HomeMy WebLinkAbout11-19-2008 MinutesCorrected
Orange County Sanitation District
MINUTES
BOARD MEETING
November 19, 2008
ADMINISTRATIVE OFFICES
10844 ELLIS AVENUE
FOUNTAIN VALLEY, CALIFORNIA 92708-7018
Minutes of Board Meeting
11/19/08
Page 2
ROLLCALL
A regular meeting of the Board of Directors of the Orange County Sanitation District was
held on November 19, 2008 at 6:30 p.m., in the 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 Doug Davert, Chair Jim Palmer
X Larry Crandall, Vice Chair Gus Ayer
X Charles Antos Gordon Shanks
A Don Bankhead Sharon Quirk
X Bill Dalton Steven Jones
A Jon Dumitru Carolyn Cavecche
X Rose Espinoza James Gomez
X James M. Ferryman Bob Ooten
X Don Hansen Jill Hardy
X Phil Luebben Prakash Narain
X Patsy Marshall Jim Dow
X Darryl Miller Douglas Reinhart
X Roy Moore Ron Garcia
X Joy Neugebauer AI Krippner
X Chris Norby Janet Nguyen
X Ken Parker Catherine Driscoll
X Brad Reese W. Richard Ulmer
X David Shawver David Cadena
X Christina Shea Steven Choi
Harry Sidhu X Lucille Kring
X 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: Jim Ruth, General Manager; Bob Ghirelli, Assistant General
Manager; Penny Kyle, Clerk of the Board; Nick Arhontes; Jim Herberg; Ed Torres; Lorenzo
Tyner; Bret Colson; Mark Esquer; Michael Gold; Randy Kleinman; Lilia Kovac; Jeff Reed;
Larry Roberson; Simon Watson; Ryal Wheeler; Mike White; Rich Castillon; Emilio Ariston;
Ed Pendleton; Tod Haynes
Minutes of Board Meeting
11/19/08
Page 3
OTHERS PRESENT: Brad Hogin, General Counsel; Alternate Director AI Krippner; Drew
Kolosky; Gino Rampagna; Ed Soong; Mitch Cochran
PUBLIC COMMENTS
There were no public comments.
REPORT OF THE CHAIR
Board Chair Doug Davert acknowledged Director of Operations and Maintenance, Nick
Arhontes, who presented a 20-year Service Award to Emilio Ariston and a 25-year Service
Award to Ed Pendleton. Mr. Arhontes also reported briefly on the recent North County fire,
noting there was no damage sustained to the pump stations.
Chair Davert then recognized Mitch Cochran of Municipal Information Systems Association
of California (MISAC) who presented an award to the Information Technology Division for
"Excellence in Information Technology Practices."
Vice Chair Larry Crandall reported on his attendance and participation at the WEFTEC
Conference in October, and unveiled the Sanitation District's Stockholm Award.
Director Davert noted that Director Parker would be going off the board and announced the
appointment of Director Dalton as Operations Committee Chair and Director Shawver as
Committee Vice Chair. Director Shawver would also serve on the Steering Committee.
REPORT OF THE GENERAL MANAGER
General Manager, Jim Ruth, reported the Sanitation District continues to monitor the state
fiscal crisis and its potential impact to the District; new Board members orientation
workshop; status of the sale of Kern County property; and the SAWPA and IRWD operating
agreement meetings.
REPORT OF THE GENERAL COUNSEL
Brad Hog in, General Counsel, reported that the Sanitation District joined Los Angeles County
Sanitation Districts in filing a motion to intervene in a Federal case which challenges the South
Coast Air Quality Management District (SCAQMD) to continue using internal offsets of emission
exchanges. The case is scheduled to be heard December 11, 2008.
Minutes of Board Meeting
11/19/08
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 10/15/08 10/31/08
Totals $27,240,361.24 $11,874,779.57
Director Crandall abstained from discussion and voting on Warrant No. 15326. Director
Dalton abstained from discussion and voting on Warrant No. 14377. Director Hansen
abstained from discussion and voting on Warrant Nos. 14819, 15035, 15037, 15237, and
15326. Director Luebben abstained from discussion and voting on Warrant Nos. 148 14,
15173, 15399 and 15576. Director Parker abstained from discussion and voting on Warrant
No. 15350. Director Shawver abstained from discussion and voting on Warrant Nos. 15435
and 15615. Director Shea abstained from discussion and voting on all warrants.
Abstentions were pursuant to California Government Code Section 84308.
