Minutes - Board - 2003-12-10r1
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COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER 10, 2003
CALL TO ORDER The Board of Directors of the Costa Mesa
Sanitary District met in regular session on
December 10, 2003, at 6:00 p.m. in
Room 3 -A of the Civic Center, 77 Fair
Drive, Costa Mesa.
PLEDGE OF ALLEGIANCE
INVOCATION
ROLL CALL
President Schafer called the meeting to
order at 6:00 p.m.
Director Worthington led the Pledge of
Allegiance
Director Woodside gave the invocation.
DIRECTORS PRESENT: Arlene Schafer, Greg Woodside, Art
Perry, James Ferryman, Dan Worthington
DIRECTORS ABSENT: None
STAFF PRESENT: Robin Hamers, Manager /Engineer; Alan
Burns, Legal Counsel; Tom Fauth,
Assistant Manager; Joan Revak, Clerk of
the District; Marc Puckett, Treasurer;
Bobby Young, Finance; Ron Shef, District
Ordinance Enforcement Officer; Debbie
Bjornson, Permit Processing Specialist;
Denise Gilbert, Permit Processing
Specialist.
OTHERS PRESENT: Mr. Ken AI -Imam, CPA, Conrad and
Associates, LLP
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COSTA MESA SANITARY DISTRICT
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DECEMBER 10, 2003
PAGE 2
............................... CONSENT CALENDAR . ...............................
Director Perry motioned to approve the Consent Calendar as presented. Director
Worthington seconded. Motion carried 5 -0.
REPORTS
MINUTE APPROVAL
Minutes of Recycling
Committee Meeting,
November 12, 2003
Minutes of Regular
Meeting,
November 12, 2003
Minutes of Liaison
Committee Meeting,
November 13, 2003
MANAGER'S REPORTS
Refunds
The Minutes of the Recycling Committee Meeting
of November 12, 2003, were approved as
distributed.
The Minutes of the Regular Meeting of November
12, 2003, were approved as distributed.
The Minutes of the Liaison Committee Meeting of
November 13, 2003, were approved as distributed.
There were no refunds submitted for November
2003.
Occupancy Report and The Revised Trash Occupancy Count documented
Payment of $181,881.66 an increase of 3 units for the occupancy report for
to Costa Mesa Disposal — solid waste collection as of December 1, 2003.
December 2003 Therefore, the total for December is 21,076.
Board directed Staff to prepare a warrant for
$181,881.66 to Costa Mesa Disposal on January 1,
2004, for payment for December trash collection
based on the December count of 21,076.
Monthly Spill Report to The Monthly Spill Report to the Regional Water
Regional Water Quality Quality Control Board (RWQCB) for November
Control Board (RWQCB) 2003 was accepted as submitted.
ENGINEER'S REPORTS
Project Status Report The Project Status Report dated December 2003,
was accepted as submitted.
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DECEMBER 10, 2003
PAGE
TREASURER'S REPORTS
Financial Report as of The Financial Report as of November 30, 2003,
November 30, 2003 was accepted as submitted.
Report of Monies on The Report of Monies on Deposit as of November
Deposit as of 30, 2003, was received and filed.
November 30, 2003
Warrant 2004 -06 for Warrant Resolution #CMSD 2004 -06 was
December 2003 in the approved, authorizing the President and Secretary
amount of $538,518.22 to sign the warrant and instructing the Treasurer to
draw a warrant from the Costa Mesa Sanitary
District General Fund in the amount of
$538,518.22.
Directors Expenses for the Director Expenses for the Month of November
Month of November 2003 2003 were ratified as follows:
Director Ferryman: 170.00
Director Perry: $510.00
President Schafer: $1,020.00 + 50.76
Vice President Woodside: $510.00
Director Worthington: $1,020.00
.......................... END OF CONSENT CALENDAR ..........................
MANAGER'S REPORTS
CMSD STRATEGIC PLAN
YEAR 2003/2004 ACTION ITEMS
ACTION ITEM 1.4 - PRESENTATION OF FINANCIAL STATEMENTS BY AUDITOR
Mr. Puckett introduced Mr. Ken AI -Imam, CPA, Conrad and
Associates, L.L.P. Mr. AI -Imam provided a synopsis of the procedure
used to audit the District's Financial Statements and answered
questions from the Board.
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DECEMBER 10, 2003
PAGE
WRITTEN COMMUNICATIONS
Mr. Hamers reported receiving a response letter dated November 18, 2003, from
John D. Hensley, Chief of Police, City of Costa Mesa, thanking the District for the
letter of appreciation sent to him by the Board.
Mr. Hamers reported receiving a card from the 6th grade students and teachers of
Davis Elementary thanking the District for the assembly presentation.
