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Home My WebLink About1999-05 FILED IN THE OFFICE OF THE SECRETARY ORANGE COUNTY SANITATION DISTRICT b GRriNuL 9 JUN 18 1999 JUN 23 1999 Sy �� - MINUTES OF STEERING COMMITTEE Wednesday, May 26, 1999 A combined meeting of the Steering and Ad Hoc Committees of the Orange County Sanitation District was held on Wednesday, May 26, 1999 at 5 p.m., in the District's Administrative Office. (1) The roll was called and a quorum declared present, as follows: STEERING COMMITTEE MEMBERS: STAFF PRESENT: Directors Present: Don McIntyre, General Manager Jan Debay, Chair of the Board Debra Lecuna, Deputy Committee Secretary Peer Swan, Vice Chair of the Board David Ludwin, Director of Engineering Pat McGuigan, Chairman, OMITS Committee Mike Petennan, Director of Human Resources Norm Eckenrode, Chairman, PDC Committee Michelle Tuchman, Director of Communications Tom Saltarelli, Chairman, FAHR Committee Gary Streed, Director of Finance Jim Silva, County Supervisor Greg Mathews, Assistant to General Manager John Collins, Past Chairman of the Board OTHERS PRESENT: Thomas L. Woodruff, General Counsel Don Hughes Ryal Wheeler (2) APPOINTMENT OF CHAIR PRO TEM No appointment was necessary. (3) PUBLIC COMMENTS There were no comments by any member of the public. (4) RECEIVE, FILE AND APPROVE MINUTES OF PREVIOUS MEETING The minutes of the of the April 28, 1999 Combined Meeting of the Steering and Ad Hoc Committees were approved as drafted. (5) REPORT OF THE COMMITTEE CHAIR The Committee Chair did not make a report. Minutes of the Steering Committee Page 2 May 26, 1999 (6) REPORT OF THE GENERAL MANAGER A. The General Manager announced that nominations for the Chairmanship will be made in June at the regular Board Meeting. Also, the discussion of the Pacific Coast Highway spill has once again been pulled from the Water Board Agenda. The General Manager also referred to a telephone conversation he received from Jim Stahl, Assistant General Manager of Los Angeles County Sanitation District who informed him that Senator Potence is considering a bill that will not allow counties to adopt ordinances on biosolids until the statewide EIR on biosolids is complete. The EIR is scheduled to be completed in October 2000. However, it is late in the legislative cycle to submit a new bill. The Senator will have to attach it to another bill to ensure it is heard by the legislature this session. B. Legislators' Day Michelle Tuchman presented a tentative Agenda for Legislators' Day and requested the Committee's input. Legislators' Day is scheduled for Friday, June 25, 1999. Tentative guest speakers include Jerry King of the Metropolitan Water District Board who will discuss water issues in California and how they pertain to Orange County. Director Jim Silva will speak about Orange County growth projections and the infrastructure needs to accommodate that growth. Don McIntyre will speak about the Strategic Plan. Blake Anderson will speak about the Santa Ana River Watershed Program and Chino Basin including the dairy situation and the day will conclude with a presentation by Bill Mills on the Groundwater Replenishment System. 7) REPORT OF GENERAL COUNSEL General Counsel advised that there will be a need to add two items to the Closed Session Agenda, needing immediate action, which arose subsequent to the publication of the Agenda, to wit: Louis Sangermano v. County Sanitation Districts, at al., Orange County Superior Court Case No. 732680; and County Sanitation District No. 3 v. United Technologies, at al., Orange County Superior Court Case No. 722816. (8) DISCUSSION ITEMS (Items A-D) A. Consider Revisions to Payment of Claims Report(Gary Streed) Gary Streed requested the Committee's consideration on revising the Payment of Claims Report by eliminating the brief description of purchase or service. Although the description is not required, the Board Is still required to ratify the claims for which the description might be necessary. It was concluded by staff that almost .25 FTE per year is utilized to prepare such a detailed report. After discussion, the Committee agreed that the current level of detail shown in the report is necessary for ratification. However, it was also suggested that perhaps a middle-ground could be reached in order to save staff time and still offer the Board sufficient information to ratify the report. If so, the new proposed report should be presented to the FAHR Committee. Minutes of the Steering Committee Page 3 May 26, 1999 B. Purchasing Resolution and Delegation of Authority(Don McIntyre) This item recommends that the Delegation of Authority for the General Manager and the Director of Engineering be increased to $100,000 for Professional Services Agreements and change orders. The new resolution would consolidate past resolutions to offer more consistency on the General Manager's delegation of authority. It will also provide additional Flexibility to save District time in getting projects approved, lessen the workload submitted to the Board and Committees, and provide more time for the Directors to focus on the"bigger picture" projects. It was also discussed to give purchasing authority at the Division and Department level for which a credit card system would be developed. After discussion, the Committee agreed to send this proposed item to the FAHR Committee for further discussion and eventually to the PDC. C. Update on Employment Law Bills (Mike Peterman) Mike Peterman gave the Committee an update on two important bills currently under consideration by the legislature. AB240 and SB739 will have a significant Impact on the negotiating and bargaining process between the District and its employees. Both bills would allow management, confidential, or supervisory employees to enter into agency shop agreements. SB739 goes so far as to allow employees of the District to establish agency shop agreement without negotiating with the District If 30% of the employees sign a petition and this is a majority vote in favor of the agreement. The Southern California Alliance of Publicly Owned Treatment Works (SCAP) is urging wastewater agencies to submit letters in opposition to both of these bills. After discussion, it was agreed that Human Resources and General Counsel will prepare a letter for the Steering Committee's approval and Chair Debay's signature to show opposition to these two bills. D. Report on Status of State Water Bond Proposals (Don McIntyre) The General Manager provided information regarding California Water Bonds. The Committee discussed whether the District should become more involved in these types of issues in order to earmark funds for the Santa Ana River Watershed Program and/or GWRS that could benefit the District. It was decided to monitor the efforts being made by the Southern California Alliance to see If our active participation may be needed. E. Review Agenda Items Scheduled to Be Presented to Committees in June (Information item only) The General Manager referred to PDC Item#9 and clarified that discussion will be held on the entire 1999-00 Proposed Budget as well as the Capital Improvement Plan. All Committees will review the Proposed Budget in June. Minutes of the Steering Committee Page 4 May 26, 1999 (9) OTHER BUSINESS, COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY Director Saltarelli suggested that the Tramell/Crow matter be referred back to the FAHR Committee. The General Manager also informed the Committee that a Draft Agreement prepared by General Counsel is now being reviewed by IRWD. Director Swan requested further information on the cooperative projects item shown on the Board Agenda for May regarding Inflow and Infiltration costs. The Committee discussed the matter but did not decide on any actions. (10) MATTERS WHICH A DIRECTOR WOULD LIKE STAFF TO REPORT ON AT A SUBSEQUENT MEETING There were none. (11) MATTERS WHICH A DIRECTOR MAY WISH TO PLACE ON A FUTURE AGENDA FOR ACTION AND/OR STAFF REPORT There were none. (12) CONSIDERATION OF UPCOMING MEETINGS The next Steering Committee meeting is scheduled for June 23, 1999 at 5 p.m. (13) CLOSED SESSION General Counsel reported to the Committee the need for a closed session, as authorized by Government Code Section 54957 to discuss and consider the item that is specified as Item No. 13A(1)on the published Agenda. General Counsel also indicated a need to add two items needing immediate action that arose subsequent to the publication of the Agenda. He reported that additional items could be added pursuant to Government Code Section 54954.2(b) upon a two-thirds vote of the Committee. No other items would be discussed or acted upon. It was moved, seconded, and unanimously carried that pending litigation matters entitled Sangermano v. County Sanitation Districts., OCSC Case No. 732680, and County Sanitation District No. 3 v. United Technologies, et al., OCSC Case No. 722816 be added to the Agenda for discussion and action as Items Nos. 13A(2)and 13A(3). At 6:15 p.m, the Committee convened in closed session pursuant to Government Minutes of the Steering Committee Page 5 May 26, 1999 Code Sections 54957 and 54956.9. Confidential Minutes of the Closed Session held by the Committee have been prepared in accordance with California Government Code Section 54957.2 and are maintained by the Board Secretary in the Official Book of Confidential Minutes of Board and Committee Closed Meetings. A report of actions taken will be publicly reported at the time the approved actions become final re Agenda Items Nos. 13A(1), 13A(2), and 13A(3) . At 7:00 p.m., the Committee reconvened in regular session. (14) ADJOURNMENT The Chair declared the meeting adjourned at 7:00 p.m. Prepa d,py:rDebra Lecuna Deputy Committee Secretary 14adonldafal iwp.dtale9endatSteedip Commidea19914pr991942899 SC Minefas.doc STATE OF CALIFORNIA) ) SS. COUNTY OF ORANGE ) Pursuant to California Government Code Section 54954.2, 1 hereby certify that the Notice and the Agenda for the Steering Committee meeting held on Wednesday, May 26, 1999, was duly posted for public inspection in the main lobby of the District's offices on Thursday, May 20, 1999. IN WITNESS WHEREOF, I have hereunto set my hand this 26th day of May, 1999. �16 Penny Kyle, S W of he Board of Directors of Orange County Sa�alion District ' Posted: May 20 , 1999, 2_30p.m. By: 44Ak��l�C�fl�CSLR Signature wp0ocgmlSVwmmpostln9 M1n ORANGE COUNTY SANITATION DISTRICT BhOee; BOARD SECRETARY (2) (714)962-2411 mailing address: P.O. Box B127 fi otain Valley.CA 92728-B127 ams"m.aeros: NOTICE OF MEETING 10844 Ellis A`enus 92708170 a STEERING COMMITTEE ORANGE COUNTY SANITATION DISTRICT Mambo, Aysneles • titles WEDNESDAY, MAY 26, 1999 - 5 P.M. Anaheim Brea Buena Park DISTRICT'S ADMINISTRATIVE OFFICE Fountain Valley 10844 ELLIS AVENUE FuOertan GnMan Bove FOUNTAIN VALLEY, CALIFORNIA 92708 Huntington Beech lrwne Habra Le Pall Palma Los Main nka,utct Beach A regular meeting of the Steering Committee of the Board of Directors of °range Placentia Orange County Sanitation District, will be held at the above location, date and Bents Ace time. seal Beam Stanwn Tustin Ylls Park %rba Linda C...b, a Ona4e Smitsry Distrlees Cone Mesa Midway Gry ill District. lmne Ranch I -To Protect tna Public Health and Me Environment through Excellence in Wastewater Systems' STEERING COMMITTEE AND BOARD MEETING DATES FOR THE NEXT YEAR Wednesday, June 23, 1999 Wednesday, July 21', 1999 Wednesday, August 25, 1999 Wednesday, September 22, 1999 Wednesday, October27, 1999 Wednesday, November 17', 1999 Wednesday, December 15', 1999 Wednesday, January 26, 2000 Wednesday, February 23, 2000 Wednesday, March 22, 2000 Wednesday, April 26, 2000 Wednesday, May 24, 2000 Wednesday, June 28, 2000 "Tentatively rescheduled from regular fourth Wednesday. STEERING COMMITTEE (1) Roll Call: Meeting Date: May 26 1999 Meeting Time: 5 p.m. Meeting Adjourned: Committee Members Jan Debay, Chair of the Board ............................ — John J. Collins, Past Joint Chairman ...................._ — Peer A. Swan, Vice Chair...................................— Norm Eckenrode, Chair, PDC Committee .............. — Pat McGuigan, Chair, OMTS Committee ............... — Tom Saltarelli, Chair, FAHR Committee ............... Todd Spitzer, Supervisor ...................................— Others Thomas L. Woodruff, General Counsel.................... Staff Present Donald F. McIntyre, General Manager...................... - Blake P. Anderson, Asst. General Manager..............— Gary Streed, Director of Finance...............................— Mike Peterman, Director of Human Resources.........— Michael D. White, Controller......................................— Marc DuBois, Contracts/Purchasing Manager..........— Ed Torres, Air Quality Control Manager....................— Debra Lecuna, Deputy Committee Secretary............— c: Debbie Lecuna AGENDA REGULAR MEETING OF THE STEERING COMMITTEE ORANGE COUNTY SANITATION DISTRICT WEDNESDAY, MAY 26, 1999 AT 5 P.M. ADMINISTRATIVE OFFICE 10844 Ellis Avenue Fountain Valley, California In accordance with the requirements of California Government Code Section 54954.2, this agenda has been posted in the main lobby of the District's Administrative Once not less than 72 hours prior to the meeting date and time above. All written materials relating to each agenda item are available for public inspection in the office of the Board Secretary. In the event any matter not listed on this agenda is proposed to be submitted to the Steering Committee for discussion and/or action, it will be done in compliance with Section 54954.2(b)as an emergency item or that there is a need to take immediate action which need came to the attention of the District subsequent to the posting of the agenda, or as set forth on a supplemental agenda posted not less than 72 hours prior to the meeting date. (1) ROLL CALL (2) APPOINTMENT OF CHAIR PRO TEM, IF NECESSARY (3) PUBLIC COMMENTS All persons wishing to address the Steering Committee on speck agenda items or matters of general interest should do so at this time. As determined by the Chairman, speakers may be deferred until the specific item is taken for discussion and remarks may be limited to five minutes. Matters of interest addressed by a member of the public and not listed on this agenda cannot action taken by the Committee except as authorized by Section 54954.2(b). -2- May 26, 1999 Agenda (4) APPROVE MINUTES OF PREVIOUS MEETING Approve draft minutes of the April 28, 1999 Steering Committee meeting. (5) REPORT OF COMMITTEE CHAIR (6) REPORT OF GENERAL MANAGER Legislator's Day (Michelle Tuchman) (7) REPORT OF GENERAL COUNSEL (8) DISCUSSION ITEMS (Items A-D) A. Consider Revisions to Payment of Claims Report (Gary Streed) B. Purchasing Resolution and Delegation of Authority (Don McIntyre) C. Update on Employment Law Bills (Mike Peterman) D. Report on Status of State Water Bond Proposals (Don McIntyre) E. Review Agenda Items Scheduled to Be Presented to Committees in June (Information item only) (9) OTHER BUSINESS, COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY (10) MATTERS WHICH A DIRECTOR WOULD LIKE STAFF TO REPORT ON AT A SUBSEQUENT MEETING (11) MATTERS WHICH A DIRECTOR MAY WISH TO PLACE ON A FUTURE AGENDA FOR ACTION AND STAFF REPORT (12) FUTURE MEETING DATES The next Steering Committee Meeting is scheduled for 5 p.m., Wednesday, June 23, 1999. The next Board Meeting is scheduled for 6:30 p.m., Wednesday, June 23, 1999. r -3- May 26, 1999 Agenda (13) CLOSED SESSION During the course of conducting the business set forth on this agenda as a regular meeting of the Steering Committee, the Chair may convene the Committee in closed session to consider matters of pending real estate negotiations, pending or potential litigation, or personnel matters, pursuant to Government Code Sections 54956.8, 54956.9, 54957 or 54957.6, as noted. Reports relating to (a) purchase and sale of real property; (b) matters of pending or potential litigation; (c)employment actions or negotiations with employee representatives; or which are exempt from public disclosure under the California Public Records Act, may be reviewed by the Directors during a permitted closed session and are not available for public inspection. At such time as final actions are taken by the Board on any of these subjects, the minutes will reflect all required disclosures of information. A. Convene in closed session, pursuant to Government Code Section 54957 to: 1) Consideration of Early Retirement medical request by Tom Gerlinger B. Reconvene in regular session C. Consideration of action, if any, on matters considered in closed session. (14) ADJOURNMENT jt H:WA.MAGENDMTEENIND CDMMMEfl98lMAYBJM WADENDAw NDTN:e M0 aDLLCM SHEET,Doc Notice to Committee Members: For any questions on the agenda or to place items on the agenda,Committee members should contact the Committee Chair or the Secretary ten days in advance of the Committee meeting. Committee Chair: Jan Debay (949)644-3004(Newport Beach City Hall) Secretary: Jean Tappan (714)593-7101 (714)962-0356(Fax) E-mail: jtappan(Mocsd.com 1 DRAFT MINUTES OF COMBINED STEERING AND AD HOC COMMITTEES MEETING Wednesday, April 28, 1999 A combined meeting of the Steering and Ad Hoc Committees of the Orange County Sanitation District was held on Wednesday,April 28, 1999 at 5 p.m., in the District's Administrative Office. (1) The roll was called and a quorum declared present, as follows: STEERING COMMITTEE MEMBERS: Directors Present: OTHERS PRESENT: Jan Debay, Chair of the Board Thomas L. Woodruff, General Counsel Pat McGuigan, Chairman, OMTS Committee Don Hughes Norm Eckenrode, Chairman, PDC Committee Ryal Wheeler Tom Saltarelli, Chairman, FAHR Committee Jim Silva, County Supervisor John Collins, Past Chairman of the Board STAFF PRESENT: Don McIntyre, General