HomeMy WebLinkAbout03-09-2016 Administration Committee MinutesMINUTES OF THE
ADMINISTRATION COMMITTEE
Orange County Sanitation District
Wednesday, March 9, 2016, at 5:00 P.M.
A regular meeting of the Administration Committee of the Orange County Sanitation
District was called to order by Committee Chair Curry on March 9, 2016, at 5:01 p.m., in
the Administration Building of the Orange County Sanitation District.
Director Katapodis led the Flag Salute.
A quorum was declared present, as follows:
COMMITTEE MEMBERS PRESENT:
Keith Curry, Chair
Lucille Kring, Vice-Chair
Steven Choi
Jim Ferryman
Jim Katapodis
Peter Kim
Greg Mills
Joy Neugebauer
Teresa Smith
Sal Tinajero
John Nielsen, Board Chair
Greg Sebourn, Board Vice-Chair
COMMITTEE MEMBERS ABSENT:
Glenn Parker
PUBLIC COMMENTS:
None.
REPORT OF COMMITTEE CHAIR:
STAFF PRESENT:
Jim Herberg, General Manager
Bob Ghirelli, Assistant General Manager
Celia Chandler, Director of Human Resources
Rob Thompson, Director of Engineering
Lorenzo Tyner, Director of Finance &
Administrative Services
Ed Torres, Director of Operations & Maintenance
Mike White, Controller
Tina Knapp, Deputy Clerk of the Board
Norbert Gaia
Mark Manzo
Alfredo Garcia
Gary Conklin
Jim Mullins
Jennifer Cabral
OTHERS PRESENT:
Kendra Carney, Associate General Counsel
Committee Chair Curry did not provide a report.
REPORT OF GENERAL MANAGER:
General Manager Jim Herberg commented on a recent article in the "Los Angeles Times"
regarding antibiotic resistant bacteria in wastewater treatment plants. He stated the
03/09/16 Administration Committee Minutes Page 1 of 5
article referenced treatment facilities California, ocean dischargers, and unpublished work
by the EPA which OCSD has not seen the detailed reports and no sampling and/or testing
has shown this bacteria in OCSD's effluent.
General Manager Herberg further stated that the article seems to confuse the issue of
urban run-off after a rainstorm vs. treated discharge and he indicated that he had spoken
with the City of Los Angeles and Los Angeles County Sanitation Districts and there is
interest in putting together a letter to the editor style response to the article.
General Manager Herberg responded to questions from the Committee regarding:
location of bacteria, specific testing; and epidemiological studies and tests of the ocean
and shoreline which continually achieve the required standards. Mr. Herberg further
indicated that OCSD is confident that the bacteria could not withstand the treatment of
that the Orange County Water District performs; rather, the matter seems to be related to
the ocean and treatment facilities.
Director Teresa Smith arrived at 5:04 p.m.
REPORT OF DIRECTOR OF FINANCE AND ADMINISTRATIVE SERVICES:
Director of Finance and Administrative Services Lorenzo Tyner reported that the debt
refunding that was approved by the Committee last month was recently priced and will
result in savings to OCSD totaling $19 million dollars.
CONSENT CALENDAR:
1. APPROVAL OF MINUTES (Clerk of the Board)
MOVED! SECONDED AND DULY CARRIED TO: Approve Corrected Minutes of
the February 10, 2016 Administration Committee Meeting.
AYES:
NOES:
ABSTENTIONS:
ABSENT:
Choi, Curry, Ferryman, Katapodis,
Neugebauer, Nielsen, and T. Smith
None
None
Parker, Sebourn, and Tinajero
Kim, Kring, Mills,
2. APPOINTING A CLERK OF THE BOARD PRO TEM TO THE BOARD OF
DIRECTORS IN THE ABSENCE OF THE CLERK OF THE BOARD
03/09/16
(Clerk of the Board)
MOVED! SECONDED AND DULY CARRIED TO: Recommend to the Board of
Directors to:
Adopt Resolution No. OCSD 16-XX entitled, "A Resolution of the Board of
Directors of Orange County Sanitation District appointing a Clerk of the Board Pro
Tern to the Board of Directors; and repealing Resolution No. OCSD 07-23."
Administration Committee Minutes Page 2 of 5
AYES:
NOES:
ABSTENTIONS:
ABSENT:
Choi, Curry, Ferryman, Katapodis,
Neugebauer, Nielsen, and T. Smith
None
None
Parker, Sebourn, and Tinajero
Kim, Kring, Mills,
3. REPORT OF THE INVESTMENT TRANSACTIONS FOR THE MONTH OF
FEBRUARY 2016 (Lorenzo Tyner)
MOVED. SECONDED AND DULY CARRIED TO: Recommend to the Board of
Directors to: Receive and file the report of the investment transactions for the
month of February 2016.
