HomeMy WebLinkAbout07-26-2017 Board Meeting Minutes07/26/2017
Orange County Sanitation District
MINUTES
BOARD MEETING
July 26, 2017
Administration Building
10844 Ellis Avenue
Fountain Valley, California 92708-7018
Minutes of Board Meeting Page1 of12
ROLL CALL
A regular meeting of the Board of Directors of the Orange County Sanitation District was
called to order by Board Chairman Greg Sebourn on July 26, 2017, at 6:06 p.m., in the
Administration Building. Chair Sebourn delivered the invocation and led the Pledge of
Allegiance.
The Clerk of the Board declared a quorum present as follows:
ACTIVE DIRECTORS ALTERNATE DIRECTORS
x Gregory Sebourn, Chair Jesus Silva
x Denise Barnes Lucille Kring
x Allan Bernstein Chuck Puckett x Robert Collacott Diana Fascenelli
x Ellery Deaton Sandra Massa-Lavitt
x Barbara Delgleize Erik Peterson x James M. Ferryman Bob Ooten
x Phil Hawkins Brooke Jones
x Steven Jones Kris Beard
x Peter Kim Gerard Goedhart
x Al Krippner Charlie Nguyen
x Richard Murphy Warren Kusumoto x Steve Nagel Cheryl Brothers
A Glenn Parker Cecilia Hupp
x Scott Peotter Brad Avery
x Tim Shaw Michael Blazey
x David Shawver Carol Warren
x Fred Smith Virginia Vaughn
A Teresa Smith Mark Murphy
x Michelle Steel Shawn Nelson
x Sal Tinajero David Benavides
x Donald Wagner Lynn Schott x Chad Wanke Ward Smith
x John Withers Douglas Reinhart x Mariellen Yarc Stacy Berry
STAFF MEMBERS PRESENT: Jim Herberg, General Manager; Bob Ghirelli, Assistant
General Manager; Celia Chandler, Director of Human Resources; Jim Colston, Director
of Environmental Services; Ed Torres, Director of Operations and Maintenance; Rob
Thompson, Director of Engineering; Lorenzo Tyner, Director of Finance & Administrative
Services; Kelly Lore, Clerk of the Board; Janine Aguilar; Gilbert Barela; Jennifer Cabral;
Dean Fisher; Lisa Frigo; Al Garcia; Tom Grant; Tina Knapp; Kathy Millea; Jeff Mohr;
Andrew Nau; and Man Nguyen.
0712612017 Minutes of Board Meeting Page 2 of 12
OTHERS PRESENT: Brad Hogin (General Counsel); Natalie Medvedev; Art Perry
(CMSD); Alternate Directors, Jesus Silva (Fullerton) and Bob Ooten (CMSD); and Kevin
Turner and John Gallivan, Cushman & Wakefield.
PUBLIC COMMENTS:
No public comments were provided.
SPECIAL PRESENTATIONS:
None.
REPORTS:
Chair Sebourn announced that the State of the District will be held Friday, November 17,
2017 at 8:00 a.m. at Mile Square Park Golf Course.
General Manager Jim Herberg announced that the Operations and Administration
Committees will be dark in August and encouraged the Directors to sign up for the
upcoming Orange County Leadership Symposium to be held each Friday from
October 6 -November 3.
CONSENT CALENDAR:
1. APPROVAL OF MINUTES (Clerk of the Board)
MOVED. SECONDED, AND DULY CARRIED TO: Approve the minutes of the
Regular Joint Meeting of the Board of Directors and Financing Corporation Meeting
held on June 28, 2017.
AYES:
NOES:
ABSTENTIONS:
ABSENT:
Barnes; Collacott; Deaton; Delgleize; Ferryman; Hawkins;
Jones; Kim; Krippner; R. Murphy; Nagel; Peotter; Sebourn;
Shaw; Shawver; F. Smith; Steel; Wagner; Wanke; Withers;
and Yarc
None
None
Bernstein; Parker; T. Smith; and Tinajero
RECEIVE AND FILE: These items require no action, and without objection, will be so ordered by the
Board Chair.