Manager Directors Absent: Blake Anderson, Asst. General Manager Peer Swan, Vice Chair Jean Tappan, Committee Secretary Bob Ghirelli, Director of Technical Services AD HOC COMMITTEE MEMBERS: Mike Moore, Manager of ECM Division Directors Present: David Ludwin, Director of Engineering Jan Debay, Chair of the Board Jim Herberg, Engineering Supervisor Pat McGuigan, Chairman, OMTS Committee Mike Peterman, Director of Human Resources Norm Eckenrode, Chairman, PDC Committee Michelle Tuchman, Director of Communications Tom Saltarelli, Chairman, FAHR Committee Gary Streed, Director of Finance John Collins, Past Chairman of the Board Directors Absent: Peer Swan, Vice Chair (2) APPOINTMENT OF CHAIR PRO TEM No appointment was necessary. (3) PUBLIC COMMENTS There were no comments by any member of the public. Minutes of the Steering Committee r Page 2 April 28, 1999 (4) RECEIVE, FILE AND APPROVE MINUTES OF PREVIOUS MEETING The minutes of the of the March 24, 1999 Combined Meeting of the Steering and Ad Hoc Committees were approved as drafted. (5) REPORT OF THE COMMITTEE CHAIR The Committee Chair did not make a report. (6) SPECIAL REPORT BY DIRECTOR SALTARELLI RE CROW WINTHROP MEETING This report was deferred until Director Saltarelli arrived. (See below) (7) REPORT OF THE GENERAL MANAGER General Manager McIntyre indicated that the status of SPMT negotiations would be discussed in Closed Session. A. Update on Kern County Issues re Biosolids Disposal Blake Anderson and Mike Moore explained the ongoing activities associated with the biosolids ordinance being considered by the Kern County Board of Supervisors. Staff continues to monitor and participate as necessary. e. The Fair Competition and Taxpayer Savings Act Blake Anderson provided a heads up that a recent California Supreme Court ruling has determined that state resources (civil servants) are to be allowed to provide engineering services on state funded projects. Several bills are being drafted that would allow the continuation of public-private partnerships, and there is an initiative process that is underway. If the initiative is approved, it would appear on the March 2000 ballot. Staff, at that time, would seek active support from the Board by way of a resolution. No action was taken by the Steering Committee. C. Update on California Water Bond Mr. Anderson reported that SAWPA is building a coalition to get a water bond that would address issues of importance to the District and other agencies in the watershed. When the ballot measure is in final form, staff will seek support from the Board. D. Legislators Day at the District, and E. Managing Public Outrage with Peter Sandman Michelle Tuchman described several events that the Directors may wish to participate in: Legislators' Day on Friday, June 25 between 8:30 and 11:30 a.m.; a day-long workshop with Peter Sandman on Wednesday, October 20; and a tour of the Chino Basin and surrounding drainage area on Saturday, June 12. Ms. Tuchman also presented concept drawings of new signage for the CNG station that will be presented to the City of Fountain Valley for review. After discussion, it was determined that the Committee meetings would continue to be held in Conference Room AIB, unless there is a special event that could result in larger than usual attendance. 1 Minutes of the Steering Committee Page 3 April 28, 1999 Bob Ghirelli, Director of Technical Services, reported that there was a NPDES permit violation in February that was not caught until well after the fact, and as a result EPA and the Regional Board were not notified as required. However, once it was identified, staff immediately notified the regulators by letter and has developed an action plan to determine where the compound entered the influent. The new computer module of LIMS will prevent this from occurring in the future. (8) REPORT OF GENERAL COUNSEL General Counsel reported on the claim submitted by Colich Construction re the Slater Avenue Pump Station project, Contract No. 11-17. A construction analyst will be engaged to evaluate records and data and provide an opinion to try to resolve this issue. (9) DISCUSSION ITEMS (Items A-D) A. Service to Areas Outside the District's Boundary Gary Streed provided the additional information requested at last month's Steering Committee meeting on the existing policy. The proposed changes would allow service for all areas within the natural drainage areas to the Sanitation District, some outside of Orange County. The request from Brea has been incorporated into the resolution. Tom Woodruff, General Counsel, indicated that the because this is a policy and not an ordinance, the Board could make changes or waive certain requirements. It was moved, seconded and approved to forward the policy to the Board at the May meeting. B. Lemon Heights Annexation Agreements David Ludwin, Director of Engineering, reported on the status of the developer's request to annex property to the District and to provide a pump station to handle flow from this 'island' in unincorporated County territory. Other homeowners have requested that they be part of the annexation, and as a result 44 homeowners will be signing agreements to annex to the District. These requests will be presented to the Board in May. Following LAFCO approval, the Board will be asked to approve the annexations. (6) At 6 p.m. Director Saltarelli arrived and described his meeting with Mr. Bill Lane of Crow Winthrop on their claim against the District regarding the Consolidation. It appears that an agreement has been reached wherein Crow Winthrop will drop Its claim and the District will continue to work to reach agreement on the pump station relocation and future sewering of the Park Place development. Nothing has been received in writing to date. / I Minutes of the Steering Committee Page 4 April 28, 1999 (9) continued C. Computer Loan Program for Directors Don McIntyre explained the computer loan program currently offered to employees and asked if there was any interest in expanding it to include Directors. After discussion, it was decided to discuss the issue at a future FAHR Committee meeting, after contacting the Political Fair Practices Commission on appropriateness. D. The agenda items scheduled to be presented to Committees in May were reviewed. (10) REPORT OF AD HOC COMMITTEE CHAIR Chair Collins did not make a report. (11) AD HOC COMMITTEE DISCUSSION ITEMS A. Seaside Financial Lease Agreement at Plant 1 The current lease agreement with Seaside Financial for the storage facility is scheduled to terminate in September 1999. Staff recommended that the lease be extended with the same terms until December 2001. At that time, the lease could be extended on an agreed upon term but with a reduced area to provide space that could be required by the GWR project. The members of the Steering Committee agreed with the recommendation. B. Recommend providing a Verbal Report re GWR Joint Coordination Committee at monthly Board meetings C. Recommend that the Board receive and file minutes of the Joint Coordination Committee meetings D. Recommend that all Joint Coordination Committee recommendations requiring Board approval be presented directly to the Board Ad Hoc Committee Chair Collins recommended that items B., C., and D. be considered together. It was moved, seconded and approved to accept staff recommendations. Items of special interest and without urgency, however, will continue to be presented to the PDC Committee, as determined by the Ad Hoc Committee Chair. (12) OTHER BUSINESS, COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY There was no other business discussed. Minutes of the Steering Committee Page 5 April 28, 1999 (13) MATTERS WHICH A DIRECTOR WOULD LIKE STAFF TO REPORT ON AT A SUBSEQUENT MEETING Director Collins asked that the issue of Director Compensation be considered at a future FAHR Committee. General Counsel Woodruff indicated that changes to the compensation structure require legislative action and that CASA is currently working on identifying a bill currently under consideration that this could be added to. Mr. Woodruff will report back to the Committee at the next meeting on the status. (14) MATTERS WHICH A DIRECTOR MAY WISH TO PLACE ON A FUTURE AGENDA FOR ACTION AND/OR STAFF REPORT There were none. (15) CONSIDERATION OF UPCOMING MEETINGS The next Steering Committee meeting is scheduled for May 26, 1999 at 5 p.m. (16) CLOSED SESSION The Committee convened at 6:34 p.m. in Closed Session, pursuant to Section 54957, to consider the appointment of a public employee to the position of General Manager and to consider the terms of a termination agreement. Minutes of the Closed Session are on file with the Board Secretary. The minutes of the Joint Board will report on the actions when they are approved. At 6:58 p.m., the Committee reconvened in regular session. (17) ADJOURNMENT The Chair declared the meeting adjourned at 6:58 p.m. Prepared by: Jean Tappan Steering Committee Secretary IVeIanNNefl,ry Oleb�eMelSkMfp fummltleeW9Np9BN NN SC MMvlaxhc STEERING COMMITTEE Meetln9 Date To ad.at Dr. AGENDA REPORT Rem Number Rem Number Orange County Sanitation District FROM: Gary G. Streed, Director of Finance SUBJECT: CONSIDER REVISIONS TO PAYMENT OF CLAIMS REPORT GENERAL MANAGER'S RECOMMENDATION Approve revisions to Payment of Claims Report, deleting the purchase description and reducing preparation time by approximately 500 hours per year. SUMMARY Each month the Directors ratify the"Payment of Claims" report of the District by a roll call vote at the Board meeting. The report (copy attached) includes the warrant number, the payee, the amount of the warrant, and a brief description of the purchase or service. Two reports are prepared each month to include weekly accounts payable warrants, biweekly payroll warrants and monthly wire transfers. While there are occasional abstentions during the vote, there is very seldom any discussion or questions about a payment. As a part of the continued evaluation of our work effort and value, staff has reviewed the Payment of Claims report process. To gather the data, prepare the report, review the report and correct the report requires approximately 2.5 days. Two reports are prepared each month, requiring a total estimated annual effort of 540 hours. The financial information system is capable of preparing most of this report. The majority of the staff effort is spent selecting or determining the appropriate description. The financial information system cannot complete this function for several reasons. Often more than one invoice is included on one warrant; the input field in the accounts payable module is not sufficient to include all the desired description, and the purchase order terminology is often arcane or cryptic and hard for a layperson to understand. Staff is recommending that future Payment of Claims reports be simplified by eliminating the brief description of purchase or service, and including only the warrant number, the payee, and the amount of the payment. For the most part, this change will allow the report to be prepared on the financial information system with minimum input from staff. The effort currently spent on this report would be re-deployed within the accounts payable fixed assets function. m.eenWa it meuw,ulor,"".uceNonmw.r"'.emici pLa R-. saris Page t PROJECT/CONTRACT COST SUMMARY ` The proposed simplification is expected to make nearly 500 hours per year available for other productive efforts. BUDGETIMPACT ® This item has been budgeted. (Line item: ) ❑ This item has been budgeted, but there are insufficient funds. ❑ This item has not been budgeted. ❑ Not applicable (information item) ADDITIONAL INFORMATION None. ALTERNATIVES Continue current program. CEQA FINDINGS N/A ATTACHMENTS 1. Current Payment of Claims Agenda Report GGS:lc WaEon%dalal\wp.CtaVnQ1 DkraneWGENDA.ITM\PaymentofClaimsRpt.dm \4e0onW eblMq.NNn]t pcnneNGENDA.nMWarynenlelL4im W Ortlx R.;eetl: ermraa Page 2 BOARD OF DIRECTORS Meeang Date To B of Dir. 4/26/99 AGENDA REPORT 1enNart°e Item -v Orange County Sanitation District FROM: Gary Streed, Director of Finance Originator: Bill Aldridge, Principal Accountant SUBJECT: PAYMENT OF CLAIMS OF THE ORANGE COUNTY SANITATION DISTRICT GENERAL MANAGER'S RECOMMENDATION Ratify Payment of Claims of the District by Roll Call Vote. SUMMARY See attached listing. PROJECT/CONTRACT COST SUMMARY N/A BUDGETIMPACT ® This item has been budgeted. (Line item: N/A) ❑ This item has been budgeted, but there are insufficient funds. ❑ This item has not been budgeted. ❑ Not applicable (information item) ADDITIONAL INFORMATION N/A ALTERNATIVES N/A CEQA FINDINGS N/A \Y Vntleal\wp.SaVnV]PVMipe\KPiGE$hlevn¢atl @c eeYv,o- y,� Page 1 Claims Paid From 3/01199 to 3116/99 Warrant No. Vendor Amount Description Accounts Payable-Warrants 17735 Bristol Systems, Inc. 9 35,751.24 Consulting Services-Y2K Project 17736 Converse Consultants 26,444.18 Consulting Services MO 8-11-93 17737 E.I. Du Pont De Nemours and Company 104.010.00 Painting Maim. Services MO 4-22-98 17738 Duke Energy Trading&Marketing, L.L.C. 63,385.52 Natural Gas-Spec it P-170 17739 FileNET Corporation 28.642.94 Computer Software-Electronic Document Management System 17740 Kemiron Pacific, Inc. 98,042.37 Ferric Chloride MO 9-27-95 17741 Pima Gro Systems, Inc. 65.075.01 Residuals Removal MO 3.29-95 17742 Polydyne, Inc. 28.236.71 Cationic Polymer MO 3-11-92 17743 Science Applications Intl.,Corp. 95,994.32 Ocean Monitoring MO 6-8-94 17744 Southern California Edison 51,912.06 Power 17745 Tule Ranch/Magan Farms 57,659.84 Residuals Removal MO 3-29-95 17746 Woodruff, Spradlin&Smart 86,627.92 Legal Services MO 7-26-95 17747 Advanco Constructors,Inc. 194,193.90 Construction 541-1 17748 First Fire Systems, Inc. 72,585.72 Construction Contract J-57 MO 2-25-98 17749 Fleming Engineering, Inc. 132,596.00 Construction 7-17 17750 Mike Pdich&Sons 186,656.00 Construction 6-12 17751 NCCI Enterprises, Inc. 104.579.28 Construction 240 17752 The Vantage Group, L.L.C. 10.880.00 Consulting Services-Source Control Programming Project 17753 American Telephone&Telegraph Corp. 27.18 Long Distance Telephone Services 17754 American Telephone&Telegraph Corp. 1.607.60 Long Distance Telephone Services 17755 American Telephone&Telegraph Corp. 6.95 Long Distance Telephone Services 17756 American Telephone&Telegraph Corp. 477.31 Long Distance Telephone Services 17757 Abesce 123.80 Hardware 17758 Action Door Repair Corporation 1,014.98 Door Repairs 17759 Advanced Engine Tech Corp. 4,513.79 Engine Testing J-19 17760 Advanced Enterprise Solutions 1.508.50 Software Subscription 17761 Air Liquids America Corp. 1.535.37 Specialty Gasses 17762 Air Products&Chemicals 243.43 O&M Agreement Oxy Gen Sys MO 8-8-89 17763 Airborne Express 28.00 Air Freight 17764 Alrgas Lyons Safety 27.20 Safety Supplies 17765 Allied Supply Company 1,927.33 Mechanical Parts&Supplies 17766 American Airlines 4,664.00 Travel Services 17767 American Chemical Society 700.00 Registration 17768 Applied Industrial Technology 709.21 Electrical Parts&Supplies 17789 Armor Vac Sweeping Service 1,014.00 Vacuum Truck Services 17770 Art's Disposal Service, Inc. 1.862.40 Waste Removal 17771 Atlantis Pool Care 235.00 Service Agreement 17772 Azur Environmental 2,299.98 Lab Supplies Page 1 of 9 �' Claims Paid From 3101/99 to 3115199 warrant No. Vendor Amount Description 17812 CEM Corporation 844.51 Lab Supplies 17813 CLE International 495.00 Registration 17814 CWEA Annual Conference 1,364A0 Conference Registration 17815 CWFA Y2K 30.00 Registration 17816 De Guelle 8 Sons Glass Co. 87.47 Safety Glass 17817 Del Mar Analytical 1,070.00 Biosolids Analysis 17818 Dell Direct Sales L.P. 14,200.37 6 Dell P6400 Computers 8 6 Dell 1200HS Monitors 17819 Dexon Computer, Inc. 16,060.00 2 VS4000-96 Workstations 17820 DeZurik C/O MiscolSouthWest 841.75 Valves 17821 Diamond H Recognition 284.73 Employee Service Awards 17822 Robert F. Driver Associates 3,126.00 Faithful Performance Insurance MO 6-10-92 17823 Dunn-Edwards Corporation 161.63 Paint Supplies 17824 DGA Consultants, Inc. 5,112.00 Surveying Services MO 6.8-94 17825 DISCAN Corporation 3,535.05 Computer Services 17826 Edinger Medical Group, Inc. 121.00 Medical Screening 17827 Edward R. Eisenhauser 500.00 Professional Service-Financial 17828 Emergency Management Network, Inc. 770.00 CPR/First Aid Training 17829 Enchanter, Inc. 3,500-00 Ocean Monitoring MO 5-24-95 17830 EK Development Corporation 10,400.00 Wheeler Ridge Option Agreement MO 11-18-98 17831 EOE International,Inc. 520.00 Risk Assessment-Y2K Project 17832 Faxpress, Inc. 456.59 Office Supplies 17833 Federal Express Corp. 62.35 Air Freight 17834 Filter Supply Company 5,171.48 Filters 17835 Fisher Scientific Company LLC 1,145.03 Lab Supplies 17836 Flat and Vertical. Inc. 559.00 Concrete Cutting 17837 Flo-Systems, Inc. 1,829.05 Pump Supplies 17838 Fountain Valley Camera 49.50 Photo Supplies 17839 Fountain Valley Rancho Auto Wash, Inc. 218.95 Truck Wash Tickets 17840 Franklin Covey 35.23 Office Supplies 17841 Fry's Electronics 1,074.08 Computer Supplies 17842 Full Spectrum Analytics, Inc. 741.02 Lab Instrument Service 17843 G.F.O.A. 410.00 Membership 17844 GTE California 992.93 Telephone Services 17845 George Yardley Co. 450.19 Lab Supplies 17846 Getinge Castle 149.23 Lab Equipment Maintenance 17847 WW Grainger, Inc. 394.64 Compressor Supplies 17848 Graphic Distributors 3,436.15 Photographic Supplies 17849 Greseby STI 121.85 Engine Supplies 17850 Great Western Santtary Supplies 681.86 Janitorial Supplies Page 3 of 9 Claims Paid From 3101199 to 3116199 Warrant No. Vendor Amount Description 17890 Matt Chlor, Inc. 2.698.28 Valves 17891 Mc Junkin Corp—Ontario Branch 43.00 Plumbing Supplies 17892 McMaster-Carr Supply Co. 2,804.68 Tools 17893 Measurement Control Systems, Inc. 6,255.10 