agendapacket_2018_12_12_cacWednesday, December 12, 2018
Citizens Advisory Committee
WHEN: Wednesday, December 12, 2018 6:00 p.m.
WHERE: Costa Mesa Sanitary District Headquarters
290 Paularino Avenue, Costa Mesa, CA 92626
CONTACT: Noelani Middenway, District Clerk
PHONE: (949) 645-8400, Ext. 227
EMAIL: nmiddenway@cmsdca.gov
A. Opening Items
1. Call to Order & Roll Call
B. Public Comments - This time has been set aside for persons in the audience to make comments on items
within the subject matter jurisdiction of the Costa Mesa Sanitary District that are not listed on this agenda.
Members of the public will have the opportunity to address the Citizens Advisory Committee about all other
items on this agenda at the time those items are considered. Under the provisions of the Brown Act, the
Citizens Advisory Committee are prohibited from taking action on oral requests but may refer the matter to
staff or to a subsequent meeting. The Board of Directors will respond after public comment has been
received. Please state your name. Each speaker will be limited to four (4) continuous minutes.
1. Receive Public Comments
C. ITEM
1. CMSD Investment Policy
2. Approve the Citizens Advisory Committee Meeting Minutes of November 14, 2018
3. Draft Board of Directors Meeting Minutes of November 29, 2018
4. Providing Solid Waste Services to Wastewater Customers in Costa Mesa
5. Ordinance No. 123 - Adoption of Rosenberg's Rules of Order
6. Ordinance No. 124 - Reenacting the Purchasing Provisions of the District's Operations Code
7. Community Wide Diversion
8. Christmas Tree Recycling
9. Consider Recommending the Board of Directors Approve Acquiring One Twelve Cubic Yard Wastewater Combination
Cleaning Truck from Haaker Equipment Company for $411,364
10. CMSD 75th Anniversary Ad Hoc Committee Meeting - Oral Report from Chair Mike Carey
11. Consider Approving a Quarterly Citizen Advisory Committee (CAC) Meeting Schedule
D. Closing Items
1. Board/Staff Comments
2. Adjournment
Wednesday, December 12, 2018
Citizens Advisory Committee
WHEN: Wednesday, December 12, 2018 6:00 p.m.
WHERE: Costa Mesa Sanitary District Headquarters
290 Paularino Avenue, Costa Mesa, CA 92626
CONTACT: Noelani Middenway, District Clerk
PHONE: (949) 645-8400, Ext. 227
EMAIL: nmiddenway@cmsdca.gov
A. Opening Items
Citizens Advisory Committee
Mike Carey, Chair
Albert Graham, Jr., Vice Chair
Andrew Nielsen
Elodie Katz
Jana Oak
Mike McIlroy
Monte Fields
Phil Marsh
Sue Lester
Tom Brenneman
Shayne Smith
Subject 1. Call to Order & Roll Call
Meeting Dec 12, 2018 - Citizens Advisory Committee
Access Public
Type Procedural
B. Public Comments - This time has been set aside for persons in the audience to
make comments on items within the subject matter jurisdiction of the Costa Mesa
Sanitary District that are not listed on this agenda. Members of the public will
have the opportunity to address the Citizens Advisory Committee about all other
items on this agenda at the time those items are considered. Under the provisions
of the Brown Act, the Citizens Advisory Committee are prohibited from taking
action on oral requests but may refer the matter to staff or to a subsequent
meeting. The Board of Directors will respond after public comment has been
received. Please state your name. Each speaker will be limited to four (4)
continuous minutes.
Subject 1. Receive Public Comments
Meeting Dec 12, 2018 - Citizens Advisory Committee
Access Public
Type Procedural
C. ITEM
To: Citizens Advisory Committee
From: Scott Carroll, General Manager
Date: December 12, 2018
Subject: CMSD Investment Policy
Summary
To ensure prudent and responsible management of public funds, the District has a policy to invest in its idle funds. Idle funds are money
in an account that does not earn interest. Common examples include uninvested cash and checking accounts. Idle funds are typically
used for everyday expenses. Many financial experts advise against keeping too much cash idle in order to get the maximum rate of return
on assets. It is also important not to invest too much idle cash, as it can be costly to tie up excessive capital only to need to sell those
investments.
Recommendation
That the Citizens Advisory Committee receive and file this report.
Analysis
The responsibility for placing investments rests with the Board of Directors. California Government Code Section 53607 allows the Board
to delegate the investment function to the District Treasurer for a period of one year. Marc Davis is the Board appointed District
Treasurer. Mr. Davis has more than thirty years of experience in governmental auditing, accounting and finance management. He is a
Certified Public Accountant (CPA) and has previously served as Acting Finance Director at both the City of Costa Mesa and the City of
Buena Park. Mr. Davis successfully prepared auditing services for many local , state and federal agencies, including the Department of
Justice.
Mr. Davis is one of the founding partners of Davis Farr LLP, a full service CPA firm located in Irvine, California. Davis Farr LLP is listed in
the Orange County Business Journal as one of the top 25 CPA firms in Orange County and the firm was recently named by the Orange
County Business Journal as one the the Best Places to Work in Orange County.
Tonight, Mr. Davis will be giving a presentation to the Citizens Advisory Committee (CAC) about the District's Investment Policy.
Legal Review
Not applicable
Environmental Review
Reviewing the investment policy is not a "project" under the CEQA definition so it is exempt from the provisions of CEQA.
Financial Review
There are financial impacts to the District for presenting the Investment Policy to the CAC.
Public Notice Process
Copies of this report are on file and will be included with the complete agenda packet for the December 12, 2018 Citizens Advisory
Committee regular meeting at District Headquarters (290 Paularino Avenue) and posted on the District's website at www.cmsdca.gov.
Subject 1. CMSD Investment Policy
Meeting Dec 12, 2018 - Citizens Advisory Committee
Access Public
Type Action
Fiscal Impact No
Recommended Action That the Citizens Advisory Committee receive and file this report.
Goals 7.0 Finance
7.3 Evaluate the District’s investment policy
Alternative Actions
1. Direct staff to report back with additional information
File Attachments
Investments 101.pptx (266 KB)
C. ITEM
To: Citizens Advisory Committee
Via: Scott Carroll, General Manager
From: Gina Terraneo, Management Analyst II
Date: December 12, 2018
Subject: Citizens Advisory Committee Meeting Minutes of November 14, 2018
Summary
The recorded minutes of the November 14, 2018 Citizens Advisory Committee Meeting are hereby submitted to the Citizens Advisory
Committee for review and approval.
Analysis
Attached to the staff report are the minutes for the Citizens Advisory Committee Meeting on November 14, 2018.
Staff Recommendation
That the Citizens Advisory Committee approves the meeting minutes as presented.
Legal Review
Not applicable.
Environmental Review
Consideration of public meeting minutes is an administrative matter and is exempt from the requirements of the California Environmental
Quality Act (CEQA) (Public Resources Code Section 21000 et. seq.). Section 15300.4 of CEQA allows an agency while establishing its
own procedures “to list those specific activities which fall within each of the exempt classes”, and the District has adopted “CEQA
Guidelines and Implementing Procedures” that state on page 6 ”Projects” does not include …. C. Continuing administrative or
maintenance activities.”
Financial Review
Not applicable.
Public Notice Process
Copies of this report are on file and will be included in the complete agenda packet for the December 12, 2018 Citizens Advisory
Committee Meeting at District Headquarters and posted on the District’s website.
