2025-04-28_boardMonday, April 28, 2025
Board of Directors Regular Meeting
Time: 4:30 p.m.
Location: Costa Mesa Sanitary District - 290 Paularino Ave., Costa Mesa, CA 92626
***
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.
***
Public Comments: Members of the public can submit any comments in real time during the
meeting or prior to the meeting 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 Scheafer
2. Pledge of Allegiance - President Scheafer
3. Invocation - Vice President Ooten
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.
6. Ceremonial Matters and Presentations
B. 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
C. 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
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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 the Board of Directors Study Session Minutes of March 11, 2025
2. Approve the Board of Directors Regular Meeting Minutes of March 24, 2025
3. Approve the Directors' Compensation and Reimbursement of Expenses
4. Adopt Warrant Resolution No. CMSD 2025-10 Approving District Warrant Registers
5. Approve Payroll Transparency Disclosure for March 2025
6. Receive and File March 2025 Organics Tonnage Report
7. Approve the Occupancy Count of 23,182 and Direct Staff to Prepare a Warrant to CR&R Environmental Services
for $395,315.69 in the April 2025 Warrant Register for March 2025 Solid Waste Collection Services.
8. Approve the Preparation of a Warrant to CR Transfer for $58,545.69 in the April 2025 Warrant Register for March
2025 Recycling and Disposal Services
9. Receive and File March 2025 Contracts Signed by the General Manager
D. PUBLIC HEARINGS
E. GENERAL MANAGER'S REPORTS
1. Consider Approving Second Amendment to Waste Disposal Agreement with County of Orange
2. Consider Approving CR&R Incorporated Annual Request for CPI Rate Adjustment
3. Hiring a Third-Party Contractor to Pick Up Christmas Trees
4. Adoption of the 2025 Multi-Jurisdictional Hazard Mitigation Plan (MJHMP)
5. Receive and File the Fiscal Year 2024-25 Third Quarter Budget Review
6. Receive and File 2025 Performance Report - 1st Quarter (January-March) Calendar Year
7. Consider Approving Contribution Application for Costa Mesa-Newport Harbor Fish Fry
8. Consider Approving Contribution Application for Love Costa Mesa City Wide Volunteer Day
F. ENGINEER'S REPORTS
1. Receive and File the District Engineer's Monthly Report and Capital Improvement Projects Status
2. Project No. 355 South Coast Plaza Emergency Sewer Replacement: Accept Improvements as Completed, File
Notice of Completion, Exonerate Labor and Materials Bond, Exonerate Faithful Performance Bond, and approve the
Close-Out Agreement
G. TREASURER'S REPORTS
1. Investment Report for the Month of March 2025
H. ATTORNEY'S REPORTS
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.
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1. Orange County Sanitation District (OCSD) - (Vice President Ooten)
2. Santa Ana River Flood Protection Agency (SARFPA) - (Secretary Perry)
3. Independent Special Districts of Orange County (ISDOC) - (President Scheafer)
4. California Special Districts Association (CSDA) - (Vice Secretary Schafer)
5. Special District Risk Management Authority (SDRMA) - (President Scheafer)
6. Other Meetings Qualifying for Reimbursement under CMSD Ordinance No. 55, Operations Code Section 3.01.030
J. OLD BUSINESS
K. NEW BUSINESS
L. ORAL COMMUNICATIONS AND DIRECTOR COMMENTS
1. Oral Communications and Director Comments
M. ADJOURN TO CLOSED SESSION
N. RECONVENE TO OPEN SESSION
O. CLOSING ITEMS
1. Adjourn
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Monday, April 28, 2025
Board of Directors Regular Meeting
Time: 4:30 p.m.
Location: Costa Mesa Sanitary District - 290 Paularino Ave., Costa Mesa, CA 92626
***
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.
***
Public Comments: Members of the public can submit any comments in real time during the
meeting or prior to the meeting 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 Scheafer
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Procedural
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A. OPENING ITEMS
Subject 2. Pledge of Allegiance - President Scheafer
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Procedural
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A. OPENING ITEMS
Subject 3. Invocation - Vice President Ooten
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Procedural
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A. OPENING ITEMS
Michael Scheafer, President
Robert Ooten, Vice President
Arthur Perry, Secretary
Arlene Schafer, Vice Secretary
Nicole Wiltshire, 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 Apr 28, 2025 - Board of Directors Regular Meeting
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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 Apr 28, 2025 - Board of Directors Regular Meeting
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Type Procedural
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A. OPENING ITEMS
Subject 6. Ceremonial Matters and Presentations
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Procedural
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B. 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 Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Procedural
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C. 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: Angela Colunga, Management Analyst I
Date: April 28, 2025
Subject: Approve the Board of Directors Study Session Minutes of March 11, 2025
Summary
The recorded minutes of the March 11, 2025 Board of Directors Study Session 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 Study Session of March 11, 2025.
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 April 28, 2025 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.
Subject 1. Approve the Board of Directors Study Session Minutes of March 11, 2025
Meeting Apr 28, 2025 - 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 Mar 11, 2025 - Board of Directors Study Session
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2. Direct staff to report back with more information.
File Attachments
minutes_2025_03_11_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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C. 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: Angela Colunga, Management Analyst I
Date: April 28, 2025
Subject: Approve the Board of Directors Regular Meeting Minutes of March 24, 2025
Summary
The recorded minutes of the March 24, 2025 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 of March 24, 2025.
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 April 28, 2025 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.
Subject 2. Approve the Board of Directors Regular Meeting Minutes of March 24, 2025
Meeting Apr 28, 2025 - 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 Mar 24, 2025 - Board of Directors Regular Meeting
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2. Direct staff to report back with more information.
File Attachments
minutes_2025_03_24_rm.pdf (188 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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C. 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: April 28, 2025
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 April 28, 2025 Board of Directors 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
Subject 3. Approve the Directors' Compensation and Reimbursement of Expenses
Meeting Apr 28, 2025 - 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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2025-03 Board PR.pdf (263 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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C. 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: Amanda Doan, Accounting Clerk
Date: April 28, 2025
Subject: Adopt Warrant Resolution No. CMSD 2025-10 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 adopt Warrant Resolution No. CMSD 2025-10 approving District warrants for the month of March in the
amount of $2,137,075.04.
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
Subject 4. Adopt Warrant Resolution No. CMSD 2025-10 Approving District Warrant
Registers
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Action (Consent)
Budgeted Yes
Recommended
Action
That the Board of Directors adopt Warrant Resolution No. CMSD 2025-10 approving
District warrants for the month of March in the amount of $2,137,075.04.
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Copies of this report are on file and will be included with the complete agenda packet for the April 28, 2025 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.
