ACTION: Motion was made by Member McGill and seconded by
Member Pilecki to adopt the Consent Calendar as recommended. Motion
passed by unanimous roll call vote.
PUBLIC HEARINGS
4. Conduct a public hearing to consider approving Central San membership in the
California Municipal Finance Authority (CMFA) and participation in the Bond
Opportunities for Land Development (BOLD) program. Consider adopting Resolution
2023-024 authorizing Central San to join CMFA and Resolution 2023-025 authorizing the
General Manager to participate in the BOLD funding program.
Senior Engineer Thomas Brightbill reviewed the presentation included in the agenda
materials.
There was a question regarding bankruptcy of the land owner and the capacity fees
being returned. It was reiterated that the capacity fees stay with the land and should the
developer declare bankruptcy, the Joint Powers Authority (JPA) becomes owners of the
land.
President Hockett opened the public hearing, hearing no comments, she immediately
closed the hearing.
BOARD ACTION: Motion was made by Member Pilecki and seconded by
Member Lauritzen to conduct the public hearing and adopt Resolution No.
2023-024 and Resolution No. 2023-025, as presented. Motion passed by
unanimous roll call vote.
OTHER BOARD ACTION ITEMS
5. Approve proposed salary increase of eight- and three-quarters percent for Secretary of
the District Katherine Young, effective August 18, 2023.
Member McGill stated that he is very supportive of the proposed salary increase as Ms.
Young has done a tremendous job this past year and is well deserving of the increase.
BOARD ACTION: Motion was made by Member McGill and seconded by
Member Pilecki to approve proposed salary increase of eight- and three-
CENTRAL CONTRA COSTA SANITARY DISTRICT
August 17, 2023 Board Meeting Minutes - Page 3
quarter percent for Secretary of the District Katherine Young, as set forth in
the Seventh Amendment to her February 11, 2019 Employment Agreement,
effective August 18, 2023. Motion passed by unanimous roll call vote.
6. Approve a salary increase of five- and one-half percent (5.5%), an increase in Paid Time
Off (PTO) from 30 to 3533 days annually,
to the StriGVS 401/ PlanTequal to 12.5% of his salary or Gen ralag rRogeS
Bailey, G#eEt'August 18,202- and an increase in his PTO accumulation cap from 60
to 66 days which would be eauivalent to twice his annual limit. effective Auaust 18. 2023
BOARD ACTION: Motion was made by Member Pilecki and seconded by
Member McGill to approve proposed salary increase of five- and one-half
percent (5.5%), an increase in Paid Time Off (PTO) from 30 to X33 days
annually, and allow fer an employee funded contribution to the Di_strinV_
401(a) Plan pp�l co�5_ of his salar�General Manageil
Roger S. Raed'
effective Augu8, 1g, 2023.an increase in his PTO accumulation cap from 60 to
66 days. which would be eauivalent to twice his annual limite, effective Auaust
18, 2023. Motion passed by unanimous roll call vote.
Member McGill stated that Mr. Bailey has done a wonderful job managing Central
San and he is deserving of the increase.
7. Appoint Central San representatives to the Northern California Sanitation Agencies
Financing Authority, a Joint Powers Authority, and adopt Resolution No. 2023-026
Deputy General Manager -Administration Phil Leiber stated that the participation in the
Joint Powers Authority (JPA) was approved in January 2023, but that two (2)
representatives and two (2) alternates were not chosen as required by participation in
the JPA.
BOARD ACTION: Motion was made by Member Pilecki and seconded by Member
Wedington to adopt Resolution No. 2023-026 appointing regular and alternate
members to serve on the Northern California Sanitation Agencies Financing
Authority Joint Powers Authority. Motion passed by unanimous roll call vote.