Alternative Actions
1. Do not approve the meeting minutes as presented.
2. Direct staff to report back with more information.
File Attachments
minutes_2018_11_14_cac.pdf (70 KB)
Subject 2. Approve the Citizens Advisory Committee Meeting Minutes of November 14, 2018
Meeting Dec 12, 2018 - Citizens Advisory Committee
Access Public
Type Action, Minutes
Recommended Action That the Citizens Advisory Committee approves the meeting minutes as presented.
Minutes View Minutes for Nov 14, 2018 - Citizens Advisory Committee
C. ITEM
Board of Directors Regular Meeting (Thursday, November 29, 2018)
Members present
Arlene Schafer, Art Perry, Bob Ooten, Jim Ferryman, Mike Scheafer
Members absent
None
Staff present
Scott Carroll (General Manager), Alan Burns (District Counsel), Marc Davis (District Treasurer), Noelani Middenway (District Clerk),
Kaitlin Tran (Senior Accountant)
Others present
Jim Mosher (resident)
Meeting called to order at 5:30 P.M.
A. OPENING ITEMS
Procedural: 1. Call to Order - President Scheafer
President Scheafer called the meeting to order at 5:30 P.M.
Procedural: 2. Pledge of Allegiance - President Scheafer
President Scheafer led the Pledge of Allegiance.
Procedural: 3. Invocation - Vice President Ferryman
Vice President Ferryman led the Invocation.
Procedural: 4. 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.)
District Clerk, Noelani Middenway, conducted roll call and noted that all Board Members were present.
Procedural: 5. Announcement of Late Communications - Unless directed otherwise by the Board of Directors, all actions shall be based
on/memorialized by the latest document submitted as a late communication.
None at this time.
Procedural: 6. Ceremonial Matters and Presentations
None at this time.
B. Public Comments
Procedural: 1. Public Comments
President Scheafer opened public comments. Seeing no one wishing to speak, he closed public comments.
Subject 3. Draft Board of Directors Meeting Minutes of November 29, 2018
Meeting Dec 12, 2018 - Citizens Advisory Committee
Access Public
Type Minutes
Minutes View Minutes for Nov 29, 2018 - Board of Directors Regular Meeting
C. CONSENT CALENDAR
Action (Consent): 1. Approve Consent Calendar
Recommendation: That the Board of Directors approve the Consent Calendar as presented.
Action (Consent), Minutes: 2. Approve the Board of Directors Study Session Minutes of October 9, 2018
Recommendation: That the Board of Directors approve the meeting minutes as presented.
Action (Consent), Minutes: 3. Approve the Board of Directors Regular Meeting Minutes of October 25, 2018
Recommendation: That the Board of Directors approve the meeting minutes as presented.
Action (Consent): 4. Approve the Directors' Compensation and Reimbursement of Expenses
Recommendation: That the Board of Directors approve the compensation and reimbursement of expenses as presented.
Action (Consent): 5. Adopt Warrant Resolution No. CMSD 2019-5 Approving District Warrant Registers
Recommendation: That the Board of Directors adopt Warrant Resolution No. CMSD 2019-5 approving District warrants for the month of
October 2018 in the amount of $943,953.75.
Action (Consent): 6. Payroll Transparency Disclosure for October 2018
Recommendation: That the Board of Directors receive and file the report.
Action (Consent): 7. Accept the occupancy count as presented as 22,694 and direct staff to prepare a warrant to CR&R
Environmental Services for $222,296.81 for October 2018 collection
Recommendation: That the Board of Directors accept the occupancy count as presented using 22,694 as the correct number of active
units and direct staff to prepare a warrant to CR&R Environmental Services for October 2018 collection based on this occupancy report
so long as the contractor fulfills the obligations of the agreement in the amount of $222,296.81 to be ratified in the November 2018
warrant list.
Action (Consent): 8. Approve the preparation of a warrant to CR Transfer in the amount of $210,457.72 for October 2018 recycling
and disposal services in the November 2018 warrant register
Recommendation: That the Board of Directors approves the preparation of a warrant to CR Transfer in the amount of $210,457.72 for
October 2018 recycling and disposal services to be ratified in the November 2018 warrant register.
Action (Consent): 9. Approve the Investment Report for the Month of September 2018
Recommendation: That the Board of Directors approve the Investment Report for the month of September 2018.
Motion: To approve the Consent Calendar as presented.
Motion by Bob Ooten, second by Arlene Schafer.
Final Resolution: Motion Carries 5-0
Aye: Arlene Schafer, Art Perry, Bob Ooten, Jim Ferryman, Mike Scheafer
There were no questions or discussion.
D. PUBLIC HEARINGS
None at this time.
E. GENERAL MANAGER'S REPORTS
Action, Minutes, Receive and File: 1. Receive & File Citizens Advisory Committee Meeting Minutes of October 10, 2018
Recommendation: That the Board of Directors receive and file the minutes.
General Manager, Scott Carroll, presented the minutes for the October 10, 2018 Citizens Advisory Committee (CAC) Meeting. He noted
that no action is needed on this item.
Director Perry asked how the CAC meetings are progressing and whether attendance has been full.
Mr. Carroll responded that the meetings are almost fully attended and shared that CAC Members are engaged and continue to ask good
questions. He confirmed that they have an upcoming meeting on December 12, 2018.
There was no further discussion and the report was received.
Action, Receive and File: 2. Receive & File Citizens Advisory Committee Draft Meeting Minutes of November 14, 2018
Recommendation: That the Board of Directors receive and file the draft minutes.
Mr. Carroll presented the draft minutes for the November 14, 2018 CAC Meeting.
President Scheafer confirmed that the CAC selected 2 members to join the District's 75th Anniversary Ad Hoc Committee at their October
meeting.
There was no further discussion and the report was received.
Action: 3. Adopt Revisions to Fats Oil Grease (FOG) Control Program Manual
Recommendation: That the Board of Directors considers adopting the proposed revisions to the District's FOG Control Program Manual.
Mr. Carroll presented the updated FOG Control Program Manual. He noted that the Board of Directors previously approved revisions to
the FOG Program and directed staff to bring back an updated FOG Control Program Manual for consideration. Additionally, Mr. Carroll
noted that several new sections were added to the manual, including a section regarding the size of grease interceptors. He explained
that once the manual is approved, District staff will update the Sewer System Management Plan (SSMP) accordingly.
Assistant Secretary Ooten asked if the District must notify the state when the SSMP is updated.
Mr. Carroll responded that he would find out if it is necessary to notify the state.
Director Perry verified that the manual did not previously specify the required grease interceptor sizes.
Discussion followed regarding the increasing number of restaurants in Costa Mesa.
Motion: To adopt the proposed revisions to the District's FOG Control Program Manual.
Motion by Arlene Schafer, second by Art Perry.
Final Resolution: Motion Carries 5-0
Aye: Arlene Schafer, Art Perry, Bob Ooten, Jim Ferryman, Mike Scheafer
There were no further comments or questions.
Action: 4. Consider Adopting Administrative Regulations No. 70.00 - Performance Measurement Program
Recommendation: That the Board of Directors adopt Administrative Regulations No. 70.00 - Performance Measurement Program
Mr. Carroll provided an overview of the Performance Measurement Program, which was originally presented to the Board of Directors at
the November 26, 2018 Special Meeting. He noted that a policy must be adopted in order to formally implement the program.
