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Minutes - Board - 2008-05-22.s 0 • COSTA MESA SANITARY DISTRICT MINUTES OF BOARD OF DIRECTORS REGULAR MEETING MAY 229 2008 CALL TO ORDER The Board of Directors of the Costa Mesa Sanitary District met in regular session on May 22, 2008, at 5:30 p.m. at 628 W. 19th Street, Costa Mesa. PLEDGE OF ALLEGIANCE INVOCATION ROLL CALL DIRECTORS PRESENT: DIRECTORS ABSENT: President Perry called the meeting to order at 5:30 p.m. Director Schafer led the Pledge of Allegiance. Mr. Fauth gave the invocation. Art Perry, Arlene Schafer, Bob Ooten, James Ferryman, Gary Monahan None STAFF PRESENT: Robin B. Hamers, Manager /District Engineer; Alan Burns, Legal Counsel; Tom Fauth, Assistant Manager; Joan Revak, Board Secretary/Program Manager /Clerk of the District; Marc Davis, Treasurer; Denise Gilbert, Public Outreach Coordinator; Janel Jackson, Office Specialist II; Ron Shef, Ordinance Enforcement Officer; Karl Dulake, Maintenance Supervisor; Kaitlin Tran, Accounting Specialist; Joel Ortiz, Maintenance Worker; Tim Henson, Maintenance Worker OTHERS PRESENT: Mr. Dan Worthington, 2963 Mindanao Drive, Costa Mesa Ms. Gina Fauth, 1079 Visalia, Costa Mesa • • • ,Minutes of CMSD Board of Directors Regular Meeting CONSENT CALENDAR May 22, 2008 Page 2 Director Schafer motioned to approve the Consent Calendar. Director Ooten seconded. Motion carried 5 -0. REPORTS MINUTE APPROVAL The Minutes of the Sewer System Committee Meeting of Minutes of the Sewer May 14, 2008, were approved as distributed. System Committee Meeting — May 14, 2008 Minutes of the Recycling The Minutes of the Recycling Committee Meeting of April Committee Meeting — 21, 2008, were approved as distributed. April 21, 2008 Minutes of Regular The Minutes of the Regular Meeting of April 21, 2008 were Meeting — April 21, 2008 approved as distributed. MANAGER'S REPORTS REFUNDS There were no refunds for the month of April 2008. Occupancy Report and The Trash Occupancy Count documented an increase of 12 Payment of $196,511.50 units for the occupancy report for solid waste collection as of to Costa Mesa Disposal May 1, 2008. Therefore, the total for May is 21,464. — April 2008 Board directed Staff to prepare a warrant for $196,511.50 for May,2008 collection based on occupancy report. Said payment in the amount of $196,511.50 to Costa Mesa Disposal to be ratified on the June 2008 warrant register. Monthly Spill Report to The Monthly Spill Report to the State Water Resources State Water Resources Control Board (SWRCB) for April 2008 was accepted as Control Board submitted. Minutes of Human The minutes of the Human Resources meeting held May 14, Resources Meeting held 2008 were accepted as submitted. May 14, 2008 • • 'Minutes of CMSD Board of Directors Regular Meeting ENGINEER'S REPORTS May 22, 2008 Page 3 Project Status Report The Project Status Report dated May 2008 was accepted as submitted. TREASURER'S REPORTS Financial Report as of The Financial Report as of April 30, 2008 was accepted as April 30, 2008 submitted. Treasurer's Report as of The Treasurer's Report as of April 30, 2008 April 30, 2008 Was accepted as submitted. Warrant 2008 -10 for April Warrant Resolution #CMSD 2008 -11 was approved, 2008 in the amount of authorizing the President and Secretary to sign the warrant $663,490.14 ratifying the payment of certain claims and demands, and specifying the funds out of which the same were paid in the amount of $663,490.14. Directors Expenses for Director Compensation and Expense Reimbursements for the Month of April 2008 the Month of April 2008 were approved and ratified as follows: President Perry: $442.00 Vice President Schafer: $1326.00 + $697.24 Director Ooten: $1326.00 + $5.05 +$986.43 +$1184.45 Director Ferryman: $1105.00 Director Monahan: $442.00 END OF CONSENT CALENDAR WRITTEN COMMUNICATION Ms. Revak reported the District received a thank you note from the Newport Mesa Unified School District for the $400 contribution to Wilson School for their participation in the 2007 Telephone Book Recycling Contest. PUBLIC COMMENTS is There were no public comments. 