Minutes - Board - 2013-07-31 ITEM NO.02
�gP SANITgRy
4` c Q
4.' Janni 'A
� a nnn .A
o — '' i7
a y
-ti 8$ as
°RPORA-ce
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
JULY 31, 2013
I. CALL TO ORDER The Board of Directors of the Costa Mesa
Sanitary District met in regular session on
July 31, 2013 at 5:30 p.m. at 628 W. 19th
Street, Costa Mesa.
II. PLEDGE OF President Ferryman led the Pledge of
ALLEGIANCE Allegiance.
III. INVOCATION Vice President Scheafer led the Invocation.
IV. ROLL CALL DIRECTORS PRESENT: James Ferryman, Robert Ooten, Art Perry,
Mike Scheafer
DIRECTORS ABSENT: Arlene Schafer (entered into the meeting at
5:57 p.m.)
STAFF PRESENT: Scott Carroll, General Manager; Anna
Sanchez, Administrative Service Manager;
Noelani Middenway, Deputy Clerk of the
District; Robin B. Hamers, District Engineer;
Alan Burns, District Counsel; Javier Ochiqui,
Management Analyst
OTHERS PRESENT: Derek Sabori; Costa . Mesa Community
Foundation; Joe Jenkins, EEC; Dean
Ruffridge, CR&R; Lawrence Jones,
CR&R; Jim Mosher, Resident
V. CEREMONIAL MATTERS AND PRESENTATIONS — Vice President Scheafer presented a Merit Award to
CMSD staff member Dyana Wick for her outstanding service and support to the City of Costa Mesa's 60th
Anniversary Committee as CMSD's representative.
VI. ANNOUNCEMENT OF LATE COMMUNICATIONS — General Manager Carroll informed the Board that
written comments had been received from Mr. Jim Mosher and had been provided, along with Mr. Carroll's
written response to Mr. Mosher's comments, to the Board for review.
* J* Protecting our community's health and the environment by providing solid waste and sewer collection services.
mi
COSTA MESA SANITARY DISTRICT PAGE 2
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
HELD JULY 31, 2013
VII. PUBLIC COMMENTS
President Ferryman invited members of the public to address the Board.
Mr. Mosher provided public comment regarding the accessibility of District records on the District website
and expressed that he was displeased with the cancellation of the previously scheduled July 25, 2013
Board meeting.
Seeing no one further, President Ferryman closed public comments.
VIII. CONSENT CALENDAR
1. Board of Directors Special Meeting The Board of Directors Special Meeting
Minutes-of June 10, 2013 Minutes of June 10, 2013, was approved as
presented.
2. Operations Committee Minutes of The Operations Committee Minutes of June
June 18, 2013 18, 2013, was approved as presented.
3. Board of Directors Special Meeting The Board of Directors Special Meeting
Minutes of June 19, 2013 Minutes of June 19, 2013, was approved as
presented.
4. Board of Directors Regular Meeting The Board of Directors Regular Meeting
Minutes of June 27, 2013 Minutes of June 27, 2013, was approved as
presented.
5. Occupancy report and payment to The Board of Directors approved the
Costa Mesa Disposal occupancy report and payment to Costa
Mesa. Disposal for the month of June 2013.
6. Contract Payment to CR Transfer for The Board of Directors approved payment
Recycling and Disposal Services to CR Transfer for recycling and disposal
services for the month of June 2013.
7. Adoption of a Warrant Resolution No. The Board of Directors approved adoption
CMSD 2014-01 Approving District of Warrant Resolution No. CMSD 2014-01
Warrant Registers approving District warrant registers for the
month of June in the amount of
$354,155.77.
8. Directors' Compensation and The Board of Directors approved Directors'
Reimbursement of Expenses compensation and reimbursement of
COSTA MESA SANITARY DISTRICT PAGE 3
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
HELD JULY 31, 2013
expenses for the month of June 2013.
9. Third Amendment to Agreement with The Board of Directors approved the Third
Environmental Engineering and Amendment with EEC for GIS/CMMS
Contracting, Inc. (EEC) for support services.
GIS/CMMS Support Services
10.Approve an Agreement with Service The Board of Directors approved the
Truck International for the agreement with Service Trucks International
Manufacturing of One Utility Truck in the amount of $143,317.74 for the
with Crane manufacturing of one utility truck with crane.
11.Resolution No. 2013-837 Authorizing The Board of Directors adopted Resolution
the Disposition of District Assets No. 2013-837 authorizing the disposition of
assets.
