Minutes - Board - 2009-06-24r�
COSTA MESA SANITARY DISTRICT
MINUTES OF BOARD OF DIRECTORS REGULAR MEETING
JUNE 249 2009
CALL TO ORDER The Board of Directors of the Costa Mesa
Sanitary District met in regular session on
June 24, 2009, at 11:30 a.m. at 628 W.
19th Street, Costa Mesa.
PLEDGE OF ALLEGIANCE
INVOCATION
ROLL CALL DIRECTORS PRESENT:
President Schafer called the meeting to
order at 11:35 a.m.
Director Ferryman led the Pledge of
Allegiance.
Mr. Fauth gave the invocation.
Art Perry, Arlene Schafer, Bob Ooten,
James Ferryman, Gary Monahan
DIRECTORS ABSENT None
STAFF PRESENT: Don McIntyre, Interim District Manager;
Robin B. Hamers, District Engineer; Alan
Burns, Legal Counsel; Tom Fauth,
Assistant Manager; Joan Revak, Board
Secretary/Program Manager /Clerk of the
District; Jacque Rogers, Senior
Consultant for CBIZ; Teresa Gonzalez,
Accountant; Sherry Kallab, Management
Analyst; Janel Jackson, Office Specialist
II; Karl Dulake; Maintenance Supervisor
OTHERS PRESENT: None
CONSENT CALENDAR
Director Perry motioned to approve the Consent Calendar. Director Monahan
seconded. Motion carried 5 -0.
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MINUTES OF COSTA MESA SANITARY DISTRICT
REGULAR BOARD OF DIRECTORS MEETING
JUNE 24, 2009
PAGE 2
INTERIM DISTRICT MANAGER & DISTRICT ENGINEER
PERFORMANCE AND EVALUATION AND CONTRACT MATTERS
CLOSED SESSION TO DISCUSS THE PERSONNEL EVALUATION OF THE INTERIM
DISTRICT MANAGER AND THE DISTRICT ENGINEER PURSUANT TO GOVERNMENT
CODE SECTION 54957
President Schafer adjourned the regular Board meeting to move into Closed Session at
11:37 a.m. Mr. Burns reported the Board of Directors of the Costa Mesa Sanitary
District went into Closed Session to discuss the personnel evaluation of the Interim
District Manager and to discuss the personnel evaluation of the District Engineer.
President Schafer adjourned the Closed Session and reopened the regular meeting at
12:45 p.m. Mr. Burns reported the Board provided additional direction regarding the
personnel evaluation of the Interim District Manager and the District Engineer pursuant
to Government Code 54957.
OPEN SESSION TO RATIFY THE INTERIM DISTRICT MANAGER'S CONTRACT
• Director Monahan motioned to ratify the Interim District Manager's Contract. Director
Perry seconded. Motion carried 5 -0.
OPEN SESSION TO DISCUSS RATE RESTRUCTURING FOR ENGINEERING WORK
AND APPROVAL OF THE DISTRICT ENGINEER'S CONTRACT
Director Monahan motioned to approve the rate restructuring for engineering work and
approval of the District Engineer's contract with further definitions of duties to be
provided by the Interim Manager and District Counsel. Vice President Ooten seconded.
Motion carried 5 -0.
Director Perry left the proceedings.
REPORTS
Minute Approval
Minutes of Special Meeting The Minutes of the Special Meeting of May 8, 2009
— May 8, 2009 were approved as distributed.
Minutes of Recycling The Minutes of the Recycling Committee Meeting
Committee Meeting — May of May 18, 2009 were approved as distributed.
18, 2009
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MINUTES OF COSTA MESA SANITARY DISTRICT
REGULAR BOARD OF DIRECTORS MEETING
JUNE 243 2009
PAGE 3
Minutes of Special Meeting The Minutes of the Special Meeting of May 18,
May 18, 2009 2009, were approved as distributed.