Assistant Secretary Ooten commented that the program is an extraordinary effort. Additionally, he requested that the District's diversion
rate be converted to a pounds per capita measurement so that the District's recycling benchmark can easily be compared to the City of
Costa Mesa.
Mr. Carroll explained that the program includes a measure that tracks the City of Costa Mesa's per capita data. He noted that District staff
contacted CalRecycle to obtain training on how to calculate its per capita measurement, but there have been challenges with obtaining
data for the small residential portion of Newport Beach that is serviced by the District. Mr. Carroll shared that District staff is still working
on this.
Director Perry asked if state regulations will impact the City's data.
Mr. Carroll responded that he believes the City of Costa Mesa is well under the state's target per capita measurement.
Secretary Schafer asked if the state will penalize jurisdictions that do not comply with the upcoming requirements.
Mr. Carroll responded that he believes CalRecycle is taking a stronger position against jurisdictions that are not attempting to comply with
state requirements.
President Scheafer indicated agreement with Assistant Secretary Ooten's suggestion of obtaining the District's per capita measurement.
Discussion followed regarding meeting with the City of Costa Mesa to discuss solid waste diversion, commercial recycling, and multi-
family solid waste collection.
Vice President Ferryman noted that extensive research will need to be done prior to discussing multi-family solid waste collection with the
City of Costa Mesa.
Mr. Carroll noted that District staff is currently working on developing a plan that will eventually be presented to the Board of Directors.
President Scheafer refocused the discussion to the topic of the Performance Measurement Program.
District Counsel, Alan Burns, added that the state has set a goal of 75% diversion by 2020 and noted that CR&R is contractually
obligated to make their best efforts to achieve 75% diversion for the District.
President Scheafer opened public comment.
Jim Mosher, a resident, commented that the Performance Measurement Program is an excellent management tool to motivate staff to
improve. He indicated concern with a section in the manual that states that performance measure data may be used to justify requests for
budget increases. Mr. Mosher commented that while this concept may be appropriate for a for-profit company, it may adversely impact
departments that fail to meet their target measures. For example, he explained that if the wastewater maintenance department had
several sanitary sewer overflows (SSOs) in a year, they may need additional funding rather than decreased funding. Mr. Mosher indicated
support for the Performance Measurement Program, but noted that he does not believe that budget decisions should be entirely
dependent on meeting performance measures.
President Scheafer indicated agreement and requested that staff amend the language in the policy accordingly. He closed public
comment. President Scheafer commended Mr. Carroll and District staff for developing the Performance Measurement Program.
Director Perry commented that it will be a lot of extra work for Mr. Carroll to administer this program.
Motion: To adopt Administrative Regulations No. 70.00 - Performance Measurement Program with a suggested amendment to section
D8.
Motion by Art Perry, second by Jim Ferryman.
Final Resolution: Motion Carries 5-0
Aye: Arlene Schafer, Art Perry, Bob Ooten, Jim Ferryman, Mike Scheafer
There were no further comments or questions.
Action: 5. Consider adopting Ordinance No. 122 - Amending Chapters 7 and 8 of the Operations Code Pertaining to Solid Waste
Recommendation: That the Board of Directors adopt Ordinance No. 122 amending chapters 7 and 8 of the Operations Code pertaining to
Solid Waste.
Mr. Carroll presented Ordinance No. 122 and explained that the ordinance seeks to bring Chapters 7 and 8 of the Operations Code up to
date and make it consistent. He noted that the CAC made good suggestions and identified some inconsistencies. Mr. Carroll shared that
the CAC approved a recommendation that the Board of Directors adopt Ordinance No. 122, contingent upon District staff making their
suggested corrections. He noted that Mr. Burns made the suggested corrections and the updated ordinance is now being presented to
the Board of Directors for consideration.
Assistant Secretary Ooten commented regarding the warrant resolution.
Motion: To adopt Ordinance No. 122 amending chapters 7 and 8 of the Operations Code pertaining to Solid Waste.
Motion by Arlene Schafer, second by Art Perry.
Final Resolution: Motion Carries 5-0
Aye: Arlene Schafer, Art Perry, Bob Ooten, Jim Ferryman, Mike Scheafer
There were no further comments or questions.
Action: 6. Carryover Appropriations and Carryover Encumbrances from Fiscal Year 2017-18 to Fiscal Year 2018-19
Recommendation: That the Board of Directors approve the re-appropriation of funds in the Fiscal Year 2018-19 for the carryover items
from the prior fiscal year as detailed in Attachment A and B, and summarized as follows:
10 Solid Waste Fund: Carryover Appropriations $49,210, Encumbrances $0
20 Wastewater Fund: Carryover Appropriations $2,220,430, Encumbrances $21,960
Senior Accountant, Kaitlin Tran, presented the requested carryover appropriations from Fiscal Year 2017-18 to Fiscal Year 2018-19.
President Scheafer requested clarification regarding the wastewater fund carryover items and the solar project.
Mr. Carroll shared that the District is anticipating the solar project to be fully implemented by next week.
President Scheafer requested that the front door signage for District closures be made more professional.
Motion: To approve the re-appropriation of funds in the Fiscal Year 2018-19 for the carryover items from the prior fiscal year as detailed in
Attachment A and B, and summarized as follows:
10 Solid Waste Fund: Carryover Appropriations $49,210, Encumbrances $0
20 Wastewater Fund: Carryover Appropriations $2,220,430, Encumbrances $21,960
Motion by Bob Ooten, second by Arlene Schafer.
Final Resolution: Motion Carries 5-0
Aye: Arlene Schafer, Art Perry, Bob Ooten, Jim Ferryman, Mike Scheafer
There were no further comments or questions.
F. ENGINEER'S REPORTS
Receive and File: 1. Receive and File Monthly Capital Improvement Projects Status Report
Recommendation: That the Board of Directors receive and file the report.
Mr. Carroll noted that District Engineer, Robin Hamers, is not present because he is not feeling well. He noted that Items F1 and F2 do
not require action.
There was no discussion and the report was received.
Receive and File: 2. Declaration of Conflict of Interest - 2942 Century Place, Costa Mesa
Recommendation: That the Board of Directors receive and file the report.
There was no discussion and the report was received.
G. TREASURER'S REPORTS
Action: 1. Approve the Investment Report for the Month of October 2018
Recommendation: That the Board of Directors approve the Investment Report for the month of October 2018.
District Treasurer, Marc Davis, presented the quarterly review of the District's investment portfolio and provided an update regarding
the market. He noted that the yield to maturity of the portfolio was 1.824% and that the District received its first allocation for annual
charges.
Assistant Secretary Ooten commended Mr. Davis on his explanation of the different funds and reserves. He asked if staff anticipates
using the funds in the Asset Replacement Fund.
Mr. Carroll noted that staff would like to use these funds to purchase another wastewater cleaning truck, because the two
current wastewater trucks have been requiring unanticipated repair work. He explained that the downtime has interrupted the District's
wastewater cleaning schedule. Mr. Carroll noted that he will be bringing a recommendation to purchase an additional wastewater
cleaning truck for about $400,000 to the CAC and the Board of Directors.
Assistant Secretary Ooten asked if the District should purchase the new truck from a different vendor.
Mr. Carroll responded that he is researching other vendors and will include that information in his upcoming staff report.
Director Perry asked if the District must go out to bid for wastewater cleaning trucks.
Mr. Carroll explained that according to District policy, the District can "piggyback" off of bids held by other agencies.
President Scheafer asked if there are warranties on the wastewater cleaning trucks.
