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Minutes - Board - 2008-10-23A I� COSTA MESA SANITARY DISTRICT MINUTES OF BOARD OF DIRECTORS REGULAR MEETING OCTOBER 23, 2008 CALL TO ORDER The Board of Directors of the Costa Mesa Sanitary District met in regular session on October 23, 2008, at 5:30 p.m. at 628 W. 19th Street, Costa Mesa. President Perry called the meeting to order at 5:30 p.m. PLEDGE OF ALLEGIANCE Director Ferryman led the Pledge of Allegiance. INVOCATION Mr. Fauth gave the invocation. ROLL CALL DIRECTORS PRESENT: Art Perry, Arlene Schafer, Bob Ooten James Ferryman, Gary Monahan DIRECTORS ABSENT None. STAFF PRESENT: Robin B. Hamers, Manager /District Engineer; Alan Burns, Legal Counsel; Tom Fauth, Assistant Manager; Joan Revak, Board Secretary/Program Manager /Clerk of the District; Marc Davis, Treasurer; Teresa Gonzales, Accountant; Janel Jackson, Office Specialist II; Kaitlin Tran, Accounting Specialist I; Ron Shef, Ordinance Enforcement Officer OTHERS PRESENT: Mr. Dave Doyle, 2563 Oxford Lane, Costa Mesa Mr. Nitin Patel, Diehl. Evans & Company, LLP Mrs. Gina Fauth, 1079 Visalia Drive, Costa Mesa CONSENT CALENDAR Director Schafer motioned to approve the Consent Calendar. Director Ooten seconded. Motion carried 4 -0. • • • COSTA MESA SANITARY DISTRICT PAGE 2 MINUTES OF THE OCTOBER 23, 2008 MEETING REPORTS MINUTE APPROVAL Minutes of Sewer System The Minutes of the Sewer System Committee Committee Meeting -- Meeting of September 10, 2008, were approved as September 10, 2008 distributed. Minutes of Recycling Committee Meeting -- September 15, 2008 Minutes of Investment Oversight Committee Meeting -- September 18, 2008 Minutes of Regular Meeting -- August 28, 2008 MANAGER'S REPORTS REFUNDS The Minutes of the Recycling Committee Meeting of September 15, 2008, were approved as distributed. The Minutes of the Investment Oversight Committee Meeting of September 18, 2008 were approved as distributed. The Minutes of the Regular Meeting of August 28, 2008, were approved as distributed. There were no refunds for the month of October 2008. Occupancy Report and The Trash Occupancy Count documented an Payment of $196,557.28 increase of 2 units for the occupancy report for to Costa Mesa Disposal — solid waste collection as of October 1, 2008. October 2008 Therefore, the total for October is 21,469. Board directed Staff to prepare a warrant for $196,557.28 for October 2008 collection based on occupancy report. Said payment in the amount of $196,557.28 to Costa Mesa Disposal to be ratified on the October 2008 warrant register. ENGINEER'S REPORTS Project Status Report The Project Status Report dated October 2008 was accepted as submitted. • �J 9 COSTA MESA SANITARY DISTRICT PAGE 3 MINUTES OF THE OCTOBER 23, 2008 MEETING TREASURER'S REPORTS Financial Report as of The Financial Report as of September 30, 2008 September 30, 2008 was accepted as submitted. Treasurer's Report as of The Treasurer's Report as of September 30, 2008 September 30, 2008 was accepted as submitted. Warrant 2009 -04 for Warrant Resolution #CMSD 2009 -04 was September 2008 in the approved, authorizing the President and Secretary amount of $963,529.49 to sign the warrant ratifying the payment of certain claims and demands, and specifying the funds out of which the same were paid in the amount of $963,529.49. Directors Expenses for the Director Compensation and Expense Month of September 2008 Reimbursements for the Month of September 2008 were approved and ratified as follows: President Perry: $1,105.00 Vice President Schafer: $1,326.00 + $85.22 Director Ooten: $1,326.00 + $41.40 + $297.08 Director Ferryman: $1,326.00 Director Monahan: $663.00 END OF CONSENT CALENDAR WRITTEN COMMUNICATION Ms. Revak reported a written communication was received from Carol Proctor regarding Mr. Fauth's efforts in pursuing a "Humanitarian Service" that was offered by CR &R with regard to a code enforcement problem at 890 Governor Street. PUBLIC COMMENTS Mr. Dave Doyle expressed his gratitude with the District regarding the Sewer Lateral Assistance Program. COSTA MESA SANITARY DISTRICT PAGE 4 MINUTES OF THE OCTOBER 23, 2008 MEETING • MANAGER'S REPORTS DISTRICT YARD — 174 W. WILSON STREET — CMSD #187 UPDATE ON DESIGN PHASE Mr. Hamers reported the construction plans are almost approved and will be going to bid