File Attachments
WARRANT RESO 2025-10.pdf (4,191 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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C. 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: Amanda Doan, Accounting Clerk
Date: April 28, 2025
Subject: Approve Payroll Transparency Disclosure for March 2025
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 Administrative Content Executive Content
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 April 28, 2025 Board of Directors Regular
meeting at District Headquarters and posted on the District's website www.cmsdca.gov.
Alternative Actions
Subject 5. Approve Payroll Transparency Disclosure for March 2025
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Action (Consent)
Fiscal Impact Yes
Budgeted Yes
Recommended
Action
That the Board of Directors approve and file the report.
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Refer item back to staff with further instructions.
File Attachments
Payroll Transparency Disclosure March 2025.pdf (195 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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C. 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: Angela Colunga, Management Analyst I
Date: April 28, 2025
Subject: Receive and File March 2025 Organics Tonnage Report
Summary
In March 2025, CR&R collected 645.46 tons of organic waste and recycled 615.74 tons of organic waste.
Recommendation
That the Board of Directors receive and file this report.
Analysis
The chart below outlines the total organic waste tonnage collected from the organics program and the tons recycled and landfilled. A
graph depicting the total tonnage of organic waste collected during each month of the last five fiscal years is attached to this report.
FY 2024-25 Organics
Month Recycled Landfilled Total Collected
July 814.05 39.29 853.34
August 792.62 38.26 830.88
September 645.7 31.17 676.94
October 699.58 33.77 733.35
November 657.49 31.74 689.23
December 613.77 29.62 643.39
January 776.77 37.49 814.26
February 528.66 25.52 554.18
March 615.74 29.72 645.46
Legal Review
Not applicable.
Environmental Review
Subject 6. Receive and File March 2025 Organics Tonnage Report
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Action (Consent)
Recommended
Action
That the Board of Directors receive and file this report.
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Consideration of the Organics Tonnage Report 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 with the complete agenda packet for the April 28, 2025, Board of Directors Meeting
held at 290 Paularino Avenue and posted on the District's website at www.cmsdca.gov.
Alternative Actions
Refer item back to staff with further instructions.
File Attachments
Organics_Tonnages_March_2025.pdf (593 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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C. 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: Angela Colunga, Management Analyst I
Date: April 28, 2025
Subject: Approve the Occupancy Count of 23,182 and Direct Staff to Prepare a Warrant to CR&R Environmental Services for
$395,315.69 in the April 2025 Warrant Register for March 2025 Solid Waste Collection Services.
Summary
The District's monthly payment to CR&R Environmental Services (CR&R) for solid waste collection services is calculated by multiplying
the set occupancy rate by the occupancy count, approved each month by the Board of Directors. The current occupancy rate is
$17.0527 and the March 2025 occupancy count presented to the Board of Directors is 23,182, for a total payment of $395,315.69.
Recommendation
That the Board of Directors:
1. Approve the Occupancy Count of 23,182; and
2. Direct staff to prepare a warrant to CR&R Environmental Services for $395,315.69 in the April 2025 warrant register for March
2025 solid waste collection services.
Analysis
The occupancy count is the number of active units in the District's jurisdiction receiving solid waste collection services. The occupancy
rate approved by the Board of Directors on May 28, 2024, effective July 1, 2024, is $17.0527. The District pays CR&R $17.0527 per
occupant, per month for solid waste collection services. The occupancy count is increased or decreased monthly for new residential
developments and demolitions.
As of March 31, 2025, the District's occupancy count was 23,182 with 3 accounts removed since the last billing period. The occupancy
count approved by the Board of Directors for February 2025 was 23,185.
The District's payment to CR&R is calculated by multiplying the occupancy count by the occupancy rate. The payment calculation for
March 2025 is included below.
Occupancy Count X Occupancy Rate = Payment to CR&R
23,182 $17.0527 $395,315.69
Subject 7. Approve the Occupancy Count of 23,182 and Direct Staff to Prepare a
Warrant to CR&R Environmental Services for $395,315.69 in the April 2025
Warrant Register for March 2025 Solid Waste Collection Services.
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Action (Consent)
Recommended
Action
That the Board of Directors:
1. Approve the Occupancy Count of 23,182; and
2. Direct staff to prepare a warrant to CR&R Environmental Services for $395,315.69 in
the April 2025 warrant register for March 2025 solid waste collection services.
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District staff will continue to track the number of new and removed service addresses.
Legal Review
Not applicable.
Environmental Review
Consideration of the occupancy count 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 in 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 administration or
maintenance activities.
Financial Review
Sufficient funds are available in the adopted FY 2024-25 budget.
Public Notice Process
Copies of this report are on file and will be included with the complete agenda packet for the April 28, 2025, Board of Directors Meeting
held at 290 Paularino Avenue and posted on the District's website at www.cmsdca.gov.
Alternative Actions
Refer item back to staff with further instructions.
File Attachments
March 2025 Occupancy Report.pdf (422 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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C. 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: Angela Colunga, Management Analyst I
Date: April 28, 2025
Subject: Approve the preparation of a warrant to CR Transfer for $58,545.69 in the April 2025 warrant register for March
2025 recycling and disposal services
Summary
The District pays CR Transfer monthly for the sorting of recyclables, landfill disposal, and the diversion of organic waste to an anaerobic
digestion facility to be recycled into renewable natural gas to fuel the solid waste collection trucks or to be processed into compost.
Recommendation
That the Board of Directors approve the preparation of a warrant to CR Transfer for $58,545.69 in the April 2025 warrant register for
March 2025 recycling and disposal services.
Analysis
The following chart outlines the total tonnage and payments due for residential and organic waste collection in Costa Mesa and
Newport Beach during March 2025. The tonnage rates approved by the Board of Directors on May 28, 2024, effective July 1, 2024, is
$61.19 per ton for landfill disposal, $15.27 for recycling services, and and $84.19 per ton for organics recycling.
Type of Waste Invoice No.Tonnage Rate Amount Billed
Landfill Waste - Newport Beach 46536 68.71 $61.19 $4,204.37*
Total Landfill Waste $4,204.37
Organics 46566 645.46 $84.19 $54,341.32*
Total Organics $54,341.32
Grand Total $58,545.69
*Due to weight ticket calculation rounding, some invoice totals may be off by a few cents.
At this time, the District is unable to submit payment for the February and March recycling charges and the March Landfill (Costa Mesa)
charges due to tonnage discrepancies on CR&R's Invoices #46500, #46574, and #46535. CR&R is currently rectifying these invoices
and the charges will be presented at the May Board Meeting for approval.
Legal Review
Subject 8. Approve the Preparation of a Warrant to CR Transfer for $58,545.69 in the
April 2025 Warrant Register for March 2025 Recycling and Disposal Services
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Action (Consent)
Recommended
Action
That the Board of Directors approve the preparation of a warrant to CR Transfer for
$58,545.69 in the April 2025 warrant register for March 2025 recycling and disposal
services.
