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Monday, August 24, 2020
Board of Directors Regular Meeting
Time: 4:30 P.M.
IMPORTANT NOTICE REGARDING AUGUST 24, 2020 REGULAR BOARD MEETING
This meeting is being conducted utilizing teleconferencing and electronic means consistent with
State of California Executive Order N-29-20 dated March 17, 2020, regarding the COVID-19
pandemic.
***
The livestream of the meeting can be viewed by clicking the "Video" icon on this page (which will
be made available at the start of the meeting) or by visiting
www.youtube.com/CostaMesaSanitary. In accordance with Executive Order N-29-20, the public
may only view the meeting online and not in the District's Board Room.
***
To participate in the meeting by computer:
1. Copy and past the following into your browser - https://us02web.zoom.us/join
2. Enter the Meeting ID number - 815 5189 6145
3. Click "Join."
***
To join the meeting with a mobile device:
1. Download the Zoom app at the Google Play Store (for Android devices) or the App Store (for
Apple devices)
2. Open the Zoom app. Select "Join a Meeting."
3. Enter Zoom Meeting ID. Select "Join Meeting."
***
To join the meeting by phone:
1. Call 1-669-900-6833.
2. You will be asked to enter the Meeting ID number. Dial 815 5189 6145#
3. Lastly, you will be asked to enter your Participant ID. Press the # symbol again to bypass this
step.
***
Public Comments: Members of the public can submit any comments in writing for the Board of
Directors' consideration by sending them to the District Clerk, Noelani Middenway, at
nmiddenway@cmsdca.gov. Those comments will be made part of the official public record of the
meeting.
***
Obtaining Agenda Materials: The public is entitled to copies of all documents that are made part
of the agenda packet. If any document or other writing pertaining to an agenda item is
distributed to all or a majority of the Board after the packet is prepared, a copy of that writing
may be obtained from the District Clerk's Office.
***
In Compliance with ADA: Contact District Clerk, Noelani Middenway, at (949) 645-8400, 48 hours
prior to meeting if assistance is needed (28 CFR 35.102.35.104 ADA Title II).
A. OPENING ITEMS
1. Call to Order - President Ferryman
2. Pledge of Allegiance - President Ferryman
3. Invocation - Vice President Ooten
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4. Roll Call - (If absences occur, consider whether to deem those absences excused based on facts presented for the
absence – such determination shall be the permission required by law.)
5. Announcement of Late Communications - Unless directed otherwise by the Board of Directors, all actions shall be
based on/memorialized by the latest document submitted as a late communication.
B. Ceremonial Matters and Presentations
1. Award Recognition from the Santa Ana Rivers Basin Section of the California Water Environment Association for
Community Engagement and Outreach Project of the Year – Citizens Environmental Protection Academy. Presented
by Chris Newtown, SARBS Vice President, South Coast Water District
2. Award for Outstanding Achievement in Popular Annual Financial Reporting from the Government Finance Officers
Association for its Annual Financial Report for the Fiscal Year Ended June 30, 2019
C. Public Comments - This time has been set aside for persons in the audience to make comments on
items within the subject matter jurisdiction of the Costa Mesa Sanitary District that are not listed on this
agenda. Members of the public will have the opportunity to address the Board of Directors about all other
items on this agenda at the time those items are considered. Under the provisions of the Brown Act, the
Board of Directors is prohibited from taking action on oral requests but may refer the matter to staff or to
a subsequent meeting. The Board of Directors will respond after public comment has been received.
Please state your name. Each speaker will be limited to four (4) continuous minutes.
1. Public Comments
D. CONSENT CALENDAR - All matters listed on the consent calendar are considered to be routine and may
be acted upon by one motion after public comment has been received. Only Board of Directors may pull
an item for discussion. Reading of resolutions is waived and they will be adopted and numbered. Now is
the time for those in the audience who wish to speak to items listed on the consent calendar. Each
speaker will be limited to four (4) continuous minutes of comment on the consent calendar as a whole.
1. Approve Consent Calendar
2. Approve the Board of Directors Study Session Meeting Minutes of July 14, 2020
3. Approve the Board of Directors Regular Meeting Minutes of July 27, 2020
4. Approve the Directors' Compensation and Reimbursement of Expenses
5. Adopt Warrant Resolution No. CMSD 2021-02 Approving District Warrant Registers
6. Approve Payroll Transparency Disclosure for July 2020
7. Accept the occupancy count as presented as 22,982 and direct staff to prepare a warrant to CR&R Environmental
Services for $238,173.96 for July 2020 collection
8. Approve the preparation of a warrant to CR Transfer in the amount of $256,062.96 for July 2020 recycling and
disposal services in the August 2020 warrant register
9. Receive and File Contracts Signed by the General Manager
10. Approve the Investment Report for the Month of June 2020
11. Approve the Investment Report for the Month of July 2020
E. PUBLIC HEARINGS
F. GENERAL MANAGER'S REPORTS
1. Adopt Resolution No. 2020-932 Endorsing the Candidacy of Arlene Schafer to the position of 1st Vice President of
the Independent Special Districts of Orange County (ISDOC) Executive Committee
2. Consider Adopting Ordinance No. 131 Adopting Revisions to the Operations Code, Resolution No. 2020-933
Approving the Employee Handbook, Resolution No. 2020-934 Approving Administrative Policies, and Resolution No.
2020-935 Adopting Board of Directors Procedures Handbook
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G. ENGINEER'S REPORTS
1. Receive and File the Monthly Capital Improvements Project Status Report
H. TREASURER'S REPORTS
I. ATTORNEY'S REPORTS
1. Approve Easement Agreement with PT Fairway Villas, LLC for relocation of a sewer easement near the
intersection of Santa Ana Avenue and Orchard Drive in the City of Newport Beach
J. LOCAL MEETINGS: In accordance with AB 1234 (Gov. Code 53232.3), a report is required to be given by
a Director for any meeting for which expense reimbursement of any kind is provided. Note: For meetings
for which the per diem compensation is sought, the Operations Code provides that such compensation is
authorized for each day’s service rendered as a Director at the request of the Board (not to exceed
six days in one month), and certain meetings are specified as being eligible as set forth in District
Operations Code § 3.01.030. For meetings not so listed, the Board must approve the service
for it to be eligible for the per day compensation.
1. Orange County Sanitation District (OCSD) - (President Ferryman)
2. Santa Ana River Flood Protection Agency (SARFPA) - (Director Perry)
3. Independent Special Districts of Orange County (ISDOC) - (Secretary Schafer)
4. California Special Districts Association (CSDA) - (Secretary Schafer)
5. Special District Risk Management Authority (SDRMA) - (Director Scheafer)
6. Other Meetings Qualifying for Reimbursement under CMSD Ordinance No. 55, Operations Code Section 3.01.030
K. OLD BUSINESS
L. NEW BUSINESS
M. ORAL COMMUNICATIONS AND DIRECTOR COMMENTS
1. Oral Communications and Director Comments
N. ADJOURN TO CLOSED SESSION
1. Confer with Legal Counsel- Anticipated Litigation - Significant exposure to litigation pursuant to paragraph (2) of
subdivision (d) of Government Code Section 54956.9 (1 Case) The facts and circumstances that justify the closed
session are set forth in the Notice of Violation and Intent to Sue Under the Federal Water Pollution Control Act
(Clean Water Act) dated May 6, 2020 sent by Attorney Jack Silver on behalf of California River Watch, which is
available for public inspection. (See Gov C §54956.9(e)(3).)
O. RECONVENE TO OPEN SESSION
P. CLOSING ITEMS
1. Adjourn
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Monday, August 24, 2020
Board of Directors Regular Meeting
Time: 4:30 P.M.