shortly. GRANT OF STREET RIGHT -OF -WAY ON WILSON STREET Mr. Hamers presented the Grant and Easement Deed and requested approval. Director Ooten motioned for approval and execution of the Grant and Easement Deed. Director Ferryman seconded. Motion carried 4 -0. APPLICATION FOR WATER SERVICE Mr. Hamers presented the application for new water service through Mesa Water which will bring in fire sprinkler water, irrigation water for landscaping as well as domestic water. • Director Schafer motioned for approval and execution of the Application for New Water Service. Director Ooten seconded. Motion carried as follows: Ayes: Perry, Schafer, Ooten, Ferryman Noes: None CMSD STRATEGIC PLAN YEAR 2007/2008 ADDITIONAL STRATEGIC PLANNING ACTION ITEMS Mr. Hamers reported Staff will be meeting later this month "to discuss the forthcoming two and five -year strategic planning. Director Monahan arrived at 6:02 p.m. SEWER SYSTEM COMMITTEE REPORT ON MEETING HELD OCTOBER 8, 2008 • Director Monahan reported the Sewer System Committee met on October 8, 2008 and discussed several items including "big dippers ", a report on residential FOG, and a review of hot spots. COSTA MESA SANITARY DISTRICT PAGE 5 MINUTES OF THE OCTOBER 23. 2008 MEETING Mr. Hamers gave an update on the Orange County Health Department's requirements regarding the automatic grease removal devices. TRANSFER OF SEWERS FROM OCSD TO CMSD Agreement at Staff Level Mr. Hamers reported a letter was issued to Orange County Sanitation District requesting certain items be fixed at which time an agreement at Staff level will be made that the sewers are physically okay to transfer. Acceptance of Sewer Lines Without Easements Mr. Hamers gave an update on the two properties on one sewer line. Mr. Burns had several communications with the property owners. New Sewer Charges Mr. Hamers presented a sample letter to property owners who would be receiving new sewer fees as a result of the transfer of sewers. Mr. Hamers suggested a three to five - year phase -in program for the charges if protests arise. President Perry suggested a review of the issue at the Sewer System Committee Meeting after Mr. Burns' review. Mr. Hamers will revise the letter, send it to Mr. Burns and present it at the Sewer System Committee Meeting. PROJECT #186 SEWER LATERAL /ASSISTANCE PROGRAM Director Monahan reported the Sewer Later Assistance Program is very successful and new applications are received daily. RECYCLING REPORTS WASTE DIVERSION REPORT — SEPTEMBER 2008 Ms. Revak presented the Waste Diversion Report for September 2008 showing a 50.41 % diversion rate. Director Ooten motioned the Waste Diversion Report be received and filed. Director Schafer seconded. Motion carried 4 -0. CONTRACT PAYMENT TO CR TRANSFER FOR RECYCLING SERVICES AND DISPOSAL • PAYMENT FOR SEPTEMBER 2008 SERVICES Ms. Revak presented the invoices for September 2008 recycling services and disposal. COSTA MESA SANITARY DISTRICT MINUTES OF THE OCTOBER 23, 2008 MEETING PAGE 6 • Director Ooten motioned to ratify contract payment to CR Transfer for, recycling services and disposal for the month of September 2008 in the amount of $180,592.95. Director Schafer seconded. Motion carried as follows: Ayes: Perry, Schafer, Ooten, Ferryman Noes: None Director Ferryman motioned to ratify contract payment to CR Transfer for recycling services and disposal for Santa Ana Heights /Newport Beach for the month of September 2008 in the amount of $8,367.20. Director Schafer seconded. Motion carried as follows: Ayes: Perry, Schafer, Ooten, Ferryman Noes: None ORDINANCE ENFORCEMENT OFFICERS REPORT Mr. Shef reported the 20 -hour work week schedule commenced per agreement with CMSD Staff.. Mr. Shef reported CR &R has provided necessary gate codes for specified areas needed to monitor gated residents in question for enforcement. CITY OF COSTA MEWDISTRICTS LIAISON COMMITTEE MEETING SCHEDULED FOR NOVEMBER 14, 2008 (DIRECTORS FERRYMAN AND MONAHAN ATTENDING) Ms. Revak reported the City of Costa Mesa/Districts Liaison Committee Meeting is scheduled for November 14, 2008. Directors Ferryman and Monahan will be attending. RECYCLING COMMITTEE — MONDAY, OCTOBER 20, 2008 — 12:00 P.M., CMSD BOARDROOM, 628 W.19TH STREET, COSTA MESA (DIRECTORS OOTEN AND SCHAFER RECYCLING COMMITTEE GOALS FOR 2007/2008 Director Ooten reported