Meeting of Sewer System The Minutes of the Sewer System Committee
Committee Meeting — May Meeting of May 19, 2009, were approved as
19, 2009 distributed
Minutes of Investment The Minutes of the Investment Oversight
Oversight Committee Committee Meeting of May 20, 2009, were
Meeting — May 20, 2009 approved as distributed.
Minutes of Regular Meeting The Minutes of the Regular Board Meeting of May
May 20, 2009 20, 2009, were approved as distributed.
Minutes of Special Meeting The Minutes of the Special Meeting of May 28,
May 28, 2009 2009, were approved as distributed.
Minutes of Special Meeting
June 8, 2009 The Minutes of the Special Meeting of June 8,
2009, were approved as distributed.
MANAGER'S REPORTS
Refunds There were no refunds for the month of May 2009.
Occupancy Report and The Trash Occupancy Count documented an
Payment of $196,667.14 to increase of 2 units for the occupancy report for
Costa Mesa Disposal — June solid waste collection as of June 1, 2009. The total
2009 for June is 21,481.
Board directed Staff to prepare a warrant for
$196,667.14 for June 2009 collection based on
occupancy report. Said payment in the amount of
$196,667.14 to Costa Mesa Disposal to be ratified
on the July 2009 warrant register.
Monthly Spill Report to State The Monthly Spill Report to the State Water
Water Resources Control Resources Control Board (SWRCB) for June 2009
Board was accepted as submitted.
Waste Diversion Report The Waste Diversion Report dated June 2009 was
accepted as submitted.
Contract Payment of The contract payment of $168,324.38 to CR
$168,324.38 to CR Transfer Transfer for recycling services and disposal for the
— May 2009 month of May was ratified as submitted.
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REGULAR BOARD OF DIRECTORS MEETING
JUNE 24, 2009
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Contract Payment of The contract payment of $9,903.52 to CR Transfer
$9,903.52 to CR Transfer — for recycling services and disposal for Santa Ana
Santa Ana Heights/ Newport Heights /Newport Beach for the month of May was
Beach — May 2009 ratified as submitted.
Ordinance Enforcement The Ordinance Enforcement Officer's Report dated
Officer's Report June 15, 2009 was'accepted as submitted.
ENGINEER'S REPORTS
Project Status Report The Project Status Report dated June 2009 was
accepted as submitted.
TREASURER'S REPORTS
Financial Report as of May The Financial Report as of May 31, 2009 was
31, 2009 accepted as submitted.
Treasurer's Report as of The Treasurer's Report as of May 31, 2009 was
May 31, 2009 accepted as submitted.
Warrant Resolution #CMSD Warrant Resolution #CMSD 2009 -12 was
2009 -12 for May 2009 in the approved, authorizing the President and Secretary
amount of $637,636.06 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
$637,636.06.
Directors Expenses for the Director Compensation and Expense
Month of May 2009 Reimbursements for the Month of May 2009 were
approved and ratified as follows:
President Schafer: $1,326.00 + $89.66 + $5.50
Vice President Ooten: $1,326.00 + $111.50
Director Perry: $884.00
Director Ferryman: $884.00 + $3.30
Director Monahan: $1,105.00
END OF CONSENT CALENDAR
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MINUTES OF COSTA MESA SANITARY DISTRICT
REGULAR BOARD OF DIRECTORS MEETING
WRITTEN COMMUNICATIONS
JUNE 24, 2009
PAGE 5
Ms. Revak reported the District received a thank -you letter from Van Laffoon, a Costa
Mesa resident, thanking CMSD regarding the sewer lateral program.
Ms. Revak also reported a thank -you letter was received from the Orange County
Coastkeeper expressing its gratitude regarding Ms. Bjornson's participation in judging
student presentations in the WHALES program at Costa Mesa High School.
PUBLIC COMMENTS
There were no public comments made.