Mr. Hamers reported receiving a letter from Israel Bravo, student at Davis
Elementary, dated November 12, 2003. Israel thanked the District for the
recycling program and inquired as to additional things he could do to promote
recycling. Director Worthington replied to the letter and forwarded some
newsletter copies for distribution.
PUBLIC COMMENTS
There were no public comments made.
MANAGER'S REPORTS
ANTI - SCAVENGING AND SCREENING OF TRASH CONTAINERS ENFORCEMENT
REPORTS
POLICE REPORT
Mr. Hamers presented a memorandum providing the scavenging statistics
for November as follows:
Location Calls for Service Cite /Arrest
Area 1
1
0
Area II
0
0
Area III
0
0
Area IV
0
0
TOTAL
1
2
DISTRICT ORDINANCE ENFORCEMENT OFFICER REPORT
Mr. Hamers presented the ordinance enforcement summary report for the
four -week period beginning October 27, 2003 and ending November 23,
2003.
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER 10, 2003
PAGE 5
Mr. Shefs summary report contained the following information:
• 30+ flyers given to residents and 6 containers oversprayed and ID
tagged.
Verification of addresses.
• Distribution of telephone book recycling flyers.
Mr. Shef provided a written report of a citation to a resident at 174 The
Masters Circle.
STANDARDIZED CONTAINER PROGRAM - LIFTING BAR REPLACEMENT UPDATE
Mr. Hamers reported the program is winding down and will be moved to the
Consent Calendar for future agendas.
Mr. Fauth reported there are approximately 5,000 containers left to retrofit and
projected the completion in approximately 10 months at the current rate of 500
per month.
CMSD STRATEGIC PLAN - (REVISITED)
• YEAR 2003/2004 ACTION ITEMS
Mr. Hamers reported the title has been changed to reflect a 2 -year plan as
directed by the Board.
Mr. Puckett commended the hard work of the entire finance department and
credited them with the outstanding review by the auditor.
Discussion was held regarding an accounting software package.
INSTITUTIONAL ISSUES
LETTER FROM CITY MANAGER DATED NOVEMBER 26, 2003
Mr. Hamers presented a follow up letter from Mr. Allan Roeder, City
Manager, City of Costa Mesa, dated November 26, 2003.
Mr. Hamers suggested a special. meeting be scheduled to discuss the
financial software package and the progress on locating a new facility
for the District offices and to review the information provided by the
City regarding the retention of the field crew and Mr. Puckett's
services.
• A response to the City Manager will be prepared to concur that Mr.
Burns will prepare the first draft of the new City /District Agreement for
review and consideration by both parties. The District anticipates
receiving the financial information from the City by January 8, 2004.
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The Board will review the information upon receipt and may request an
additional meeting with the City.
A special meeting was scheduled for January 15, 2004 at noon.
RECYCLING REPORTS
WASTE DIVERSION REPORT — NOVEMBER 2003
The Waste Diversion Report for October showing a diversion rate of
50.14, was presented to the Board.
Director Perry motioned to receive and file the Waste Diversion Reports
for November. Director Woodside seconded. Motion carried 5 -0.
CONTRACT PAYMENT TO CR TRANSFER FOR RECYCLING SERVICES AND DISPOSAL
PAYMENT FOR NOVEMBER 2003 SERVICES
• Director Woodside motioned to approve contract payment to CR Transfer for
recycling services and disposal for the month of November 2003, in the
amount of $149,078.91. Director Perry seconded. Motion carried 5 -0.
RECYCLING COMMITTEE — WEDNESDAY, DECEMBER 9, 2003, 9:00 A.M., CR -5A,
DIRECTORS WORTHINGTON AND FERRYMAN
STRATEGIC PLANNING 2003 — PUBLIC OUTREACH — CLASSROOM RECYCLING
PROJECTS
Director Worthington reported a vermicomposting test program will be
delivered on January 6, 2004 to two classes of second and third grade
students. Two additional presentations will be provided if the initial test
presentation is successful.
Two vermicomposting presentations were successfully provided this
month at Carolyn Eckert Daycare and St. Joachim's School.
Director Worthington reported school representatives are contacting the
District to schedule the vermicomposting program due to the flyer
previously distributed to the schools.
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COSTAMAZING - DISTRICT PARTICIPATION
Director Worthington reported the insert has been finalized and the
peppercorn packets are being assembled. The packets will be distributed
at the February 7, 2004 CostaMazing event.
2003 SCHOOL TELEPHONE BOOK RECYCLING PROGRAM
Director Worthington reported the 2003 School Telephone Book Recycling
Program began on December 1, 2003 and will run to January 12, 2004.
There will be 27 locations collecting the telephone books.
