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COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
SEPTEMBER 17, 2015
CALL TO ORDER The Board of Directors of the Costa Mesa
Sanitary District met in regular session on
September 17, 2015 at 5:30P.M. at 628 W.
19th Street, Costa Mesa.
PLEDGE OF Vice President Perry led the Pledge of
ALLEGIANCE Allegiance.
INVOCATION Vice President Perry led the Invocation.
ROLL CALL DIRECTORS PRESENT: Arthur Perry, Robert Ooten, Arlene Schafer,
James Ferryman
DIRECTORS ABSENT: Michael Scheafer
STAFF PRESENT: Scott Carroll, General Manager; Alan Burns,
District Counsel; Robin Hamers, District
Engineer; Wendy Davis, Finance Manager;
Marc Davis, District Treasurer; Noelani
Middenway, District Clerk
OTHERS PRESENT: None.
CEREMONIAL MATTERS AND PRESENTATIONS-None
ANNOUNCEMENT OF LATE COMMUNICATIONS
Scott Carroll, General Manager, reported receipt of written public comments from Mr.
Jim Mosher. Mr. Carroll indicated that Mr. Mosher's comments were noted.
PUBLIC COMMENTS- None
COSTA MESA SANITARY DISTRICT PAGE 2
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
HELD SEPTEMBER 17, 2015
CONSENT CALENDAR
1. Board of Directors Study Session The Board of Directors Study Session
Meeting Minutes of August 11, 2015 Meeting Minutes of August 11, 2015 was
approved as presented.
2. Board of Directors Special Meeting The Board of Directors Regular Meeting
Minutes of August 25, 2015. Minutes of August 25, 2015 was approved
as presented.
3. Board of Directors Regular Meeting The Board of Directors Regular Meeting
Minutes of August 27, 2015. Minutes of August 27, 2015 was approved
as presented.
4. Occupancy Report and Payment to The Board of Directors accepted the
CR&R Environmental Services occupancy count as presented using
21,866 as the correct number of active
units and directed staff to prepare a
warrant to CR&R Environmental Services
in the amount of $214,186.22 to be ratified
in the September 2015 warrant list, for
August 2015 collection.
5. Contract Payment to CR&R The Board of Directors approved payment
Environmental Services for to CR&R Environmental Services for
Recycling & Disposal Services recycling and disposal services for the
months of July and August 2015.
6. Adoption of Warrant Resolution No. The Board of Directors approved adoption
CMSD 2016-03 Approving District of Warrant Resolution No. CMSD 2016-03
Warrant Registers approving District warrants for the month
of August 2015 in the amount of
$759,884.45.
7. Directors' Compensation and The Board of Directors approved Directors'
Reimbursement of Expenses compensation and reimbursement of
expenses for the month of August 2015.
8. Sewer Lateral Assistance Program The Board of Directors approved the SLAP
(SLAP) Update report as presented.
9. Investment Report for the Month of The Board of Directors approved the
August 2015 Investment Report for the month of August
2015.
COSTA MESA SANITARY DISTRICT PAGE 3
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
HELD SEPTEMBER 17, 2015
10.Resolution No. 2015-874 The Board of Directors approved adoption
of Resolution No. 2015-874 ordering the
publication of Ordinance No. 108,
amending Operations Code Section
4.03.020 — Operating Reserves.
END OF CONSENT CALENDAR
Director Ferryman made a motion to approve the consent calendar as presented.
Assistant Secretary Schafer seconded the motion, which carried unanimously.
PUBLIC HEARINGS—None
GENERAL MANAGER'S REPORTS
11. EEC Environmental GIS and CMMS Support Services
Recommendation: That the Board of Directors determines EEC
Environmental support services for Geographic Information System (GIS)
and Computerized Maintenance Management System (CMMS) is in the best
interest of the District and waives bidding procedures in accordance with
District Operations Code Section 4.04.120(f).
Scott Carroll, General Manager, provided a description of EEC Environmental
support services for GIS and CMMS and explained their role to the District's
functions. He noted that the current code does not allow for contracts exceeding 5
years, although there have been exceptions. Mr. Carroll provided his
recommendation to waive the bidding requirements and direct staff to implement an
amendment to EEC's contract.
Assistant Secretary Schafer made a motion to approve the amendment of the
contract as presented by the General Manager. Director Ferryman seconded the
motion.
Discussion followed regarding the difficulty associated with drafting an RFP for GIS
and CMMS support services.
