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13 - General Manager Performance Evaluation Costa Mesa Sanitary District …an Independent Special District Protecting our community’s health and the environment by providing solid waste and sewer collection services. www.cmsdca.gov Memorandum To: Board of Directors From: Scott Carroll, General Manager Date: June 26, 2014 Subject: General Manager Performance Evaluation Summary For calendar year 2013, the Board of Directors established 21 goals for me to achieve. Through good teamwork and cooperation from staff, the following is a summation on how 20 out of 21 goals were achieved. Staff Recommendation That the Board of Directors: 1. Receive and file General Manager’s 2013 performance goals and District achievements; 2. Direct President Ferryman to negotiate an annual salary adjustment for the General Manager; 3. Develop 2014 performance goals for the General Manager; and 4. Report back to the Board on July 24, 2014 with the General Manager’s 2014 performance goals and proposed salary adjustment. Analysis Below are the performance goals assigned to me in 2013. 1. Refine the District’s Computerized Maintenance Management System (CMMS) to allow for the tracking of performance measurements of the sewer maintenance division. Complete: A total of 24 performance measure indicators were developed that included measuring the division’s workload, efficiency and effectiveness. On Board of Directors June 26, 2014 Page 2 of 8 March 6, 2013, I met with Ramon Gallegos, GIS/CMMS Supervisor for Environmental Engineering & Contracting, Inc. (EEC) to discuss integrating performance measurements into CMMS. In September 2013, Mr. Gallegos met with Steve Cano, Maintenance Supervisor on training him how to track performance measurements in CMMS. Data is being retrieved and recorded into the CMMS in which staff will be using this information to enhance the level of service. 2. Explore more opportunities for shared services with other public agencies. The District has access to the City of Costa Mesa’s Permit Plus software that gives staff access to the City’s permit files. The software helps District staff determine when projects are moving forward or if they are delayed. Having access to the Permit Plus software improves efficiencies because the District does not have to rely on City staff to meet our request. On May 13, 2013, the District used Irvine Ranch Water District’s CCTV crew to determine if CMSD’s sewer mainline caused a sinkhole on Flower Street. A letter of appreciation was sent to IRWD’s GM for their assistance and to recognize the shared service success story. This success story was also sent to LAFCO. 3. Partner with OC Goodwill on holding a community event for collecting donated items that are reusable. Complete. On Saturday, October 26, 2013, the District partnered with Orange Coast College (OCC) and OC Goodwill to sponsor a special event that provided residents with an easy and convenient method for recycling unwanted clothes, furniture, E-waste and other items. Paper shredding was also made available to residents. A total of 186 donors attended the event that filled 27.25 cages. OC Goodwill determines a successful donation event occurs when 18 cages are filled. A total of 20,913 pounds of donated items were collected and diverted from the landfill. The results of this event were presented to the Board on November 12, 2013 during a study session. 4. Implement the District’s private pumping station assessment program and report back to the Board the results of the program. Not complete due to unforeseen circumstances. The District’s dedicated pump station maintenance worker was released from employment. The District had to Board of Directors June 17, 2014 Page 3 of 8 train another staff person to become the dedicated pump station maintenance worker. Before the District can assess private pump stations, District staff needed more time to gain the required knowledge and skills to effectively assess private pumping stations. 5. Communicate updates to the Board regarding the Westside Pump Station Abandonment Project and continue keeping open communications with OCSD. Complete. On June 18, 2013, staff gave the Operations Committee an oral report about this project. Staff provided report details and indicated that the total budget for the project will be ready within 30 to 45 days. On October 15, 2013, staff gave another updated report regarding this project during a study session. OCSD staff was in attendant at the study session and provided the Board with the latest information regarding this project. 6. Work with the Board of Directors and staff on revising the District’s Strategic Plan. Complete. On April 3, 2013 I facilitated a special Board meeting to discuss ideas for revising the Strategic Plan. This included revising the District’s Vision Statement and Core Values along with revising the many goals attributed to the 7 Strategic Elements outlined in the Plan. On May 28, 2013, the Board approved and ratified the revisions and said Plan is now on the website. This goal was achieved without the assistance of a consultant, which saved the District approximately $5,000 to $10,000. 