HomeMy WebLinkAbout02-13-2019 Administration Committee MinutesMINUTES OF THE
ADMINISTRATION COMMITTEE
Orange County Sanitation District
Wednesday, February 13, 2019 at 5:00 P.M.
A regular meeting of the Administration Committee of the Orange County Sanitation
District was called to order by Committee Chairman Wanke on February 13, 2019 at
5:01 p.m. in the Administration Building of the Orange County Sanitation District.
Chairman Wanke led the Flag Salute.
A quorum was declared present as follows:
COMMITTEE MEMBERS PRESENT:
Chad Wanke, Chairman
Richard Murphy, Vice-Chairman
James Ferryman
Cecilia Iglesias (Alternate)
Peter Kim
Mark Murphy (Alternate)
Steve Nagel
Andrew Nguyen
Glenn Parker
Erik Peterson
David Shawver, Board Chairman
John Withers, Board Vice-Chairman
COMMITTEE MEMBERS ABSENT:
Donald P. Wagner
PUBLIC COMMENTS:
None.
REPORTS:
Chair Wanke did not provide a report.
STAFF PRESENT:
Jim Herberg, General Manager
Rob Thompson, Assistant General Manager
Lorenzo Tyner, Assistant General Manager
Celia Chandler, Director of Human Resources
Kelly Lore, Clerk of the Board
Jennifer Cabral
Rhea De Guzman
Al Garcia
Ddaze Phuong
Rob Michaels
Kathy Millea
Adam Nazaroff
Tyler Ramirez
Wally Ritchie
John Swindler
Thomas Vu
OTHERS PRESENT:
Brad Hogin, General Counsel
Bill Dennehy, Chandler Asset Management
General Manager Jim Herberg reminded the Committee of the upcoming Special Board
meeting on February 20 , 2019 at 3:00 p.m . for the purpose of Board Orientation. He also
introduced the new Sanitation District Controller, Wally Ritchie.
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Mr. Herberg introduced Assistant General Manager Rob Thompson who provided a brief
update on a minor spill at the Sanitation District's Main Street Pump Station in Irvine.
Mr. Thompson stated that staff had contained the spill and was in the process of
assessing the situation and necessary repairs. He estimated that approximately
20 gallons entered the storm drain. Mr. Thompson stated he is working closely with IRWD
to reduce their flow and has notified all affected agencies of lane closures and other
impacts.
CONSENT CALENDAR:
1. APPROVAL OF MINUTES (Clerk of the Board)
MOVED, SECONDED, AND DULY CARRIED TO: Approve Minutes of the
December 11 , 2018 Administration Committee Meeting.
AYES: Ferryman, Kim, R. Murphy, Nagel, Nguyen, Parker, Peterson,
Shawver, Wanke and Withers
NOES: None
ABSTENTIONS: M. Murphy (Alternate)
ABSENT: Iglesias (Alternate) and Wagner
2. DESIGNATION OF APPLICANT'S AGENT FOR DISASTER RELIEF
(Lorenzo Tyner)
MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of
Directors to : Adopt Resolution No. OCSD 19-XX, entitled , "A Resolution of the
Board of Directors of the Orange County Sanitation District authorizing the General
Manager, or either one of the Assistant General Managers, 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 16-08."
AYES: Ferryman , Kim , M. Murphy (Alternate), R. Murphy, Nagel,
Nguyen , Parker, Peterson, Shawver, Wanke and Withers
NOES: None
ABSTENTIONS: None
ABSENT: Iglesias (Alternate) and Wagner
3. ENGINEERING AND GIS CONSUL TING SERVICES SPECIFICATION NO.
CS-2018-982BD (Lorenzo Tyner)
MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of
Directors to :
A. Award a Professional Consultant Services Agreement to Psomas for
Engineering and Consulting services, Specification No. CS-2018-982BD,
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for a total amount not to exceed $319,080; and
B. Approve a contingency of $31 ,908, (10%).
AYES: Ferryman , Kim , M. Murphy (Alternate), R. Murphy, Nagel,
Nguyen , Parker, Peterson, Shawver, Wanke and Withers
NOES: None
ABSTENTIONS: None
ABSENT: Iglesias (Alternate) and Wagner
4. DEFERRED COMPENSATION ADVISORY COMMITTEE'S NOTIFICATION OF
VENDOR SELECTION (Lorenzo Tyner)
MOVED, SECONDED, AND DULY CARRIED TO:
A. Award a Professional Consultant Services Agreement to NFP Retirement,
Inc. (NFP) to provide Deferred Compensation Program 457(b) Investment
Consulting Services, Specification No. CS-2018-973-R, for a term of three
years, in an amount not to exceed $160,000 for the period beginning
April 1, 2019 through March 31, 2022, with two one-year renewal options;
and
B. Approve a contingency of $16 ,000 (10%)
AYES: Ferryman, Kim, M. Murphy (Alternate), R. Murphy, Nagel,
Nguyen, Parker, Peterson, Shawver, Wanke and Withers
NOES: None
ABSTENTIONS: None
ABSENT: Iglesias (Alternate) and Wagner
5. GENERAL MANAGER APPROVED PURCHASES AND ADDITIONS TO THE
PRE-APPROVED OEM SOLE SOURCE LIST (Lorenzo Tyner)
MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of
Directors to:
A. Receive and file Orange County Sanitation District purchases made under
the General Manager's authority for the period of October 1, 2018 to
December 31 , 2018; and
B. Approve the following additions to the pre-approved OEM Sole Source List
for the period of October 1, 2018 to December 31 , 2018:
AYES:
• POL YCHEM (BRENTWOOD) -Sludge Collection System Parts and
Components
• HYDRO GATE -Weir Gates and Parts
NOES:
Ferryman, Kim , M. Murphy (Alternate), R. Murphy, Nagel,
Nguyen, Parker, Peterson, Shawver, Wanke and Withers
None
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ABSTENTIONS: None
ABSENT: Iglesias (Alternate) and Wagner
6. MID-YEAR CONSOLIDATED FINANCIAL REPORT FOR THE PERIOD ENDED
DECEMBER 31, 2018 (Lorenzo Tyner)
MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of
Directors to: Receive and file the Orange County Sanitation District Mid-Year
Financial Report for the period ended December 31 , 2018.
