Agenda Packets - Board - 2008-01-24Costa
... an Independent Special District
Art Perry
President
Arlene Schafer
Vice President
Jim Ferryman
Director
Bob ®oten
Secretary
Gary Monahan
Director
Regular Meeting o Thursday, January 24, 2008
RECOMMENDED
ACTION
CALL TO ORDER — 5:30 p.m. — 628 W. 191h Street, Costa Mesa
II. PLEDGE OF ALLEGIANCE — Director Monahan
III. INVOCATION — Thomas Fauth
IV. 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.)
V. CONSENT CALENDAR - All matters listed under the Consent Calendar are considered
to be routine and will be enacted in one motion in the form listed below. There will be no
separate discussion on these items prior to the time the Board votes on the motion,
unless members of the Board request specific items to be removed from the Consent
Calendar for discussion, in which event the item will be removed from the Consent
Calendar and considered in its normal sequence on the agenda.
Reports
Minute Approval
1. Recycling Committee Meeting — December 10, 2007
2. Sewer System Committee Meeting — December 12, 2007
3. Investment Oversight Committee Meeting — December 13, 2007
4. Regular Board of Directors Meeting — December 13, 2007
Ovtecting our community's heafth 6y providing soCd waste and sewer coQection services.
wwru.crosdca.gov
AGENDA
Manager's Reports
5. Refunds
6. Occupancy Report and payment to Costa Mesa Disposal — December 2007
7. Monthly Spill Report to State Water Resources Control Board
Engineer's Reports
8. Project Status Report
Treasurer's Reports
9. Financial Reports as of December 31, 2007
10. Treasurer's Reports as of December 31, 2007
11. Warrant Register for the month of December 2007 in the amount of
$1,657,041.51
12. Directors' Compensation and Reimbursement of Expenses for the
Month of December 2007
----------------------------- - - - - -- -END OF CONSENT CALENDAR----- - - - - --
VI. WRITTEN COMMUNICATIONS
VII. PUBLIC COMMENTS
VIII. MANAGER'S REPORTS
A. Private Property Sewer Spill at 3030 Harbor Blvd.
B. District Yard — 174 W. Wilson Street — CMSD #187
1. Update on Close of Escrow and Design Phase
2. LEEDs Proposals
C. CMSD Strategic Plan
1. Year 2007/2008 Strategic Planning Action Items
January 24, 2008
Page 2
RECOMMENDED
ACTION
No Refunds
Approve
Receive & File
Receive & File
Approve
Approve
Ratify Payments
Approve Compensation
& Ratify Expenses
Public Hearing on District's
Abatement Charges
Accept Report
Approve Consultant
Agreement
Accept Report
Tmtecting our community's heafth 6y providing sofuf waste and sewer collection services.
www.crosdca gov
January 24, 2008
AGENDA Page 3
RECOMMENDED
ACTION
2. Mid - Program Strategic Planning Meeting held December 26, 2007 Adopt Goals &
Incorporate into
Strategic Plan
D. Sewer System Committee
1. Report on meeting held January 16, 2008
Accept Report
2. Potential Transfer of OCSD Sewers to CMSD
Consider
3. Project #186 Sewer Lateral Assistance Program
Update
a. Request for Approval for Reimbursement for two laterals
Consider
on one parcel at 223 Santa Isabel Avenue
E. Recycling Reports
1. Waste Diversion Report — December 2007
Receive & File
F. Contract Payment to CR Transfer for Recycling Services and Disposal
Accept Report &
1. Payment for December 2007 Services
Ratify
G. Ordinance Enforcement Officer's Report Accept Report
H. Subcommittee to Liaison Committee on City Tree Roots — Meeting Verbal Report
held Friday, December 14, 2007
I. CR &R
1. Resolution of Contractual Interpretations Consider
J. Director I.D. Badges Consider
1. Legal Issues Involved with Badges
Accept Report
from Attorney
K. Personnel Update — Management Analyst and Sewer Crew
Verbal Report
L. Recycling Committee — Tuesday, January 22, 2008,12:00 p.m.,
CMSD Board Room, 628 W. 1gth Street, Costa Mesa
(Directors Ooten, Ferryman and Perry)
1. Recycling Committee Goals for 2007/2008
Receive & File
2. School Telephone Book Recycling Contest
Accept Report &
November 14 - December 21, 2007
Approve Awards
3. Christmas Tree Recycling for 2007
Accept Report
Protecting our community's heafth by Ong soCuf waste and sewer colrection sem ces.
www crosdca gov
Cost Wsa Sanitary D istTict
AGENDA
4. Costa Mesa High School Life Science Academy; Assist in
Expanding Recycling Programs
5. IWMD Sub - Regional Meetings and Grant Program
1. Resolution No. 2008 -747 Approving an Application for Grant
Funds in the amount of $20,000
6. Chemical Clean -Out Program at K -12 Schools
7. Update on Sharps Program Expansion to CVS Pharmacy
8 Report on other CMSD Recycling Programs
X. ENGINEER'S REPORTS
A. Waste Discharge Requirements (WDR)
B. Report on Emergency or Non -Bid Sewer Work— Emergency Purchase
of Pump for Elden Pumping Station
XI. TREASURER'S REPORTS
A. Budget Adjustment for District Yard — Project No. 187
B. Mid -Year Budget Review
XII. ATTORNEY'S REPORTS
A. Conversion of "Fixture Fees" to "Capacity Charges"
B. Resolution No. 2008 -746 — Ordering that Ordinance No. 64 Establishing
Emergency Procedures has been Published
C. Ordinance No. 65 - Changing the Regular Board of Directors Meeting Date
D. Amendment No. 2 to OCSD Cooperative Projects Agreement
E. Oath of Office for Staff Members
F. Report on Appellate Case in San Bernardino Pertaining to Trash Contract
January 24, 2008
Page 4
RECOMMENDED
ACTION
Accept Report
Accept Report
Adopt Resolution
Accept Report
Accept Report
Accept Report
Update
Ratify Actions of
Manager /District
Engineer by 4/5 Vote
Approve Adjustment
Accept Report
Verbal Update
Adopt Resolution
Adopt Ordinance
Approve and Execute
Agreement
Update
Accept Report
Protecting our community's health 6y PrOvifitng sofid waste and sewer col%etion services.
www.crosdcagov
Cu.sta mew ajl taro District January 24, 2008
AGENDA Page 5
RECOMMENDED
ACTION
XIII. LOCAL MEETINGS (Includes Reports by all Directors Representing CMSD)
A. Orange County Sanitation District (OCSD)
1. Meeting held January 23, 2008 (Director Ferryman) Accept Report
B. Santa Ana River Flood Protection Agency (SARFPA)
1. Report on meeting held January 24, 2008 (President Perry) Accept Report
C. Independent Special Districts of Orange County (ISDOC)
Accept Report
(Director Schafer)
1. Dues for Year 2008 in the amount of $50
Approve Payment
2. Quarterly Meeting on Thursday, January 31, 2008 at MC WD
Consider Attendance
D. Local Agency Formation Commission (LAFCO)
Accept Report
E. California Special Districts Association (CSDA)
Accept Report
(Director Schafer)
F. California Association of Sanitation Agencies (CASA)
1. Dues for Year 2008 in the amount of $6,287.90 Approve Payment
2. CASA Mid -Year Conference January 9 -12, 2008 Accept Report by
Director Schafer
3. CASA Spring Conference at Squaw Creek— April 23 -26, 2008 Consider Attendance
G. Other Meetings Qualifying for Reimbursement under CMSD Report on Matters
Ordinance No. 55, Operations Code Section 3.01.030 Pertaining to CMSD
1. Solid Waste Association of North America (SWANA) Workshop Accept Report by
held January 10 -11, 2008 Director Ooten
XIV. OLD BUSINESS
XV NEW BUSINESS
XVI. ORAL COMMUNICATIONS AND DIRECTOR COMMENTS
XVIL ADJOURN MENT
Omecting our community's he fth 6y providing soCuf waste and sewer col%ction services.
www.cmsd,ca.gov
1- 24 -08:
Heavenly Father, We have significant tasks before us this evening. Tasks
challenging our understandings and mental strength, and so We ask You to provide
the enlightenment to enable us to make the right decisions for our community and
our families. We solicit your warmth, kindness and generosity to shine on those
protecting our nation and the principles guiding our group's intentions this evening.
We thank you for watching over our friends and families and the families and
friends of our recently departed community leader, Steve Anderson. We Ask this in
your name, Amen
•
COSTA MESA SANITARY DISTRICT
MINUTES OF RECYCLING COMMITTEE MEETING
December 10, 2007
The Costa Mesa Sanitary District Recycling Committee met at 12:00 p.m. at 628 W. 19th
Street, Costa Mesa.
Directors Present: Bob Ooten, Art Perry
Staff Present: Rob Harriers, Denise Gilbert Janel Jackson
Director Ooten called the meeting to order at 12:00 p.m.