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Not applicable.
Environmental Review
Consideration of the CR Transfer warrant 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
Sufficient funds are available in the adopted FY 2024-25 budget.
Public Notice Process
Copies of this report are on file and will be included with the complete agenda packet for the April 28, 2025, Board of Directors Meeting
held at 290 Paularino Avenue 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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C. 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: April 28, 2025
Subject: Receive and File March 2025 Contracts Signed by the 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 March 2025.
Recommendation
That the Board of Directors receive and file this report
Analysis
The following contracts/agreements were signed by the general manager in March 2025.
Contracts/Agreements
No contracts/agreements were signed in the month of March
Purchase Orders
1. Eller’s Tree Service – President Pump Station, Cutting trees to the property line. Cost: $1,500.00
2. Midway Manufacturing – Project 355, South Coast Plaza Sewer Repair. Hose Guide Assemblies (2) Powder Coat Assembly
(2) Cost: $3,103.20
Legal Review
Not applicable
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 to perform the contract services mentioned above.
Public Notice Process
Subject 9. Receive and File March 2025 Contracts Signed by the General Manager
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Action (Consent)
Recommended
Action
That the Board of Directors receive and file this report
Goals 6.0 Administrative Management
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Copies of this report are on file and will be included with the entire agenda packet for the April 28, 2025 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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E. GENERAL MANAGER'S REPORTS
To: Board of Directors
Via: Scott Carroll, General Manager
From: Marissa Pereyda, Senior Management Analyst
Date: April 28, 2025
Subject: Consider Approving Second Amendment to Waste Disposal Agreement with County of Orange
Summary
Solid waste disposal at Orange County landfills is governed by a Waste Disposal Agreement (WDA) under which cities and sanitary
districts, including Costa Mesa Sanitary District, agree to exclusively deposit certain waste at the County of Orange’s landfills in
exchange for low and stable disposal rates, disposal guarantees, and importation revenue sharing. The current WDA was entered into
in 2009 and subsequently amended to extend the term through June 30, 2025. The Orange County City Manager Association
(OCCMA) is currently negotiating a successor agreement to the WDA with OC Waste & Recycling (OCW&R). Additional time is needed
to finalize mutually agreeable terms and disposal fees. The proposed amendment extends the current WDA by one year to allow for
continued negotiations and includes a 2.6% disposal fee increase, per the Consumer Price Index (CPI) escalation formula in the current
WDA.
Recommendation
That the Board of Directors approve the Second Amendment to the Waste Disposal Agreement with the County of Orange.
Analysis
The current Waste Disposal Agreement (WDA) between all Orange County cities and sanitary districts, including Costa Mesa Sanitary
District, and the County of Orange expires on June 30, 2025. In January 2022, OCW&R notified cities of its intent to revise the WDA to
align with legislative requirements such as Senate Bill 1383, which requires local governments to divert organic waste, such as food
scraps and landscaping waste, away from the landfills. OCW&R presented a proposed successor agreement to the WDA, titled the
Waste Infrastructure System Enhancement (WISE) agreement, at an Orange County City Manager’s summit on November 7, 2024.
The WISE agreement proposed increasing the landfill disposal rate from $42.65 to $82.00 per ton (a 92.3% increase). It also proposed
a rebate program for composted organic waste and an allocation of capital expenditures for organics recycling infrastructure at County
landfills.
The Orange County City Manager Association (OCCMA) formed a committee in December 2024 to negotiate a successor agreement to
the WDA and requested an extension of the current WDA to allow time for negotiations.
OCW&R has agreed to the OCCMA committee’s requested extension under the terms of the proposed amendment, which generally
provides for a 12-month extension of the current WDA and a 2.6% disposal fee increase, per the CPI escalation formula in the current
WDA. The extension period will allow stakeholders to conduct due diligence on a successor agreement to the WDA as well as evaluate
costs, infrastructure plans, and future fee adjustments. If the OCCMA committee and OCW&R do not reach mutually agreeable terms
by September 30, 2025, monthly updates will be provided to all cities and sanitary districts beginning in October 2025.
The District finds that executing the Second Amendment is in the public interest since it will ensure stable disposal rates and
collaboration between all cities and sanitary districts in Orange County for an additional year.
Legal Review
District Counsel has reviewed and approved the Second Amendment to the Waste Disposal Agreement with the County of Orange.
Subject 1. Consider Approving Second Amendment to Waste Disposal Agreement with
County of Orange
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Action
Recommended
Action
That the Board of Directors approve the Second Amendment to the Waste Disposal
Agreement with the County of Orange.
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Environmental Review
Consideration of an amendment to the agreement with County of Orange 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
The proposed FY 2025-26 Preliminary Budget assumes the WDA one-year extension and includes the District's current share of import
revenue under the WDA.
Public Notice Process
Copies of this report are on file and will be included with the complete agenda packet for the April 28, 2025, Board of Directors Regular
Meeting held at 290 Paularino Avenue and posted on the District's website at www.cmsdca.gov.
Alternative Actions
Refer item back to staff with further instructions.
File Attachments
2025 Proposed WDA Second Amendment.docx (31 KB)
2009 Waste Disposal Agreement (WDA).pdf (1,875 KB)
2016 WDA First Amendment.pdf (428 KB)
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E. GENERAL MANAGER'S REPORTS
To: Board of Directors
Via: Scott Carroll, General Manager
From: Marissa Pereyda, Senior Management Analyst
Date: April 28, 2025
Subject: Consider Approving CR&R Incorporated Annual Request for CPI Rate Adjustment
Summary
Per the First Amendment to the Agreement Between Costa Mesa Sanitary District and CR&R Incorporated (CR&R), approved January
27, 2023, CR&R may request a Consumer Price Index (CPI) rate adjustment annually by submitting a written request no later than April
1 of each year. On March 24, 2025, CR&R requested a 3.10% CPI rate adjustment. CR&R's written request also includes a request to
increase the Additional Container rate which will automatically increase per Section 5.2.1 of the 2018 Agreement Between Costa Mesa
Sanitary District and CR&R.
Recommendation
That the Board of Directors consider approving CR&R's proposal for a 3.1% CPI rate adjustment request.
Analysis
Per the First Amendment to the Agreement Between Costa Mesa Sanitary District and CR&R Incorporated, approved January 27, 2023,
CR&R may propose a rate adjustment annually. The proposed adjustment is calculated by multiplying the rates by the percentage
change in the CPI for All Urban Consumers in the Los Angeles Area, not seasonally adjusted (CPI-U) - Los Angeles-Long Beach-
Anaheim for the twelve (12) month period ending in February, with the request capped at five percent (5%) each year. Per the First
Amendment, the District shall have discretion to deny the CPI adjustment request based on its reasonable judgement with substantial
evidence, but the denial of the increase shall not be based on poor performance, as the assessment of liquidated damages are
intended to address performance.
