HomeMy WebLinkAbout08-01-2012 Operations Committee Minutes MINUTES OF THE
OPERATIONS COMMITTEE
Engineering, Operations & Maintenance, and Facilities Support Services
Orange County Sanitation District
A regular meeting of the Operations Committee of the Orange County Sanitation District
was held on August 1 , 2012, at 5:00 p.m. in the District's Administrative Office.
A quorum was declared present, as follows:
Operations Directors Present: Staff Present:
John Nielsen, Vice Chair Jim Ruth, General Manager
Bill Dalton Bob Ghirelli, Assistant General Manager
Michael Levitt Jim Herberg, Assistant General Manager
Joy Neugebauer Nick Arhontes, Director of Facilities Support
Steven Rosansky Services
Don Schweitzer Jeff Reed, Director, Human Resources
David Shawver Ed Torres, Director of Operations & Maintenance
Harry Sidhu (Alternate) Lorenzo Tyner, Director of Finance &
Fred Smith Administrative Services
Troy Edgar, Board Chair Nakeisha Turner, Secretary Pro Tern
John Anderson, Board Vice Chair Dean Fisher, Engineering Manager
Tod Haynes, Engineering Manager
Operations Directors Absent: Rob Thompson, Engineering Manager
Tom Beamish, Chair Jeff Armstrong
Gail Eastman Greg Blakeley
Scott Nelson Jim Colston
Ron Coss
Others Present: Marc Dubois
Brad Hogin, General Counsel Mark Esquer
Larry Crandall, Director Anne Marie Feery
Brad Reese, Director Al Garcia
Layne Baraldi Tom Meregillano
Shaen Magan Leyla Perez
Chris Marks Alex Shaaban
Joel Santos Warren Sternin
Jeff Thurber Chris Yates
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General Counsel, Brad Hogin, announced that when the majority of the OCSD Board of
Directors is present, those Directors in attendance that are not assigned to the
Operations Committee Meeting may sit in the audience but may not participate in the
meeting in any way.
PUBLIC COMMENTS:
Vice Chair Nielsen deferred public comments on Item 6 to the time the item was
addressed.
REPORT OF COMMITTEE CHAIR:
Vice Chair Nielsen did not give a report.
REPORT OF GENERAL MANAGER:
General Manager, Jim Ruth, did not give a report.
DEPARTMENT HEAD REPORT:
Jim Herberg, Assistant General Manager, gave a brief report on the status of Phase 2
of the Outfall Land Section and Ocean Outfall Boosting Station Piping Rehabilitation,
Project J-11213; he will continue to report on the project as it evolves. Jeff Armstrong,
Environmental Supervisor, also addressed questions regarding monitoring of the outfall
from the Committee members.
Ed Torres, Director of Operations & Maintenance, reported on the following: completion
of construction on the secondary treatment process facilities at Plant No. 1; the start of
Boat Captain, Kathy Peet; and the intent of staff to recommend a contract extension to
complete work related to secondary treatment requirements at Plant No. 2 to the Board
at its next regular meeting.
Directors Rosansky and Schweitzer joined the meeting at 5:08 p.m.
CONSENT CALENDAR:
Director Sidhu departed the meeting before Items 1 through 7 were considered.
1. MOVED, SECONDED, AND DULY CARRIED: Approve Minutes of June 6, 2012,
Operations Committee meeting.
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2. MOVED, SECONDED, AND DULY CARRIED: Recommend to the Board of
Directors to:
Approve a contingency increase of $79,540 (10%) to the Professional Design
Services Agreement with AECOM Technical Services for the Balboa Trunk
Sewer Rehabilitation, Project No. 5-47, for a total contingency of $159,280
(20%).
3. MOVED, SECONDED, AND DULY CARRIED: Recommend to the Board of
Directors to:
Approve a contingency increase of $266,248 (13%) to the construction contract
with J. Fletcher Creamer & Son, Inc., for Interplant Gas Line Rehabilitation,
Project No. J-106, for a total contingency of $409,612 (20%)
4. MOVED, SECONDED, AND DULY CARRIED: Recommend to the Board of
Directors to:
Approve a budget increase of $97,000 for Central Generation Automation,
Project J-79-1, for a total budget amount of$23,443,000.
5. MOVED, SECONDED, AND DULY CARRIED: Approve a name change for
Project No. P2-106 from Chemical Scrubber Conversions and Piping System
Improvements to "Boiler System Rehabilitation and Scrubbers H & I Demolition at
Plant No. 2".