IMPORTANT NOTICE REGARDING AUGUST 24, 2020 REGULAR BOARD MEETING
This meeting is being conducted utilizing teleconferencing and electronic means consistent with
State of California Executive Order N-29-20 dated March 17, 2020, regarding the COVID-19
pandemic.
***
The livestream of the meeting can be viewed by clicking the "Video" icon on this page (which will
be made available at the start of the meeting) or by visiting
www.youtube.com/CostaMesaSanitary. In accordance with Executive Order N-29-20, the public
may only view the meeting online and not in the District's Board Room.
***
To participate in the meeting by computer:
1. Copy and past the following into your browser - https://us02web.zoom.us/join
2. Enter the Meeting ID number - 815 5189 6145
3. Click "Join."
***
To join the meeting with a mobile device:
1. Download the Zoom app at the Google Play Store (for Android devices) or the App Store (for
Apple devices)
2. Open the Zoom app. Select "Join a Meeting."
3. Enter Zoom Meeting ID. Select "Join Meeting."
***
To join the meeting by phone:
1. Call 1-669-900-6833.
2. You will be asked to enter the Meeting ID number. Dial 815 5189 6145#
3. Lastly, you will be asked to enter your Participant ID. Press the # symbol again to bypass this
step.
***
Public Comments: Members of the public can submit any comments in writing for the Board of
Directors' consideration by sending them to the District Clerk, Noelani Middenway, at
nmiddenway@cmsdca.gov. Those comments will be made part of the official public record of the
meeting.
***
Obtaining Agenda Materials: The public is entitled to copies of all documents that are made part
of the agenda packet. If any document or other writing pertaining to an agenda item is
distributed to all or a majority of the Board after the packet is prepared, a copy of that writing
may be obtained from the District Clerk's Office.
***
In Compliance with ADA: Contact District Clerk, Noelani Middenway, at (949) 645-8400, 48 hours
prior to meeting if assistance is needed (28 CFR 35.102.35.104 ADA Title II).
A. OPENING ITEMS
Subject 1. Call to Order - President Ferryman
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
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A. OPENING ITEMS
Subject 2. Pledge of Allegiance - President Ferryman
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
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Type Procedural
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A. OPENING ITEMS
Subject 3. Invocation - Vice President Ooten
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
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Type Procedural
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A. OPENING ITEMS
James Ferryman, President
Robert Ooten, Vice President
Arlene Schafer, Secretary
Michael Scheafer, Director
Arthur Perry, Director
Subject 4. Roll Call - (If absences occur, consider whether to deem those absences
excused based on facts presented for the absence – such determination shall be
the permission required by law.)
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Procedural
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A. OPENING ITEMS
Subject 5. Announcement of Late Communications - Unless directed otherwise by the
Board of Directors, all actions shall be based on/memorialized by the latest
document submitted as a late communication.
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Procedural
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B. Ceremonial Matters and Presentations
Subject 1. Award Recognition from the Santa Ana Rivers Basin Section of the California
Water Environment Association for Community Engagement and Outreach
Project of the Year – Citizens Environmental Protection Academy. Presented by
Chris Newtown, SARBS Vice President, South Coast Water District
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Presentation, Procedural
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B. Ceremonial Matters and Presentations
File Attachments
2019 PAFR - Costa Mesa Sanitary Dist, CA - Camera.pdf (76 KB)
Subject 2. Award for Outstanding Achievement in Popular Annual Financial Reporting
from the Government Finance Officers Association for its Annual Financial Report
for the Fiscal Year Ended June 30, 2019
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Presentation
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C. Public Comments - This time has been set aside for persons in the audience
to make comments on items within the subject matter jurisdiction of the Costa
Mesa Sanitary District that are not listed on this agenda. Members of the public
will have the opportunity to address the Board of Directors about all other
items on this agenda at the time those items are considered. Under the
provisions of the Brown Act, the Board of Directors is prohibited from taking
action on oral requests but may refer the matter to staff or to a subsequent
meeting. The Board of Directors will respond after public comment has been
received. Please state your name. Each speaker will be limited to four (4)
continuous minutes.
Subject 1. Public Comments
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Procedural
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D. CONSENT CALENDAR - All matters listed on the consent calendar are
considered to be routine and may be acted upon by one motion after public
comment has been received. Only Board of Directors may pull an item for
discussion. Reading of resolutions is waived and they will be adopted and
numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4)
continuous minutes of comment on the consent calendar as a whole.
Subject 1. Approve Consent Calendar
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Action (Consent)
Recommended Action That the Board of Directors approve the Consent Calendar as presented.
All matters listed on the consent calendar are considered to be routine and may be acted upon by one motion after
public comment has been received. Only Board of Directors may pull an item for discussion. Reading of resolutions
is waived and they will be adopted and numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4) continuous minutes of comment on the
consent calendar as a whole.
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D. CONSENT CALENDAR - All matters listed on the consent calendar are
considered to be routine and may be acted upon by one motion after public
comment has been received. Only Board of Directors may pull an item for
discussion. Reading of resolutions is waived and they will be adopted and
numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4)
continuous minutes of comment on the consent calendar as a whole.
To: Board of Directors
Via: Scott Carroll, General Manager
From: Gina Terraneo, Management Analyst II
Date: August 24, 2020
Subject: Approve the Board of Directors Study Session Minutes of July 14, 2020
Summary
The recorded minutes of the July 14, 2020 Board of Directors Study Session are hereby submitted to the Board of Directors for
review and approval.
Analysis
Attached to the staff report are the minutes for the Board of Directors Study Session on July 14, 2020.
Staff Recommendation
That the Board of Directors approve the meeting minutes as presented.
Legal Review
Not applicable.
Environmental Review
Consideration of public meeting minutes is an administrative matter and is exempt from the requirements of the California
Environmental Quality Act (CEQA) (Public Resources Code Section 21000 et. seq.). Section 15300.4 of CEQA allows an agency
while establishing its own procedures “to list those specific activities which fall within each of the exempt classes”, and the District has
adopted “CEQA Guidelines and Implementing Procedures” that state on page 6 ”Projects” does not include …. C. Continuing
administrative or maintenance activities.”
Financial Review
Not applicable.
Public Notice Process
Copies of this report are on file and will be included in the complete agenda packet for the August 24, 2020 Board of Directors
Regular Meeting at District Headquarters and posted on the District’s website.
Alternative Actions
1. Do not approve the meeting minutes as presented.
2. Direct staff to report back with more information.
Subject 2. Approve the Board of Directors Study Session Meeting Minutes of July 14,
2020
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Action (Consent), Minutes
Recommended Action That the Board of Directors approve the meeting minutes as presented.
Minutes View Minutes for Jul 14, 2020 - Board of Directors Study Session
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File Attachments
minutes_2020_07_14_ss.pdf (159 KB)
All matters listed on the consent calendar are considered to be routine and may be acted upon by one motion after
public comment has been received. Only Board of Directors may pull an item for discussion. Reading of resolutions
is waived and they will be adopted and numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4) continuous minutes of comment on the
consent calendar as a whole.
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D. CONSENT CALENDAR - All matters listed on the consent calendar are
considered to be routine and may be acted upon by one motion after public
comment has been received. Only Board of Directors may pull an item for
discussion. Reading of resolutions is waived and they will be adopted and
numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4)
continuous minutes of comment on the consent calendar as a whole.
To: Board of Directors
Via: Scott Carroll, General Manager
From: Gina Terraneo, Management Analyst II
Date: August 24, 2020
Subject: Approve the Board of Directors Regular Meeting Minutes of July 27, 2020
Summary
The recorded minutes of the July 27, 2020 Board of Directors Regular Meeting are hereby submitted to the Board of Directors for
review and approval.