Mr. Carroll responded that the trucks have a one-year warranty.
Discussion followed regarding the purchase dates and repair work for the wastewater cleaning trucks.
Mr. Carroll noted that he can include additional information about the costs of repair in his upcoming staff report.
Mr. Burns shared that he and Mr. Carroll are working on a competitive bidding ordinance that will be presented to the Board of Directors
soon.
Discussion followed regarding past wastewater truck purchases.
President Scheafer confirmed the weighted average interest rate.
Discussion followed regarding federal agency securities.
Motion: To approve the Investment Report for the month of October 2018.
Motion by Art Perry, second by Jim Ferryman.
Final Resolution: Motion Carries 5-0
Aye: Arlene Schafer, Art Perry, Bob Ooten, Jim Ferryman, Mike Scheafer
There were no further questions or discussion.
H. ATTORNEY'S REPORTS
Mr. Burns shared that he is working on a purchasing ordinance to update the General Manager's purchasing authority and achieve
consistency with state law, as well as a recommendation to adopt Rosenberg's Rules of Order. He added that the District has an
upcoming Court of Appeals hearing.
Discussion followed regarding the decision in the case of Kevin Shenkman (and plaintiffs) against the City of Santa Monica.
There was no further discussion.
I. LOCAL MEETINGS: In accordance with AB 1234 (Gov. Code 53232.3), a report is required to be given by a Director for any meeting
for which expense reimbursement of any kind is provided. Note: For meetings for which the per diem compensation is sought, the
Operations Code provides that such compensation is authorized for each day’s service rendered as a Director at the request of the
Board (not to exceed six days in one month), and certain meetings are specified as being eligible as set forth in District Operations Code
§ 3.01.030. For meetings not so listed, the Board must approve the service for it to be eligible for the per day compensation.
2. Santa Ana River Flood Protection Agency (SARFPA) - (Vice President Ferryman)
Vice President Ferryman provided updates regarding upcoming SARFPA projects and related property acquisitions. Additionally, he
shared that he attended the National Water Research Institute's award ceremony. Lastly, he noted that Fullerton Mayor Pro Tem Greg
Seabourn did not win re-election and therefore will no longer be Chairman for the Orange County Sanitation District.
1. Orange County Sanitation District (OCSD) - (Assistant Secretary Ooten)
Assistant Secretary Ooten shared that there was a presentation regarding climate change as it pertains to OCSD.
3. Independent Special Districts of Orange County (ISDOC) - (President Scheafer)
President Scheafer shared that he will no longer be on the Executive Board of ISDOC after the change of officers. He commented that
ISDOC has lost a lot of credibility over the last two years.
Secretary Schafer noted that Saundra Jacobs will be the new President of ISDOC.
4. California Special Districts Association (CSDA) - (Secretary Schafer)
Secretary Schafer noted that CSDA is discussing its legislative goals for next year, as well as committee assignments.
Discussion followed regarding committee assignments.
5. Special District Risk Management Authority (SDRMA) - (President Scheafer)
President Scheafer shared that SDRMA will be looking at valuations of items that they cover for member agencies. He noted that
SDRMA officially hired their new CEO, Laura Gill.
6. Other Meetings Qualifying for Reimbursement under CMSD Ordinance No. 55, Operations Code Section 3.01.030
Director Perry noted that he attended the last SARFPA meeting and provided updates regarding their budget and an upcoming study. He
added that he also attended the Water Advisory Committee of Orange County (WACO) meeting and shared information about Costa
Mesa's rainfall levels.
Discussion followed regarding WACO's new president.
J. CLOSING ITEMS
Discussion: 1. Oral Communications and Director Comments
Secretary Schafer discussed the appointment of officers.
President Scheafer commented that he thought the Board of Directors directed staff to bring the policy for the appointment of officers
to the December Study Session.
Mr. Carroll noted that there was a discussion item about the selection of officers at the Special Meeting on November 26, 2018, but the
Board did not discuss their selections at that time. He added that the Board of Directors indicated interest in reviewing the District's policy
and potentially eliminating the position of Assistant Secretary.
Secretary Schafer commented that the Board of Directors should think about whether or not they will follow a procedure of Board
Members rotating through the different positions.
President Scheafer commented that most executive boards follow a rotation procedure, but it is not always formalized. He commented
that he believes the District should leave it up to the will of the Board to determine position appointments instead of formalizing a
procedure.
Director Perry indicated agreement with President Scheafer.
President Scheafer explained that he does not think it is best for the District to be confined by a formal procedure for rotating officers.
Vice President Ferryman commented that he was under the impression that there was a rotation policy, but that the Board of Directors
had not exercised it in a long time. He indicated that he does not have a preference for whether or not there should be a formal policy in
place.
Mr. Burns commented that some cities have rotation policies based on seniority, but noted that it is still an open issue within the law. He
added that this item should be agendized in order to have a full discussion about it.
President Scheafer noted that further discussion will take place at the December Study Session, as planned.
Vice President Ferryman noted that the Board of Directors will host a holiday dinner on December 13, 2018 at the Golden Dragon
restaurant.
Director Perry shared that he attended the District's 75th Anniversary Ad Hoc Committee Meeting.
Procedural: 2. Adjourn
President Scheafer adjourned the meeting at 6:41 P.M.
C. ITEM
To: Citizens Advisory Committee
Via: Scott Carroll, General Manager
From: Nabila Guzman, Management Analyst I
Date: December 12, 2018
Subject: Providing Solid Waste Services to Wastewater Customers in Costa Mesa
Summary
The Citizens Advisory Committee requested staff to place this item on the agenda for discussion.
Recommendation
That the Citizens Advisory Committee provide direction to staff.
Analysis
Currently, the Costa Mesa Sanitary District only provides solid waste services to all single family and some small multi-family homes in
the City of Costa Mesa while the rest of the larger multi family homes are serviced under the the City's franchise. Below is a breakdown of
how many units the District currently services under their solid waste agreement as well as the approximate number of units under the
City's franchise.
Costa Mesa Sanitary District
Franchise 21,814
City of Costa Mesa Franchise 21,521
In order for these Costa Mesa residents to receive solid waste collection services from CMSD, several factors have to be considered.
1. Objection from Costa Mesa multi family homeowners and renters that are currently receiving dumpster service through the City's open
market. Currently, these homeowners are able to shop around through the City approved hauler list and select the service level and price
that works for them. These residents are also in individual contracts with the hauler and may have a system to pass the cost on to their
renters so they may oppose having their trash charges placed via assessments on their property tax roll.
2. Costa Mesa City Council. The City Council would have to adopt a resolution approving CMSD handling the entire residential solid
waste program.
3. The Costa Mesa Sanitary District currently only provides curbside cart service, its solid waste contract does not mention dumpster
service. These multifamily homes would need to continue with dumpster service because of space limitation so the District would need to
go out to bid to provide dumpster service and negotiate a price for weekly service as well as making sure the same programs current
solid waste customers received are implemented district wide. Costs to go out to bid or to provide dumpster service are unknown.
4. Local Agency Formation Commission (LAFCO). Staff would have to submit an application along with a resolution to LAFCO indicating
the District's intention to provide solid waste collection services to all multi-family units within the City of Costa Mesa..
Legal Review
Not applicable.
Environmental Review
A review of solid waste and wastewater customers is not a disturbance of the environment similar to grading or construction and does not
constitute a project under CEQA or the District's CEQA Guidelines.
