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Ord 2008-68ORDINANCE NO. 68 AN ORDINANCE OF THE BOARD OF DIRECTORS OF THE COSTA MESA SANITARY DISTRICT SETTING FORTH CONFLICT AVOIDANCE PROCEDURES FOR THE DISTRICT'S ENGINEER WHEREAS, the District has contracted with Robin B. Hamers to be its Engineer since 1981; and WHEREAS, the District in 1992 contracted with Robin B. Hamers & Associates, Inc. to be its Manager, in addition to being its District Engineer; and WHEREAS, in District's contract with Robin B. Hamers & Associates, Inc., the Board determined that such services were to be provided as an independent contractor and that certain engineering services were to be provided on behalf of District, including field crews and inspectors and civil engineers, and that Robin B. Hamers would act as both District Manager and District Engineer; and WHEREAS, as part of that contract, Robin B. Hamers was to prepare long term plans for District construction operations, sanitary sewer maintenance repair and an annual capital improvement projects report, along with cost estimates and rates charged; and WHEREAS, that contract further provides that in the interest of avoiding conflicts of interest, that such capital improvement projects shall be presented to an independent engineer for an opinion as to the reasonableness of the charges and the need for the projects; and WHEREAS, said contract further provides that Manager shall also cooperate in establishing the reasonableness of costs and necessity of work and other disclosures relating to possible conflict of interest in District engineering work; and WHEREAS, Robin B. Hamers & Associates, Inc. is an independent engineering firm that does work for private clients; and WHEREAS, occasionally Robin B. Hamers & Associates, Inc. will prepare plans and do related work that may later require District approval; and WHEREAS, in those instances, it would be improper for the District Engineer to approve of his own plans; and WHEREAS, the District desires to provide a mechanism by which such approvals may occur on those occasions; and WHEREAS, the District's Board of Directors is highly pleased with the services provided by Robin B. Harriers and desires to continue such services within parameters that protect everyone involved from conflict of interest and from the appearance of conflict of interest; NOW, THEREFORE, the Board of Directors of the Costa Mesa Sanitary District does hereby ORDAIN as follows: Section 1. That Section 3.01.045 is hereby added to the Costa Mesa Sanitary District Operations Code to read as follows: "3.01.045 Special procedures to avoid conflicts in engineering decisions. The Board recognizes that special procedures must be employed to avoid conflicts or the appearance of conflicts in the approval of engineering matters that arise from the Manager /District Engineer's unique position in providing management of the District as well as engineering services for the District, while at the same time maintaining a private civil engineering firm. To establish ethical walls and to ensure that the public's interests are protected, the following procedures shall be implemented: (a) District engineering work. The District's Engineer is authorized to perform civil engineering work on behalf of the District. District's civil engineering proposals, projects and decisions to prepare such proposals and projects and to implement such work shall be reviewed by an outside civil engineer who shall review said proposals for appropriateness and reasonableness of cost. The Board may appoint such outside civil engineer as Alternate District Engineer. Such outside civil engineer shall report directly to the Board of Directors and shall submit any bill for services directly to the Board of Directors. Such review shall specifically be required for District's Capital Improvement Plan that is prepared on an annual basis. (b) Private engineering work within the District boundaries. Should the Manager /District Engineer perform civil engineering work for a private client that requires District approval, the Manager /District Engineer shall not approve those plans in his capacity as District Engineer. Should engineering review be required, it shall be referred by staff to the Alternate District Engineer or other civil engineer in accordance with the procedure as described above." Section 2. Should any part, clause or section of this Ordinance be declared by any Court of competent jurisdiction to be invalid, the remaining provisions of this Ordinance shall nevertheless be and remain in full force and effect and the Board of Directors of the Costa Mesa Sanitary District of Orange County, California, hereby declares that each and every section, clause, provision or part of this Ordinance would have been adopted and made a 2 part of this Ordinance without the adoption of any portion thereof and that the invalidity of any part or provision hereof shall not in any way affect the validity or enforcement of the remaining provisions of this Ordinance that may stand on their own. Section 3. Pursuant to Health and Safety Code Sections 6490 and 6491.3, the Clerk shall cause this ordinance or a summary thereof to be published in a newspaper of general circulation printed and published in the District according to law. PASSED and ADOPTED this a a PtL day of 2008. Secretary 3 STATE OF CALIFORNIA) COUNTY OF ORANGE ) SS CITY OF COSTA MESA ) I, JOAN REVAK, Clerk of the Costa Mesa Sanitary District, hereby certify that the above and foregoing Ordinance No. 68 was duly and regularly passed and adopted by said Board of Directors at a regular meeting thereof, held on the 22nd day of May 2008 by the following vote: AYES: Art Perry, Arlene Schafer, Robert Ooten, James Ferryman, Gary Monahan NOES: ABSENT: IN WITNESS WHEREOF, I have hereunto set my hand and affixed the seal of the Costa Mesa Sanitary District, this a1 day of May 2008. Clerk of e Costa Mesa Sanitary District F51