Staff Recommendation
That the Board of Directors approve the meeting minutes as presented.
Analysis
Attached to the staff report are the minutes for the Board of Directors Regular Meeting on July 27, 2020.
Legal Review
Not applicable.
Environmental Review
Consideration of public meeting minutes is an administrative matter and is exempt from the requirements of the California
Environmental Quality Act (CEQA) (Public Resources Code Section 21000 et. seq.). Section 15300.4 of CEQA allows an agency
while establishing its own procedures “to list those specific activities which fall within each of the exempt classes”, and the District has
adopted “CEQA Guidelines and Implementing Procedures” that state on page 6 ”Projects” does not include …. C. Continuing
administrative or maintenance activities.”
Financial Review
Not applicable.
Public Notice Process
Copies of this report are on file and will be included in the complete agenda packet for the August 24, 2020 Board of Directors
Regular Meeting at District Headquarters and posted on the District’s website.
Alternative Actions
1. Do not approve the meeting minutes as presented.
2. Direct staff to report back with more information.
File Attachments
Subject 3. Approve the Board of Directors Regular Meeting Minutes of July 27, 2020
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Action (Consent), Minutes
Recommended Action That the Board of Directors approve the meeting minutes as presented.
Minutes View Minutes for Jul 27, 2020 - Board of Directors Regular Meeting
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minutes_2020_07_27_rm.pdf (243 KB)
All matters listed on the consent calendar are considered to be routine and may be acted upon by one motion after
public comment has been received. Only Board of Directors may pull an item for discussion. Reading of resolutions
is waived and they will be adopted and numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4) continuous minutes of comment on the
consent calendar as a whole.
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D. CONSENT CALENDAR - All matters listed on the consent calendar are
considered to be routine and may be acted upon by one motion after public
comment has been received. Only Board of Directors may pull an item for
discussion. Reading of resolutions is waived and they will be adopted and
numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4)
continuous minutes of comment on the consent calendar as a whole.
To: Board of Directors
Via: Scott Carroll, General Manager
From: Noelani Middenway, District Clerk & Public Information Officer
Date: August 24, 2020
Subject: Directors' Compensation and Reimbursement of Expenses
Summary
The Directors' Compensation and Reimbursement of Expenses are hereby submitted to the Board of Directors for review and
approval.
Analysis
Attached to the staff report are the Directors' Compensation and Reimbursement of Expenses.
Staff Recommendation
That the Board of Directors approve the compensation and reimbursement of expenses as presented.
Legal Review
Not applicable.
Environmental Review
Consideration of the compensation and reimbursement of expenses is an administrative matter and is exempt from the requirements
of the California Environmental Quality Act (CEQA) (Public Resources Code Section 21000 et. seq.). Section 15300.4 of CEQA
allows an agency while establishing its own procedures “to list those specific activities which fall within each of the exempt classes”,
and the District has adopted “CEQA Guidelines and Implementing Procedures” that state on page 6. "Projects” does not include ….
C. Continuing administrative or maintenance activities.”
Financial Review
Not applicable.
Public Notice Process
Copies of this report are on file and will be included in the complete agenda packet for the August 24, 2020 Board of Directors
Regular Meeting at District Headquarters and posted on the District’s website.
Alternative Actions
1. Do not approve the compensation and reimbursement of expenses as presented.
2. Direct staff to report back with more information.
File Attachments
board comp.pdf (309 KB)
Subject 4. Approve the Directors' Compensation and Reimbursement of Expenses
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Action (Consent)
Recommended Action That the Board of Directors approve the compensation and reimbursement of expenses as
presented.
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All matters listed on the consent calendar are considered to be routine and may be acted upon by one motion after
public comment has been received. Only Board of Directors may pull an item for discussion. Reading of resolutions
is waived and they will be adopted and numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4) continuous minutes of comment on the
consent calendar as a whole.
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D. CONSENT CALENDAR - All matters listed on the consent calendar are
considered to be routine and may be acted upon by one motion after public
comment has been received. Only Board of Directors may pull an item for
discussion. Reading of resolutions is waived and they will be adopted and
numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4)
continuous minutes of comment on the consent calendar as a whole.
To: Board of Directors
Via: Scott Carroll, General Manager
From: Lieu Tran, Accountant
Date: August 24, 2020
Subject: Adopt Warrant Resolution No. CMSD 2021-02 Approving District Warrant Registers
Summary
Attached is the Warrant Resolution, which ratifies the payment of certain claims and demands and specifies the funds from which
they were paid.
Recommendation
That the Board of Directors approve and file the report.
Analysis
Attached is the Warrant Resolution, which ratifies the payment of certain claims and demands and specifies the funds from which
they were paid.
Legal Review
Not Applicable.
Environmental Review
Subject activity is exempt from the requirements of the California Environmental Quality Act (CEQA) (Public Resources Code Section
21000 et. seq.). Section 15300.4 of CEQA allows an agency while establishing its own procedures “to list those specific activities
which fall within each of the exempt classes”, and the District has adopted “CEQA Guidelines and Implementing Procedures” that
state on page 6 “”Projects” does not include .... C. Continuing administrative or maintenance activities."
Financial Review
Sufficient funds are available in the adopted budget.
Public Notice Process
Copies of this report are on file and will be included with the complete agenda packet for the August 24, 2020 Board of Directors
Regular meeting at District Headquarters and posted on the District’s website www.cmsdca.gov.
Alternative Actions
Refer item back to staff with further instructions.
Subject 5. Adopt Warrant Resolution No. CMSD 2021-02 Approving District Warrant
Registers
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Action, Action (Consent)
Budgeted Yes
Recommended Action That the Board of Directors adopt Warrant Resolution No. CMSD 2021-02 approving
District warrants for the month of July in the amount of $1,409,430.02.
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File Attachments
WARRANT RESO 2021-02.pdf (901 KB)
All matters listed on the consent calendar are considered to be routine and may be acted upon by one motion after
public comment has been received. Only Board of Directors may pull an item for discussion. Reading of resolutions
is waived and they will be adopted and numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4) continuous minutes of comment on the
consent calendar as a whole.
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D. CONSENT CALENDAR - All matters listed on the consent calendar are
considered to be routine and may be acted upon by one motion after public
comment has been received. Only Board of Directors may pull an item for
discussion. Reading of resolutions is waived and they will be adopted and
numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4)
continuous minutes of comment on the consent calendar as a whole.
To: Board of Directors
Via: Scott Carroll, General Manager
From: Lieu Tran, Accountant
Subject: Approve Payroll Transparency Disclosure for July 2020
Summary
Attached is the Payroll General Ledger Distribution Report summarizing each payroll during the month.
Recommendation
That the Board of Directors approve and file the report.
Analysis
Attached is the Payroll General Ledger Distribution Report summarizing each payroll during the month.
Legal Review
Not Applicable.
Environmental Review
Subject activity is exempt from the requirements of the California Environmental Quality Act (CEQA) (Public Resources Code Section
21000 et. seq.). Section 15300.4 of CEQA allows an agency while establishing its own procedures “to list those specific activities
which fall within each of the exempt classes”, and the District has adopted “CEQA Guidelines and Implementing Procedures” that
state on page 6 “”Projects” does not include .... C. Continuing administrative or maintenance activities."
Financial Review
Sufficient funds are available in the adopted budget.
Public Notice Process
Copies of this report are on file and will be included with the complete agenda packet for the August 24, 2020 Board of Directors
Regular meeting at District Headquarters and posted on the District’s website www.cmsdca.gov.
Alternative Actions
Refer item back to staff with further instructions.