The change in the CPI for the aforementioned twelve (12) month period ending in February 2025 is 3.10%. On March 24, 2025, CR&R
submitted a rate adjustment request letter and rate sheet to the District. The letter incorrectly listed the CPI request at 3.30%. On March
25, 2025, CR&R submitted a revised rate sheet with the correct rate adjustment request of 3.10%. The original request letter and
corrected rate sheet are attached to this report.
The District currently pays CR&R monthly for the following four (4) items, as approved in Exhibit F "Compensation Schedule" of the
Second Amendment to the Agreement Between Costa Mesa Sanitary District and CR&R Incorporated, approved August 26, 2024. The
Second Amendment including Exhibit F is attached to this report.
1. The Occupancy (Hauler) Fee is charged per active account and includes costs associated with providing weekly collection for trash,
recycling, and organics. These costs are comprised of driver wages (salary/benefits), equipment costs (truck/carts), maintenance costs,
and administrative costs (customer service, dispatch, route manager, sustainability specialist).
2. The Recycling Fee is charged per ton for the processing of recyclables.
3. The Landfill Fee is charged per ton for the disposal of landfill waste.
4. The Organics Recycling Fee is charged per ton for organic waste delivered to CR&R's Anaerobic Digestion (AD) Facility for
conversion into renewable natural gas.
Subject 2. Consider Approving CR&R Incorporated Annual Request for CPI Rate
Adjustment
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Action
Recommended
Action
That the Board of Directors consider approving CR&R's proposal for a 3.1% CPI rate
adjustment request.
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The current FY 2024-25 rate and proposed FY 2025-26 rate with a 3.10% increase are included below. If approved, the new rates
would be effective July 1, 2025.
FY 2024-25 Rate Proposed FY 2025-26 Rate
3.1% Increase
Occupancy (Hauler) Fee (Per account)$17.0527 $17.5800
Recycling Fee (Per ton)$15.27 $15.74
Landfill Fee (Per ton)$61.19 $63.09
Organics Recycling Fee (Per ton)$84.19 $86.80
Additional Container Rate
District solid waste customers may request additional carts above standard service, which includes one Landfill Cart, one Recycling
Cart, and up to two Organics Carts, for a monthly per cart fee. CR&R bills customers directly for additional carts and remits 80% of the
additional cart revenue to the District on a quarterly basis. The Additional Container rate has been $9.00 per container for over 10
years.
Per Section 5.2.1 of the 2018 Agreement Between Costa Mesa Sanitary District and CR&R Incorporated (CR&R), approved July 1,
2018, the rate for additional containers will automatically increase to $10.00 after the conclusion of year (5) of the Agreement. The
$10.00 rate will remain in effect for the remaining length of the Agreement, or as the parties may later agree. The Additional Container
rate of $10.00 per cart per month is effective July 1, 2025.
FY 2024-25 Rate FY 2025-26 Rate
Additional Container (Per cart)$9.00 $10.00
Legal Review
Legal review is not required.
Environmental Review
Consideration of CR&R's request for rate adjustment 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 in 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
administration or maintenance activities.
Financial Review
The proposed FY 2025-26 Preliminary Budget includes a 3.1% CPI adjustment to CR&R's rates.
Proposed Preliminary Budget - FY 2025-26 (3.10%)
Rates Proposed Budget Acct/Ton
Occupancy $17.58 $4,908,800 23,267
Recycling $15.74 $74,600 4,740
Landfill $63.09 $1,463,100 23,192
Organics $86.80 $754,600 8,693
The proposed FY 2025-26 Preliminary Budget includes $162,000 of Additional Container Charge revenue, based on the $10.00 per
container rate.
Public Notice Process
Copies of this report are on file and will be included with the complete agenda packet for the April 28, 2025, Board of Directors Meeting
held at 290 Paularino Avenue and posted on the District's website at www.cmsdca.gov.
Alternative Actions
1. Deny CR&R's 3.1% CPI rate adjustment request and provide justification for denying the request.
2. Refer item back to staff with further instructions.
File Attachments
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CR&R Rate Adjustment Request Letter FY 2025-26.pdf (60 KB)
CR&R Rate Adjustment Request Rates FY 2025-26.pdf (14 KB)
CR&R 2024 Second Amendment with Exhibit F.pdf (191 KB)
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E. GENERAL MANAGER'S REPORTS
To: Board of Directors
From: Scott Carroll, General Manager
Date: April 28, 2025
Subject: Hiring a Third-Party Contractor to Pick Up Christmas Trees
Summary
Through an exclusive franchise agreement with CR&R Environmental Services, Costa Mesa Sanitary District offers Christmas tree
curbside pickups for residents who receive curbside solid waste collection services. The collected trees are transported to CR&R's
anaerobic digestion facility, where they are converted into Renewable Natural Gas (RNG). The First Amendment to Agreement Between
Costa Mesa Sanitary District and CR&R Incorporated, approved January 27, 2023, authorizes the District to hire a third-party contractor
to assist with the annual Christmas Tree Collection Program to avoid collection delays and to receive reimbursement from CR&R for
third-party collection and disposal costs.
Recommendation
That the Board of Directors provide direction to staff.
Analysis
Over the past five years, an average of 5,046 Christmas trees have been collected annually. In 2021, staff received numerous
complaints from residents whose Christmas trees were not picked up on their regularly scheduled collection day, which coincides with
their standard trash pickup day. Due to the high volume of complaints, the collection program was extended by an additional week,
ending on January 16, 2021. The significant delays were attributed to challenges related to COVID-19.
In 2022, with the pandemic no longer impacting operations, staff anticipated a return to normal service levels with minimal complaints.
However, 101 complaints were received, and Christmas tree collections continued through February 28, 2022. Although 101 complaints
represented only 2% of the approximately 5,000 trees collected, the District does not operate a call center. Instead, one or two staff
members were responsible for handling all incoming calls, which proved time-consuming and interfered with their ability to complete
regular duties.
During that year, the District and CR&R were also in contract negotiations related to the transition to a three-cart system. To prevent
future delays and minimize disruption to staff duties, both parties agreed to include a provision in the contract allowing the District to
hire a third-party contractor to assist with Christmas tree collections. The contract states:
"The District shall be allowed to hire a third-party contractor to assist with the annual Christmas Tree Collection Program to
avoid delays experienced in the past. Hauler is to reimburse the District 100% of the collection and disposal fees of the third-
party contractor."