MANAGER'S REPORTS
DISTRICT YARD — 174 W. WILSON STREET — CMSD #187
ESTIMATE OF OVERALL CONSTRUCTION PHASE COSTS
• Mr. Fauth reported the estimate of the overall construction phase costs as of June 17,
2009 is $2,361,161.91 with a 2% construction contingency of $41,980.12 totaling
$2,403,142.03.
SELECTION OF CONTRACTOR
The CMSD Yard Selection Committee consists of Vice President Ooten, Director
Ferryman, Mr. McIntyre, Mr. Harriers, Mr. Fauth, Mr. Dulake and periodically RTA as
architectural engineering support.
Vice President Ooten motioned to approve the selection of Howard S. Wright
Constructors, LP to construct the CMSD yard to minimum Gold LEED and potentially
Platinum LEED standards for the negotiated price of $2,099,006 with final contract
language approved by CMSD General Counsel. Director Ferryman seconded. Motion
carried 4 -0.
CONSULTANT CONSTRUCTION PHASE PROPOSALS
Mr. Fauth presented three proposals providing construction phase services during
construction of the new District Yard facility. The three proposals are:
1) RTA for Construction Administration
Architectural: $12,000.00
Structural Engineering: $ 5,500.00
M, P & E: $ 1,320.00
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MINUTES OF COSTA MESA SANITARY DISTRICT
REGULAR BOARD OF DIRECTORS MEETING
with Fee Structure as follows:
Architectural $125.00/Hr.
Structural Engineering $150.00 /Hr.
M, P & E $165.00/Hr
JUNE 249 2009
PAGE 6
2) Geo -Etka, Inc. for soil engineering services in the estimated amount of
$7,600.00.
3) Robin B. Harriers & Associates, Inc. for contract administration,
engineering, surveying and inspection in the estimated amount of $26,884.00.
Director Monahan motioned to approve the consultant construction phase proposals.
Vice President Ooten seconded. Motion carried 4 -0.
32DAA VEHICLE STORAGE AGREEMENT UPDATE
Mr. Fauth reported on the 32DAA Vehicle Storage Agreement and requested ratification
of the agreement with OCFEA. Director Ferryman motioned for approval of the 32DAA
Vehicle Storage Agreement. Vice President Ooten seconded. Motion carried 4 -0.
GRANT RESEARCH
Ms. Kallab reported on her efforts in obtaining funding for the construction of the new
District yard and determined no federal funds are available.
ORDINANCE ENFORCEMENT OFFICER TRANSITION
Mr. Fauth reported Staff met on June 10, 2009 to establish the next step in the hiring
process for the part -time position of the District's Ordinance Enforcement Officer.
Interim District Manager, Don McIntyre and Staff met with Mr. Roeder to discuss the
details of sharing the joint agency coordinated full -time position with the City of Costa
Mesa. The City proposed providing Code Enforcement Officer services to the District
and the District to take responsibility of sewer lateral issues regarding roots. Mr.
McIntyre will request Mr. Roeder to provide a written proposal to present to the Board
for further discussion and direction.
SEWER SYSTEM COMMITTEE
REPORT ON MEETING HELD ON JUNE 23, 2009
• Director Monahan reported the Sewer System Committee met on June 23, 2009 and
discussed several items including the monthly spill statistics, the OCSD offer of Area 7
sewers, Uniform Construction Cost Accounting Act Bidding, and other CMSD projects.
MINUTES OF COSTA MESA SANITARY DISTRICT
REGULAR BOARD OF DIRECTORS MEETING
JUNE 24, 2009
PAGE 7
Director Monahan requested Mr. Burns to investigate the issue regarding citations
and /or fees for violators of spills and to model the Santa Ana program.
TRANSFER OF SEWERS FROM OCSD TO CMSD
Director Monahan reported no new information regarding the Transfer of Sewers from
OCSD to CMSD.