I. Recycling Committee Goals
• Director Ooten reviewed the Recycling Committee goals and noted the additions.
Director Ooten suggested combining goals III and XI as they both cover an aspect of e-
waste collection. Staff will make the suggested revisions. Ms. Gilbert stated an
additional plastics recycling presentation and reward program is scheduled for
December 12, 2007 with the Campfire Girls and Boys. Director Ooten requested
Ms. Jackson review the County of Orange IWMD website to determine the business
locations in the City of Costa Mesa currently accepting batteries. The Committee also
discussed the disposal of fluorescent tube lights, noting the need for education and
collection.
II. School Telephone Book Recycling Contest — November 14, 2007 to
December 21, 2007
Ms. Jackson reported she and Program Manager Joan Revak have been successfully
managing the program including obtaining revised banners from AT &T and having them
installed on the three -yard containers. Ms. Jackson will be sending a mid - program letter
to the schools encouraging their active participation and the value of teaching the
students the importance of recycling. Ms. Jackson also noted the revision of the average
directory weight from four pounds to three and one -half pounds based on the current size
of books. Director Ooten referenced prior Board minutes to insure staff was
incorporating the extra award considerations approved by the Board for last year's
program.
Protecting our community's health by providing solad waste and sewer collection services.
,qov
Costa Mesa Sanitary District
Minutes of Recycling Committee Meeting
December 10, 2007 •
Page 2
III. Costa Mesa High School Life Science Academy
Ms. Gilbert and Ms. Jackson outlined the request by the Life Science Academy to expand
their recycling programs with assistance from the District. The academy involves 85
students and a CMHS teacher. Directors Ooten and Perry, along with Staff, suggested
ideas for the Academy and Ms. Gilbert and Ms. Jackson will meet with the academy to
discuss the recommendations.
IV. America Recycles Day — November 15
Director Ooten restated the goal of working with Kline School to provide a waste -free
lunch presentation followed by the students bringing in a waste -free lunch. Ms. Jackson
is working with the school and also determining other schools that may be interested in
the program.
V. IWMD Sub - Regional Meetings and Grant Program
Director Ooten reported the Orange County Board of Supervisors approved the grant
program on December 4, 2007 for cities and special districts that collect trash. The
deadline for applications is January 31, 2008. Assistant Manager Tom Fauth will meet
with City of Costa Mesa. Management Analyst Donna Theriault to determine a
cooperative joint program between the City and District that best utilizes the $20,000
each agency will receive.
VI. Update on Sharps Program Expansion to CVS Pharmacy
Ms. Gilbert reported the CVS Pharmacy at 1835 Newport Blvd. is now on -line with sharps
containers and brochures. Ms. Gilbert stated the program budget will be fully utilized with
the new addition while also reporting the need for a participating pharmacy on the east
side of the District to balance the coverage. Director Ooten stated he would be in favor of
increasing future budgets to provide the valuable service. Director Ooten requested Staff
determine the number of pharmacies in Costa Mesa for future discussion.
VII. Report on other CMSD Recycling Programs
The committee members briefly discussed the forthcoming SWANA conference that
Director Ooten wishes to attend. The organization has extensive information on recycling
and programs.
Protecting our community's Health by providing solid waste and sewer co(lection services.
www.croscdcagov
C.
•
•
•
VIII. Public Comments
No members of the public were in attendance.
Costa Mesa Sanitary District
Minutes of Recycling Committee Meeting
December 10, 2007
Page 3
Director Ooten adjourned the meeting at 12:50 p.m.
Secretary
President
Protecting our community's health by providing solid waste and sewer co(kction services.
www.crosdcagov
COSTA MESA SANITARY DISTRICT
MINUTES OF SEWER SYSTEM COMMITTEE MEETING
DECEMBER 12, 2007
CALL TO ORDER Board members of the Costa Mesa Sanitary
District met in Committee session on December
12, 2007, at 10:30 a.m. at 628 W. 19th Street,
Costa Mesa.
Director Ooten called the meeting to order at
10:30 a.m.
DIRECTORS PRESENT: Jim Ferryman ; Gary Monahan; Bob Ooten;
DIRECTORS ABSENT:
STAFF PRESENT: Robin B. Hamers, Manager /District Engineer;
Thomas A. Fauth, Assistant Manager; Karl
Dulake, Maintenance Supervisor; Joe Limon,
Inspector; Debbie Bjornson, Permit Processing
Specialist;
OTHERS PRESENT: None
MONTHLY SPILL STATISTICS
Mr. Hamers presented the overall SSO statistics for 2007 which added two spills — one
from a debris blocked Main Line at 20291 Cypress St ON November 18, 2007 and one
from a grease blockage at 2460 Fairview Toad on December 1, 2007 — grease caused
nine SSOs, tree roots caused one SSO and Other issues such as debris blockage and a
pump station bubbler failure caused five SSOs. Mr. Dulake described how the District
prevented the spill occurring at 20291 Cypress Street from reaching the storm drain. Mr.
Hamers reported the year -to -date total remains at 119 gallons lost from the public sewer
system to the environment. Data continued to show zero SSOs have occurred in areas
National Plant Services, Inc. (NPSI), has cleaned District main lines. Telemetry
continues to perform satisfactorily.
PROJECT #168 IRVINE PUMPING STATION RELOCATION — UPDATE
ON CONSTRUCTION
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS SEWER SYSTEM COMMITTEE MEETING
Eli DECEMBER 12, 2007
PAGE 2
Mr. Hamers updated the committee on the pumping station construction noting that upon
completion of the District's construction, the County of Orange will be widening Irvine
Avenue from Bristol Street to University Drive.
DAMAGE TO CMSD EQUIPMENT FROM RECENT FIRES
Mr. Dulake stated the recent Southern California fires caused a 100% loss of the
equipment stored at the JIMNI SYSTEMS site in Irvine. Mr. Dulake is compiling an
equipment schedule and value to submit to the District's insurance carrier, SDRMA.
SEWER LATERAL ASSISTANCE PROGRAM
The application notes "CMSD will contribute up to 50% of the residents' costs in four
areas, up to a maximum of $1,800 per parcel ". The purpose is to encourage residents to
maintain (clean and CCTV) their laterals on a regular basis to achieve zero SSOs. The
Lateral Assistance program remains in the 5 -Year Capital Improvement Program for FY
2007 -08 Through FY 2011 -12 at a level $100,000 per FY.
Mr. Hamers expressed his appreciation to the Board for establishing such a successful
program that reduces private property sewer spills. Ms. Jackson distributed the latest
spreadsheet showing 23 property owners are participating in the program. Director
Monahan noted that the project could fund approximately 55 property owners assuming
a full reimbursement of $1,800 per parcel. Director Ferryman confirmed the project is
included in the forthcoming Capital Improvement Program budgets.
POTENTIAL TRANSFER OF SEWER LINES FROM OCSD TO CMSD
Staff noted there are six recommended sewer line transfers from OCSD to CMSD.
Before acceptance, OCSD would need to clean and CCTV the lines and rehabilitate any
deficiencies. Staff presented the following summary status:
1. STAFF APPROVED: Avenue of the Arts (S -192); Anton to Sunflower; Built in
1987; Sewer line is in acceptable condition; Six MHs need to be reconditioned;
Staff needs to calculate the expected revenue CMSD will collect for the line;
2. STAFF APPROVED: Park Center Drive and Anton Blvd. from the West (S-
192); Built in 1967; Sewer line is in acceptable condition; Northernmost MH
needs to be located and raised; 12" line;
3. STAFF APPROVED: Bear Street, in front of Crystal Court — the western line
only (S -193); Sewer line is in acceptable condition; 15" line;
4. STAFF APPROVED: Smalley Road trunk line (S -194); Sewer line is in
acceptable condition; One MH in the middle of the park needs repair; 15" line
on San Leandro Lane;
COSTA MESA SANITARY DISTRICT
a� MINUTES OF BOARD OF DIRECTORS SEWER SYSTEM COMMITTEE MEETING
`4ro' o �9gc,.Ml
�" DECEMBER 12, 2007
�1 PAGE 3
5. STAFF APPROVED: LA Times and South Coast Drive (S -196); Sewer line is
in acceptable condition; Need to clarify how IKEA connects to the main line;
12" line;
6. NOT STAFF APPROVED: Pullman St (S -165A and S- 165C); Sewer line is in
acceptable condition; Needs MH cover repairs and a MH relocation; only two
CMSD connections.
7. STAFF APPROVED: Pine Creek and Adams (S -181 and S -180); Sewer line is
in acceptable condition; 18" line;
8. NOT STAFF APPROVED: Pomona Ave (S -152); Sewer line is in acceptable
condition; Line is a cut - through only; 18" line; no CMSD connections.