Subject 6. Approve Payroll Transparency Disclosure for July 2020
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Action (Consent)
Budgeted Yes
Recommended Action That the Board of Directors approve and file the report.
Goals 4.7 Demonstrate outstanding efforts in transparency
7.0 Finance
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File Attachments
Payroll Transparency Disclosure July 2020.pdf (860 KB)
All matters listed on the consent calendar are considered to be routine and may be acted upon by one motion after
public comment has been received. Only Board of Directors may pull an item for discussion. Reading of resolutions
is waived and they will be adopted and numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4) continuous minutes of comment on the
consent calendar as a whole.
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D. CONSENT CALENDAR - All matters listed on the consent calendar are
considered to be routine and may be acted upon by one motion after public
comment has been received. Only Board of Directors may pull an item for
discussion. Reading of resolutions is waived and they will be adopted and
numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4)
continuous minutes of comment on the consent calendar as a whole.
To: Board of Directors
Via: Scott Carroll, General Manager
From: Nabila Guzman, Management Analyst I
Date: August 24, 2020
Subject: Accept the occupancy count as presented as 22,982 and direct staff to prepare a warrant to CR&R Environmental
Services for $238,173.96 for July 2020 collection
Summary
Accept the occupancy count as presented using 22,982 as the correct number of active units and direct staff to prepare a warrant to
CR&R Environmental Services for July 2020 collection based on this occupancy report so long as the contractor fulfills the obligations
of the agreement in the amount of $238,173.96 to be ratified in the August 2020 warrant list.
Recommendation
That the Board of Directors accept the occupancy count as presented using 22,982 as the correct number of active units and direct
staff to prepare a warrant to CR&R Environmental Services for July 2020 collection based on this occupancy report so long as the
contractor fulfills the obligations of the agreement in the amount of $238,173.96 to be ratified in the August 2020 warrant list.
Analysis
The occupancy count is the number of residential customers that the District pays CR&R for the trash truck to stop and pick-up trash.
The District pays CR&R $10.3635 per occupant, per month. Each month, new residential customers in brand-new
developments contact the District to establish new trash service. District staff contacts CR&R to approve the drop-off of carts at the
residence, which results in an increase in the occupancy count as shown on the attached list.
As of July 31, 2020, total District occupancy was at 22,982 with ten (10) new accounts added since the last billing period. District
staff will continue to track the number of new service addresses.
The payment calculation is based on the following:
District's Current Rate for July 2020:
22,982 x $10.3635 =$238,173.96
Legal Review
Not Applicable
Environmental Review
Subject 7. Accept the occupancy count as presented as 22,982 and direct staff to prepare
a warrant to CR&R Environmental Services for $238,173.96 for July 2020
collection
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Action (Consent)
Recommended Action That the Board of Directors accept the occupancy count as presented using 22,982 as the
correct number of active units and direct staff to prepare a warrant to CR&R
Environmental Services for July 2020 collection based on this occupancy report so long as
the contractor fulfills the obligations of the agreement in the amount of $238,173.96 to be
ratified in the August 2020 warrant list.
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Subject activity is exempt from the requirements of the California Environmental Quality Act (CEQA) (Public Resources Code Section
21000 et. seq.). Section 15300.4 of CEQA allows an agency while establishing its own procedures “to list those specific activities
which fall within each of the exempt classes”, and the District has adopted “CEQA Guidelines and Implementing Procedures” that
state on page 6 “”Projects” does not include …. C. Continuing administrative or maintenance activities.”
Financial Review
Sufficient funds are available in the adopted budget to pay for the services provided.
Public Notice Process
Copies of this report are on file and will be included in the complete agenda packet for the August 24, 2020 Board of Directors
Regular meeting at District Headquarters and posted on the District’s website.
Alternative Actions
Refer item back to staff with further instructions.
File Attachments
2020-07-G-CMSD Occupancy Report Official.pdf (344 KB)
All matters listed on the consent calendar are considered to be routine and may be acted upon by one motion after
public comment has been received. Only Board of Directors may pull an item for discussion. Reading of resolutions
is waived and they will be adopted and numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4) continuous minutes of comment on the
consent calendar as a whole.
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D. CONSENT CALENDAR - All matters listed on the consent calendar are
considered to be routine and may be acted upon by one motion after public
comment has been received. Only Board of Directors may pull an item for
discussion. Reading of resolutions is waived and they will be adopted and
numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4)
continuous minutes of comment on the consent calendar as a whole.
To: Board of Directors
Via: Scott Carroll, General Manager
From: Nabila Guzman, Management Analyst I
Date: August 24, 2020
Subject: Approve the preparation of a warrant to CR Transfer in the amount of $256,062.96 for July 2020 recycling and
disposal services in the August 2020 warrant register
Summary
This payment to CR Transfer is for the sorting of recyclables from the mixed waste and disposal of the remaining waste at the landfill.
With the implementation of the Organics Recycling Program adopted by the Board, this payment also includes the diverting of the
organics waste to the Anaerobic Digestion facility to be recycled into fertilizer or renewable natural gas to fuel the refuse trucks.
Recommendation
That the Board of Directors approves the preparation of a warrant to CR Transfer in the amount of $256,062.96 for July 2020
recycling and disposal services to be ratified in the August 2020 warrant register.
Analysis
Below is a chart depicting the total tonnage and payments due for residential and organic waste collected in Costa Mesa and
Newport Beach.
Due to weight ticket calculation rounding, monthly invoices may be slightly off by a few pennies. Invoices that are slightly off are
marked by an asterisk below.
Type of Waste InvoiceTonnageRate Amount Billed
Residential Waste - Costa Mesa 39080 1,569.34 $54.98$86,282.35*
Residential Waste - Costa Mesa 39034 1,597.12 $54.98$87,809.63*
Residential Waste - Newport Beach39081 53.92 $54.98$2,964.53*
Residential Waste - Newport Beach39035 66.80 $54.98$3,672.67*
Total Residential Waste 3,287.18 $180,729.18
Organics 39112 536.84 $75.65$40,611.98*
Organics 39071 458.98 $75.65$34,721.80*
Total Organics 995.82 $75,333.78
Grand Total 4,283 $256,062.96
Legal Review
Not Applicable
Subject 8. Approve the preparation of a warrant to CR Transfer in the amount of
$256,062.96 for July 2020 recycling and disposal services in the August 2020
warrant register
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Action (Consent)
Recommended Action That the Board of Directors approves the preparation of a warrant to CR Transfer in the
amount of $256,062.96 for July 2020 recycling and disposal services to be ratified in the
August 2020 warrant register.
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Environmental Review
Subject activity is exempt from the requirements of the California Environmental Quality Act (CEQA) (Public Resources Code Section
21000 et. seq.). Section 15300.4 of CEQA allows an agency while establishing its own procedures “to list those specific activities
which fall within each of the exempt classes”, and the District has adopted “CEQA Guidelines and Implementing Procedures” that
state on page 6 ”Projects” does not include …. C. Continuing administrative or maintenance activities.”
Financial Review
Sufficient funds are available in the adopted budget to pay for the services provided.
Public Notice Process
Copies of this report are on file and will be included with the complete agenda packet for the August 24, 2020 Board of Directors
regular meeting at District Headquarters and posted on the District’s website at www.cmsdca.gov.
Alternative Actions
Refer item back to staff with further instructions.
All matters listed on the consent calendar are considered to be routine and may be acted upon by one motion after
public comment has been received. Only Board of Directors may pull an item for discussion. Reading of resolutions
is waived and they will be adopted and numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4) continuous minutes of comment on the
consent calendar as a whole.