2003 CHRISTMAS TREE RECYCLING PROGRAM
Director Worthington reported the 2003 Christmas Tree Recycling
Program will begin on December 26, 2003 and run to January 3, 2004.
Director Worthington reported the sale of fresh trees has steadily dropped
since 1990 and the sale of artificial trees has increased.
RECYCLING BATTERIES
• Director Worthington presented a sample "big green box," a recycling
container from Toxco Inc: for the recycling of batteries. Director
Worthington reported that on February 9, 2006, the state will require the
recycling of batteries. Director Worthington reported approximately 3
billion batteries are sold each year. The District will be required to remove
batteries from the trash.
Staff will research the program and recommend an approach and provide
cost information to the Board.
ENGINEER'S REPORTS
WASTE DISCHARGE REQUIREMENTS — (WDR)
GENERAL UPDATE
Mr. Hamers reported the steering committee is continuing their work and
there is nothing significant to report.
Mr. Burns reported they are still waiting for the technical comments from
the Orange County Sanitation District on the model grease ordinance.
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EDUCATION PROGRAM
Mr. Hamers reported the District has been successfully accomplishing the
requirements for the State Water Quality Control Board, Santa Ana
Region, Waste Discharge Requirements (WDR).
Director Ferryman motioned to ratify the action of the Staff to decline
participation in the regional public education program with the caveat to
supply the Orange County Sanitary District with a copy of the District's
literature used in the program with a cover letter explaining in detail why
the Costa Mesa Sanitary District declined to participate in the regional
program. Director Woodside seconded. Motion carried 5 -0.
PHASEIIAGREEMENT
Director Perry motioned to authorize signatures and approve the
expenditure of $11,571.00 for Phase II of the FOG Control Study. Director
Ferryman seconded. Motion carried 5 -0.
• TRANSFER OF OCSD SEWERS TO CMSD - PART 3 - CALIFORNIA STREET
SEWERS
Mr. Hamers provided a brief overview of the transfer of OCSD Sewers to
CMSD, Part 3, California Street Sewers.
Director Ferryman motioned to approve in concept the transfer OCSD Sewers
to CMSD, Part 3, California Street Sewers. Director Perry seconded. Motion
carried 5 -0.
PROJECT NO. 129 - BRISTOL STREET SEWER SYSTEM
Mr. Hamers presented a letter from Mr. Phil Jones, Senior Civil Engineer,
Flood Control Design, County of Orange, dated November 20, 2003,
regarding sewer infrastructure improvements for the Santa Ana Heights area.
Mr. Hamers provided background information on the project and
recommended a new cooperative agreement be prepared.
Director Perry motioned to direct Staff to prepare a new cooperative
agreement and bring back the new agreement with subsequent action of
abandonment of the prior agreement. Director Woodside seconded. Motion
carried 5 -0.
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MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
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TREASURER'S REPORTS
INVESTMENT POLICY REVISION, RESOLUTION NO. 2003 -676
Mr. Puckett introduced Resolution No. 2003 -677, A RESOLUTION OF THE
BOARD OF DIRECTORS OF THE COSTA MESA SANITARY DISTRICT,
ADOPTING THE REVISED 2003 -2004 STATEMENT OF INVESTMENT
POLICY, AND AUTHORIZING THE TREASURER TO INVEST AND
REINVEST IDLE MONIES OF THE COSTA MESA SANITARY DISTRICT IN
ACCORDANCE WITH THE REVISED 2003 -2004 STATEMENT OF
INVESTMENT POLICY, AND AUTHORIZING THE SAID TREASURER TO
DELEGATE TO HIS DEPUTY THE CARRYING OUT OF ANY SUCH TASKS.
Director Ferryman motioned to adopt Resolution No. 2003 -677. Director
Worthington seconded. Motion carried 5 -0.
ATTORNEY'S REPORTS
433 WALNUT PLACE AGREEMENT
Mr. Burns reported he received a detailed letter from the attorney
representing the property owner at 433 Walnut Place. Mr. Burns will provide
additional information at the January 2004 regular meeting.
PROPOSED AMENDMENT OF OPERATIONS CODE TO REQUIRE COMPLIANCE WITH
THE TORT CLAIMS ACT
Mr. Burns introduced a proposed amendment of the Operations Code to
require compliance with the Tort Claims Act. Ordinance No. 44, AN
ORDINANCE OF THE BOARD OF DIRECTORS OF THE COSTA MESA
SANITARY DISTRICT AMENDING THE DISTRICT'S OPERATIONS CODE
WITH RESPECT TO SEWER CHARGE REFUNDS.
Director Perry motioned to adopt Ordinance No. 44. Director Woodside
seconded. Motion carried 5 -0.
