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Minutes - Board - 2015-02-10Q COSTA MESA SANITARY DISTRICT MINUTES OF BOARD OF DIRECTORS STUDY SESSION FEBRUARY 10, 2015 CALL TO ORDER The Board of Directors of the Costa Mesa Sanitary District met in study session on February 10, 2015 at 9:30 A.M. at 628 W. 191h Street, Costa Mesa. ROLL CALL DIRECTORS PRESENT: Michael Schaefer, Arthur Perry, Robert Ooten, Arlene Schafer, James Ferryman DIRECTORS ABSENT: None STAFF PRESENT: Scott Carroll, General Manager; Robin Harriers, District Engineer; Wendy Davis, Finance Manager; Noelani Middenway, District Clerk; Ed Roberts, Ordinance Enforcement Officer; Steve Cano, Maintenance Supervisor; Elizabeth Pham, Management Assistant OTHERS PRESENT: Dean Ruffridge, CR &R; Lawrence Jones, CR &R; Jay Humphrey, Resident; Kevin Nelson, Former Resident; Rob Thompson, OCSD; Kathy Millea, OCSD; Mike PUCCIo, OCSD Vice President Perry called the meeting to order at 9:30 A.M. and noted that President Scheafer would be arriving late to the meeting. PUBLIC COMMENT Vice President Perry invited members of the public to address the Board. Seeing none, Vice President Perry closed public comments. COSTA MESA SANITARY DISTRICT PAGE 2 MINUTES OF THE BOARD OF DIRECTORS STUDY SESSION HELD FEBRUARY 10, 2015 ITEMS OF STUDY 1. Recvclinq & Waste Diversion Reports — January 2015 Recommendation: That the Board of Directors receive and file the report. The report was received and filed. 2. Ordinance Enforcement Officer Report— January 2015 Recommendation: That the Board of Directors receive and file the report. Ed Roberts, Ordinance Enforcement Officer, provided report details and discussed scavenging activity. The report was received and filed. 3. OC Waste & Recycling Coordinator's Meeting (Update) Recommendation: That the Board of Directors receive and file the report. Elizabeth Pham, Management Assistant, provided an update on the OC Waste & Recycling Coordinator's meeting. Secretary Ooten suggested that City staff be encouraged to attend the meetings. Discussion followed regarding grant applications. The report was received and filed. President Schaefer entered the meeting at 9:37 A.M. 4. Organics Ad Hoc Committee Update — Oral Report Recommendation: That the Board of Directors receive an oral report from Secretary Oaten. Secretary Ooten provided an update on the status of the behavioral study conducted by Sally Geislar, discussed the cart hangars for the organics recycling program, and the filming of the organics "how to" video. 5. Project #101 Westside Pumping Station Abandonment Project Finance Plan Recommendation: That the Board of Directors: 1. Consider the construction alternatives; 2. Give staff the preferred direction; and 3. Receive funding strategies from the Finance Manager that will be described later in the study session. General Manager Carroll introduced the item and provided information regarding the six proposed pump stations to be abandoned and identified the existing and COSTA MESA SANITARY DISTRICT PAGE 3 MINUTES OF THE BOARD OF DIRECTORS STUDY SESSION HELD FEBRUARY 10, 2015 proposed new lines to be constructed. Mr. Carroll noted an estimated project cost of 8.1 million dollars, discussed resident's concerns regarding the projects impact to Talbert Regional Park, and discussed alternative construction methods. Mr. Carroll stated that staff supports the original proposal in the Environmental Impact Report (EIR) and discussed the cost benefit ratio of abandoning the Aviemore Pump Station, Rob Hamers, District Engineer, deferred to Orange County Sanitation District staff to provide details on why the original proposal of the project would work better than the suggested alternative construction plans. Rob Thompson, OCSD, discussed the EIR notification, study, and adoption process. Mr. Thompson discussed the purpose of the project and noted that there is a flow deficiency in the Fairview trunk sewer. Mr. Thompson discussed project alternatives and noted that the preferred project is the environmentally superior option. President Scheafer received public comments from Jay Humphrey, resident, and Kevin Nelson, former Costa Mesa resident, who expressed concern regarding routine invasion of a stabilized habitat for maintenance reasons. President Scheafer closed public comments. Discussion followed regarding mitigation of the area and the maintenance with the least amount of impact. Secretary Ooten expressed support of continuing the project and encouraged the public to attend meetings and provide comment. The Board of Directors expressed support of the original project proposal. President Scheafer expressed