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D. CONSENT CALENDAR - All matters listed on the consent calendar are
considered to be routine and may be acted upon by one motion after public
comment has been received. Only Board of Directors may pull an item for
discussion. Reading of resolutions is waived and they will be adopted and
numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4)
continuous minutes of comment on the consent calendar as a whole.
To: Board of Directors
From: Scott Carroll, General Manager
Date: August 24, 2020
Subject: Contracts Signed by General Manager
Summary
At the January 24, 2019 Board of Directors meeting, the Board directed the General Manager to submit a list of contracts he signed
during the previous month. Below are the contracts he signed in the months of July 2020.
Recommendation
That the Board of Directors receive and file this report.
Analysis
Below are the contracts signed by the General Manager in the months of July 2020.
July
Contracts
No contracts were signed in July.
Purchase Orders
1. Lan Wan – Acquired Nine Microsoft Surface Pros tor staff to telecommunicate during COVID-19. Purchase includes 2-
year extended warranty. Cost: $18,957.87
Legal Review
All contracts are reviewed and approved by District Counsel before contracts are executed.
Environmental Review
Providing the Board of Directors a monthly list of contracts signed by the General Manager is an administrative matter that will not
result in direct or indirect physical changes in the environment and is not considered a "project".
Financial Review
There is adequate funding in the budget for the expenses referenced above.
Public Notice Process
Subject 9. Receive and File Contracts Signed by the General Manager
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Action (Consent)
Fiscal Impact Yes
Budgeted Yes
Recommended Action That the Board of Directors receive and file this report
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Copies of this report are on file and will be included with the entire agenda packet for the August 24, 2020 Board of Directors
meeting at District Headquarters and on District website at www.cmsdca.gov
Alternative Actions
1. Direct staff to report back with more information.
All matters listed on the consent calendar are considered to be routine and may be acted upon by one motion after
public comment has been received. Only Board of Directors may pull an item for discussion. Reading of resolutions
is waived and they will be adopted and numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4) continuous minutes of comment on the
consent calendar as a whole.
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D. CONSENT CALENDAR - All matters listed on the consent calendar are
considered to be routine and may be acted upon by one motion after public
comment has been received. Only Board of Directors may pull an item for
discussion. Reading of resolutions is waived and they will be adopted and
numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4)
continuous minutes of comment on the consent calendar as a whole.
To: Board of Directors
From: Marc Davis, District Treasurer
Date: August 24, 2020
Subject: Approve the Investment Report for the Month of June 2020
Summary
Attached is the Investment Report for the month of June 2020. As required by the District’s Statement of Investment Policy, the
Investment Report delineates all investment activity during the month.
Recommendation
That the Board of Directors approve the Investment Report for the month of June 2020.
Analysis
This report lists the types of securities held in the District’s portfolio, the institutions from which the securities were purchased,
maturity dates and interest rates as of June 30, 2020. The District’s investments are in compliance with the Statement of Investment
Policy adopted by the Board at the June 27, 2019 regular meeting, as well as the California Government Code. The market values in
this report were provided by our third party custodian, Pershing, LLC, except for the Local Agency Investment Fund (LAIF). The
market value of LAIF was provided by the State Treasurer’s Office. It does not represent the value of the underlying securities within
the pool, but rather the par or cost amount, which is the amount the District is entitled to withdraw. This reporting practice is
consistent with industry standard practices for similar funds.
The weighted average stated rate of return (current yield) for the District’s investment portfolio as of June 30, 2020, was 1.203%. The
yield to maturity of the portfolio was 1.205%. The District’s weighted average interest rate was 1 basis point (0.014%) below the LAIF
average monthly rate for June 2020 of 1.217%. The weighted average number of days to maturity for the District’s total portfolio was
871 days (2.39 years). The duration of the underlying securities in LAIF as of June 30, 2020 was 191 days.
The District’s investment portfolio is in compliance with its liquidity limitations, which requires that a minimum of 20.00% of the
portfolio must mature within one year. The percentage of the portfolio maturing in one year or less as of June 30, 2020 was 42.36%.
The District has adequate cash reserves necessary to meet its obligations for the next six months.
A majority of the District’s cash and investments is reserved or set aside for specific purposes. A description of the various
classifications of the District’s cash and investments are as follows:
Solid Waste Fund:
Operating Reserve - Equal to 30% of the operations budget of the Solid Waste Fund per Operations Code Section
4.030.020. The Operating Reserve can only be accessed with prior Board approval.
Designated for Revenue Dry Period - Equal to 5 months of budgeted operating expenses for the fiscal year to cover
the cash deficit during the period in which the District does not receive any of its annual charges from the County of
Subject 10. Approve the Investment Report for the Month of June 2020
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Action
Recommended Action That the Board of Directors Approve the Investment Report for the month of June 2020.
Goals 7.0 Finance
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Orange. The revenue dry period is from June through October.
Undesignated - Remaining available cash, which is currently used for rate stabilization and payment of organics
recycling costs.
Wastewater Fund:
Operating Reserve - Equal to 25% of the operations budget of the Wastewater Fund per Operations Code Section
4.030.020. The Operating Reserve can only be accessed with prior Board approval.
Reserved for Capital Outlay - Set aside for capital improvement projects approved and budgeted by the Board, but
which have not yet been completed.
Designated for Revenue Dry Period - Equal to 5 months of budgeted operating expenses for the fiscal year to cover
the cash deficit during the period in which the District does not receive any of its annual charges from the County of
Orange. The revenue dry period is from June through October.
Undesignated - Remaining available cash, which is available to be appropriated by the Board.
Facilities Revolving Fund - Collection of fixture fees which is a restricted revenue source and can only be used for new sewer
facilities.
Asset Replacement Fund - Accumulation of funds for replacement of vehicles, equipment and computers.
Asset Management Fund - Accumulation of funds in accordance with the asset management model for long-term replacement
of sewer pipes and related infrastructure.
Legal Review
Legal review is not required.
Environmental Review
Subject activity is exempt from the requirements of the California Environmental Quality Act (CEQA) (Public Resources Code Section
21000 et. seq.). Section 15300.4 of CEQA allows an agency while establishing its own procedures “to list those specific activities
which fall within each of the exempt classes”, and the District has adopted “CEQA Guidelines and Implementing Procedures” that
state on page 6, “”Projects” does not include….C. Continuing administrative or maintenance activities.”
Financial Review
The portfolio was budgeted to earn an average rate of 1.418% for the year ending June 30, 2020. Through June 30, 2020, the
portfolio has earned a weighted average interest rate of 1.671%.
Public Notice Process
Copies of this report are on file and will be included with the entire agenda packet for the August 24, 2020 Board of Directors regular
meeting at District Headquarters (290 Paularino Avenue) and on the District’s website at www.cmsdca.gov.
Alternative Actions
Refer the matter back to staff.
File Attachments
Investment Report - June 2020.pdf (545 KB)
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D. CONSENT CALENDAR - All matters listed on the consent calendar are
considered to be routine and may be acted upon by one motion after public
comment has been received. Only Board of Directors may pull an item for
discussion. Reading of resolutions is waived and they will be adopted and
numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4)
continuous minutes of comment on the consent calendar as a whole.
To: Board of Directors
From: Marc Davis, District Treasurer
Date: August 24, 2020
Subject: Approve the Investment Report for the Month of July 2020
Summary
Attached is the Investment Report for the month of July 2020. As required by the District’s Statement of Investment Policy, the
Investment Report delineates all investment activity during the month.
Recommendation
That the Board of Directors approve the Investment Report for the month of July 2020.