Financial Review
The financial impact for the OC LAFCO process to expand services can be expensive. For instance, there is an initial deposit to OC
LAFCO of $5,600 and there are costs for public noticing and publication, State Board of Equalization fees, compliance with California
Subject 4. Providing Solid Waste Services to Wastewater Customers in Costa Mesa
Meeting Dec 12, 2018 - Citizens Advisory Committee
Access Public
Type
Environmental Quality Act (CEQA), verifying signatures Registrar of Voters, OC LAFCO staff and legal counsel, etc. It could cost as
much as $20,000 for the process.
Public Notice Process
Copies of this report are on file and will be included with the entire agenda packet for the December 12, 2018 Citizens Advisory
Committee meeting at District Headquarters and on District website at www.cmsdca.gov
Alternative Actions
1. Direct staff to report back with more information.
C. ITEM
To: Citizens Advisory Committee
From: Scott Carroll, General Manager
Date: December 12, 2018
Subject: Ordinance No. 123 - Adoption of Rosenberg's Rules of Order
Summary
This ordinance will adopt Rosenberg’s Rules of Order, which is superior to Robert’s Rules of Order, and more appropriate for a local
government legislative body.
Recommendation
That the Citizens Advisory Committee recommend the Board of Directors approve Ordinance No. 123 - Adoption of Rosenberg's Rules of
Order.
Analysis
Robert’s Rules of Order were created in 1876 and have been the primary guide to parliamentary procedure. Robert’s is very complex and
has procedures that befit a large parliamentary body.
Robert’s has been the primary guide used by public agencies until Dave Rosenberg, a former judge, council member, mayor and board
supervisor, developed a set of procedures that was simpler to use and more appropriate for a small local government body such as board
of directors or a city council. Since Rosenberg’s was adopted in 2011, hundreds of special districts, city councils and neighborhood
associations have adopted Rosenberg’s. While Robert’s consisted of over 700 pages of text, Rosenberg’s is just seven pages in length.
Judging from the wide acceptance it has garnered, it seems to work very well for special districts and city councils.
It is therefore recommended that Rosenberg’s be adopted. As with Robert’s, these procedures are merely a nonbinding guide to the
conduct of the public’s business.
Legal Review
District Counsel has prepared this staff report and Ordinance No. 123
Environmental Review
Adopting parliamentary procedures are an administrative matter and not a disturbance of the environment similar to grading or
construction and does not constitute a project under CEQA or the District's CEQA Guidelines.
Financial Review
There are no financial impacts to the District for adopting Ordinance No. 123
Public Notice Process
Copies of this report are on file and will be included with the complete agenda packet for the December 12, 2018 Citizens Advisory
Committee regular meeting at District Headquarters (290 Paularino Avenue) and posted on the District's website at www.cmsdca.gov.
Alternative Actions
1. Do not recommend the Board of Directors approve Ordinance No. 123 and recommend continuing using Robert’s Rules of Order
Subject 5. Ordinance No. 123 - Adoption of Rosenberg's Rules of Order
Meeting Dec 12, 2018 - Citizens Advisory Committee
Access Public
Type Action
Recommended Action That the Citizens Advisory Committee recommend the Board of Directors approve Ordinance
No. 123 - Adoption of Rosenberg's Rules of Order
Goals 5.0 Administrative Management
5.4 Review and maintain Operations Code, policies and Administrative Regulations
File Attachments
Rosenberg's Rules of Order.pdf (1,054 KB)
Ordinance No. 123.pdf (131 KB)
C. ITEM
To: Citizens Advisory Committee
From: Scott Carroll, General Manager
Date: December 12, 2018
Subject: Ordinance No. 124 - Reenacting the Purchasing Provisions of the District's Operations Code
Summary
This ordinance will make revisions to Chapter 4.04 of the District's Operations Code pertaining to Purchasing. Most notably, the
proposed revisions, if approved by the Board, will increase the bid limit authority for the use of the informal bid procedure, and allow
contracts within newly-increased State limits to be let by the General Manager without the more formal bid procedure. The bid limits
would be raised from between $30,000 and $125,000 to new limits of between $60,000 and $200,000.
Recommendation
That the Citizens Advisory Committee recommend the Board of Directors approve Ordinance No. 124 - Reenacting the Purchasing
Provisions of the District's Operations Code
Analysis
State law generally requires a sanitary district to competitively bid public projects when the expenditure exceeds $15,000. The procedure
involves a public notice and acceptance of sealed bids, and the awarding of the contract to the “lowest responsible bidder.”
State law also allows the use of an alternative procedure. That procedure requires the adoption of the Uniform Public Construction Cost
Accounting Act (UPCCAA) procedures. Those procedures require the development and maintaining of lists of qualified contractors and
the notification of those contractors of work to be bid.
The District has adopted the UPCCAA procedures. The District Operations Code authorized the use of the original expenditure range for
informal bids of between $30,000 and $125,000. In 2012, the expenditure range was increased to between $45,000 and $175,000. The
District did not avail itself of those increased limits at that time. The Legislature has now, pursuant to Assembly Bill No. 2249 (Ch. 169-
Stats 2018), increased the limits to between $60,000 and $200,000.
Staff is now recommending an increase in those limits. The use of the qualified lists is some assurance that competent contractors will be
those bidding. The required newspaper notice might produce bidders that were not well qualified and the District would be required to find
that they were not “responsible” bidders to be able to disqualify the bids. This is a difficult standard and any contractor that was so
determined might seek to overturn that determination.
Adoption of the ordinance would increase the General Manger’s authority to use the informal procedure and would allow for the award of
these contracts without Board action. The General Manager would also be given signature authority.
Other revisions to Chapter 4.04 include provisions qualifying staff procedures when seeking proposals from professional consultants such
as architects, engineers, land surveying, construction management, etc.
Legal Review
District Counsel reviewed the law and prepared the staff report and Ordinance No. 124.
Environmental Review
Subject 6. Ordinance No. 124 - Reenacting the Purchasing Provisions of the District's
Operations Code
Meeting Dec 12, 2018 - Citizens Advisory Committee
Access Public
Type Action
Recommended Action That the Citizens Advisory Committee recommend the Board of Directors approve Ordinance
No. 124 - Reenacting the Purchasing Provisions of the District's Operations Code
Goals 5.0 Administrative Management
5.4 Review and maintain Operations Code, policies and Administrative Regulations
The consideration of modifying informal bid limits is an administrative matter and not a disturbance of the environment similar to grading
or construction and does not constitute a project under CEQA or the District’s CEQA Guidelines.
Financial Review
There are no financial impacts to the District for adopting Ordinance No. 124. However, construction can begin sooner for projects less
than $200,000 because no formal action is required by the Board of Directors.
Public Notice Process
Copies of this report are on file and will be included with the complete agenda packet for the December 12, 2018 Citizens Advisory
Committee meeting at District Headquarters (290 Paularino Avenue) and posted on the District's website at www.cmsdca.gov.
Alternative Actions
1. Do not recommend the Board approve Ordinance No. 124 and recommend staff continue using the informal bid limits adopted in the
Operations Code.
2. Do not recommend the Board approve Ordinance No. 124 and recommend the Board set different limits for informal bids.
File Attachments
Ordinance No. 124 Redline.pdf (184 KB)
Ordinance No. 124 Final.pdf (179 KB)
C. ITEM
To: Citizens Advisory Committee
Via: Scott Carroll, General Manager
From: Nabila Guzman, Management Analyst I
Date: December 12, 2018
Subject: Community Wide Diversion
Summary
Per direction received at the last Citizens Advisory Committee meeting, District staff has reached out to the City of Costa Mesa for
community wide diversion information. This report summarizes the overall tonnage information for both the District's franchise and City's
solid waste franchise.