PROJECT #186 SEWER LATERAL ASSISTANCE PROGRAM
Vice President Ooten requested clarification regarding Item 117 of the Sewer Lateral
Assistance Program and the payment of $2,384.00. Mr. Hamers explained the property
contains more than one lateral. Mr. Hamers suggested adding a note to say "Case D."
Director Monahan left the proceedings
COUNTY OF ORANGE WASTE DISPOSAL AGREEMENT
Mr. Fauth presented the County of Orange Waste Disposal Agreement in which the
term of the new agreement will be from July 1, 2010 to June 30, 2020 with a rate
increase to $29.95. Mr. Burns presented his executive summary and discussion of the
agreement.
Vice President Ooten motioned for approval of the waste disposal agreements to join all
the other city and county entities in .a new agreement. Director Ferryman seconded.
Motion carried 3 -0.
RECYCLING COMMITTEE — THURSDAY, JUNE 25, 2009 — 3:30 P.M., CMSD
BOARDROOM, 628 W. 19T" STREET, COSTA MESA (VICE PRESIDENT OOTEN AND
DIRECTOR MONAHAN)
President Schafer reported the Recycling Committee meeting scheduled for Thursday,
June 25, 2009 will be discussed at July's Board meeting.
ENGINEER'S REPORTS
WASTE DISCHARGE REQUIREMENTS (WDR)
Mr. Hamers reported reserving two months for tours of the ground water replenishment
system for the WDR members and agencies. Mr. Hamers reported WDR will be having
a seminar on interceptor sizing.
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MINUTES OF COSTA MESA SANITARY DISTRICT
REGULAR BOARD OF DIRECTORS MEETING
ENGINEERING AND INSPECTION BUDGET BEGINNING JULY 1, 2009
JUNE 24, 2009
PAGE 8
Mr. Harriers recommended the Board weigh the options of updating the sewer atlas in
its current hand drawn form versus the option of adding the updates as part of
converting the atlas to GIS format.
EMERGENCY OR NON -BID SEWER WORK — SANTA ANA PUMP STATION
Mr. Hamers reported on the emergency repair of the Santa Ana Pumping Station which
occurred on June 8, 2009 and recommended the Board of Directors ratify the actions
taken by the District Engineer by a 4/5 vote.
As all five Directors were not present and approval requires a 4/5 vote, the Emergency
or Non -Bid Sewer Work for the Santa Ana Pump Station will be continued to the next
regular Board of Directors meeting..
TREASURER'S REPORTS
Ms. Rogers reported no new information regarding Treasurer's Reports.
ATTORNEY'S REPORT
_CLAIM BY BACK BAY CENTER, LTD. FOR PROPERTY AT 2651 -2675 IRVINE
AVENUE (CMSD PROJECT #168 — IRVINE PUMP STATION RELOCATION)
Mr. Burns recited a memo received from John Roddy regarding the claim by Back Bay
Center, Ltd. which gave a brief update regarding the case and their plan moving
forward.
NMUSD USE OF CMSD SEWER EASEMENT
Mr. Burns reported on the NMUSD Use of CMSD Sewer Easement and requested
approval of the License and Indemnification Agreement. Mr. Fauth reported the
Agreement is on hold at the moment.
Vice President Ooten motioned for approval of the License and Indemnification
Agreement if required. Director Ferryman seconded. Motion carried 3 -0.
PROPOSITION 218: NOTICE TO TENANTS OF IMPOSITION OF PROPERTY - RELATED
FEE
Mr. Burns investigated the issue regarding Notice to Tenants of Imposition of
Property - Related Fee and provided the law governing Proposition 218. Mr. Burns
reported on the District's position in imposing the property- related fee to the owners.
MINUTES OF COSTA MESA SANITARY DISTRICT JUNE 24, 2009
REGULAR BOARD OF DIRECTORS MEETING PAGE 9
10 REVIEW OF LOCAL MEETINGS ALLOWED FOR DIRECTOR COMPENSATION
Mr. Burns reported the Ordinance regarding Local Meetings Allowed for Director
Compensation will be presented at the July Board meeting.