Rob Hamers, District Engineer, noted that the District is very satisfied with the
services provided by EEC.
Discussion followed regarding revisiting the status of the contract next year.
Wendy Davis, Finance Manager, noted that an extension of the contract would
allow the District to benefit from its investment in GIS and CMMS support services.
COSTA MESA SANITARY DISTRICT PAGE 4
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
HELD SEPTEMBER 17, 2015
Discussion followed regarding waiving the bidding requirements for 2 years rather
than 1 year, as initially proposed.
Assistant Secretary Schafer amended the motion to waive the bidding requirements
for 2 years rather than 1 year and directed the General Manager to negotiate
maintaining EEC's rates during that time.
The motion passed unanimously.
12. Sewer Lateral Assistance Program (SLAP) Survey Results
Recommendation: That the Board of Directors receive and file the report.
Mr. Carroll provided details regarding the SLAP survey results. He noted that there
has been a 30-35% return rate with the majority of surveys providing positive
feedback. He added that many residents reported learning about the program
through their contractor or plumber. Mr. Carroll discussed the upcoming pilot SLAP
program, which would reimburse residents for conducting a CCTV of their lateral
sewer line in order to deter plumbers from taking advantage of residents.
Wendy Davis, Finance Manager, noted that preliminary plans for the pilot SLAP
program will likely be discussed during the December Study Session.
There were no additional questions or comments and the report was received.
13. Organics Recycling Program Update — Oral Report
Recommendation: That the Board of Directors receive an oral report from
Secretary Oaten.
Secretary Ooten provided a description of the organics meeting with
CR&R and District staff on August 9, 2015. He presented tonnage, as listed in the
attachment for Item No. 5 and discussed organics contamination. He noted that a
CR&R driver reported that multifamily homes seem to have more contaminants in
their organic waste bins. Secretary Ooten also noted that residents have expressed
concern about the lack of compostable bags being sold locally.
Discussion followed regarding the Material Recovery Facility's (MRF) sorting
system, the disposal of animal feces into organics waste bins, local retailers that
carry compostable bags, and the capacity of CR&R's Organics trucks.
There were no additional questions or comments and the report was received.
COSTA MESA SANITARY DISTRICT PAGE 5
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
HELD SEPTEMBER 17, 2015
14. Contribution Program — Costa Mesa Public Safety Recognition Barbeque
Recommendation: That the Board of Directors considers sponsoring this
event.
Mr. Carroll provided details about the possible sponsorship of the Costa Mesa
Public Safety Recognition Barbeque on October 1, 2015.
Discussion followed surrounding the question of whether the sponsorship would
assist in serving and advancing the District's purpose.
Assistant Secretary Schafer proposed that District participation would honor the
District's partnerships with the Costa Mesa Police and Fire Departments.
Vice President Perry noted that sponsor benefits for the event are minimal.
Discussion followed regarding the event's lack of sponsor benefits and District
visibility.
Assistant Secretary Schafer introduced the option of providing promotional bags for
District visibility rather than sponsoring the event. Additionally, she posed the
question of who would be able to attend the event to represent the District.
Discussion followed regarding each Board Member's availability.
Vice President Perry proposed making a personal contribution to the event rather
than a District contribution.
Secretary Ooten and Director Ferryman shared their agreement.
Discussion followed regarding the Board Members' individual participation in the
event.
No action was taken on this item.
ENGINEER'S REPORTS
15. Project Status Report
Recommendation: That the Board of Directors receive and file the report.
District Engineer, Rob Flamers, presented the Capital Improvement Program (CIP)
update and opened the floor to questions from the Board of Directors.
Secretary Ooten posed the question of why Project #2000 was included in the
report when it has already been completed.
COSTA MESA SANITARY DISTRICT PAGE 6
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
HELD SEPTEMBER 17, 2015
Finance Manager, Wendy Davis, reported that Project #2000 will be removed from
the list once the bills for the project have been received.
Mr. Hamers, provided report details regarding the finalization of utility clearances at
the excavation site for Project #200.
There were no additional questions or comments and the report was received.
TREASURER'S REPORTS
16. Resolution No. 2015-875
Recommendation: That the Board of Directors adopt Resolution No. 2015-875
authorizing District Treasurer to invest in CaITRUST.
District Treasurer, Marc Davis, proposed the approval of the adoption of Resolution
No. 2015-875. He noted that a similar resolution was adopted in 2008, but an
account was not opened with CaITRUST at that time. Mr. Davis presented a sample
resolution from CaITRUST, and explained that the adoption would authorize Mr.