Electrical Supplies 17894 Mechanical Drives Co. 440.15 Electrical Supplies 17895 Medlin Controls Co. 555.36 Instrument Supplies 17896 Mesa Muffler 161.49 Truck Supplies 17897 Micro Flex 936.00 Gloves 17898 Tri Pole Corp/MicroAge 1,302.03 Software 17899 Mid-West Associates 8,791.40 Pump Supplies 17900 Midway Mfg 8 Machining Co. 4,242.45 Mechanical Repairs 17901 Mission Uniform Service 3.804.63 Uniform Rentals 17902 Mitchell Instrument Co. 300.00 Instruments 17903 Mitchell Repair Information Co. 140.07 Publications 17904 MotoPhoto 37.48 Photographic Services 17905 MPS Photographic Services 22.09 Photographic Services 17906 National Technology Transfer, Inc. 982.00 Registration 17907 Neal Supply Co. 1,072.13 Plumbing Supplies 17908 Network Associates 3,274.83 Computer Consulting Services 17909 Network Construction Services 18,155.00 Construction Services-Wiring for J-42 17910 Newark Electronics 65.24 Instrument Supplies 17911 City of Newport Beach 43.98 Water Use 17912 Nuclear Source and Services(NSSI) 665.00 Lab Services 17913 NETG (National Education Training Group) 1,363.04 Software Training 17914 Office Depot Business Services Div. 1,540.74 Office Supplies 17915 Oplio Software 2.500.00 Software Training 1791e Orange County Pump Co. 2.790.73 Pump Supplies 17917 Oxygen Service Company 240.65 Specialty Gases 17918 OCB Reprographics 7,199.60 Printing Service-Spec P-173 17919 P.L. Hawn Company, Inc. 19,277.67 Electrical Supplies 17920 Pacific Bell 22.08 Telephone Services 17921 Pacific Mechanical Supply 2,017.73 Plumbing Supplies 17922 Pagenet 1.686.00 Rental Equipment 17923 Parts Unlimited 406.46 Truck Supplies 17924 Peak Technologies 169.02 Lab Supplies 17925 Peerless Pump Company 1,850.51 Pump Supplies 17926 Pickard Design 3.912.19 Publication-Wastewater Mgml. Brochure 17927 Ouanterra Environmental Services 950.00 Analytical Service 17928 Quest Headquarters 1,000.00 Membership Page 5 of 9 - Claims Paid From 3101199 to 3115199 Warrant No. Vendor Amount Description 17968 Truck 8 Auto Supply, Inc. 339.85 Truck Supplies 17969 Tmesdail Laboratories, Inc. 400.00 Lab Services 17970 Teksystems 7,040.50 Temporary Employment Services 17971 United Parcel Service 627.92 Parcel Services 17972 U.S. Filter Corporation 1,262.75 Filters 17973 UNL Center for leadership Dev. 158.00 Registration 17974 Unocal Corporation 130.47 Fuel for Vehicles-Contract 3-38-3 17975 Valcom 10,694.07 Software-Microsoft Project 98 17976 Valley Cities Supply Company 2,591.62 Plumbing Supplies 17977 Vector Resources 8,200.00 Cable Installation 17978 Vortex Industries, Inc. 1,787.10 Door Repair 17979 Vulcan Chemical Technologies 22,403.20 Hydrogen Peroxide Specification No: C-044 17980 VWR Scientific 7,631.99 Lab Supplies 17981 The Wackenhut Corporation 5,867.05 Security Guards 17982 Wayne Electric Co. 168.00 Electrical Supplies 17983 West-Lite Supply Company, Inc. 95.27 Electrical Supplies 17984 WEF Research Foundation 13.30 Publication 17985 Xerox Corporation 16,581.59 Copier Leases 17986 CNA Trust 21,577.10 Construction 5411-1 17987 Michael C. Bock 254.40 Training Expense Reimb. 17988 Richard A. Castillon 200.00 Meeting Expense Reimb. 17989 Danny S. Evangelista 500.00 Training Expense 17990 Dean M. Fisher 267.65 Training Expense Reimb. 17991 Donald F.McIntyre 738.32 Meeting Expense Reimb. 17992 Patrick T.Pan 287.21 Training Expense Reimb. 17993 Rosa Aguilar 8 Comp USA 775.77 Employee Computer Loan Program 17994 Thomas Dodderer 8 Comuxpress 1,250.01 Employee Computer Loan Program 17995 County of Orange 2,130.00 Sewer Service Fees Admin. 17996 Orange County Sanitation District 228.02 Petty Cash Reimb. 17997 Cale Dolly 8 Supply 1.325.06 Equipment Rental 17998 Kelly J. Christensen 431.24 Meeting Expense Reimb. 17999 Converse Consultants 7,099.35 Consulting Services MO 8-11-93 18000 Rick J. Hannappel 556.40 Training Expense Reimb. 18001 Donald F. McIntyre 1,220.85 Meeting Expense Reimb. 18002 Valley Cities Supply Company 442.63 Plumbing Supplies 18003 Kemiron Pacific,Inc. 25,798.07 Ferric Chloride MO 9-27-95 18004 Orange County Sanitation District 393,358.35 Payroll EFT Reimbursement 18005 Appleone Employment Service 6,308.60 Temporary Employment Services 180136 Court Order 455.15 Wage Garnishment Page 7 of 9 Claims Paid From 3101/99 to 3/15/99 Warrant No. Vendor Amount Descriptlon 18046 Mike J. Herrera 183.00 Tralning Expense Reimb. 18047 Enterprise Technology Services, L.L.C. 48,294.40 Consulting Services-FIS Impl. 8 Support Total Accounts Payable-Warrants $ 2,712,183.18 Payroll Disbursements 13200.13337 Employee Paychecks $ 182.476.52 Biweekly Payroll 3/10199 13338-13341 Employee Paychecks 3.335.13 Termination, Replacement and Retro Paychecks 13342-13362 Directors'Paychecks 4,747.10 Payroll 3/15199 35533-35978 Direct Deposit Statements 633,359.54 Biweekly Payroll 3/10199 Total Payroll Disbursements $ 823,917.29 Wire Transfer Payments Chaselrexas Commerce Bank 161,680.27 March Interest Payment on 1993 Certificate of Deposits Chase/Texas Commerce Bank 151.148.99 March Interest Payment on 1990-92 Series A Certificate of Deposits Financial Guaranty Insurance Co. 83,114.16 Quarterly Liquidity on Series C Certificate of Deposits Stale Street Bank 8 Trust 125,162.13 March Interest Payment on 1990-92 Series C Certificate of Deposits Total Wire Transfer Payments $ 511.105.55 Total Claims Paid 311/99.3116/99 $ 4,047,206.02 Page 9 of 9 �' Claims Paid From 3116199 to 3131199 t Warrant No. Vendor Amount Description 18086 Asbury Environmental Services 230.00 Waste Oil Removal 18087 Atlantis Pool Care 235.00 Service Agreement 18088 ABB Industrial Systems Inc. 1,055.83 Electrical Parts&Supplies 18089 AGFA Educational Publishing 173.25 Publications 18090 AKM Consulting Engineers 3,318.09 Consulting Services 11-17-3& 11-20 18091 AMA1Keye Productivity Center 410.00 Registration 18092 The Assoc.of Records Managers&Admin. 100.00 Membership 18093 ASTD 229.00 Membership 18094 AWSI 199.00 Department of Transportation Training Program 18095 Bar Tech Telecom, Inc. 275.84 Telephone Installation 18096 Beach Paving, Inc. 11,475.00 Asphalt Repair 18097 BearCom 640.03 Communication Equipment 18098 BioSpherical Instruments,Inc. 255.23 Lab Supplies 18099 Boyle Engineering Corporation 9,034.08 Engineering Services 3-38-1,7-7-1 18100 Bristol Systems, Inc. 12,533.90 Consulting Services-Y2K Project 18101 Burke Engineering Co. 510.13 Electrical Supplies 18102 Bush&Associates, Inc. 1.640.00 Surveying Services MO 6-25-97 18103 Business Week 37.95 Subscription-IT 18104 BC Wire Rope&Rigging 163.78 Rope 18105 SEC-Building Electronic Controls, Inc. 1.300.00 Training Registration 18106 BNI Building News 1,315.58 Publication 18107 C&H Distributions 293.71 Handling Equipment 18108 Calif Centrifugal Pump 1,917.85 Pump Supplies 18109 CA Contractor's License Exam Canted 8682 595.00 Registration 18110 CWEA 180.00 Membership 18111 Camali Corp. 4,562.50 Maint.Service Agreement 18112 Canus Corporation 553.75 Fiber Optic Cable 18113 Carter-America Fleet Service 71.24 Truck Supplies 18114 Centrepointe Commercial Interiors 1.125.68 Office Furniture 18115 Chemwatch, Inc. 15.00 Plans&Specs Overpayment Refund 18116 Clayton Group Services, Inc. 2,172.08 Professional Services-Ergonomic 18117 Compaq Computer Corporation 300.62 Computer Supplies 18118 Consolidated Elect. Distributors, Inc. 2.539.49 Electrical Supplies 16119 Contemporary Controls 9,396.28 Computer Supplies 18120 Control Concepts Corp. 306.50 Electrical Supplies 18121 Cooper Energy Services 409.04 Engine Supplies 18122 Corporate Express 1,095.61 OBice Supplies 18123 Corporate Image Maintenance, Inc. 700.00 Custodial Services Spec. No. 9899-09 18124 Cost Containment Solutions 292.51 Workers Comp. Services Page 2 of 16 Claims Paid From 3116/99 to 3/31199 Warrant No. Vendor Amount Description 18164 General Binding Corporation 240.51 Printing 18165 GTE California 5,532.83 Telephone Services 18168 Geomatdx Consultants 10,516.80 Legal Services 18167 Giedich-Mitchell, Inc. 17,550.16 Pump Supplies 18168 Goldenwest Window Service 1,798.00 Window Cleaning Service 18169 WW Grainger, Inc. 701.67 Compressor Supplies 18170 Graphic Controls 133.61 Once Supplies 18171 Graphic Design Book Club 22.92 Books 18172 Graphic Distributors 167.83 Photographic Supplies 18173 Graphic Intelligence Agency 179.00 Registration 18174 Graseby STI 6.788.36 Engine Supplies 18176 Great American Printing Co. 138.44 Printing Service 18176 Hach Company 58.61 Lab Supplies 18177 Hanna Instruments 401.51 Instrument Supplies 18178 Harold Primrose Ice 96.00 Ice 18179 Harrington Industrial Plastics, Inc. 609.08 Plumbing Supplies 18180 Herb's Blackforast Bakery 8 Deli 146.12 Catering Services 18181 Hilli 1.709.96 Tools 18182 Home Depot 1,510.79 Small Hardware 18183 Hub Auto Supply 282.58 Truck Parts 18184 HB Digital Arts 8 HB Blueprint 51.72 Printing Service 18185 Imaging Plus, Inc. 1,014.99 Office Supplies 18186 Inorganic Ventures, Inc. 594.76 Lab Supplies 18187 Interstate Battery Systems 321.90 Batteries 18188 IBM Corporation 6,399.37 Service Contract 18189 IOMA's Pay for Performance Report 217.95 Publication 18190 Airgas Direct Ind-IPCO Safety Div. 200.27 Safely Supplies 18191 J.G.Tucker and Son, Inc. 1,033.74 Instrument Supplies 18192 Jamison Engineering, Inc. 6,538.18 Misc.Construction Services 16193 Jay's Catering 500.28 Catering Services 18194 Johnstone Supply 16.03 Electrical Supplies 18195 K.P. Lindstrom 7,094.00 Envir.Consulting Services MO 12-9-90 18196 Kemkon Pacific,Inc. 23,448.35 Ferric Chloride MO 9-27-95 18197 Kewaunee Scientific Corporation 2.621.93 Electronic Workstation 18198 Knox Industrial Supplies 1,858.38 Tools 18199 KADY International 2,500.00 Electrical Equipment Rental 18200 KTA-TATOR, Inc. 3.535.00 Maint.Consulting Service 18201 Lab Support 2,880.00 Temporary Employment Services 18202 LaserAll Corporation 75.00 Service Agreement Page 4 of 16 Claims Paid From 3MGM9 to 3/31199 Warrant No. Vendor Amount Description 18242 P.L. Hawn Company, Inc. 341.50 Electrical Supplies 18243 Pacific Bell 17.38 Telephone Services 18244 Pacific Bell Internet Services 1,151.50 Internet Services 18245 Pacific Mechanical Supply 750.11 Plumbing Supplies 18246 Pagenet 1.713.94 Rental Equipment 18247 Parkhouse Tire Co. 391.27 Tires 18248 Parts Unlimited 1,184.00 Truck Supplies 18249 Paul-Munroe Enertech 65.75 Electrical Supplies 18250 Pave West 4,485.80 Construction P1-40-3 18251 Peak Technologies 1,542.36 Lab Supplies 18252 Perkin-Elmer Corp. 9,359.33 Lab Supplies 18253 Perm Animal Supplies 117.43 Lab Supplies 10254 Polydyne, Inc. 14.229.08 Cationic Polymer MO 3-11-92 18255 Ponlon Industries 2,907.63 Instrument Supplies 18256 Power Systems Testing Company 1,250.00 Electrical Equipment Testing Services 18257 Presidium, Inc. 2.083.33 Workers Comp. Claims Admin. 18258 Print Management Group, Inc. 2.829.52 Printing Services 18259 Putzmeister 170.19 Pump Supplies 18260 Radian International 15,200.00 Professional Services-Emission Testing 18261 Remedy Temp 5.035.13 Temporary Employment Services 18262 RBF Engineers 10,200.00 Engineering Services 2-24-1 18263 Royce Multimedia, Inc. 282.84 Video Production Service 18264 RM Controls 49.72 Instrument Supplies 18265 RMS Engineering 3 Design, Inc. 600.00 Engineering Services-Design Documents 18266 RPM Electric Motors 2.770.55 Electric Motor Repair 18267 Santa Fe Industrial Products, Inc. 1,019.75 Mechanical Supplies 18268 Saratoga Institute 913.18 Publication 18269 Sceptre Advanced Business Solutions 3.715.20 Software Maint.Agreement 18270 Scott Specialty Gases, Inc. 813.22 Specialty Gases 18271 Seagate Software 4.500.00 Software Onsite Training 18272 Second-Sun 1.212.69 Light Fixtures 18273 Shamrock Supply Co., Inc. 268.02 Tools 18274 Shureluck Sales 8 Engineering 1.132.82 Tools/Hardware 18275 Smith Pipe 8 Supply, Inc. 130.24 Plumbing Supplies 18276 So.Cal. Gas Company 14,841.08 Natural Gas 18277 Sparklefts 1,871.79 Drinking Water/Cooler Rentals 18278 Special Plastic Systems, Inc. 2,764.83 Accumulators 18279 Specialty Solutions 800.00 Computer Consulting Services 18280 Sprint 47.39 Long Distance Telephone Service Page 6 of 16 Claims Paid From 3116199 to 3/31/99 Warrant No. Vendor Amount Description 18320 Blake Anderson 606.13 Meeting Expense Reimb. 18321 Nicholas J.Amontes 299.89 Training Expense Reimb. 18322 Robert M. Bell 115.50 Training Expense Reimb. 18323 James Cong 621.64 Training Expense Reimb. 18324 Douglas t.Cock 738.85 Meeting Expense Reimb. 18325 Michael D.White 415.65 Meeting Expense Reimb. 18326 Charles F.Wnsor 1,602.01 Meeling Expense Reimb. 18327 County of Orange 870.00 Sewer Service Fees Admin. 18328 Todd A. May 2.489.08 Employee Computer Loan Program 18329 Orange County Sanitation District 11.997.80 Worker's Comp. Reimb. 18330 Orange County Sanitation District 1.219.73 Petty Cash Reimb. 18331 Todd Jacobson and Best Buy 2,655.09 Employee Computer Loan Program 18332 Orange County Sanitation District 407,166.26 Payroll EFT Reimbursement 18333 Abesco 184.39 Hardware 18334 Assoc. of Metro. Sewerage Agencies 550.00 Registration 18335 ASTD Publishing Service 61.90 Publication 18336 Bailey,Fisher&Porter Company 2.020.00 Electrical Equipment Maint. 18337 Court Order 455.15 Wage Garnishment 18338 Boyle Engineering Corporation 828.00 Engineering Services-Computer Assisted Design&Drafting Sid. Manual 18339 Brithinee Electric 307.44 Electrical Supplies 18340 Cal Protection 448.24 Electrical Services 18341 California Municipal Treasurers Assoc. 100.00 Membership 18342 Court Order 581.00 Wage Garnishment 18343 CompEd Solutions 1,185.00 Registration 18344 Compusa, Inc. 330.00 Computer Software 18345 Consolidated Elect.Distributors, Inc. 3.726.55 Electrical Supplies 18346 Consumers Pipe&Supply Co. 8.72 Plumbing Supplies 18347 Court Trustee 572.50 Wage Garnishment 18348 CASA 290.00 Conference Registration 18349 Court Order 611.07 Wage Garnishment 18350 Enlightened Leadership International 299.00 Seminar Registration 18351 Environmental Resource Association 1 ERA 912.40 Lab Services 18352 Franchise Tax Board 337.82 Wage Garnishment 18353 Friend of the Court 339.50 Wage Garnishment 18354 GarraB-Callahan Company 655.12 Chemicals 18355 Hyatt Regency Capitol Park 140.00 Registration 18356 Industrial Threaded Products, Inc. 16.50 Mechanical Parts&Supplies 18357 Internal Revenue Service 125.00 Wage Garnishment 18358 Intl Union of Oper Eng AFL-CIO Local 501 1,817.37 Dues Deduction Page 8 of 16 ^^ Claims Paid From 3116199 to 3131199 c Warrant No. Vendor Amount Description 18398 Southern California Edison 52.928.98 Power 18399 Tule RanchlMagan Farms 57,960.44 Residuals Removal MO 3-29-95 18400 Western States Chemical, Inc. 29,903.58 Caustic Soda MO 8-23-95 18401 Woodruff, Spradlin&Smart 98.141 Legal Services MO 7.26-95 18402 Advanco Constructors, Inc. 38,000.00 Construction P2-35-5&J34-1 18403 Advanco Constructors, Inc. 209,388.60 Construction 5-41-1 18404 Fleming Engineering, Inc. 115,901.00 Construction 7-17 18405 Mike Pdich&Sons 390,795.00 Construction 6-12 18406 A T&T Corporation 0.62 Long Distance Telephone Services 18407 A T&T Corporation 1,801.53 Long Distance Telephone Services 18408 A T&T Corporation 10.38 Long Distance Telephone Services 18409 A T&T Corporation 415.18 Long Distance Telephone Services 18410 A-Plus Systems 4,165.88 Notices&Ads 18411 Advanced Engine Tech Corp. 169.60 Engine Testing J-19 18412 Air Duct Cleaning Company 4,299.00 Air Duct Cleaning Services 18413 Air Products&Chemicals 22,894.98 0&M Agreement Oxy Gen Sys MO 8-8-89 18414 Airborne Express 10.75 Air Freight 18415 Alliance for Marine Remote Sensing Assoc. 