RESOLUTION NO. 2009 -766 DECLARING THAT VOLUNTEERS PERFORMING
SERVICE FOR THE DISTRICT WITHOUT PAY ARE HEREBY DEEMED TO BE
EMPLOYEES FOR THE PURPOSE OF THE WORKERS' COMPENSATION LAW
Mr. Burns introduced RESOLUTION NO. 2009 -766, A RESOLUTION OF THE BOARD
OF DIRECTORS OF THE COSTA MESA SANITARY DISTRICT, DECLARING THAT
VOLUNTEERS PERFORMING SERVICES FOR THE DISTRICT WITHOUT PAY ARE
HEREBY DEEMED TO BE EMPLOYEES FOR THE PURPOSES OF THE WORKERS'
COMPENSATION LAW.
Director Ferryman motioned to approve Resolution No. 2009 -766 that volunteers shall
be deemed to be "employees" of the Costa Mesa Sanitary District for the purposes of
the workers' compensation laws; and that no other benefits are intended by such action
and such volunteers shall not be entitled to any other fringe benefit provided to District
employees. Vice President Ooten seconded. Motion carried 3 -0.
• Mr. Fauth inquired as to any costs associated with the position of volunteers. Mr. Burns
stated the workers' compensation carrier should be advised of any volunteers the
District employees. Mr. Fauth requested Ms. Gonzalez to investigate the matter.
FOG AGREEMENT WITH ENVIRONMENTAL ENGINEERING & CONTRACTING, INC.
Mr. Burns introduced the AGREEMENT FOR CONSULTANT SERVICES CALIFORNIA
STATE WIDE GENERAL WASTE DISCHARGE REQUIREMENTS (GWDR) FATS,
OILS AND GREASE (FOG) CONTROL PROGRAM PHASE IV - CONTINUED - COSTA
MESA SANITARY DISTRICT PROJECT NO. 180 and requested approval of the
Agreement.
Director Ferryman motioned to approve the FOG Agreement with Environmental
Engineering & Contracting, Inc. Vice President Ooten seconded. Motion carried 3 -0.
TECHNOLOGY RESEARCH CENTER — MIS MAINTENANCE AGREEMENT
Mr. Burns introduced the AGREEMENT FOR COSTA MESA SANITARY DISTRICT
INFORMATION TECHNOLOGY SYSTEM MAINTENANCE and requested approval of
the Agreement.
Vice President Ooten motioned to approve the Technology Research Center - MIS
Maintenance Agreement subject to District Counsel's review. Director Ferryman
seconded. Motion carried 3 -0.
MINUTES OF COSTA MESA SANITARY DISTRICT
REGULAR BOARD OF DIRECTORS MEETING
JUNE 24, 2009
PAGE 10
• LOCAL MEETINGS (INCLUDES REPORTS BY ALL DIRECTORS
REPRESENTATING CMSD)
ORANGE COUNTY SANITATION DISTRICT (OCSD) (DIRECTOR FERRYMAN)
Director Ferryman reported attending the Orange County Sanitation District meeting on
June 23, 2009 and reported nothing of significance to the CMSD was discussed.
SANTA ANA RIVER FLOOD PROTECTION AGENCY (SARFPA) (DIRECTOR PERRY)
Director Perry submitted the agenda and meeting minutes.
INDEPENDENT SPECIAL DISTRICTS OF ORANGE COUNTY (ISDOC) (PRESIDENT
SCHAFER
President Schafer was unable to attend the meeting due to attending Florida's Special
Districts Conference.
