Minutes - Board - 2021-02-22COSTA MESA SANITARY DISTRICT
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
FEBRUARY 22, 2021
Note: This meeting was conducted utilizing teleconferencing pursuant to Government code Section
54952.2 and the Governor's Executive Orders in effect waiving some of the requirements of that Section.
Members present
Arlene Schafer, Art Perry, Bob Ooten, Brett Eckles, Mike Scheafer
Members absent
None
Staff present
Scott Carroll (General Manager), Noelani Middenway (District Clerk & Public Information
Officer), Alan Burns (District Counsel), Marc Davis (District Treasurer), Mark Esquer
(District Engineer), Dyana Bojarski (Administrative Services Manager), Gina Terraneo
(Management Analyst II)
Others present
Mike Carey (CR&R Environmental Services)
Adam Ereth (Citizens Advisory Committee Member and District resident)
Judith Gielow (Citizens Advisory Committee Member and District resident)
Seth Greiner (Citizens Advisory Committee Member and District resident)
Meeting called to order at 4:30 P.M.
A. OPENING ITEMS
Procedural: 1. Call to Order — President Ooten
President Ooten called the meeting to order at 4:30 P.M.
Procedural: 2. Pledge of Allegiance — President Ooten
President Ooten led the Pledge of Allegiance.
Procedural: 3. Invocation — Vice President Scheafer
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Vice President Scheafer led the Invocation.
Procedural: 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.)
District Clerk and Public Information Officer, Noelani Middenway, conducted roll
call and noted that President Ooten, Vice President Scheafer, Secretary Schafer,
Director Perry, and Director Eckles were present at this time.
Procedural: 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.
President Ooten stated that the District received written communications from
District resident, Jim Mosher. He inquired if the District received any additional
communications from the public.
Ms. Middenway confirmed that the District received no additional communications.
President Ooten asked when it would be appropriate to discuss Mr. Mosher's
comments.
District Counsel, Alan Burns, stated that the Board may discuss his comments
during Public Comments.
Procedural: 6. Ceremonial Matters and Presentations.
None at this time.
B. PUBLIC COMMENTS
Procedural: 1. Public Comments
President Ooten opened public comments. He requested for Mr. Burns to respond
to Mr. Mosher's written comments.
Mr. Burns stated that, in the past, the Board has requested that the District Counsel
refrain from performing extensive research in order to respond to written public
comments. He noted that the Brown Act requires public agencies to report final
settlements. He added that, when the details of a settlement are still tentative, a
public agency is not required to disclose any settlement information. However, he
clarified that the Board has discretion in deciding when to disclose settlement
information. He stated that the District received a settlement offer that contained
incorrect information. He reported that the District issued a letter, based on the
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Board's direction, rejecting the settlement offer. He noted that the District's letter
stated that the settlement offer presented no facts indicating that District
ratepayers should pay for the settlement. He shared that the District's case was
dismissed and that no comments explaining the dismissal were provided. He
added that the District acted in compliance with the law.
Hearing no further discussion and no additional comments, President Ooten
closed public comments.
C. CONSENT CALENDAR
Action (Consent): 1. Approve Consent Calendar
Recommendation: That the Board of Directors approves the Consent Calendar as
presented.
Action (Consent), Minutes: 2. Approve the Board of Directors Study Session Minutes
of January 12, 2021
Recommendation: That the Board of Directors approves the meeting minutes as
presented.
Action (Consent), Minutes: 3. Approve the City/Districts Liaison Committee Meeting
Minutes of January 15, 2021
Recommendation: That the Board of Directors approves the meeting minutes as
presented.
Action (Consent), Minutes: 4. Approve the Board of Directors Regular Meeting
Minutes of January 25, 2021
Recommendation: That the Board of Directors approves the meeting minutes as
presented.
Action (Consent): 5. Adopt Warrant Resolution No. CMSD 2021-08 Approving District
Warrant Registers
Recommendation: That the Board of Directors adopts Warrant Resolution No. CMSD
2021-08 approving District warrants for the Month of January in the amount of
$1,259,487.62.
Action (Consent): 6. Approve the Directors' Compensation and Reimbursement of
Expenses
Recommendation: That the Board of Directors approves the compensation and
reimbursement of expenses as presented.
