HomeMy WebLinkAbout05-28-2008 MinutesOrange County Sanitation District
MINUTES
BOARD MEETING
May 28,2008
ADMINISTRATIVE OFFICES
10844 ELLIS AVENUE
FOUNTAIN VALLEY, CALIFORNIA 92708-7018
Minutes of Board Meeting
05/28/08
Page 2
ROLL CALL
A regular meeting of the Board of Directors of the Orange County Sanitation District was
held on May 28, 2008 at 6:30 p.m., in the District's Administrative Offices. Following the
Pledge of Allegiance and invocation, the roll was called and the Clerk of the Board
reported a quorum present as follows:
ACTIVE DIRECTORS ALTERNATE DIRECTORS
X James M. Ferryman, Chair Bob Ooten
X Doug Davert, Vice Chair Jim Palmer
X Charles Antos Gordon Shanks
X Don Bankhead Sharon Quirk
X Larry Crandall Gus Ayer
X Bill Dalton Steven Jones
A Jon Dumitru Carolyn Cavecche
X Rose Espinoza James Gomez
X Richard Freschi Brad Reese
X Don Hansen Jill Hardy
X Phil Luebben Prakash Narain
A Patsy Marshall Jim Dow
X Darryl Miller Douglas Reinhart
X Roy Moore Ron Garcia
X Joy Neugebauer AI Krippner
X Chris Norby Janet Nguyen
Ken Parker X Catherine Driscoll
X Christina Shea Steven Choi
X David Shawver David Cadena
X Harry Sidhu Lucille Kring
A Sal Tinajero David Benavides
X Constance Underhill Joseph Aguirre
X Mark Waldman Henry Charoen
X Don Webb Leslie Daigle
X Jim Winder John Anderson
STAFF MEMBERS PRESENT: Bob Ghirelli, Assistant General Manager; Penny Kyle,
Clerk of the Board; Nick Arhontes; Jim Herberg; Ed Torres; Lorenzo Tyner; Rich
Castillon; Daisy Covarrubias; Lilia Kovac; Juanita Skillman; Paula Zeller
OTHERS PRESENT: Brad Hagin, General Counsel; Bill Garvey; Robert Grantham;
Larry Head, Art Perry; Gino Rampagna, Chris Rouk; Toby Weissert
Minutes of Board Meeting
05/28/08
Page 3
PUBLIC COMMENTS
Mr. Chris Rouk of NEC spoke against Agenda Item 11 (a), awarding a telephone system
contract to Shore Tel, citing the District's request for information advertisement was
inadequate.
REPORT OF THE CHAIR
Chair Ferryman asked for the meeting to be adjourned in memory of Ethel Mae Castelli,
Jim Ruth's mother-in-law's honor, who passed away on May 22, 2008. Resolutions of
commendation were approved by the Board of Directors for former OCSD Board Chair
Steve Anderson; Orange County Water District's 75th Anniversary; and for Ron
Wildermuth for his service as Communications Manager at the Orange County Water
District. Mr. Ferryman also reviewed the standing committee meeting schedule for the
month of June; and reported on a CASA meeting he attended April 23rd -April 25th
RE PORT OF THE GENERAL MANAGER
Assistant General Manager, Bob Ghirelli, referred to the General Manager's monthly
report, and recognized Lorenzo Tyner, Director of Finance and Administrative Services,
for an update on the refunding of Certificates of Participation.
REPORT OF THE GENERAL COUNSEL
General Counsel, Brad Hagin, did not give a report.
NOMINATIONS FOR CHAIR AND VICE CHAIR OF THE BOARD OF DIRECTORS
This being the annual meeting fixed by the Board at which nominations are to be made for
the office of Chair and Vice Chair of the Orange County Sanitation District, the General
Counsel declared the nominations open.
Director Doug Davert was then nominated as a candidate for the office of Chair of the
Orange County Sanitation District. Rules of Procedure for the Conduct of Business allow for
a vote the same day as nominations, in the event there is only one nominee for each
position. The vote was polled and the Clerk of the Board cast the unanimous ballot for
Director Doug Davert as the Chair of the Orange County Sanitation District
Director Larry Crandall was then nominated as a candidate for the office of Vice Chair of
the Orange County Sanitation District. A vote was polled and the Clerk of the Board cast
the unanimous ballot for Director Larry Crandall as the Vice Chair of the Orange County
Sanitation District.
Minutes of Board Meeting
05/28/08
Page 4
RATIFICATION OF PAYMENT OF CLAIMS
MOVED, SECONDED AND DULY CARRIED: Ratify payment of claims set forth on
Exhibits "A" and "B", attached hereto and made a part of these minutes.