Director Perry inquired as to the statute of limitations on trash collection
refunds.
Mr. Burns determined the title should be changed to reflect both trash and
sewer refunds as reflected in the body of the Ordinance. Mr. Burns will make
• the change and bring back a corrected copy for the Board to ratify at the next
regular meeting.
7:40 p.m. — Bobby Young left the meeting.
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MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
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LOCAL MEETINGS
ORANGE COUNTY SANITATION DISTRICT (OCSD)
REGULAR MEETING - NOVEMBER 19, 2003 (DIRECTOR FERRYMAN
Director Ferryman attended the November 19, 2003 meeting and had
nothing significant to report to the Board.
SANTA ANA RIVER FLOOD PROTECTION AGENCY
MEETING ON NOVEMBER 13, 2003
Director Ferryman attended the November 13, 2003, meeting and
reported the following:
• Jim McConnell, Washington DC, reported funds would be made
available to insure construction is not interrupted on the Santa Ana
River Mainstem Project and the Prado Dam Project.
• Subvention Funds
• INDEPENDENT SPECIAL DISTRICTS OF ORANGE COUNTY (ISDOC)
President Schafer attended the December 9, 2003, meeting and reported
they discussed the following:
• January 29, 2004 will be the next Quarterly meeting with Jim Silva
as guest speaker. Directors Schafer, Worthington, Woodside, and
Ferryman will attend. Director Perry will notify Ms. Revak regarding
his availability to attend.
• Web site
• Secretarial position changes
• Reports on LAFCO and CSDA
LOCAL AGENCY FORMATION COMMISSION ( LAFCO)
President Schafer attended the December 10, 2003, LAFCO meeting and
reported they discussed the following..
• El Toro passed 5 -2
• MSRs for Orange County
• • Second phase for two prototypes:
o Seal Beach, Los Alamitos, Rossmore, and Sunset Beach
o City of Orange.
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CALIFORNIA SPECIAL DISTRICTS ASSOCIATION (CSDA)
President Schafer attended the Annual Strategic Board meeting and reported
the following:
• Appointed to the following committees
• Chair Nominations and Bylaws Committee
• Legislative Committee
• Membership Committee Vice Chair
• Fiscal Committee
• Voted on the purchase of a building with the Risk Management
Organization. CSDA will occupy the first floor, a 24,000 sq. ft. area
LOCAL TAXPAYERS AND PUBLIC SAFETY PROTECTION ACT
President Schafer reported CSDA has been asked to sit with the California
League of Cities to discuss funding to get the Local Taxpayers and Public
Safety Protection Act on the November 2004 ballot.
• President Schafer investigated the legality of the financial contribution and
was instructed that it is legal to supply start up money, but once the item is
on the ballot, no further funding is allowed.
Mr. Burns requested time to investigate the measure and provide a legal
opinion. Staff will bring the item back at the January 2004 meeting.
LOCAL GOVERNMENT BALLOT INITIATIVE
Item will be brought back at the January 2004 regular meeting.
2004 MEMBERSHIP DUES IN THE AMOUNT OF $2,373.00
Director Woodside motioned to approve payment of Membership Dues to
CSDA in the amount of $2,373.00. Director Ferryman seconded. Motion
carried 5 -0.
CALIFORNIA ASSOCIATION OF SANITATION AGENCIES (CASA)
President Schafer was invited to attend a meeting in Palm Springs, January
21 -24, 2004, at the Hilton Palm Springs Hotel to determine whether or not to
recommend membership to the District.
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MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER 10, 2003
Director Ferryman and Director Worthington expressed an interest in
attending. Director Woodside motioned to approve attendance at the CASA
conference on January 21 -24, 2004. Director Perry seconded. Motion
carried 5 -0.
OLD BUSINESS
There was no old business discussed.
NEW BUSINESS
There was no new business discussed.
ORAL COMMUNICATIONS AND DIRECTOR COMMENTS
Director Worthington discussed an article appearing in the December 10, 2003,
Orange County Register regarding special districts.
CLOSED SESSION
At 8:21, President Schafer adjourned the meeting to closed session.
CONFERENCE WITH LEGAL COUNSEL — ANTICIPATED LITIGATION
CONSIDERATION WHETHER TO INITIATE LITIGATION (GOVERNMENT CODE
SECTION 54956.9 (C) (1 CASE)
TO DISCUSS THREATENED LITIGATION — CORRESPONDENCE FROM STANLEY
JENSEN PURSUANT TO GOVERNMENT CODE SECTION 54956.9 (E)
President Schafer returned to the Regular meeting at 8:40 p.m. No action was
taken during closed session.
ADJOURNMENT
At 8:41 p.m., President Schafer adjourned the meeting.
SECRETARY ,