(Page 13, First Amendment to Agreement Between Costa Mesa Sanitary District and CR&R Incorporated)
In 2023, the District hired a third-party contractor, Junk Smiths, to be paid $35 per tree collected. When staff were notified that trees
remained on the curb 48 hours after the scheduled collection day, Junk Smiths would be dispatched to collect them. That year, staff
received only two complaints, and Junk Smiths was not required to respond to any missed pickups by CR&R. As a result, the District
did not incur any reimbursable expenses, and CR&R was not required to issue reimbursement.
In 2024, the District opted not to hire a third-party contractor based on CR&R’s strong performance the previous year. Staff received 34
complaints that year.
Subject 3. Hiring a Third-Party Contractor to Pick Up Christmas Trees
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Action
Recommended
Action
That the Board of Directors provide direction to staff.
Goals 2.0 Solid Waste
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In 2025, the District again chose not to hire a third-party contractor, as the number of complaints in 2024 was considered minimal.
However, complaints tripled in 2025, with a total of 98 reported.
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 Administrative Content Executive Content
Implementing Procedures" that state on page 6 "Projects" does not include .... C. Continuing administrative or maintenance activities."
Financial Review
In the preliminary draft FY 2025/26 - 2026/27 Biennial Budget, $4,500 is budgeted in each year for a third-party contractor to assist
picking up Christmas trees.
Public Notice Process
Copies of this report are on file and will be included with the complete agenda packet for the April 28, 2025, Board of Directors Regular
meeting at District Headquarters and posted on the District's website www.cmsdca.gov.
Alternative Actions
1. Direct staff to continue hiring a third-party contractor to pick up Christmas trees when staff believes it's necessary.
2. Direct staff not to hire a third-party contractor to assist picking up Christmas trees.
3. Direct staff to report back with more information.
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E. GENERAL MANAGER'S REPORTS
To: Board of Directors
From: Scott Carroll, General Manager
Date: April 28, 2025
Subject: Adoption of the 2025 Multi-Jurisdictional Hazard Mitigation Plan (MJHMP)
Summary
The Disaster Mitigation Act of 2000 amended the Robert T. Stafford Disaster Relief and Emergency Assistance Act (Stafford Act) to
establish a framework for state, local, tribal, and territorial governments to engage in hazard mitigation planning as a prerequisite for
receiving certain types of non-emergency disaster funding assistance. The requirements and procedures for implementing hazard
mitigation planning provisions are outlined in Title 44, Chapter 1, Part 201 (44 CFR Part 201) of the Code of Federal Regulations.
To be eligible for certain federal grant programs, an approved and adopted Hazard Mitigation Plan is required. These grant programs
include:
Hazard Mitigation Grant Program (HMGP)
Public Assistance Grant Program (PA)
Building Resilient Infrastructure and Communities (BRIC)
Safeguarding Tomorrow Revolving Loan Fund Program
Fire Management Assistance Grant Program (FMAG)
Rehabilitation of High Hazard Potential Dam Grant Program (HHPD)
Recommendation
That the Board of Directors adopt Resolution No. 2025-999 Adopting the Orange County Water and Wastewater Multijurisdictional
Hazard Mitigation Plan.
Analysis
In January 2024, the Water Emergency Response of Orange County (WEROC) initiated the update of the Orange County Water and
Wastewater Multi-Jurisdiction Local Hazard Mitigation Plan (MJHMP) to ensure continued eligibility for Federal Emergency
Management Agency (FEMA) hazard mitigation funding. Water and wastewater agencies are required to maintain a current and
approved Hazard Mitigation Plan (HMP). CMSD joined the MJHMP because staff is seeking HMGP funds to help finance Project No.
341, Elden Pump Station Forcemain Redundancy Project.
The multi-jurisdictions that are participating in the MJHMP include the following:
Costa Mesa Sanitary District
El Toro Water District
Irvine Ranch Water District
Laguna Beach County Water District
Mesa Water District
Moulton Niguel Water District
Municipal Water District of Orange County
Orange County Sanitation District
Orange County Water District
Santa Margarita Water District
Subject 4. Adoption of the 2025 Multi-Jurisdictional Hazard Mitigation Plan (MJHMP)
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Action
Recommended
Action
That the Board of Directors adopt Resolution No. 2025-999 Adopting the Orange County
Water and Wastewater Multijurisdictional Hazard Mitigation Plan.
Goals 3.0 Emergency Preparedness
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Serrano Water District
South Coast Water District
South Orange County Wastewater Authority
Trabuco Canyon Water District
Yorba Linda Water District
On August 26, 2024, the Board of Directors directed staff to begin engaging with members of the public about the MJHMP and allow
them opportunities to provide feedback about the plan. On November 13, the Citizens Advisory Committee reviewed and commented
on the draft MJHMP along with CMSD's Annex to the Plan and the Board of Directors did the same on November 25, 2024.
WEROC submitted the MJHMP to the California Office of Emergency Services (CalOES) on December 3, 2024, in accordance with the
project milestones. The submission included all necessary documentation for compliance. On February 14, 2025, CalOES approved the
MJHMP and transmitted the plan to FEMA for final review, a process that typically takes approximately 45 days.
On April 14, 2025, FEMA gave the MJHMP preliminary approval pending participating agencies adopt the plan by resolution. Attached
is Resolution No. 2025-999 adopting the Orange County Water and Wastewater Multi-Jurisdictional Hazard Mitigation Plan.
Legal Review
District Counsel has reviewed and approved the resolution
Environmental Review
Consideration for a multi-jurisdictional hazard mitigation plan 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
The district's cost share for updating the MJHMP is $11,800
Public Notice Process
Copies of this report are on file and will be included in the complete agenda packet for the April 28, 2025 Board of Directors Meeting at
District Headquarters and posted on the District’s website.
Alternative Actions
1. Do not adopt the resolution. However, the district will not be eligible for HGMP funds because the district will not have an adopted
hazard mitigation plan.
File Attachments
Resolution 2025-999 - MJHMP.docx (25 KB)
OC Water and Wastewater MJHMP Approval Letter Pending Adoption 4_2025.pdf (228 KB)
MWDOC_HMP_All_Sections_Final.pdf (5,678 KB)
Annex E_Costa Mesa San_2025_Updated (1).pdf (2,447 KB)
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E. GENERAL MANAGER'S REPORTS
To: Board of Directors
Via: Scott Carroll, General Manager
From: Lieu Tran, Sr. Accountant
Date: April 28, 2025
Subject: Receive and File the Fiscal Year 2024-25 Third Quarter Budget Review
Summary
This report serves as a summary of the District’s spending through March 31, 2025 as well as staff’s best estimate of projected
balances for the year-ended June 30, 2025.
Recommendation
That the Board of Directors receive and file the Fiscal Year 2024-25 Third Quarter Budget Review.
