HomeMy WebLinkAboutMinutes 1983-06-09COUNTY SANITATION DISTRICT NO.6
OF ORANGE COUNTY,CALIFORNIA
MINUTES OF ADJOURNED REGULAR MEETING
June 9,1983 —7:30 P.M.
77 Fair Drive
Costa Mesa,California
pursuant to the adjournment of the regular meeting of June 8,1983,the Board of
Directors of County Sanitation District No.6 of Orange County,California met in an
adjourned regular meeting at the above hour and date in the Costa Mesa City Hall Council
Chambers.
The Chairman called the meeting to order at 7:30 p.m.The roll was called and the
Secretary reported a quorum present.
DIRECTORS PRESENT:Elvin Hutchison,Chairman,Ruthelyn Plummer
DIRECTORS ABSENT:Roger Stanton
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STAFF MEMBERS PRESENT:J.Wayne Sylvester,Assistant General Manager,
William H.Butler,Secretary,Thomas M.Dawes,
Rita Brown,Ray Young
OTHERS PRESENT:Thomas L.Woodruff,General Counsel,Erma A.
Batham,Joe DeCarlo,David Dvorak,John Harris,
Jack Keenan,George Mason,John W.McCray,
Rita Nugent,Gail Pickart,Jo~eph Reilly,
Steven Riddle,Jean Robins,Allen Schwalbe,
Richard Seward,Sidney Soffer,Harvey
Weisinger,Andrew Whitney,Bruce Mattern,
Florine Reichie,Bob Oman,Rob Haymers
Public Hearing on proposed The Chairman declared the hearing on
Ordinance No.607 Establishing Ordinance No.607,An Ordinance of the Board
Sanitary Sewer Service Charges of Directors of County Sanitation District
No.6 of Orange County,California,
Establishing Sanitary Sewer Service Charges,and the County Sanitation District No.6
Sewer Service Charge Report for Fiscal Year 1983—84,open at 7:30 p.m.
The Assistant General Manager reported that this was the time and the place noticed
for the purpose of receiving a written report pertaining to the providing of sewer
service for all properties within the District and to consider Ordinance No.607 to
establish a fixed service charge to be collected on the property tax roll for the
1983—84 fiscal year.
Official notice of this hearing (held jointly with a public hearing of the Costa Mesa
Sanitary District)for the purpose of establishing sewer service charges,was mailed
on May 23,1983,to over 27,000 property owners of record on the last equalized
assessment roll of the County of Orange,in accordance with the provisions of Section
5473.1 of the California Health and Safety Code.
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District 6
June 9,1983
As prescribed by law,a legal notice of the hearing was publi~hed in the Orange Coast
Daily Pilot on May 17,1983 and again on May 25,1983.In addition,~advertisements
describing the proposed sewer service fees and announcing the~public:workshops and
hearing were published in the Daily Pilot on May 23,26 and 31,l983~,and in the
Costa Mesa News on May 25 and June 1,1983.News releases weje a1so~provided to the
press on May 23,1983.
The Assistant General Manager then described other staff effo~ts to inform the public
of the proposed sewer service fee program,including:
—Three public workshops as follows:
No.1 —On May 31 in the Costa Mesa City Council Char4bers
Attendance:26
•No.2 —On June 2 in the Costa Mesa City Hall Council Chambers
Attendance:26
No.3 —On June 6 at the Neighborhood Community Center on Park Avenue
Attendance:35
—Meeting with the Board of Directors of the Costa Mesa Chamber of Commerce on
May 17th;Attendance:11
—Letters mailed to the presidents of the 14 homeowner associations in the City
of Costa Mesa.
—Contact with the presidents and/or program directors of~several professional
and service clubs in the District and offering to speàk~to their membership,
including the Lions,Kiwanis,Rotary,Optimists and the~Newport—Costa Mesa
Board of Realtors.
Mr.Sylvester reported that the purpose of the hearing was to consider a resolution
of the serious financial problems faced by District No.6.He!repor1~ed that there
were three major reasons for these financial problems.First,!District No.6 has an
old sewer system which is in need of major rehabilitation.Sebond,operating costs
have increased~dramatically over the past several years due to!factors beyond the
control of the Districts,such as,skyrocketing energy costs,~sca1ating inflation,
and more stringent treatment requirements imposed by Federal and State agencies.
Finally,the District’s revenues have decreased by over 60%sihce 1978.
Following a brief slide presentation depicting the issues facing the District,Mr.
Sylvester summarized the public commentary to date which dealt!primarily with the
issues of:
—Proposition 13 and the issue of tax vs.fee
—The equitability of the proposed system of charges
—Whether or not the proposed fees would be used to pay fOr sewe~rs to
accommodate growth
—The relationship of the local sewer system operated and~mainta~ined by the
Costa Mesa Sanitary District and the regional system of County Sanitation
District No.6
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June 9,1983
He also reported that 512 of the response cards attached to the mailed notice of the
hearing were returned.
—161 property owners indicated that their properties were not connected or they
were unsure whether their properties were connected to the local sewer system
—213 owners questioned the accuracy of the data upon which their charge was
based or the calculation of the charge
—12 owners advised of a change in ownership
—19 owners questioned the Proposition 13 issue
—91 owners merely returned the card with rio response
—16 owners had miscellaneous comments
—2 owners sent in checks in payment of the fees
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The Districts staff also received 205 telephone calls asking the same kinds of
questions raised at the public workshops.