Analysis
This report lists the types of securities held in the District’s portfolio, the institutions from which the securities were purchased,
maturity dates and interest rates as of July 31, 2020. The District’s investments are in compliance with the Statement of Investment
Policy adopted by the Board at the June 22, 2020 regular meeting, as well as the California Government Code. The market values in
this report were provided by our third party custodian, Pershing, LLC, except for the Local Agency Investment Fund (LAIF). The
market value of LAIF was provided by the State Treasurer’s Office. It does not represent the value of the underlying securities within
the pool, but rather the par or cost amount, which is the amount the District is entitled to withdraw. This reporting practice is
consistent with industry standard practices for similar funds.
The weighted average stated rate of return (current yield) for the District’s investment portfolio as of July 31, 2020, was 1.010%. The
yield to maturity of the portfolio was 1.013%. The District’s weighted average interest rate was 9 basis points (0.090%) above the
LAIF average monthly rate for July 2020 of 0.920%. The weighted average number of days to maturity for the District’s total portfolio
was 970 days (2.66 years). The duration of the underlying securities in LAIF as of July 31, 2020 was 177 days.
The District’s investment portfolio is in compliance with its liquidity limitations, which requires that a minimum of 20.00% of the
portfolio must mature within one year. The percentage of the portfolio maturing in one year or less as of July 31, 2020 was 34.31%.
The District has adequate cash reserves necessary to meet its obligations for the next six months.
A majority of the District’s cash and investments is reserved or set aside for specific purposes. A description of the various
classifications of the District’s cash and investments are as follows:
Solid Waste Fund:
Operating Reserve - Equal to 30% of the operations budget of the Solid Waste Fund per Operations Code Section
4.030.020. The Operating Reserve can only be accessed with prior Board approval.
Designated for Revenue Dry Period - Equal to 5 months of budgeted operating expenses for the fiscal year to cover
the cash deficit during the period in which the District does not receive any of its annual charges from the County of
Orange. The revenue dry period is from June through October.
Subject 11. Approve the Investment Report for the Month of July 2020
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Action (Consent)
Recommended Action That the Board of Directors approve the Investment Report for the month of July 2020.
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Undesignated - Remaining available cash, which is currently used for rate stabilization and payment of organics
recycling costs.
Wastewater Fund:
Operating Reserve - Equal to 25% of the operations budget of the Wastewater Fund per Operations Code Section
4.030.020. The Operating Reserve can only be accessed with prior Board approval.
Reserved for Capital Outlay - Set aside for capital improvement projects approved and budgeted by the Board, but
which have not yet been completed.
Designated for Revenue Dry Period - Equal to 5 months of budgeted operating expenses for the fiscal year to cover
the cash deficit during the period in which the District does not receive any of its annual charges from the County of
Orange. The revenue dry period is from June through October.
Undesignated - Remaining available cash, which is available to be appropriated by the Board.
Facilities Revolving Fund - Collection of fixture fees which is a restricted revenue source and can only be used for new sewer
facilities.
Asset Replacement Fund - Accumulation of funds for replacement of vehicles, equipment and computers.
Asset Management Fund - Accumulation of funds in accordance with the asset management model for long-term replacement
of sewer pipes and related infrastructure.
Legal Review
Legal review is not required.
Environmental Review
Subject activity is exempt from the requirements of the California Environmental Quality Act (CEQA) (Public Resources Code Section
21000 et. seq.). Section 15300.4 of CEQA allows an agency while establishing its own procedures “to list those specific activities
which fall within each of the exempt classes”, and the District has adopted “CEQA Guidelines and Implementing Procedures” that
state on page 6, “”Projects” does not include….C. Continuing administrative or maintenance activities.”
Financial Review
The portfolio was budgeted to earn an average rate of 1.392% for the year ending June 30, 2021. Through July 301 2020, the
portfolio has earned a weighted average interest rate of 1.010%.
Public Notice Process
Copies of this report are on file and will be included with the entire agenda packet for the August 24, 2020 Board of Directors regular
meeting at District Headquarters (290 Paularino Avenue) and on the District’s website at www.cmsdca.gov.
Alternative Actions
Refer the matter back to staff.
File Attachments
Investment Report July 2020.pdf (453 KB)
All matters listed on the consent calendar are considered to be routine and may be acted upon by one motion after
public comment has been received. Only Board of Directors may pull an item for discussion. Reading of resolutions
is waived and they will be adopted and numbered. Now is the time for those in the audience who wish to speak to
items listed on the consent calendar. Each speaker will be limited to four (4) continuous minutes of comment on the
consent calendar as a whole.
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F. GENERAL MANAGER'S REPORTS
To: Board of Directors
From: Scott Carroll, General Manager
Date: August 24, 2020
Subject: Adopt Resolution No. 2020-932 Endorsing the Candidacy of Arlene Schafer to the position of 1st Vice President
of the Independent Special Districts of Orange County (ISDOC) Executive Committee
Summary
On August 3, 2020, ISDOC sent out an official notice and call for candidates for positions on ISDOC's Executive Committee.
Attached is the notice that describes the duties for each position.
Recommendation
That the Board of Directors adopt Resolution No. 2020-932 endorsing the candidacy of Arlene Schafer to the position of 1st Vice
President of the Independent Special Districts of Orange County (ISDOC) Executive Committee.
Analysis
The Independent Special Districts of Orange County (ISDOC) is a membership association that represents the interests and provides
advocacy on behalf of Orange County’s 25 independent special districts. ISDOC was formed more than 30 years ago to serve the
needs of Orange County’s water, wastewater, sanitary, cemetery, vector control, library, recreation and parks, and other districts that
provide specialized services within their communities. A seven-member executive committee guides the association and
membership meetings are held on a quarterly basis to provide a forum for its special district members to meet and discuss issues
and share information of mutual interest.
Nominations close on Friday, September 11, 2020. CMSD Board Secretary Arlene Schafer has expressed interest to serve as
1st Vice President. A resolution endorsing Secretary Schafer for the 1st Vice President position is attached and must be approved by
the Board. If the resolution is approved by the Board staff will submit the endorsement to ISDOC the following day.
Legal Review
District Counsel has reviewed and approved the attached resolution.
Environmental Review
Adopting a resolution to nominate a Board member to the ISDOC Executive Committee is an administrative matter that will not result
in direct or indirect physical changes in the environment and is not considered a "project".
Financial Review
There are no financial impacts to the District for Board Secretary Schafer serving on ISDOC Executive Committee
Public Notice Process
Copies of this report are on file and will be included with the entire agenda packet for the August 24, 2020 regular Board of
Directors meeting at District Headquarters and on District website at www.cmsdca.gov
Alternative Actions
1. Do not approve the resolution.
Subject 1. Adopt Resolution No. 2020-932 Endorsing the Candidacy of Arlene Schafer to
the position of 1st Vice President of the Independent Special Districts of Orange
County (ISDOC) Executive Committee
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Action
Fiscal Impact No
Recommended Action That the Board of Directors adopt Resolution No. 2020-932 endorsing the candidacy of
Arlene Schafer to the position of 1st Vice President of the Independent Special Districts of
Orange County (ISDOC) Executive Committee
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2. Direct staff to report back with more information.
File Attachments
Call for 2020 Nominations.pdf (205 KB)
2020 ISDOC Election Timeline.pdf (228 KB)
Reso 2020-932 - ISDOC A. SCHAFER_1stVP.pdf (17 KB)
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F. GENERAL MANAGER'S REPORTS
To: Board of Directors
From: Scott Carroll, General Manager
Date: August 24, 2020
Subject: Consider adopting Revisions to the Operations Code, Employee Handbook and Administrative Policies and
consider adopting Board of Directors Procedures Handbook
Summary
On May 23, 2019, the Board of Directors approved creating a Policy Ad Hoc Committee to review District policies and ordinances and
to make revisions, if necessary, to ensure the documents are up to date with existing laws and District procedures. The Board
appointed Directors Mike Scheafer and Art Perry to serve on the Committee. In the same month, the Citizens Advisory Committee
appointed Steven Takahashi and Monte Fields to serve on the ad hoc committee. On January 8, 2020, the CAC appointed Sue
Lester to serve on the ad hoc committee in replacement of Mr. Takahashi because he was not attending meetings.