Analysis
This analysis report uses the “Amended Budget”, consisting of the adopted budget plus any approved prior year carryover
appropriations, as well as budget adjustments through March 31, 2025.
Solid Waste Fund Expenditure- The Solid Waste fund has an amended budget of $8,619,009. As of March 31, 2025, a total of
62% of the Solid Waste budget was expended. At this time, staff anticipates a budgetary savings of $250,000 for the fiscal year,
mainly due to savings in Personnel and Maintenance/Operations.
Solid Waste & General Funds Revenue- The total Solid Waste and General Funds revenue budget for FY 2024-25 is
$8,602,100. As of March 31, 2025, the District received $5,591,179.
Wastewater Fund Expenditure- The Wastewater fund has an amended budget of $6,538,887 (excluding capital improvement
projects). As of March 31, 2025, a total of 64% of the Wastewater Fund’s operating budget has been expended. Staff anticipates
a budgetary savings of $255,000 due to Personnel and Maintenance/Operations.
Wastewater Fund Revenue- The total Wastewater Fund revenue budget for FY 2024-25 is $8,238,000. As of March 31, 2025,
the total Wastewater Fund revenue the District received is $5,574,604.
Capital Improvement Projects (CIP) – The Capital Improvement Projects are expected to stay within the allocated budget.
Please refer to the attached report for a more comprehensive analysis.
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.”
Subject 5. Receive and File the Fiscal Year 2024-25 Third Quarter Budget Review
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Receive and File
Goals 8.0 Finance
8.3 Finance - Forecast revenues and expenditures
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Financial Review
See attached report.
Public Notice Process
Copies of this report are on file and will be included with the entire agenda packet for the April 28, 2025 Board of Directors regular
meeting at District Headquarters and on District website at www.cmsdca.gov.
Alternative Actions
Refer the matter back to staff for additional information.
File Attachments
A-FY2024-25 Third Quarter Budget Analysis.pdf (327 KB)
B - Expenditure Analysis 03312025.pdf (77 KB)
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E. GENERAL MANAGER'S REPORTS
To: Board of Directors
From: Scott Carroll, General Manager
Date: April 28, 2025
Subject: Receive and File 2025 Performance Report - 1st Quarter (January-March) Calendar Year
Summary
On November 29, 2018, the Board of Directors adopted Administrative Regulations No. 70.00, Performance Measurement Program,
which established methods and procedures for gathering and analyzing organizational performance while at the same
time collaborating towards continuous improvement of performance in an open and transparent manner.
Recommendation
That the Board of Directors receive and file this report
Analysis
A Performance Measurement Program has been developed to determine how well the District is performing in areas of efficiency,
effective workforce, customer satisfaction, cost effectiveness, citizen engagement and transparency. The purpose of the program is to
continually look at ways to improve and/or enhance the level of service that is being provided internally to staff and externally to the
public. The outcome data reflected in the attached report is for three months (January to March 2025).
Legal Review
Not applicable
Environmental Review
A Performance Measurement Program 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 implementing a Performance Measurement Program
Public Notice Process
Copies of this report are on file and will be included with the entire agenda packet for the April 28, 2025 regular 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.
File Attachments
1st Qtr 2025.pdf (878 KB)
Subject 6. Receive and File 2025 Performance Report - 1st Quarter (January-March)
Calendar Year
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Discussion
Goals 6.0 Administrative Management
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E. GENERAL MANAGER'S REPORTS
To: Board of Directors
Via: Scott Carroll, General Manager
From: Gina Terraneo, Senior Management Analyst
Date: April 28, 2025
Subject: Consider Approving Contribution Application for Costa Mesa-Newport Harbor Fish Fry
Summary
On July 31, 2013, the Board of Directors approved implementing new procedures for sponsoring organizations and/or events. Staff is
presenting the Board of Directors with a Contribution Program Eligibility Application submitted by the Costa Mesa Newport Harbor Lions
Club for the use of three (3) District generators during the Fish Fry event on June 27-29, 2025. In exchange for this contribution, the
Costa Mesa Newport Harbor Lions Club would provide the District with a standard booth at the event, as well as inclusion in the event
advertising on the group's website, social media, and on the event banner.
Recommendation
That the Board of Directors:
1. Approve the Costa Mesa Newport Harbor Lions Club's Contribution Application requesting 3 District generators for the Fish Fry
event; and
2. Make a finding that this contribution will increase District visibility and promote the District's purposes of recycling, source separation,
and wastewater collection through educational information and activities provided at the District's event booth.
Subject 7. Consider Approving Contribution Application for Costa Mesa-Newport Harbor
Fish Fry
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Action, Receive and File
Preferred Date Apr 28, 2024
Absolute Date May 26, 2024
Fiscal Impact No
Recommended
Action
That the Board of Directors:
1. Approve the Costa Mesa-Newport Harbor Lions Club's Contribution Application
requesting 3 District generators for the Fish Fry event; and
2. Make a finding that this contribution will increase District visibility and promote the
District's purposes of recycling, source separation, and wastewater collection through
educational information and activities provided at the District's event booth.
Goals 5.7 Community Outreach & Communications - Provide workshops, educational events
and special events
5.5 Community Outreach & Communications - Use clear messaging and education to
engage the community in District programs and activities
5.2 Community Outreach & Communications - Offer sustainable promotional
products
5.0 Community Outreach & Communications
4.7 Partnerships - Participate in community events to increase visibility
4.1 Partnerships - Build relationships with local agencies, small businesses, and non-
profit agencies to promote sustainable practices
4.0 Partnerships
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Analysis
According to the procedures implemented on July 31, 2013, the Board of Directors must do the following in order to determine if a
contribution should be made:
Establish the purpose the District is trying to serve by contributing. This purpose must be established as one of the District’s
statutory powers or a power that would be incidental to those purposes. For example, District purposes include solid waste
collection, recycling, source separation, wastewater collection, and preventing sanitary sewer overflows (SSOs).
Describe how the contribution will advance the District's purpose.
Regarding these criteria, the Fish Fry sponsorship may serve the purpose of increasing District visibility by providing a community booth
where District staff can promote and educate the public about the importance of recycling, source separation, and wastewater
collection. During each day of the event, District staff can host various educational activities, including a waste sorting game and an
engaging wastewater display. These activities will promote District programs, such as the Large Item Collection Program, Household
Hazardous Waste Collection Program, FOG Prevention, and the Sewer Inspection Rebate Program. Additionally, District staff will use
this opportunity to continue educating residents about the Three-Cart curbside collection system and display
the black/landfill, blue/recycling, and green/organics carts. To support these outreach efforts, CMSD will distribute sustainable
giveaways and display educational materials.
