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,.COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
NOVEMBER 19, 2015
CALL TO ORDER The Board of Directors of the Costa Mesa
Sanitary District met in regular session on
November 19, 2015 at 5:30P.M. at 628 W.
19'h Street, Costa Mesa.
PLEDGE OF President Scheafer led the Pledge of
ALLEGIANCE Allegiance.
INVOCATION Vice President Perry led the Invocation.
ROLL CALL DIRECTORS PRESENT: Michael Scheafer, Arthur Perry, Arlene
Schafer, James Ferryman
DIRECTORS ABSENT: Robert Ooten
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 Jim
Mosher, a member of the public.
Noelani Middenway, District Clerk, noted that the Minutes of the Board of Directors
Regular Meeting on October 22, 2015 stated that Vice President Perry adjourned the
meeting, when in fact President Scheafer adjourned the meeting. She noted that the
COSTA MESA SANITARY DISTRICT PAGE 2
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
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minutes have been corrected.
PUBLIC COMMENTS— None
CONSENT CALENDAR
1. Board of Directors Study Session The Board of Directors Study Session
Meeting Minutes of October 13, Meeting Minutes of October 13, 2015 was
2015. approved as presented.
2. Board of Directors Regular Meeting The Board of Directors Regular Meeting
Minutes of October 22, 2015. Minutes of October 22, 2015 was
approved as presented.
3. Occupancy Report and Payment to The Board of Directors accepted the
CR&R Environmental Services occupancy count as presented using
21,901 as the correct number of active
units and directed staff to prepare a
warrant to CR&R Environmental Services
in the amount of $212,820.26 to be ratified
in the November 2015 warrant list, for
October 2015 collection.
4. 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
month of October 2015.
5. Adoption of a Warrant Resolution The Board of Directors approved adoption
No. CMSD 2016-05 Approving of Warrant Resolution No. CMSD 2016-05
District Warrant Registers approving District warrants for the month
of October 2015 in the amount of
$1,348,627.47.
6. Payroll Transparency Disclosure for Staff pulled this item for discussion.
October 2015
7. Directors' Compensation and The Board of Directors approved the
Reimbursement of Expenses Directors' compensation and
reimbursement of expenses for the month
of October 2015.
8. Investment Report for the Month of The Board of Directors approved the
October 2015 Investment Report for the month of
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MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
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October 2015.
9. Sewer Lateral Assistance Program The Board of Directors approved the SLAP
(SLAP) Update report as presented.
10.Fiscal Year 2014-15 Annual The Board of Directors approved the
Compliance Report for Fiscal Year 2014-15 Annual Compliance
Requirements of Government Code Report for Requirements of Government
Section 66013 for Capacity Code Section 66013 for Capacity Charges
Charges as presented.
11.Annual Report of Expenses — Fiscal The Board of Directors approved the
Year 2014-15 Annual Report of Expenses as presented.
Wendy Davis, Finance Manager, requested that Item 6 be pulled for discussion on
behalf of staff.
Director Ferryman made a motion to approve the consent calendar, omitting Item 6.
Vice President Perry seconded the motion, which carried unanimously.
Regarding Item 6, Wendy Davis, Finance Manager, shared that Jim Mosher, a member
of the public, provided comments indicating that the District could improve its
transparency by providing payroll information. Ms. Davis noted that staff will now
provide the previous month's total payroll expense within the consent calendar.
President Scheafer requested to know if staff notified Mr. Mosher of the addition.
Ms. Davis indicated that Mr. Mosher was not notified. She noted that the addition was
made because the District sought to increase its transparency and because it is a
standard practice among other cities and agencies.
Mr. Carroll added that the Payroll Transparency Disclosure will be a new standard
report on the monthly consent calendar.
Assistant Secretary Schafer made a motion to approve Item 6. Vice President Perry
seconded the motion, which carried unanimously.
END OF CONSENT CALENDAR
PUBLIC HEARINGS— None
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GENERAL MANAGER'S REPORTS
12. Holiday Hours and Closures
Recommendation: That the Board of Directors receive and file the report.
Scott Carroll, General Manager, provided report details regarding the Districts
holiday closures. He noted that the District will be closed on Thanksgiving Day and
the day after Thanksgiving, and that the District traditionally closes to the public at
noon on the day before Thanksgiving. Mr. Carroll indicated that it is optional for staff
to leave at noon or work a full day on the day before Thanksgiving. He noted that if
staff chooses to leave at noon, they must use leave time since it is not a paid leave
day. Mr. Carroll added that the District will close on Christmas Eve, Christmas day,
New Year's Eve, and New Year's Day. He noted that Christmas Eve and New
Year's Eve are not paid leave days, and that staff will have the option to either work
those days or use approved leave time. Lastly, Mr. Carroll shared that the
maintenance staff chose to work half days on Christmas and New Year's Eve in
2014.