ALL DISTRICTS
Totals
04/15/08 04/30/08
$15,168,924.08 $20,821 ,921.90
Director Hansen abstained from discussion and voting on Warrant No. 99990. Director
Shawver abstained from discussion and voting on Warrant No. 10116. Directors Shea
and Sidhu abstained from discussion and voting on all warrants. Abstentions were
pursuant to California Government Code Section 84308.
8. a.
CONSENT CALEND AR
MOVED, SECONDED AND DULY CARRIED: Order the minutes for the
regular meeting held on April 23, 2008, and the special meeting held on
May 14, 2008 to be filed and deemed approved, as mailed.
Directors Driscoll and Neugebauer abstained.
b. MOVED, SECONDED AND DULY CARRIED: Adopt Resolution No.
OCSD 08-07, authorizing the General Manager to Grant Easements at no
cost to Utilities serving Orange County Sanitation District facilities.
COMMITTEE REPORTS AND RE COMMENDED ACTIONS
9. STEERING COMMITTEE
Board Chair, Jim Ferryman, reported the committee received an update from
federal lobbyists. The Steering Committee considered a request from the
Building Association regarding connection fees, and a proper memorial for Steve
Anderson to be presented to the Board for approval at the June meeting.
Consent Calendar
a. MOVED, SECONDED AND DULY CARRIED: Order Steering Committee
Minutes for the meeting held on April 23, 2008, to be filed.
Non-Consent Calendar
b. Item was pulled from the agenda by the Steering Committee.
Minutes of Board Meeting
05/28/08
Page 5
10. OPERATIONS COMMITTEE
Consent Calendar
a. MOVED, SECONDED AND DULY CARRIED: Order Operations
Committee Minutes for the meeting held on May 7, 2008, to be filed.
b. MOVED, SECONDED AND DULY CARRIED: Authorize the General
Manager to sell surplus emission reduction credits via negotiated
contracts with ICAP United, Inc. and Cantor C02e, LP, in a form
approved by General Counsel.
c. MOVED, SECONDED AND DULY CARRIED: 1) Approve Change order
No. 5 to the contract issued to Hill Brothers Chemical Company for the
Purchase of Magnesium Hydroxide, Specification No. C-2005-244,
authorizing a unit rate increase of $0.20 per gallon, for a total unit price of
$1.84 per gallon, plus applicable sales tax for a one-year period effective
July 1, 2008 through June 30, 2009, and all other terms of the contract
shall remain in effect (P.O. 102362 OB); and,
2) Authorize a 10% unit cost escalation contingency.
d. MOVED, SECONDED AND DULY CARRIED: 1) Authorize the General
Manager to approve renewal of a contract, with Neutron Products, Inc.,
for Purchase of Anionic Polymer, Specification No. C-2006-273,
authorizing a price increase of $.15/lb, for a total price of $3.00/lb, for a
one-year period effective September 1 , 2008 through August 31, 2009
(P.O. 102634-0B); and,
2) Authorize a 10% cost escalation contingency.
e. MOVED, SECONDED AND DULY CARRIED: 1) Award a contract to Olin
Chlor Alkali Products, for the Purchase of Sodium Hydroxide (Caustic
Soda) 25% solution, Specification No. C-2008-371 BD, for delivery to the
plants for the period July 1, 2008 through June 30, 2009, for a unit price
of $459.90 per dry ton plus freight of $200.00 per dry ton, plus applicable
sales tax for an estimated annual amount of $431,23 5.00, with four
one-year renewal options; and,
2) Authorize a 10% annual cost escalation contingency.
3) Award a contract to Basic Chemical Solution, LLC, for the Purchase of
Sodium Hydroxide (Caustic Soda) 50% solution, Specification No.
C-2008-371 BD, for delivery in the collection system, for the period July 1,
2008 through June 30, 2009, for a unit price of $539.00 per dry ton,
subject to the Harriman Chemsult Limited Index, plus freight of $39.48 per
dry ton, plus applicable sales tax for an estimated annual amount of
$235,075.00 with four one-year renewal; and,
4) Authorize an 8% quarterly cost escalation contingency.