8. Review risk assessment, draft policies and procedures, and a project implementation
plan related to the proposed transition to an In-house Treasury Structure and provide
direction to staff on the transition
Mr. Leiber briefly introduced the presentation included in the agenda packet. He stated
that staff has historically questioned if having the County as intermediary in financial
matters benefitted Central San. An internal audit conducted by Central San staff
identified insufficiencies and the Board approved exploring moving the treasury function
In -House by securing the services of Certified Public Accountants Eide Bailly. James
Ramsey Eide Bailly Partner summarized identified insufficiencies, components of the risk
assessment, and the process taken to gather information to inform their
recommendations. Mr. Ramsey presented the proposed structures, risks, and solutions
CENTRAL CONTRA COSTA SANITARY DISTRICT
August 17, 2023 Board Meeting Minutes - Page 4
of the four identified insufficiencies and a summary of the overall recommendations to
transition to in-house treasury functionality.
Finance Manager Kevin Mizuno presented a summary of draft policies and procedures
and a project implementation plan. He clarified that the Board is not being asked to
approve any draft policies, procedures or plans at this time and presented an
implementation timeline with a target go -live date of April 1, 2024, for in-house banking
services.
Member Lauritzen thanked Mr. Mizuno and team for providing more detail as requested
after their presentation to the Finance Committee.
Member McGill opined that the team that is working on this transition has done great
work and that he wants to be sure that Central San proceeds with continued caution.
Member Pilecki commented that Deputy General Manager - Operations, Greg Norby,
should be added to Exhibit A, to ensure succession planning. He also suggested that it
might be prudent for Central San to have their funds in two banks to ensure liquidity and
have a contingency plan in case the primary bank defaults.
President Hockett asked if banks could operate within the proposed treasury functions
have been identified. Mr. Mizuno indicated that those banks have not yet been identified.
Mr. Leiber confirmed that most major banks would be able to provide all the services
required by a new structure within Central San and working directly with them will
provide Central San greater flexibility with asset and cash management.
BOARD ACTION: Motion was made by Member Wedington and seconded by
Member McGill directed staff to proceed with designing and implementing an In-
house Treasury Function consistent with the draft banking and cash management
policy and procedures and the project implementation plan presented by staff.
Motion passed by unanimous roll call vote.
9. Review and consider adopting proposed guidelines for appointing a new Board member
President Hockett questioned whether the Board wants to implement a 13 -page
guidelines document before corrections to grammar and style are undertaken.
Member Pilecki stated that he wants the Board to remember that this document is a
guideline, not a policy, to provide guidance on future Board appointments.
Member Wedington opined that the document would be useful to guide the process in
the future.
Member McGill stated that he found the guideline document useful in that it captures all
that is required in the event of a future Board appointment process.
CENTRAL CONTRA COSTA SANITARY DISTRICT
August 17, 2023 Board Meeting Minutes - Page 5
Member Lauritzen stated that she felt that the document spoke to the fact that Central
San is a government entity and, to provide transparency and trust in government,
specific guidelines are required.
President Hockett believes that the document was too prescriptive and limited the
participation of a large number of potential applicants.
Member Wedington opined that the document provides a good basis for the procedure in
the future but does not prohibit or exclude any individuals.
General Manager Roger Bailey stated that the confusion may stem from the sample
questions in the draft document and suggested the Board may want to consider
removing the questions or modifying them.
Member McGill thanked Deputy General Manager Phil Leiber and and Ms. Young for
their hard work on producing and editing the document.
The Board Members provided their comments/changes to staff to incorporate in the guidelines
that were agreed upon by all Board Members.
There was a lengthy discussion regarding the ranking of candidates and need to provide
reasoning for the ranking.
BOARD ACTION: Motion was made by Member Pilecki, seconded by Member
McGill to allow each Board Member to rank their candidates and not have to
provide justification for the ranking. The motion passed by the following roll call
vote:
AYES: Members: McGill, Pilecki and Hockett
NOES: Members: Lauritzen and Wedington
Further corrections/suggestions were provided to staff on the language in the document.