Rob Hamers, District Engineer, requested clarification regarding the closures and
Mr. Carroll reiterated the closure dates.
Vice President Perry requested clarification as to whether staff will be answering
phones if they decide to work on the closure days.
Mr. Carroll replied that staff will not be answering phones on those days because
the office will be closed to the public.
Vice President Perry requested clarification regarding the procedures for cases of
emergency during District closures.
Mr. Carroll noted that residents may call the police in case of emergencies, and the
police will notify District staff.
Discussion followed regarding whether Item 12 is an action item.
Mr. Carroll confirmed that Item 12 is not an action item, and that the
recommendation is to receive and file the report.
There were no additional questions or comments and the report was received.
13. State of the District
Recommendation: That the Board of Directors create an ad hoc committee
by appointing two Board members to plan the State of the District event.
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Scott Carroll, General Manager, shared that the Board of Directors established a
goal to host a State of the District. He noted that the State of the District has
become increasingly common among special districts and indicated that his
recommendation is to create an ad hoc committee with two appointed Board
Members to discuss and determine event details. Lastly, Mr. Carroll noted that the
State of the District is not budgeted, so the cost will need to be determined.
Vice President Perry suggested that he and Director Ferryman be appointed to the
ad hoc committee.
President Scheafer suggested that he and Director Ferryman be appointed to the
ad hoc committee, since President Scheafer will present at the State of the District.
Discussion followed regarding President Scheafer and Director Ferryman joining
the ad hoc committee.
Mr. Carroll indicated that he and Elizabeth Pham, Management Analyst I, would
represent staff within the ad hoc committee.
Discussion followed regarding ideas and venues for the State of the District.
Mr. Carroll confirmed that President Scheafer and Director Ferryman were chosen
to join the ad hoc committee.
There were no additional questions or comments.
14. Community Outreach Survey
Recommendation: That the Board of Directors give direction to staff.
Scott Carroll, General Manager, shared that the Board of Directors established a
goal to conduct a community survey, since the last survey was conducted in 2012.
He noted that the District seeks to survey 1,000 residents to gauge the
effectiveness of service and address unmet public needs. Mr. Carroll indicated that
the purpose of today's discussion is to gain a macro-level understanding of which
topics the Board would like to include in the survey, such as solid waste,
wastewater, District programs, the Organics Recycling Program, the Sewer Lateral
Assistance Program (SLAP), and a prospective new District headquarters.
Vice President Perry requested to know how much time it took residents to answer
the questions on the last survey conducted by the District.
Mr. Carroll shared that it took about 15 minutes.
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Discussion followed regarding whether or not to include a survey question about a
potential new district headquarters.
Vice President Perry requested to know if Mr. Carroll needed the Board of Directors'
input before creating an RFP. Mr. Carroll responded that input would be helpful in
drafting the RFP.
Vice President Perry requested to know if the Board would be attending a special
meeting to discuss possible survey questions.
Mr. Carroll noted that a special meeting was held before the last community survey,
and that the Board can request to have a special meeting. He added that the
District can hold two special meetings: one before the RFP is drafted and one after
the contract is awarded.
Vice President Perry noted that Secretary Ooten would have valuable input in this
discussion.
Discussion followed regarding possible survey questions and topics.
Mr. Carroll confirmed that the Board of Directors requested to hold a special
meeting to discuss the survey and to provide input for drafting the RFP.
President Scheafer added that a second special meeting will take place once the
contract is awarded.
Director Ferryman requested the time frame for the first special meeting.
Mr. Carroll suggested that it take place in December.
Director Ferryman suggested that Mr. Carroll gather staff input for the survey at the
next All Hands meeting on December 14, 2015.
Vice President Perry requested that potential dates for the special meeting be sent
to the Board of Directors.
Discussion followed regarding scheduling the special meeting.
There were no additional questions or comments.
15. El Nino Preparation
Recommendation: That the Board of Directors receive and file the report.