AYES: Ferryman, Kim , M. Murphy (Alternate), R. Murphy, Nagel,
Nguyen, Parker, Peterson , Shawver, Wanke and Withers
NOES: None
ABSTENTIONS: None
ABSENT: Iglesias (Alternate) and Wagner
Committee Chair Wanke announced that the Information items would be heard prior to
the Non-Consent items.
INFORMATION ITEMS:
Alternate Director Cecilia Iglesias arrived at the meeting at 5: 13 p. m. during the
informational presentations.
9. RESERVES AND INVESTMENTS POLICIES (Lorenzo Tyner)
Assistant General Manager Lorenzo Tyner provided a PowerPoint presentation
regarding the Sanitation District's Reserves and Investments, focusing on the
seven non-discretionary and discretionary reserve criteria. He then provided
information on the three investment objectives of the District.
10. INVESTMENT PERFORMANCE RES UL TS (Lorenzo Tyner)
Mr. Tyner introduced Bill Dennehy, Sen ior Portfolio Manager from Chandler Asset
Management, who provided a PowerPoint presentation which included an
overview of their firm , an economic update, and our account profile. Mr. Dennehy
and Mr. Tyner responded to questions from the Committee.
NON-CONSENT:
7. TRANSFER 8.5 MILES OF SEWERS TO THE CITY OF SANTA ANA
(Lorenzo Tyner)
Mr. Tyner provided a brief introduction to the item , stating that this item was
approved by the City of Santa at their recent Council meeting.
MOVED , SECONDED, AND DULY CARRIED TO: Recommend to the Board of
Directors to:
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A. Approve a Quitclaim Sewer Transfer Agreement between Orange County
Sanitation District and the City of Santa Ana;
B. Approve Quitclaim Deed to the City of Santa Ana transferring ownership
and associated property rights for sewers; and
C. Authorize a transfer of $23,229,000 to the City of Santa Ana for projected
necessary repairs due to the age and condition of the facilities.
AYES: Ferryman, Iglesias (Alternate), Kim , M. Murphy (Alternate),
R. Murphy, Nagel, Nguyen, Parker, Peterson, Shawver, Wanke
and Withers
NOES: None
ABSTENTIONS: None
ABSENT: Wagner
8. CONSIDERATION OF BUDGET ASSUMPTIONS AND BUDGET CALENDAR
FOR PREPARATION OF THE FY 2019-20 BUDGET UPDATE (Lorenzo Tyner)
Mr. Tyner introduced Controller Wally Ritchie who provided a PowerPoint
presentation that outlined budget development assumptions, detailing: rates , plant
operations, staffing level expectations, Capital Improvement Program, debt
financing , budget summary, and key meeting dates for the budget preparation.
Mr. Ritchie and Mr. Tyner responded to questions from the Committee regarding
the useage of the reserves .
MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of
Directors to: Approve the FY 2019-20 budget assumptions and direct staff to
incorporate these parameters in preparing the FY 2019-20 budget update.
AYES:
NOES:
Ferryman, Kim , M. Murphy (Alternate), R. Murphy, Nagel,
Nguyen, Parker, Peterson, Shawver, Wanke and Withers
None
ABSTENTIONS:
ABSENT:
CLOSED SESSION:
Iglesias (Alternate)
Wagner
(1) CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code Section 54956.8)
The Board convened in closed session at 5:45 p.m. to discuss one item. Confidential
minutes of the Closed Sessions have been prepared in accordance with the above
Government Code Section and are maintained by the Clerk of the Board in the Official
Book of Confidential Minutes of Board and Committee Closed Session Meetings.
RECONVENED IN REGULAR SESSION:
The Board reconvened in regular session at 5:54 p.m.
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CONSIDERATION OF ACTION, IF ANY, ON MATTERS CONSIDERED IN CLOSED
SESSION:
General Counsel Brad Hogin did not provide a report.
DEPARTMENT HEAD REPORTS:
None.
OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS,
IFANY:
Board Chair Shawver acknowledged the appointment of Director Richard Murphy as the
Administration Committee Vice-Chair. He also reminded the Committee to attend the
Board Orientation next week.
ADJOURNMENT:
Committee Chairman Wanke declared the meeting adjourned at 5:56 p.m. to the next
regularly scheduled meeting of Wednesday, March 13 , 2019 at 5:00 p.m.
Submitted by:
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