LOCAL AGENCY FORMATION COMMISSION (LAFCO) (PRESIDENT SCHAFER)
0 President Schafer was unable to attend the meeting due to being on vacation.
CALIFORNIA SPECIAL DISTRICTS ASSOCIATION (CSDA) (PRESIDENT SCHAFER)
President Schafer reported she participated in the CSDA meeting by conference call.
CSDA MEMBERSHIP DUES FREEZE
President Schafer reported a motion was made during the meeting in favor of a freeze
on membership dues for CSDA. There will be no increase in 2010 membership dues
due to current economic times. President Schafer reported due to CSDA's calendar
fiscal year, the annual dues renewal billing will take place in November.
CALIFORNIA ASSOCIATION OF SANITATION AGENCIES (CASA)
Ms. Revak reported approval for directors and staff to attend the upcoming CASA and
CSDA conferences in August and September, respectively, will be on the July 23, 2009
Board meeting agenda.
OTHER MEETINGS QUALIFYING FOR REIMBURSEMENT UNDER CMSD ORDINANCE
• N. 55, OPERATIONS CODE SECTION 3.01.030
Vice President Ooten attended the Independent Management Commission meeting and
reported on the tonnage and landfill fees which were down 25 percent from last year.
Vice President Ooten reported on how the Independent Management Commission will
• MINUTES OF COSTA MESA SANITARY DISTRICT JUNE 24, 2009
REGULAR BOARD OF DIRECTORS MEETING PAGE 11
• be utilizing recycling money and put together a recycling education program at the
Discovery Science Center to educate a large audience of children regarding recycling.
Vice President Ooten also attended the Water Summit held at Disneyland Hotel and
reported many speeches were held regarding the dire problems associated with water
conservation and lack thereof.
CHAMBER OF COMMERCE
President Schafer did not attend the meeting.
OCCOG
President Schafer did not attend the meeting.
WACO
President Schafer did not attend the meeting.
OLD BUSINESS
• There was no old business discussed.
NEW BUSINESS
SDRMA PROPERTY & LIABILITY RENEWAL INVOICE IN THE AMOUNT OF
$63,275.57
Mr. Burns reported receiving an e-mail from Ms. Kallab indicating SDRMA represented
to her that the District has inverse condemnation coverage as part of the invoice and
investigations are still on- going.
Director Ferryman inquired as to comparisons of the program rates. Ms. Gonzalez
reported the Board does receive a 15 percent rate discount for the 2009 -2010 program
year in both property /liability and workers' compensation programs.
Director Ferryman motioned to approve payment of the SDRMA Property & Liability
Renewal Invoice in the amount of $63,275.57. Vice President Ooten seconded taking
into account Director Ferryman's concerns and request in making a comparison this
fiscal year before the next budget regarding the rates. Motion carried 3 -0.
• Mr. Hamers pointed out the District earned 11 out of 15 credits available that contribute
to holding down the rate charged to the CMSD.
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MINUTES OF COSTA MESA SANITARY DISTRICT .TUNE 24, 2009
REGULAR BOARD OF DIRECTORS MEETING PAGE 12
ORAL COMMUNICATIONS AND DIRECTOR COMMENTS
With regard to the Public Hearing on trash and sewer rates on July 30, 2009, Vice
President Ooten suggested as opposed to Mr. Fauth reading the process twice to
possibly do it under title only. Mr. Burns responded that it's done by script to ensure
proper procedures are followed in the presence of public attendance. Mr. Burns
suggested possibly cutting down the script and he will address that before the July 30,
2009 hearing.
President Schafer reported Mr. McIntyre will determine the date of the closed session to
be July 6th, 9th or 13th. President Schafer reported the regular Board meeting will be
held on July 23, 2009; and the Rate Hearing will be held on July 30, 2009 at 6:00 p.m.
Mr. Fauth distributed handouts regarding the basis for increase in the 2009 -2010 yearly
sewer charges and the basis for no increase in trash collection charges.
ADJOURNMENT
• President Schafer adjourned the Regular Meeting at 2:12 p.m.
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