'Minutes of CMSD Board of Directors Regular Meeting • MANAGER'S REPORTS May 22, 2008 Page 4 CMSD HISTORY OF SPECIAL MEETINGS, AD HOC COMMITTEES AND STANDING COMMITTEES Mr. Hamers gave a brief history of the District's use of special meetings to cover topics too lengthy to discuss at regular Board meetings. Mr. Hamers also reviewed the number of standing committees now in place and the demands on Staff's time to successfully prepare for the meetings and prepare minutes. If future sensitive subject matter is brought to the Board, Mr. Hamers suggested either an ad -hoc committee be formed or the use of a special meeting to discuss the subject matter rather than form additional permanent committees. Director Ferryman suggested tightening up the focus of current committees. Director Monahan specifically requested the Sewer System Committee meeting agendas be pared down. Mr. Burns informed the Board that standing committees are fully subject to the Brown Act whereas an ad hoc committee is by definition a temporary committee and the meetings are not subject to the Brown Act. Ms. Revak stated all Special Meetings are "posted" in accordance with the Brown Act requirements. PRESENTATION ON OPTIONS FOR CHANGING EMPLOYEES' CALPERS RETIREMENT FORMULA Mr. Hamers provided a Staff report and information to the Board regarding changing Employees' Cal PERS Retirement Formula. Mr. Fauth made a presentation and recommendation to the Board to consider an increase from 2 percent to 2.7 percent at 55 to attract future talented employees. Director Ferryman expressed concern with the increase to 2.7 % due to the state of the economy. Director Monahan suggested an employee buy -in and a negotiation take place and Director Ooten concurred. President Perry suggested moving the issue to closed session at the end of the Regular Meeting. Ms. Revak provided a list of flexible benefit accounts (cafeteria plans) for nearby agencies to assure the Board the previously approved increase is not out of line with other cities /districts in Orange County. Minutes of CMSD Board of Directors Regular Meeting May 22, 2008 Page 5 District Yard —174 W. Wilson Street — CMSD #187 Mr. Hamers reported: the construction plans will be submitted for plan check in mid June 2008. Mr. Fauth recommended approval of license agreement, prepared by Colin Burns, with Doty Brothers, who are interested in leasing the District's vacant lot for $600 /mo. If approved by the Board, the agreement will be addressed at the June 23, 2008 Board Meeting at which time the intent then is to go forward with a lease arrangement. Director Ooten motioned to approve the agreement. Director Schafer seconded. Motion carried as follows: Ayes: Perry, Schafer, Ooten, Ferryman, Monahan Noes: None CMSD STRATEGIC PLAN YEAR 2007/2008 ADDITIONAL STRATEGIC PLANNING ACTION ITEMS SPECIAL DISTRICT LEADERSHIP FOUNDATION (SDLF) Ms. Revak reported Director Monahan plans to attend the CSDA Board Governance Class being offered at the CSDA Annual Conference in Irvine in September.. Mr. Hamers plans to attend the General Manager Training class on November 14, 2008 in Santa Clara after which the District will submit its application for the SDLF Districts of Distinction accreditation. SEWER SYSTEM COMMITTEE REPORT ON MEETING HELD MAY 14, 2008 Director Monahan presented topics of discussion at the May 14, 2008 meeting. CMSD FTP SITE AS POTENTIAL HOST FOR REGIONAL EDUCATION MATERIALS Mr. Hamers reported the programming costs if the CMSD were to host the site would be $1,000. • POTENTIAL TRANSFER OF OCSD SEWERS TO CMSD Director Monahan reported on the potential transfer of six OCSD sewers to CMSD. 