CONSENT CALENDAR (2 -4}
Consideration of motion to approve all agenda items appearing on the Consent Calendar
not specifically removed from same, as follows:
2. MOVED, SECONDED AND DULY CARRIED: Approve the minutes for the regular
meeting held on October 22, 2008, to be filed and deemed approved, as mailed.
3. a) MOVED, SECONDED AND DULY CARRIED: Approve Plans and Specifications
for P1 Miscellaneous Buildings Office Improvements, Project No. FE07-08, on file
at the office of the Clerk of the Board;
b) Approve Addendum Nos. 1, 2, 3, 4, 5, and 6 to the plans and specifications;
c) Receive and file bid tabulation and recommendation;
d). Reject bid received from GTA Construction, Inc. in the amount of $635,000;
e) Award a contract to A vi-Con, Inc., dba CA Construction, for P1 Miscellaneous
Buildings Office Improvements, Project No. FE07 -08, for a total amount not to
exceed $673,000; and,
f) Approve a contingency of $100,950 (15%).
Minutes of Board Meeting
11/19/08
Page 5
4. a) MOVED, SECONDED AND DULY CARRIED: Approve Plans and Specifications
for the P1 Engineering Trailer File Room Improvements, Project No. FE0?-12, on
file at the office of the Clerk of the Board;
b) Approve Addendum Nos. 1 and 2 to the plans and specifications;
c) Receive and file bid tabulation and recommendation; and,
d) Reject all bids for P1 Engineering Trailer File Room Improvements, Project No.
FE0?-12.
STEERING COMMITTEE (5 -6)
Chair Davert reported that the Steering Committee had briefly discussed and approved of 5-
year Strategic Plan; the committee received a state and federal lobbyists update; and met in
closed session on one item.
5. MOVED, SECONDED AND DULY CARRIED: Approve revised Steering Committee
Minutes for the meeting held on October 22, 2008 to be filed.
6. a) MOVED, SECONDED AND DULY CARRIED: Approve the Five-Year Strategic
Plan dated November 2008; and,
b) Direct staff to implement the goals and strategies contained in the Plan.
OPERATIONS COMMITTEE (7 -13)
7. a) MOVED, SECONDED AND DULY CARRIED: Approve Plans and Specifications
for the Area 03 Manhole Access Improvements (3-54 ), Project No. FE07 -01, on
file at the office of the Clerk of the Board;
b) Approve Addendum No. 1 to the plans and specifications;
c) Receive and file bid tabulation and recommendation;
d) Reject bid received from Pacific Coast Infrastructure, for the amount of
$260,200;
e) Award a contract to Mike Bubalo Construction Co., Inc., for the construction of
the manhole access improvements for an amount not to exceed $305,500; and,
f) Approve a contingency of $106,925 (35%).
8. MOVED, SECONDED AND DULY CARRIED: Approve Operations Committee
Minutes for the meeting held on November 5, 2008, to be filed.
Director Patsy Marshall opposed.
Minutes of Board Meeting
11/19/08
Page 6
9. MOVED, SECONDED AND DULY CARRIED: Approve an agreement with Costa Mesa
Sanitary District (CMSD) transferring ownership and associated easement rights for six
local sewers within the CMSD service area boundaries, in a form approved by General
Counsel.
10. MOVED, SECONDED AND DULY CARRIED: Authorize the General Manager to
execute Memoranda of Understanding Establishing A County-wide Area Spill Control
Program with Orange County Flood Control District and cities or sanitary districts that
own sanitary sewer collection facility pipelines within Orange County Sanitation District
service area, in a form approved by General Counsel.
11. MOVED, SECONDED AND DULY CARRIED: Authorize staff to negotiate a Professional
Consulting Services Agreement with Black & Veatch Corporation for construction support
services for Central Generation Automation, Job No. J-79-1.
12. a) MOVED, SECONDED AND DULY CARRIED: Ratify Change Order No.1 to
Purchase Order No. 1032610B (SSJ-2008-821), issued to U.S. Peroxide LLC, for the
application of a proprietary chemical for the temporary unit gallon price increase for
ferrous chloride from $1.25/gallon delivered, plus tax, to $1.75/gallon delivered, plus
tax, for a total amount not to exceed $147,000,00, for the period of September 24,
2008, through October 6, 2008, due to a declared Force Majeure;
b) Approve Change Order No.2 to Purchase Order No. 1032610B (SSJ-2008-821),
issued to U.S. Peroxide LLC, for the application of a proprietary chemical for a unit
gallon price increase for ferrous chloride from $1.25/gallon delivered, plus tax, to
$1.75/gallon delivered, plus tax, for the contract period of December 1, 2008 through
June 30, 2009; and,
c) Authorize a 20% unit cost escalation contingency effective December 1, 2008.