7. Survey the SLAP program participants concerning their experience with the program. Complete. At the August 20, 2013 Study Session staff presented the SLAP survey results to the Board. 58 SLAP participants were surveyed. The result of their experience is as follows: • 86% of participants believe their sewer lateral is in safer condition to prevent SSOs. • 96% of participants indicated that staff operated in a professional and courteous manner. • 76% of participants indicated the District was able to discuss and assist on their sewer lateral problems. • 92% of participants support continuing SLAP. Board of Directors June 26, 2014 Page 4 of 8 • 84% of participants are aware that “wipes” and other “flushable” products cause sewer backups. • 83% of participants are satisfied with their contractor’s performance. 8. Analyze the practical number of hotspots and then report to the Board. Complete. At the July 31, 2013 Board of Directors regular meeting, I presented a staff report that included staff findings regarding the practical number of sewer hotspots within CMSD service area. I concluded that 9 to 11 hotspot locations is practical because structural hot spots (e.g. sags) are more difficult to remove due to repair costs and FOG will continue in sewer pipes at high density residential locations such as Hamilton Street. 9. Develop a five year summary report for the SLAP program achievements. Complete. A five year analysis was presented to the Board during a study session on October 15, 2013. 10. Evaluate developing a means of using the CCTV data to identify the sewer laterals that had major roots and coordinate by parcel home addresses so the District can chose to contact the home owner. Complete. On November 12, 2013, staff presented to the Board a plan for evaluating tree roots in private sewer laterals using CCTV data. Of nearly 75,000 CCTV observation, staff was able to identify 2,900 observations had roots in laterals. Staff will upload still pictures for each observation to identify laterals with extremely heavy root infestation. When those laterals are identified staff will match the APN with the addresses on file at the District. Letters will be mailed to homeowners notifying them of the observations regarding tree roots in their laterals and to inform homeowner about the District’s Sewer Lateral Assistance Program. Mailing 2,900 letters will cost the District nearly $1,400 in postage. Additional costs will incur from staff stuffing envelopes. Therefore, staff will implement phases for mailing 2,900 letters by mailing 725 letters a year for four years. Staff will also cross reference SLAP applications with the 2,900 letters to determine if residents adhere to District’s advice. 11. Develop a plan/schedule to meet the 2020 state mandated 75% diversion requirement with a timeline of events. Board of Directors June 17, 2014 Page 5 of 8 Complete. On April 10, 2013 the Board of Directors held a special meeting to develop zero waste goals. The Board adopted a goal of achieving 75% diversion by 2015 and 90% by 2020. On November 21, 2013 the Board considered implementing an organics recycling program by using CR&R’s anaerobic digestion system, but before a decision was made the Board directed staff to obtain feedback from the public. Several town hall meetings were held including one on December 17, 2013. The organics recycling program was approved and will begin in January 2015. Later that year the District will be diverting 75% of residential waste stream from the landfill. 12. Continue to educate the Plumbers on the SLAP program. Complete. On Thursday, October 17, 2013, the District hosted a SLAP seminar for local plumbers. Staff mailed approximately 99 letters to local plumbers and the District solicited assistance from the Plumbing Heating Cooling Contractors Association by having them notify their Orange County members about the seminar. A total of 12 plumbers attended the seminar and now these plumbers will be added to the District’s list of approved SLAP plumbers. 13. Prepare a summary of the cost savings the District experienced in the last three years. Post that information on the District’s website. Complete. At the September 9, 2013 Study Session, I presented to the Board District cost savings in the last three years. I estimate that the District has saved $2,344,252 in the last three years. The savings comes from using trenchless technology for sewer rehabilitation, pension reform, paperless agenda program, reduced trash tonnage and other related programs. This information was posted in the website. 