HomeMy WebLinkAboutMinutes 1951-06-13CONDENSED MINUTES OF THE JOINT F’~ETING~OF
BOARDS OF DIRECTORS,COUNTY SANITATION DISTRICTS
ORANGE COUNTY,CALIFORNIA
June 13,1951
Board of Supervisors’Room,Court House
Santa Aria,California
ROLL CALL
DISTRICT NO.1 NO QUORUM
~irec€ors present:C.M.Featherly.
Directors absent:Courtney R.Chandler (Chairman)and J.L.McBride
DISTRICT NO.2
Directors present:Robert H.Boney (Chairman),Hugh W.Warden,
I)on B.Haiber,Willard Smith,Charles E.
Stevens,William H.Hirstein,Anton W.Wilson,
Wil].is II.Warner,Ralph J.McFadden and Frank
J.Schweitzer,Jr.
Directors absent:None.
D]:STRICT NO.3
Direc~ors present:Hugh W.Warden (Chairman),Charles Newson,Ralph
J.McFadden,Willis H.Warner,C.R.Miller and
A.C.Earley.
Directors absent:Joseph Webber.
DISTRICT NO 5
Directors pF’~ent:Braden Finch (Chairman),Ross Greeley and
Heinz Kaiser.
Directors absent:None.
DISTRICT NO.6
Directors present:Heinz Kaiser (Chairman pro tern)and }3raden
Finch.
Directo~s absent:C.M.Nelson (Chairman).
DIST~ICT NO.7 NO QUORUM
Directors present:Willard Smith and Heinz Kaiser.
Directhrs absent:Vincent L.Humeston (Chairman)and 1.L.McBride.
DISTRICT NO.S
~irectors present Emerson B.Milnor (Chairman),Heinz Kaiser and
Harold E.Edwards.
Directprs ~h~pt;NQfle.
~TRICT_NO~4~
~Lrp~tq~pre~en~.ç W~]~ie -~.Warner (Chairman),Jack Greer ~i
Verpq~~4r~g~nbeck.
Directors absent:None.
Other~~Ne~~ç~iti M.Laun~r,m~nI~v~t~ye ç)ffic~
N~t H.Neff,Engineer
K.J.Harrison,En~ineer
J.A.Woolley,Engineer
C.Arthur Nisson,Attorney
Ora Mae Merritt,Secretary
Chairman Finch called the joint meeting of the District I3oardn
to order at 5:15 p.m.
The roll was called and the Secretary reported a quorum present
for all Boards except Districts Nos.1 and 7.
A motion was made by Director }Jraden Finch,duly seconded and
carried,appointing Director Heinz Kaiser Chairman pro tern of t;he
Board of Directors of County Sanitation District No.6.
MINUTES OF A motion was made,duly secondec1 and
M~TING OF carried,by the Boards of Districts
MAY 9,1951 Nos.2,3,5,6,~and 11,aporoving
the minutes of the meeting held on
May 9,1951,as mailed out.
JOINT ADMINISTRATIVE A motion was made,duly seconded and
WA~tt~a~hT DEMANDS carried,by the Boards of Districts
Nos.2,3,5,6,and 11,approving
the Joint Administrative Warrant Register covering:
Warrant
Demand
No.In Favor Of Amount
JA—25~Bales Office I~quipment Co.~1.24.
259 Santa Ama Trypewriter Co.15.00
260 Orange County Stamp Co.2.54
261 The Pacific Telephone &Telegraph Co.63.55
262 Ora Mae Merritt 3.4.5
263 City of Santa Ana 90.93
264 E.J.Marks and Adrian Marks 275.00
265 Kleen-Line Corporation 3.b2
~4.55.3~
ADMI~ISTRATIVE Nelsop M.~aw1er,Ada ini~~tra~ive Officer,
OFFICE~R’S R~F0RT reported tha~a check hadbeen rade with
the consulting engineers,and that thE
fei].owing time schedule has been set up:
Modification:Plans to be completed by the consulting
engineers by July 15,1951.
~~gineering:30 days for bids on the marine exploration
i~ork for the ocean outfall.
60 days for the marine exploration ~ork.
90 days for design of the ocean outfall.
Total •~months,bringing the engineering ~chedu1
to the first of the coming year.
90 days for making up contracts and calling
for bids
Total 9 months
Date Construction During the above nine-month period,the
1Jou1dSta~design and specifications for t;he plant
and trunk lines could be completed,
bringing the time schedule to April 1,1952,at which tini~
the work could be started on the ocean outfall and the
plants.
~~ga1 Work The contracts are now a].1 completed by
the attorneys and Judge Marks advises
these contracts have been approved by Mr,Lindinan of
the law firm O’Melveny &Myers,bond attorneys.