12.Resolution No. 2013-840 Ordering The Board of Directors adopted Resolution
the Publication of Ordinance No. 98 No. 2013-840 ordering publication of
Ordinance No. 98
END OF CONSENT CALENDAR
Director Perry moved for approval of the Consent Calendar. Vice President Scheafer seconded the
motion.
The motion carried 4-0-1, with Director Schafer absent.
IX. PUBLIC HEARINGS- None
President Ferryman requested that Item 14 be heard at this point in the agenda.
X. GENERAL MANAGER/DISTRICT CLERK REPORTS
14. Sponsorship to Estancia High School Sports and the Costa Mesa Community Foundation
Recommendation: That the Board of Directors:
1. Establish what purpose the District is trying to serve by being a sponsor; and
2. Describe how the expenditures advances that purpose; and
3. Approve or deny sponsoring Estancia High School sports and/or the Costa
Mesa Community Foundation
General Manager Carroll introduced the item and provided details of the requests for sponsorship received
from the Costa Mesa Community Foundation (CMCF) and Estancia High School. Mr. Carroll noted that
District Counsel recommended that the District first establish the purpose CMSD is trying to serve by
being a sponsor, and then describe how the expenditures will advance CMSD's purpose. Mr. Carroll
deferred to Mr. Derek Sabori of the Costa Mesa Community Foundation for additional report details.
COSTA MESA SANITARY DISTRICT PAGE 4
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
HELD JULY 31, 2013
Mr. Sabori addressed the Board and provided details of how the District's sponsorship of the community's
concerts in the park series assists in the increased public awareness of waste management and recycling.
Discussion followed regarding the profitability of the concerts in the parks and the addition of a District
message to the trash and recycling receptacles that are placed at the events.
Director Perry requested that CMCF provide the Board with additional information and that this item be
further discussed at a future study session meeting.
Vice President Scheafer discussed advertising at the Estancia High School football field.
General Manager Carroll confirmed that the Board took no action on this item and has requested that
additional information be brought back for further discussion on how the District is able to partner with the
CMCF.
President Ferryman confirmed General Manager Carroll's statement.
Discussion followed regarding the need for Director Perry to recuse himself from the discussions of
sponsorship of Estancia High School.
Director Perry requested to recuse himself and exited the meeting for the remainder of the discussion of
the item.
General Manager Carroll provided details of the request for sponsorship from Estancia High School.
Discussion followed regarding advertising in the Estancia High School football program and sponsoring of
a banner to be hung at the football stadium.
Director Ooten moved to approve expending the funds to sponsor a banner to be displayed at the
Estancia High School football stadium and for staff to develop a simple message to be displayed on the
banner. Vice President Scheafer seconded the motion.
Discussion followed regarding the message to be displayed on the banner. The message will be recycling
alkaline batteries at Estancia High School.
The motion carried 3-1-1, with Director Perry recused and Director Schafer absent.
Director Perry re-entered the meeting at this time.
13. Preliminary FY 2012-13 Year-End Budget (4th Quarter Budget Report)
Recommendation: That the Board of Directors receive and file this report.
General Manager Carroll provided details of the preliminary year-end spending report for Fiscal Year
2012-13 and noted that staff will present the final year-end spending report to the Board at its meeting
on August 29, 2013.
Vice President Scheafer questioned if General Manager Carroll felt that there would be any change in
the stated personnel savings.
COSTA MESA SANITARY DISTRICT PAGE 5
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
HELD JULY 31, 2013
General Manager Carroll indicated that the stated personnel savings would remain the same for Fiscal
Year 2012-13 and that there would not be as large of a surplus in the next Fiscal Year as the District is
currently fully staffed.
There were no additional questions or comments and the report was received.
15. Approve the Fourth Addendum to the Agreement with Environmental Engineering and
Contracting, Inc. for Continuing the District's Fat, Oil, Grease (FOG) Program
Recommendation: That the Board of Directors approves the Fourth Addendum to the
Agreement with EEC for continuing the District's Fats, Oil, and Grease (FOG) Program.
General Manager Carroll introduced the item and deferred to Mr. Joe Jenkins of EEC to provide a
presentation.
Director Schafer entered the meeting at 5:57 p.m.
Mr. Jenkins provided a presentation discussing FOG program activities, methods of prioritizing facilities for
inspection frequency, how new facilities are identified and evaluated, and key program trends.
Director Ooten encouraged EEC staff to review the District's ordinance for the purpose of enforcing non-
compliance issues.