Staff held a meeting on Monday, October 20, 2008 and suggested updates to the Recycling Committee Goals for 2007/2008. F--1 L COSTA MESA SANITARY DISTRICT PAGE 7 MINUTES OF THE OCTOBER 23, 2008 MEETING • 2008 SCHOOL TELEPHONE BOOK RECYCLING PROGRAM Director Ooten reported on the 2008 School Telephone Book Recycling Program and Ms. Revak reported 28 participants. Ms. Revak reported flyers and posters are being distributed to the schools and CR &R will deliver bins prior to the November 12, 2008 commencement of the 2008 program. Ms. Revak noted the program will run until December 19, 2008. PLASTICS PRESENTATION TO GIRL SCOUTS — SEPTEMBER 25, 2008 Director Ooten reported on the Plastics Presentation to the Girl Scouts held on September 25, 2008. USED TIRE ROUNDUP EVENT — SATURDAY, OCTOBER 11, 2008 Director Ooten reported the Used Tire Roundup Event held on Saturday, October 11, 2008 was very successful with the collection of 103 tires.. There were 21 participants EMERGENCY SERVICES EXPO —SUNDAY, OCTOBER 12, 2008 Director Ooten reported the Emergency Services Expo held on Sunday, October 12, 2008 was a success and recommended the District obtain an additional pop -up tent for use in the distribution of information to the public at events such as this. VERMICOMPOSTING EVENT AT DAVIS SCHOOL — OCTOBER 20, 2008 Mr. Fauth presented a vermicomposting bin which he will take to Davis School on October 20, 2008. ORANGE COUNTY WASTE & RECYCLING SUB - REGIONAL MEETINGS AND GRANT PROGRAM Composting Seminar Event to be hosted by the City of Costa Mesa and CMSD Director Ooten reported on the Orange County Waste & Recycling Sub - Regional Meetings and Grant Program. Director Ooten reported the Sanitary District has to demonstrate the usage of the $20,000 grant that was given to the Costa Mesa Sanitary District and the $20,000 grant given to the City. Composting Event -- America Recycles Day — November 15, 2008 Director Ooten reported a Composting Event — America Recycles Day— will be held on • November 15, 2008 • COSTA MESA SANITARY DISTRICT MINUTES OF THE OCTOBER 23, 2008 MEETING PARTNERSHIPS WITH OCSD Biosolids PAGE 8 Director Ooten reported Staff continues working with Orange County Sanitary District on Biosolids. No Drugs Down the Drain Director Ooten reported Orange County Sanitary District is producing a new tool kit and should be out early November for use on the "No Drugs Down the Drain" Program. DISPOSAL OF RESIDENTIAL GREASE IN CMSD TRASH COLLECTION PROGRAM Meeting with CR &R on October 1, 2008 Director Ooten reported a meeting was held on October 1, 2008 with CR &R to discuss disposal of residential fats, oils and grease being put in the trash. Director Ooten suggested the need for further discussions on the issue amongst the participants. REPORT ON OTHER CMSD RECYCLING PROGRAMS Director Ooten reported a vermicomposting demonstration is scheduled on November 14, 2008 for a Cub Scout Troop at St. Joachim School. Mr. Fauth distributed a handout from the City of Costa Mesa website regarding the February 17, 2009 deadline for non -cable television usage. Director Ooten reported Staff is working with OCC and CR &R on what to expect with regard to disposal of unused televisions once the deadline arrives. ENGINEER'S REPORTS WASTE DISCHARGE REQUIREMENTS (WDR) Mr. Hamers reported a seminar will be held on November 20, 2008 regarding corrosion and force mains. Mr. Hamers reported the February Education Program will be featuring Joe Sinacori and the design of the Irvine Pumping Station. The CMSD is in compliance with the Waste Discharge Requirements. PROJECT #129 BRISTOL STREET SEWER Consultant Agreement for Traffic Engineering Design Mr. Hamers presented a Consultant Agreement for Traffic Engineering Design and • requested approval. Director Monahan motioned for approval of the Consultant Agreement for Traffic Engineering Design. Director Ooten seconded. COSTA MESA SANITARY DISTRICT MINUTES OF THE OCTOBER 23, 2008 MEETING 0 Motion carried as follows: Ayes: Perry, Schafer, Ooten, Ferryman, Monahan Noes: None. TREASURER'S REPORTS COMMUNICATION FORM INDEPENDENT AUDITOR PAGE 9 Mr. Davis introduced Nitin Patel of Diehl Evans, who reported on the required communications to be used during and after the audit process with regard to the new Title 114 Audit Standard. CAPITAL