'Minutes of CMSD Board of Directors Regular Meeting • PROJECT #186 SEWER LATERAL ASSISTANCE PROGRAM May 22, 2008 Page 6 Ms. Jackson reported the amount expended to date is $96,000 and includes 113 applicants for the Sewer Lateral Assistance Program. PRESENTATION OF CMSD SEWER LATERAL ASSISTANCE PROGRAM AT 2009 CWEA ANNUAL CONFERENCE BY ASSISTANT MANAGER Mr. Hamers requested approval of the Assistant Manager giving a presentation on the CMSD Sewer Lateral Assistance Program at the 2009 CWEA Annual Conference in Southern California. Director Ferryman motioned approval of the presentation of CMSD Sewer Lateral Assistance Program at 2009 CWEA Annual Conference in Southern California by the Assistant Manager. Director Schafer seconded. Motion carried 5 -0. RECYCLING REPORTS WASTE DIVERSION REPORT - APRIL 2008 Ms. Revak presented the Waste Diversion Report for March 2008 showing a 50.41 % diversion rate. Director Monahan motioned the Waste Diversion Report be received and filed. Director Schafer seconded. Motion carried 5 -0. CONTRACT PAYMENT TO CR TRANSFER FOR RECYCLING SERVICES AND DISPOSAL PAYMENT FOR APRIL 2008 SERVICES Ms. Revak presented the invoices for April 2008 recycling services and disposal. Director Ferryman motioned to ratify contract payment to CR Transfer for recycling services for the month of April 2008 in the amount of $194,663.07. Director Ooten seconded. Motion carried as follows: Ayes: Perry, Schafer, Ooten, Ferryman, Monahan Noes: None • • • 'Minutes of CMSD Board of Directors Regular Meeting ORDINANCE ENFORCEMENT OFFICER'S REPORT May 22, 2008 Page 7 Mr. Shef provided a report for the period of April 2008. Mr. Shef provided a list of routes and streets he has been following including Director Schafer's street. President Perry reported a concern of a resident breaking up concrete and adding it to the trash collection containers and requested Mr. Shef look into the matter. SDRMA EQUIPMENT LOST IN FIRE Mr. Fauth reported no update on the equipment lost in the fire. THEFT OF POWER CABLES Mr. Fauth reported receiving payment of only $2,254.35 for the theft of the power cables at the Orange County Fairgrounds. Mr. Fauth will be inquiring as to the balance still owed. SPRING 2008 NEWSLETTER (TRASH) Mr. Hamers reported the CMSD spring newsletter was mailed to residents. Ms. Jackson, under the supervision of Mr. Hamers and Ms. Revak, wrote the articles and worked on production and artwork of the newsletter. CITY /DISTRICTS LIAISON COMMITTEE MEETING - FRIDAY, MAY 16, 2008 Director Monahan presented the discussion from the May 16, 2008 meeting. SUBCOMMITTEE TO LIAISON COMMITTEE ON CITY TREE ROOTS Director Monahan reported the need for a meeting to discuss City Tree Roots in the near future. Mr. Hamers reported, according to City Manager Allan Roeder, the City would probably not take financial responsibility for the damage to private sewer laterals. • 'Minutes of CMSD Board of Directors Regular Meeting May 22, 2008 Page 8 RECYCLING COMMITTEE — MONDAY, MAY 19, 2008 —12:00 P.M., CMSD BOARDROOM, 628 W. 19T" STREET, COSTA MESA (DIRECTOR OOTEN AND SCHAFER RECYCLING COMMITTEE GOALS FOR 2007/2008 Director Ooten presented the Board with the Recycling Committee Goals for 2007/2008 years. PARTNERSHIP WITH COSTA MESA HIGH SCHOOL LIFE SCIENCE ACADEMY; ASSIST IN EXPANDING RECYCLING PROGRAMS Director Ooten reported Denise Gilbert and Janel Jackson may participate on a panel