It was suggested that the guidelines should be returned to the full Board for another
review once all of the modifications have been made. There was further discussion on
this matter.
BOARD ACTION: Motion was made by Member McGill, seconded by Member
Pilecki to approve the guidelines with the modifications made. Motion failed by the
following roll call vote:
AYES: Members: McGill and Pilecki
NOES: Members: Lauritzen, Wedington, Hockett
CENTRAL CONTRA COSTA SANITARY DISTRICT
August 17, 2023 Board Meeting Minutes - Page 6
BOARD ACTION: Motion was made by Member Lauritzen, seconded by Member
Wedington to bring back the guidelines at the next Board meeting with the
recommended changes for a second review. Motion passed by unanimous roll call
vote.
LEGISLATIVE MATTERS
10. Receive update on pending legislative matters
Communications and Intergovernmental Relations Manager Emily Barnett made a brief
statement that no changes to positions on existing legislation is requested and there
were no updates on Legislative action since the body has just reconvened.
BOARD ACTION: Received the update.
REPORTS AND ANNOUNCEMENTS
11. General Manager —Announcements
a. Announcements — August 17, 2023
Other than written announcements included with the agenda materials, no
further announcements were made.
BOARD ACTION: Received the announcements.
12. Counsel for the District
No report.
13. Secretary of the District
Ms. Young announced the following upcoming Committee meetings:
Engineering & Operations (Special) — Monday, August 21 at 9:30 a.m.
Finance Committee — Tuesday, August 22 at 9:30 a.m.
REEP Committee — Wednesday, August 23 at 9:00 a.m.
Admin Committee — Tuesday, September 5 at 9.00 a.m. (changed from 9:30)
BOARD ACTION: Received the announcements.
14. Board Members - Committee Minutes
a. August 1, 2023 — Administration Committee — Chair Lauritzen and Member
McGill
BOARD ACTION: Received the Committee minutes.
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August 17, 2023 Board Meeting Minutes - Page 7
15. 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 Lauritzen
• August 3 — Contra Costa County Mayor's Conference, Lafayette Veterans
Memorial Center, 3780 Mt. Diablo Blvd., Lafayette, CA
• August 9-11 — California Association of Sanitation Agencies (CASA)
conference, San Diego, CA
Member McGill
August 3 — Contra Costa County Mayor's Conference, Lafayette Veterans
Memorial Center, 3780 Mt. Diablo Blvd., Lafayette, CA
August 9-11 — California Association of Sanitation Agencies (CASA)
conference, San Diego, CA
Member McGill also provided a written report covering his announcements
and other meetings.
Member Pilecki
No report.
Member Wedinaton
August 3 — Contra Costa County Mayor's Conference, Lafayette Veterans
Memorial Center, 3780 Mt. Diablo Blvd., Lafayette, CA
August 9-11 — California Association of Sanitation Agencies (CASA)
conference, San Diego, CA
President Hockett
Memorial Center, 2780 Mt Diable Blvd Lafayette, CA
• August 9-11 — California Association of Sanitation Agencies (CASA)
conference, San Diego, CA
BOARD ACTION: Received the reports and announcements.
16. 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 Policy, or authorization for conference attendance not
previously approved by the Board.
None.
BOARD ACTION: Considered any requests.
CENTRAL CONTRA COSTA SANITARY DISTRICT
August 17, 2023 Board Meeting Minutes - Page 8
EMERGENCY SITUATIONS
None.
REQUESTS FOR FUTURE AGENDA ITEMS
None.
ADJOURNMENT
The meeting was adjourned at 5:32 p.m.
Barbara D. Hockett
President of the Board of Directors
Central Contra Costa Sanitary District
County of Contra Costa, State of California
149011J►1121:Z•9Eel 012191
Katie Young, CMC
Secretary of the District
Central Contra Costa Sanitary District
County of Contra Costa, State of California