Mr. Harriers reviewed Permit Processing Specialist Debbie Bjornson's spreadsheet of
the potential yearly .sewer charges applicable to the District should the District accept
ownership of the OCSD lines inside the District that act more as local lines rather than as
trunk sewers. The yearly charges are approximately $250,000. The Directors in
attendance will recommend to the full Board a confirmation of approving the transfer in
concept and directing staff to follow through with discussions with OCSD.
FOG PROGRAM - INTERCEPTOR SIZING
Director Ooten described the International Association of Plumbing and Mechanical
Officials ( IAPMO) committee that is recommending a significant change to the gravity
interceptor sizing formula in the Uniform Plumbing Code that would result in most
interceptors being oversized and approximately 4,000 gallons in size. An Orange
County contingent including Director Ooten attended the meeting and convinced the
IAPMO technical committee that the proposed sizing formula should remain as shown in
the 2006 edition.
CMSD PROJECT #101 - WESTSIDE PUMP STATION ABANDONMENT
Mr. Hamers reported Director Ferryman and Director Ooten confirmed OCSD's
participation in the project. OCSD may be able to begin construction of the regional
facility as early as 2010. The two options OCSD costed are as follows:
1. Option'l : $9.0 M for a gravity flow system, or
2. Option 2: $6.6 M to rebuild the City of Newport Beach Pump Station and the
force main.
PROJECT #175 OCSD GRANT - TELEVISING CMSD SEWER LINES
Director Ferryman- and Director Ooten attended the OCSD meeting where amendment
number two to the CMSD grant was approved. The amendment states the CMSD will
have the televising completed by July 2009.
� COSTA MESA SANITARY DISTRICT, -
$ MINUTES OF BOARD OF DIRECTORS SEWER SYSTEM COMMITTEE MEETING
DECEMBER 12, 2007
PAGE 4
DISTRICT YARD — CLOSE OF ESCROW DECEMBER 20, 2007
CMSD entered a 90 -day escrow for the two vacant parcels at 174 West Wilson Street on
August 31, 2007 for a total cash purchase price of $900,000.00 including a $75,000.00
deposit into escrow. The site is envisioned as having a 5,116 SF building on an 18,200
SF lot. The CMSD Conditional Use Permit (CUP) was approved at the November 26,
2007 Planning Commission meeting at the City of Costa Mesa Council Chambers. The
seller has requested an amendment to the escrow instructions specifying the District will
close on or before December 20, 2007 in order to follow through with a tax exchange.
LOW FLUSH TOILETS
Director Ooten has been researching local home improvement stores to ascertain the
types and efficiencies of the commodes available to the public. Director Ooten has also
researched the subject of high efficiency commodes through WEFTEC and other
organizations.
SEWER SYSTEM SUB - COMMITTEE TOPICS
Director Ooten requested the District's FOG program consultant EEC provide a list of
food service establishments that are out of compliance with the required interceptor
pumping schedule. Mr. Hamers will contact EEC. Mr. Hamers also discussed the issue
of tennis balls in the Indus sewer line and the efforts by staff to notify-the kennel owners
on Riverside Drive.
NEXT MEETING
The next meeting is scheduled for January 16, 2007 at 10:30 a.m. The next Sewer
System Subcommittee meeting is scheduled for Tuesday, January 15, 2008 at 9:30 a.m.
PUBLIC COMMENTS
There were no public comments.
ADJOURNMENT
Director Ooten adjourned the meeting at 11:30 a.m.
SECRETARY
PRESIDENT
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COSTA MESA SANITARY DISTRICT
MINUTES OF INVESTMENT OVERSIGHT COMMITTEE MEETING
December 13, 2007
CALL TO ORDER The meeting was called to order at 5:30 p.m. by Treasurer /Finance Director
Marc Davis
ROLL CALL Committee Members Present:
Director Arthur Perry (rotating committee member)
Mr. Rob Harriers, Manager /District Engineer
Staff Members Present:
Mr. Marc Davis, Treasurer /Finance Director
Ms. Joan Revak, Board Secretary/Program Manager /Clerk of the District
NEW BUSINESS Review of Treasurer's Report
Mr. Davis reported that the District's portfolio is earning approximately 4.1%
as of November 30, 2007. The average maturity of the portfolio investments
is approximately 5 months. The District has approximately $9 million
invested. The District plan has been to hold the current securities until they
mature. The next security will be maturing in May 2008 in the amount of $1
million. While all prior securities have been allowed to mature in order to
provide adequate available cash for the purchase of a district yard, beginning
with the maturity in May 2008, the District will start to invest in securities
outside of LAIF. While LAIF's interest rate is attractive given the current
market, it is prudent to diversify the portfolio.
Mr. Hamers inquired as to the financial outlook for the near future. Mr. Davis
responded that given the recent subprime meltdown, it appears that the Fed
will continue to ease interest rates. This will add market value to the
securities currently being held by the District, but will also result in lesser
interest rates when the District is back in the market.
Mr. Davis discussed the recent run on the State of Florida investment pool,
which is similar to LAIF. The Florida state pool lost approximately 30% of its
assets to withdrawals by local governments. The reason for the withdrawals
was that it was reported that a portion of the pool's investments were in
securities that were backed by subprime mortgages. This could equate to
losses to the pool. Mr. Davis informed the Committee that per statements
from LAIF in response to the run on the Florida pool, LAIF reiterated that it
does not invest in the types of securities that were backed by subprime
mortgages.
MINUTES OF INVESTMENT OVERSIGHT COMMITTEE MEETING
PUBLIC COMMENTS There were no items discussed under public comments.
ADJOURNMENT The meeting adjourned at 5:50 p.m.
Approved by:
Secretary, Costa Mesa Sanitary District
Board of Directors
December 13, 2007
Page 2
President, Costa Mesa Sanitary District
Board of Directors
•
•
•
•
•
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER 13, 2007
The Board of Directors of the Costa Mesa
CALL TO ORDER Sanitary District met in regular session on
December 13, 2007, at 6:00 p.m. at 628
W. 19'h Street, Costa Mesa.
President Perry called the meeting to
order at 6:00 p.m.
PLEDGE OF ALLEGIANCE Director Ooten led the Pledge of
Allegiance.
INVOCATION Ms. Jackson gave the invocation.
ROLL CALL DIRECTORS PRESENT: Art Perry, Arlene Schafer, Bob Ooten,
Gary Monahan, James Ferryman
DIRECTORS ABSENT: None
STAFF PRESENT: Robin B. Hamers, Manager /District
Engineer; Alan Burns, Legal Counsel;
Joan Revak, Board Secretary/Program
Manager /Clerk of the District; Marc Davis,
Treasurer; Karl Dulake, Maintenance
Supervisor; Denise Gilbert, Public
Outreach Coordinator; Ron Shef,
Ordinance Enforcement Officer; Janel
Jackson, Office Specialist
OTHERS PRESENT: Mr. Dan Worthington, 2963 Mindanao,
Costa Mesa
Mr. Nitin Patel, CPA, Diehl, Evans &
Company, LLP, Irvine
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER 13, 2007
PAGE 2
•
INDEPENDENT AUDITOR'S PRESENTATION ON FISCAL YEAR 2006-
2007
Mr. Davis introduced Mr. Nitin Patel, CPA, Diehl, Evans & Company, LLP. Mr. Patel
performed the Independent Audit, Fiscal Year 2006 -2007.
Mr. Patel outlined the responsibilities of the District and the Auditor and presented the
report divided into Management's Discussion and Analysis, Basic Financial Statements,
and Supplementary Information.
Mr. Patel reported the District's assets exceed its liabilities as of June 30, 2007, by
$25,446,083. Mr. Patel had no recommendations for the District.
Director Ooten complimented Staff for the excellent auditor's report.
Mr. Patel left the meeting at 6:12 p.m.
Mr. Davis reported he will bring back an option to continue the contract with the auditing
firm in the spring.
. ............................... CONSENT CALENDAR . ...............................
Is
Director Ferryman motioned to approve the Consent Calendar as presented. Director
Ooten seconded. Motion carried 5 -0.
REPORTS
MINUTE APPROVAL
Minutes of Recycling The Minutes of the Recycling Committee Meeting
Committee Meeting - of November 5, 2007, were approved as
November 5, 2007 distributed.
Minutes of Regular The Minutes of the Regular Meeting of
Meeting — November 8, 2007, were approved as distributed.
November 8, 2007
Minutes of Sewer System The Minutes of the Sewer System Committee
Committee Meeting - Meeting of November 14, 2007, were approved as
November 14, 2007 distributed. 0
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COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER 13, 2007
PAGE 3
Minutes of Special p The Minutes of the Special Meeting of
Meeting — November 26, 2007, were approved as distributed.
November 26, 2007
MANAGER'S REPORTS
REFUNDS There were no refunds for the month of November
2007.