2. COMMITTEE MINUTES (Clerk of the Board)
Received and filed the approved minutes of the following committees:
A. Operations Committee Meeting of June 7, 2017
B. Legislative and Public Affairs Committee Meeting of June 12, 2017
C. Administration Committee Meeting of June 14, 2017
0712612017 Minutes of Board Meeting Page 3of12
D. Steering Committee Meeting of May 24, 2017
3. REPORT OF THE INVESTMENT TRANSACTIONS FOR THE MONTH OF
JUNE 2017 (Lorenzo Tyner)
Received and filed the report of the Investment Transactions for the month of
June 2017.
OPERATIONS COMMITTEE:
4. DIGESTER CLEANING CONTRACT (Ed Torres)
MOVED. SECONDED. AND DULY CARRIED TO:
A. Approve a Service Contract with Synagro-WWT, Inc., the lowest responsive
and responsible bidder, for Digester Cleaning, Specification No.
S-2017-824BD, for an 18-month period beginning September 1, 2017
through February 28, 2019, for an amount not to exceed $3,953,958 with
four (4) additional 18-month renewal options; and
B. Approve a contingency of $395,396 (10%) aggregately per contract period.
AYES:
NOES:
ABSTENTIONS:
ABSENT:
Barnes; Collacott; Deaton; Delgleize; Ferryman; Hawkins;
Jones; Kim; Krippner; R. Murphy; Nagel; Peotter; Sebourn;
Shaw; Shawver; F. Smith; Steel; Wagner; Wanke; Withers;
and Yarc
None
None
Bernstein; Parker; T. Smith; and Tinajero
5. LIGHT DUTY TRUCK COOPERATIVE PROCUREMENT WITH NATIONAL
AUTO FLEET GROUP (Ed Torres)
MOVED. SECONDED. AND DULY CARRIED TO: Approve the purchase of four
light duty trucks using the National Joint Powers Alliance cooperative Contract
Number 120716-NAF with National Auto Fleet Group for a total cost of $148,000
in accordance with Ordinance No. OCSD-47, Section 2.03(B), Cooperative
Purchases.
AYES:
NOES:
ABSTENTIONS:
ABSENT:
07/26/2017
Barnes; Collacott; Deaton; Delgleize; Ferryman; Hawkins;
Jones; Kim; Krippner; R. Murphy; Nagel; Peotter; Sebourn;
Shaw; Shawver; F. Smith; Steel; Wagner; Wanke; Withers;
and Yarc
None
None
Bernstein; Parker; T. Smith; and Tinajero
Minutes of Board Meeting Page4of12
6. PURCHASE OF SODIUM HYPOCHLORITE, SPECIFICATION NO.
C-2017-853BD (Ed Torres)
MOVED. SECONDED. AND DULY CARRIED TO:
A. Award an Agreement to JCI Jones Chemicals, Inc. for the purchase of
sodium hypochlorite (bleach), Specification No. C-2017-853BD, for the
period September 1, 2017 through August 31, 2018, for a unit price of
$0.51/gallon delivered, plus applicable sales tax, for an estimated annual
amount of $626,726.25, with four (4) one-year renewal options; and
B. Approve a (10%) unit price contingency.
AYES:
NOES:
ABSTENTIONS:
ABSENT:
Barnes; Collacott; Deaton; Delgleize; Ferryman; Hawkins;
Jones; Kim; Krippner; R. Murphy; Nagel; Peotter; Sebourn;
Shaw; Shawver; F. Smith; Steel; Wagner; Wanke; Withers;
and Yarc
None
None
Bernstein; Parker; T. Smith; and Tinajero
7. REPAIR & REFURBISHMENT OF TWO CENTRAL GENERATION
ELECTRICAL GENERATORS, SPECIFICATION NO. S-2017-850BD (Ed Torres)
MOVED. SECONDED. AND DULY CARRIED TO:
A. Approve a Service Contract to R.A. Reed Electric Company, the lowest
responsive and responsible bidder, for Repair & Refurbishment of two
Central Generation Electrical Generators, Specification No. S-2017 -850BD,
for an amount not to exceed $424,538.62; and
B. Approve a contingency of $84,908 (20%).
AYES:
NOES:
ABSTENTIONS:
ABSENT:
Barnes; Collacott; Deaton; Delgleize; Ferryman; Hawkins;
Jones; Kim; Krippner; R. Murphy; Nagel; Peotter; Sebourn;
Shaw; Shawver; F. Smith; Steel; Wagner; Wanke; Withers;
and Yarc
None
None
Bernstein; Parker; T. Smith; and Tinajero
8. STORMWATER MASTER PLAN -PROJECT NO. PS16-01 (Rob Thompson)
MOVED. SECONDED. AND DULY CARRIED TO:
A. Approve a Professional Services Agreement with Michael Baker
International, Inc. to provide engineering services for the Stormwater
Master Plan, Project No. PS16-01, for an amount not to exceed $715,300;
and
B. Approve a contingency of $71,530 (10%).
07/26/2017 Minutes of Board Meeting Page 5 of 12
AYES:
NOES:
ABSTENTIONS:
ABSENT:
Barnes; Collacott; Deaton; Delgleize; Ferryman; Hawkins;
Jones; Kim; Krippner; R. Murphy; Nagel; Peotter; Sebourn;
Shaw; Shawver; F. Smith; Steel; Wagner; Wanke; Withers;
and Yarc
None
None
Bernstein; Parker; T. Smith; and Tinajero
9. CEQA PLAN 2017-MASTER CONTRACT NO. CEQA PLAN2017-00
(Rob Thompson)
MOVED, SECONDED, AND DULY CARRIED TO:
A. Approve annual Professional Services Agreements with HOR
Engineering, Inc.; Michael Baker International; Helix Environmental
Planning, Inc.; ESA; AECOM; and LSA; Master Contract No. CEQA
PLAN2017-00, with a maximum annual fiscal year contract limitation not to
exceed $400,000 for each Professional Services Agreement; and
B. Approve two additional one-year optional extensions.
AYES:
NOES:
ABSTENTIONS:
ABSENT:
Barnes; Collacott; Deaton; Delgleize; Ferryman; Hawkins;
Jones; Kim; Krippner; R. Murphy; Nagel; Peotter; Sebourn;
Shaw; Shawver; F. Smith; Steel; Wagner; Wanke; Withers;
and Yarc
None
None
Bernstein; Parker; T. Smith; and Tinajero
10. SLUDGE DEWATERING AND ODOR CONTROL AT PLANT NO. 1, PROJECT
NO. P1-101 (Rob Thompson)
MOVED, SECONDED. AND DULY CARRIED TO: Approve a contingency
increase of $5,718,000 (4.5%) to the construction contract with W.M. Lyles
Company for Sludge Dewatering and Odor Control at Plant No. 1, Project No. P1-
101, for a total contingency amount of $9,518,000 (7.5%).
AYES:
NOES:
ABSTENTIONS:
ABSENT:
07/26/2017
Barnes; Collacott; Deaton; Delgleize; Ferryman; Hawkins;
Jones; Kim; Krippner; R. Murphy; Nagel; Peotter; Sebourn;
Shaw; Shawver; F. Smith; Steel; Wagner; Wanke; Withers;
and Yarc
None
None
Bernstein; Parker; T. Smith; and Tinajero
Minutes of Board Meeting Page 6 of 12
11. REHABILITATION OF FLEET SERVICES BUILDING, BUILDING 8 AND
PAVING AREA, CONTRACT NO. P1-115B (Rob Thompson)
MOVED, SECONDED. AND DULY CARRIED TO:
A. Receive and file bid tabulation and recommendation;
B. Award a construction contract to ODC Engineering and Technology for
Rehabilitation of Fleet Services Building, Building 8 and Paving Area,
Contract No. P1-115B, part of Title 24 Access Compliance and Building
Rehabilitation, Project No. P1-115, for a total amount not to exceed
$2,235,609;
C. Approve a contingency of $223,563 (10%); and
D. Approve a budget increase of $791,000 for Title 24 Access Compliance and
Building Rehabilitation, Project No. P1-115, for a total budget amount of
$18,400,000.