13.95 Subscription 18416 Allied Supply Company 3.788.03 Mechanical Parts&Supplies 18417 American Airlines 5.517.40 Travel Services 18418 American Banker Newsletters 1.131.38 Subscription 18419 American Seals West 167.01 Gaskets 18420 Anchor Paving 6,600.00 Raise Manholes 18421 Appleone Employment Service 4,750.92 Temporary Employment Services 18422 Applied Industrial Technology 12.46 Electrical Parts& Supplies 18423 Arizona Instrument-Jerome Division 1.287.90 Instrument Supplies 18424 Armor Vac Sweeping Service 1,079.00 Vacuum Truck Services 18425 Art's Disposal Service, Inc. 620.80 Waste Removal 18428 Asbury Environmental Services 220.00 Waste Oil Removal 18427 Ashme 499.00 Publication 18428 Atlantis Pool Care 235.00 Service Agreement 18429 Awards&Trophies By Bea 24.57 Plaques 19430 ASM 415.00 Registration 18431 Barnes& Noble Books 172.20 Publication 18432 Battery Specialties 331.83 Batteries 18433 Ben Franklin Crafts(Bobeft Crafts) 193.95 Office Supplies 18434 Ben Meadows Company, Inc. 28.85 Lab Supplies 18435 BioSource Solutions, Inc. 8,016.90 Consulting Servicce-Biosolids&Watershed 18436 Black&Veatch 1,893A8 Engineering Services Pl46&P2-55 Page 10 of 16 Claims Paid From 3/16/99 to 3131199 Warrant No. Vendor Amount Description 18476 Del Mar Analytical 1,180.00 Biosolids Analysis 18477 DeZurik C/O Misco/SouthWest 1,223.15 Valves 18478 Dover Elevator Company 1,586.10 Elevator Maintenance 18479 DGA Consultants, Inc. 7,849.78 Surveying Services MO 6-8-94 18480 E&A Environmental Consultants 604.38 Professional Service-Wheeler Ridge Site 18481 EBMUD-Activity 7945,Job#29510 16,948.74 Professional Service-Multi-Agency Benchmarking Study 18482 Electra-Bond 4,013.69 Mechanical Supplies 18483 Enchanter, Inc. 3.500.00 Ocean Monitoring MO 5-24-95 18484 Environmental Data Solutions Groups, L.L.C. 6,000.00 Professional Services-Air Quality Info. Mgmt. Sys. Implementation Project 18485 Wondvride Services Group Logistics Ctr. 186.02 Publication 18486 ESP Industries,Inc. 102.47 Mechanical Supplies 10487 Federal Express Corp. 132.80 Air Freight 18488 Fisher Scientific Company, L.L.C. 161.71 Lab Supplies 18489 Flat and Vertical, Inc. 269.00 Concrete Cutting 18490 Flickinger Co 739.40 Valve 18491 Flo-Systems, Inc. 2,184.95 Pump Supplies 18492 Fonts Benefits Insurance Company 18,294.19 Long Tenn Disability Ins. Premium 18493 Fountain Valley Camera 27.48 Photo Supplies 16494 Foxboro Co. 50.00 Publications 18495 Fry's Electronics 997.47 Computer Supplies 18496 City of Fullerton 95.75 Water Use 18497 FST Sand and Gravel,Inc. 278.76 Road Base Materials 18498 GTE California 904.83 Telephone Services 18499 Global Engineering&Management 8,800.00 Consulting Services-Reinvention 18500 WW Grainger,Inc. 161.60 Compressor Supplies 18501 Greseby STI 296.41 Engine Supplies 18502 Graybar Electric Company 327.77 Electrical Supplies 18503 Great American Printing Co. 433.73 Printing Service 18504 Great Western Sanitary Supplies 400.57 Janitorial Supplies 18505 Harold Primrose Ice 48.00 Ice 18506 Harrington Industrial Plastics, Inc. 93.27 Plumbing Supplies 18507 Herb's Blackforest Bakery&Deli 225.15 Catering Services 18508 Hev4eti-Packard 397.60 Lab Supplies 18509 Hill, Inc. 137.02 Tools 18510 Hilton,Famkopf&Hobson, L.L.C. 3,780.00 Consulting Services-Office Support Study 18511 Hoerbiger Service, Inc. 267.42 Compressor Parts 18512 Holiday Inn 60.00 Registration 18613 The Holman Group 1,455.60 Employee Assistance Program Premium 18514 Holmes&Newer, Inc. 21.868.24 Engineering Services 2.41 Page 12 of 16 "� Claims Paid From 31IW99 to 3/31199 Warrant No. Vendor Amount Description 18554 Mitchell Instrument Co. 726.00 Instruments 18555 MotoPhoto 63.11 Photographic Services 18556 National Academy Press 68.17 Publication 18557 National Technology Transfer, Inc. 3.00 Registration Unpaid Balance 18558 Neal Supply Co. 820.96 Plumbing Supplies 18559 New Horizons Computer Learning Center 800.00 Software Training Classes 18560 The Norco Companies 119.00 Mail Delivery Service 18561 NorCal SETAC 155.00 Registration 18562 O6ice Depot Business Services Div. 2.219.03 Office Supplies 18563 Interior Resources and/or 06 Pavilion 500.00 Office Furniture 18564 Orange County Forum 30.00 Registration 18565 Orange County Wholesale Electric, Inc. 2,936.02 Electrical Supplies 18566 Oxygen Service Company 1,027.63 Specialty Gases 18567 OCB Reprographics 3.875.05 Printing Service-Spec P-173 18568 Pacific Bell 1,185.54 Telephone Services 18569 Pacific Mechanical Supply 1,796.91 Plumbing Supplies 18570 Parkhouse Tire Co. 1,203.62 Tires 18571 Pima Gro Systems, Inc. 7,538.00 Residuals Removal MO 3-29-95 18572 Potydyne, Inc. 23,301.80 Ca0onic Polymer MO 3-11-92 18573 Postmaster General 550.00 Post Office Box Rental 18574 Power Pumps, Inc. 295.15 Pump Supplies 18575 Pumping Solutions, Inc. 2.745.83 Mechanical Supplies 18576 PSB Industries 271.37 Electrial Supplies 18577 R 8 R Instrumentation, Inc. 363.70 Instrument Supplies 18578 Rainbow Disposal Co., Inc. 2,324.52 Trash Removal 18579 Rapport Leadership International 1,420.00 Registration 18580 Reliastar 8.016.00 Life Insurance Premium 18581 Reliastar Bankers Security Life Ins. 5,164.06 Life Insurance Premium 18582 Remedy Temp 3,773.62 Temporary Employment Services 18583 Richardson Engineering Services, Inc. 1,197.00 Training Registration 18584 RBF Engineers 7,000.00 Engineering Services 2-24-1 18585 Ronan Engineering Co. 206.42 Electrical Supplies 18588 RPM Electric Motors 2,747.32 Electric Motor Repair 18587 Safelite Glass Corp. 162.35 Auto Supplies 18588 Safety-Kleen 409.99 Service Agreement 18589 Santa Fe Industrial Products, Inc. 53.22 Mechanical Supplies 18590 Scott Specialty Gases, Inc. 2,254.72 Specialty Gases 18591 Sea-Bird Electronics, Inc. 335.00 Lab Repairs 18592 Sears Industrial Sales 987.22 Mechanical Supplies Page 14 of 16 Claims Paid From 3116199 to 3131199 Warrant No. Vendor Amount Description 18632 Olsson Construction, Inc. 5.152.40 Construction P2-39-1 18633 Bradley H.Cagle 457.72 Meeting Expense Reimb. 18634 Michael J.Chester 250.00 Training Expense 18635 Danny S. Evangelista 2,323.68 Training Expense Reimb. 18636 Canh 0.Nguyen 905.55 Training Expense Reimb. 18637 Robert Ooten 1.175.18 Meeting Expense Reimb. 18638 Robert Ortega 8 Micro Center 1,081.23 Employee Computer Loan Program 18639 Andrew J. Rozenstraten 830.55 Training Expense Reimb. 18640 Municipal Treasurers'Association 175.00 Membership 18641 Orange County Sanitation District 1,111.69 Petty Cash Reimb. Total Accounts Payable-Warrants $ 5,549,954.75 Payroll Disbursements 13363-13502 Employee Paychecks $ 185,358.97 Biweekly Payroll 3/24199 13503-13518 Employee Paychecks 164,907.32 Termination&Voided Paychecks 35979-36423 Direct Deposit Statements 649,053.24 Biweekly Payroll 3/24/99 Total Payroll Disbursements $ 999,319.53 Total Claims Paid 3/16/99-3/31199 $ 6.549.274.28 Page 16 of 16 ^ STEERING COMMITTEE Meeting Date To Bd.ar Dlr. O6/26/99 O6/23/99 AGENDA REPORT Item Number ttem Number Orange County Sanitation District FROM: Donald F. McIntyre, General Manager Originator: Delegation of Authority Committee (Marc Dubois, Contracts/Purchasing Manager, Doug Stewart, Engineering Manager, Ed Torres, Air Quality Control Manager, Michael D. White, Controller) SUBJECT: PURCHASING RESOLUTION AND DELEGATION OF AUTHORITY (DOA) GENERAL MANAGER'S RECOMMENDATION That the Board 1) Adopt Resolution No. OCSD 99-XX, Establishing Policies and Procedures For The Award of Purchasing Orders and Contracts, Award of Public Works Project Contracts, Award of Professional Services Contracts, and Delegation of Authority to Implement Said Policies and Procedures, and 2) Repeal Resolution Nos. OCSD 98-8, OCSD 98-12, OCSD 98-22, and OCSD 98-43 regarding prior Delegation Of Authority practices, policies and procedures. SUMMARY In July 1998, the Board of Directors adopted Resolution Nos. OCSD 98-8, OCSD 98-12, OCSD 98-22, and OCSD 98-43 establishing policies and procedures for the award of purchase orders and contracts, award of public works contracts, award of professional services agreements, and delegation of authority to implement said policies and procedures. Proposed Resolution OCSD 99-XX is to consolidate these previously approved Resolutions into one compact resolution and Repeal Resolutions OCSD 98-8, OCSD 98-12, OCSD 98-22, and OCSD 98-43. A committee comprised of division managers was formed to review and recommend changes to existing policies and procedures related to delegation of authority. The work of this committee resulted in the passage of several independent Board Resolutions in FY 1997-98 related to delegated authority from the Board. The directives in these resolutions ranged from contracts and purchasing to construction contract change orders. In conjunction with the consolidation of the Districts in July 1998, General Counsel recommended adoption of Resolutions OCSD 98-8, OCSD 98-12, OCSD 98-22, and OCSD 98-43 to replace these earlier Resolutions. General Counsel and the Delegation of Authority Committee (DOA Committee) have since been asked to revisit these resolutions and consolidate them into one compact resolution related to the entire spectrum of delegated authority from the Board to Board Committees and staff. The DOA Committee and General Counsel have collaborated and are requesting approval of the attached resolution. Staff has reviewed the four resolutions to be combined, x wy.wvn�amvmaewi..:,a cenmm»mon.oaaa min RaNseE'. Page 1 suggested changes to remove inconsistencies created in the merging of the documents, and suggested changes in the levels of delegated authority to gain consistency across the organization. The details are discussed in the Additional Information section of this Agenda Report. PROJECT/CONTRACT COST SUMMARY Not Applicable. BUDGETIMPACT ❑ This item has been budgeted. (Line item: ) ❑ This item has been budgeted, but there are insufficient funds. ❑ This item has not been budgeted. ® Not applicable (information item) ADDITIONAL INFORMATION Resolution OCSD 98-8 deals primarily with the award of professional service agreements, the selection of consultants, and the ratification of construction contract change orders. The DOA committee compared the delegated approval levels for professional service agreements and construction contract change orders with the delegated approval levels for all other service type contracts and found a disparity across the organization. Under the Delegation of Authority Resolution, OCSD 98-12, the General Manager is delegated up to $100,000 of authority for approval of service contracts and purchase orders. Under Resolution OCSD 98-8, however, the General Manager is delegated up to $50,000 for approval of professional service agreements and construction contract change orders. Staff is requesting a change in the delegated authority to achieve consistency with the General Managers authority and to provide flexibility across the organization. The increase in the General Manager's authority and the additional flexibility provided to staff will save the District time in getting projects approved, lessen the workload submitted to the Board and Committees, and provide more time for the Directors to focus on the "bigger picture" projects. Table 1 on the following page shows a summary of the existing levels of delegated authority and the requested new levels. R rn.wv.,vxm.mn.vs..rq cm,mn..00�a.d.uea R. W(Mi Page 2 Table 1 Summary of Changes to Financial Approval Levels Delegated Area Current Delegation Proposed Justification Delegation General Manager Up to$25,000 per Up to $100,000 total Maintain consistency with authority for PSA's and original agreement for PSA , including GM's authority for services, addenda and up to $25,000 all addenda equipment and materials additional per each addendum, NTE $50,000 total for all addenda Director of Engineering Up to $50,000 per Up to $50,000 per Maintain consistency with authority for small each task order, no each task order and GM's authority for services, project task orders and authority for up to $50.000 each equipment and materials addenda addenda addendum with a total not to exceed $100,000, including all addenda General Manager Up to $25,000 per Up to$100,000 for Maintain consistency with authority for Public original contract and total of original GM's authority for services, Works Contract and up to $50,000 contract and all equipment and materials Change Orders (additions only) per change orders each additional (additions only). In change order. In no no case may case may change change order total order total exceed exceed 5% or 5%, or$100,000, $100,000, which- whichever is less, of ever is less, of total total contract contract Board Committee's Up to $50,000 per Up to $200,000 total Consistency with Board authority for PSA's and original agreement for PSA, including Committee's current delegated Addenda and up $50,000 per all addenda authority of 2x the GM's each addenda, NTE authority $100,000 total additional Board Committee's Up to$50,000 per Up to $200,000 for Consistency with Board authority for Public original contract and total of original Committee's current delegated Works Contract and Up to $100,000 contract and all authority of 2x the GM's Change Orders (additions only) per change authority each additional orders(additions change order. In no only). In no case case may change may change order order total exceed total exceed 10%or 10%or$200,000, $200,000, whichever is less, of whichever is less, of total contract total contrail Board Over$50,000 on Over$200,000 on Time savings due to the original and over original and over reduction in the volume of $200,000, or 10%, $200,000, or 10%, small projects that would have whichever is less, whichever is less, to be reviewed by the Board on change orders on change orders MMy.aMe,]20nttlA5man0 LmnmuealDW gmgaMM s.,:.c vmea Page 3 PSA, or Professional Service Agreement, as used in Table 1 on the preceding page, and in Table 2 below, is limited to fines providing engineering, architecture, environmental, land surveying, construction management services and related services. Table 2 provides for three additional changes that are being requested by staff. Table 2 Changes to Policy and Administrative Issues Description Change Justification Professional Services Allow General Manager to Reduces administrative Agreements for small extend agreement period burden on Engineering and capital projects for two additional years Purchasing Departments to solicit interest from firms and establish contracts Travel associated with Include Mexico along with Likely incidence of travel to meetings and training Canada (already approved Mexico by Board) as Board- approved destination for out-of-country travel. Delegated authorities within Allow General Manager and Varying levels of authority Departments Department Heads for purchasing required by authority to establish individual departments purchasing authority within organizational structure Staff has had one year of experience with the small capital projects consultant contracts. Eighteen task orders were issued under this program, saving an average of 2.5 months on each task order, compared with obtaining Board approval of a separate contract for each project. This delegated authority has been key in alleviating a backlog of projects that had built up over several years. At the end of the contract period, each of the consultants was asked if they would extend this year's rates for an additional year. All agreed to extend the contract terms for an additional year. Eliminating an entire RFP and consultant selection process on an annual basis would save staff about 350 hours per year, or 0.17 full time equivalent staffing effort, and allow the District to lock in favorable consulting rates for a two year period. In order to be effective, purchasing authority must be delegated into the organization. Prior attempts to delineate this authority were accomplished by the use of position classifications, i.e. Foreman. However, the various Departments and Divisions are organized and structured differently, and these classification delegations were not practical throughout the entire agency. Allowing each Department Head the ability to establish separate authority levels for purchases under$10,000 will provide the organization with the ability to manage more efficiently and effectively in the future. ALTERNATIVES Maintain the existing delegation of authority levels and separate purchasing resolutions. H:"..M VOMWN,OeL wM CmnmA WMp 0Wt ae„,.e. armee Page 4 CEQA FINDINGS Not Applicable. ATTACHMENTS Resolution No. OCSD 99-XX. H:� dWVuramwwG%SW*"cvommrmonag m• m R. aaaee Page 5 RESOLUTION NO. OCSD 99- A RESOLUTION OF THE BOARD OF DIRECTORS OF ORANGE COUNTY SANITATION DISTRICT ESTABLISHING POLICIES AND PROCEDURES FOR THE AWARD OF PURCHASING ORDERS AND CONTRACTS; AWARD OF PUBLIC WORKS PROJECT CONTRACTS; AWARD OF PROFESSIONAL SERVICES CONTRACTS; AND DELEGATION OF AUTHORITY TO IMPLEMENT SAID POLICIES AND PROCEDURES; AND REPEALING RESOLUTIONS NOS. OCSD 98-8, OCSD 98-12, OCSD 98- 22, AND OCSD 98-43 TABLE OF CONTENTS ARTICLE I: RECITAL OF FINDINGS Section 1.01 Findings - Declaration of Intent. ARTICLE II: DELEGATION OF AUTHORITY Section 2.01 Purpose and Scope. Section 2.02 Authorizing General Manager to Establish Rules and Guidelines. Section 2.03 Procedure for Delegation of Authority. ARTICLE III: PURCHASING SYSTEMS RE SUPPLIES, EQUIPMENT AND SERVICES Section 3.01 Purpose and Scope. Section 3.02 Purchasing System Adoption. Section 3.03 Purchasing Division Delegated Authority. Section 3.04 Requisitions. Section 3.05 Cooperative Procurement. Section 3.06 Purchases: Bidding Requirements. Section 3.07 Purchases: Emergency. TLW Draft No. 12:OS119M.