Occupancy Report and The Trash Occupancy Count documented an
Payment of $196,136.13 increase of 6 units for the occupancy report for
to Costa Mesa Disposal — solid waste collection as of December 1, 2007.
November 2007 Therefore, the total for December is 21,423.
Monthly Spill Report to
State Water Resources
Control Board
ENGINEER'S REPORTS
Project Status Report
TREASURER'S REPORTS
Financial Report as of
October 31, 2007
Financial Report as of
November 30, 2007
Treasurer's Report as of
October 31, 2007
Treasurer's Report as of
November 30, 2007
Board directed Staff to prepare a warrant for
$196,136.13 for December 2007 collection based
on occupancy report. Said payment in the amount
of $196,136.13 to Costa Mesa Disposal to be
ratified on the January 2008 warrant register.
The Monthly Spill Report to the State Water
Resources Board (SWRCB) for November 2007
was accepted as submitted.
The Project Status Report dated November 2007
was accepted as submitted.
The Financial Report as of October 31, 2007 was
accepted as submitted.
The Financial Report as of November 30, 2007
was accepted as submitted.
The Treasurer's Report as of October 31, 2007
was accepted as submitted.
The Treasurer's Report as of November 30, 2007
was accepted as submitted.
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER 13, 2007
PAGE 4
Warrant 2008 -06 for Warrant Resolution #CMSD 2008 -06 was
November 2007 in the approved, authorizing the President and Secretary
amount of $868,881.06 to sign the warrant ratifying the payment of certain
claims and demands, and specifying the funds out
of which the same were paid in the amount of
$868,881.06.
Directors Expenses for the Director Compensation and Expense
Month of November 2007 Reimbursements for the Month of November 2007
were approved and ratified as follows:
Director Ferryman: $663.00
President Perry: $884.00
Vice President Schafer: $442.00
Director Ooten: $1370.65
Director Monahan: $667.85
.......................... END OF CONSENT CALENDAR ..........................
WRITTEN COMMUNICATION
Mr. Hamers reported the District did not receive any written communications in the
month of November to present to the Board.
PUBLIC COMMENTS
There were no public comments made.
MANAGER'S REPORTS
DATE AND TIME OF REGULAR BOARD OF DIRECTORS MEETINGS MOVE TO
THIRD THURSDAY OF MONTH AT 6:00 P.M. IN CONSIDERATION OF SB343
Mr. Hamers reported SB 343 passed the Senate and Assembly, and was signed by
the Governor. The bill states any items distributed within 72 hours of a meeting be
made available to the public. The public agency is to determine where those
documents will be made available. Internet access is acceptable. The law goes into
effect July 1, 2008, and the District will have to provide any late materials to the
public.
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER 13, 2007
PAGE 5.
Discussion was held regarding the moving the regular meeting date for 2008.
After reviewing the calendar, the Board determined holding the meeting on the
fourth Thursday of each month would allow a timely distribution of materials to
the Board members and the public.
The Regular Board meetings for November and December 2008 will be moved to
the third Thursday, November 20, 2008, and December 18, 2008, due to the
Thanksgiving and Christmas holidays. The Sewer System Committee meeting
and Recycling Committee meeting for November and December will be moved
as appropriate.
Ms. Revak will distribute a meeting calendar for 2008 as well as post it on the
District website.
Discussion was held regarding the time of the regular Board meeting. The
January 24, 2008 meeting and all regular meetings will be held at 5:30 p.m.
Ms. Revak will prepare a Notice of Cancellation for the January 17, 2008 Regular
Board meeting and reschedule it for January 24, 2008 at 5:30. Mr. Burns will
bring an amendment to the Operations Code to modify the meeting dates for
future meetings.
The Sewer System Committee and the Recycling Committee will reset their
meeting dates at their next meeting.
Director Schafer motioned to move the regular meeting to the fourth Thursday of
each month at 5:30 p.m. and directed the attorney to amend the Operations
Code. Director Monahan seconded. Motion carried 5 -0.
DISTRICT YARD - 174 W. WILSON STREET
POSSIBLE CLOSED SESSION TO DISCUSS REAL PROPERTY NEGOTIATIONS (PRICE,
TERMS) PURSUANT. TO GOVERNMENT CODE SECTION 54956.8 REGARDING THE
FOLLOWING PROPERTIES: 174 WILSON STREET WITH DAVID JACKSON HESTER, SR.
Mr. Harriers stated all negotiations were complete and there was no need to go
into closed session.
UPDATE ON CITY PLANNING COMMISSION APPROVAL ON 11/26/07
Mr. Harriers reported the Planning Commission approved the CUP on November
26, 2007,, and there were no appeals were filed within the seven -day time period,
so the Conditional Use Permit is final.
10
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER 13, 2007
PAGE 6
UPDATE ON CLOSE OF ESCROW 12/20/07
Mr. Hamers reported the seller requested that escrow close no later than
December 20, 2007, which would mean wiring the money on December 18,
2007. Escrow instructions are still being finalized. Mr. Hamers anticipates the
escrow closing to be on schedule.
BUILDING DESIGN - ARCHITECTURAL AND ENGINEERING PROPOSAL
Mr. Hamers presented a proposal from Robert Thornton Architects, Inc. The
proposal fee is $122,500.00 for design and $10,000 for project management and
assistance in LEED documentation for a total of $132,500.00.
Director Monahan motioned to approve the architectural and engineering
proposal with Robert Thornton Architects, Inc., not to exceed $132,500.00.
Director Ooten seconded subject to final contract language prepared by Mr.
Burns.
Motion carried as follows:
Ayes: Perry, Schafer, Ooten, Ferryman, Monahan
Noes: None
CMSD STRATEGIC PLAN
YEAR 2007/2008 STRATEGIC PLANNING ACTION ITEMS
Mr. Hamers presented the Strategic Plan for Board comments.
Director Ooten commended Staff on a very successful year.
Mr. Hamers stated he has been with the District for 25 years and 2007 was the
most outstanding year as far as District accomplishments. Mr. Hamers
commended the Board for their assistance in achieving goals for the District and
listed some of the accomplishments from last year:
❑ 9 million dollar project with OCSD, with assistance from Director Ferryman
and Director Ooten
❑ Director Schafer's work on LAFCO and making sure the District has all the
components of a successful District, resulting in the District's MSR being
favorably received by LAFCO
❑ Long Term Sinking Fund
❑ Strategic Plan 0
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER 13, 2007
PAGE 7
❑ Sewer Lateral Assistance Program conceptualized by Director Monahan,
which will be a model for the state
❑ Director Perry and former Director Worthington assisted with the many
programs and education the District provides for the schools
❑ Acquisition of property for a District Yard
Mr. Hamers reported the next Strategic Planning Session will be in January
2009.
Director Ooten stated he has additional items to add to the Strategic Plan.
Because it is mid - program of the current two -year strategic plan, the Board
suggested Director Ooten meet with Staff to quantify his suggestions.
SEWER SYSTEM COMMITTEE
REPORT ON MEETING HELD DECEMBER 12, 2007
Director Monahan reported the Sewer System Committee met on December 12,
2007 and reported there will be a meeting with the City of Costa Mesa on
December 13, 2007, regarding tree roots.
OPOTENTIAL TRANSFER OF OCSD SEWERS TO CMSD
Director Monahan reported the financials have been finished and the Committee
recommends to the Board to continue to proceed.
Director Schafer motioned to approve in concept and direct Staff to meet with
OCSD to begin discussions on the transfer of OCSD sewers to CMSD. Director
Ferryman seconded. Motion carried 5 -0.
PROJECT #101 WESTSIDE PUMPING STATION ABANDONMENT
Director Ferryman anticipates the planning will begin within the next year and
actual construction will begin sometime in 2009 or 2010.
•
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER 13, 2007
PAGE 8
PROJECT #186 SEWER LATERAL ASSISTANCE PROGRAM
Director Monahan reported there was an increase in interest in the Sewer Lateral
Assistance Program when the newsletter advising residents of the program was
distributed to residents. Mr. Hamers anticipates the program will reduce private
property sewer spills in the District.
RECYCLING REPORTS
WASTE DIVERSION REPORT - NOVEMBER 2007
Ms. Revak presented the Waste Diversion Reports for October 2007 showing a
50.44% diversion rate and November 2007 showing a 50.43% diversion rate
Director Ooten motioned to receive and file the reports. Director Ferryman
seconded. Motion carried 5 -0.
CONTRACT PAYMENT TO CR TRANSFER FOR RECYCLING SERVICES AND
DISPOSAL
PAYMENT FOR NOVEMBER 2007 SERVICES
Ms. Revak presented the Invoices for November 2007 recycling services and
disposal.
Director Ferryman motioned to ratify contract payment -to CR Transfer for
recycling services and disposal for the month of November 2007 in the amount of
$178,822.69. Director Schafer seconded.