On August 11, 2020, the Board of Directors reviewed and discussed the proposed revisions and directed staff to bring back this item
for tonight's meeting.
Recommendation
That the Board of Directors take the following action:
1. Adopt Ordinance No. 131 - Revised Operations Code in its entirety.
2. Approve Resolution No. 2020-933 - Revised Employee Handbook in its entirety.
3. Approve Resolution No. 2020-934 - revised Administrative Policies in its entirety.
4. Adopt Resolution No. 2020-935 - Board of Directors Procedures Handbook in its entirety.
Analysis
The Ad Hoc Committee met on five different occasions. All the meetings were open to the public in compliance with the Brown Act.
The attached documents include the recommended revisions made by the Ad Hoc Committee and staff. Below is a brief
description of significant changes made to each document.
Operations Code
The Operation Code consists of adopted ordinances made by the Board of Directors that pertain to the ongoing operation of the
District. It serves as a reference of the District's laws for staff and the public. Because the regulations in the Operations Code are
law, any violation of the ordinances are enforced in a court of law where it is a misdemeanor if any person, firm, or corporation is
found guilty and the punishment can be by a fine of up to one-thousand dollars per day and/or up to six months in jail.
Attached is the strike through version illustrating the proposed revisions along with the final document to be adopted. Both the strike
through and final version have Chapter 3.03, Establishing Regulations for District Facilities, incorporated into the documents as it was
Subject 2. Consider Adopting Ordinance No. 131 Adopting Revisions to the Operations
Code, Resolution No. 2020-933 Approving the Employee Handbook, Resolution
No. 2020-934 Approving Administrative Policies, and Resolution No. 2020-935
Adopting Board of Directors Procedures Handbook
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Action
Fiscal Impact No
Recommended Action That the Board of Directors take the following action:
1. Adopt Ordinance No. 131 - Revised Operations Code in its entirety.
2. Approve Resolution No. 2020-933 - Revised Employee Handbook in its entirety.
3. Approve Resolution No. 2020-934 - Revised Administrative Policies in its entirety.
4. Adopt Resolution No. 2020-935 - Board of Directors Procedures Handbook in its
entirety.
Goals 6.3 Plan periodic reviews and updates of District policies and procedures
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inadvertently left out, as noted after the study session meeting.
Employee Handbook
The Employee Handbook is a compilation of rules, policies and procedures which govern and affect personnel administration for all
employees of the District. Some rules, policies and procedures are required by federal and state law, while others were adopted by
the Board to ensure a personnel administration system that is based on merit principles for recruiting, selecting, and advancing
employees, providing equitable and adequate compensation, training employees to assure high quality performance, retaining
employees based on the adequacy of their performance, correcting inadequate performance and separating employees whose
inadequate performance cannot be corrected and assuring impartial treatment of applicants and employees in all aspects of
personnel administration.
Attached is the strike through version illustrating the proposed revisions along with the final document to be adopted. Both the strike
through and final version have revised Policy No. 1.2, Harassment, Discrimination & Retaliation and Policy No. 3.4, Drug/Alcohol
Abuse & Contraband that are recommended by the District's legal counsel.
Administrative Policies
Administrative policies are a set of formal procedures enacted by the District that govern management decision-making. They help
establish the legitimacy of management action by ensuring that management decisions are objective, fair and consistent. They also
help ensure accountability
Attached is the strike through version illustrating the proposed revisions along with the final document to be adopted.
Board of Directors Procedures Handbook
This document was created after staff attended a 2019 California Special Districts Association (CSDA) conference when it was
strongly suggested that Districts have in place written procedures of how the Board of Directors conduct their public meetings.
Attached is the strike through version illustrating the proposed revisions along with the final document to be adopted. Staff confirmed
Section 3.2, Adding Materials to the Agenda, is consistent with Section 3.01.110 of the Operations Code. In addition, a new section
was added to the Handbook as it pertains to meeting room security (Section 4.8) and recusal is better described in Section 4.3.
Legal Review
District Counsel has reviewed and commented on the Operations Code, Administrative Policies and the Board of Directors
Procedures Handbook. The employment law firm, Liebert Cassidy Whitmore, reviewed and commented on selected policies in the
Employee Handbook.
In addition, District Counsel has reviewed and approved the attached ordinance and resolutions.
Environmental Review
Revising subject documents is an administrative matter and is categorically exempt under the California Environmental Quality Act
(CEQA) (Public Resources Code Section 21000 et. seq.). Section 15300.4 of CEQA allows an agency while establishing its own
procedures “to list those specific activities which fall within each of the exempt classes”, and the District has adopted “CEQA
Guidelines and Implementing Procedures” that state on page 6 “”Projects” does not include …. C. Continuing administrative or
maintenance activities.”
Financial Review
There are no financial impacts to the District for revising and adopting the attached documents
Public Notice Process
Copies of this report are on file and will be included with the entire agenda packet for the August 24, 2020 Board of Directors
regular meeting at District Headquarters and on District website at www.cmsdca.gov
Alternative Actions
1. Direct staff to report back with more information.
File Attachments
OPERATIONS CODE_MARKUPS - 2020.pdf (2,494 KB)
Ordinance Revising Operations Code.docx (14 KB)
OPERATIONS CODE Exhibit A.docx (874 KB)
Employee_Handbook_2020.05 DRAFT MARKUPS.pdf (2,023 KB)
Resolution Adopting Employee Handbook.docx (14 KB)
Employee_Handbook_2020.05 FINAL.pdf (1,626 KB)
Administrative Policies Manual 2020 MARKUPS.pdf (1,272 KB)
Resolution Adopting Admin Policies.docx (14 KB)
Administrative Policies Manual 2020 FINAL.docx (807 KB)
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Board of Directors Handbook MARKUP.pdf (934 KB)
Resolution Adopting Board Handbook.docx (14 KB)
Board of Directors Handbook FINAL.docx (119 KB)
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G. ENGINEER'S REPORTS
To: Board of Directors
Via: Scott Carroll, General Manager
From: Michael Benesh, District Engineer
Date: August 24, 2020
Subject: Capital Improvement Projects Status Report
Summary
Attached is a summary of the Capital Improvement Project activities during the month.
Recommendation
That the Board of Directors receive and file the report.
Analysis
Attached are fourteen capital improvement projects that are in progress or will soon begin.
Legal Review
Not Applicable.
Environmental Review
Subject activity is exempt from the requirements of the California Environmental Quality Act (CEQA) (Public Resources Code Section
21000 et. seq.). Section 15300.4 of CEQA allows an agency while establishing its own procedures “to list those specific activities
which fall within each of the exempt classes”, and the District has adopted “CEQA Guidelines and Implementing Procedures” that
state on page 6 “”Projects” does not include …. C. Continuing administrative or maintenance activities.”
Financial Review
Sufficient funds are available in the adopted budget.
Public Notice Process
Copies of this report are on file and will be included with the complete agenda packet for the August 24, 2020 Board of Directors
Regular meeting at District Headquarters and posted on the District’s website www.cmsdca.gov.
Alternative Actions
1. Refer item back to staff with further instructions.
File Attachments
CIP Updates Aug 2020 Mtg.pdf (689 KB)
Subject 1. Receive and File the Monthly Capital Improvements Project Status Report
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Action, Receive and File
Recommended Action That the Board of Directors receive and file the report.
