HomeMy WebLinkAbout03-11-2015 Administration Committee MinutesMINUTES OF THE
ADMINISTRATION COMMITTEE
Orange County Sanitation District
Wednesday, March 11, 2015, at 5:30 P.M.
A regular meeting of the Administration Committee of the Orange County Sanitation
District was called to order by Committee Vice-Chair Curry on March 11, 2015, at
5:30 p.m., in the Administration Building of the Orange County Sanitation District.
Committee Vice-Chair Curry led the Flag Salute.
A quorum was declared present, as follows:
COMMITTEE MEMBERS PRESENT:
John Withers, Chair
Keith Curry, Vice-Chair
Steven Choi
Tyler Diep
James Ferryman
Jim Katapodis
Peter Kim
Greg Mills
Glenn Parker
Teresa Smith
Sal Tinajero
Tom Beamish, Board Chair
John Nielsen, Board Vice-Chair
COMMITTEE MEMBERS ABSENT:
None.
PUBLIC COMMENTS:
None.
REPORT OF COMMITTEE CHAIR:
STAFF PRESENT:
Jim Herberg, General Manager
Bob Ghirelli, Assistant General Manager
Lorenzo Tyner, Director of Finance
& Administrative Services
Rob Thompson, Director of Engineering
Nick Arhontes, Director of Facility Support
Services
Kelly Lore, Acting Clerk of the Board
Mike White
Cindi Ambrose
Jennifer Cabral
Marc Dubois
Anne Marie Feery
Norbert Gaia
Al Garcia
Randy Kleinman
Jackie Santos
Cori Voss
OTHERS PRESENT:
Brad Hagin, General Counsel
Committee Vice-Chair Curry did not provide a report.
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REPORT OF GENERAL MANAGER:
General Manager, Jim Herberg, did not provide a report.
REPORT OF DIRECTOR OF FINANCE AND ADMINISTRATIVE SERVICES:
Director of Finance and Administrative Services, Lorenzo Tyner reported on two
violations that were received from Cal/OSHA. The first was an employee who injured
their finger while working on some fan belts. Because of the injury, OSHA fined us and
we appealed that fine, however we were unsuccessful in the appeal. The exposure is
about $22,000 and is considered a serious violation. If there is a second violation, it
could be considered willful, with a fine of about $70,000 and other possible
assessments. Mr. Tyner stated that he does not anticipate that being an issue as we
have used this particular procedure over the last 20 years with no injuries. However,
we do take the OSHA report and the health of our employees seriously, and for
prevention, have done additional training, will be putting in additional guards, and will do
what is known as a safety stand-down where we will meet with the managers and
supervisors impacted by that area, making sure they are aware of the injury and the
additional safeguards.
Mr. Tyner stated that the second violation involved the use of a crane about 18 months
ago. This involved a procedural issue, there was no injury or potential injury, however,
OSHA found that we might not have been in complete compliance with our Standard
Operating Procedures (SOP). They found a technical variance in the way we used, or
planned for the use of the crane. We are in the process of looking at that item with
OSHA and anticipate the item be settled shortly. This violation contains three items; a
procedural item with exposure in the $100-400 fine range, the second item should be
vacated as there is not enough evidence to support the violation, and the third is a
technical procedural item with exposure in the $5000 fine range.
CONSENT CALENDAR:
1. MOVED, SECONDED and DULY CARRIED TO: Approve Minutes of the
February 11, 2015, Administration Committee Meeting.
AYES:
NOES:
Beamish, Choi, Curry, Ferryman, Katapodis, Kim, Mills,
Nielsen, and Parker
None
ABSTENTIONS: None
ABSENT: Diep, Smith, Tinajero and Withers
03/11/2015 Administration Committee Minutes Page 2 of 5
2. MOVED, SECONDED and DULY CARRIED TO: Recommend to the Board of
Directors to: Approve the Senior Human Resources Analyst Lending Agreement
between Orange County Sanitation District (OCSD) and Costa Mesa Sanitary
District (CMSD), to contract an OCSD Senior Human Resources Analyst as the
Interim Human Resources Manager from March 21, 2015 through June 30, 2015,
as a workforce development opportunity.