Scott Carroll, General Manager, provided report details. He noted that many cities
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and agencies are preparing for El Nino, and he met with the District's wastewater
staff and District Engineer, Rob Hamers, to identify areas of focus. Mr. Carroll
shared that the two identified areas of focus are inflow and power outages. He
noted that the District will address these issues by plugging and sealing half of the
District's manholes by December and acquiring portable and permanent generators
for critical pump stations. Mr. Carroll shared that the District has enough generators
and bypass pumps to handle all District pump stations, with the exception of two
that do not need generators. Additionally, he noted that Mr. Hamers conducted a
fuel analysis of the Districts emergency equipment to find out how long it would
take for each generator to run out of fuel. He presented a map to exhibit 4 lift
stations that were identified as being vulnerable to excessive inflow and shared a
plan to bypass these stations using long cables and sandbags. Mr. Carroll noted a
challenge posed by the Adams lift station and shared a plan to run a cable through
a resident's yard and under a wall to bypass the station.
Discussion followed regarding how deep the cable would need to be underground
to run under a wall.
Mr. Carroll added that the District would need the homeowner's approval to do so,
but the District may compensate the homeowner monetarily or by providing the
homeowner with a generator. He noted that the District has purchased the cable to
conduct the bypassing plan.
Wendy Davis, Finance Manager, requested to know if the cable can be run through
the middle of Adams Avenue instead of running it through the resident's yard.
Discussion followed regarding the danger of having the District's wastewater crew
work in the middle of a busy street like Adams Avenue.
Vice President Perry requested to know who would approach the homeowner
regarding the bypass cable.
Mr. Carroll shared that a letter would be sent to the homeowner. Discussion
followed regarding how the cable would be installed and the necessary coordination
with other agencies.
Assistant Secretary Schafer requested that this be brought up at the next liaison
committee meeting. Discussion followed regarding contacting the homeowner and
the method of contact that will be used.
Mr. Carroll noted that he met with officials from the City of Newport Beach to share
emergency contact information and discuss equipment that can be shared during
the El Nino season.
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Discussion followed regarding coordination with other cities and agencies, such as
the Orange County Public Works Department and the City of Newport Beach, and
the challenges of coordinating an El Nino preparation meeting with the City of Costa
Mesa.
Mr. Carroll noted that El Nino preparation will be discussed with the City of Costa
Mesa at the next liaison meeting on December 11, 2015.
Discussion followed regarding the prevalence of flood insurance in preparation for
El Nino.
There were no additional questions or comments and the report was received.
16. Designation of Applicant's Agent Resolution for Non-State Agencies
Recommendation: That the Board of Directors adopt the resolution (Cal
EMA 130).
Scott Carroll, General Manager, presented resolution details. He explained that if a
state of disaster were declared in Orange County and public agencies were eligible
for federal and state funding, the California Governor's Office of Emergency
Services (Cal OES) and the Federal Emergency Management Agency (FEMA)
would need signed documents from the District. Mr. Carroll noted that the
resolution, if approved, would designate the General Manager, Finance Manager,
and Wastewater Maintenance Superintendent to sign the eligibility documents for
Cal OES and FEMA. He added that if the resolution is approved, staff will send it to
Cal OES for their records and it will be valid for 3 years.
Discussion followed regarding the designation of 3 positions for signing authority
rather than the names of the individuals in those positions.
Mr. Carroll clarified that this language was used in case any of the individuals were
not present at the time of signing.
Assistant Secretary Schafer made a motion to approve the adoption of the
Designation of Applicant's Agent Resolution for Non-State Agencies (Cal EMA 130).
Vice President Perry seconded the motion which passed unanimously.
17. Rewarding Ideas Program
Recommendation: That the Board of Directors approves rewarding Steve Cano,
Wastewater Maintenance Superintendent $100 for his idea to save money for
inspecting portable by-pump equipment for maintenance.
Scott Carroll, General Manager, presented an idea for the Rewarding Ideas
Program submitted by Steve Cano, Wastewater Maintenance Superintendent. He
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shared that the idea was to save money for inspection and maintenance of the
District's portable by-pump equipment, which was previously inspected and
maintained by the City of Costa Mesa. Mr. Carroll noted that the City of Costa Mesa
charges an inspection fee in addition to an hourly labor cost for maintenance. He
added that Mr. Cano suggested having the equipment inspected by Charles King
Company because they are industry leaders in pump station equipment, they do not
charge an inspection fee, and their hourly labor cost is lower than the City of Costa
Mesa.
Vice President Perry requested to know if the District has already started working
with Charles King Company.
Mr. Carroll noted that the District has started working with Charles King Company.
Discussion followed regarding the decision to no longer have the City of Costa
Mesa inspect and maintain the portable by-pump equipment.
Mr. Carroll noted that the City of Costa Mesa does not have the types of specialized
pumps that the District owns.