Goals 4.7 Demonstrate outstanding efforts in transparency
7.2 Develop a long term CIP
1.10 Abandon five pump stations on the west side in conjunction with Orange County
Sanitation District companion project
1.4 System Wide Sewer Replacement and Repair Program
1.1 Manhole Cover Maintenance Program
1.0 Sewer Infrastructure
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I. ATTORNEY'S REPORTS
To: Board of Directors
From: Alan R. Burns, District Counsel
Date: August 24, 2020
Subject: Approve Easement Agreement with PT Fairway Villas, LLC for relocation of a sewer easement near the
intersection of Santa Ana Avenue and Orchard Drive in the City of Newport Beach
Summary
The proposed Easement Agreement will make our sewer easement accurate for a relocated line on the P.T. Fairway property near
the intersection of Santa Ana Avenue and Orchard Drive in the City of Newport Beach.
Recommendation
That the Board of Directors approve the Easement Agreement.
Analysis
An approved development required that our sewer line be relocated. It was, and a new sewer line was constructed. This Easement
Agreement will provide the District with a new sewer easement over the sewer line, and will supersede the previous easement.
Legal Review
District Counsel, working with the General Manager and District Engineer, prepared the Easement Agreement and worked with the
property owner’s agents.
Environmental Review
Relocating a sewer main easement is categorically exempt from the California Environmental Quality Act (CEQA) (Public Resources
Code Section 21000 et. seq.) under Section 15301 as a “Class 1” “minor alteration of existing public or private structures”, as further
described in Section (b) as “Existing facilities of both investor and publicly-owned utilities used to provide .... sewerage ...”.
Financial Review
There are no financial impacts to the District for relocating the easement. Staff will invoice the developer the total cost to the District
for the time spent by the District Engineer, District Counsel and staff to complete this project.
Public Notice Process
Copies of this report are on file and will be included with the entire agenda packet for the August 24, 2020 Board of Directors
regular meeting at District Headquarters and on District website at www.cmsdca.gov
Alternative Actions
1. Do not approve the Easement Agreement.
2. Direct staff to report back with more information.
File Attachments
CMSD Easement Agreeement - PT Fairway Villas.docx (19 KB)
Subject 1. Approve Easement Agreement with PT Fairway Villas, LLC for relocation of a
sewer easement near the intersection of Santa Ana Avenue and Orchard Drive in
the City of Newport Beach
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Action
Recommended Action That the Board of Directors approve the Easement Agreement
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J. LOCAL MEETINGS: In accordance with AB 1234 (Gov. Code 53232.3), a
report is required to be given by a Director for any meeting for which expense
reimbursement of any kind is provided. Note: For meetings for which the per
diem compensation is sought, the Operations Code provides that such
compensation is authorized for each day’s service rendered as a Director at the
request of the Board (not to exceed six days in one month), and certain
meetings are specified as being eligible as set forth in District Operations Code
§ 3.01.030. For meetings not so listed, the Board must approve the service for
it to be eligible for the per day compensation.
Subject 1. Orange County Sanitation District (OCSD) - (President Ferryman)
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Information
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J. LOCAL MEETINGS: In accordance with AB 1234 (Gov. Code 53232.3), a
report is required to be given by a Director for any meeting for which expense
reimbursement of any kind is provided. Note: For meetings for which the per
diem compensation is sought, the Operations Code provides that such
compensation is authorized for each day’s service rendered as a Director at the
request of the Board (not to exceed six days in one month), and certain
meetings are specified as being eligible as set forth in District Operations Code
§ 3.01.030. For meetings not so listed, the Board must approve the service for
it to be eligible for the per day compensation.
Subject 2. Santa Ana River Flood Protection Agency (SARFPA) - (Director Perry)
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Information
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J. LOCAL MEETINGS: In accordance with AB 1234 (Gov. Code 53232.3), a
report is required to be given by a Director for any meeting for which expense
reimbursement of any kind is provided. Note: For meetings for which the per
diem compensation is sought, the Operations Code provides that such
compensation is authorized for each day’s service rendered as a Director at the
request of the Board (not to exceed six days in one month), and certain
meetings are specified as being eligible as set forth in District Operations Code
§ 3.01.030. For meetings not so listed, the Board must approve the service for
it to be eligible for the per day compensation.
Subject 3. Independent Special Districts of Orange County (ISDOC) - (Secretary Schafer)
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Information
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J. LOCAL MEETINGS: In accordance with AB 1234 (Gov. Code 53232.3), a
report is required to be given by a Director for any meeting for which expense
reimbursement of any kind is provided. Note: For meetings for which the per
diem compensation is sought, the Operations Code provides that such
compensation is authorized for each day’s service rendered as a Director at the
request of the Board (not to exceed six days in one month), and certain
meetings are specified as being eligible as set forth in District Operations Code
§ 3.01.030. For meetings not so listed, the Board must approve the service for
it to be eligible for the per day compensation.
Subject 4. California Special Districts Association (CSDA) - (Secretary Schafer)
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Information
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J. LOCAL MEETINGS: In accordance with AB 1234 (Gov. Code 53232.3), a
report is required to be given by a Director for any meeting for which expense
reimbursement of any kind is provided. Note: For meetings for which the per
diem compensation is sought, the Operations Code provides that such
compensation is authorized for each day’s service rendered as a Director at the
request of the Board (not to exceed six days in one month), and certain
meetings are specified as being eligible as set forth in District Operations Code
§ 3.01.030. For meetings not so listed, the Board must approve the service for
it to be eligible for the per day compensation.
Subject 5. Special District Risk Management Authority (SDRMA) - (Director Scheafer)
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Information
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J. LOCAL MEETINGS: In accordance with AB 1234 (Gov. Code 53232.3), a
report is required to be given by a Director for any meeting for which expense
reimbursement of any kind is provided. Note: For meetings for which the per
diem compensation is sought, the Operations Code provides that such
compensation is authorized for each day’s service rendered as a Director at the
request of the Board (not to exceed six days in one month), and certain
meetings are specified as being eligible as set forth in District Operations Code
§ 3.01.030. For meetings not so listed, the Board must approve the service for
it to be eligible for the per day compensation.
Subject 6. Other Meetings Qualifying for Reimbursement under CMSD Ordinance No. 55,
Operations Code Section 3.01.030
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Information
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M. ORAL COMMUNICATIONS AND DIRECTOR COMMENTS
Subject 1. Oral Communications and Director Comments
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Discussion
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N. ADJOURN TO CLOSED SESSION
File Attachments
SKM_55820082014300.pdf (669 KB)
Subject 1. Confer with Legal Counsel- Anticipated Litigation - Significant exposure to
litigation pursuant to paragraph (2) of subdivision (d) of Government Code
Section 54956.9 (1 Case) The facts and circumstances that justify the closed
session are set forth in the Notice of Violation and Intent to Sue Under the
Federal Water Pollution Control Act (Clean Water Act) dated May 6, 2020 sent by
Attorney Jack Silver on behalf of California River Watch, which is available for
public inspection. (See Gov C §54956.9(e)(3).)
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type
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P. CLOSING ITEMS
THE NEXT REGULAR MEETING OF COSTA MESA SANITARY DISTRICT BOARD OF DIRECTORS WILL BE HELD ON
MONDAY, SEPTEMBER 28, 2020 AT 4:30 P.M. IN THE DISTRICT'S BOARD ROOM, LOCATED AT 290 PAULARINO
AVENUE, COSTA MESA.
Subject 1. Adjourn
Meeting Aug 24, 2020 - Board of Directors Regular Meeting
Access Public
Type Procedural