Action (Consent): 7. Accept the occupancy count as presented as 23,003 and direct
staff to prepare a warrant to CR&R Environmental Services for $238,391.59 for
January 2021 collection
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Recommendation: That the Board of Directors accepts the occupancy count as presented
using 23,003 as the correct number of active units and direct staff to prepare a warrant to
CR&R Environmental Services for January 2021 collection based on this occupancy
report so long as the contractor fulfills the obligations of the agreement in the amount of
$238,391.59 to be ratified in the February 2021 warrant list.
Action (Consent): 8. Approve the preparation of a warrant to CR Transfer in the
amount of $203,798.60 for January 2021 recycling and disposal services in the
February 2021 warrant register
Recommendation: That the Board of Directors approves the preparation of a warrant to
CR Transfer in the amount of $203,798.60 for January 2021 recycling and disposal
services to be ratified in the February 2021 warrant register.
Action (Consent): 9. Receive and File the January 2021 Organics Tonnage Report
Recommendation: That the Board of Directors receives and files this report.
Action (Consent): 10. Receive and File the January 2021 Solid Waste Diversion
Report
Recommendation: That the Board of Directors receives and files this report.
Action (Consent): 11. Approve Payroll Transparency Disclosure for January 2021
Recommendation: That the Board of Directors approves and files this report.
Action (Consent): 12. Approve the Investment Report for the Month of January 2021
Recommendation: That the Board of Directors approves the Investment Report for the
month of January 2021.
Action (Consent): 13. Receive and File 2020 Annual Health Benefits Broker Fees
Report
Recommendation: That the Board of Directors receives and files this report.
Action (Consent): 14. Receive and File Contracts Signed by the General Manager —
January 2021
Recommendation: That the Board of Directors receives and files this report.
Motion: To approve the Consent Calendar as presented.
Motion by Art Perry, second by Arlene Schafer.
Final Resolution: Motion Carries 5-0
Aye: Arlene Schafer, Art Perry, Bob Ooten, Brett Eckles, Mike Scheafer
There was no further discussion.
D. PUBLIC HEARINGS
None at this time.
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E. GENERAL MANAGER'S REPORTS
Action: 1. Award Brian Prenger, Wastewater Maintenance Worker I, $150.00 for his
Rewarding Idea to Improve Safety Conditions
Recommendation: That the Board of Directors approves rewarding Brian Prenger,
Wastewater Maintenance Worker I, $150.00 for idea to improving safety conditions
General Manager, Scott Carroll, presented the proposed submission for the
Rewarding Ideas Program. He shared that the District's Wastewater Maintenance
Worker I, Brian Prenger, submitted an idea to improve safety conditions for when
District staff is transporting portable generators. He noted that Mr. Prenger
suggested adding reflective decals on the portable generators to increase their
visibility and add to District staff's safety. He stated that District staff is
recommending that the Board approves an award of $150.00 for his idea.
President Ooten confirmed that the District puts out traffic cones when transporting
the generators. He inquired if the reflective tape is intended for additional safety.
Mr. Carroll confirmed that the reflective tape will improve safety for District staff.
Motion: To approve rewarding Brian Prenger, Wastewater Maintenance Worker I,
$150.00 for the idea to improve safety conditions.
Motion by Art Perry, second by Brett Eckles.
Final Resolution: Motion Carries 5-0
Aye: Arlene Schafer, Art Perry, Bob Ooten, Brett Eckles, Mike Scheafer
There was no further discussion.
Action: 2. Consider Amending Administrative Policy No. 70.00 Naming District
Facilities and Naming a District Facility after Long Time and Former Board Member,
James Ferryman
Recommendation: That the Board of Directors provides staff direction on the following:
1. Amending Administrative Policy No. 70.00; and
2. Begin the process for considering renaming a District facility after James
Ferryman
Mr. Carroll presented report details. He stated that District staff is requesting two
actions for this item. He reviewed the first action, which considers amending
Administrative Policy No. 70.00. He inquired if the Board would like to broaden the
definition of facilities to include rooms, such as the boardroom or conference room,
to give the Board more flexibility to name other facilities. Secondly, he stated that
District staff is seeking clarification for Section 7.3 of Administrative Policy No.
70.00. He inquired if Section 7.3 is intended for deceased or living individuals. He
read an excerpt from the policy and noted that District staff interprets it as someone
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who is deceased. Thirdly, he stated that District staff is seeking direction on the
Board renaming a District facility after long-time Board member, James Ferryman.