Minutes of Board Meeting
05/28/08
Page 6
f. MOVED, SECONDED AND DULY CARRIED: Approve Amendment
No. 1 to Cooperative Projects Grants Program Contract No. 0604 with
Midway City Sanitary District, providing for an 11-month time extension.
g. MOVED, SECONDED AND DULY CARRIED: 1) Approve a budget
increase of $128,100 for Rehabilitation of District Siphons, Contract
No. 2-68, for a total budget of $7,854, 100; and,
2) Approve a contingency increase of $136,108 (3%) to the construction
contract with Ken Thompson, Inc., for Rehabilitation of District Siphons,
Contract No. 2-68, for a total contingency of $363,008 (8%).
h. MOVED, SECONDED AND DULY CARRIED: Approve a contingency
increase of $623,114 (17%) to the Professional Design Services
Agreement with Earth Tech, Inc., for Sludge Digester Rehabilitation at
Plant No. 1, Job No. P1-1 00, for a total contingency of $989,652 (27%).
i. MOVED, SECONDED AND DULY CARRIED: Approve a contingency
increase of $2,003,323 (18%) to the Professional Design Services
Agreement with HDR, Inc. for Sludge Dewatering and Odor Control at
Plant No. 1, Job No. P1-1 01, for a total contingency of $3,116,281 (28%).
j. MOVED, SECONDED AND DULY CARRIED: Approve Amendment
No.8 to the Professional Services Agreement with Integrated Program
Management Consultants, a joint venture of Parsons Water and
Infrastructure, Inc., and CH2M Hill, Inc., for Program Management
Services for the Capital Improvement Program authorizing:
1) Establish an amount not to exceed $16,987,271 for year seven (Fiscal
Year 2008/09) of the ten-year contract; and,
2) Increase the total amount of the ten-year contract to an amount not to
exceed $93,077,246.
Non-Consent Calendar
k. No items were considered.
11. ADMINISTRATION COMMITIEE
Consent Calendar
a. Item pulled for discussion.
b. MOVED, SECONDED AND DULY CARRIED: Order Administration
Committee Minutes for the meeting held on May 14, 2008, to be filed.
Minutes of Board Meeting
05/28/08
Page 7
c. MOVED, SECONDED AND DULY CARRIED: Adopt Resolution
No. OCSD 08-06, Adopting the Updated Records Management Program
Policies and Procedures, Retention Schedule and Record Series
Definitions for the District's Records Management Program, Authorizing
Destruction of Obsolete Records, and Repealing Resolution No. OCSD
07-08.
Non-Consent Calendar
d. Agenda Item 11(a): Concern was expressed by some directors about the
process in acquiring proposals and evaluation of equipment, and staff
responded to their questions and concerns.
MOVED, SECONDED AND DULY CARRIED: 1) Approve a sole source
purchase order to Shore Tel Inc. for the purchase of hardware and
software to replace OCSD's telephone system, for a total amount of
$375,460; and,
2) Approve a 5% contingency ($1 8,775).
By a show of hands, with seven opposing the motion, the item was
approved.
12. GWR SYSTEM STEERING COMMITTEE (GWRSSC)
GWRSSC Consent Calendar
a. MOVED, SECONDED AND DULY CARRIED: Order Joint Groundwater
Replenishment System Steering Committee Minutes for the meeting held
on April 14, 2008, to be filed.
b. MOVED, SECONDED AND DULY CARRIED: 1) Approve Amendment
No. 15 to the Professional Services Agreement with Camp Dresser &
Mc Kee Inc. for the Groundwater Replenishment System, Job No. J-36,
providing for an annual cost-of-living adjustment, additional permitting
services, and additional work associated with the extension of the
construction contract for an additional amount of $86,267, increasing the
total amount not to exceed $35,052,728 to be cost-shared equally with
the Orange County Water District ($43, 133.50); and,
2) Approve Amendment No. 9 to the Professional Services Agreement
with Montgomery Watson Harza for the Groundwater Replenishment
System, Job No. J-36, providing for an annual cost-of-living adjustment
and additional construction management services for an additional
amount of $170,799, increasing the total amount not to exceed
$15,307,661 to be cost-shared equally with the Orange County Water
District ($85,399.50).
Minutes of Board Meeting
05/28/08
Page 8
GWRSSC Non-Consent Calendar
c. No items were considered.
NON-CONSENT CALE NDAR
13. Ordinance No. OCSD-36, An Ordinance of the Board of Directors of Orange
County Sanitation District, Establishing Capital Facilities Capacity Charges;
Adopting Miscellaneous Charges and Fees Relating to Industrial Charges,
Source Control Permittees and Wastehaulers; and Repealing Article I, Ill, IV and
V of Ordinance No. OCSD-32:
Adopting Revised Table A Re Capital Facilities Capacity Charges (Formerly
Table C), Revised Table C Re Supplemental Capital Facilities Capacity Charges
(Formerly Table E), Revised Table D Re Administrative Fees And Charges
Relating To Permittees (Formerly Table F), Redesignated Table E (Formerly
Table G), Revised Table F Re Class I And Class II Permittees and Special
Purpose Discharge Permittees Charges For Use (Formerly Table H), Revised
Table G Re Wastehauler Charges For Use (Formerly Table 1), And Reaffirming
All Other Charges.