#103185 1 Section 3.08 Purchases: Standardized Prices and Specialized Services, Section 3.09 Purchase Orders. Section 3.10 Purchases: Encumbrances of Funds. Section 3.11 Blanket Purchase Orders. Section 3.12 Bidding Procedure: Purchases Greater Than $50,000.00. Section 3.13 Purchases Between $50,000.00 and $100,000.00. Section 3.14 Bidding Procedure: Purchases Less Than $50,000.00. Section 3.15 Bidding Procedure: Purchases Less Than $5,000.00. Section 3.16 Inspection and Testing. Section 3.17 Purchases: Negotiated Contracts. Section 3.18 Surplus Supplies, Materials, and Equipment. Section 3.19 Sale of Real Property. Section 3.20 Recordkeeping. ARTICLE IV: PROFESSIONAL SERVICES CONTRACTS Section 4.01 Purpose and Scope. Section 4.02 Retention of Professional Technical Consultants. Section 4.03 Small Capital Project— Defined. Section 4.04 Small Capital Project: Approval of Plans and Specifications. Section 4.05 Small Capital Project: Annual Budget Approval. TLW Dre No. 12.05119M9 103185 2 Section 4.06 Small Capital Project: Selection of Consultants— Procedure. Section 4.07 Major Capital Project: Defined. Section 4.08 Major Capital Project: Scope of Work. Section 4.09 Major Capital Project: Selection of Consultants — Procedure. Section 4.10 Major Capital Project: Award of Professional Services Agreements. Section 4.11 Major Capital Project: Approval of Plans and Specifications. ARTICLE V: PUBLIC WORKS CONTRACTS Section 5.01 Purpose and Scope. Section 5.02 Public Works: Bidding Required. Section 5.03 Bidding Procedure: Public Works Construction Greater Than $35,000.00. Section 5.04 Approval of Change Orders to Construction Agreements. ARTICLE VI: MEETINGS (AND RELATED TRAVEL) AND TRAINING (AND RELATED TRAVEL) EXPENDITURES Section 6.01 Purpose and Scope. Section 6.02 General. Section 6.03 Policies and Procedures. ARTICLE VII: MISCELLANEOUS Section 7.01 Noncompliance. Section 7.02 Severability. Section 7.03 Effective Date. Section 7.04 Repeal of Prior Resolutions. TLW Dm9 No. 12.0519W*lM185 3 ARTICLE I RECITAL OF FINDINGS Section 1.01: Findings - Declaration of Intent. A. California Government Code Section 54202 requires that every local agency shall adopt policies and procedures, including bidding regulations, governing purchases of supplies, services, and equipment, and that purchases of supplies, services, and equipment by the local agency shall be in accordance with said duly adopted policies. B. California Government Code Section 54204 requires that if the local agency is other than a city, county, or city and county, policies provided for in Section 54202 of said Code shall be adopted by means of a written rule or regulation, copies of which shall be available for public distribution. C. In order to establish efficient procedures for the purchase of supplies, services, and equipment, and the letting of public works contracts at the best possible cost commensurate with quality and delivery needs, together with other relevant factors, to exercise positive financial control over purchases, to clearly define authority for the purchasing function, and to establish bidding procedures, a purchasing system for the District, beyond what is required by said Sections of the Government Code, is desirable and in the best public interest. D. An effective, comprehensive organization needs an administrative structure with support procedures that are logical, efficient, well-documented, are understood by the organization's employees and members of the public, and that enable timely and responsive administrative acquisition of materials, supplies, and services. The organization should also appropriately delegate authority to those persons and units having responsibility for these activities. E. The Board of Directors has determined that a delegation of authority structure provides for better training of employees which will result in improved efficiency and effectiveness of the District's operations. ARTICLE II DELEGATION OF AUTHORITY Section 2.01: Purpose and Scope. In an effort to remove barriers that prevent District employees from performing their jobs at the highest level of efficiency, a delegation of authority structure will appropriately train the employees, and by providing increased responsibility and ownership, will contribute to the improved TLW Draft No.12:05119MI103185 4 efficiency and effectiveness of the District. Section 2.02: Authorizing General Manager to Establish Rules and Guidelines. The General Manager of the District is hereby authorized to establish rules and guidelines to implement Board policies and to delegate to Staff signature authority to initiate and execute contracts or purchase orders to acquire services, including professional services, supplies, and materials, and public works project contracts, all as more particularly specified in Articles III through VI. Section 2.03: Procedure for Delegation of Authority. The following provisions establish delegated signature authority for contracts and purchase orders for the acquisition of supplies, services, materials, equipment, and professional services. The delegated authority for each functional management level will be established one level higher in the absence of specifically identified authority. The General Manager's authority is delegated to the Assistant General Manager ("AGM") in the General Manager's absence. These procedures establish the framework and boundaries within which a delegatee can operate, and also provide Management with a mechanism to evaluate implementation and hold the delegatee accountable for his/her actions. Upon delegation of authority by the General Manager, each Department shall be authorized to further delegate to respective employees within the Department. The delegation shall be effective upon the Department Head setting forth, in writing, the name of the delegated employee, his/her job position, and specific level of delegated authority designated as Level A, B, or C, respectively, and filing it with the Contracts/Purchasing Manager. The General Manager shall establish procedures to implement further delegated authority into the organization. For contracts and purchase orders for the acquisition of supplies, materials, equipment, and services (excluding public works contracts governed by State law and professional services agreements), the following signature authority is hereby established. The functional authority level listed describes the highest level of signature approval needed. Intermediate management approval between the initiator/requestor and listed approval level must also be obtained. A. Approval Levels All items above $100,000.00 are to be approved by the Board prior to purchase, with the exception of emergency items, pursuant to Section 3.13. All items between $50,000.00 and $100,000.00 are reviewed and approved by the General Manager prior to purchase, and reported to the Board of Directors on a quarterly basis. All items below$50,000.00 are approved pursuant to the following delegation of authority: TLW Dre8 No.12:08n999:p103185 5 1. Items exceeding $100,000 require Board of Directors approval, unless previously authorized by the Board for items identified in the annual District budget. 2. Items $50,000 to $99,999 require General Manager or Assistant General Manager approval. 3. Items $25,000 to $49,999 require Department Director approval. 4. Items $10,000 to $24,999 require Division Manager approval. 5. Items $5,000 to $9,999 require Level A approval. 6. Items $2,000 to $4,999 require Level B approval. 7. Items less than $2,000 require Level C approval. B. Co-Signatures. In addition to the signature of the Delegated Authority: 1. To ensure that all policies and procedures governing purchase orders and contracts are followed, all contracts or purchase orders will be signed by the Contracts/Purchasing Manager, or his designee. 2. All purchases for computer hardware, software, and communication equipment will be pre-approved by the Information Technology Director, or his designee. C. Procedural Requirements. All policies and procedures adopted by the Board of Directors or promulgated by the General Manager governing the procurement of services, equipment, or supplies will apply, and shall be complied with. Budgeted funds must be available prior to the acquisition of goods or services. Upon the identification of goods or services needed that are not originally budgeted, either a budget transfer request form must be completed demonstrating that adequate funds are available to cover the acquisition, or the Board of Directors must authorize a budget amendment, at which time, the item being acquired would fall into the budgeted category. TLW Draft No.12:OsigM11031M 6 ARTICLE III PURCHASING SYSTEM RE SUPPLIES SERVICES. EQUIPMENT, AND MATERIALS Section 3.01: Purpose and Scone. In order to establish efficient procedures for the purchase of supplies, services, materials and equipment, and the letting of public works contracts at the best possible cost commensurate with quality and delivery needs and other relevant factors; to exercise positive financial control over purchases; to clearly define authority for the purchasing function; to establish bidding procedures, pursuant to Section 54202 of the Government Code of the State of California, a purchasing system is deemed necessary. Section 3.02: Purchasing System Adootion. The procedures and authority set forth in this Resolution are intended to operate in concert with and supplemental to the delegation of authority granted by the governing Board of Directors in the adoption of this Resolution. Full compliance with the provisions of all Articles in this Resolution is required. Section 3.03: Purchasing Division Delegated Authoriri. There is hereby vested in the Purchasing Division (hereinafter referred to as"Purchasing"), under the general supervision and direction of the Director of Finance, the authority for the purchase of supplies, services, materials, and equipment, letting of public works contracts and establishment of rules, procedures and administrative policies relative thereto. The Director of Finance may delegate or assign any or all of the following duties to the Contracts/Purchasing Manager: A. To purchase or contract for supplies, services, materials, and equipment required by any Department or Division, in accordance with purchasing procedures prescribed by this Resolution; such administrative regulations as Purchasing shall adopt for the internal management and operation of Purchasing; and such other rules and regulations as shall be adopted by the Board of Directors. B. To negotiate and recommend execution of contracts for the purchase of supplies, services, materials, and equipment; for construction of public works projects; and for the disposition of surplus property and by-products of the sewage treatment process. C. To submit to General Counsel for review or approval, as necessary, all contracts, purchase orders, and other related documents, the original executed copies of which shall be delivered to the Board Secretary for custodianship. TLW D2fl No. 12:05I19FJ 1103185 7 D. To prepare for the District, the needed standards and specifications of quality in supplies, services, materials, equipment, and construction at the best cost and under the most favorable conditions, with due consideration to delivery and other relevant factors. E. To discourage uniform bidding and endeavor to obtain as full and open competition as possible on all purchases and sales. F. To prepare rules, regulations, procedures, and administrative policies, and revisions thereto, governing the purchase of supplies, services, materials, and equipment; for the letting of public works construction contracts in accordance with the provisions of state law; and disposition of surplus property and by-products. G. To prepare rules, regulations, procedures, and administrative policies, and revisions thereto, governing the warehousing of inventories. H. To keep informed of current developments in the field of purchasing, including but not limited to prices, market conditions and new products. I. To prescribe and maintain such forms as reasonably necessary to the implementation of this Resolution and other rules and regulations of the District. J. To develop specifications to establish minimum standards for all purchases. K. To supervise the inspection of all supplies, services, materials, and equipment purchases to insure conformance with specifcations. L. To provide for transfer of surplus or unused supplies and equipment between Departments, as needed. M. To have custodianship and control of all inventories and surplus property. N. To maintain a bidders' list, vendors' catalog file, and records needed for efficient operation of the Purchasing Division. O. To review, approve, and maintain active insurance documents for all District procurements. P. To undertake such other and future duties as, in the Director's discretion, are incidental and necessary to the conduct of the Division. TLW Draft No. 12.05I19M9 103105 8 Q. To revise all records to reflect the sale, transfer, or reorganization of a supplier's business, or a change in the supplier's name for doing business, so long as all other terms and conditions of the original agreement remain the same. In such event of an assignment of the purchase order or contract by the supplier, the District shall not be bound until it has given its consent in writing, which consent shall not be unreasonably withheld. An amendment to the original agreement shall be prepared authorizing and consenting to the assignment and shalt be executed by the General Manager, or his designee, on the District's behalf. Section 3.04: Requisitions. All employees of the District who need or require supplies, services, materials, or equipment to carry out the defined duties of their positions, shall submit requisitions for purchases or warehouse requisitions to Purchasing, in accordance with the adopted rules, regulations, procedures, and policies of the Purchasing Division. Usage of the District's procurement cards shall be exempt from this requirement. Section 3.05: C000erative Procurement. A. The District, through Purchasing, may participate in or sponsor, conduct and/or administer a Cooperative Procurement Agreement for the acquisition of procured items or services with any other public agency purchasing unit, in accordance with an agreement between the District and the other public agency. B. The District, through Purchasing, may sell to, acquire from, or use any property belonging to another public agency, including the cooperative use of supplies or services. C. Participation in the County of Orange Cooperative Purchasing Program has been expressly authorized by adoption of Board of Directors Resolution No. OCSD 96-22. Section 3.06: Purchases: Bidding Requirements. Except as hereinafter provided, purchasing of supplies, services, materials, or equipment shall be by bid procedures as set forth in this Article III, when the purchase is estimated to have a value greater than Five Thousand ($5,000.00) Dollars; the commodities or services may be obtained from more than one vendor; or are not standardized as to price; and no emergency exists. Section 3.07: Purchases: Emergencv. Whenever an emergency arises which is, or may be a threat to the continued required operations of the wastewater treatment plants and facilities owned by the Districts, or when purchases are immediately necessary for the preservation of life or property, or to avoid a threat to the public health or safety, the Division may purchase supplies, services, materials, or equipment required for immediate use, in an amount greater than One Hundred TLW Draft No.12:05I19M,*103195 9 Thousand $100,000.00) Dollars without observing the procedures set forth in this Resolution. The General Manager or his designee shall advise the District Chair and/or Vice Chair, as appropriate, of the action taken, and such action shall be ratified by the Board of Directors at its next regular meeting. Section 3.08: Purchases: Standardized Prices and Specialized Services. In the purchases of supplies, services, materials, or equipment in which the items to be purchased have a demonstrated uniformity in price, or it is determined that there is a sole source, or the provider of services is determined to be uniquely qualified to perform specialized services, Purchasing may make such purchases without observing the bidding procedures of Section 3.12 below. Section 3.09: Purchase Orders. Purchases of all supplies, services, materials, or equipment shall be made by purchase order and may also require a formal written contract, when determined necessary or appropriate by the Contracts/Purchasing Manager. To ensure that all policies and procedures governing purchase orders and contracts are followed, all contracts or purchase orders will be executed by the Contracts/Purchasing Manager, or as delegated by the Contracts/Purchasing Manager. Purchasing and employees requisitioning supplies and equipment shall be responsible that purchase orders and requisitions are in conformity with the spirit and intent of this Resolution and that no purchase has been broken into smaller units to evade any requirement of this Resolution. Purchasing shall retain, in its files, one copy of all purchase orders issued during two (2) years preceding, on which copy of the purchase order, there shall be a list of bidders and prices bid for the materials or equipment purchased, or if no bids or quotations were taken or received, a full statement as to the reason therefor. Section 3.10: Purchases: Encumbrances of Funds. Except in cases of emergency, no purchase order shall be issued for any supplies, services, materials, or equipment, unless there exists an unencumbered appropriation balance in the fund against which said purchase is to be charged. Section 3.11: Blanket Purchase Orders. The Purchasing Division may issue annual blanket purchase orders for recurring purchases of miscellaneous supplies that: A. Because of economic considerations, the items are not carried in stock in the District's warehouse; B. Are stock items that have been designated as appropriate sole source acquisitions; C. Purchasing determines it is in the best interests of the District to competitively bid a blanket order for inventory items; or TLW Draft No.12:0519W:#103185 10 D. Are for miscellaneous supplies, services, materials and equipment where such purchase of supplies, services, materials, and equipment may be procured from a single vendor during the budget year, without observing the procedures prescribed in Section 3.12 below, when, in its discretion, it is determined that such blanket purchase orders are at a cost favorable to the District and will result in more efficient procurement of such items. Blanket purchase orders shall be in conformity with the spirit and intent of this Resolution. The Purchasing Division shall, at the beginning of each budget year, file a list of such purchase orders and the estimated annual amount with the Director of Finance. Section 3.12: Biddino Procedure: Purchases Greater Than $50,000.00. A. Award to Lowest Bidder. Except as otherwise provided in this Article III, purchases of supplies, services, materials, and equipment of estimated value greater than Fifty Thousand ($50,000.00) Dollars shall be by written contract or purchase order with the lowest responsive and responsible bidder (unless a Request for Proposal ("RFP") solicitation instrument is utilized), pursuant to the procedures prescribed herein. B. Award Approval. Purchases of supplies, services, materials, and equipment that have appropriate budgetary approvals shall be bid and awarded directly by the Contracts/Purchasing Manager, or as delegated by the Contracts/Purchasing Manager. Supplies, services, materials, and equipment that exceed the budgeted amount, or effect policy recommendations or ratifications, or are sole source contracts exceeding $100,000.00, and all public works contracts, shall require Board of Directors' approval prior to issuance or award of a purchase order or contract. C. Notice Inviting Bids. The notice inviting bids shall include a general description of the articles or services to be purchased or sold, shall state where bid forms and specifications may be secured, and the time and place for opening bids. 1. Published Notice. The notice inviting bids shall set a date for the opening of bids. The notice shall be published one (1) time at least ten (10) days before the date for the opening of the bids. Notice shall be published in a newspaper of general circulation, printed and published within the District's jurisdiction, or by electronic bulletin board procedures designed to reach the industry or market of supply. 