support of not abandoning the Aviemore Pump Station as it will save nearly one million dollars. The Board of Directors directed staff to proceed with the original plan and not abandon the Aviemore Pump Station. There were no further questions or comments. OCSD staff and members of the public exited the meeting at 10:25 A.M. President Scheafer recessed the meeting at 10:27 A.M. and reconvened at 10:32 A.M. COSTA MESA SANITARY DISTRICT PAGE 4 MINUTES OF THE BOARD OF DIRECTORS STUDY SESSION HELD FEBRUARY 10, 2015 Recommendation: That the Board of Directors postpone implementing a rehabilitation plan and direct staff to reline the Indus mainline at a cost of $353,000. General Manager Carroll suggested tabling the Grade 4 rehabilitation project to prioritize the Indus mainline relining. District Engineer Hamers circulated pictures of cracks in the sewer line and noted that Indus is a Grade 5 in terms of troubled maintenance. He noted that the first two phases of the Grade 4 rehabilitation project would cost millions and the cost of relining the Indus mainline is an estimated $350,000. General Manager Carroll suggested CCTVing the Indus line. Secretary Ooten expressed support of CCTVing the system. Wendy Davis, Finance Manager, indicated that funds are available for what the Board wants to prioritize. The Board of Directors directed staff to prioritize the Indus line repairs. 7. Acguiring One Sewer Combination Truck and a Two Man Crew Recommendation: That the Board of Directors: 1. Approves acquiring one sewer combination Qetter /vacuum) truck and hiring two additional maintenance workers; and 2. Direct staff to budget this item in the FY 2015 -16 Budget. General Manager Carroll provided an overview of the cleaning operations and discussed the benefit of having in house staff to clean the sewer line versus contracting the service out. Mr. Carroll showed the Board a picture of the sewer combination truck and discussed the bidding process for the truck manufacturer through the National Joint Powers Alliance (NJPA). Mr. Carroll requested that the Board consider approving the purchase of a sewer combination truck and hiring of two additional maintenance workers. Discussion followed regarding the bidding process, the benefits of hiring two additional maintenance workers and salary and compensation over a 10 year term, requiring candidates to live within 30 miles of the district, parking and storage concerns. Secretary Ooten expressed support of the recommendation. President Schaefer expressed support of the recommendation and felt that in house staff will have a greater sense of pride and accountability than a third party COSTA MESA SANITARY DISTRICT PAGE 5 MINUTES OF THE BOARD OF DIRECTORS STUDY SESSION HELD FEBRUARY 10, 2015 contractor would in cleaning the line. Director Ferryman expressed concern regarding the increase of rates and indicated that his outlook on the proposal may change if the budget would need to be significantly increased for this recommendation. Vice President Perry excused himself from the meeting at 11:12 A.M. 8. Preliminary Budget Calendar for Fiscal Years 2015 -16 & 2016 -17 Recommendation: That the Board of Directors receive and file. The Board of Directors set a special meeting for April 27, 2015 at 9:00 A.M. 9. Financial Review Recommendation: That the Board of Directors give staff direction on the options they wish brought back in the upcoming budget development process for FY 2015 -16 & 2016 -17. Wendy Davis, Finance Manager, reviewed assumptions, discussed retained earnings, reserves, and cash flow. Discussion followed regarding creating a policy to put funds aside to pay off the unfunded liability. President Scheafer directed General Manager Carroll to move forward with the two man sewer crew and acquiring one sewer combination truck. 10. Future Study Session Items Recommendation: That the Board of Directors provide staff with direction on items to be placed on future study session agendas. President Scheafer requested that the Board members turn in their suggested performance goals for the General Manager for 2015. Assistant Secretary Schafer suggested that an Ad Hoc committee to review policies and procedures be placed on a future agenda. ORAL COMMUNICATIONS Director Ferryman expressed concern regarding the security of District headquarters and discussed how to mitigate security issues. COSTA MESA SANITARY DISTRICT PAGE 6 MINUTES OF THE BOARD OF DIRECTORS STUDY SESSION HELD FEBRUARY 10, 2015 ADJOURNMENT There being no further business to come before the Board, President Scheafer adjourned the meeting at 12:20 P.M. Robert Ooten Secretary : ic el Scheafer sident