Staff Recommendation
That the Citizens Advisory Committee receive and file this report.
Analysis
Per direction from the Citizens Advisory Committee, District staff reached out to the City of Costa Mesa for information on their solid
waste franchise. While the Costa Mesa Sanitary District provides solid waste services to all single-family and some multi-family homes,
the City of Costa Mesa's non-exclusive solid waste hauling franchise allows A-Tier franchised haulers to provide services to multi-family,
commercial, and industrial accounts and holds them to an overall 50% diversion standard.
The City is also responsible to report to the State's solid waste regulatory agency, CalRecycle, formally known as the California Integrated
Waste Management Board (CIWMB), about both the District's and the City's efforts to decrease the community's dependency on landfills.
While the District calculates and reports a diversion rate (total recycled tons/total collected tons) to it's Board of Directors and residents,
the State stopped calculating diversion rates in 2006 and switched to a per-capita measurement basis of disposal reduction in 2007. The
purpose of the per capita disposal measurement system is to make the process of goal measurement simpler, more timely, and more
accurate. This measurement uses two factors: a jurisdictions population and its disposal as reported by disposal facilities, so it calculates
pounds of waste per person per day.
Table 1 below shows community-wide diversion rate from 2000 to 2006 and the approximate per capita measurement from 2007 to 2017.
No official diversion rate available from State.
Table 1
Subject 7. Community Wide Diversion
Meeting Dec 12, 2018 - Citizens Advisory Committee
Access Public
Type Action, Receive and File
Recommended Action That the Citizens Advisory Committee receive and file this report
Goals 2.4 Develop Strategies for 75% Waste Diversion
2.00 Solid Waste
The City of Costa Mesa compiles their data on a calendar year basis, which mirrors State-reporting requirements. Table's 2, 3 and 4
reflect the data for the three most recent calendar years. The format for the calendar year 2016 changed to include more information that
they are required to track.
Residential Franchise CMSD service area
City Franchise*Multi-family, Commercial and Industrial
Self-Haul/ State FacilitiesLandscapers, Roofers/Schools, Hospital & Fairgrounds
* The City does not track diversion at multi-family properties separately, it is just part of total "commercial" diversion
Table 2 - Calendar Year 2015
Table 3 - Calendar Year 2016
Table 4 - Calendar Year 2017
In 2017 waste disposal increased slightly to 102,576 tons. That number is established through the State's Disposal Reporting System
(DRS). It should be noted that there are approximately 50,000 tons of material diverted through recyclers, landscapers, and C&D haulers
that are not reported to the City currently. The City's new contractor self-hauler permit program will hopefully capture a bit more of this
unreported diversion.
Legal Review
Not applicable.
Environmental Review
Consideration of the Solid Waste Diversion Report is an administrative matter and not a disturbance of the environment similar to grading
or construction and not a project under CEQA or the District’s CEQA Guidelines.
Financial Review
Not applicable.
Public Notice Process
Copies of this report are on file and will be included with the entire agenda packet for the December 12, 2018 Citizens Advisory
Committee meeting at District Headquarters and on District website at www.cmsdca.gov
File Attachments
2015.png (6 KB)
2016.png (8 KB)
2017.png (9 KB)
Annual Diversion Rates.png (13 KB)
C. ITEM
To: Citizens Advisory Committee
Via: Scott Carroll, General Manager
From: Nabila Guzman, Management Analyst I
Date: December 12, 2018
Subject: Christmas Tree Recycling
Summary
The Districts Christmas Tree Recycling Program collects Christmas trees from residents and recycles them into renewable natural gas
and soil amendment at CR&R Anaerobic Digestion Facility in Perris, CA. Before the plant became operational, the Christmas trees were
recycled into mulch and distributed locally throughout California. This annual program is made available to solid waste customers in the
weeks following Christmas Day.
Recommendation
That the Citizens Advisory Committee receive and file this report
Analysis
The District sponsors an annual Christmas Tree collection program in the weeks following Christmas Day. This year trees will be collected
curbside for solid waste customers from December 26, 2018 through January 18, 2018. We ask residents to remove all decorations,
lights, garland, and tinsel as well as the stand before placing the bare tree next to their trash carts on collection day. CR&R asks that
trees over 6 feet be cut in half, once they are collected the trees are taken to CR&R's AD facility to be converted into renewable natural
gas. If residents need to dispose of their tree after January 19th, they can cut down the tree into pieces that fit into thier organics recycling
cart with the lid closed for disposal.
In 2017, the Christmas Tree Recycling Program collected 4,569 trees or 65.69 tons of tree material. Despite the decrease in the amount
of trees and tonnage collected from residents, staff considers the program successful. The decrease in the overall amount of trees
collected can be contributed to an increase in purchasing artificial Christmas trees.
The tables below illustrate findings from the previous five years:
Subject 8. Christmas Tree Recycling
Meeting Dec 12, 2018 - Citizens Advisory Committee
Access Public
Type
The District advertises the Christmas Tree collection dates on its website, social media, Fall newsletter and on banners placed on the
side of the trash trucks. This year, staff has made the trash truck banner bilingual (pictures attached to this report). The banners were
placed in the days following Thanksgiving and will run through the second week in January. At the conclusion of the program, CR&R
provides the District with total tonnage and number of trees collected for payment. There is no fee for collection of the trees, only for
disposal. The tonnage is paid at the regular organics rate of $71.50.
Legal Review
Not applicable
Environmental Review
A review of solid waste contracts is not a disturbance of the environment similar to grading or construction and does not constitute a
project under CEQA or the District's CEQA Guidelines.
Financial Review
There is no additional fiscal impact to the District for the Christmas Tree Collection Program because the program is provided by CR&R
and funded by the new contract between the District and CR&R. The program is paid through the existing rate structure with CR&R.
Public Notice Process
Copies of this report are on file and will be included with the entire agenda packet for the December 12, 2018 Citizens Advisory
Committee meeting at District Headquarters and on District website at www.cmsdca.gov
Alternative Actions
1. Direct staff to report back with more information.
File Attachments
Xmas Tree 18.jpg (89 KB)
Xmas Tree 2018.jpg (87 KB)
Tons Collected.png (4 KB)
# of Trees.png (5 KB)
C. ITEM
To: Citizens Advisory Committee
From: Scott Carroll, General Manager
Date: December 12, 2018
Subject: Consider Recommending the Board of Directors Approve Acquiring One Twelve Cubic Yard Wastewater Combination
Cleaning Truck from Haaker Equipment Company for $411,364
Summary
The District's Performance Measurement Goal is to clean 67% of the wastewater system (224 miles) within one year with the objective of
cleaning the entire system within eighteen months. Achieving the goal and objective requires two cleaning crews operating two
wastewater combination cleaning trucks. The following are the two wastewater cleaning trucks in the District's fleet.
2013 Freight liner-Vac-Con: 12 Cubic Yard
2015 Kenworth Vacall: 6 Cubic Yard
Staff is recommending the purchase of a third wastewater combination cleaning truck (Vactor) from Haaker Equipment Company and
place the 2013 Vac-Con truck in reserve to be used when when the Vacall and/or Vactor trucks are down for service.