2. Bidders List. Purchasing may also solicit sealed bids, or receive bids electronically, from all qualified, responsible prospective suppliers whose names are on the Bidders List maintained by the District, or who have requested their names to be added thereto. TLW Draft No.12 M19Mt103185 11 3. Bulletin Boards. Purchasing may also advertise pending purchases or sales by a notice posted on a public bulletin board in the Purchasing Division Office, and by electronic bulletin board, as deemed appropriate by the Contracts/Purchasing Manager. D. Bidder's Security. When deemed necessary by Purchasing, bidder's security may be prescribed in the contract specifications or in the public notice inviting bids. Bidders shall be entitled to the return of bid security upon the full execution of an awarded contract or issuance of a purchase order, by the successful bidder. A successful bidder shall forfeit his bid security upon refusal or failure to execute the contract within the prescribed time after the notice of award of contract has been delivered to bidder, unless the District is responsible for a delay in the prescribed time. The Board of Directors may, on refusal or failure of the successful bidder to execute the contract, award it to the next lowest responsive, responsible bidder. If the Board of Directors awards the contract to the next lowest bidder, an amount of the lowest bidder's security equal to the difference between the low bid and the awarded bid, shall be forfeited to the District, and the surplus, if any, shall be returned to the lowest bidder. E. Bid Ooeninc Procedure. Sealed or electronically received bids shall be submitted to the Contracts/Purchasing Manager and/or Secretary of the Board of Directors, and shall be identified as a bid on the envelope or the electronic bulletin board. Bids shall be opened in public by the Contracts/Purchasing Manager, or his designated representative, at the time and place stated in the public notices. A tabulation of all bids received shall be open for public inspection during regular business hours for a period of not less than thirty (30) calendar days after the bid opening. In cases wherein the Request for Proposal ("RFP") instrument is utilized, all RFP's will be opened, and only the name of the Proposer shall be read aloud at the time and place set forth herein. F. Refection of Bids. In its discretion, the Board of Directors may reject any and all bids presented and readvertise for bids. If all bids are rejected, the Board of Directors, by majority vote, may declare that the materials or supplies may be acquired at a lower cost by negotiation in the open market and authorize the purchase in that manner. G. Tie Bids. If two or more bids received are for the same total amount or unit price, (with quality and service being equal), and if the public interest will not be best served by a delay of readvertising for bids, the Board of Directors may accept the one it chooses or accept the lowest bid made by negotiation with the tie bidders at the time of the award. TLW Draft No.12:05119199k1031115 12 H. Performance Bonds. Purchasing shall have authority to require a faithful performance bond, a labor and materials bond and/or a warranty bond, before entering into a contract in an amount as it shall find reasonably necessary to protect the best interests of the District. If the Purchasing Division requires any of these bonds, the form and amount of the bond shall be described in the notice inviting bids and in the contract specifications. Section 3.13: Purchases between $50,000.00 and $100,000.00. Notwithstanding the provisions of Subsections 3.12(A) through 3.12(H) above, Purchasing may award a contract to purchase supplies, services, materials, or equipment in an amount greater than Fifty Thousand ($50,000.00) and less than One Hundred Thousand ($100,000.00) Dollars, without obtaining bids and following the procedures set forth above when the Contracts/Purchasing Manager determines that: A. By purchasing immediately, it can avoid an imminent price increase or realize a substantial price discount that is available on a short term basis only; or B. It can obtain supply, services, materials, or equipment immediately that might not otherwise be available at such time as purchasing procedures could be completed; or C. Said contract for supplies, services, materials, or equipment has Board of Directors' approval for multiple one (1) year renewal periods. All such contract renewals shall require the Contracts Administrator/Purchasing Manager approval; or D. The supplies, services, materials, or equipment are only available from a sole source. E. Whenever an emergency arises which is, or may cause a threat to the continued required operations of the treatment plants, or when purchases are immediately necessary for preservation of life or property, or to avoid a threat to the public health or safety. All purchases between $50,000.00 and $100,000.00 shall be reviewed and pre- approved by the General Manager and reported to the Board of Directors on a quarterly basis. Section 3.14: Bidding Procedure: Purchases Less Than $50,000.00. Purchases of supplies, services, materials, or equipment, of an estimated value in the amount of Fifty Thousand ($50,000.00) Dollars or less on which bidding is not required by state law, may be made by Purchasing in the open market without observing the same procedures as prescribed by Section 3.12 above. The procedures to be used for these purchases are as follows: TLW Dmft No.12a5/1gNg*103185 13 A. Minimum Number of Bids. Open market purchase shall, whenever possible, be based on at least three (3) bids and shall be awarded to the lowest responsive and responsible bidder, and shall be by written contract or purchase order. B. Solicitation of Bids. Bids shall be solicited by written requests to prospective vendors or purchasers and/or by telephone, facsimile transmission, electronic bulletin board, and/or by public notice posted on a public bulletin board in the Purchasing Division Offices. C. Receipt of Bids. Bids shall be submitted to Purchasing, which shall keep a public record of all open market orders and bids for a period of two (2) years after the submission of bids or the placing of orders. D. Exceptions. Purchasing may purchase supplies, services, materials, or equipment without observing the procedures prescribed in Subparagraphs A, B, and C above, if supplies, services, materials, or equipment are only available from a sole source. All such purchases shall be approved by the Director of Finance, the requesting Department Head, and the Contracts/Purchasing Manager. Section 3.15. Bidding Procedure: Purchases Less Than $5,000.00. Purchasing may purchase supplies, services, materials, or equipment of a value in the amount of Five Thousand ($5,000.00) Dollars or less per purchase order, without observing the procedures prescribed in this Section when, in the Contracts/Purchasing Manager's discretion, it is determined that observing such procedures would not result in a lower overall cost to the District. Record of such decision shall be fully stated in the purchase order file as to the reason therefor. Section 3.16: Inspection and Testing. The supplies, services, materials, and equipment delivered, and contractual services performed, shall be inspected to determine their conformance with the specifications set forth in the purchase order or contract. Purchasing shall have authority to request professional services, or to require chemical and physical tests of samples submitted with bids and samples of deliveries which are necessary to determine their quality and conformance with specifications. Section 3.17: Purchases: Negotiated Contracts. Notwithstanding other provisions of this Resolution, the Board of Directors may, when it appears in the best interests of the District, authorize the Staff to negotiate and award a contract for purchase of supplies, services, materials and equipment without observing the procedures prescribed in Sections 3.12 and 3.14 above. TLW Draft No.12:05119W,*1031M 14 A. When such authorization has been granted for purchase of supplies, services, materials, and equipment of an estimated value in the amount of One Hundred Thousand ($100,000.00) Dollars or greater, the Staff shall obtain the concurrence of the District Chair and/or Vice Chair, as appropriate, prior to awarding such purchase. B. Whenever any contract for supplies, services, materials, or equipment has been entered into between the District and a person or entity providing such supplies, services, materials, or equipment, and Purchasing determines that it is in the best interest of the District to continue said contract with such person or entity, Purchasing may, in its discretion, negotiate an extension of such contract without observing the bidding procedures prescribed in Sections 3.12 and 3.14 above; provided, the contract contains provisions for subsequent extension periods; has been approved and awarded by the Board of Directors; and/or has prior budget approval, as provided in Section 3.12. C. This Section shall not apply to the letting of public works construction contracts in excess of Thirty-Five Thousand ($35,000.00) Dollars. Said contracts shall be governed by the provisions set forth in Article V of this Resolution. Section 3,18: Surplus Supplies. Materials. and Equipment. All Departments and/or Divisions shall submit to Purchasing, at such times and in such form as Purchasing shall prescribe, reports showing all supplies, materials, and/or equipment which are no longer used or which have become obsolete or wom out. Purchasing shall have authority, as deemed appropriate by the Contracts/Purchasing Manager, to sell, exchange for, or trade in on new supplies, materials, and equipment, or dispose or, as deemed appropriate, all supplies, materials, and equipment which cannot be used by any other Department or Division, or which have became unsuitable for District's use. Section 3.19: Sale of Real Property. No real property of the District may be sold, or any negotiations leading to such sale may be made, without prior approval of the Board of Directors. Section 3.20: Recordkeeping: A record of all sales or surplus property and by-products shall also be maintained by Purchasing upon or in which is maintained the record of the bids received for the property or by-products sold, or if bids were not taken or received, a full explanation thereof. Such records shall be maintained for two (2) years after the sale. TLW Draft No. 12:05I191W*103185 15 ARTICLE IV PROFESSIONAL SERVICES CONTRACTS Section 4.01: Purpose and Scope. The Orange County Sanitation District, in the interest of uniformity, fairness and cost effectiveness desires to establish policies and procedures for the selection and procurement of professional engineering, architectural, environmental, land surveying and construction management services. Section 4.02: Retention of Professional Technical Consultants. This Resolution establishes a procedure to be followed in the selection and retention of Professional Technical Consultants in the areas of engineering, architecture, environmental, land surveying, construction management services and related services. Professional Technical Consultants are those individuals or firms providing engineering, architectural, environmental or land surveying services which are those professional services associated with research, development, design and construction, alteration, or repair of real property, as well as incidental services that members of these professions and those in their employ may logically or justifiably perform, including studies, investigations, surveys, evaluations, consultations, planning, programming, conceptual designs, plans and specifications, cost estimates, inspections, shop drawing reviews, sample recommendations, preparation of operation and maintenance manuals, and other related services. Services for product testing are excluded. It is recognized that no two individuals or firms have equal skills, training, or experience and that the qualities of such persons vary. Accordingly, Professional Technical Consultants shall be selected based upon the District's discretion and opinion as to which particular consultant is best qualified to perform the work (hereinafter referred to as "projects") in question. For purposes of this Resolution, "firm" shall mean any individual, firm, partnership, corporation, association, or other legal entity permitted by law to practice the profession of architecture, engineering, environmental services, land surveying, or construction project management. Evaluation and selection of a consultant firm will include but not be limited to the following: A. The firm shall be of high ethical and professional standing, its members being of good moral character, and it shall be prepared to submit references from persons of known repute. B. The principal and other responsible members of the firm must be registered in the State of California, as required by law. TLW Draft No.12:05/19M*103195 16 C. A principal member of the firm's staff must have at least ten years' recent experience in responsible charge of work of the type involved in the project. D. At least two additional members of the firm's staff must have at least five years' experience in responsible charge in the field, or fields, required by the project. E. The firm shall be capable of performing the work within the prescribed time limitations considering the current and planned work loads of the firm. F. If all other factors are equal, preference shall be given to a local based firm when more than one firm is being considered. G. If the project is funded, either in whole or in part, by federal funds that require, as a condition of establishing or maintaining eligibility for federal funds, that firms working on the project maintain an affirmative action employment program, then the firm selected for the project must certify to having such a program. The District also recognizes that the scope of services and the qualifications of consultants can differ significantly between major capital facilities projects and small capital projects. The criteria set forth in Paragraphs C and D above may be waived by District for small capital projects. The procedures set forth in this Resolution shall govern the retention of such professional consultants. Section 4.03: Small Capital Proiect: Defined. "Small capital project" is defined as a miscellaneous capital improvement or facility modification, replacement, or repair project, related to plant safety, reliability and efficiency enhancements where professional consulting services are estimated to be in an amount not to exceed $50,000.00 for each project. Section 4.04: Small Capital Proiect: Approval of Plans and Specifications. The Board of Directors delegates to the Director of Engineering, as Professional Registered Engineer, the authority to approve the design, plans, and specifications for construction of new or modified District facilities that is deemed a small capital project, as defined in Section 4.03 above. Section 4.05: Small Capital Project: Annual Budget Aooroval. Upon approval by the Board of Directors of an annual budget, the District's Staff shall be authorized to solicit contract proposals from professional engineering, architectural, environmental, land surveying and construction management firms to perform the required services for the approved small capital projects, as defined and prescribed herein. TLW Drefl No.12:05119M:N103185 17 Section 4.06: Small Capital Project: Selection of Consultants— Procedure. A. District's staff shall compile a master pre-approved list of 5-10 firms having the required expertise to perform the required professional service for a small project. The master list of firms will be selected based upon a solicitation, review of qualifications, and Board approval. The original term of the agreement shall be for one (1) year. Thereafter, the Department Director shall be authorized to recommend to the General Manager, an extension of the professional consulting services agreement for up to two (2) additional one (1)-year renewal periods, for a total of three (3) years, with each of the parties designated on the approved master list. The professional consulting services agreement for each party on the master list shall be forwarded to the purchasing office. The Engineering Department Staff shall prepare the appropriate requisition documentation to insure future payment to the consultant. B. As a need for an individual specific project arises, the District will implement the Agreement by issuing a task order identifying the specific project by name and number and including the approved scope of work required of the consultant for the project. The scope of work for any individual task order, shall not entail a cost in excess of$50,000.00. There is a maximum annual limitation of$200,000.00 for each individual consultant purchase order under the provisions of this Section 4.06. C. The Department Director shall first obtain at least two (2) price proposals from consultants before the task order is awarded to a