IMPROVEMENT PROJECTS CARRYOVER REQUEST — FISCAL YEAR 2008 -09 Mr. Davis recommended approval of the carryover of Capital Improvement Project appropriations in the amount of $4,035,973 from fiscal year 2007 -08 to fiscal year 2008- 09. Director Ooten motioned for approval of the Capital Improvement Projects Carryover Request. Director Monahan seconded. Motion carried 5 -0. President Perry inquired as to CMSD's investments with regard to the economy. Mr. Davis reported on the impact of CMSD's investments regarding the five federal agency securities and the one Fannie Mae and confirmed CMSD's bonds are okay and backed implicitly by the federal government. ATTORNEY'S REPORT CLAIM BY BACK BAY CENTER, LTD. FOR PROPERTY AT 2651 -2675 IRVINE AVENUE (CMSD PROJECT #168 — IRVINE PUMP STATION RELOCATION Mr. Burn has been in communication with attorneys regarding the Claim by Back Bay Center. Mr. Hamers reported the fix and getting approved plans do take time which is delaying the County Road Improvement Project which is joint County and Newport Beach. Mr. Hamers reported the annexation will not occur until the Road Project is complete. • COSTA MESA SANITARY DISTRICT PAGE 10 MINUTES OF THE OCTOBER 23, 2008 MEETING • ORDINANCE NO. 72 ESTABLISHING AGENDA DISTRIBUTION RULES Mr. Burns presented Ordinance No. 72, AN ORDINANCE OF THE BOARD OF DIRECTORS OF THE COSTA MESA SANITARY DISTRICT ESTABLISHING AGENDA DISTRIBUTION RULES. Director Ferryman motioned to approve Ordinance No. 72.Director Schafer seconded. Motion carried 5 -0. GIFTS REGULATIONS AND RELATED MATTERS Mr. Burns reported the FPPC has issued new guidelines on the issue of gifts and related subjects. Mr. Burns distributed a memo regarding gift regulations and related matters from information received from a presentation at the League of California Cities. FIVE -YEAR CAPITAL IMPROVEMENT PROGRAM Mr. Burns gave an update on the Five -Year Capital Improvement Program and discussed the obligations under the CIP if so approved by the Board which included many obstacles. Director Schafer suggested going with the four -year program. • LOCAL MEETINGS (INCLUDES REPORTS BY ALL DIRECTORS REPRESENTATING CMSD) ORANGE COUNTY SANITATION DISTRICT (OCSD) (DIRECTOR FERRYMAN) Director Ferryman reported OCSD is contemplating selling the land in Kings County. Director Ferryman reported the appraisal came in at $2.7 million. SANTA ANA RIVER FLOOD PROTECTION AGENCY (SARFPA) (DIRECTOR PERRY President Perry and Director Ferryman attended the September 25, 2008 SARFPA meeting and reported the following: • $14 million has been approved for'09 for the Santa Ana River Mainstream Project • A report was given by Nadeem Majaj on his trip to Washington DC on Federal Funding issues. He and Supervisor Campbell met personally with Congress members Sanchez and Rohrabacher. • Reimbursement was approved to Don Martinson for $1,175 for the bronze dedication plaque of Victor V. Veysey to be installed at Prado Dam. • A Proposal by Sylvester & Kesten to provide an audit for the years ended June 30, 2006 and 2007 for a cost not to exceed $1,700 was approved. COSTA MESA SANITARY DISTRICT MINUTES OF THE OCTOBER 23, 2008 MEETING PAGE 11 INDEPENDENT SPECIAL DISTRICTS OF ORANGE COUNTY (ISDOC) (DIRECTOR SCHAFER) Ms. Revak reported the ISDOC Quarterly Meeting and Executive Committee Election will be held on Thursday, October 30, 2008, 11:30 a.m. at the MWDOC /OCWD Joint Board Room. Directors Perry, Schafer, Ooten and Ferryman will attend. Director Ferryman motioned to appoint President Perry as the designated voting representative who shall exercise the right of the member to vote on behalf of the Costa Mesa Sanitary District and Director Ooten as the alternate who shall have the right to vote in the absence of the President Perry. Director Monahan seconded. Motion carried 5 -0. Ms. Revak will prepare the Minute Excerpt to be provided to the ISDOC Secretary. LOCAL AGENCY FORMATION COMMISSION (LAFCO) (DIRECTOR SCHAFER) Director Schafer attended the September 10, 2008 LAFCO meeting and reported the following: • Discussion held regarding scheduling upcoming meetings • • LAFCO will begin the process of performing Municipal Service Reviews (MSRs) A report from Bob Aldrich, Assistant Executive Officer of LAFCO on the Reconfirmation of Spheres of Influence for Cities and