Minutes - Board - 2023-09-25COSTA MESA SANITARY DISTRICT
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
SEPTEMBER 2S, 2023
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), Gina Terraneo (Management Analyst II), Mark Esquer
(District Engineer), Alan Burns (District Counsel), Marc Davis (District Treasurer),
Kaitlin Tran (Finance Manager), Marissa Pereyda (Management Analyst II)
Others present
Cindy Brenneman, Citizens Advisory Committee Member
Jasmin Tutor, Young Southeast Asian Leadership Initiative Fellow
Khoa Nguyen, Young Southeast Asian Leadership Initiative Fellow
Mike Silva, CR&R Representative
Rosemarie Chora, Citizens Advisory Committee Member
Meeting called to order at 4:30 P.M.
A. OPENING ITEMS
Procedural: 1. Call to Order - President Scheafer
President Scheafer called the meeting to order at 4:30 P.M.
Procedural: 2. Pledge of Allegiance - President Scheafer
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President Scheafer led the Pledge of Allegiance.
Procedural: 3. Invocation — Vice President Schafer
Vice President Schafer led the Invocation and honored former City of Costa
Mesa Mayor, Norma Hertzog, and former City of Costa Mesa City Manager,
Fred Sorsabal.
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 & Public Information Officer, Noelani Middenway, conducted
roll call and noted that President Scheafer, Vice President Schafer,
Secretary Perry, Vice Secretary Ooten, and Director Eckles were 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.
Ms. Middenway stated that the District received written communications
from District resident, Jim Mosher, which have been disseminated to the
Board.
President Scheafer stated that Mr. Mosher's comments pertain to Item E1.
Procedural: 6. Ceremonial Matters and Presentations.
B. PUBLIC COMMENTS
Procedural: 1. Public Comments
President Scheafer opened public comments.
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CR&R representative, Mike Silva, honored past District Engineer, Rob
Hamers, for being his mentor and thanked the Board for naming the
District Yard after him.
President Scheafer thanked Mr. Silva for his comments.
General Manager, Scott Carroll, shared that the District recently provided a
tour of the Rob Hamers District Yard to Mr. Hamers' family.
Hearing no additional comments, President Scheafer closed public
comments.
C. CONSENT CALENDAR
Action (Consent): 1. Approve Consent Calendar
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 August 8, 2023
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 August 21, 2023
Recommendation: That the Board of Directors approve the meeting minutes as
presented.
Action (Consent): 4. Adopt Warrant Resolution No. CMSD 2024-03 Approving
District Warrant Registers
Recommendation: That the Board of Directors adopt Warrant Resolution No.
CMSD 2024-03 approving District warrants for the month of August in the amount
of $930,534.53.
Action (Consent): S. Approve the Directors' Compensation and
Reimbursement of Expenses
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Recommendation: That the Board of Directors approve the compensation and
reimbursement of expenses as presented.
Action (Consent): 6. Approve Payroll Transparency Disclosure for August 2023
Recommendation: That the Board of Directors approve and file the report.
Action (Consent): 7. Approve the occupancy count as presented as 23,097 and
direct staff to prepare a warrant to CR&R Environmental Services for
$258,372.28 for August 2023 Solid Waste Collection Services and $12,303.77
for the Difference Between the Old and New Occupancy Rate for July 2023
Solid Waste Collection Services
Recommendation: That the Board of Directors:
1. Approve the occupancy count of 23,097; and
2. Direct staff to prepare a warrant to CR&R Environmental Services for
$258,372.28 for August 2023 solid waste collection services to be ratified
with the September 2023 warrant register.
3. Direct staff to prepare a warrant to CR&R Environmental Services for
$12,303.77 for the difference between the old occupancy rate and new
occupancy rate for July 2023 solid waste collection services to be ratified
with the September 2023 warrant register.
Action (Consent): 8. Approve the Preparation of a Warrant to CR Transfer for
$207,480.65 in the September 2023 Warrant Register for July 2023 Recycling
and Disposal Services
Recommendation: That the Board of Directors approve the preparation of a
warrant to CR Transfer in the amount of $207,480.65 in the September 2023
warrant register for July 2023 recycling and disposal services.
Action (Consent): 9. Adopt Resolution No. 2023-987 Ordering that Publication
of Ordinance No.137 has Occurred
Recommendation: That the Board of Directors adopt Resolution No. 2023-987
ordering that publication of Ordinance No. 137 changing the authority to award
contracts and making other clarifications, and revising chapters 4.04 and 4.06,
has occurred.
