Minutes - Board - 2022-08-29COSTA MESA SANITARY DISTRICT
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
AuGuST 29, 2022
NOTE: THIS HYBRID IN -PERSON AND TELECONFERENCED MEETING WAS CONDUCTED
UTILIZING ELECTRONIC MEANS CONSISTENT WITH STATE OF CALIFORNIA ASSEMBLY
BILL 361(GOV. CODE 54953(B)(3)).
Members present
Art Perry, Bob Ooten, Brett Eckles, Mike Scheafer
Members absent
Arlene Schafer
Staffpresent
Scott Carroll (General Manager), Noelani Middenway (District Clerk & Public
Information Officer), Kaitlin Tran (Finance Manager), Mark Esquer (District
Engineer), Dyana Bojarski (Administrative Services Manager), Gina Terraneo
(Management Analyst II), Marc Davis (District Treasurer), Alan Burns (District
Counsel)
Others present
Jim Mosher, District resident
Mike Carey, CR&R Environmental Services
Michael Tou, Citizens Advisory Committee
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.
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Procedural: 2. Pledge of Allegiance — President Ooten
President Ooten led the Pledge of Allegiance.
Procedural: 3. Invocation — Vice President Scheafer
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 bylaw.)
District Clerk and Public Information Officer, Noelani Middenway,
conducted roll call and noted that President Ooten, Vice President Scheafer,
Director Perry, and Director Eckles were present while Secretary Schafer
was not present.
Procedural: S. 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.
None.
Procedural: 6. Ceremonial Matters and Presentations.
None.
B. PUBLIC COMMENTS
Procedural:1. Public Comments
President Ooten opened public comments. Hearing none at this time, he
closed public comments.
C. CONSENT CALENDAR
Action (Consent): 1. Approve Consent Calendar
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Recommendation: That the Board of Directors approve the Consent Calendar as
presented.
Action (Consent), Minutes: 2. Approve the Board of Directors Study Session
Minutes of July 12, 2022
Recommendation: That the Board of Directors approve the meeting minutes as
presented.
Action (Consent), Minutes: 3. Approve the Board of Directors Regular Meeting
Minutes of July 25, 2022
Recommendation: That the Board of Directors approve the meeting minutes as
presented.
Action (Consent): 4. Adopt Warrant Resolution No. CMSD 2023-02 Approving
District Warrant Registers
Recommendation: That the Board of Directors adopt Warrant Resolution No.
CMSD 2023-02 approving District warrants for the month of July in the amount of
$2,093,378.86.
Action (Consent): S. Approve the Directors' Compensation and
Reimbursement of Expenses
Recommendation: That the Board of Directors approve the compensation and
reimbursement of expenses as presented.
Action (Consent): 6. Approve Payroll Transparency Disclosure for July 2022
Recommendation: That the Board of Directors approve and file the report.
Action (Consent): 7. Approve the preparation of a warrant to CR Transfer in
the amount of $200,710.34 for July 2022 recycling and disposal services in the
August 2022 warrant register
Recommendation: That the Board of Directors approves the preparation of a
warrant to CR Transfer in the amount of $200,710.34 for July 2022 recycling and
disposal services to be ratified in the August 2022 warrant register.
Action (Consent): 8. Accept the occupancy count as presented as 23,089 and
direct staff to prepare a warrant to CR&R Environmental Services for
$245,983.28 for July 2022 collection
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Recommendation: That the Board of Directors accept the occupancy count as
presented using 23,089 as the correct number of active units and direct staff to
prepare a warrant to CR&R Environmental Services for July 2022 collection based
on this occupancy report so long as the contractor fulfills the obligations of the
agreement in the amount of $245,983.28 to be ratified in the August 2022 warrant
list.
Action (Consent): 9. Receive and File the July 2022 Organics Tonnage Report
Recommendation: That the Board of Directors receive and file this report.