However,the Joint Construction and Operation
Agreement will perhaps have major changes due to the
modification plans now being prepared by the consulting
engineers.As the other contracts are to be signed at
the same time the Joint Construction and Operation
Agreement is executed,these contracts should all be
held up until it is known what revisions will have to
be made in the Joint Construction and Operation
Agreement.
—2—
Budgets Estimates on the Joint Adrninistrutive
budget are being prepared.The
County Auditor desires to have all budgets by July 10th
for checking.Each Director will be furnished a copy
of the budget for the district or districts he represents
and a copy of the Joint Administrative budget.However,
before these budgets can be prepared,it is necessary
that the District Boards contemplating special expendi
tures from their operatingfunds,such asengineerin~,
lega].,etc.,should submit the estimates of such expendi
tures for the fiscal year 1951-52 by June 25~1951 so
that the budgets can be prepared,tax rates set up ly
July 10th,and final budgets presented to the District
Boards for approval at the regular meeting to be held on
July 25,1951.
Preparation For Work has been in progress for the past
Sale Of Bonds 60 days to accumulate data on the over
lapping bond indebtedness.The over
lapping bond indebtedness for the County has now been
completed by the County Auditor’s Office and the bdlance
of the data will be compiled in the Joint Administrative
Office.
The financial data required by the bond departments
of the Bank of America and the Security-First National
Bank have been dipcussed,with representatives of these
two banks.The representative of th€~Security-First
National Bank has a~vised that the data we wi1~have
available on overlapping bond indebtedness and the
approv~.~the bond attorneys,O’Melveny &Mycrs,and
a report from the California Municipal Statistics,Inc.
will be sufficient information for them to base their
bids upon.He advised the California Municipal Statistics.
Inc.will furnish them required.infornatinn on over
lapping bond indebtedness and no fee to this firm shuuld
be paid by the County Sanitation Districts.We have
written to the California Municipal Statistics people
offering them our cooperation and requesting that they
advise what information they will require from us.
Mr.Goodrich of the Bank of America’s Head Oi’fi.ce
in Los An~e1es brought out several new points in a
lengthly conference the Administrative Officer had
with h~m on Juno 12th.Mr.Goodrich stated that the
bond market for the past several months has shown a
definite rise in interest rates on this type of bonds.
He advocated,in order to get the most favQrable rates,
that data be presented to Dun and Bradstreet arid Moody’s
for o~tainirig the highest rating on the bonds,as they
are national organizations and that bonds of this type
receive more favorable rates in the New York bond rnsrfrr~ts.
The Bank of America has just financed a bond issue for
San Diego in which they have five agencies listed for
collection.There are five such agencies in New York
and two in California who act as co1lectin~agencies,
the fee being 5ç~per coupon for the first 140,000
and a more favorable fee for larger amounts.‘The Bank
of America also recommended selling the entire issue
at the present time to secure the best rate of interest
and depositing the excess money in the bank or prevail
ing Treasury A bonds;the bank would pay 1-1/4%in
terest but would require reciprocal amounts of deposit
from Orange County.As this would be practically
impossible for Orange County,Mr.Goodrich suggested
that the best method,therefore,seems to be to pur
chase Series A Treasury bonds which can be cashed in
at any tine and would bear interest at the rate of
1.44%for the first six months and increasing rates
up to l.~d%at the end of three years.
Mr.Goodrich stated that the Bank of America’s
requirement of financial data is relative simple:a
map of each district and an analysis sh~zing the
cities and districts within it and their financial
statements on bonds issued.
—3—
Payment of There will be annual payments of prin
Principal and cipal and semiannual payments on interest
Interest on bonds on the bonds assumed by the Agreement for
Purchase and Sale from the cities of
Anaheim and Orange.In order to transfer sufficient funds
to make these payments on time,the County Auditor recom—
mends that the Administrative Officer be delegated authority
to request transfer of funds from the Operating Funds of
Districts Nos.2,3,5,6,7 and 11 to the Operating Fund
of District No.1 for these payments.
At the request of Chairman Finch,the Secretary
read the motions recommended by Mr.Launer.
Inventory The inventory of personal property as
set forth in paragreph 10 of the agreement
for Purchase and Sale,is now under way.There was a great
deal more work on this inventory than had been anticipated,
but the ~iork should be completed by next Wednesday.This
jn\rentory will also be included in the Joint Construction
and Operation Agreement.
REPO)~T OF THE Robert H.Boriey,Chairman of the Executivc
CH~IitMaN OF THE Committee reported that this Committee had
,~X1~CUTIVE C0J~T4ITTEE met with Messrs.Carollo,Hari.ison and
Woolley of the consulting engineering finns
on May 31st.The cons~ilting engineers reported:
1.Their studies of future population .~or all Districts
show ~he estimated future population considerably
lower than the figures in the Bacon report.