consultant. This requirement may be waived at the discretion of the Department Director where a determination is made that the subject work is unique such that only one (1) consultant is available to perform the work, or where significant time constraints or emergency conditions dictate that one (1) consultant be solicited for a price proposal. The Department Director, or his designee, shall review the proposals specifically addressing cost and ability to meet District schedule requirements. Based on the evaluations, the Department Director is authorized to award the task order. D. Once the consultant is selected for the award of a small capital project and the task order is executed by the District, the Department Director shall issue the notice to proceed. E. Addenda to a particular task order shall be approved by the Department Director. However, the amount for each addendum may not exceed $50,000.00, and the cumulative total for all addenda may not exceed $50,000.00. The Department Director shall issue the task order addendum in letter form. Section 4.07: Jor Capital Project: Defined. "Major capital project' means the construction, repair, modification, or rehabilitation of the District's Capital Facilities, including treatment plants, trunk sewers, pump stations, ocean ouffall, administrative and support facilities, and other facilities related to District operations, TLW Draft No.12:05H9RJ9fn0M5 18 where the cost of professional technical consulting services are estimated to be in an amount in excess of$50,000.00 for any project. These projects may require Selection Committee or Board approvals. Minor or specialty-item capital projects are defined as projects, where the cost of professional technical consulting services are estimated to be in an amount more than $50,000.00, and less than or equal to $100,000.00 and require only General Manager approval. Requirements for Scope of Work, Proposal, Procurement and Negotiation Agreement Continuation of Services, Agreement of Services, and Conflict of Interest apply for both Major Capital Projects and Minor or Specialty-Item Capital Projects, with deviation only in authorization levels. Section 4.08: Major Capital Project: Scope of Work. A. For every project approved by the Board of Directors and for which outside services are required, the District staff shall develop a comprehensive scope of work. B. The scope shall define the extent of the services and the time required. Section 4.09: Major Capital Proiect: Selection of Consultants - Procedure. For the employment of any professional consulting services for major capital projects, the following procedures shall apply: A. Proposals - Notice Requesting. Staff shall prepare a Request for Proposal ("RFP") or a Request for Qualifications ("RFQ") for the scope of work which shall include a request for the firm's qualifications, personnel capability, demonstration of firm's capabilities, identification of personnel assigned to the project, estimate of number of hours for each aspect of the project, fee proposals and conflict of interest disclaimer. The Request for Qualifications' process may be used, at Staffs discretion, to narrow the field of firms submitting proposals on the project. District shall maintain a comprehensive list of professional consultants' demonstrated competence. Notice shall be mailed to all firms requesting notice of any RFP or RFQ issued by the District. Optionally, notice may be given by publication in professional journals or publications of general circulation. B. Staff Screening Committee. A screening committee of at least two (2) staff members as chosen by the Department Director shall review all submitted proposals and prepare a recommendation for selection of the best qualified consultant to the Selection Committee, as described in Paragraph D below. TLW Dreg No.12:05119 ,7#103185 19 C. Proposals - Contents. Proposals submitted shall: 1. Acknowledge the scope of the project and extent of the services required. 2. Include a description of the firm's qualifications for performing the proposed work. 3. In the case of a proposal for construction management services, each firm shall provide evidence that its personnel that will carry out on-site responsibilities have expertise and experience in construction project design review and evaluation, construction mobilization and supervision, bid evaluation, project scheduling, cost-benefd analysis, claims review and negotiation, and general management and administration of a construction project. 4. Include past performance records of the firm. 5. Demonstrate the firm's capabilities to complete the work within the time allotted. 6. Identify the specific key personnel to be assigned to the project. 7. Provide an estimate of the number of hours involved in each aspect of the scope of work for such personnel. 8. Be accompanied by a sealed fee proposal estimate which shall not be opened until the firm is selected as being qualified. Thereafter, it shall be the basis, for procurement negotiations. The form of the fee proposal shall be as described in Subsections F2 and F3 below_ 9. Contain a conflict of interest disclaimer. 10. Provide any other information required to properly evaluate the firm's qualifications and familiarity with the types of problems applicable to the project. D. Selection Committee - Membership. 1. The members of the Board of Directors Standing Committee principally responsible for the project and contract under consideration for approval shall constitute the Selection Committee for District projects. TLw 13 a No. 12:W19M,0103185 20 2. At the discretion of the District Chair, additional Directors may be appointed to the Committee to assist in the consideration of proposals for specific projects. E. Review of Proposals by Staff Committee and Selection Committee. 1. The Staff Committee shall review each proposal and the qualifications of each firm with due consideration of office location, reputation in the professional community, experience, both generally and specifically on similar-type projects, the project approach, understanding of the scope of work, financial standing, number of qualified personnel and their availability for the project, quality of references, work load and other factors relevant to the project being considered. 2. The Staff Committee, upon completion of their evaluation of all proposals, shall determine those firms deemed to be fully qualified to provide the services sought by the District based on their demonstrated competence and qualifications. 3. The Staff Committee, upon making a determination of the fully qualified firms, shall rank the firms considered, in order of preference, based upon the qualification of each, as described in Subparagraph E(1) above. Thereafter the Committee shall open the sealed fee proposal of the qualified firms. Based upon the fee proposal, the committee may recommend to the Selection Committee or the Board of Directors an individual or firm for award of the contract. The recommended individual or firm can be ranked lower than firms with higher fee proposals. 4. The Selection Committee shall receive and review the recommendation of the Staff Committee and either award or recommend to the Board of Directors, either the approval or disapproval of the Staff recommendation to award a contract, as authorized in Section 7 below. F. Procurement and Negotiation of Agreement. To determine the firm to be selected and the compensation for the services sought, the following procedures will be strictly adhered to: 1. The Staff Committee will, at its discretion, invite the firm that is considered to be the best qualified to appear before the Staff Committee. 2. The proposal for fees associated with the services as submitted by the selected firm shall be presented in sufficient detail to enable the Staff Committee to adequately ascertain the level of effort associated with TLW Draft No. 12:05I1!M*1031W 21 the scope of work and to determine whether the firm has thoroughly identified the efforts associated with the services and thoroughly understands the work required. 3. The basis of the fee shall be: Cost plus a fixed fee with a maximum amount, a per diem rate(s) with a maximum amount, or a lump sum (fixed) fee. 4. If it is the decision of the Staff Committee to use methods for compensation other than the lump sum or cost plus a fixed fee with a maximum, or the per diem rates with a maximum, justifications for this decision shall be made by the Staff Committee in its recommendation to the Selection Committee and the Board of Directors. 5. The Staff Committee shall review the compensation requested by the firm which shall be compared with the maximum fee as previously established. 6. The final negotiated fee, as recommended to the Selection Committee and Board of Directors, shall be certified by the Staff Committee as reasonable for the services requested and not resulting in excessive profits for the firm. 7. If agreement is not reached, the negotiations should be terminated and similar interviews should then follow with the next-ranked firm. 8. All such negotiations shall be on a strictly confidential basis, and in no case shall the compensation discussed with one firm be discussed with another. G. Continuation of Services. 1. In some instances where a qualified firm has satisfactorily completed one phase in the development of a project and the Board determines that it is in the best interests of the District to retain the same firm for subsequent phases of related work, the Staff Committee or the Selection Committee may be authorized to proceed directly with negotiations with that firm for the additional work. 2. Continuation of services may arise when a firm has completed a feasibility report or a preliminary engineering report and the services for said work are satisfactory to the Board and the procedure of examining other firms for subsequent phases is not deemed necessary or cost effective. TLW 13 a No.12:05/19MV1031M 22 3. In the event that satisfactory negotiations for price cannot be concluded under these circumstances, negotiations should be terminated and the provisions set forth hereinabove for selection of a firm would apply. H. Specialized Services. 1. In the event that specialized services are required where it is determined that only one qualified firm can best perform the services for a specific project in an amount greater than $50,000.00, the Staff Committee, in the case where the fees are greater than $50,000.00, will report to the Selection Committee said findings and request authority to negotiate directly with the particular specialized firm. 2. The basis of selection of the specialized firm or individual under Subparagraph H(1) above, along with the negotiated fee, shall be presented to the Board of Directors for consideration. I. Agreement for Services. 1. Upon approval by the Board of a negotiated agreement for professional services, a contract shall be executed in a form approved by the General Counsel. 2. The contract shall include, but not be limited to the following terms: (a) A statement of the scope of the project. (b) The basis and individual elements of the fees. (c) The basis for payment to the firm. (d) The time limits in which the services must be performed. (e) Provisions for fee adjustments should there be changes in the scope of work. (f) If it is determined by the Selection Committee that the District may be caused to incur a penalty or liability, or suffer a loss because of the failure of the firm to perform the work within specified time limits, the contract shall include a clause setting forth penalties for such nonperformance or delayed performance, in amounts to be determined by the Committee. TLW Draft No,12.M19MW103155 23 (g) For projects exceeding $50,000.00 in fees or in other cases as determined by the District, errors and omissions insurance in an amount recommended by the General Counsel (based upon engineering data from the Department Director) shall be required, unless the Standing Committee or Board of Directors, as the case may be, waives said insurance. For projects that involve small engineering studies where a consultant is asked to provide a report not related or leading directly to a design project, the General Manager(based upon engineering data from the Department Director), in his discretion, may waive the requirement for the consultant to provide errors and omissions/professional liability insurance. J. Conflict of Interest. 1. The District maintains a Conflict of Interest Code, pursuant to California Government Code Section 87100 et seci., which governs the activities and performance of duties of its officers, employees, or agents in the conduct of project work for the District. 2. No Director, officer, employee or agent shall solicit or accept rebates, kickbacks, favors or other unlawful consideration from any individual or firm on behalf of any firm that may be potentially selected as a qualified firm to provide professional consulting services to the District. Acceptance of food and refreshments of nominal value on infrequent occasions and acceptance of gratuities or gifts shall not be deemed a violation of this provision, provided that if said items exceed $290.00, or the amount as fixed by Government Code Section 89503, or California Code of Regulations, Title 2, Section 18940.1, in a calendar year, the Director, officer, employee or agent may be disqualified from participating in the decision pursuant to Article III of the District's Conflict of Interest Code; and provided further, that any Director, officer, employee or agent, as a designated employee under the District's Conflict of Interest Code, shall report any amount of gifts on his/her annual Statement of Economic Interest as required by said Code. 3. Any firm seeking selection under these procedures that violates the District's Conflict of Interest Code shall be automatically disqualified. TLW Draft No. 12:05119W.V03185 24 Section 4.10: Major Capital Project: Award of Professional Services Agreements. A. Professional Consulting Services. The award and execution of an agreement for professional consulting services on behalf of the District shall be made in accordance with the following delegations of authority: Authorizing Authorily Authorized Action 1. Department Heads Solicitation of Requests for Qualifications("RFQ") and Requests for Proposals (RFP"). 2. General Manager Authorization to evaluate proposals and to execute contracts up to $100,000. 3. OMTS, PDC, or FAHR Receive recommendations of Staff and Committee (or Standing General Manager, and approve Profes- (Committees) sional Services Agreements of over $100,000.00 up to $200,000.00. 4. Board of Directors Receive recommendations of Staff, General Manager and Committee, and approve Professional Services Agreements for over $200,000.00. B. Professional Consulting Services Agreement Addenda. The award and execution of an addendum to an agreement for professional consulting services on behalf of the District shall be made in accordance with the following: Authorizing Authoriri Authorized Action 1. Department Head Authority to negotiate addenda. 2. General Manager Receive recommendation of Staff and approve contract changes up to $100,000.00 per addendum on previously-awarded Board contracts. The additive value of the total of the General Manager-approved contracts, and all addenda, shall not exceed $100,000.00. TLW Daft No. 1205119M.0103/85 25 3. OMTS, PDC, or FAHR Receive recommendations of Staff and Committee (or Standing General Manager, and approve contract Committee) changes between $100,000.00 and $200,000.00 on Board-awarded contracts, and between $0.00 and $200,000.00 on General Manager- awarded contracts. The additive value of the changes shall not exceed $200,000.00. 