14. Develop an odor control plan noting areas with historical odor complaints and a list of projects to mitigate the odors. Summarize as part of the plan the impact of downspouts. Complete. A plan was presented to the Board of Directors at your regular Board meeting on October 24, 2013. The following is the plan presented to the Board. • Wet wells are cleaned annually and washed down when necessary. Also, the Flygt pumps allow the water level to be pumped down by an operator to nearly the bottom of the well (“snored”) causing mixing of the Board of Directors June 26, 2014 Page 6 of 8 remaining water and anything remaining. This prevents grit and solids from accumulating at the bottom of the wet well. • Odor blocks (deodorizers) are placed inside wet wells. • If lift stations are continually experiencing high levels of H2S (averaging higher than 1.0 ppm per day) then staff will conduct a cost analysis to install down spouts versus applying chemicals in the wet well or using other methods such as air scrubber systems, wet well aeration, etc. 15. Develop a plan for the six pump station abandonment with the logical projects and provide an Engineer’s estimate of cost for each project and/or a schedule for when the projects and cost will be available. Complete. At the October 15, 2013 Study Session, staff presented to the Board an updated Engineer’s estimate for Project #101, Westside Pumping Station Abandonment. Total project cost, including contingency, contract administration and inspection is $4,613,485. When the project is completed (March 2019), staff estimate the District will save approximately $50,465 annually in maintenance and repair costs and $15.6 million in capital and electrical costs over the next 50 years. Staff also presented to the Board alternatives to keeping Canyon Pump Station because of the depth for the new gravity sewer line. 16. Develop a comparison chart of the Director’s or council person’s pay and benefits for CMSD, Mesa Water and the City. Complete. In a November 1, 2013 internal report, I presented to the Board an analysis of the salary and benefits elected officials are receiving from CMSD, Mesa Water and the City of Costa Mesa. 17. Report quarterly on the Idea Program to the Operations Committee. Complete. Staff presented reports to the Operations Committee on June 18, 2013 and to the Board Study Session on September 9 and December 17, 2013. A total 9 ideas were approved by the Board in 2013 totaling $3,989 in monetary rewards that resulted in a total savings of $97,428. 18. Continue to decrease the SSOs to meet the SARWQCB agency average with SSOs from pump stations. Board of Directors June 17, 2014 Page 7 of 8 Complete. The District had 2 SSO’s in 2013, the fewest SSO’s in its history. However, one of the two SSO’s experienced the largest spill volume (75,000 gallons) in the District’s history. 19. Analyze the impact of the loss of Garcia recycling on the residential trash tonnage. Complete. Staff analyzed the impact of the loss of Garcia recycling and presented their findings to the Board at your October 15, 2013 Study Session. Though not conclusive, the data obtained by staff showed that when Garcia closed on February 14, 2011, the recycling volume at OCC decreased in 2012 while the recycling volume increased for CMSD in 2012. Staff believes the volume increased at CMSD because fewer people removed recyclables from residential trash can due limited buy-back centers. 20. Prepare an analysis that compares lining a pipe or force main with dig and replace. Complete. On August 29, 2013, I presented to the Board at your regular Board of Directors meeting an analysis that compared the cost to perform the traditional method of digging and replacing dilapidated sewer pipes versus modern methods of using trenchless technologies. I concluded that trenchless technology is a proven and cost effective method to rehabilitating sewer systems. If the conditions are right, CMSD will use one of the many trenchless technologies identified in the staff report. However, there are times when replacement needs to, and should be considered. For example, relining does not repair significant sags. 21. Expand the door-to-door household hazardous waste collection program to senior and disabled residents. Complete. In 2012, CMSD had 4 HHW collections (two from WM Curbside and two from CR&R). In 2013, CMSD had 43 HHW collections to seniors and disabled residents. All 43 collections were made by CR&R. Strategic Plan Element & Goal This item complies with the objective and strategy of Strategic Element 6.0., Personnel/Organizational Management, which states: “Objective: To employ and retain a high quality, motivated workforce.” Board of Directors June 26, 2014 Page 8 of 8 “Strategy: We will do this by utilizing sound policies and personnel practices, offering competitive compensation and benefits, providing opportunities for training, development and professional growth, while ensuring a safe and secure workplace.” Legal Review Not applicable at this time. However, if the Board is considering a salary adjustment for the general manager, District Counsel will prepare an amendment to the general manager’s contract and will presented amendment to the Board for approval consideration. Environmental Review The General Manager’s performance goals are not a disturbance of the environment similar to grading or construction and are not a project under CEQA or the District’s CEQA Guidelines. Financial Review Not applicable at this time. Public Notice Process Copies of this report are on file and will be included with the entire agenda packet for the June 26, 2014 Board of Directors regular meeting at District Headquarters and on the District’s website. Alternative Actions 1. Refer the matter back to staff. Attachment A: 2013 CMSD Achievements  Successfully streamlined Board meeting videos on District website.  