2.They estimated per capita sewage flow somewhat higher
than shown in the Bacon report.
3.They had worked on seven different modification plans.
4.The plan which seemed the most feasible in every vt~y
would also save some 3400,000 to $500,000 on tho
overall project.This plan would involve:
(a)A 60”line parallel to the present 4d”line,
instead of an ~4”line down Bushard Stro~t,
as propesed in the Bacon reports.-
(b)Use of two plants,which would include:
The present plant and an addition ther’to.
An additional plant at the ic~or end,with
clarifiers and primary treatment.The
lower plant would require about JO acres
of land,which would provide for the p].ant
and concealing landscaping.
That this plan would fully use the present plant and also
provide for future water reclamation If that should become
desirable.It would also allow chioriration at either the
upper or lower plants.And that the consu].ting engineers ad
vise the report on this modified plan could he completed by
June 21st.
Mr.Boney reported that at the Executive Committee meeting
held on May 31st the unanimous recommendation was made that
the Secretary’s salary be increased from $250.01)per month to
$300.00 per month.
Mr.Boney then called upon Mr.Harrison for further comment
upon the engineers’progress on the modification plans.
Mr.Harrison stated that they were not in a position to
make any definite commitments on the modification plans yet,
-4-
but so far,had found nothing that would suggest a change
from the plan as outlined by Mr.Boney.The Bushard line,
as proposed in the Bacon report,is very large;placing a
60”].ine parallel to the 4~”line would account for a great
saving.Mr.Harrison stated that they had given considerable
thought to future water reclamation which could be taken
care of very readily by the additions to the upper plant;
the Magnolia and Euclid trunks have been so designed to make
possible segregation of salt brine,oil wastes and other
chemicals or effluents which would be detrimental to re
claimed water and non~salvàblc.wastes could be discharged
into the ocean outfall.
After a general discussion,a notion
was made,duly seconded and carried
by the Boards of Directors of County
Sanitation Districts Nos.2,3,5,
6 and 11 authorl sing the Administrative
Officer or General Manager to instruct the County Auditor by
letter to make transfers of funds to County Sanitation District.
No.1 Operating Fund from the Operating Funds of County Duni
tation Districts Nos.2,3,5,6,7 and 11 sufficient amounts
to pay the proportionate s}~’es of Districts Nec.2,3,~,6,
7 arid 11 of principal and interest installments as they
become due on the City of Anaheim bonds which were assumed
by County Sanitation Districts Nos.1,2,3,5,6,7 and 11
under the Agreement for Purchase and Sale executed Februaiy
2~,1951,as authorized by Resolution No.55 and adopted by
each of the Boards ci’these Districts.
Transfer p.~’funds to be made from the Operating Funds
of Districts Nos.2,3 ,5,6 ,7 and 11 to the Operatimp,
Fund of County Sanitation District No.1 for payment.fro.,~
that Fund to the City of i~naheim the aiourits of principal
and interest as they become due and to be computed in thu
following percentages:
2
3
5
6
7
I,II
A motion was made,duly seconded and carried by the
Boards of Directors of County Sanitation Districts Nos.2,3,
5,6,and 11,authorizing the Administrative Officer or the
General Manager to instri,ict the County Auditor by letter
to make transfers of funds to County Sanitation District No.
1 Operating Fund from the Operating Funds oP County Sani
tation District.s Nos.2,3,5,6,7 and 11 sufficient amoun1..s
to pay the proportionate shares of Districts Nos.2,3,5,6,
7 and 11 principal and interest installments as thuy-become due
on the City of Orange bonds which were assumed by County San!
tation Districts Nos.1,2,3,5,6,7 and 11 under the i~gree
ment for Purchase and Sale,executed February 2~,1951,as
authorized by Resolution No.55,and adopted by each of the
Boards of these Districts.
Transfer of funds to be made from the Operating Funds
Districts Nos.2,3,5,6,7 and 11 to the Operating Fund
County Sanitation District No.1 for payment from that Fund
the City of Orange the allounts of principal and interest
they become due and to be computed in the following percent-
TRANSFER OF FUNDS
FO~P~YM~’NTS ON
ORANGE ~ND
ANAHEIM BONDS
Transfer
From Operating
Fund Of
County Sanitation District No.
I,II TI 1?
II II
II
I,
%of Principal and/or
Interest Installment
When Due
TI
I?
I,
25.35%
15.41%
4.51%
11.52%
19.46%
2.99%
of
of
to
as
ages:
—5—
Transfer From
Operating Fund
Of
No.2
I,3
,,5
ti 6
tt 7
H
%of Principal and/or
Interest Installment
When Due
25.35%
15.41%
4.51%
11.52%
19.46%
2.99%
A motion was made,duly seconded and
carried by the Boards of Directors of
County Sanitation Districcs Nos.2,3,
5,6,~and 11 that the salary of
Ora Mae Merritt,Secretary of the Joint Administra~ive
Organization,Secretary of each of the Boards of
Directors of County Sanitation Dist;ricts Nos,1,2,
3,5,6,7,d and 11,arId Secretary of the ~xecutive
Committee,be raised from ~25O.OO per month to ~3~)u.Ci0
per month;said salary of ~3OO.OO per month to become
effective as of June 1,1951.