OPEN PUBLIC HEARING: General Counsel declared the public hearing opened
at 6:58 p.m.
The Clerk of the Board reported seven phone calls were received requesting
information only.
Director of Finance and Administrative Services, Lorenzo Tyner, provided a brief
overview of the proposed ordinance changing to the net cost of service
methodology for permittees to be consistent with the current rate structures for all
other customers.
PUBLIC COMMENTS: No public comments were received.
CLOSE PUBLIC HEARING: General Counsel declared the public hearing closed
at 7:00 p.m.
a. MOVED, SECONDED AND DULY CARRIED: Read Ordinance
No. OCSD-36 by title only and waive reading of said entire ordinance.
b. MOVED, SECONDED AND DULY CARRIED: Adopt Ordinance
No. OCSD-36.
Ayes: Jim Ferryman, Chair, Charles Antos; Larry Crandall; Bill
Dalton; Doug Davert; Rose Espinoza; Don Hansen; Phil
Luebben; Darryl Miller; Roy Moore; Chris Norby; Joy
Neugebauer; Catherine Driscoll; Dave Shawver; Christina
Minutes of Board Meeting
05 /28 /08
Page 9
Shea; Constance Underhill; Mark Waldman; Don Webb;
Jim Winder
Nays: Don Bankhead; Rich Freschi; Harry Sidhu opposed.
Abstention: None
Absent: Jon Dumitru; Patsy Marshall; Sal Tinajero
14. Ordinance No. OCSD-37, An Ordinance of the Board of Directors of Orange
County Sanitation District, Establishing Wastewater Discharge Regulations and
Repealing Ordinance No. OCSD-31:
Adopting Revised Article 1, Section 1 02; Article 3, Sections 302.6, Section 303,
and 303.6; and, Reaffirming All Other Charges.
OPEN PUBLIC HEARING: General Counsel declared the public hearing opened
at 7:03 p.m.
The Clerk of the Board announced seven phone calls were received requesting
information.
Lorenzo Tyner explained the proposed ordinance would provide replacement of
property tax credits to permittees with the net cost of service billing methodology.
PUBLIC COMMENTS: No public comments were received.
CLOSE PUBLIC HEARING: General Counsel declared the public hearing closed
at 7:05 p.m.
a. MOVED, SECONDED AND DULY CARRIED: Read Ordinance
No. OCSD-37 by title only and waive reading of said entire ordinance.
b. MOVED, SECONDED AND DULY CARRIED: Adopt Ordinance
No. OCSD-37.
Ayes: Jim Ferryman, Chair, Charles Antos; Larry Crandall; Bill
Dalton; Doug Davert; Rose Espinoza; Don Hansen; Phil
Luebben; Darryl Miller; Roy Moore; Chris Norby; Joy
Neugebauer; Catherine Driscoll; Dave Shawver; Christina
Shea; Constance Underhill; Mark Waldman; Don Webb;
Jim Winder
Nays: Don Bankhead; Rich Freschi; Harry Sidhu opposed.
Abstention: None
Absent: Jon Dumitru; Patsy Marshall; Sal Tinajero
Minutes of Board Meeting
05/28/08
Page 10
15. Ordinance No. OCSD-38, An Ordinance of the Board of Directors of
Orange County Sanitation District, Establishing Local Sanitary Sewer
Service Charges:
a. MOVED, SECONDED AND UNANIMOUSLY CARRIED: Read Ordinance
No. OCSD-38 by title only and waive reading of said entire ordinance.
b. MOVED, SECONDED AND DULY CARRIED: Introduce
Ordinance No. OCSD-38, and pass to second reading and public
hearing on June 25, 2008.
Director Davert opposed.
16. CONVENE IN CLOSED SESSION PURSUANT TO GOVERNMENT CODE
SECTION 54957(b)(1 ): The Board convened in closed session at 7:13 p.m.
pursuant to Government Code Section 54956.9(c).
RECONVENE IN REGULAR SESSION: The Board reconvened in regular
session at 7:15 p.m.
ADJOURNMENT: The Chair declared the meeting adjourned at 7:18 p.m. in memory of
Ethel Mae Castelli.
Clerk of the Board
Orange County Sanitation District
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