AYES:
NOES:
Beamish, Choi, Curry, Ferryman, Katapodis, Kim, Mills,
Nielsen, and Parker
None
ABSTENTIONS: None
ABSENT: Diep, Smith, Tinajero and Withers
NON-CONSENT CALENDAR
Mr. Tyner provided a brief overview of this item. Director Parked requested information
regarding what controls are in place to provide compliance for this Ordinance. Mr.
Herberg stated the information would be provided at the next Board meeting.
3. MOVED, SECONDED and DULY CARRIED TO: Recommend to the Board of
Directors to:
A. Introduce Ordinance No. OCSD-47, entitled "An Ordinance of the Board of
Directors of the Orange County Sanitation District, Establishing
Requirements and Procedures for the Purchase of Goods, Services, and
Public Works Projects" for first reading at the March 2015 Board meeting."
and
B. Motion to read Ordinance No. OCSD-47 by title only and waive reading of
said entire Ordinance on March 25, 2015; and
C. Set April 22, 2015, as the date for the second reading and adoption of
Ordinance No. OCSD-47; and
D. Direct the Clerk of the Board to publish summaries of the Ordinance as
required by law.
AYES:
NOES:
Beamish, Choi, Curry, Ferryman, Katapodis, Kim, Mills,
Nielsen, and Parker
None
ABSTENTIONS: None
03/11/2015 Administration Committee Minutes Page 3 of 5
ABSENT: Diep, Smith, Tinajero and Withers
INFORMATION ITEMS:
Director Theresa Smith arrived at 5:36 p.m.
Director Diep arrived at 5:37 p.m.
4. Status of 2015-16 Insurance Renewals
Director of Finance and Administrative Services, Lorenzo Tyner stated that
insurance renewals are brought to the Board twice during the budget process.
These preliminary assumptions are being brought to the committee prior to the
actual action needed in June.
Dennis Mulqueeny, Senior Vice President of Alliant insurance provided a brief
presentation regarding each of OCSD's four major insurances (General Liability,
Workers' Compensation; Property and Flood, and Boiler & Machinery) with
coverages designed for government entity operations and the renewal costs of
each. The possibility of earthquake insurance was also discussed.
Mr. Mulqueeny then answered questions from the Committee regarding:
marketing processes to provide quotations; earthquake insurance estimates;
previous earthquake damage; California admitted/non-admitted carriers; and
minimum standards for a carrier which is A7.
Director Choi requested a rate comparison and Director Parker requested
information on non-admitted carriers and further analysis prior to required action.
Mr. Herberg and Mr. Tyner stated that the information requested would be
provided in the near future.
Committee Chair Withers arrived at 5:50 p.m.
Director Diep left the meeting at 5:50 p.m.
5. FY 2015-16 District Budget Update
Controller, Mike White provided an informative PowerPoint Presentation on the
budgeted revenue update for fiscal years 2014-15 and 2015-16, including fees
and charges, which represent the largest component of revenues, property taxes
and single family residential fees which represent OCSD's largest revenue. Mr.
White stated that there is no new money debt issuance projected.
Director Tinajero arrived at 6:00 p.m.
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6. Workforce Planning
Human Resources Manager, Rich Spencer provided an informative PowerPoint
Presentation on Workforce Planning, which includes: organizational structure;
organizational overview; recognized employee organizations; unrepresented
employee groups; importance of workforce planning development efforts; and
workforce analysis, planning and development.
Questions were answered from Mr. Spencer regarding: percentage of internal
promotions; entry level hiring; internships; licensing; attracting higher level
employees; anticipated retiree costs; technical programs such as Santiago
Canyon College and transition and succession plans.
Director Choi left the meeting at 6:20 p .m.
Vice-Chair John Nielsen left the meeting at 6:25 p.m.
OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA
ITEMS, IF ANY:
Mr. Herberg, stated that an update on budgeted expenditures will be provided next
month.
ADJOURNMENT:
Committee Chair Withers declared the meeting adjourned at 6:34 p.m., to the next
regularly scheduled meeting of April 8, 2015 at 5:30 p.m.
Submitted by:
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