PUBLIC COMMENTS:
At this time, public comments were heard regarding Item 6.
Company representatives from Terra Renewal and Tule Ranch each distributed letters
for the Committee.
Joel Santos (Terra Renewal) expressed his concerns over the proposal evaluation
process used in awarding the biosolids management contract. He recommended action
on this item be suspended and a new bid process be considered.
Chris Marks (Terra Renewal) expressed his concerns over the award protest process
and the evaluation of Terra Renewal's experience. He recommended the proposal and
award process be conducted again. Mr. Marks addressed questions from the
Committee regarding the cause for cost differentials of similar services bid recently by
an external agency.
Jeff Thurber (Terra Renewal) expressed concern over the proposal evaluation process
and provided information on the market trends for biosolids management services.
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Shaen Magan (Yule Ranch) provided the Committee with information about the
operations and pricing of Tule Ranch.
NON-CONSENT:
Jim Ruth, General Manager, clarified that Item 6 is a recommendation to the full Board.
From the Operations Committee, the Board will make the ultimate decision concerning
the award of the biosolids management contract. Mr. Ruth summarized recent events
of staff correspondence with directors regarding questions posed from the Board at its
regular meeting held on June 27, 2012, and with Terra Renewal regarding its Statement
of Complaint. Mr. Ruth reaffirmed staff's recommendation to award the biosolids
management contract to Tule Ranch.
Jim Herberg, Assistant General Manager, provided a review of staff's justification for
recommending the contract award to Tule Ranch.
After dialogue between the Committee members and Terra Renewal, staff was directed
by Vice Chair Nielsen to request that Terra Renewal waive confidentiality of its financial
data for members of the Board to review in consideration of its award of the biosolids
management contract.
6. MOVED, SECONDED, AND DULY CARRIED: Recommend to the Board of
Directors to:
A. Receive and file Statement of Complaint for the Recommendation of
Biosolids Management Contract Award letter dated July 12, 2012 from
Terra Renewal West LLC protesting award to Tule Ranch;
B. Receive and file letter dated July 23, 2012 to Terra Renewal West LLC
responding to the Statement of Complaint; and,
C. Approve a contract with Tule Ranch to manage the Orange County
Sanitation District's biosolids from Reclamation Plant No. 1 and Treatment
Plant No. 2 for land application and/or landfill disposal (Specification No.
S-2011-513BD), for the period commencing on January 1, 2013 through
December 31 , 2017, with one five-year renewal option, for the unit price of
$54.50 per ton for land application, for a total annual amount not to
exceed $19,000,000.
Director Rosansky opposed.
INFORMATION ITEMS:
7. Changes to Ocean Monitoring Program with the new Ocean Discharge Permit
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Jeff Armstrong delivered a PowerPoint presentation that included information on the
frequency of sample collection under OCSD's new Ocean Discharge Permit. Ron Coss,
Environmental Lab and Operations & Maintenance Manager, was also present and
addressed questions from the Committee.
OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA
ITEMS, IF ANY:
Director Shawver thanked staff for a well-organized, structured, and very informative
Community Open House outreach event held at OCSD on the preceding Saturday.
Director Neugebauer thanked staff for attending and distributing materials at the
Westminster Safety Day.
Director Anderson inquired about when public service announcements generated from
the Video Contest will be made available. Staff announced they are now viewable on
the OCSD website; a disk will be made available for directors.
ADJOURNMENT:
Committee Vice Chair Nielsen declared the meeting adjourned at 6:34 p.m.
Submitted by:
Nakeisha Turner
Secretary Pro Tern
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Jeff Armstrong delivered a PowerPoint presentation that included information on the
frequency of sample collection under OCSD's new Ocean Discharge Permit. Ron Coss,
Environmental Lab and Operations & Maintenance Manager, was also present and
addressed questions from the Committee.
OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA
ITEMS, IF ANY:
Director Shawver thanked staff for a well-organized, structured, and very informative
Community Open House outreach event held at OCSD on the preceding Saturday.
Director Neugebauer thanked staff for attending and distributing materials at the
Westminster Safety Day.
Director Anderson inquired about when public service announcements generated from
the Video Contest will be made available. Staff announced they are now viewable on
the OCSD website; a disk will be made available for directors.
ADJOURNMENT:
Committee Vice Chair Nielsen declared the meeting adjourned at 6:34 p.m.
Submitted by:
Nakeisha Turner
Secretary Pro Tern
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