Davis to open an account with CaITRUST, make a deposit, and invest as a
participant. He noted that documents have been submitted to the District Council,
Alan Burns, for review.
Assistant Secretary Schafer noted that she discussed CaITRUST with
representatives from special districts at the last California Special Districts
Association (CSDA) meeting and they mentioned that they are pleased with their
involvement.
Mr. Davis expanded on the proposal, explaining that the approval of the adoption
would allow him to submit an account application and the minimum deposit of
$250,000. Additionally, the proposal is to invest in a medium term account, which
would allow for one deposit and one withdrawal per month.
Director Ferryman made a motion to approve the adoption of Resolution No. 2015-
875. Assistant Secretary Schafer seconded the motion which passed unanimously.
17. Agreement with Davis Farr
Recommendation: That the Board of Directors approve the agreement with
Davis Farr.
Mr. Davis provided details regarding the cleanup agreement with Davis Farr for
District Treasurer services. He noted that the agreement has been submitted to
District Counsel, Alan Burns, for review. Mr. Davis noted that if the Board approves
the agreement, it will be subject to possible changes to recitals, an addition of a
bond requirement, and Mr. Burns' approval.
COSTA MESA SANITARY DISTRICT PAGE 7
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
HELD SEPTEMBER 17, 2015
Mr. Burns noted that the recommendation for approval is being made by General
Manager, Scott Carroll. Mr. Carroll confirmed his recommendation of the
agreement.
Secretary Ooten made a motion to approve the agreement, subject to Mr. Burns'
approval. Assistant Secretary Schafer seconded the motion which passed
unanimously.
ATTORNEY'S REPORTS- None
LOCAL MEETINGS
A. Orange County Sanitation District (OCSD) — (Director Ferryman)
Recommendation: That the Board of Directors accepts oral report.
Director Ferryman reported that he will not be attending the OCSD meeting next week
due to the CSDA conference.
B. Santa Ana River Flood Protection Agency (SARFPA) — (Vice President
Perry)
Recommendation: That the Board of Directors accepts oral report.
Vice President Perry reported that he will be attending the SAFRPA meeting next
week.
C. Independent Special Districts of Orange County (ISDOC) — (President
Scheafer)
Recommendation: That the Board of Directors accepts oral report.
President Scheafer was not present to provide a report.
Assistant Secretary Schafer attended the ISDOC meeting but did not have anything
to report at this time.
D. California Special Districts Association (CSDA) - (Assistant Secretary
Schafer)
Recommendation: That the Board of Directors accepts oral report.
Assistant Secretary Schafer reported that the CSDA conference is coming up and
that she has applied to be a member of the CSDA Legislative Committee next year.
She noted that the District will be able to present to CSDA regarding the organics
program next year. Additionally, she noted that she is running for a position on the
CSDA Executive Board.
COSTA MESA SANITARY DISTRICT PAGE 8
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
HELD SEPTEMBER 17, 2015
E. Special District Risk Management Authority (SDRMA)— (President Scheafer)
Recommendation: That the Board of Directors accepts oral report.
President Scheafer was not present to provide a report.
F. Other Meetings Qualifying for Reimbursement under CMSD Ordinance No.
55, Operations Code Section 3.01.030
Recommendation: That the Board of Directors accepts oral report.
Director Ferryman reported that he and Secretary Ooten attended a meeting with OCSD
officials in regards to the West Side Abandonment Project. He noted that there was an
environmental concern about the amount of water going through the Fairview trunk line,
but that it was an overall positive meeting.
Discussion followed regarding the likelihood of OCSD supporting the project and the
environmental impact of the project.
District Engineer, Rob Hamers, reported that the consultant did not conduct a study to
determine whether or not the Fairview trunk will need to be upsized if the West Side
Abandonment Project moves forward. He noted that this is causing a delay to the
project.
Discussion followed regarding the financial impact of the project delay.
Secretary Ooten reported that he and Mr. Carroll will be attending the Regional
Water Quality Control Board meeting tomorrow.
OLD BUSINESS—None
NEW BUSINESS
Secretary Ooten requested information regarding the Organics Program at next month's
Board Meeting.
ORAL COMMUNICATIONS AND DIRECTOR COMMENTS—None
ADJOURNMENT
There being no further business to come before the B•. .., Vice 'resident Perry
adjourned the meeting at 6:27 P.M.
l
RobertOoten Mic. .el Scheafer
Secretary Pr-sident