Discussion followed regarding the absence of grease interceptors in older food establishments and how
the facilities and the increased frequency of inspection from an annual to quarterly basis of the older food
establishments.
Director Schafer questioned if there was a list of food establishments that were grandfathered into the
program.
Mr. Jenkins responded to Director Schafer's question and confirmed that there is a list.
District Engineer Hamers noted that the FOG program is a requirement of the WDR and that EEC is well
versed on the latest technologies of grease control.
Discussion followed regarding EEC's involvement with other special districts. Mr. Jenkins indicated that
EEC also works with the Irvine Ranch Water District and the Orange County Sanitation District.
District Counsel suggested that the District confirm that the City of Costa Mesa's developer check list
states to contact CMSD regarding sewer services.
Vice President Scheafer suggested that a study session be held to better educate the food establishments
on the list of facilities that were grandfathered in.
COSTA MESA SANITARY DISTRICT PAGE 6
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
HELD JULY 31, 2013
Director Perry moved to approve the recommendation. Vice President Scheafer seconded the motion,
which carried 5-0.
16. 58th Annual California Association of Sanitation Agencies (CASA) Conference
Recommendation: That the Board of Directors approves Vice President Scheafer and
Directors Perry and Schafer to attend this conference in San Diego.
General Manager Carroll introduced the item and noted that three members of the Board are
interested in attending the conference and will need approval to attend as the conference will be held
out of Orange County.
Director Ooten moved to approve the recommendation. Director Schafer seconded the motion, which
carried 5-0.
17. September 17, 2013 Board of Directors Study Session
Recommendation: That the Board of Directors approves canceling or rescheduling the
September 17, 2013 Board of Directors Study Session to attend California Special
Districts Association (CSDA) annual conference in Monterey.
General Manager Carroll noted that a scheduling conflict existed as the study session for September
17, 2013 is scheduled at the same time that the Board will be attending the CSDA annual conference
in Monterey.
Director Perry expressed interest in rescheduling the study session.
The Board unanimously agreed to reschedule the study session to Monday, September 9, 2013 at
9:30 a.m.
18. NeoGov Conference — October 2013
Recommendation: That the Board of Directors approve Ms. Anna Sanchez, Administrative
Service Manager, to attend the 2013 NeoGov user conference October 2-4, 2013 in Las
Vegas, Nevada.
Director Ooten moved to approve the recommendation.
Director Perry asked if Ms. Sanchez had previously attended this conference.
Ms. Sanchez confirmed that she had not.
Vice President seconded the motion, which carried 5-0.
19. Sewer System Management Plan (SSMP) Recertification and Implementation Schedule
of Audit Findings
Recommendation: That the Board of Directors:
1. Accept and approve two year self-audit; and
2. Approves amending and recertifying the SSMP; and
3. Approves the Implementation Schedule of the audit findings.
COSTA MESA SANITARY DISTRICT PAGE 7
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
HELD JULY 31, 2013
General Manager Carroll introduced the item and noted that the update of standard sewer permits to
identify pretreatment requirements recognized by Orange County Sanitation District (OCSD) has been
completed and that the District is ahead of schedule.
Director Schafer moved to approve the recommendation. Director Ooten seconded the motion.
The motion carried 5-0.
20. Sewer Hotspots
Recommendation: That the Board of Directors receive and file this report regarding the
practical number of sewer hotspots within CMSD service area.
General Manager Carroll introduced the item and provided report details and noted that the number
of hot spots will decrease from 43 to 37 upon the completion of Project #197. Mr. Carroll indicated
that he felt it practical to use the number of 11 hot spot locations as the new goal for Strategic Goal
No. 1.3. as opposed to the current goal of"reduce hot spot locations to less than 40."
Discussion followed regarding what constitutes a hot spot, the need to change the strategic goal to
provide staff a timeframe of when the improvements need to be completed by, and the number of hot
spots that are currently considered to be a grade five.
There were no additional questions or comments and the report was received.
District Counsel Burns requested to revisit Item 19 and noted that no one had left the meeting since
the discussion of the item. Mr. Burns requested clarification if the item was the every two year self-
audit or the recertification of the SSMP.
General Manager Carroll clarified that the self-audit was conducted two years ago and the SSMP is
the document that the District relies on to comply with the WDR.
District Engineer Hamers noted that a self-audit is conducted every two years and this is the second
self-audit. The SSMP is required to be recertified every five years, however, there is nothing
preventing an earlier recertification. Mr. Hamers indicated that General Manager Carroll's intention is
to conduct the self-audit, make the corrections to the SSMP, then recertify the SSMP.