Action (Consent): 10. Receive and File the July 2022 Solid Waste Diversion
Report
Recommendation: That the Board of Directors receive and file this report.
Action (Consent): 11. Consider Approving Contribution Program Application
for Coastal Cleanup Day at the Bay
Recommendation: That the Board of Directors:
1. Approve the Newport Bay Conservancy's contribution application
requesting a $1,250 sponsorship for the Coastal Cleanup Day at the Bay
event; and
2. Make a finding that this contribution will increase District visibility and
advance the District's statutory purpose of solid waste collection through
educational information provided at the District's event booth.
Action (Consent): 12. Receive and File July 2022 Contracts Signed by the
General Manager
Recommendation: That the Board of Directors receive and file this report.
Action (Consent): 13. Approve the Investment Report for the Month of July
2022
Recommendation: That the Board of Directors approve the Investment Report for
the month of July 2022.
Director Eckles requested to pull Item C11 for discussion.
President Ooten noted that District resident, Jim Mosher, has requested to
pull Item C10 for discussion.
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Motion: To approve the Consent Calendar as presented, except for Items
C10 and C11.
Motion by Art Perry, second by Mike Scheafer.
Final Resolution: Motion Carries 4-0-1
Aye: Art Perry, Bob Ooten, Brett Eckles, Mike Scheafer
Not Present: Arlene Schafer
Director Eckles asked if the $1,200 donation amount for Item C11 has been
budgeted.
Management Analyst II, Gina Terraneo, stated that the District's current
budget includes $8,000 for sponsorships. She noted that District
sponsorships must be approved by the Board.
Motion: To approve the Item C11 to:
1. Approve the Newport Bay Conservancy's contribution application
requesting a $1,250 sponsorship for the Coastal Cleanup Day at the
Bay event; and
2. Make a finding that this contribution will increase District visibility
and advance the District's statutory purpose of solid waste collection
through educational information provided at the District's event
booth.
Motion by Brett Eckles, second by Art Perry.
Final Resolution: Motion Carries 4-0-1
Aye: Art Perry, Bob Ooten, Brett Eckles, Mike Scheafer
Not Present: Arlene Schafer
Mr. Mosher suggested updating the analysis section for Item C10 since it
appears outdated. He noted that the analysis provides no indication as to
where the mixed waste is being disposed. He stated that it appears that
CR&R is not recycling or diverting any mixed waste.
Vice President Scheafer asked if this report will be updated after
transitioning to a three -cart system.
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General Manager, Scott Carroll, confirmed that the report needs to be
updated to reflect the District's current diversion efforts.
Director Perry requested for an update on this item at the next Study
Session.
President Ooten suggested for CR&R to review the District's diversion rates.
Director Eckles expressed support for Mr. Mosher's comments to update
the report.
Motion: To approve the Item C10.
Motion by Mike Scheafer, second by Brett Eckles.
Final Resolution: Motion Carries 4-0-1
Aye: Art Perry, Bob Ooten, Brett Eckles, Mike Scheafer
Not Present: Arlene Schafer
There was no further discussion.
D. PUBLIC HEARINGS
None at this time.
E. GENERAL MANAGER REPORTS
Action, Receive and File:1. Discuss the Logistics and Outreach Plan for CMSD's
3-Cart Transition
Recommendation: That the Board of Directors receives and files this report.
President Ooten introduced the item.
Mr. Carroll shared that this item was discussed by the District's Solid Waste
Ad Hoc Committee on July 26, 2022. He provided a breakdown of the
District's tentative timeline for transitioning to a three -cart system. He
stated that CR&R is conducting a cart audit to determine how many
customers have more than two trash carts and if they are being charged
properly. He added that, in November/December 2022, CR&R will be
delivering an Organics Recycling Cart to about 2,000 properties that were
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previously exempt from the program due to limited storage space or
limited landscaping. He noted that CalRecycle does not allow for any
exemptions to organics recycling. He stated that, in January through March
2023, the District will begin education and outreach for the District's new
recycling cart. He added that the third cart is scheduled to be delivered to
all customers in June 2023. He shared that the District and CR&R have
discussed postponing the delivery of the third recycling cart until January
2025 to perform more outreach and to determine a better solid waste rate.