Motion carried as follows:
Ayes: Perry, Schafer, Ooten, Ferryman, Monahan
Noes: None
Director Ferryman motioned to ratify contract payment -to CR Transfer for
recycling services and disposal for Santa Ana Heights for the month of
November 2007 in the amount of $8,223.08. Director Schafer seconded.
Motion carried as follows:
Ayes: Perry, Schafer, Ooten, Ferryman, Monahan
Noes: None
•
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER13,2007
PAGE 9
ORDINANCE ENFORCEMENT OFFICER'S REPORT
Mr. Shef presented the Enforcement Report for the month of November 2007.
Mr. Shef distributed courtesy notices as required.
Mr. Shef reported he is following up with written and verbal communications with
residents on Westminster Avenue. Mr. Shef reported the Thanksgiving holiday
caused collection schedules to be delayed by one day, with many residents unaware
of the holiday collection schedule.
The Telephone Book Collection and Recycling Program began at participating
schools. Mr. Shef assisted in distributing posters, flyers, and collection bins.
Additional packet deliveries were made to Directors as requested.
FALL NEWSLETTER (SEWER)
Ms. Jackson reported distribution of 50,057 copies of the CMSD Fall Newsletter.
Postage cost was $7,221.49. Ms. Jackson reported the newsletter was well
received and the Sewer Lateral Assistance Program. on the front cover has
generated interest in the program.
Mr. Worthington suggested the Board take advantage of the white space on the front
of the flyer where the address is located to place a "tickler" phrase to make the
recipient want to open the newsletter to read a more detailed article. President
Perry thanked Mr.. Worthington for his good suggestion.
SUBCOMMITTEE TO LIAISON COMMITTEE ON CITY TREE ROOTS — MEETING ON
FRIDAY, DECEMBER 14, 2007
Director Ferryman inquired whether there were additional items on the agenda for
the Liaison meeting with the City of Costa Mesa. Mr. Hamers stated the complete
agenda was distributed at the Sewer System Committee meeting and there were no
additional items for discussion. Directors Monahan, Ferryman, Mr. Burns, and Mr.
Hamers will be in attendance at the meeting.
CR &R
PERFORMANCE MEETING HELD NOVEMBER 14, 2007
Mr. Hamers reported Assistant Manager Tom Fauth developed a very detailed
list of items to discuss with CR &R. Mr. Hamers reported it was a very productive
meeting.
10 Discussion was held regarding various items on the review sheet.
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER 13, 2007
PAGE 10
CR &R RESPONSE TO REVIEW
Mr. Harriers reported Mr. Dean Ruff ridge, CR &R Senior Vice President
responded to the performance review in a letter dated November 30, 2007.
RESOLUTION OF CONTRACTUAL INTERPRETATIONS
Mr. Hamers reported this item will be discussed at the next Board meeting.
RECYCLING COMMITTEE — MONDAY, DECEMBER 10, 2007 — 12:00 P.M.,
CMSD BOARDROOM, 626 W. 19TH STREET, COSTA MESA (DIRECTOR OOTEN
AND PRESIDENT PERRY)
RECYCLING COMMITTEE GOALS FOR 2007/2008
Director Ooten reported the Recycling Committee met on December 10, 2007,
and reviewed the recycling goals for 2007/2008.
Director Ooten reported goals that addressed a similar item were combined.
SCHOOL TELEPHONE BOOK RECYCLING CONTEST NOVEMBER 14- DECEMBER 21, 2007
Director Ooten reported the School Telephone Book Recycling Contest began on
November 14, 2007 and will run through December 21, 2007. As always, a bin
was placed at Orange Coast College Recycling Center. Director Ooten reported
there has been 5.69 tons collected as of November 30, 2007.
COSTA MESA HIGH SCHOOL LIFE SCIENCE ACADEMY; ASSIST IN EXPANDING
RECYCLING PROGRAMS
Director Ooten reported the District is involved with a Committee at Costa Mesa
High School and is negotiating with the group to see how the District can assist
them in meeting their goals.
AMERICA RECYCLES DAY - NOVEMBER 15, 2007
Director Ooten reported Ms. Jackson is monitoring America Recycles Day to see
how the District can participate in the upcoming year.
is
•
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER 13, 2007
PAGE 11
IWMD SUBREGIONAL MEETINGS AND GRANT PROGRAM - DISCUSSION ON USE OF
GRANT FUNDS
Director Ooten reported IWMD Board of Supervisors approved the grant funds
and Director Ooten is meeting with Donna Theriault from the City of Costa Mesa
to develop ideas on how to best utilize the funds.
UPDATE ON SHARPS PROGRAM EXPANSION TO CVS PHARMACY
Director Ooten reported Staff added CVS on Newport Boulevard to the Sharps
Program. Director Ooten recommended expanding the program to include a
pharmacy on 17th Street noting there. is a lack of coverage for the Sharps
program on the east side of Costa Mesa. Director Ooten reported there is
enough money in the Sharps budget to cover the 2007 -2008 fiscal year, but
recommended a budget increase and further expansion of the program for the
2008 -2009 fiscal year.
REPORT ON OTHER CMSD RECYCLING PROGRAMS
Director Ooten had no additional items for discussion.
ENGINEER'S REPORTS
WASTE DISCHARGE REQUIREMENTS (WDR)
Mr. Hamers reported Director Ooten and others from the Regional WDR Steering
Committee assisted in a large meeting in Ontario to make sure the interceptor sizing
formula was kept in line. Director Ooten's efforts were greatly appreciated.
MEMORANDUM OF UNDERSTANDING WITH IRVINE RANCH WATER DISTRICT
Mr. Hamers reported Mr. Burns successfully negotiated with the IRWD attorney on
the Memorandum of Understanding between Costa Mesa Sanitary District and Irvine
Ranch Water District for Reimbursement of Costs to Protect Water Pipeline in
Anniversary Lane.
Director Ferryman motioned to approve the Memorandum of Understanding with
Irvine Ranch Water District. Director Schafer seconded.
Motion carried as follows:
Ayes: Perry, Schafer, Ooten, Ferryman, Monahan
10 Noes: None
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER 13, 2007
PAGE 12
PROPOSAL FOR ENGINEERING SERVICES FOR 174 W. WILSON STREET
Mr. Hamers presented.1 a proposal to provide civil engineering services for the design
phase of the District's corporate yard as follows:
Engineering $85 /hr
2 -man survey crew $230 /hr
Not to exceed $20,000
Director Ooten motioned to approve the proposal to provide civil engineering
services for the design phase of the District's corporate yard. Director Ferryman
seconded.
Motion carried as follows:
Ayes: Perry, Schafer, Ooten, Ferryman, Monahan
Noes: None
TREASURER'S REPORTS
INVESTMENT OVERSIGHT COMMITTEE MEETING HELD DECEMBER 13, 2007
Mr. Davis reported the Investment Oversight Committee meeting was held on
December 13, 2007. The Committee discussed the November 30, 2007 Treasurer's
Report.
NEW ROLE FOR BOARD MEMBERS IN AUDIT PROCESS; SAS 114
Mr. Davis reported on a new role for Board members in the 2007 -2008 auditing
process. Mr. Davis explained a Board member must have the financial wherewithal
to communicate effectively with the auditor. Mr. Davis will discuss the issue with the
auditors as to how this will affect the 2007 -2008 audit and provide additional
information to the Board. Training sessions may be required.
ATTORNEY'S REPORT
CONVERSION OF "FIXTURE FEES" TO "CAPACITY CHARGES"
•
•
Mr. Burns reported he is researching as to whether or not the District should
consider converting fixture fees to capacity charges. Mr. Burns reported he will 10
bring back a report to the Board once a recommendation can be made.
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER13,2007
PAGE 13
AGREEMENT WITH STERICYCLE ADDING CVS PHARMACY TO SHARPS
PROGRAM
Mr. Burns reported the agreement with Stericycle has been amended and is now
ready for approving.
Director Ferryman motioned to approve the agreement with Stericycle. Director
Ooten seconded.
Motion carried as follows:
Ayes: Perry, Schafer, Ooten, Ferryman, Monahan
Noes: None
ON -GOING AGREEMENT WITH NEXTRUK FOR VEHICLE MAINTENANCE
Mr. Hamers reported Ms. Gilbert conducted a survey of rates and determined the
rate with Nextruk was competitive for current mechanic rates on large vehicles.
Mr. Hamers reported the agreement was previously approved for a three -month
period and is now before the Board fora one -year agreement approval.
Director Ooten motioned to approve the Professional Services Agreement with
Nextruk, effective January 1, 2008. Director Schafer seconded.
Motion carries as follows:
Ayes: Perry, Schafer, Ooten, Ferryman, Monahan
Noes: None
CLAIM — JEANNE WALLER; AUTOMOBILE DAMAGES, W. 18TH STREET
Ms. Jackson reported Ms. Waller was driving east near 642 W. 18th Street toward a
manhole cover with a broken ring. A portion of the manhole cover was sticking up.