District Counsel Burns requested to work with General Manager Carroll and District Engineer
Hamers on the language of the sewer permit process.
21. Rewarding Ideas.Program
Recommendation: That the Board of Directors approves rewarding District employees
Steve Cano $150.00 and Joel Ortiz and Alex Arreola $100.00 each, for a total of $350.00
for their idea to create a coloring tri-fold for children ages 5 to 10 years of age.
General Manager Carroll introduced the item and recommended rewarding District employees Steve
Cano, Joel Ortiz and Alex Arreola for their idea of creating a CMSD coloring tri-fold.
Discussion followed regarding the distribution of the coloring tri-fold at various workshops and
special events.
COSTA MESA SANITARY DISTRICT PAGE 8
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
HELD JULY 31, 2013
There were no additional questions or comments.
Vice President Scheafer moved to approve the recommendation. Director Schafer seconded the
motion, which carried 5-0.
22. Resolution No. 2013-841 —Amending the Records Retention Schedule
Recommendation: That the Board of Directors adopt Resolution No. 2013-841 amending
the records retention schedule.
General Manager Carroll deferred to Ms. Noelani Middenway to provide the report.
Ms. Middenway reported on the changes which required the movement of sewer plan records that
were listed under the Finance Department to be placed under the General Manager's retention
schedule.
Director Ooten moved to approve the recommendation. Vice President Scheafer seconded the
motion.
Director Perry questioned if the District had an offsite records storage facility and where it was
located.
Ms. Middenway responded to Director Perry's question and confirmed that the District has a contract
with Iron Mountain as its offsite storage provider and that the District records were currently stored at
the Fullerton facility.
Discussion followed regarding the retention period of financial records and the process to send
records to and recall from the offsite storage facility.
The motion carried 5-0.
XI. ENGINEER'S REPORTS
23. Proiect Status Report
Recommendation: That the Board of Directors receive and file the report.
District Engineer Hamers introduced the items.
Director Ooten questioned if the grade five project is underway.
District Engineer Hamers confirmed that the grade five project began last week and that a portion of
the seismic retrofit had also begun.
Discussion followed regarding current improvement project status.
There were no additional questions or comments and the report was received.
24. Project No. 101 —Westside Pump Station Abandonment Project — Update on Engineer's
Estimate
Recommendation: That the Board of Directors:
COSTA MESA SANITARY DISTRICT PAGE 9
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
HELD JULY 31, 2013
1. Receives and files the enclosed preliminary engineer's estimate for the abandonment of
six (6) sewer pumping stations in the amount of$4,613,485; and
2. Approve a budget transfer in the FY 2013-14 Budget in the amount of$65,000 from the
Asset Management Fund to the balance of Project #101; and
3. Increase the yearly contribution by $65,000 to a total of$465,000 a year for the next five.
years from 2014 through 2018.
Director Ooten expressed interest of discussing this item at a study session and would like more time
to discuss and review the project details.
District Engineer Hamers agreed with Director Ooten and noted that the purpose of the preliminary
engineer's estimate was to develop a preliminary budget to assist in determining the construction
cost obligations to complete the work.
General Manager Carroll suggested placing the item on the September 9, 2013 study session
agenda for discussion.
President Ferryman suggested that OCSD be invited to participate in discussions regarding this item
at the study session.
District Counsel Burns questioned if the pump stations that were listed in the abandonment were
also listed in the report.
Director Perry moved to place this item on the September 9, 2013 study session agenda for
discussion. Director Ooten seconded the motion.
Vice President Scheafer requested a hard copy of the report.
The motion carried 5-0.
XIII. TREASURER'S REPORTS
25. Investment Report
Recommendation: That the Board of Directors approves the Investment Report for the
month of June 2013.
General Manager Carroll introduced the item.
There were no questions or comments.
Vice President Scheafer moved to approve the recommendation. Director Schafer seconded the motion,
which carried 5-0.
26. eConnectDirect Licensing Agreement
Recommendation: That the Board of Directors approves the licensing agreement with
eConnectDirect and authorizes the District Treasurer to sign said agreement on behalf of
COSTA MESA SANITARY DISTRICT PAGE 10
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
HELD JULY 31, 2013
CMSD.
General Manager Carroll introduced the item and provided report details regarding the licensing
agreement with eConnectDirect that provides the Treasurer with electronic access to the markets when
making investment decisions.