AYES:
NOES:
ABSTENTIONS:
ABSENT:
Choi, Curry, Ferryman, Katapodis, Kring, Mills, Neugebauer,
Nielsen, and T. Smith
None
Kim
Parker, Sebourn, and Tinajero
4. DESIGNATION OF APPLICANT'S AGENT FOR DISASTER RELIEF
(Bob Ghirelli)
MOVED. SECONDED AND DULY CARRIED TO: Recommend to the Board of
Directors to:
Adopt Resolution No. OCSD 16-XX, entitled, "A Resolution of the Board of
Directors of the Orange County Sanitation District authorizing the General
Manager or Designee to Execute State Office of Emergency Services and/or
Federal Emergency Management Agency Documents and Relevant Permit
Applications for Present and Future Disaster Relief Applications; and Repealing
Resolution No. OCSD 11-03."
AYES:
NOES:
ABSTENTIONS:
ABSENT:
Choi, Curry, Ferryman, Katapodis,
Neugebauer, Nielsen, and T. Smith
None
None
Parker, Sebourn, and Tinajero
Kim, Kring, Mills,
INFORMATION ITEMS:
5. FY 2016-17 AND 2017-18 BUDGET UPDATE (Lorenzo Tyner)
03/09/16
Director of Finance and Administrative Services Lorenzo Tyner introduced Mike
White, Controller, who provided a PowerPoint presentation and an update on the
FY 2016-17 and 2017-18 budget including the four major categories that compose
revenues: fees & charges, general income, other/interagency, and debt proceeds.
Administration Committee Minutes Page 3 of 5
Mr. White responded to questions regarding: the definition of near term, debt
issuances; property values increases; new developments increase capacity
needs; and capital facilities capacity charges.
Mr. White indicated that interest revenue is difficult to project; however, Mr. Tyner
stated that this is of benefit as OCSD can borrow money more inexpensively as
well.
6. ENVIRONMENTAL SERVICES DEPARTMENT OVERVIEW (Bob Ghirelli)
Assistant General Manager Bob Ghirelli provided a PowerPoint presentation and
an overview of the Environmental Services Department. Mr. Ghirelli distributed
the recruitment flyer for the new Director of Environmental Services.
Director of Human Resources Celia Chandler stated a recruitment firm was not
used for this position due to sufficient resources and extensive advertising done,
which is resulting in a good number of qualified applicants. Staff confirmed that
the salary being offered for this role is very competitive and that the creation of this
position resulted from a recent retirement in a management position, so is a
reallocation of that vacancy and will not increase the management staff count.
Board Vice-Chair Sebourn arrived at 5:18 p.m.
7. ENERGY EFFICIENCY AUDIT FINDINGS (Ed Torres)
Director of Operations Ed Torres introduced Senior Engineer Gary Conklin who
provided an informative PowerPoint presentation and report of the energy
efficiency audit findings.
Director of Engineering Rob Thompson responded to questions regarding the cost
of replacing, and the advantages of LED lights and how it affects worker safety,
indicating that the LED light is whiter, more pleasant, and allows more clarity
In response to a question, Director of Operations & Maintenance Ed Torres
indicated that OCSD produces approximately 2/3 of the power required to run the
plant from the internal combustion engines that are generated from the solids that
are digested and turned into methane gas. He stated that the District continually
reviews current operations to be efficient as possible.
Director Tinajero arrived at 5:47 p.m.
CLOSED SESSION:
None.
03/09/16 Administration Committee Minutes Page 4 of 5
OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS,
IFANY:
Director of Finance and Administrative Services Lorenzo Tyner indicated that during the
recent debt issuance, OCSD's 'AAA' Credit Rating was reaffirmed by both Fitch Ratings
and Standards & Poor's which will allow OCSD to secure very attractive financing for
infrastructure improvements, reducing costs, and help to keep fees low.
ADJOURNMENT:
Committee Chair Curry declared the meeting adjourned at 5:51 p.m. to the next regularly
scheduled meeting of Wednesday, April 13, 2016 at 5:00 p.m .
Submitted by:
T(/1/-4/~
Tina Knapp
Deputy Clerk of the Board
03/09/16 Administration Committee Minutes Page 5 of 5