Special Districts was presented. LAFCO is required by Government Code to conduct comprehensive, regional studies of municipal services every five years in conjunction with the review of city and special district spheres of influence. Mr. Aldrich points out the law now requires that LAFCO begin another round of municipal service reviews and sphere of influence updates for the next five -year cycle (2008- 2012). However, because Orange LAFCO recently completed MSRs and SOls for the majority of agencies under LAFCO's purview and the data used to make those determinations remain current, Staff is proposing that LAFCO "reconfirm" the MSRs and SOls for many cities and districts within Orange County. If approved by the Commission, this will eliminate the need for conducting new MSRs and SOls for many agencies and cities. The Costa Mesa Sanitary District is included in the request. A formal request will be made at the Commission's November 12, 2008 hearing. CALIFORNIA SPECIAL DISTRICTS ASSOCIATION (CSDA) (DIRECTOR SCHAFER Director Schafer attended the September 22, 2008 CSDA Annual Conference and reported the following: • The CSDA Annual Conference was a complete success • Many workshops were held • Director Schafer was elected President of the CSDA COSTA MESA SANITARY DISTRICT MINUTES OF THE OCTOBER 23. 2008 MEETING PAGE 12 • Directors Ooten, Ferryman and Monahan attended portions of the conference as did CMSD Staff persons including Mr. Hamers, Mr. Fauth, Ms. Revak, Ms. Kallab and Ms. Jackson. Mr. Hamers gave a presentation on Fats, Oils and Grease. Mr. Hamers suggested approval of the Letter of Appreciation to Mesa Consolidated Water District for their co- sponsorship of the CSDA reception for incoming President Arlene Schafer on September 24, 2008. Director Schafer motioned for approval of the Letter of Appreciation. Director Monahan seconded. Motion carried 5 -0. CALIFORNIA /ASSOCIATION OF SANITATION /AGENCIES (CASA) There was no business to report on CASA. OTHER MEETINGS QUALIFYING FOR REIMBURSEMENT UNDER CMSD ORDINANCE N. 55, OPERATIONS CODE SECTION 3.01.030 Director Ooten attended the September 27 -29, 2008 Tri -State Seminar in Primm, Nevada and reported the following: • Sessions dealing with the history of sewers was presented • • Sessions dealing with sewer cleaning techniques and force main cleaning techniques using robotics • Session regarding "Smart Covers." Director Ooten will bring a "Smart Cover" to the next Sewer System Committee Meeting. Mr. Hamers requested to view information Director Ooten received on the force main cleaning techniques regarding sonar and laser to inspect the thickness of the wall pipe. CHAMBER OF COMMERCE Director Schafer attended the September 10, 2008 Chamber of Commerce meeting and reported the following: • Update on CMSD, LAFCO, and CSDA • Discussed corporate yard, Green /Gold building and received positive feedback OLD BUSINESS There was no old business to report. NEW BUSINESS • There was no new business to report. COSTA MESA SANITARY DISTRICT PAGE 13 MINUTES OF THE OCTOBER 23, 2008 MEETING • ORAL COMMUNICATIONS AND DIRECTOR COMMENTS Director Schafer suggested December 9, 2008 for the Board Christmas Party at Golden Dragon. Ms. Revak will inquire as to pricing due to a misunderstanding with the restaurant the previous year. Mr. Hamers recommended that the Board attend a composting presentation hosted by Mr. Fauth on Saturday, November 15, 2008. Director Monahan inquired as to the District's review of the Banning Ranch proposal. Director Monahan reported there is an overview plan. Mr. Hamers requested the Banning Ranch development effect on City and Special Districts be brought up at the Liaison Committee Meeting. Mr. Hamers requested a copy of the site plan be submitted to Ms. Revak for the Liaison Committee Meeting. Director Monahan inquired as to the accessibility of the reports to homeowners and developers who may have an interest in looking at a sewer line once the CCTV is complete and whether or not it will be accessible via the internet. Mr. Hamers responded that the District is not there yet, but will definitely put it in the strategic plan and investigate. Mr. Hamers reported that it will be part of discussion district -wide. • 'ADJOURNMENT President Perry adjourned the meeting 7:25 p.m. Ll SECITARY �J Fi PRESIDENT