to judge AP students' recycling projects at Costa Mesa High School Life Science Academy on June 3 and 4, 2008. COMPOSTING DEMONSTRATION AT MACY'S SOUTH COAST PLAZA HOME STORE HELD APRIL 26, 2008 Director Ooten presented a report of the Macy's Composting /Recycling Event • held on April 26, 2008. Staff invited experts in composting, Patrick McNelly. and Theresa Ransbottom to present the composting demonstration and Mr. Fauth provided recycling information to approximately 25 attendees. COMPOSTING SEMINAR EVENT TO BE HOSTED BY THE CITY OF COSTA MESA AND CMSD Director Ooten reported Staff is actively looking for a venue to present composting information to educate the community along with providing composting bins. STATUS OF COLLECTION OF BATTERIES AND CFLS AT ORANGE COAST COLLEGE RECYCLING CENTER Director Ooten reported on the status of Orange Coast College Recycling Center's collection of batteries and fluorescent bulbs. "ZERO WASTE" Director Ooten suggested moving "zero waste" to next year's strategic planning effort. • 'Minutes of CMSD Board of Directors Regular Meeting 0 LARGE ITEM COLLECTION PROGRAM May 22, 2008 Page 9 Ms. Revak reported the Large Item Collection program begins June 16, 2008 and will run through August 22, 2008. Ms. Revak provided dates for the pickup for each of the Directors. Ms. Revak will verify the large item pickup will not occur on the streets in the area surrounding the Orange County Fairgrounds during the Fair. Mr. Hamers suggested the necessity for the Directors to have compost bins at their residences to better understand the process and be able to answer questions from residents. Mr. Hamers stated the Directors should be familiar with the details of the composting process. Mr. Burns stated as long as the Earth Machines would be serving a public purpose such as described by Mr. Hamers and as opposed to being a gift of public funds, the Directors are able to receive and use the compost machines for no cost. ENGINEER'S REPORTS WASTE DISCHARGE REQUIREMENTS (WDR) • Mr. Hamers reported the May 15, 2008 seminar was attended by CMSD staff as well as Director Ooten. CONVERSION OF "FIXED FEES" TO "CAPACITY CHARGES" Mr. Hamers is actively working on information to be given to Mr. Burns and Mr. Davis to continue the process. TREASURER'S REPORTS RESOLUTION NO. 2008 -752 ADOPTING BUDGET FOR FISCAL YEAR 2008 -2009 Mr. Davis introduced RESOLUTION NO. 2008 -752, A RESOLUTION OF THE BOARD OF DIRECTORS OF THE COSTA MESA SANITARY DISTRICT, ADOPTING A BUDGET FOR THE FISCAL YEAR 2008 -09. Director Ferryman motioned to adopt Resolution No. 2008 -752. Director Ooten seconded. Motion carried as follows: Ayes: Perry, Schafer, Ooten, Ferryman, Monahan 0 Noes: None • 'Minutes of CMSD Board of Directors Regular Meeting May 22, 2008 Page 10 INVESTMENT OVERSIGHT COMMITTEE MEETING THURSDAY, MAY 22, 2008 (DIRECTORS OOTEN AND FERRYMAN) Mr. Davis presented the discussion from the May 22, 2008 meeting, which involved the Treasurer's Report of April 30, 2008. It was reported that all the investments were called. The Committee also discussed the Cal Trust Investment Pool. Mr. Davis reported he will bring the investment policy and a resolution for consideration of adoption of the policy for the 2008/09 fiscal year to the June Regular Meeting. CR &R - RESOLUTION OF CONTRACTUAL INTERPRETATIONS FISCAL YEAR 2007 -2008 Mr. Davis reported an upcoming meeting with CR &R staff is scheduled for May 28, 2008. 