Acquired a new utility truck with crane.  Successfully conducted Sewer Lateral Assistance Program seminar to local plumbers.  Successfully scanned and elec- tronically archived nearly 3,000 pages of sewer plans.  Fewest number of Sanitary Sewer Overflows (SSO) in District history. There were two SSO’s in 2013.  Conducted a successful Or- ganics Recycling workshop.  General Manager of the Year presented by California Special Districts Association.  Vice President Michael Scheafer elected to Special Districts Risk Management Authority Board of Directors  Lowered solid waste rates for the second consecutive year.  Successfully adjusted liquid waste rates to reflect equity among all classes.  Zero lost days from work due to work related injuries.  Created standards for qualified list of contractors.  Designed and launched new website.  Partnered with Discovery Science Center for the Eco Challenge Education Program to 6th Graders.  2012 Collection System of the Year presented by California Water Environment Associa- tion (CWEA).  2012 Collection System of the Year presented by Santa Ana River Basin Section of CWEA.  Successfully conducted Prop 218 public hearing for sewer rate adjustments.  General Manager gave presen- tation about CMSD’s achieve- ments to OC LAFCO. Com- mission  Partnered with South Coast Plaza management to reduce hydrogen sulfide levels within sewer system.  Successfully completed an internal audit of the District’s Sewer System Management Plan (SSMP).  Successfully completed Knowledge Transfer Program.  Recipient for District Trans- parency Certificate of Excel- lence presented by the Special District Leadership Founda- tion.  Successfully revised the Dis- trict’s Strategic Plan.  General Manager was the keynote speaker at the Costa Mesa Chamber of Commerce “90 Minute Breakfast Boost”.  Completed performance audit of CR&R Environmental Ser- vices  Successfully created and implemented the District’s first Wellness Program.  Successfully implemented an Alkaline Battery Recycling Pilot Program to replace the Tele- phone Book Recycling Pro- gram as a fundraising event for local schools.  Board of Directors completed CSDA’s Leadership Academy.  Partnered with OC Goodwill and OCC to hold the com- munity’s first annual used item collection event. Significant Accomplishments COSTA MESA SANITARY DISTRICT 2013 Accomplishments “Whether you think you can or wheth- er you think you can’t, you’re right.” Henry Ford American Industrial- ist Administration  Adopted Ordinance No. 97 pertaining to District records and adopting Resolution No. 2013-827 establishing a new records retention schedule.  Adopted Ordinance No. 98 establishing plumbing fixture fee credits.  Approved nine staff ideas from the District’s Rewarding Ideas Program that saved the District $97,428 annually and improved District operations.  Amended and ratified the 2010-15 Strategic Plan to include a new vision and core values statement along with new goals to achieve.  Adopted Administrative Regulation No. 60.00 establishing the Public Records Act Request policy and procedures to facilitate accessibility of information to mem- bers of the public.  Adopted California Environment Quality Act (CEQA) Guidelines.  Adopted revised Standby Policy to ensure equitable distribution of work among the four District field staff.  Dissolved Operations Committee and instituted Board study session meetings. Finance  Successfully adopted a two year budget for the first time. Total budget amount for two years is $21,655,800.  District’s unfunded pension liability is only $201,337.  Lowered the sold waste assessment for the second consecutive year.  Successfully adjusted the liquid waste assessments to ensure equity in all classes.  Approved eConnect Direct Licensing Agreement that allows District Treasurer electronic access to markets when making investment decisions.  Successfully completed Comprehensive Annual Financial Report (CAFR) for fiscal year ending June 30, 2012. 2013 Accomplishments “Winning is a hab- it. Unfortunately, so is losing." -- Vince Lombardi, American football player and coach PAGE 2 Liquid Waste (Sewers)  Successfully replaced section of 37-year piping and valves in Elden Pumping Sta- tion and installed a second downspout to reduce hydrogen sulfide levels.  Accepted improvements for Project #192—System Wide Sewer Reconstruction— Phase 2 where 91 sewer pipe sections were rehabilitated. Cost: $184,675  Successfully completed Sewer System Management Plan (SSMP) self audit.  Developed an Odor Control Plan to minimize, reduce and/or eliminate hydrogen sulfide levels from pump stations.  Installed additional smart covers at six pump stations to serve as a second and sometimes third independent high water alarm system.  Approved agreement for pump station maintenance and repair work at eleven pump stations. Cost: $169,182.82.  Created coloring tri-fold for children ages 5 to 10 years of age and the creation of the “Sewer Slayer”.  Successfully anchored all 20 pump station electrical enclosures to meet current seismic requirements and to prevent from tipping over during an earthquake.  