Discussion followed regarding the authorization of the District Treasurer to sign the agreement.
Director Perry moved to approve the recommendation. Director Schafer seconded the motion, which
carried 5-0.
XIV. ATTORNEY'S REPORTS
27. Ordinance No. 99 - Providing to Abatement Remedies and Cost Recovery when Private
Sewer Systems are in Imminent Danger of a Sewer System Overflow
Recommendation: That the Board of Directors adopt Ordinance No. 99.
District Counsel Burns introduced the item and noted that the proposed ordinance would provide
clear procedures for abatement when proof exists that a sewer system overflow is imminent from
either root or grease conditions.
Director Ooten moved to approve the recommendation. Vice President Scheafer seconded the
motion, which carried 5-0.
XV. LOCAL MEETINGS
A. Orange County Sanitation District (OCSD) — (President Ferryman)
Recommendation: That the Board of Directors accepts oral report.
President Ferryman reported on his attendance of the OCSD Board meeting,
indicated that he nominated John Collins for the Walk of Fame. President
Ferryman noted that OCSD General Manager Jim Herberg provided his
goals for the year, and discussed his participation in the OCSD strategic
planning project.
Director Perry reported on public comment regarding the odor from OCSD,
discussion regarding all local sewers becoming the responsibility of the
cities. Director Perry also discussed an odor off Gisler Avenue that had been
reported.
B. Santa Ana River Flood Protection Agency (SARFPA) — (Secretary
Perry)
Recommendation: That the Board of Directors accepts oral report.
Director Perry reported that there was no meeting this month.
President Ferryman announced that tours of the Aster Pump Station in
Garden Grove would be held on August 15, 2013.
C. Independent Special Districts of Orange County (ISDOC) — (Vice
COSTA MESA SANITARY DISTRICT PAGE 11
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
HELD JULY 31, 2013
President Scheafer)
Recommendation: That the Board of Directors accepts oral report.
Vice President Scheafer reported on a letter that was sent to the ISDOC
Executive Committee from the South Orange County Agencies Group
regarding concerns of the proposed bylaws. Vice President Scheafer
announced that the ISDOC quarterly meeting is scheduled for August 29,
2013.
•
D. California Special Districts Association (CSDA)
Recommendation: That the Board of Directors accepts oral report.
Vice President Scheafer reported on his completion of a legislative update
webinar and suggested that the webinars be conducted at District
headquarters for any members of the Board who would like to attend.
E. California Association of Sanitation Agencies (CASA)
Recommendation: That the Board of Directors accepts oral report.
Nothing to report at this time.
F. Other Meetings Qualifying for Reimbursement under CMSD Ordinance
No. 55, Operations Code Section 3.01.030
Recommendation: That the Board of Directors accepts oral report.
Director Schafer reported on her attendance of the ISDOC regular meeting,
LAFCO meeting, OCCOG meeting, the Chamber of Commerce Legislative
Committee meeting, WACO meeting, CMSD Closed Session, Operations
Committee, and Board meeting.
Director Ooten reported on his attendance of a Santa Ana River Basin Section
(SARBS) meeting that discussed what is being done locally and nationally on
FOG related items. Director Ooten also mentioned that General Manager Carroll
had made a presentation at the SARBS meeting highlighting the District's
accomplishments of the year.
XVI. OLD BUSINESS — None.
XVII. NEW BUSINESS — None.
XVIII. ORAL COMMUNICATIONS AND DIRECTOR COMMENTS
Director Perry questioned District Engineer Hamers on his attendance of the Leucadia
County Water District meeting.
COSTA MESA SANITARY DISTRICT PAGE 12
MINUTES OF THE BOARD OF DIRECTORS REGULAR MEETING
HELD JULY 31, 2013
Director Ooten reported on the presentation at the Leucadia County Water District meeting.__
regarding calcium build up in the sewer lines and how it affects sewer system overflows.
District Engineer Hamers reported that El Toro Water District will hold a workshop where a
contractor with proprietary technology will provide a demonstration on calcium removal. Mr.
Hamers noted that staff is re-televising the calcium that was recorded in 2006 to measure the
change to date.
XIX. ADJOURNMENT
President Ferryman adjourned the meeting at 7:15 p.m. to the next regular meeting
of the Costa Mesa Sanitary District Board of Directors on August 29, 2013 at 5:30 p.m.
in the District's Board Room, 628 W. 19th Street.
Art Perry James Ferry :n
Secretary 1�2 President