As stated in the attached application, the Costa Mesa Newport Harbor Lions Club will provide the following:
A District booth at the event
Features in event advertising, including website, social media, and banner
Recycling containers at the event to encourage recycling
The District provided generators for the Fish Fry event from 2016-2019. After a hiatus due to the pandemic, the District participated in
the event in 2022 and 2023; however, the District's generators were not used during these years because the Costa Mesa Newport
Harbor Lions Club did not meet the District's insurance requirements. District generators were provided once again in 2024.
Legal Review
Not applicable.
Environmental Review
The consideration of a contribution to a non-profit organization to be used as a vehicle for promoting the District is an administrative
matter and is not a disturbance of the environment, similar to grading or construction, and is not a project under CEQA or the District’s
CEQA Guidelines.
Financial Review
There is no financial impact, since the application requests the use of three (3) generators rather than a monetary sponsorship. Costa
Mesa Newport Harbor Lions Club has provided the required proof of insurance, per the "Generator Use Agreement Requirements and
Procedures," to cover any potential damage to the generators.
Public Notice Process
Copies of this report are on file and will be included with the complete agenda packet for the April 28, 2025 Board of Directors Regular
Meeting at District Headquarters and posted on the District’s website.
Alternative Actions
1. Determine that no purpose exists for providing a sponsorship for the Fish Fry event.
2. Approve an alternative sponsorship, such as a lesser number of generators or a monetary sponsorship.
File Attachments
Contribution Application - Fish Fry 2025.pdf (1,118 KB)
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E. GENERAL MANAGER'S REPORTS
To: Board of Directors
Via: Scott Carroll, General Manager
From: Gina Terraneo, Senior Management Analyst
Date: April 28, 2025
Subject: Consider Approving Contribution Application for Love Costa Mesa City Wide Volunteer Day
Summary
On July 31, 2013, the Board of Directors approved implementing new procedures for sponsoring organizations and/or events. Staff is
presenting the Board of Directors with a contribution application submitted by Love Costa Mesa to provide a monetary sponsorship of
$3,000 for the Love Costa Mesa City Wide Volunteer Day on May 17, 2025.
Recommendation
That the Board of Directors:
1. Determine whether the contribution will serve one of the District's statutory purposes and describe how the purpose will be advanced.
2. Consider approving the contribution request to sponsor the Love Costa Mesa City Wide Volunteer Day event on May 17, 2025.
Analysis
According to the procedures implemented on July 31, 2013, the Board of Directors must do the following in order to determine if a
contribution should be made.
Subject 8. Consider Approving Contribution Application for Love Costa Mesa City Wide
Volunteer Day
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Action
Preferred Date Apr 28, 2025
Absolute Date Apr 28, 2025
Fiscal Impact Yes
Dollar Amount $3,000.00
Budgeted Yes
Budget Source Solid Waste Fund
Recommended
Action
That the Board of Directors:
1. Determine whether the contribution will serve one of the District's statutory purposes
and describe how the purpose will be advanced.
2. Consider approving the contribution request to sponsor the Love Costa Mesa City
Wide Volunteer Day event on May 17, 2025.
Goals 5.0 Community Outreach & Communications
4.0 Partnerships
4.7 Partnerships - Participate in community events to increase visibility
4.1 Partnerships - Build relationships with local agencies, small businesses, and non-
profit agencies to promote sustainable practices
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Establish the purpose the District is trying to serve by contributing. This purpose must be established as one of the District’s
statutory powers or a power that would be incidental to those purposes. For example, District purposes include solid waste
collection, recycling, source separation, wastewater collection, and preventing sanitary sewer overflows (SSOs).
Describe how the contribution will advance the District's purpose.
Regarding these criteria, Love Costa Mesa states in their application that the sponsorship will advance the District's purposes of solid
waste collection and recycling, because this event pairs volunteers with various community projects, including assisting Costa Mesa
schools and residents with the safe removal of excess solid waste and landscaping. They cite examples of projects like helping a
school remove a garden bed or assisting an isolated elderly resident to remove excess waste accumulated through hoarding or an
inability to maintain their property. They also note that they plan to recycle waste, when possible.
For sponsorships of $1,000 to $4,999, sponsors will receive an annual thank you gift, a small website recognition (small font at bottom
of the webpage), and a small print recognition (small font at bottom of print materials, event programs, and t-shirts). Love Costa Mesa is
not offering the District an event booth like in past years. Booths are now available only at the $10,000+ sponsorship level.
In 2019, the District contributed a rental of 2 portable toilets for the event, costing a total of $380. In 2023 and 2024, the District
sponsored this event in the amount of $1,000 in exchange for hosting a booth at the event.
Legal Review
Not applicable.
Environmental Review
Approving a contribution application 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 administration or
maintenance activities.
Financial Review
There are available funds to cover the requested sponsorship amount. The District's sponsorship budget for FY 24-25 totals $7,000,
and there is currently a remainder of $4500 ($2250 in the Solid Waste Fund and $2250 in the Wastewater Fund).
Public Notice Process
Copies of this report are on file and will be included with the entire agenda packet for the April 28, 2025 Board of Directors regular
meeting at District Headquarters and on District's website.
Alternative Actions
1. Approve an alternate sponsorship amount.
2. Approve an in-kind sponsorship.
3. Refer the matter back to staff.
File Attachments
Contribution Application - Love Costa Mesa Day 2025.pdf (583 KB)
Love Costa Mesa Sponsorship 2025.pdf (2,935 KB)
2025 Love Costa Mesa Day Partnership.pdf (3,076 KB)
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F. ENGINEER'S REPORTS
To: Board of Directors
From: Mark Esquer, District Engineer
Date: April 28, 2025
Subject: Receive and File the District Engineer's Monthly Report and Capital Improvement Projects Status
Summary
The District Engineer has provided a memorandum with a brief summary of major capital or other engineering activities for the subject
period. The District Engineer's memorandum is attached. Also attached is a detailed summary of the Capital Improvement Project
activities and associated project cost expenses for the previous calendar month.
Recommendation
The Board of Directors receive and file the Capital Improvement Status Report.
Analysis
Attached is information regarding project or technical sewer activities for the Board of Directors' use and information.
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
The cost of preparing this report is contained within the operating budget. There are sufficient funds 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 April 28, 2025 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.