Ms. Waller was unable to swerve to avoid the manhole due to oncoming traffic. The
right front and rear passenger side tires and wheels were damaged. Claimant had
the tire and wheel replaced and the total claim to date is $515.84. The District
reimbursed Ms. Waller and Ms. Waller signed the release form. Ms. Jackson
forwarded the information to SDRMA.
•
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER 13, 2007
PAGE 14
1805 NANTUCKET PLACE — REQUEST FOR TERMINATING TRASH COLLECTION
SERVICE
Mr. Burns reported the District received a request to terminate trash collection
services from Ms. Cindy Trikha. Mr. Burns reported Ms. Trikha's request does not
fall under any of the accepted exemption requirements and a determination would
have to be made by the Board. Ms. Trikha is stating her home is unoccupied,
therefore, no trash is being generated. Mr. Hamers reported the water and
electricity are turned on at the address.
Mr. Hamers requested a written request from Ms. Trikha, but has not yet received
one. Mr. Hamers discussed what criteria would be required for the Board to grant
Ms. Trikha's request. The item will be brought back to the Board once the requested
letter is received.
PREVAILING WAGE CASE
Mr. Burns presented an overview of a case for prevailing wages for truck drivers
hauling materials to and from Public Works (Williams v. SnSands Corp.) Mr. Burns
stated the ruling would affect the District in the building of the new yard as well as
sewer projects. i
CLAIM — TED ANDRINI; 928 CORONADO, SEWER BACKUP
Mr. Burns presented a claim from Mr. Ted Andrini regarding a sewer backup into
Mr. Andrini's home. Although Mr. Andrini claimed $660, Mr. Hamers had the
bathroom carpet replaced in both bathrooms for $500 and Mr. Andrini signed the
release. Mr. Hamers' firm paid the claim and Mr. Hamers is requesting
reimbursement in the amount of $500.00.
Director Ferryman motioned to approve payment of $500 to Robin B. Hamers &
Associates, Inc. Director Schafer seconded.
Motion carried as follows:
Ayes: Perry, Schafer, Ooten, Ferryman, Monahan
Noes: None
•
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER 13, 2007
® PAGE 15
ORDINANCE NO. 64 — AN ORDINANCE OF THE BOARD OF DIRECTORS OF THE
COSTA MESA SANITARY DISTRICT ESTABLISHING EMERGENCY PROCEDURES
Mr. Burns reported Ordinance No. 64, AN ORDINANCE OF THE BOARD OF
DIRECTORS OF THE COSTA MESA SANITARY DISTRICT ESTABLISHING
EMERGENCY PROCEDURES.
Director Schafer motioned to adopt Ordinance No. 64. Director Ooten seconded.
Motion Carried as follows:
Ayes: Perry, Schafer, Ooten, Ferryman, Monahan
Noes: None
LOCAL MEETINGS (INCLUDES REPORTS BY ALL DIRECTORS
REPRESENTATING CMSD)
ORANGE COUNTY SANITATION DISTRICT (OCSD)
0 MEETING HELD NOVEMBER 28, 2007 (DIRECTOR FERRYMAN)
Director Ferryman attended the November 28, 2007 OCSD meeting and reported
the following:
❑ Five Year Strategic Plan
❑ Financial Report
❑ Approved $300 million in Certificates of Participation (COPS)
❑ Cooperative Projects Program approved
❑ North County Yard Remodel
❑ Ground Water Replenishment Ceremony January 25 at Orange County
Water District at 11:00 a.m. - all CMSD Board members invited
❑ Discussion on rates
SANTA ANA RIVER FLOOD PROTECTION AGENCY (SARFPA)
President Perry provided the minutes of the November 8, 2007 meeting for the
Board's review.
NEXT MEETING JANUARY 24, 2008 (PRESIDENT PERRY)
President Perry reported the next SARFPA meeting will be January 24, 2008.
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER 13, 2007
PAGE 16
INDEPENDENT SPECIAL DISTRICTS OF ORANGE COUNTY (ISDOC) (DIRECTOR
SCHAFER
MEETING HELD DECEMBER 6, 2007 (DIRECTOR SCHAFER
Director Schafer did not attend the meeting but provided the agenda and minutes
for the Board's review.
LOCAL AGENCY FORMATION COMMISSION (LAFCO) (DIRECTOR SCHAFER)
Director Schafer attended the November 11, 2007 LAFCO meeting and reported the
following:
❑ Approval of MWDOC's MSR and Sphere of Influence (SOI)
CALIFORNIA SPECIAL DISTRICTS ASSOCIATION (CSDA) (DIRECTOR SCHAFER)
Director Schafer attended the November 15 -16, 2007 Strategic Planning Conference
for the CSDA Board facilitated by Mr. Bob Rauch.
CHAMBER OF COMMERCE AMENDMENT OF BY -LAWS
Director Schafer presented an amendment to the by -laws for the Chamber of
Commerce. The amendment would allow the selection of Directors by election of
the Board of Directors instead of requiring a ballot of the general membership. The
amendment would reduce the cost of the current election process and allow
vacancies to be filled in a timely manner. Director Schafer voted "Yes" on the ballot.
Director Monahan motioned to ratify Director Schafer's motion on the amendment of
the By -Laws. Director Ferryman seconded. Motion carried 5 -0.
OTHER MEETINGS QUALIFYING FOR REIMBURSEMENT UNDER CMSD
ORDINANCE NO. 55, OPERATIONS CODE SECTION 3.01.030
WACO
Director Schafer was unable to attend the meeting — no report.
CHAMBER OF COMMERCE MEETING
Director Schafer reported the Chamber of Commerce was dark in November.
0
•
•
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER 13, 2007
PAGE 17
OCCOG
Director Schafer was unable to attend the meeting — no report.
INTERNATIONAL ASSOCIATION OF PLUMBING AND MECHANICAL OFFICIALS
Director Ooten attended the International Association of Plumbing and
Mechanical Officials in the City of Ontario and his report was given under
Engineer's Reports - WDR.
Director Monahan motioned to ratify Director Ooten's attendance at the meeting.
Director Ferryman seconded. Motion carried 5 -0.
OLD BUSINESS
There was no old business discussed.
NEW BUSINESS
CASA MID -YEAR CONFERENCE JANUARY 9-12,2008 INDIAN WELLS
President Perry asked if any Board members were planning on attending the CASA
p 9 9
Conference in Indian Wells.
Director Ooten motioned to approve attendance at the CASA Mid -Year Conference
for Director Schafer. Director Schafer seconded. Motion carried 5 -0.
SPECIAL DISTRICT AND LOCAL GOVERNMENT INSTITUTE CONFERENCE
FEBRUARY 7-8,2008, PALM SPRINGS
President Perry asked if any Board members were planning on attending the Special
District and Local Government Institute Conference to be held on February 7 -8,
2008, in Palm Springs. President Perry and Director Ooten expressed an interest in
attending.
Director Schafer motioned to approve attendance at the Special District and Local
Government Institute Conference for Directors Perry and Ooten. Director Ferryman
seconded. Motion carried 5 -0.
•
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
DECEMBER 13, 2007
PAGE 18
CSDA BOARD MEMBER TRAINING MARCH 6-7,2008, LONG BEACH
President Perry asked if any Board members were planning on attending the CSDA
Board member training in Long Beach.
Director Ooten suggested finding out whether or not training for SAS 114 was being
offered.
SWANA WORKSHOP - JANUARY 10, 2008
President Perry asked if any Board members were planning on attending the
SWANA Workshop on January 10, 2008.
Director Ooten expressed an interest in the meeting.
Director Ferryman motioned to approve attendance for Director Ooten at the
SWANA Workshop on January 10, 2008. Director Schafer seconded. Motion
carried 5 -0.
ORAL COMMUNICATIONS AND DIRECTOR COMMENTS
Mr. Dan Worthington reported the Integrated Waste Management may be utilizing
cryogenic technology in the future. Mr. Worthington reported 92 percent of all matter
placed into the system is turned to charcoal. Mr. Worthington reported there may be a
test facility built in the landfill east of San Juan Capistrano.
Mr. Hamers thanked the Board for an outstanding and productive year.
ADJOURNMENT
President Perry adjourned the meeting at 7:55 p.m.
SECRETARY PRESIDENT
0
•
COSTA MESA S�aLr TA-,ky N DrRrcr
PROJECT STATUS REPORT
January 2008
Project 1 1 1 21 00 -1 01 West Side Pumping Station Abandonment
Directors Ferryman and Ooten along with Manager /District Engineer Rob Hamers,
Assistant Manager Tom Fauth and Inspector Paul Guzman met with OCSD General
Manager Jim Ruth and executive engineering staff on March 29, 2007 to discuss
OCSD's participation in the project. It was agreed that the two agencies will work
together to determine an approximate project cost for a regional facility and then meet
again to discuss the feasibility. The cost estimate has been prepared and is being
considered by both agencies. The CMSD updated its costs of the local sewer lines
and confirmed the ability to fund the projects. A letter was sent to OCSD requesting
the regional facility become a formal OCSD project and the letter was favorably
received.