AYES:
NOES:
ABSTENTIONS:
ABSENT:
Barnes; Collacott; Deaton; Delgleize; Ferryman; Hawkins;
Jones; Kim; Krippner; R. Murphy; Nagel; Peotter; Sebourn;
Shaw; Shawver; F. Smith; Steel; Wagner; Wanke; Withers;
and Yarc
None
None
Bernstein; Parker; T. Smith; and Tinajero
ADMINISTRATION COMMITTEE:
Committee Chair Wanke announced that at the Administration Committee meeting of
July 12, information regarding MOU's and benefits in relation to Item No. 12 were
requested. He informed the Board that an informational item will be brought forward at a
future Administration Committee meeting to address these items.
12. 2018 BENEFITS INSURANCE RENEWAL (Celia Chandler)
MOVED, SECONDED, AND DULY CARRIED TO: Approve the Orange County
Sanitation District 2018 Benefits Insurance Renewal for the not-to-exceed
amounts specified below:
A. Employee Benefit Specialists (medical, dental, and vision plans; Employee
Assistance Program [EAP])-not-to-exceed $10,507,891;
B. Prudential (basic life, short-and long-term disability) -not-to-exceed
$598,011; and
C. The Standard (EMT & Manager disability) -not-to-exceed $30,000.
AYES:
NOES:
07/26/2017
Barnes; Collacott; Deaton; Delgleize; Ferryman; Hawkins;
Jones; Kim; Krippner; R. Murphy; Nagel; Peotter; Sebourn;
Shaw; Shawver; F. Smith; Steel; Wagner; Wanke; Withers;
and Yarc
None
Minutes of Board Meeting Page 7 of 12
ABSTENTIONS: None
ABSENT: Bernstein; Parker; T. Smith; and Tinajero
13. INDEPENDENT FINANCIAL AUDITORS' COMMUNICATION LETTER FOR
THE AUDIT OF THE ORANGE COUNTY SANITATION DISTRICT FINANCIAL
STATEMENTS AS OF AND FOR THE YEAR ENDED JUNE 30, 2017
(Lorenzo Tyner)
MOVED. SECONDED, AND DULY CARRIED TO: Receive and file the
Communication Letter dated June 15, 2017 prepared by the Orange County
Sanitation District's independent financial auditors, Macias Gini & O'Connell LLP
(MGO).
AYES:
NOES:
ABSTENTIONS:
ABSENT:
Barnes; Collacott; Deaton; Delgleize; Ferryman; Hawkins;
Jones; Kim; Krippner; R. Murphy; Nagel; Peotter; Sebourn;
Shaw; Shawver; F. Smith; Steel; Wagner; Wanke; Withers;
and Yarc
None
None
Bernstein; Parker; T. Smith; and Tinajero
14. SETTLEMENT AGREEMENT FOR CHARGES AND FEES OWED BY ONE
INDUSTRIAL WASTEWATER DISCHARGE PERMITTEE (Lorenzo Tyner)
MOVED. SECONDED. AND DULY CARRIED TO: Approve the settlement
agreement negotiated by the General Manager for the collection of charges owed
for sanitary sewer service charges, plus interest of 6.00%, with Thompson Energy
Resources, LLC, in a form approved by General Counsel.