13. a) MOVED, SECONDED AND DULY CARRIED: Approve a sole source Service
Contract Agreement with Jamison Engineering for Plant 1 Headworks Splitter
Box Channel Repairs, for an amount not to exceed $98,735.00; and,
b) Approve a contingency of $19,747 (20%).
ADMINISTRATION COMMITTEE (14 -17)
14. MOVED, SECONDED AND DULY CARRIED: Approve Administration Committee
Minutes for the meeting held on November 12, 2008, to be filed.
15. MOVED, SECONDED AND DULY CARRIED: Approve the reclassification of four
(4) OCSD positions affecting incumbents predicated on employees satisfying
position qualifications and the indefinite and ongoing need to accomplish work at the
higher level, and creation of a new classification providing for:
a) Reclassification of two (2) Administrative Assistant positions PG 67
($6, 185/month) to Contracts/Purchasing Assistant PG 67 ($6, 185/month) results
in no change in pay;
Minutes of Board Meeting
11/19/08
Page 7
b) Reclassification of a Senior EDM Specialist position PG 80 ($8, 121/month) to
Senior Information Technology Analyst PG 83 ($8,743/month);
c) 1. Reclassification of a Principal Information Technology Analyst position PG 87
($1 0, 133/month) to Principal Project Controls Analyst PG 87 ($1 0, 133/month)
results in no change in pay; and,
2. Creation of a new classification of Principal Project Controls Analyst with pay
range placement at PG 87.
16. MOVED, SECONDED AND DULY CARRIED: Receive and file: a) Sanitation
District's Comprehensive Annual Financial Report for the year ended June 30, 2008,
prepared by staff and audited by Mayer Hoffman McCann, Certified Public
Accountants;
b) Report on Compliance and Internal Control for the year ended June 30,
2008; and,
c) Independent Accountants' Report on Agreed-Upon Procedures Applied to
Appropriations Limit Worksheets.
17. a) MOVED, SECONDED AND DULY CARRIED: Adopt Resolution No. OCSD 08-
20, Authorizing the Execution and Delivery by the District of one or more
Installment Purchase Agreements, Trust Agreements, and Continuing Disclosure
Agreements in connection with the execution and delivery of Orange County
Sanitation District Certificates of Participation, Series 2009A, and if necessary,
Series 2009B; Authorizing the Execution and Delivery of such Certificates
Evidencing Principal in an Aggregate Amount of Not to Exceed $200,000,000,
Approving the Distribution of one or more Official Notice Inviting Bids and Official
Statements in Connection with the Offerings and Sales of such Certificates and
Authorizing the Execution of Necessary Documents and Related Actions;
b) Establish a true interest cost target rate of 4.75% with a maximum rate of 5.25%;
and,
c) Obtain final approval of the Board Chair and Administration Committee Chair
prior to completing subject debt issuances.
GWR SYSTEM STEERING COMMITTEE (18)
18. MOVED, SECONDED AND DULY CARRIED: Approve Joint Groundwater
Replenishment System Steering Committee Minutes for the meeting held on
October 13, 2008, to be filed.
Minutes of Board Meeting
11/19/08
Page 8
NON-CONSENT CALENDAR
19. a) MOVED, SECONDED AND DULY CARRIED: Adopt Resolution No. OCSD
08-21, Adopting the Initial Study and Mitigated Negative Declaration for the
Coyote Hills Golf Course Manhole Access and Odor Control Project, Contract
No. FE08-04;
b) Make Certain Findings Relating to Less than Significant Environmental
Effects Identified in the Initial Study/Mitigated Negative Declaration;
c) Adopt a Mitigation Monitoring and Reporting Program;
d) Approve the Coyote Hills Golf Course Manhole Access and Odor Control
Project, Contract No. FE08-04; and,
e) Authorize the Filing of a Notice of Determination.
20. MO VED, SECONDED AND DULY CARRIED: Adopt Resolution No. OCSD 08-22,
Authorizing the Execution and Delivery by the District of an Installment Purchase
Agreement, a Trust Agreement, an Escrow Agreement, a Note Purchase Agreement,
and a Continuing Disclosure Agreement in connection with the execution and delivery
of Orange County Sanitation District Refunding Certificates of Participation, Series
2008 C (Certificate Anticipation Notes), such Notes Evidencing Principal in an
Aggregate Amount of Not to Exceed $198,000,000, Approving an Official Statement
in Connection with the Offering and Sale of such Notes and Authorizing the Execution
of Other Necessary Documents and Related Actions.