Recommendation
That the Citizens Advisory Committee Recommends the Board of Directors Approve Acquiring One Twelve Cubic Yard Wastewater
Combination Cleaning Truck from Haaker Equipment Company for $411,364
Analysis
In 2016, staff successfully cleaned 77% of the District's wastewater system and in 2017, staff cleaned 74% of the system. Preliminary
estimates are showing that staff will achieve it's target goal of cleaning 67% of the system in 2018, but staff may fall short of achieving
this goal if one or both of the District's wastewater combination cleaning trucks are down for service for a long period of time. In 2018,
staff experience an unusual number of breakdowns for both cleaning trucks even though the District maintained a regular preventive
maintenance schedule. The following is a description of the breakdowns that occurred for both cleaning trucks.
2013 Freight liner-Vac-Con
1. 8/11/17: Repair coolant and replace batteries
2. 8/14/17: Install inner hose
3. 10/3/17: Repair hydraulic hose reel motor
4. 11/12/17: Repair hose reel light
5. 12/12/17: Replace float arm
Subject 9. Consider Recommending the Board of Directors Approve Acquiring One Twelve
Cubic Yard Wastewater Combination Cleaning Truck from Haaker Equipment
Company for $411,364
Meeting Dec 12, 2018 - Citizens Advisory Committee
Access Public
Type Action
Fiscal Impact Yes
Dollar Amount $411,364.00
Budgeted No
Budget Source Wastewater Fund - Fixed Asset Replacement Fund
Recommended Action That the Citizens Advisory Committee Recommends the Board of Directors Approve Acquiring
One Twelve Cubic Yard Wastewater Combination Cleaning Truck from Haaker Equipment
Company for $411,364
Goals 1.0 Sewer Infrastructure
1.5 Sewer Line Cleaning & CCTV Program
6. 12/14/17: Check engine light and low coolant
7. 12/18/17: Repair radiator hose outlet
8. 1/25/18: Replace ball valves
9. 2/27/18: Clean DPF filter
10. 3/2/18: Replace cap-washer reservoir
11. 3/9/18: Replace pump, injector and sensor
12. 3/23/18: Repair hydro pump line
13. 6/7/18: Replace valve, crank and seal
14. 6/27/18 Tow charge
15. 6/28/18 Replace transmission computer
16. 8/1/18: Replace metal torque bushing
17. 8/14/18: Welding frame
18. 9/11/18: Tow charge
19. 10/8/18: Transmission service
20. 11/6/18: Replace intake heater/sensor
The District spent approximately $26,168 for the repairs identified above.
2015 Kenworth Vacall
1. 9/21/17: Replace steering shaft/windshield
2. 2/12/18 Repair water leak
3. 3/23/18 Replace inner leader hose
4. 5/31/18 Repair water pump oil
5. 10/8/18: Transfer case not working. The transfer case transfers power from the transmission to the front and rear axles by means of
drive shafts. It prevents the wheels from moving when the truck is stopped for cleaning and allows staff to safely operate the equipment
on the truck (e.g. vacuum, water tank, hose, etc.). If the transfer case is not working then the vehicle could roll forward and severely
injure the operator while he/she is cleaning the pipeline.
6. 10/12/18: Transfer case not working
7. 10/25/18: Transfer case not working
8. 10/31/18: Transfer case not working
9. 11/05/18: Transfer case not working
10. 11/14/18: Damaged pins needing repair
11. 12/4/18: Transfer case not working
The District spent approximately $3,622 for the repairs identified above; however, the District has not received invoices for resolving the
vehicle's transfer case. Vacall's repair shop believes there's a glitch to the vehicle's computer system, but as you can see above, the
transfer case is still not resolved as the vehicle is experiencing the same problem as recently as December 4, 2018. While repair costs
for the Vacall has been minimal, the vehicle's downtime for trying to resolve the transfer case means less time for cleaning the system,
which could result in sanitary sewer overflows (SSOs).
In October and December, both vehicles were down simultaneously. To ensure staff does not fall behind it's cleaning schedule, the
District rented one wastewater combination cleaning truck from Environmental Rental Services at $3,500 a week. To avoid future
unanticipated rental costs and still maintain cleaning schedule, staff is recommending the purchase of a new wastewater combination
cleaning truck and place the 2013 Freight liner-Vac-Con in reserve,
The District is a member of Sourcewell, also known as the National Joint Powers Alliance (NJPA), which is a public agency that serves as
a member focused cooperative for over 50,000 government, education and nonprofit organizations nationally. There is no cost to be a
member of Sourcewell. Sourcewll will solicit request for proposals (RFP) and then enters into a cooperative agreement with vendors that
have demonstrated the following in their proposal:
Conforming to RFP’s intent, scope and specifications
Competitive pricing strategies
Ability to sell and service Sourcewell Members nationally
Financial strength, experience and success in the industry/marketplace
References from past customers and prior experience with Sourcewell
A clear, concise, aggressive and effective marketing plan
Value added related products, services and technological advances
Financing options and detailed payment terms
Warranty, product and service responsibility
Identifying the depth, breadth and quality of products and service offerings
According to Section 4.04.120(b) of the District’s Operations Code, the District can purchase items when a competitive bid procedure has
been conducted by another public agency. On November 16, 2017 NJPA publicized RFP #122017 for Sewer Vacuum, Hydro-Excavation,
and /or Street Sweeper Equipment with Related Accessories and Supplies. In addition, RFPs were requested from and distributed to
48 vendors nationwide.
Proposals were due to NJPA on December 20, 2017 and the bid opening occurred on December 21, 2017 in which 30 proposals were
received. Attached is a copy of the RFP. NJPA’s Bid Evaluation Committee reviewed the proposals and recommended awarding
Contract #122017 to thirteen vendors. On February 19, 2018, NJPA’s Board of Directors awarded a cooperative agreement to the
following vendors (attached are comments from the Evaluation Committee):
Atlantic Machinery, Inc.
Exprolink Inc.
Federal Signal Corporation (Vactor)
GapVax Inc.
Global Environmental Products, Inc.
Gradall Inustries, Inc.
Hi-Vac Corporation
Johnston North America
NiteHawk Sweepers, LLC
RapidView, LLC
Schwarze Industries, Inc.
Sewer Equipment Company of America
TYMCO, Inc.
Of the thirteen vendors above, the following six vendors submitted proposals for wastewater combination cleaning trucks:
Atlantic Machinery, Inc (Vac-Con)
Federal Signal Corporation (Vactor)
Gapvax, Inc.