AYES:
NOES:
ABSTENTIONS:
ABSENT:
Barnes; Collacott; Deaton; Delgleize; Ferryman; Hawkins;
Jones; Kim; Krippner; R. Murphy; Nagel; Peotter; Sebourn;
Shaw; Shawver; F. Smith; Steel; Wagner; Wanke; Withers;
and Yarc
None
None
Bernstein; Parker; T. Smith; and Tinajero
15. DEFERRED PAYMENT AGREEMENT FOR CHARGES AND FEES OWED BY
ONE INDUSTRIAL WASTEWATER DISCHARGE PERMITTEE (Lorenzo Tyner)
MOVED, SECONDED. AND DULY CARRIED TO: Approve the deferred payment
agreement negotiated by the General Manager for the collection of all charges and
fees owed for sanitary sewer service charges, plus interest of 6.00% per annum,
with Aseptic Technology, LLC, in a form approved by General Counsel.
AYES:
0712612017
Barnes; Collacott; Deaton; Delgleize; Ferryman; Hawkins;
Jones; Kim; Krippner; R. Murphy; Nagel; Peotter; Sebourn;
Minutes of Board Meeting Page B of 12
NOES:
ABSTENTIONS:
ABSENT:
Shaw; Shawver; F. Smith; Steel; Wagner; Wanke; Withers;
and Yarc
None
None
Bernstein; Parker; T. Smith; and Tinajero
STEERING COMMITTEE:
16. TITLE XVI BUREAU OF RECLAMATION FUNDING OPPORTUNITY FOR
(SP-173) THE EFFLUENT REUSE STUDY PROJECTS (Robert Ghirelli)
Assistant General Manager Bob Ghirelli provided a brief overview of this funding
opportunity and history of previously submitted grant applications.
MOVED. SECONDED. AND DULY CARRIED TO: Adopt Resolution No. OCSD
17-12 entitled, "A Resolution of the Board of Directors of the Orange County
Sanitation District approving and authorizing the application for the Title XVI Water
Recycling Projects under the Water Infrastructure Improvements for the Nation
(WllN) Act Effluent Reuse Feasibility Studies Program Grant funds and the
execution of grant documents with the United States Department of the Interior,
Bureau of Reclamation."
AYES:
NOES:
ABSTENTIONS:
ABSENT:
Barnes; Collacott; Deaton; Delgleize; Ferryman; Hawkins;
Jones; Kim; Krippner; R. Murphy; Nagel; Peotter; Sebourn;
Shaw; Shawver; F. Smith; Steel; Wagner; Wanke; Withers;
and Yarc
None
None
Bernstein; Parker; T. Smith; and Tinajero
Director Tinajero arrived at 6:14 p.m.
17. ORANGE COUNTY SANITATION DISTRICT RESPONSE TO GRAND JURY
REPORT (Jim Herberg)
Mr. Herberg provided a history and overview of this item. He also stated that the
County of Orange and Orange County Fire Authority were also mentioned in the
Grand Jury report in response to a question regarding other agencies that are
contracted with Orange County Employees Retirement System.
MOVED, SECONDED. AND DULY CARRIED TO:
A. Approve the Orange County Sanitation District Response to the Orange
County Grand Jury Report entitled "Pension Enhancements: A Question of
Government Code Compliance" published May 17, 2017; and
B. Adopt Resolution No. OCSD 17-13 entitled: "A Resolution of the Board of
Directors of the Orange County Sanitation District establishing a procedure
07/26/2017 Minutes of Board Meeting Page 9of12
to ensure compliance with Government Code section 7507 transparency
requirements."
AYES:
NOES:
ABSTENTIONS:
ABSENT:
Barnes; Collacott; Deaton; Delgleize; Ferryman; Hawkins;
Jones; Kim; Krippner; R. Murphy; Nagel; Peatier; Sebourn;
Shaw; Shawver; F. Smith; Steel; Tinajero; Wagner; Wanke;
Withers; and Yarc
None
None
Bernstein; Parker; and T. Smith
Director Bernstein arrived at 6:15 p.m.