Project 1112100-129 Bristol Street Sewer
The County of Orange plans on widening Irvine Avenue from Bristol Street to
University Drive, which will cause relocation of the CMSD Irvine Pumping Station. The
District can upgrade the station to a level able to serve the redevelopment of the area.
The upgrade alleviates the need for the Bristol Street Pump Station and the project
can be reduced to construction of a new gravity sewer only. These findings were
submitted to the Orange County Development Agency and as requested the Sanitary
District prepared a new three party agreement reflecting these findings. The
agreement has been signed by the Sanitary District and the City of Newport Beach.
Project 1112100-135 Reconstructing Force Main for Elden Pumping Station (Phase Ill
Construction was completed in 1995 and the State Department of General Services
(DGS) transmitted the sewer easement. The easement has been recorded and
distributed to all parties.
Project 1112100 -159 Televising Sewer Lines
Areas are televised as needed, particularly for the yearly fats, oils, and grease (FOG)
program.
Project 1112100 -168 Irvine Pumping Station Remodel or Relocation
Bid opening was June 4, 2007, and the Board awarded the construction contract to
Vadnais Corporation. Construction is approximately 50% complete.
Project 1112100-171 Irvine Pumping Station Force Main Rehabilitation -Phase I •
The design phase is continuing.
Project 1112100-175 OCSD Cooperative Projects Grant - Televising CMSD Sewer
Lines
The televising is continuing and is approximately 65% complete.
Project 1112100-180 WDR Grease Control Program Phase IV
The project is continuing.
Project 1112100-186 Sewer Lateral Assistance Program
The project is continuing and over 30 applications have been received to date.
Project 1112100-187 New Corporate Yard at 174 W. Wilson Street
The project architect and staff are interviewing LEEDs consultants prior to making a
recommendation to the Board of Directors.
0
Prntating our community's &alth by providing solid waste and sewer collection services.
crosdcagov
•
COSTA 9WESA SANYTART(DISTWCT
Memorandum
To: Board of Directors
... an Independent Specia[ Di strict
From: Marc Davis, Treasurer /Director of Finance ,,-�
Date: January 8, 2008
Subject: Treasurer's Report for the Month of December 2007
Attached is the Treasurer's Report for the month of December 2007. As
required by the District's Statement of Investment Policy, the Treasurer's
report delineates all investment activity during the month.
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 December 31, 2007. The District's investments are in
compliance with the Statement of Investment Policy adopted by the Board at
the July 9, 2007 regular meeting, as well as the California Government Code.
The market values in this report were provided by our third party custodian;
Bank of New York, 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 Sanitary
District's investment portfolio as of December 31, 2007, was 4.177 %. The
yield to maturity of the portfolio was 4.182 %. The District's weighted average
interest rate was 62 basis points (0.624 %) below the daily effective yield of
LAIF, which was 4.801% as of December 31, 2007. The weighted average
number of days to maturity for the District's total portfolio was 110 days (0.30
years). The average duration of the underlying securities in LAIF as of
December 31, 2007 was 204 days.
1totecting our community's health 6y providing sold waste and sewer collection services.
crosdca.gov
Compliance Reporting 0
The District's investment portfolio is in compliance with its liquidity limitations,
which requires that a minimum of 20% of the portfolio must mature within one
year. The percentage of the portfolio maturing in less than one year as of
December 31, 2007 was 93.35 %.
As of December 31, 2007, the District has adequate operating reserves
necessary to meet its obligations for the next six months.
•
•
I•,
COSTA MESA SANITARY DISTRICT
Treasurer's Report of Pooled Cash and Investments
as of December 31, 2007
•
Deposits Outstanding
Active Accounts Bank Balance In Transits Checks Book Balance
Bank of America $ 448,922.19 - 405,258.49. $ 43,663.70
Reconciling Items - - - -
Total Active Accounts 448,922.19 - 405,258.49 43,663.70
•
Costa Mesa Sanitary District
Pooled Cash and Investments by Fund
as of December 31, 2007
CMSD Solid Waste Activities
CMSD Liquid Waste Activities
Total Pooled Cash & Investments
Marcus D. Davis Date
Treasurer /Director of Finance
3
$ 3,138,742.55
8,210,744.72
$ 11,349,487.27
Market Adjustment
Investments
Market Value
Increase Decrease
Cost
Local Agency Investment Fund
$ 5,921,991.76
- -
$ 5,921,991.76
Money Market/Sweep Account
34,300.56
- -
34,300.56
Medium Term Corporate Notes
-
- -
-
Federal Agency Securities
5,325,271.25
- 24,260.00
5,349,531.25
Total Investments
11,281,563.57
- 24,260.00
11,305,823.57
Total Pooled Cash & Investments
$ 11,730,485.76
$ - $ 429,518.49
$ 11,349,487.27
Costa Mesa Sanitary District
Pooled Cash and Investments by Fund
as of December 31, 2007
CMSD Solid Waste Activities
CMSD Liquid Waste Activities
Total Pooled Cash & Investments
Marcus D. Davis Date
Treasurer /Director of Finance
3
$ 3,138,742.55
8,210,744.72
$ 11,349,487.27
COSTA MESA SANITARY DISTRICT
Investment Activity Summary
as of December 31, 2007
Total investments outstanding as of November 30, 2007
Additions:
Gain on Sale of Investment:
Investment Purchases:
Deductions:
Investment Maturity/Sale Proceeds:
Loss on Sale of Investment:
Investments Called:
Net increase (decrease) in Sweep Account
Net increase (decrease) in LAIF
Total investments outstanding as of December 31, 2007
$ 9,024,908.63
none
none
10,914.94
2,270,000.00
$ 11,305,823.57
•
r1
LJ
"Represents the LAIF daily rate at 12/31/07
E9
AITARY
COSTA MESA
DISTRICT
Investment and Investment Earnings
as of December 31, 2007
Interest
CUSIP
Purchase
Maturity Coupon
Investment
Earned at
Number
Investment
Date
Date Rate
Cost
12131/07 Comments
n/a
Local Agency Investment Fund
n/a
n/a 4.801% $
5,921,991.76
n/a **
n/a
Bank of New York -Sweep Acct
n/a
n/a 3.210%
34,300.56
n/a
3128X1AW7
Federal Home Loan Mortgage Corp.
05/14/03
05/14/08 3.750%
1,000,000.00
4,895.83
31331QS32
Federal Farm Credit Bank
06/18/03
06/18/08 3.240%
600,000.00
702.00
31339YDRO
Federal Home Loan Bank
07/22/03
07/22/08 3.050%
1,499,531.25
20,206.25
31339YPE6
Federal Home Loan Bank
07/30/03
07/30/08 3.400%
1,000,000.00
14,261.11
3136F34U7
Federal National Mortgage Assoc.
08/14/03
08/14/08 3.910%
500,000.00
7,439.86
3133X5ZK7
Federal Home Loan Bank
04/30/04
04/30/09 4.050%
500,000.00
3,431.25
3133X63Y0
Federal Home Loan Bank
04/30/04
04/30/09 4.130%
250,000.00
1,749.51
$ 11,305,823.57
52,685.81
"Represents the LAIF daily rate at 12/31/07
E9
U
COSTA MESA SANITARY DISTRICT
Summary of Policy Limitations
as of December 31, 2007
(1) Current dollar weighted average maturity as of 12/31/07 is 0 days.
(2) Also limited to 20% in total. 40
*These securities are not considered for purchases: SBA, GNMA, TVA and SALLIEMAE
Current %
of Market Value
Description
12/31/07
Maximum %
U.S. Treasury Bills
0.00%
UNLIMITED
U.S. Treasury Notes
0.00%
UNLIMITED
Federal Agency Issues:
FICB
0.00%
40%
FFCB
5.29%
40%
FLB
0.00%
40%
FHLB
28.66%
40%
FNMA
4.42%
40%
FHLMC
8.83%
40%
Other *
0.00%
40%
Banker's Acceptances
0.00%
40%
Certificates of Deposit
0.00%
UNLIMITED
Negotiable Certificates of Deposits
0.00%
30%
15% 30% •
Commercial Paper
0.00%
or (1)
Medium Term Corporate Notes
0.00%
30%
Repurchase Agreements
0.00%
UNLIMITED
Reverse Repurchase Agreements
0.00%
10% of base
LAIF (Local Agency Investment Fund)
52.49%
40,000,000.00
Orange County Treasurer's Pool
0.00%
35%
Money Market/Mutual Funds (Sweep Acct)
0.30%
10% per fund (2)
Asset - Backed /Mortgage- Backed Securities
0.00%
20%
Total
100.00%
• of portfolio maturing under one year
93.35%
no less than 20%
• of portfolio maturing over one year
6.65%
100.00%
(1) Current dollar weighted average maturity as of 12/31/07 is 0 days.