Director Perry asked if the recycling carts will come in the 35-gallon size
and if trash service will consist of one trash cart and one recycling cart.
Mr. Carroll confirmed the sizes and amounts of the trash and recycling
carts.
Citizens Advisory Committee member, Michael Tou, entered the meeting at
4:45 p.m.
Discussion followed regarding the costs increases for CR&R's service.
Director Eckles asked if 90-gallon trash carts will be available.
Mr. Carroll confirmed that CR&R will provide 90-gallon trash carts by
request at no additional charge.
Director Eckles inquired about the District's current solid waste rate and
potential increases.
Mr. Carroll stated that the current rate is $22.74 per month. He noted that
the District's five-year rate increase will end next year at a rate of $24.10
per month. He added that the rate will likely increase to about $26 per
month to accommodate for the three -cart system.
Discussion followed regarding delaying the transition to a three -cart
system until 2025 and its effect on the solid waste rate.
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Director Eckles expressed support for delaying the transition to a three -cart
system.
Mr. Carroll suggested bringing this item back to the Solid Waste Ad Hoc
Committee for further discussion.
Vice President Scheafer asked if CR&R currently has trash trucks available
to service the new recycling carts.
CR&R representative, Mike Carey, stated that CR&R has already placed
orders for recycling service trucks.
Vice President Scheafer expressed support for delaying the transition to a
three -cart system. He inquired about the delivery of Organics Recycling
Carts to previously exempt customers.
Mr. Carroll confirmed that multifamily customers will be receiving an
Organics Recycling Cart.
Vice President Scheafer inquired about the Monticello townhomes.
Mr. Carroll stated that those customers can adjust their trash carts sizes
depending on their available storage space. He noted that the state requires
all customers to recycle their organic waste.
Discussion followed regarding the state legislature not accounting for the
challenges associated with Senate Bill 1383.
Director Perry asked if the District will be notifying its previously exempt
customers that they will be receiving an Organics Recycling Cart.
Mr. Carroll confirmed that those customers will be properly notified and
educated.
Director Perry added that the District will have to amend its current
ordinance regarding trash service.
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Discussion followed regarding other cities' three -cart systems.
Vice President Scheafer requested input from other jurisdictions that are
experiencing similar challenges and recommended discussing those issues
with the Solid Waste Ad Hoc Committee.
Discussion followed regarding customers who may not have enough
storage space for three trash carts.
Mr. Carroll proposed amending the District's "trash carts in public view"
policy.
District Counsel, Alan Burns, stated that if the District does not have any
viable solution to this issue then they will not be found guilty under the
law.
President Ooten confirmed that this item will be discussed by the Solid
Waste Ad Hoc Committee and then again at another Study Session. He
recommended contacting the City of Newport Beach to learn about their
three -cart system and how they are dealing with storage space for multiple
trash carts.
There was no further discussion, and the report was received.
F. ENGINEER'S REPORTS
Action, Receive and File:1. Receive and File the District Engineer's Report and
Capital Improvement Projects Status
Recommendation: That the Board of Directors receive and file the Capital
Improvement Status Report.
District Engineer, Mark Esquer, provided an update on the District's
current Capital Improvement Projects (CIPs).
Vice President Scheafer inquired about the City of Costa Mesa's street
repaving project.
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Mr. Esquer stated that the City will invoice the District for any manhole
repairs required for this project.
Discussion followed regarding manhole frames and rings.
President Oaten requested more information regarding the number of
siphons being repaired within each project phase.
There was no further discussion, and the report was received.
Action: 2. Adopt the November 2021 District Master Plan
Recommendation: That the Board of Directors adopt the 2018 Master Plan.