Action (Consent): 10. Receive and File July 2023 Organics Tonnage Report
Recommendation: That the Board of Directors receive and file this report.
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Action (Consent): 11. Receive and File July 2023 Solid Waste Diversion Report
Recommendation: That the Board of Directors receive and file this report.
Action (Consent): 12. Receive and File August 2023 Contracts Signed by the
General Manager
Recommendation: That the Board of Directors receive and file this report.
Motion: To approve the Consent Calendar as presented.
Motion by Arlene Schafer, second by Art Perry.
Final Resolution: Motion Carries 5-0
Aye: Arlene Schafer, Art Perry, Bob Ooten, Brett Eckles, Mike Scheafer
No: None
There was no discussion.
D. PUBLIC HEARINGS
None at this time.
E. GENERAL MANAGER REPORTS
Action: 1. Board of Directors Term Limits
Recommendation: That the Board of Directors provide direction to staff.
Mr. Carroll presented report details. He discussed the Citizens Advisory
Committee's (CAC) comments regarding Board term limits and shared that
they recommended establishing Board term limits and reestablishing term
limits for CAC members.
Discussion followed regarding the recommendations for this item.
CAC Member, Rosemarie Chora, commented that she does not support
pursuing Board term limits. She stated that the current Board members are
experienced, knowledgeable, and have a strong sense of the community
they represent. She noted that the cost associated with implementing term
limits outweighs the benefits. She added that it takes a significant amount
of time to learn and understand the nuances of the District. She
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recommended focusing more resources on District projects and staff. She
suggested changes regarding District representation such as requiring all
Board and CAC members to be District customers.
President Scheafer noted that Mr. Mosher's written comments were
received and entered into the record.
Director Eckles asked if a Board incumbent has been unseated by a non -
incumbent.
Mr. Carroll stated that, in 2010, an incumbent was defeated by a new
candidate.
Vice Secretary Ooten stated that it also occurred in 2006
Director Eckles stated that he supports Board term limits yet agrees with
CAC Member Chora's comments on institutional knowledge. He added that
he is not necessarily in favor of 2 terms but possibly 3 or 4 terms. He
recommended proceeding with this item with a more complete staff report
to discuss term options. He inquired about creating a Board policy on this
issue.
District Counsel, Alan Burns, stated that the District may not have the
authority to initiate term limits as it may be an issue of pre-emptive state
law. He shared that many cities have rotation policies regarding the
position of mayor.
Motion: To discontinue further discussion of implementing term limits for
the Board of Directors.
Motion by Art Perry, second by Arlene Schafer.
President Scheafer commented that he believes in term limits and supports
them in certain circumstances. He stated that he does not support using
public funds to issue an initiative that may not be needed. He expressed
support for the motion made by Secretary Perry.
Final Resolution: Motion Carries 4-1
Aye: Arlene Schafer, Art Perry, Bob Ooten, Mike Scheafer
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No: Brett Eckles
There was no further discussion.
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 Engineer's
Report.
District Engineer, Mark Esquer, provided an update on current projects
and his main takeaways from the annual Tri-State Seminar. He shared that
he has been re -certified in closed-circuit televising (CCTV) through the
National Association of Sewer Service Companies (NASSCO).
There was no further discussion, and the report was received.
Action: 2. Project 330 Westbluff Pump Station Rehabilitation: Adopt CEQA
Determination, Award a Contract to GCI Construction, Inc., and Approve a
Contingency of 10 Percent
Recommendation: That the Board of Directors:
1. Adopt the 330 Westbluff Pump Station project as Categorically Exempt per
the California Environmental Quality Act (CEQA) Section 15302, Class 2;
and
2. Award a contract to the lowest responsive and responsible bidder, GCI
Construction, Inc. in the negotiated amount of $296,300; and
3. Approve a 10% contingency in the amount of $29,630.
Mr. Esquer presented report details.
Discussion followed regarding the project's construction estimates and a
reduction in the project's scope to account for higher bids and lack of bids.
Director Eckles suggested re -bidding the project due to the change in scope.
Discussion followed regarding nuisance complaints from homeowners'
associations (HOAs) and trends in construction costs.
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President Scheafer inquired about the project's timeline.