If so, he added that District staff will present the request to the Citizens Advisory
Committee (CAC) with some recommendations and then share the CAC's input
with the Board.
Secretary Schafer expressed support for renaming a District facility after James
Ferryman. She recommended recognizing people who are living and deceased.
She stated that she supports broadening the definition of facilities to include rooms.
Director Eckles inquired about how many rooms are available for naming.
Mr. Carroll stated that there are three rooms at District Headquarters that can be
included, as well as the meeting room and storage building at the District Yard.
Director Eckles stated that he agrees with Secretary Schafer about recognizing
both the living and deceased. He inquired if Section 7.3 already covers this topic.
Mr. Carroll stated that District staff is seeking clarification if they should include the
living in the policy.
Director Perry stated that he agrees with Secretary Schafer and Director Eckles.
He inquired about what will be requested from the CAC.
Mr. Carroll noted that, at the CAC's March meeting, District staff will inform them
that the Board approved the changes to the policy and will ask them to discuss
which facility should be named after James Ferryman.
Director Perry stated that some CAC members may not know James Ferryman.
Mr. Carroll stated that staffs presentation to the CAC will explain why a person
deserves to have a District facility named after them. He added that District staff
will review James Ferryman's contributions to the District in the staff report. He
noted that if the CAC does not have a recommendation, then District staff will still
present the matter to the Board for a final decision.
Director Perry confirmed that the Board will make the final decision.
Vice President Scheafer inquired about Section 7.3's verbiage.
Mr. Carroll confirmed that the policy will need to be updated. He noted that there
is some language about receiving the next of kin's approval. He noted that it would
be easier to interpret the policy if it clarifies that next of kin approval is only
necessary for the deceased.
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Vice President Scheafer stated that rooms inside of a building are less visible to
the public. He suggested naming an outdoor facility, such as a pump station, after
James Ferryman for more visibility.
Secretary Schafer expressed support for Vice President Scheafer's suggestion.
President Ooten suggested that District staff provide a list of appropriate facilities
that can be named after James Ferryman. He noted that the District Yard is named
after long-time District Engineer, Rob Harriers, but that District Headquarters is not
named after anyone. He added that if the Board decides to rename a meeting room
after James Ferryman, then the District can include the room's name on meeting
invitations and agendas.
Motion: To amend Administrative Policy No. 70.00 to expand the definition of
"Facility" to include naming rooms at the District Headquarters and Yard, to clarify
the verbiage in Section VII.3 to apply to both deceased and live people, and to
begin the process of naming a District facility after former Board Director, James
Ferryman.
Motion by Mike Scheafer, second by Art Perry.
Final Resolution: Motion Carries 5-0
Aye: Arlene Schafer, Art Perry, Bob Ooten, Brett Eckles, Mike Scheafer
There was no further discussion.
F. ENGINEER'S REPORTS
Action, Receive and File: 1. Receive and File the Monthly Capital Improvements
Project Status Report
Recommendation: That the Board of Directors receives and files the report.
President Ooten commented that there are four force main projects and a force
main evaluation project in the report. He stated that the District transferred funds
from the force main project to the Bristol Sewer Siphon project. He suggested
discussing the criteria for how those force main projects were developed at the
next Study Session.
Vice President Scheafer inquired if District Engineer, Mark Esquer, will be
presenting the Monthly Capital Improvements Project Status Report.
President Ooten stated that Michael Benesh, President of Robin B. Hamers &
Associates (RBH), will continue to present the report because RBH is performing
the projects. He noted that Mr. Esquer will be reviewing and providing ideas about
how the report is presented.
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Mr. Carroll clarified that it is Mr. Esquer's responsibility to ensure that this staff
report is submitted. He added that Mr. Esquer will be coordinating with Mr. Benesh,
who is the project manager for most of these projects.
President Ooten inquired if Mr. Benesh will continue to attend Board meetings.
Mr. Carroll stated that he will only attend Board meetings if he is requested.
Mr. Esquer commented that he has reviewed the report and has recommended a
few changes that will be reflected in next month's report. He noted that there is a
transition in process between his position and the District's engineering consultant,
RBH. He shared that he has been attending some of the construction meetings.
He discussed the force main assessments and noted that he is in the process of
working on the capital budget with Mr. Benesh. He added that his plan is to review
the budget with Mr. Carroll and then present it to the Board during the District's
budget review or at a separate meeting.