(2) Also limited to 20% in total. 40
*These securities are not considered for purchases: SBA, GNMA, TVA and SALLIEMAE
•
Description
State Treasurer's Pool
Money Market Mutual Fund
Broker /Dealer
LAIF
Bank of New York
Federal Home Loan Mortgage Corp. Banc of America
Federal Home Loan Notes & Bonds
Morgan Keegan
Federal Home Loan Notes & Bonds
Morgan Keegan
Federal Home Loan Notes & Bonds
Morgan Keegan
Federal Home Loan Notes & Bonds
Morgan Stanley
Federal National Mortgage Assoc. Morgan Keegan
Federal Farm Credit Bank Morgan Stanley
Total Investments
— Represents the LAIF daily rate at 12/31/07
•
COSTA MESA SANITARY DISTRICT
Schedule of Investments by Instrument Type
as of December 31, 2007
Purchase
Maturity
Coupon
Investment
% of
Market
% of
Date
Date
Rate
Cost
Portfolio
Value
Portfolio
n/a
Continuous
4.801% "`
$ 5,921,991.76
$ 5,921,991.76
5,921,991.76
52.38%
5,921,991.76
52.49%
n/a
Continuous
3.210%
34,300.56
34,300.56
34,300.56
0.30%
34,300.56
0.30%
05/14/03
05/14/08
3.750%
1,000,000.00
996,490.00
1,000,000.00
8.84%
996,490.00
8.83%
07/22/03
07/22/08
3.050%
1,499,531.25
1,489,218.75
07/30/03
07/30/08
3.400%
1,000,000.00
994,375.00
04/30/04
04/30/09
4.050%
500,000.00
500,000.00
04/30/04
04/30/09
4.130%
250,000.00
250,000.00
3,249,531.25
28.74%
3,233,593.75
28.66%
08/14/03
08/14/08
3.910%
500,000.00
498,750.00
500,000.00
4.42%
498,750.00
4.42 %
06/18/03
06/18/08
3.240%
600,000.00
596,437.50
600,000.00
5.31%
596,437.50
5.29%
$ 11,305,823.57
100.00%
$ 11,281,563.57
100.00%
7
U
Comments
POOL
SWEEP
FHLMC
FHLB
FHLB
FHLB
FHLB
FNMA
FFCB
Broker /Dealer
Local Agency Investment Fund
Bank of New York
Banc of America
Morgan Stanley
Morgan Keegan
Morgan Keegan
Morgan Keegan
Morgan Keegan
Morgan Stanley
Total Investment Portfolio
Total Portfolio
veighted Avg Interest Rate
Weighted Avg Yield to Maturity
Weighted Avg Days to Maturity
COSTA MESA SANITARY DISTRICT
Investment Portfolio
as of December 31, 2007
Investment
Purchase
Maturity
Days to
Coupon
Yield to
Investment
Type
Date
Date
Maturily
Rate
Maturity
Cost
Pool
1
4.801 % **
4.801%
$ 5,921,991.76
Sweep
1
3.210%
3.210%
34,300.56
FHLMC
05/14/03
05/14/08
135
3.750%
3.740%
1,000,000.00
FFCB
06/18/03
06/18/08
170
3.240%
3.260%
600,000.00
FHLB
07/22/03
07/22/08
204
3.050%
3.090%
1,499,531.25
FHLB
07/30/03
07/30/08
212
3.400%
3.410%
1,000,000.00
FNMA
08/14/03
08/14/08
227
3.910%
3.900%
500,000.00
FHLB
04/30/04
04/30/09
486
4.050%
4.040%
500,000.00
FHLB
04 /30/04
04/30/09
486
4.130%
4.120%
250,000.00
" *Represents the LAIF daily rate at 12/31/07
4.17 7 %
4.182 %
110 Days
0.30 Years
$ 11,305,823.57
0 40 0
0 . �01
COSTA MESA SANITARY DISTRICT
For all Maturities with Market Values
as of December 31, 2007
* *Represents the LAIF daily rate at 12/31/07
0
Net
Purchase
Maturity
Intuition
Investment
Coupon
Investment
Market
Accrued
Gain /(Loss)
Date
Date
Broker /Dealer
Type
Par
Rate
Cost
Value
Interest
If Sold
n/a
Continuous
LAIF
POOL
$ 5,921,991.76
4.801% '`
5,921,991.76
5,921,991.76
-
-
n/a
Continuous
Bank of New York
SWEEP
34,300.56
3.210%
34,300.56
34,300.56
-
-
05/14/03
05/14/08
Banc of America
FHLMC
1,000,000.00
3.750%
1,000,000.00
996,490.00
4,895.83
(3,510.00)
06/18/03
06/18/08
Morgan Stanley
FFCB
600,000.00
3.240%
600,000.00
596,437.50
702.00
(3,562.50)
07/22/03
07/22/08
Morgan Keegan
FHLB
1,500,000.00
3.050%
1,499,531.25
1,489,218.75
20,206.25
(10,312.50)
07/30/03
07/30/08
Morgan Keegan
FHLB
1,000,000.00
3.400%
1,000,000.00
994,375.00
14,261.11
(5,625.00)
08/14/03
08/14/08
Morgan Keegan
FNMA
500,000.00
3.910%
500,000.00
498,750.00
7,439.86
(1,250.00)
04/30/04
04/30/09
Morgan Keegan
FHLB
500,000.00
4.050%
500,000.00
500,000.00
3,431.25
-
04/30/04
04/30/09
Morgan Stanley
FHLB
250,000.00
4.130%
250,000.00
250,000.00
1,749.51
-
Total Investments
$11,306,292.32
11,305,823.57
11,281,563.57
52,685.81
(24,260.00)
* *Represents the LAIF daily rate at 12/31/07
0
COSTA MESA SANITARY DISTRICT
Call Schedule
as of December 31, 2007
Type of
Purchase
Maturity
Coupon
Investment
Investment
Date
Date
Rate
Par Value
Cost
Call Features
FFCB
06/18/03
06/18/08
3.240%
$ 600,000.00
600,000.00
Continuous Call w/ 7 days notice.
FHLB
07/22/03
07/22/08
3.050%
1,500,000.00
1,499,531.25
Callable 1/22/08 w/ 5 days notice.
FHLB
04/30/04
04/30/09
4.050%
500,000.00
500,000.00
Callable 1/30/08 w/ 5 days notice.
FHLB
04/30/04
04/30/09
4.130%
250,000.00
250,000.00
Callable 1/30/08 w/ 5 days notice.
FHLB
07/30/03
07/30/08
3.400%
1,000,000.00
1,000,000.00
Callable 1/30/08 w/ 5 days notice.
FNMA
08/14/03
08/14/08
3.910%
500,000.00
500,000.00
Callable 2/14/08 w/ 10 days notice.
FHLMC
05/14/03
05/14/08
3.750%
1,000,000.00
1,000,000.00
Callable 5/14/08 w/ 5 days notice.
$ 5,350,000.00
5,349,531.25
0 . # 0
11
COSTA MESA SANITARY DISTRICT - MATURITIES DISTRIBUTION
as of December 31, 2007
70%-,
--------------------------------------------------------------------------------------
" 66.83%
----------------------------- -----------------------------------------------
Cost
60%
In Thousands
" - - - -- --------------------------------------------------------------------- - - - - --
1 - 180 Days
$ 7,555
50%
- - - -- ------------------------------------=----------------------------------
181 - 365 Days
3,000
40%
"
1 - 2 Years
750
- - - -- -------- 2654%-------------------------- -- -- -- -- --- -- --------- --- -- - - --
30%-,
"
2 - 3 Years
-
20%-
- - - -- -- - - - - -- ------------------------------------------------------------
""
3 - 4 Years
-
------ 6= 63 % - - - - -- - - - - - --
- - - -- -- - - - - -- ------------------------------
4 - 5 Years
-
0.00% 0.00% 0.00%
TOTAL
$ 11,305
0%
_ ..,
1 -180 181 -365 1 -2 2 -3 3 -4 4 -5
Days Days Years Years Years Years
11
6.00%
5.00%
4.00%
3.00%
2.00%
1.00%
•
.,\,p ",\,p Z
•
Costa Mesa Sanitary District
Yield Curve Data
as of December 31, 2007
�oo� �oo� �oo� �oo� "Z;\ �oA \�oo ZA A \�o \�ooA \20 0 \200 \�oo�
12
0
-3 month T -Bill
-6 month T -Bill
2 year T -Note
3 year T -Note
5 year T -Note
-CMSD- monthly
- LAI F- monthly
OC Pool- monthly