Mr. Esquer stated that the project needs to proceed due to the District's
maintenance schedule. He noted that the project may not receive better
bids.
Motion: To re -bid Project 330 Westbluff Pump Station Rehabilitation
project as a result of the updated scope of work.
Motion by Brett Eckles, second by Bob Ooten.
Final Resolution: Motion Carries 3-2
Aye: Arlene Schafer, Bob Ooten, Brett Eckles
No: Art Perry, Mike Scheafer
There was no further discussion.
Action: 3. Project 341 Elden Forcemain Redundancy: Techite Pipe Evaluation
Change Order Approval
Recommendation: The Board of Directors Approve Change Order #2 of the #341
Elden FM Redundancy Construction Access to Techite Pipe Agreement with
Torres Sanitation (aka Alex Torres Sole Proprietor) in the Amount of $24,100.
Mr. Esquer provided a presentation for this item. He discussed the Techite
pipe issues near the OC Fairgrounds and the contract and change order
details. He requested approval of the second change order and shared
photos related to the project work.
Discussion followed regarding the use of the Techite pipe.
Mr. Esquer shared that the pipe was televised to evaluate its condition.
Director Eckles inquired about the change order.
Mr. Esquer stated that it is officially a time and materials (T&M) change
order.
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Motion: To approve Change Order #2 of the Project 341 Elden Forcemain
Redundancy Construction Access to Techite Pipe Agreement with Torres
Sanitation (aka Alex Torres Sole Proprietor) in the amount of $24,100.
Motion by Art Perry, second by Bob Ooten.
Final Resolution: Motion Carries 5-0
Aye: Arlene Schafer, Art Perry, Bob Ooten, Brett Eckles, Mike Scheafer
No: None
There was no further discussion.
G. TREASURER'S REPORTS
H. ATTORNEYS REPORTS
Mr. Burns shared cautionary information regarding campaign
contributions. He relayed a recent case involving the mayor of Anaheim.
Discussion followed regarding this case and the Anaheim City Council's
involvement.
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)
Vice Secretary Ooten stated that OCSD's Board meeting takes place next
week. He stated that they will be discussing meeting reimbursement fees.
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2. Santa Ana River Flood Protection Agency (SARFPA) - (Director Perry)
Secretary Perry stated that SARFPA's meeting takes place this Thursday.
3. Independent Special Districts of Orange County (ISDOC) - (Secretary Schafer)
President Scheafer stated that there is nothing significant to report for
ISDOC.
Vice President Schafer stated that ISDOC's in -person luncheon takes place
this Thursday.
4. California Special Districts Association (CSDA) - (Secretary Schafer)
Vice President Schafer shared that she attended a CSDA meeting last week
in which they discussed the California Cooperative Liquid Assets Securities
System (CLASS) investment pool. She shared that she is serving on CSDA's
finance board and alliance executive council.
5. Special District Risk Management Authority (SDRMA) - (Director Scheafer)
Vice President Schafer shared that SDRMA's spring education day is taking
place on Mach 22, 2024 in Sacramento.
President Scheafer stated that there is nothing significant to report for
SDRMA.
6. Other Meetings Qualifying for Reimbursement under CMSD Ordinance No. 55,
Operations Code Section 3.01.030
Vice Secretary Ooten shared that he attended a Water Advisory Committee
of Orange County (WACO) meeting, which included discussion about
potential earthquake damage to infrastructure. He stated that District
infrastructure should be relatively safe because less damage occurs to
structures underground.
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There was no further discussion.
J. OLD BUSINESS
None at this time.
K. NEW BUSINESS
None at this time.
L. ORAL COMMUNICATIONS AND DIRECTOR COMMENTS
Discussion: 1. Oral Communications and Director Comments
Director Eckles shared that local resident, Jake Knapp, qualified for a
Professional Golfers' Association (PGA) tour card.
Vice Secretary Ooten recommended providing staff training on home
emergency preparedness so that they feel more comfortable with reporting
to the District during emergency situations.
President Scheafer shared that the California Earthquake Authority can
provide sample earthquake backpack kits.
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
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Procedural: 1. Adjourn — The next meeting of the Costa Mesa Sanitary District
Board of Directors will be held on Monday, October 23, 2023.
President Scheafer adjourned the meeting at 5:48 p.m.
Art Perry
Secretary
Mike Scheafef
President