4. Board of Directors Receive recommendations of Staff, General Manager and Committee and approve contract changes for over $200,000.00. Section 4.11: Major Capital Project: Approval of Plans and Specifications. The procedure and authority for the approval of the design plans and specifications for construction of new or modified District's major capital projects is as follows: A. For any project with approved budget authority, the Director of Engineering is authorized to advertise for construction bids, set a bid date, and receive all bids. B. For any project, if the engineers estimate for the construction contract, as provided by the Director of Engineering or the District's consulting design engineer is equal to or less than the approved construction budget for the project, the Director of Engineering may advertise for bids, and upon receipt, the lowest responsive bid of a responsible bidder will be submitted to the Board of Directors for approval. C. For any project, if the engineer's estimate for the construction contract, as provided by the Director of Engineering or the District's consulting design engineer, is greater than the approved construction budget for the project, the Director of Engineering shall submit the project to the Standing Committee for recommendation, and based thereon, to the Board of Directors for approval. D. For any project, upon receipt of bids for the construction, if the lowest responsive bid of a responsible bidder is equal to or less than the approved construction budget for the project, the bid will be submitted to the Board of Directors. The Board of Directors, upon receipt of the bid, shall approve the plans and specifications of the project and may award a contract. E. For any project, upon receipt of bids for the construction, if the lowest responsive bid of a responsible bidder is greater than the approved construction TLW Draft No.12:05119MV103105 26 budget for the project, Staff shall present the bid and a recommendation to the Standing Committee for review and recommendation to the Board of Directors. ARTICLE V PUBLIC WORKS CONSTRUCTION CONTRACTS Section 5.01 Purpose and Scope. Public works contracts are herein defined as contracts with duly licensed contractors in the State of California for the furnishing of labor, materials, equipment and permits, as deemed necessary, for the erection, construction, alteration, repair, or improvement of wastewater collection, treatment and disposal facilities, and any other public building, structure or improvement necessary to the operation of the District, in an amount greater than Thirty-Five Thousand ($35,000.00) Dollars, as per California Public Contracts Code Sections 20783 et seq. Section 5.02: Public Works: Bidding Required. When the expenditure required for a public works construction project exceeds Thirty-Five Thousand ($35,000.00) Dollars, it shall be contracted for and let to the lowest responsible bidder, in accordance with the provisions of California Public Contracts Code Section 20783. Section 5.03: Bidding Procedure: Public Works Construction Greater Than $35,000.00. Procedures for soliciting bids and awarding contracts for public works projects for more than Thirty-Five Thousand ($35,000.00) Dollars, shall be by written contract with the lowest responsible bidder, pursuant to the procedures prescribed herein and in accordance with applicable provisions of California Public Contracts Code Section 20783. A. Notice Inviting Bids. The Notice Inviting Bids shall specifically describe the work to be performed, shall state where bid forms, Specifications, and General and Special Provisions may be secured, and the time and place for receiving and opening sealed bids. 1. Published Notice. The Notice Inviting Bids shall set a date for the opening of bids. The first publication or posting of the Notice shall be at least ten (10) calendar days before the date for the opening of the bids. The Notice shall be published at least two (2) times, not less than five (5) days apart, in a newspaper of general circulation, printed and published within the District. 2. Mailed Notice. Unless the work to be done is proprietary, the Notice Inviting Bids shall be published in a public newspaper which carries Orange County public works bid notices, not less than twenty-one (21) calendar days before the date of opening of bids. TLW Dreg No, 12,05119M:#103185 27 3. Bidders List. The Engineering Department may also solicit sealed bids from all qualified, responsible, prospective suppliers whose names are on a Bidders List that may be maintained by District. B. Bidder's Securiri. When deemed necessary by the Purchasing Division, bidder's security may be prescribed in the contract Specifications and in the public Notice Inviting Bids. Bidders shall be entitled to return of bid security, upon full execution by the successful bidder of an awarded contract by the District. A successful bidder shall forfeit its bid security upon refusal or failure to execute the contract within the prescribed time after the Notice of Award of Contract has been delivered to the bidder, unless the District is responsible for the delay in the prescribed time. The Board of Directors may, on refusal or failure of the successful bidder to execute the contract, award it to the next lowest responsive, responsible bidder. If the Board of Directors awards the contract to the next lowest bidder, an amount of the lowest bidder's security equal to the difference in an amount between the low bid and the awarded bid, shall be forfeited to the District, and the surplus, if any, shall be returned to the lowest bidder. C. Bid Opening Procedure. Sealed bids shall be submitted to the Director of Engineering or Contracts/Purchasing Manager, or their designees, and Secretary of the Board of Directors, and shall be identified as a bid, on the envelope. Bids shall be opened by the Director of Engineering or Contracts/Purchasing Manager, or their designee, in public, at the time and place stated in the public notice. A tabulation of all bids received shall be open for public inspection during regular business hours for a period of not less than thirty (30) calendar days after the bid opening. D. Refection of Bids. In its discretion, the Board of Directors may reject any and all bids presented and readvertise for bids. If, after the opening of bids, all bids are rejected, the Board of Directors, on a Resolution adopted by a four-fifths (4/5) vote, may declare that the work can be performed more economically by force account, or the materials or supplies furnished at a lower price in the open market and may have the work done in a manner stated in the Resolution in order to take advantage of this lower cost. E. Tie Bids. If two or more bids received are for the same total amount or unit price (with quality and service being equal) and if the public interest will not be best served by a delay or readvertising for bids, the Board of Directors may accept the one it chooses, or accept the lowest bid made by negotiation with the tie bidders at the time of the award. F. No Bids. If no bids are received, the District may have the work done by force account; may readvertise for bids pursuant to the procedures herein; or TLW Draft No. 1205119/99:M103185 28 may select a contractor by negotiation. G. Emergencies. Whenever an emergency arises which is, or may be, a threat to the continued operation of the wastewater facilities, support facilities and/or administrative facilities operated by the District, a contract for the repair or replacement of the public facility may be ordered by the General Manager without complying with the provisions of this Resolution or the California Public Contracts Code. This authority is hereby delegated to the General Manager, or his designee, by the Board of Directors pursuant to the authority of California Public Contracts Code Section 22050. In such event, the General Manager shall advise the District Chair and/or Vice Chair, as appropriate, of the action taken, and such action shall be confirmed by a four-fifths (4/5) vote of the Board of Directors at its next regular meeting. H. Surety Bonds. The Purchasing Division shall require a Faithful Performance Bond and a Labor and Materials Bond. A Warranty Bond may be required before entering into a contract in an amount up to one hundred (100%) percent of the amount of the contract, as it shall find reasonably necessary to protect the best interests of the District. The form and amount of the bond shall be described in the Notice Inviting Bids, or in the contract Specifications. I. Cost Records. Cost records shall be kept in the manner provided in Sections 4000 to 4007, inclusive, of the California Government Code. Section 5.04: Aooroval of Change Orders to Construction Agreements. The procedure and authority for the approval of change orders to construction agreements is as follows: A. General Manager. The General Manager is authorized to approve any single change order with a total amount of additions to the agreement (not the net amount of the change order), not to exceed $100,000.00, and a total cumulative amount for all change order additions to the agreement not to exceed 5% of the original agreement amount, or$100,000.00, whichever is less. B. Planning. Design & Construction Committee. The Planning, Design & Construction Committee is authorized to approve any single change order with a total amount of additions to the agreement (not the net amount of the change order), not to exceed $200,000.00, and a total cumulative amount for all change order additions to the agreement not to exceed 10% of the original agreement amount, or $200,000.00. whichever is less. C. Management and Staff. At such time as the Staff becomes aware of a fact or circumstance that will likely result in total additive change orders exceeding 5% percent of the original contract amount, it shall be presented to the Planning, Design & Construction Committee at its next regular meeting for review, consideration, TLW Diets No.12:WIfl *IW185 29 and possible action. ARTICLE VI MEETINGS (AND RELATED TRAVEL) AND TRAINING (AND RELATED TRAVEL) EXPENDITURES Section 6.01: Purpose and Scope. This Article sets forth the procedures and scope of delegated authority by which District employees are authorized to incur expenses for budget-approved meetings and training in furtherance of District business. Section 6.02: General. A. Meetings or training exceeding $500.00 will be itemized, as well as possible, in the approved budget. It is recognized that some meetings and training cannot be preplanned. B. All out-of-country travel (excluding Canada and Mexico) requires approval by the Board of Directors. C. Meetings or training requests exceeding $2,000.00 will be approved by the Department Director. D. Meetings or training requests less than $2,000.00 will be approved by the Division Manager. E. Established approvals must be received prior to arrangements for meetings or training being made. Section 6.03: Policies and Procedures. All policies and procedures governing meetings and training, such as the use of District forms and justification, will be followed. ARTICLE VII MISCELLANEOUS Section 7.01: Noncompliance. Any transaction failing to comply with this Resolution in any respect is voidable in the discretion of the Board of Directors, and any employee willfully and knowingly violating any provision of this Resolution may be subject to disciplinary action. TLW Draft No. 12:05119M,1103155 30 Section 7.02: Severabiliri. If any section, subsection, subdivision, sentence, clause or phrase of this Resolution is for any reason held to be unconstitutional or otherwise invalid, such invalidity shall not affect the validity of the entire Resolution or any of the remaining portions thereof. The Board of Directors hereby declares that it would have passed this Resolution, and each section, subsection, subdivision, sentence, clause and phrase thereof, irrespective of the fact that any one or more sections, subsections, subdivisions, sentences, clauses or phrases be declared unconstitutional or otherwise invalid. Section 7.03: Effective Date. This Resolution shall take effect immediately upon adoption by the Board of Directors. Section 7.04: Reoeal of Prior Resolutions. Resolutions Nos. OCSD 98-8, OCSD 98-12, OCSD 98-22, and OCSD 98-43 are hereby repealed in their entirety. PASSED AND ADOPTED at a regular meeting of the Board of Directors held 1999. Chair ATTEST: Board Secretary TLW Dreg No. 12:OBn9/99 03185 31 AGENDA REPORT TRANSMITTAL FORM 3/''�-lt As soon as the review of the Agenda Report is complete, call the contact person for pickup. Committee Name: Meeting Date: Subject of Agenda Report: Report Type--Action (A) or Information (1): _Approximate Presentation Time: minutes Originator/Contact Name: Telephone Ext.: REVISIONS DATE TO REQUIRED REVIEWED COMMENTS Division Mane er Department Head Grea Mathews I Ij / I ' r Assistant General Manager/General Manager Please complete the following section (required by Committee Secretarvl: 1. 1 will/will not attend the meeting 2. 1 will/will not eat dinner 3. The following person(s)will attend the meeting to assist with this presentation: (Please indicate if from an outside agency) CITEMPpO/.apenN rytaa Page 6 STEERING COMMITTEE Meetinq Date TOBtl.of Dir. 5/26/99 W26/99 AGENDA REPORT Item Number Item Number Orange County Sanitation District FROM: Mike Peterman, Director of Human Resources SUBJECT: Informational Update on Employment Law Bills GENERAL MANAGER'S RECOMMENDATION Information only SUMMARY Several pro-union bills are currently winding their way through the legislature. Two of those bills AB240 and SB739, will have a significant impact on the negotiating and bargaining process between the District and our employees. Both bills would allow management, confidential, or supervisory employees to enter into agency shop agreements. SB739 goes so far as to allow employees of the District to establish an agency shop agreement without negotiating with the District if 30% of the employees sign a petition and a majority vote in favor of the agreement. The Southern California Alliance of Publicly Owned Treatment Works (SCAP) is urging wastewater agencies to submit letters in opposition to both of these bills. PROJECT/CONTRACT COST SUMMARY BUDGETIMPACT ❑ This item has been budgeted. (tine item: ) ❑ This item has been budgeted, but there are insufficient funds. ❑ This item has not been budgeted. ❑ Not applicable (information item) ADDITIONAL INFORMATION ALTERNATIVES CEOA FINDINGS ATTACHMENTS C\TEMPFmpbPnml lr.'BJb,MI Rom. am9e Page 1 MAY-II-69 15:26 FROM-SCAP/RAYMtNO C MILLER, PE 9494890150 T-304 P 01/01 F-241 a�vr. ^An P att�WalaAraaaaMaaM�itrA�IMAattp,"i r� - kgan V U C W T99 EMIn al WAuIlY UvevFO taFAIMEnI Aurae SOAP ALERT! .Stay 11, 1999 AB 240 and SB 749 Two bills,AB 240 and SB 739,dealing txclmivtly with public employees,are making their way speedily through the legislature. These bills make changes to the Meyers-Milias-Brown An regarding agency shop agreements. AS 240 and SB 739 both would delete a provision that prohibits management,confidential,or supervisory employees from entering into agency shop agreements. In so doing,they would create an entirely new negotiating and bargaining process between public employers and confidential, supervisory,and managerial employees rust bas the potential to be very costly. SB 739 goes Authar m allow employees of a public agency to establish an agency shop agreement without negotiating with the public agency if 30/ofhepl° m _qs sign a perimin and a majority vote in favor of the agreement. Imponam managemem rights will be lost if these two bills arc eslained. These bills apply In all public agencies,including special districts,cities,and routines. CASA and the League of Cities oppose this bill, and all SCAP agencies should take the time to d4cmum:how these bills will affect them - and express your comm. if warranted. Suggested warding for an opposition letter is presented below. AS 240 will be board by the Assembly Public Employ,Retiremeal,and Social Secunry Committer tomorrow,May 12th. If your agency could be adversely affected by the proposed changes in this bill,please la.letters to the members of for committee ]m ay. The names and fax numbers of committtt members are listed below. A similar alert will be issued soon for A0739. If you have any questions or comments,please eom act Sharon Landau of IACSD at(562)609-7411,ext.2920. A.Aembly Public Employees,Retirement,and Social Secprily Committee Lou Contra Bruce Thompson Marco Firebaugh (916)319-2169 (916)319?166 (916)319-2150 Roam 2137 Room 2160 Room 3126 Milne Honda Wally Krmx Anthony Peseern (916)319.2123 (916)319-2142 (916)319-2110 Roma 5155 Room 6025 Room 2130 Letters should be sort in: The Honorable Suite Capitol Sacramento,CA 95814 Subject:Opposition to AB 240 The [your agency name] respectfully submits This letter in opposition to AB 240. Management,confidential and supervisory employees of California public agencies have Adequate existing pmmction of their bargaining rights under current provisions of The MyeMWIius-Brown Act and will not obtain any greaur functional protection if this bill is enacted. public agencies,and in particular,our wastewater treatment agency,will however lose a substantial management right in our ability to cost-effectively negotiate with important bargaining groups without the rxpeuse of the extensive negoaeaoms which ehm&zcvu agency shop,.We uric:The Committee in refuse passage of this bill. 30290 Rainer vein Rma,Swle 113 Son Jwn Cap=,io.CA 9292S Fu 94*48%0150 Tel 90489.1gifi STEERING COMMITTEE Meeting Date To IN.of Dir. 5/26/99 AGENDA REPORT Item Number Item Number Orange County Sanitation District FROM: Donald F. McIntyre, General Manager Originator: Jean Tappan, Committee Secretary SUBJECT: June Agenda Items for Consideration by Working Committees GENERAL MANAGER'S RECOMMENDATION Review with staff the tentative agenda items scheduled for review by the Working Committees in June. SUMMARY Staff routinely prepares for the Steering Committee a list of items scheduled for presentation to the Working Committees and the Boards at their next monthly meetings. This allows the Steering Committee the opportunity to review these items early enough to make reassignments in the review or approval process. The following items are scheduled to be considered by the Committees in June: OMITS Committee: 1. FY 1999-00 Budget Final Report 2. OCSD/OCWD Lab Sharing Opportunities 3. Kern County Prospective Acquisition -Tule Ranch/Magan Ranch PDC Committee: 1. P2-35-3, Maintenance Building, et al 2. 6-12, Fairview Relief Sewer 3. 3-38-1, Improvements to Miller-Holder Trunk Sewer System, Reach 1 4. J-33-1, Standby Power& Reliability Improvements 5. Specification No. P-183, Surveying Services 6. Specification No. P-182, Geotechnical Engineering, Environmental Site Assessment, and Material Testing Services 7. Purchasing Resolution and Delegation of Authority 8. Facilities Engineering Consulting Services for Fiscal Year 1999- 2000 9. Proposed FY 1999-00 Capital Improvement Program Budget FAHR Committee: 1. Consider 1999-2000 Budgets 2. Consider 1999-2000 User Fees 3. Retiree Medical Premiums 4. Renewal of All-Risk Property Insurance 5. Consolidated Purchasing & Delegation of Authority Policy 6. Adjustments to Salary Ranges and Job Classifications PROJECT/CONTRACT COST SUMMARY N/A BUDGETIMPACT ❑ This item has been budgeted. (Line item: ❑ This item has been budgeted, but there are insufficient funds. ❑ This item has not been budgeted. ® Not applicable (information item) ADDITIONAL INFORMATION NA ALTERNATIVES NA CEQA FINDINGS Not a project. ATTACHMENTS NA jt wwo�a.u+,.n mx.�xaaysisn.q cammmuwsu.,eYsw.m a ua,>.w.:.es ate, Page 2