President Ooten suggested reviewing the budget for Capital Improvement Projects
at a Study Session.
Secretary Schafer expressed support for President Ooten's suggestion.
There was no further discussion, and the report was received.
I. 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 Ooten)
President Ooten shared that OCSD was very busy this past month and that he
attended four meetings and a virtual tour.
Vice President Scheafer stated that the Board skipped the District Treasurer and
District Attorneys reports.
G. TREASURER'S REPORTS
District Treasurer, Marc Davis, stated that he has nothing to report.
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H. ATTORNEY'S REPORTS
Mr. Burns stated that he has no report to present but discussed the COVID-19
Appropriations bill, which provides assistance to disadvantaged communities for
those who could not afford their utility bills, including their sewer bills. He noted
that it is beneficial to have the County of Orange handle such measures through
the assessments and credited the District for approving of the County Assessment
District procedure.
I. LOCAL MEETINGS
1. Orange County Sanitation District (OCSD) - (President Ooten)
President Ooten continued discussing OCSD. He shared that he attended OCSD's
Operations Committee meeting, which discussed plant rehabilitations, odor
projects, and updates to their collection system. He stated that there are three
strategic plan sessions that directors and alternates are involved in right now. He
noted that a third of that plan was discussed by directors and mainly dealt with
security, personnel, and finance matters. He added that the OCSD Board meeting
will be next Wednesday, March 3, 2021.
Director Perry discussed OCSD's virtual tour. He shared that OCSD processes
1.35 million pounds of salt per day, which is transported to the ocean. He added
that OCSD processes 189 million gallons of wastewater per day and uses a variety
of odor reduction techniques. He shared that birds sit on OCSD's water clarifiers
and eat the snails that enter the water. He stated that OCSD sends their sludge to
Yuma, Arizona and other composting facilities.
President Ooten commented that Mr. Esquer designed the septic waste receiving
station at OCSD. He shared a few facts about OCSD's system.
2. Santa Ana River Flood Protection Agency (SARFPA) - (Director Perry)
Director Perry stated that there was no SARFPA meeting this month.
3. Independent Special Districts of Orange County (ISDOC) - (Secretary Schafer)
Secretary Schafer stated that ISDOC had a virtual meeting on January 28, 2021
with OC Sheriff and Coroner Don Barnes as the guest speaker. She added that
ISDOC discussed Larry Dick's departure from his position as 2nd Vice President
and noted that they are considering how to fill the position. She announced that
Mary Aileen Matheis from Irvine Ranch Water District (IRWD) was not re-elected
to her ISDOC position, which has been filled by Brooke Jones from Yorba Linda
Water District.
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4. California Special Districts Association (CSDA) - (Secretary Schafer)
Secretary Schafer shared that she attended a CSDA Executive Board meeting on
February 15, 2021. She added that she attended an orientation meeting for
CSDA's Legislative Committee.
5. Special District Risk Management Authority (SDRMA) - (Director Scheafer)
Vice President Scheafer stated that he attended the February SDRMA Board
meeting, which discussed SDRMA's financial status. He shared that SDRMA has
completed most of the preliminary steps for their captive insurance agency based
in Utah.
Director Perry inquired if the District's insurance rates will be lowered.
Vice President Scheafer stated that the District's workers' compensation rate is
decreasing, but that the District's experience modification (Emod) rate is
increasing. He added that SDRMA needs to expand their ability to connect with
other re -insurers for lower rates.
6.Other Meetings Qualifying for Reimbursement under CMSD Ordinance No. 55,
Operations Code Section 3.01.030
Secretary Schafer shared that she attended the February Water Advisory
Committee of Orange County (WACO) meeting, which discussed a program on
sources and sinks and how emissions affect water.
Director Eckles shared that he attended a Newport Beach City Council meeting, at
which the Newport Beach City Council directed City staff to enter into new contract
negotiations with CR&R Environmental Services. He added that the City of
Newport Beach's trash rates will increase and noted that they pay for trash
services through their General Fund.
Vice President Scheafer inquired about the City of Newport Beach's recycling fee.
Director Eckles stated that they did not discuss their recycling fee in detail. He
added that District staff will compare the District's contract with CR&R to the City
of Newport Beach's new contract to increase transparency.
President Ooten commented that the City of Newport Beach has not decided on
their recycling fee.