AB 1234 REPORTS:
Director Ferryman stated that he will attend a Border Committee meeting this week and
reported on the recent Groundwater Replenishment System Steering Committee meeting
where the next steps for final expansion were discussed.
CLOSED SESSION:
CONVENED IN CLOSED SESSION PURSUANT TO GOVERNMENT CODE
SECTIONS 54956.9(d)(4), 54956.8 & 54956.9(d)(1):
The Board convened in closed session at 6:23 p.m. to discuss four items. Confidential
minutes of the Closed Session have been prepared in accordance with the above
Government Code Sections and are maintained by the Clerk of the Board in the Official
Book of Confidential Minutes of Board and Committee Closed Session Meetings.
Director Nagel recused himself and left the meeting during discussion on Item CS-1 A and
Item CS-2.
Director Wagner left the meeting at 6:29 p.m.
RECONVENED IN REGULAR SESSION:
The Board reconvened in regular session at 6:41 p.m.
CONSIDERATION OF ACTION, IF ANY, ON MATTERS CONSIDERED IN CLOSED
SESSION:
General Counsel Brad Hagin reported the following in regard to Item CS-3: The Board of
Directors unanimously approved (by the following vote) a Settlement Agreement in the
matter of City of Los Angeles v. County of Kern. The terms of the settlement are as
follows: Kern will not appeal the decision by the Tulare Superior Court; the 2003
Ordinance will remain in effect; permit decisions will be made according to objective
criteria; Kern will prepare an EIR, but will collaborate with the plaintiff's sanitation
07/26/2017 Minutes of Board Meeting Page 10of12
agencies; City of Los Angeles' Green Acres farm is determined to be lawful; and the
decision will have collateral estoppel and res judicata effect on any future disputes
between the parties.
AYES:
NOES:
ABSTENTIONS:
ABSENT:
Barnes; Bernstein; Collacott; Deaton; Delgleize; Ferryman;
Hawkins; Jones; Kim; Krippner; R. Murphy; Nagel; Peotter;
Sebourn; Shaw; Shawver; F. Smith; Steel; Tinajero; Wanke;
Withers; and Yarc
None
None
Parker; T. Smith; and Wagner
Item No. 18 was heard prior to Closed Session, but was voted on after Closed Session.
18. APPRAISAL TO ACQUIRE REAL PROPERTY (Rob Thompson)
Director of Engineering Rob Thompson provided an informative PowerPoint
Presentation regarding this item, including the target and progress of the project
and acquisition history. Mr. Thompson requested that the vote for this item be
taken after a related Closed session item was heard.
MOVED, SECONDED, AND DULY CARRIED TO: Authorize the General
Manager to enter into an agreement with George, Hamilton, Jones, Inc. Real
Estate Appraisers & Consultants to conduct an appraisal of real property located
at 18429 Pacific Street, 18410-18436 Bandilier Circle, and 18368-18375 Bandilier
Circle to prepare the Sanitation District to initiate negotiations to acquire the same
property in compliance with Government Code section 7267 .1.
AYES:
NOES:
ABSTENTIONS:
ABSENT:
Barnes; Bernstein; Collacott; Deaton; Delgleize; Ferryman;
Hawkins; Jones; Kim; Krippner; Peotter; Sebourn; Shaw;
Shawver; F. Smith; Tinajero; Wanke; Withers; and Yarc
Steel
R. Murphy and Nagel
Parker; T. Smith; and Wagner
OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS,
IFANY:
None.
07/26/2017 Minutes of Board Meeting Page11of12
ADJOURNMENT:
At 6:51 p.m. Chair Sebourn adjourned the meeting until the Regular Meeting of the Board
of Directors on August 23, 2017 at 6:00 p.m .
Submitted by:
07/26/2017 Minutes of Board Meeting Page 12of12