The Assistant General Manager then addressed each of the issues raised in the public
meetings.He explained the role of the District as an operating utility providing an
essential service necessary for the protection of the public health and safety,and
indicated that the District was established solely to provide wastewater collection,
treatment and disposal services to the community.Mr.Sylvester fu,rther explained
that while the District has always had the statutory authority to levy a sewer
service fee,it had historically financed its operations,maintenance and
rehabilitation activities from the property tax.The 60%reduction in tax revenues
resulting from the passage of Proposition 13 and its implementing legislation
combined with higher energy costs,the effects of high inflation over the past
several years,and more stringent treatment requirements mandated by Federal and
State regulatory agencies have resulted in operating deficits for the District.
He indicated that the proposed sewer service fee is based upon usage of the sewer
system,whereas property taxes are based upon the value of the property and have no
direct relationship to use,and further pointed out that it was the Board’s declared
intent that the fee be as equitable as possible,all factors considered.Mr.
Sylvester also explained that the reason for collecting the fee on the property tax
bill is that it is the most cost—effective billing and collection method available,
and results in lower costs to each property owner.
The Assistant General Manager and the General Counsel highlighted the appeal process
available to all property owners to allow for an adjustment of fees in the event of a
demonstrated inequity,and stated that property owners had been encouraged to send in
the postcards attached to their notices to initiate staff evaluation of any problems
perceived by the property owner.
Mr.Sylvester then outlined recommended adjustments to the proposed District fee
schedule published in the notice.The downward adjustments in the proposed fees for
small apartments with only one bathroom facility that had been converted to
condominiums and for commercial operations such as warehouses which have limited
sewer usage were developed based upon public comments made at the three workshops.
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District 6
June 9,1983
Following the staff report,the Secretary reported that four formal communications
regarding the proposed sewer service fee had been received,wI-~ereupon it was moved,
seconded and duly carried:
That the following written communications regarding proposed sewer service charges,
be,and are hereby,received and ordered filed:
—Letter dated May 26,1983,from Mr.&Mrs.C.E.Duvall of 1168 Atlanta Way,
Costa Mesa
—Letter dated June 1,1983,from Security Pacific National Bank of 600 Wilshire
Boulevard,Los Angeles
—Letter dated June 6,1983,from Mr.Joseph W.DeCarlo of 2024 Balearic Drive,
Costa Mesa
—Letter dated June 7,1983,from Mr.W.K.Patrick of 2198 Pacific Avenue,
Costa Mesa
The Chair then recognized the following persons who addressed the Board regarding the
proposed sewer service charges:
Jack Keenan Harvey Weisinger
David Dvorak Erma Batham
Joseph Reilly Andrew Whitney
Allen Schwalbe John W.McCray
John Harris Joe DeCarlo
George Mason Rita Nugent
Gail Pickart Richard Seward
Sidney Soffer Steven Riddle
Jean Robins
Each addressed the Board and expressed opposition to the propo~sed service charge,the
reasons therefor being those previously summarized by staff from the public meetings.
Following responses to the public oral comment by Directors,counsel and staff,the
Chairman declared the hearing closed at 10:58 p.m.
Adopt a finding that the majority Moved,seconded and duly carried:
of property owners have not
protested the proposed sewer That the Board of Directors do hereby find that
service fee a majority of the owners!of the property,which
is the subject of the Se~.ier Service Charge
Report for Fiscal Year 1983—84,have not protested said sewer service charge.
Receive,file and adopt Sewer Moved,seconded and duly~carried:
Service Charge Report for Fiscal
Year 1983—84 That the County Sanitation District No.6 Sewer
Service Charge Report fo~r Fiscal Year 1983—84,
be,and is hereby,received,ordered filed and adopted.
Second reading of proposed Moved,seconded and duly1 carried:
Ordinance No.607
That Ordinance No.607,An Ordinance of the ~IIJJ~
Board of Directors of County Sanitation District No.6 Establishing Sanitary Sewer
Service Charges,be read by title only;and
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June 9,1983
FURTHER MOVED:That the second reading of said ordinance in its entirety be,and is
hereby,waived;whereupon the Secretary read Ordinance No.607 by title only.
Adopting Ordinance No.607 Moved,seconded and duly carried by the
following roll call vote:
That Ordinance No.607,An Ordinance of the Board of Directors of County Sanitation
District No.6 Establishing Sanitary Sewer Service Charges,as amended,be,and is
hereby,adopted:
AYES:Directors Elvin Hutchison (Chairman),Ruthelyn Plummer
NOES:None
ABSENT:Director Roger Stanton
Directing County Auditor Moved,seconded and duly carried:
Controller to include sewer service
charges on 1983—84 property tax That the Board of Directors hereby adopt
bills,pursuant to Ordinance No Resolution No.83—80—6,directing the County
607 Auditor—Controller to include sewer service
charges on 1983—84 property tax bills for
collection,pursuant to Ordinance No.607,An Ordinance of the Board of Directors of
County Sanitation District No.6 Establishing Sanitary Sewer Service Charges.
Adjournment Moved,seconded and duly carried:
That this meeting of the Board of Directors of County Sanitation District No.6 be
adjourned.The Chairman then declared the meetirig.so adjourned at 11:03 p.m.,
June 9,1983.
Secretary of the Board of Directors
County Sanitation District No.6 of
Orange County,California
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