Rob Hamers, District Engineer, added that Charles King Company makes, rents,
and sells pumps. He indicated that Charles King Company is a top expert in the
area of by-pass pumps and maintenance.
Director Ferryman made a motion to approve the reward of $100 to Mr. Cano as
part of the Rewarding Ideas Program. Assistant Secretary Schafer seconded the
motion which passed unanimously.
ENGINEER'S REPORTS
18. Project Status Report
Recommendation: That the Board of Directors approve and file the report.
Rob Hamers, District Engineer, presented the Project Status Report for the Board of
Directors to review.
Assistant Secretary Schafer commented that the report was thorough.
There were no questions or comments and the report was received.
19. Project #194 Pump Station Coating and Manhole Rehabilitation —Acceptance
of Improvements
Recommendation: That the Board of Directors approves the following action:
1. Accept improvements as completed and file a Notice of Completion.
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2. Authorize payment of 5% retention 35 days after Notice of Completion is
recorded.
3. Exonerate Labor and Material Bond after Notice of Completion is recorded
and exonerate Faithful Performance Bond one year of Notice of
Completion is recorded.
Rob Hamers, District Engineer, reported that Project#194 for the coating of 3 pump
stations and many District manholes is complete. He noted that interior coating and
structural lining were conducted on an as-needed basis, and that the 3
recommended actions for Item 19 are standard actions after the completion of a
project.
Vice President Perry made a motion to accept the approval of all 3 recommended
actions: the acceptance of improvements as completed and filing of a Notice of
Completion, the authorization of payment of 5% retention 35 days after the Notice
of Completion is recorded, and Exonerate Labor and Material Bond 35 days after
the Notice of Completion is filed, and exoneration of the Faithful Performance Bond
one year after the Notice of Completion is filed. Assistant Secretary Schafer
seconded the motion which passed unanimously.
Discussion followed regarding the color of the manhole coating.
There were no further questions or comments.
TREASURER'S REPORTS- None
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 provided report details for regarding the OCSD meeting on
November 18, 2015. He noted that there was a lengthy discussion about the Local
Agency Formation Commission's (LAFCO) consideration of East Orange County Water
District and Irvine Ranch Water District applications to assume local sewer service for
OCSD service area 7.
Discussion followed regarding who attended the meeting.
B. Santa Ana River Flood Protection Agency (SARFPA) — (Vice President
Perry)
Recommendation: That the Board of Directors accepts oral report.
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Vice President Perry provided report details and noted that it was a full agency
meeting. He provided details regarding the Prado Dam project and the Westminster
Watershed Study, which will not be finalized until December 2016.
C. Independent Special Districts of Orange County (ISDOC) — (President
Scheafer)
Recommendation: That the Board of Directors accepts oral report.
President Scheafer provided report details regarding ISDOC members requesting
refunds for luncheons that they did not attend and choosing speakers for upcoming
ISDOC meetings.
D. California Special Districts Association (CSDA) - (Assistant Secretary
Schafer)
Recommendation: That the Board of Directors accepts oral report.
Assistant Secretary Schafer shared that the list of CSDA committees was approved
and the meeting provided an overview of the year. She noted that she will sit on the
Legislation and Membership Committees and that she was invited to join the Grand
Jury Workshop Group. Lastly, Assistant Secretary Schafer shared that she will sit
on the CSDA Executive Board beginning in January 2016.
Discussion followed regarding hotel rates in Sacramento.
President Scheafer noted that he and Mr. Carroll have been appointed to the
Professional Development and Member Services Committees of CSDA.
E. Special District Risk Management Authority (SDRMA)— (President Scheafer)
Recommendation: That the Board of Directors accepts oral report.
President Scheafer shared that there is nothing to report because there was no
SDRMA meeting in November.
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.
Vice President Perry shared that he and Secretary Ooten attended the Water Advisory
Committee of Orange County (WACO) Meeting, which covered the topic of El Nina He
noted that Southern California is expected to have a wet winter, while Northern
California is expected to be drier.
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President Scheafer shared that he, Vice President Perry, and Assistant Secretary
Schafer attended the Southern California Waste Management Forum.
Discussion followed regarding the speakers at the forum, CR&R's characterization
study, and the expansion of the organic program to include grocery stores.
OLD BUSINESS— None
NEW BUSINESS— None
Director Ferryman shared that he has a new email address due to a recent hack into his
account.
ORAL COMMUNICATIONS AND DIRECTOR COMMENTS—None
ADJOURNMENT
There being no further business to come before the Board, President Scheafer
adjourned the meeting at 6:32 P.M.
Robert Ooten ichael Scheafe
Secretary President