0 COUNTY OF ORANGE WASTE & RECYCLING 2007 ANNUAL REPORT Mr. Davis distributed the Financial Statements for the June 30, 2007 year. ATTORNEY'S REPORTS DISTRICT /CCM /OCC RECYCLING CENTER AGREEMENT Mr. Burns reported the draft of the District/CCM /OCC Recycling Center Agreement is circulating and awaiting signatures. Mr. Fauth reported the Board of Trustees, who are signatories on the document, do not meet until June 19, 2008. LETTER TO CR &R REGARDING ADDITIONAL CONTAINER MONEY AND RESPONSE FROM CR &R Mr. Burns sent a letter to CR &R regarding not yet having received the additional container money. The letter was answered by CR &R and included a check in the amount of $83,091.16. 0 'Minutes of CMSD Board of Directors Regular Meeting May 22, 2008 Page 11 • REIMBURSEMENT OF COSTS FOR DISTRIBUTION OF AGENDA MATERIALS TO MEMBERS OF THE PUBLIC Mr. Burns presented four basic options with regard to reimbursement of costs for distribution of agenda materials to members of the public. Option 1, Agenda packet distributed to all who desire; Option 2, Agenda packet only distributed if paid for; Option 3, Agenda packet distributed without charge to public officials who have business related to the District; Option 4, Agenda packet distributed to any individual with an interest in the District. Director Ferryman motioned to adopt Option 3. Director Monahan seconded. Motion carried 5 -0. ORDINANCE NO. 68 SETTING FORTH CONFLICT AVOIDANCE PROCEDURES FOR THE DISTRICT'S ENGINEER Mr. Burns introduced Ordinance 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. Director Ferryman motioned to adopt CMSD Ordinance No. 68. Director Schafer seconded. Motion carried 5 -0. RESOLUTION NO. 2008 -750 ORDERING THAT PUBLICATION OF ORDINANCE NO. 66 ADOPTING A PREFERENCE AND EXCEPTION FOR ENVIRONMENTALLY FRIENDLY PRODUCTS IN PURCHASING HAS OCCURRED Mr. Burns introduced Resolution No. 2008 -750, A RESOLUTION OF THE BOARD OF DIRECTORS OF THE COSTA MESA SANITARY DISTRICT ORDERING THAT PUBLICATION OF ORDINANCE NO. 66 ADOPTING A PREFERENCE AND EXCEPTION FOR ENVIRONMENTALLY FRIENDLY PRODUCTS IN PURCHASING HAS OCCURRED. Director Monahan motioned to adopt CMSD Resolution No. 2008 -750. Director Ferryman seconded. Motion carried 5 -0. RESOLUTION NO. 2008 -751 ORDERING THAT PUBLICATION OF ORDINANCE NO. 67 AUTHORIZING ACCESS TO STATE SUMMARY CRIMINAL HISTORY INFORMATION FOR EMPLOYMENT PURPOSES HAS OCCURRED Mr. Burns introduced Resolution No. 2008 -750, A RESOLUTION OF THE BOARD OF DIRECTORS OF THE COSTA MESA SANITARY DISTRICT ORDERING THAT PUBLICATION OF ORDINANCE NO. 67 AUTHORIZING ACCESS TO STATE SUMMARY CRIMINAL HISTORY INFORMATION FOR EMPLOYMENT PURPOSES HAS OCCURRED. Minutes of CMSD Board of Directors Regular Meeting May 22, 2008 Page 12 is Director Ooten motioned to adopt CMSD Resolution No. 2008 -751. Director Schafer seconded. Motion carried 5 -0. LOCAL MEETINGS (Includes reports by all Directors representing CMSD) ORANGE COUNTY SANITATION DISTRICT (OCSD) Director Ferryman reported having a special meeting in which the Board discussed certain OCSD bonds. SANTA ANA RIVER FLOOD PROTECTION AGENCY (SARFPA) President Perry presented the discussion from the SARFPA meeting. President Perry distributed a packet of information regarding the dam embankments he received at the SARFPA meeting. INDEPENDENT SPECIAL DISTRICTS OF ORANGE COUNTY (ISDOC) (DIRECTOR SCHAFER Director Schafer gave a presentation on CSDA. Director Schafer presented Is Director Ferryman with Chuck Davore's business card requesting a groundwater tour for his family. QUARTERLY MEETING AT MWDOC /OCWD JOINT BOARD ROOM ON THURSDAY, MAY 29, 2008 AT 11:30 A.M. ELECTION OF ISDOC REPRESENTATIVE TO LAFCO President Perry reported he is unable to attend the May 29, 2008 ISDOC meeting. Ms. Revak reported a minute excerpt was prepared enabling Director Monahan or Director Ferryman to vote on behalf of the District in the election for an ISDOC representative to LAFCO. Director Ferryman confirmed he will attend the meeting. LOCAL