Acquired new crane truck that will allow staff to pull any size pumps from sewer wet wells.  Successfully completed force main analysis at Victoria, Mendoza, Harbor and South Coast Plaza  The maintenance crew successfully cleaned 347,765 feet of sewer mainline while at the same time, the District’s contractor, NPS, cleaned 385,648 feet to prevent sanitary sewer overflows. A total of 733,413 feet of mainline was cleaned in 2013.  Approved a manhole cover maintenance program where the District will evaluate it’s manhole cover inventory to determine the number of manhole covers that need immediate repair.  Successfully reduced hot spot locations to 41 from the original 95 locations. 2013 Accomplishments “A good leader takes a little more than his share of the blame, a little less than his share of the cred- it." -- Arnold Glasow, American busi- nessman and writer PAGE 3 Solid Waste  Successfully completed a performance audit of CR&R Environmental Services.  Adopted a Zero Waste goal of achieving 75% diversion by 2015 and 90% by 2020.  Reduced rates for the second consecutive year to $18.00 a month.  Successfully negotiated 2nd Amendment to exclusive franchise agreement with CR&R Environmental Services that included an Organics Recycling Program and reducing operational and disposal costs.  Collected and recycled the most Christmas trees in three years. A total of 5,581 Christmas trees, or 86 tons, of green waste was diverted from landfills.  Sponsored the MUZEO Trash Art Challenge that encouraged students to create art by using trash products.  Successfully received a grant from CalRecycle to purchase over 2,000 Sharp con- tainers to safely dispose of needles and other sharp products.  Implemented an Alkaline Battery Recycling Pilot Program as an alternative to the Telephone Book Recycling Program that will allow students to raise money for their schools.  Sold approximately 316 composting bins, 67 vermicomposting bins and scheduled 32 free workshops.  Successfully coordinated the District’s first donation event with OC Goodwill at Orange Coast College where 27 cages of donated items were collected.  Nearly 400 Costa Mesa students participated in the Eco Challenge Program from the Discovery Science Center.  Mailed brochure about helpful tips to promoting source reduction at schools to 28 schools in Costa Mesa.  New signs were placed on CR&R refuse trucks that reads, “Costa Mesa Sanitary District Recycles for You”, and a second interchangeable sign about CMSD pro- grams is placed underneath the first sign. 2013 Accomplishments “No effort that we make to attain something beauti- ful is ever lost." -- Helen Keller, American author and activist PAGE 4 Capital Improvements  Project #196A—Awarded contract to install emergency backup power and pump- ing capability at six critical lift stations. Contract amount—$485,200.  Project #197 — Awarded contract to complete System Wide Sewer Reconstruc- tion, Phase III in the amount of $228,700. At the completion of this project all 255 Grade 5 sewer deficiencies will have been reconstructed.  Project #201— the Board approved the rehabilitation method of four force mains (Harbor, Mendoza, South Coast Plaza and Victoria) that includes no dig technolo- gy (directional drilling) and traditional remove and replace. Total estimated cost: $790,250.  Replaced electrical enclosures at Santa Ana and Harbor Pump Stations with stain- less steel enclosures. Cost: $17,790. Awards & Employee Achievements  Collection System of the Year, California Water Environment Association (CWEA).  Collection System of the Year, Santa Ana River Basin Section of CWEA.  Transparency Certificate of Excellence, Special Districts Leadership Foundation (SDLF)  Operating Budget Meritorious Award, California Society of Municipal Finance Officer  General Manager of the Year, California Special Districts Association  Dyana Wick, CMSD Employee of the Year  Steve Cano achieved Grade 3 Collection System Maintenance Certification from CWEA.  Alex Arreola successfully obtained a commercial drivers license (Class B). 2013 Accomplishments “Courage is being scared to death and saddling up anyway." -- John Wayne, American actor PAGE 5 Awards & Employee Achievements  General Manager achieved Certified Special District Administrator status from SDLF  Alex Arreola achieved Grade 1 Collection System Maintenance Certification from CWEA.  Joel Ortiz, CMSD Safety Person of the Year. Good Media Coverage  Sanitary District recognized for transparency, Daily Pilot, June 21, 2013  Costa Mesa sewer, trash rates change, OC Register, July 2, 2013  Sanitation District honored, Daily Pilot, September 26, 2013  Donations will help OCC, Daily Pilot, October 21, 2013  Composting converts, Daily Pilot, October 24, 2013  Costa Mesa homes could get organic waste bins, OC Register, November 21, 2013  Organics collection picking up steam, Daily Pilot, November 22, 2013  Christmas tree pick-up schedule, details, OC Register, December 29, 2013 VISION Statement “Promoting a sustainable environment that is free from sewer and solid waste pollution.” 2013 Accomplishments “The world hates change, yet it is the only thing that has brought pro- gress." -- Charles Ketter- ing, American inventor PAGE 6