Chair Davert declared a recess of the Board of Directors of the Orange County Sanitation
District at 7:14 p.m.
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ROLLCALL
A regular meeting of the Board of Directors of the Orange County Sanitation District
Financing Corporation was held on November 19, 2008 at 7:14 p.m., in the Administrative
Offices. The roll was called and the Clerk of the Board reported a quorum present as
follows:
Minutes of Board Meeting
11/19/08
Page 9
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ACTIVE DIRECTORS ALTERNATE DIRECTORS
Doug Davert, Chair Jim Palmer
Larry Crandall, Vice Chair Gus Ayer
Charles Antos Gordon Shanks
Don Bankhead Sharon Quirk
Bill Dalton Steven Jones
Jon Dumitru Carolyn Cavecche
Rose Espinoza James Gomez
James M. Ferryman Bob Ooten
Don Hansen Jill Hardy
Phil Luebben Prakash Narain
Patsy Marshall Jim Dow
Darryl Miller Douglas Reinhart
Roy Moore Ron Garcia
Joy Neugebauer AI Krippner
Chris Norby Janet Nguyen
Ken Parker Catherine Driscoll
Brad Reese W. Richard Ulmer
David Shawver David Cadena
Christina Shea Steven Choi
Harry Sidhu X Lucille Kring
Sal Tinajero David Benavides
Constance Underhill Joseph Aguirre
Mark Waldman Henry Charoen
Don Webb Leslie Daigle
Jim Winder John Anderson
b. MOVED, SECONDED AND DULY CARRIED: Approve the minutes for the
meetings held on November 28, 2007, May 14, 2008, and August 27, 2008.
c. Lorenzo Tyner, Director of Finance, reported that the Financing Corporation
would need to adopt the following resolutions in order to proceed with the
issuance of Certificates of Participation, Series 2009A, and if necessary,
Series 2009B, for an aggregate amount not to exceed $200,000,000, as well
as issuing Certificate Anticipation Notes for a maximum period of 13 months
at a reduced rate of 2%, until the market is stabilized.
Minutes of Board Meeting
11/19/08
Page 10
d. MOVED, SECONDED AND DULY CARRIED: Adopt Resolution No. FC-08,
Authorizing the Execution and Delivery by the Corporation of One or More
Installment Purchase Agreements and One or More Trust Agreements in
Connection with the Execution and Delivery of Orange County Sanitation
District Certificates of Participation, Series 2009A, and if necessary, Series
2009B; Authorizing the Execution and Delivery of Such Certificates
Evidencing Principal in an Aggregate Amount of Not to Exceed
$200,000,000; and Authorizing the Execution of Necessary Documents and
Related Actions.
e. MOVED, SECONDED AND DULY CARRIED: Adopt Resolution No. FC-
09, Authorizing the Execution and Delivery by the Corporation of an
Installment Purchase Agreement and a Trust Agreement in Connection
with the Execution and Delivery of Orange County Sanitation District
Refunding Certificates of Participation, Series 2008C (Certificate
Anticipation Notes); Authorizing the Execution and Delivery of Such Notes
Evidencing Principal in an Aggregate Amount of Not to Exceed
$198,000,000; and Authorizing the Execution of Necessary Documents
and Notes and Related Actions.
ADJOURNMENT: The Chair declared the meeting of the Orange County Sanitation District
Financing Corporation adjourned at 7:18 p.m.
********
RECONVENE IN REGULAR SESSION: The Board of Directors of the Orange County
Sanitation District reconvened in regular session at 7:18 p.m.
CONVENE IN CLOSED SESSION PURSUANT TO GOVERNMENT CODE SECTION
54956.9(a): The Board convened in closed session at 7:19 p.m. pursuant to Government
Code Section 54956.8 to discuss one matter (Agenda Item No. 19). Confidential minutes of
the Closed Session held by the Board of Directors have been prepared in accordance with
California Government Code Section 54957.2 and are maintained by the Clerk of the Board
in the official Book of Confidential Minutes of Board and Committee Closed Meetings.
RECONVENE IN REGULAR SESSION: The Board reconvened in regular session at
7:25 p.m.
ADJOURNMENT: The Chair declared the meeting adjourned at 7:26 p.m.
Clerk of the Board
Orange County Sanitation District