AGENCY FORMATION COMMISSION (LAFCO) (DIRECTOR SCHAFER) Director Schafer attended a public hearing on April 9, 2008 and the Commission denied the request to annex the south area of Santa Ana Heights and the Santa Ana Country Club to the City of Newport Beach. CALIFORNIA SPECIAL DISTRICTS ASSOCIATION (CSDA) (DIRECTOR SCHAFER) CSDA 2008 SPECIAL DISTRICTS LEGISLATIVE DAY - MAY 12, 2008 SACRAMENTO Director Schafer attended the May 12, 2008 CSDA 2008 Special Districts Legislative Day. Director Schafer attended several meetings in the Sacramento area regarding the CSDA Conference in September 2008. Minutes of CMSD Board of Directors Regular Meeting 0 CSDA BOARD OF DIRECTORS - CALL FOR NOMINATIONS May 22, 2008 Page 13 Director Schafer recommended the nomination of Dewey Ausmus, North County Cemetery District, for Seat C in Region Six. Director Ferryman motioned to accept Director Schafer's recommendation and nominated Dewey Ausmus of the North County Cemetery District for Seat C in Region Six. Director Monahan seconded. Motion carried 5 -0. CALIFORNIA ASSOCIATION OF SANITATION AGENCIES (CASA) CASA SPRING CONFERENCE AT SQUAW CREEK (APRIL 23 -26) (ATTENDED BY DIRECTORS SCHAFER, OOTEN AND FERRYMAN Director Schafer reported the CASA Spring Conference at Squaw Creek was very informative and impressive. Director Schafer reported the conference consisted of a slide presentation of the City of Masdar wherein the Eastern region will have a solar area and plans to recycle a hundred percent of their waste. Director Schafer reported CASA is supporting No Drugs Down the Drain along with other • organizations. OTHER MEETINGS QUALIFYING FOR REIMBURSEMENT UNDER CMSD ORDINANCE No. 55, OPERATIONS CODE SECTION 3.01.030 CHAMBER OF COMMERCE Director Schafer attended the Chamber of Commerce Legislative Committee meeting. OCCOG Director Schafer did not attend the meeting. WACO Director Schafer reported a CSDA update was given at the May 4, 2008 meeting. OLD BUSINESS There was no old business discussed. • #Minutes of CMSD Board of Directors Regular Meeting May 22, 2008 Page 14 • NEW BUSINESS ELECTION 2008 Ms. Revak reported the general election will be held November 4, 2008. President Perry and Director Ferryman are up for reelection. Ms. Revak submitted the required information to the Orange County Registrar of Voters. Ms. Revak stated the candidates' statements are limited to 200 words, and each candidate shall pay his own costs for candidates' statement, as stated in CMSD Ordinance No. 30. Candidate filing is July 14 through August 8, 2008, 5:00 p.m. Ms. Revak also advised the Candidate Handbook is scheduled for completion the last week in June 2008. Director Ooten requested rescheduling the Monday, July 21, 2008 Recycling Committee to Monday, July 14, 2008. The Recycling Meeting for July will be held on Monday, July 14, 2008 Director Ooten requested rescheduling the Thursday, July 24, 2008 Regular Board meeting. The Regular Board of Directors meeting for July will be held on Wednesday, July 16, 2008 ORAL COMMUNICATIONS AND DIRECTOR COMMENTS There were no oral communications or Director comments. President Perry adjourned the meeting to closed session at 8:20 p.m. PRESENTATION ON OPTIONS FOR CHANGING EMPLOYEES' CALPERS RETIREMENT FORMULA (POSSIBLE NEED FOR CLOSED SESSION PURSUANT TO GOVERNMENT CODE 54957.61 Mr. Burns stated the Board is adjourning to closed session under Government Code Section 54957.6 to meet with negotiator Mr. Hamers pertaining to all unrepresented employees of the District. The Board adjourned from Closed Session at 9:25 p.m. President Perry announced there was no action taken in the Closed Session. ADJOURNMENT President Perry adjourned the meeting 9:27 p.m. Secr.tary President