Mr. Esquer provided report details and discussed revisions to the 2018
Master Plan.
Director Eckles inquired about growth projections related to Measure Y.
Mr. Eckles stated that the Master Plan is based on growth projections from
the cities of Costa Mesa and Newport Beach.
Discussion followed regarding the effects of cannabis retailers on sewage
flow and accessory dwelling unit (ADU) permits and projections.
President Oaten discussed wastewater flow rate per capita.
Mr. Mosher commented on the phrase "complete build -out" and the Master
Plan's ADU analysis. He discussed the City of Newport Beach's ADU
projections and housing developments.
Motion: To adopt the 2018 District Master Plan as presented.
Motion by Michael Scheafer, second by Art Perry.
Final Resolution: Motion Carries 4-0-1
Aye: Art Perry, Bob Oaten, Brett Eckles, Mike Scheafer
Not Present: Arlene Schafer
There was no further discussion.
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G. TREASURER'S REPORTS
None at this time.
H. ATTORNEY'S REPORTS
Action: 1. Consider Adopting Resolution No. 2022-971 Authorizing Remote
Meetings
Recommendation: That the Board of Directors Adopt Resolution No. 2022-971
Authorizing Remote Meetings.
President Ooten introduced the item.
Motion: To adopt Resolution No. 2022-971 authorizing remote meetings.
Motion by Art Perry, second by Brett Eckles.
Final Resolution: Motion Carries 4-0-1
Aye: Art Perry, Bob Ooten, Brett Eckles, Mike Scheafer
Not Present: Arlene Schafer
There was no further discussion.
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 provided a brief update on OCSD.
2. Santa Ana River Flood Protection Agency (SARFPA) - (Director Perry)
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Director Perry stated there was no SARFPA meeting this month.
3. Independent Special Districts of Orange County (ISDOC) - (Secretary Schafer)
None.
4. California Special Districts Association (CSDA) - (Secretary Schafer)
None.
S. Special District Risk Management Authority (SDRMA) - (Director Scheafer)
Vice President Scheafer stated that there was no SDRMA meeting this
month.
6. Other Meetings Qualifying for Reimbursement under CMSD Ordinance No. 55,
Operations Code Section 3.01.030
President Ooten shared that he attended a Water Advisory Committee of
Orange County (WACO) meeting and a Water Emergency Response
Organization of Orange County (WEROC) meeting. He added that he
attended the CSDA conference in Palm Springs. He announced that CSDA
awarded Scott Carroll as General Manager of the Year and Vice President
Scheafer as Board Member of the Year.
There was no further discussion.
I.OLD BUSINESS
None at this time.
K. NEW BUSINESS
None at this time.
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L. ORAL COMMUNICATIONS AND DIRECTOR COMMENTS
Discussion: 1. Oral Communications and Director Comments
President Ooten asked when the Board will be discussing CR&R's contract.
Mr. Carroll stated that that item has not been rescheduled yet.
Director Eckles asked if the Board will be reviewing CR&R's average
monthly rate of missed trash pickups.
Mr. Carroll confirmed that that data will be provided at the monthly Study
Sessions.
Director Eckles inquired about the District's cost -of -living -adjustment
(COLA) rate and how it compares to similar agencies. He shared that OCSD
is constructing a few new buildings.
Vice President Scheafer thanked Secretary Schafer for encouraging
members to participate in the CSDA award nominations. He thanked
District staff for their assistance.
There were no additional comments.
M. ADJOURN TO CLOSED SESSION
None at this time.
N. RECONVENE TO OPEN SESSION
None at this time.
O. CLOSING ITEMS
Procedural: 1. Adjourn — The next meeting of the Costa Mesa Sanitary District
Board of Directors will be held on Monday, September 26, 2022.
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President Ooten adjourned the meeting at 5:38 p.m.
Arlene Schafer
Secretary
Iffulaffalm-M,
Bob Ooten
President