File Attachments
2025 04 Monthly Engineers Report CMSD Memorandum.pdf (213 KB)
2025-03 Financial Section for CIP Updates.pdf (71 KB)
Administrative File Attachments
Subject 1. Receive and File the District Engineer's Monthly Report and Capital
Improvement Projects Status
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Discussion, Receive and File
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2025 04 Monthly Engineers Report CMSD Memorandum.docx (105 KB)
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F. ENGINEER'S REPORTS
To: Board of Directors
From: Mark Esquer, District Engineer
Date: April 28, 2025
Subject: Project No. 355 South Coast Plaza Emergency Sewer Replacement: Accept Improvements as Completed, File Notice
of Completion, Exonerate Labor and Materials Bond and Exonerate Faithful Performance Bond
Summary
T.E. Roberts, Inc. has completed the SCP Emergency Sewer Repair project on, or around, February 28, 2025., therefore, it is
appropriate for the District to accept the improvements and file a Notice of Completion
Recommendation
That the Board of Directors:
Accept improvements as completed and file a Notice of Completion;
2. Exonerate Labor and Material Bond 35 days after Notice of Completion is recorded; and
3. Exonerate Faithful Performance Bond one year after Notice of Completion is recorded.
4. Approve the Close-Out Agreement.
Analysis
The project generally consisted of replacing a failed sewer pipe adjacent to the District's South Coast Plaza pump station. Because of
the relatively high ground water level, 24-foot deep excavation, and various site constraints, groundwater dewatering, a sheet pipe
coffer dam, and other construction techniques were employed to install the replacement pipe.
Legal Review
The District legal counsel reviewed the Project Close Out Agreement and Notice of Completion.
Environmental Review
This Subject activity consisting of administratively completing a project, 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
Subject 2. Project No. 355 South Coast Plaza Emergency Sewer Replacement: Accept
Improvements as Completed, File Notice of Completion, Exonerate Labor and
Materials Bond, Exonerate Faithful Performance Bond, and approve the Close-
Out Agreement
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Action
Fiscal Impact No
Dollar Amount $1,802,562.00
Budgeted Yes
Budget Source P355 SCP Urgent Capital Repair
Recommended
Action
That the Board of Directors:
1. Accept improvements as completed and file a Notice of Completion;
2. Exonerate Labor and Material Bond 35 days after Notice of Completion is recorded;
and
3. Exonerate Faithful Performance Bond one year after Notice of Completion is recorded;
and
4. Approve the Close-Out Agreement.
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“CEQA Guidelines and Implementing Procedures” that state on page 6 “Projects” does not include......C. Continuing administrative or
maintenance activities.”
The Board adopted the CEQA as exempt during the May 2024 Board of Directors meeting.
Financial Review
The approved budget for Project #355 SCP Urgent Capital Repair is $1,802,562 and the balance as of April 18, 2025 is about $6,401.
The total expenses, including encumbrances, through April 18, 2025, for the project is approximately $1,796,160.
Even though the District is filing a Notice of Completion for the Construction work, the District consultant is preparing record drawings
and finalizing design paperwork. They will be paid for their final project work when completed. The Project budget cannot be closed at
this time.
Public Notice Process
Copies of this report are on file and will be included with the complete agenda packet for the April 28, 2025, Board of Directors Regular
meeting at District Headquarters and posted on the District’s website www.cmsdca.gov.
Alternative Actions
1. Do not accept the improvements as complete.
2. Direct staff to report back with more information.
File Attachments
6303 closeout agt.pdf (1,648 KB)
355 SCP Emergency Repair - Notice of Completion 2025 04 Final.pdf (74 KB)
Administrative File Attachments
355 SCP Emergency Repair - Notice of Completion 2025 04 Final.docx (31 KB)
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G. TREASURER'S REPORTS
To: Board of Directors
From: Marc Davis, District Treasurer
Date: April 28, 2025
Subject: Approve the Investment Report for the Month of March 2025
Summary
Attached is the Investment Report for the month of March 2025. 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 March 2025.
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 March 31, 2025. The District's investments are in compliance with the Statement of Investment Policy
adopted by the Board at the June 24, 2024 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 March 31, 2025, was 2.826%. The
yield to maturity of the portfolio was 2.826%. The District's weighted average interest rate was 149 basis points (1.487%) below the
LAIF average monthly rate of 4.313% for the month of March 2025. The weighted average number of days to maturity for the District's
total portfolio was 309 days (0.85 years). The duration of the underlying securities in LAIF as of March 31, 2025 was 244 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 March 31, 2025 was 67.69%. 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.
Undesignated - Remaining available cash, which is currently used for rate stabilization and payment of organics
recycling costs.
Subject 1. Investment Report for the Month of March 2025
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Action
Recommended
Action
That the Board of Directors approve the Investment Report for the month of March
2025.
Goals 7.0 Finance
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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 1.487% for the year ending June 30, 2025. Through March 31, 2025, the
portfolio has earned a weighted average interest rate of 2.786%.
Public Notice Process
Copies of this report are on file and will be included with the entire agenda packet for the April 28, 2025 Joint Board of Directors and
Citizens Advisory Committee 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 - March 2025.pdf (425 KB)
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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.
Subject 1. Orange County Sanitation District (OCSD) - (Vice President Ooten)
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type
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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.
Subject 2. Santa Ana River Flood Protection Agency (SARFPA) - (Secretary Perry)
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type
4/24/25, 12:30 PM BoardDocs® Pro
https://go.boarddocs.com/ca/cmsdca/Board.nsf/Private?open&login#49/55
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.
Subject 3. Independent Special Districts of Orange County (ISDOC) - (President
Scheafer)
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type
4/24/25, 12:30 PM BoardDocs® Pro
https://go.boarddocs.com/ca/cmsdca/Board.nsf/Private?open&login#50/55
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.
Subject 4. California Special Districts Association (CSDA) - (Vice Secretary Schafer)
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type
4/24/25, 12:30 PM BoardDocs® Pro
https://go.boarddocs.com/ca/cmsdca/Board.nsf/Private?open&login#51/55
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.
Subject 5. Special District Risk Management Authority (SDRMA) - (President Scheafer)
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type
4/24/25, 12:30 PM BoardDocs® Pro
https://go.boarddocs.com/ca/cmsdca/Board.nsf/Private?open&login#52/55
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.
Subject 6. Other Meetings Qualifying for Reimbursement under CMSD Ordinance No.
55, Operations Code Section 3.01.030
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type
4/24/25, 12:30 PM BoardDocs® Pro
https://go.boarddocs.com/ca/cmsdca/Board.nsf/Private?open&login#53/55
L. ORAL COMMUNICATIONS AND DIRECTOR COMMENTS
Subject 1. Oral Communications and Director Comments
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Discussion
4/24/25, 12:30 PM BoardDocs® Pro
https://go.boarddocs.com/ca/cmsdca/Board.nsf/Private?open&login#54/55
O. CLOSING ITEMS
The next regular meeting of the Costa Mesa Sanitary District Board of Directors will be held at 4:30 p.m. on Tuesday, May 27, 2025 in
the District's Boardroom, located at 290 Paularino Avenue, Costa Mesa, CA 92626.
Subject 1. Adjourn
Meeting Apr 28, 2025 - Board of Directors Regular Meeting
Access Public
Type Procedural
4/24/25, 12:30 PM BoardDocs® Pro
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