Gradall Industries, Inc. (Vacall)
Hi-Vac Corporation
Sewer Equipment Company of America
Staff contacted Southern California dealers authorized to sell twelve cubic yard wastewater combination cleaning trucks above and
scheduled demonstrations at the District Yard. After demonstrations, staff received quotes from the following dealers:
1. $386,540 - Environmental Rental Services (Vacall)
2. $411,365 - Haaker Equipment Company (Vactor)
3. $431,396 - Nixon-Egli Equipment Company (Sewer Equipment Company of America)
4. $515,000 - Plumbers Depot (Gapvax)
Staff did not receive a demonstration from Hi-Vac Coporation because the closest dealer is located in Pheonix Arizona and staff did not
contact Municipal Maintenance Maintenance, the authorized dealer for Vac-Con, because of all the documented unanticipated repairs to
the 2013 Freight liner-Vac-Con (see above). Even though it's nearly $25,000 more than the lowest bid, staff is recommending purchasing
one twelve cubic yard wastewater combination cleaning truck from Haaker Equipment Company for $411,365 because of the recent
unanticipated repairs and downtime staff is experiencing with the 2015 Kenworth Vacall and staff believes there are more safety features
on the Vactor. For instance, in the cab of the Vactor is a 7-inch touchscreen panel that can activate the transfer case by pushing one
button (see Page 3 in the Vactor 2100i Brochure attachment). The panel will inform employees when its safe to operate. The
Vacall requires numerous manual steps to activate the transfer case. In addition, there is a glove-friendly panel mounted at the front of
the truck for tracking and adjusting water pressure, flow, hose footage, chassis RPM and vacuum information. The Vacall does provide
smart controls for information about engine performance, water flow and vacuum functions, but the Vacall system does not have all the
same features as Vactor's control panel. If a purchase order is issued to Haaker in December, the new Vactor can be delivered to the
District by May or June 2019. The new Vacall would be delivered to the District by October 2019.
If the Board approves the purchase, the 2013 Freight liner-Vac-Con will be placed in reserved and used when the Vacall and/or Vactor is
down for service. This will ensure cleaning schedules are met.
ALTERNATIVES
1. Contracting for Cleaning Services
Before purchasing the 2013 Vac-Con, the District relied on private vendors to assist with cleaning the wastewater system. FY 2014-15
was the last year when the District used National Plant Services (NPS) to clean 685,409, or 58% of the entire wastewater system at a
cost of $196,242 (District staff cleaned the remaining 42% of the system). NPS used two wastewater combination cleaning trucks and
each truck had one operator. By contrast, the District uses two employees per cleaning truck for safety reasons. For instance, one
employee will clean the system while the other employee monitors traffic and the equipment. In FY 2017-18, the average annual cost for
one wastewater combination cleaning truck operated by two employees is approximately $300,000 (cost include salaries, benefits,
overhead and equipment).
The community and the environment are receiving tangible benefits for having in-house wastewater cleaning crews because the District
is experiencing fewer sanitary sewer overflows (SSOs). In 2017, the District had zero SSOs for the first time since staff began
documenting SSOs in 1999 and the two SSOs in 2018 were not caused by neglecting to clean the system. By comparison, the
five SSOs that occurred between 2014 to 2016 were last cleaned by NPS prior to the SSOs. Other benefits to having in-house
wastewater cleaning crews are described below.
Ownership – In-house cleaning crews take ownership on the system they are cleaning. They want to be responsible for doing a
good job and take pride in their quality of work. Contractors want to get the job done as fast as they can so they can move on to
the next job, which is commonly called, “blow and go”.
Quality of Work – For private contractors it’s about making a profit, which means the faster they clean the faster they
can move on to the next job. Evidence of private contractor’s quality of work was found soon after CMSD begin using
its own staff to clean the wastewater system. For instance, CMSD found debris and pieces of broken manholes in the
system, contractors failed to notify CMSD about defects, heavy roots, grease or any other obstructions. In-house
cleaning crews will make sure the job is done right because they are not under pressure to complete their assignment
expeditiously and move on to the next city to make a profit. In-house staff want to be held accountable for the
performance and quality of work.
Knowledge of System – Private contractors will use different operators for different jobs. They may not be familiar with
the system and know where there are sags, heavy roots or FOG (Fats Oil Grease) that may need additional attention
to clean. In-house crews will know the system well because they are out in the field every day working on the system
to ensure the community’s health and environment are protected.
2. Purchasing One Used Wastewater Combination Cleaning Truck
In 2006, the District purchased it's first vehicle to the fleet, a 1992 used six cubic yard wastewater combination cleaning truck
for $93,784. The truck was used to clean hot spots (high frequency cleaning locations) while NPS continued to clean the
entire system in three years. There are operational and equipment risks for purchasing used vehicles, especially when the
vehicle is fourteen years old. During the six years of ownership, the District experience many breakdowns that required repair
work and excessive downtime. Below are some of the repairs that needed to be performed on the 1992 vehicle. The District
spent $62,261 performing repairs during the six years of ownership.
Repaired hose reel
Rebuilt starter
Replaced 4 glow plugs of engine
Replaced hoses
Fuel leak
Replaced seals and beacon light
Legal Review
Not applicable. If the Board approves staff's recommendation, a purchase order between the District and Haaker will be executed.
Environmental Review
The Vactor truck by Haaker will be powered by green diesel, which is considered a clean fuel that reduces greenhouse gas emissions,
but it's still diesel, so the Vactor will be fitted with a diesel particulate filter that removes particulate matter in diesel exhaust. The filter is a
requirement from the California Air Resources Board (CARB). The District is exempt from South Coast Air Quality Management District
(AQMD) Rule 1196, which requires newly acquired heavy duty vehicles be powered by alternative fuel, such as Compressed Natural Gas
(CNG), because the Rule applies to fleets with 15 or more heavy duty vehicles. If the Board approves the purchase, the Vactor will be
the District's third heavy duty vehicle in the fleet.
Financial Review
The cost to purchase one twelve cubic yard wastewater combination cleaning truck from Haaker Equipment Company is $411,365, which
includes sales tax and delivery charges. The balance in the District's Fixed Asset Replacement Fund is nearly $1.4 million, so there is
adequate funding for this purchase.
Public Notice Process
Copies of this report are on file and will be included with the complete agenda packet for the December 12, 2018 Citizens Advisory
Committee regular meeting at District Headquarters (290 Paularino Avenue) and posted on the District's website at www.cmsdca.gov.
Alternative Actions
1. Recommend the Board of Directors do not purchase the Vactor from Haaker Equipment Company.
2. Recommend the Board of Directors purchase the Vacall from Environmental Rental Services for $386,540, which includes sales tax
and delivery.
3. Recommend the Board of Directors direct staff to continue renting wastewater combination cleaning trucks when the Vac-Con and/or
Vacall is down for service. Assuming the District had to rent one wastewater combination cleaning truck for an entire year, the cost would
still be substantially less than purchasing a new truck. Cost for an annual rental could range from $182,000 to $220,000, but there is no
guarantee a truck would be available when needed.
4. Recommend the Board of Directors consider temporary contracting for cleaning services while the fleet is down for repairs.
5. Recommend the Board of Directors direct staff to consider purchasing a used wastewater combination cleaning truck
6. Direct staff to report back with additional information.
File Attachments
Sewer Vacuum RFP 122017.pdf (1,443 KB)
Comment and Review-Sewer Vac.-122017.pdf (1,736 KB)
Vactor 2100i-Brochure-Web.pdf (1,071 KB)
C. ITEM
Subject 10. CMSD 75th Anniversary Ad Hoc Committee Meeting - Oral Report from Chair
Mike Carey
Meeting Dec 12, 2018 - Citizens Advisory Committee
Access Public
Type
C. ITEM
Subject 11. Consider Approving a Quarterly Citizen Advisory Committee (CAC) Meeting
Schedule
Meeting Dec 12, 2018 - Citizens Advisory Committee
Access Public
Type Action
Recommended Action That the Citizens Advisory Committee approve meeting quarterly and on an as needed basis.
D. Closing Items
Subject 1. Board/Staff Comments
Meeting Dec 12, 2018 - Citizens Advisory Committee
Access Public
Type Presentation
D. Closing Items
Subject 2. Adjournment
Meeting Dec 12, 2018 - Citizens Advisory Committee
Access Public
Type Procedural