A motion was made by Director Willis H.
Warner,seconded by Director Itaipli J.
McFadden and duly carried by Boerd rnepbers
present,approving for signature and pay
ment District No.2 Operating Fund Warrant Register,covering:
Wa r rant
Demand
No.
2-73
74
75
76
77
7d
79
do
E~1
3—52
53
51+
55
56
57
5~
59
In Favor Of
Robert H.Boney
Hugh W.Warden
Don B.Haiber
Frank J.Schweitzer,Jr.
Ralph J.McFadden
Willard Smith
Charles E.Stevens
Willis H.Warner
William Hirstein
Anton W.Wilson
Robert H.}3oney
A.C.Earley
C.R.Miller
Charles Newson
Joseph Webber
Hugh W.Warden
Ralph J.McFadden
Willis H.Warner
Hugh W.Warden
Amount
~33.60
l7~25
34.50
24.50
17.25
17 .03
32 •93
12.10
32.25
34.2d
4.dO
260./.~
iT~mount
$24.E~O
21.~,0
36.75
23 .90
17.25
17.25
12.10
6.(JO
County Sanitation District
IT H It
I,It
It
‘I
‘I
SECRETARY’S
Si~LARY
DISfRICT 1’O.2
OPERATING FUND
WAFLItAN T RJ.~GI STER
DISTRICT No.3
OPEIt~~TING FUND
WARRANT REGISTER
riot No.3 Operating
~1arrant
Demand No
A notion was made by Director C.R.Mil1~r,
seconded by Director Ralph J.McFadden,
and duly carried by Board members present,
approving for signature and payment Dist
Fund Warrant Register covering:
In Favor Of
-6-
DISTRICT NO.5
OPERATING FUND
WARRANT Ri~GISTER
of County Sanitation
and payment District
cov~riflg:
A motion was made by Director Ross
Greeley,seconded by Director Heinz
Kaiser and unanimously carried by
the members of the Board of Directors
District No.5,approving fcr signature
No.5 Operating Fund Warrant Register
Want
))emari d
No.
5-45
46
47
49
Braden Finch
Heinz Kaiser
Ross Greeley
Braden Finch
harry Ashton
Amount
$17.47
5.02
35.40
6 •60
75.00
A motion was made by Director Braden
Finch,seconded by Director H~inz
Kaiser and duly carried by roeinb:rs
present of the Board of Direciors of.
County Sanitation District No.6,approving for signeture and
payment District No.6 Operating Fund Warrant R0gister,cover
ing:
Warrant
Demand
_~~Q~L~_In Favor of i:lOUIit
4I~17 •
33.60
2.40
1.65
75.00
31.25
~167.21
A motion was made by Director Harold E.
Edwards,seconded by Director Heinz
Kaiser and unanimously carried by members
of the Board of Directors of County Sani
tation District No..~,approving for signature and payment
District No.d Operating Fund Warrant Register covering:
warrant
Den~a rid
No.In Favor Of
Heinz Kaiser
Emerson B.Mimer
Harold E.Edwards
JoirLt .~dministrative Fund of County
Sanitation Districts Nos.1,2,3,5,6,7 and
11
An ow t
$5.03
30.55
39.L~.5
i0O.v~
~T~3~
A motion was made by Director Jack Greer,
seconded by Director Vernon ~.Langenbe~~k
and unanimousl.y carried by members of thr
Board of Directors of County SaniLation
1)istrict No.11,approving District No.11 Operating Fund
Warrant I~egister for signature and payment,dovering:
In Favor Of
DISTRICT NO.6
OPERATING FUND
WARRANT REGI STER
6-49
50
51
52
53
54
55
Braden Finch
Heinz Kaiser
C.II.Nelson
C.M.Nelson
Heinz Kaiser
Harry Ashton
Francis H.Bulot
DISTRICT NO.d
OFER~iTING FUND
WARRANT REGISTER
0—32
33
34
35
DISTRICT t~O.11
OPER~&TING FUND
.JAIfl~.f~NT REGISTER
-7—
Warrant
Demand
No.In Favor Of Amount
11—31 Willis H.Warner ~12,10
32 -Vernon E.langonbeck 36,30
33 Jack Greer 36.30
34 Willis H.Warner 6~O
~~Lo~
The Chairman declared the joint meeting of the district boards
adjourned at 9:35 p.m.
O~z ~/2L~V?~
Secrot-iry (
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