Director Perry shared that he attended the Costa Mesa City Council meeting,
which recognized Black History Month, reviewed a Smart & Final noise complaint,
discussed signage at Triangle Square, and announced the appointments of new
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City commissioners. He shared that he attended the February WACO meeting and
the City of Costa Mesa's Planning Commission meeting, which further discussed
electronic signage at Triangle Square.
Secretary Schafer inquired if the Costa Mesa City Council meeting discussed
Randy's Donuts.
Director Perry stated that they did not discuss the plans for Randy's Donuts.
There was no further discussion.
J. OLD BUSINESS
None at this time.
K. NEW BUSINESS
Action: 1. Adopt Resolution No. 2021-937 Nominating Vice President Scheafer as a
Candidate for Election to the Special District Risk Management Authority (SDRMA)
Board of Directors
Recommendation: That the Board of Directors adopt Resolution No. 2021-937
Nominating Vice President Scheafer as a Candidate for Election to the Special District
Risk Management Authority (SDRMA) Board of Directors.
President Ooten introduced the item. He stated that Vice President Scheafer is
currently the SDRMA Board President.
Director Perry and President Ooten expressed their support for Vice President
Scheafer's nomination.
Motion: To adopt Resolution No. 2021-937 Nominating
as a Candidate for Election to the Special District Ris
(SDRMA) Board of Directors.
Motion by Art Perry, second by Arlene Schafer
Final Resolution: Motion Carries 5-0
Aye: Arlene Schafer, Art Perry, Bob Ooten, Brett Eckles,
There was no further discussion.
L. ORAL COMMUNICATIONS AND DIRECTOR COMMENTS
Discussion: 1. Oral Communications and Director Comments
Vice President Scheafer
c Management Authority
Mike Scheafer
Vice President Scheafer inquired about the Board's photoshoot on Thursday,
February 25, 2021.
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Ms. Middenway stated that the photoshoot will include headshots of all Board
members.
The Board discussed the appropriate attire for the photoshoot.
President Ooten requested a report on the air release valve project at a future
Study Session.
Director Perry inquired if the President Pump Station project has begun.
Mr. Carroll confirmed that the project has started.
Director Perry commented that he saw a Facebook post about the blocked
walkway entrance to Canyon Park due to the project.
Director Eckles stated that the Board has requested District staff to prepare a two-
year budget plan for a paper shredding and cardboard recycling event. He noted
that those items will be discussed during the District's budget review process.
Vice President Scheafer shared that State Farm Insurance experienced a
nationwide computer system outage due to the recent weather storm in Texas. He
related this issue to the District's emergency preparedness plans and requested
to review the District's emergency contingency plans at a future Study Session.
President Ooten suggested including information about the District's cybersecurity
efforts.
There was no further discussion.
M. ADJOURN TO CLOSED SESSION
Discussion: 1. Conference with Legal Counsel - Existing Litigation Paragraph (1) of
subdivision (d) Section 54956.9 California River Watch v. Costa Mesa Sanitary District,
USDC No.: 8:20-cv-01702
Discussion: 2. Discuss annual performance evaluation of General Manager pursuant to
Government Code Section 54957.
Discussion: 3. Provide President, as negotiator, with authority to negotiate with General
Manager for compensation and benefits pursuant to Government Code Section 54957.6
Mr. Burns announced the titles of the three items to be discussed in closed
session: "Conference with Legal Counsel - Existing Litigation Paragraph (1) of
subdivision (d) Section 54956.9 California River Watch v. Costa Mesa Sanitary
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District, USDC No.: 8:20-cv-01702," "Discuss annual performance evaluation of
General Manager pursuant to Government Code Section 54957,11 and "Provide
President, as negotiator, with authority to negotiate with General Manager for
compensation and benefits pursuant to Government Code Section 54957.6.is
President Ooten adjourned the meeting to closed session at 5:24 P.M.
N. RECONVENE TO OPEN SESSION AND REPORT OF ACTION TAKEN
1. Announce any reportable action taken in closed session.
President Ooten reconvened the meeting to open session at 5:44 P.M. and
announced that the Board gave him the authority to negotiate with the General
Manager regarding his compensation and benefits.
O. CLOSING ITEMS
Procedural: 1. Adjourn
President Ooten adjourned the meeting at 5:45 P.M.
Arlene Schafer
Secretary
� Arm,
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BobOoten