HomeMy WebLinkAbout2003-10 DRAFT
MINUTES OF STEERING COMMITTEE MEETING
Wednesday, October 22, 2003
A meeting of the Steering Committee of the Orange County Sanitation District was
held on Wednesday, October 22, 2003 at 4 p.m., in the District's Administrative
Office.
(1) The roll was called and a quorum declared present, as follows:
STEERING COMMITTEE MEMBERS: OTHERS PRESENT:
Directors Present: Thomas Nixon, General Counsel
Shirley McCracken, Chair Don Hughes
Steve Anderson, Vice Chair Scott Baugh
Jim Ferryman, Chairman, OMTS Committee Larry Kest
Brian Donahue, Chairman, PDC Committee Eric Saperstein
Brian Brady, Chairman, FAHR Committee Chris Townsend
Jim Silva, County Supervisor Chris Massey
Norm Eckenrode, Past Board Chair Mike Moore
Tod Ridgeway, Director, Guest Sonja Wassgren
Gerhardt Van Dreis
Directors Absent: Randy Fuhrman
None
STAFF PRESENT:
Blake Anderson, General Manager
Bob Ghirelli, Director of Technical Services
FILED Patrick Miles, Director of Information Technology
IN THE OFFICE OF THE SECRETARY Carol Beekman, Communications Services
ORANGE Cr"" -"-AN eISTRICT Manager
NOV 19 2003 Jim Colston, Legal and Regulatory Affairs
Liaison
K Layne Baroldi, Legal and Regulatory Affairs
BY _i _ Liaison
Jean Tappan, Committee Secretary
(2) APPOINTMENT OF CHAIR PRO TEM
No appointment was necessary.
(3) PUBLIC COMMENTS
Gerhardt Van Dreis stated that he had submitted an unsolicited joint venture proposal to operate
secondary treatment processes and has not received a reply. Chair McCracken asked staff to
prepare a response.
Minutes of the Steering Committee
Page 2
October 22, 2003
Randy Fuhrman asked the legislative consultants to discuss how they will deal with trying to get
funding when there are so many other issues also seeking the same funds. He also asked that
alternative treatment processes be considered and stated he was interested in the directors'
compensation discussion.
(4) RECEIVE. FILE AND APPROVE MINUTES OF PREVIOUS MEETING
The minutes of the September 24, 2003 Steering Committee meeting were approved as drafted.
(6) REPORT OF THE COMMITTEE CHAIR
Committee Chair Shirley McCracken asked Directors Brady and Anderson to provide an update on
their review of the Directors reimbursement policies. They provided a draft with only three major
changes: definition of what constitutes a meeting; how meetings are authorized;and how much
compensation is received. Blake will ask Lisa Tomko, Gary Streed and General Counsel to review
the proposed changes and it will be returned to the Steering Committee in November for further
consideration before presentation to the Board.
(6) REPORT OF THE GENERAL MANAGER
General Manager Blake Anderson said that he was pulling agenda item 6.A. Chair McCracken
stated that Tom Woodruff will be addressing the Board on the subject in November in Closed
Session. A breakdown of litigation fees will be provided at that time.
Mr.Anderson announced that there were still seats available for the 2004 Economic Forecast
Conference for Orange County that is being held on October 28.
He reported that meetings are ongoing with SAW PA to negotiate an agreement based on the term
sheet that was approved by the Board. There is another meeting scheduled for October 24 and he
hopes to bring the agreement to the Board in November.
EMT and staff are working together on strategic planning activities. This process should take
another 16 to 20 weeks and will be used during the preparation of the 2004-05 budget.
(7) REPORT OF GENERAL COUNSEL
General Counsel Tom Nixon reported that the arguments were held today in the appeal hearing on
the Crow-Winthrop case was held today. The judge has 90 days to make an opinion. General
Counsel Tom Woodruff represented the District.
(8) DISCUSSION ITEMS (Items A-D)
A. Update on Biosolids Program and Costs
Layne Baroldi reported on ongoing activities and what is planned until such time
as the Biosolids Management Strategic Plan is approved. One-half of the
Minutes of the Steering Committee
Page 3
October 22,2003
biosolids is going to Tule Ranch at a cost of between $33-35/ton. Staff was asked to
prepare a detailed breakdown of the contract terms and costs for the November 5,2003
OMTS Committee meeting.
B. Legislative Briefing by Consultants
Chair McCracken commented that during 2003 legislative calendar the District hired four
legislative advocates to assist the agency in forwarding its legislative agenda and
respond to legislation of interest to the District. Each of those consultants provided the
Committee with a brief update on the status of their efforts.
Our federal legislative consultants, Eric Saperstein and Larry Kest (partner of John
Freshman), updated the committee on their activities for the past year and their plans for
2004. Their consulting services focused on acquisition of federal funding for the
secondary treatment expansion through EPA assistance grants. They have been
building support for our request with the Orange County and California delegation in
Washington and will continue to work to get this project into the EPA budget as a line
item. The first year is always the hardest. Congressman Christopher Cox has asked to
keep this project in view and has indicated that he will speak to the Chair of the
Appropriations Committee to help him understand the project and the need for funding.
It is important that the message be reinforced to our Washington delegation.
Directors Jim Silva and Tod Ridgeway reported on their trip to Washington, DC.They
were accompanied by Bob Ghirelli and our federal legislative consultants. They
appreciated the work that the consultants did to set up the various meetings with the
delegates and staff members,which were very focused and effective.
Director McCracken thanked Directors Silva and Ridgeway for making the trip to
Washington last week to help sell our project. It is important that through our
consultants we are vigilant in our efforts to keep our goals in mind.
Scott Baugh reported on the state legislative initiatives he was working on and most
recently, his activities in the areas of biosolids and urban runoff funding. He will
continue to work to amend the state constitution to allow the assessing of fees to treat
urban runoff. There is a need to educate the public and those organizations that have
expressed concerns, such as Howard Jarvis and the Orange County Taxpayers. Mr.
Baugh is also working with the District on a state-wide biosolids policy, using a two-year
bill that is now parked"at our request of the author, Ken Maddox. If the State Water
Board takes on the issue through language in its General Order for Biosolids,then the
bill won't be necessary. He also discussed budget impacts and how the govemor-elect
may address these problems. There may be some special sessions of the assembly
this fall to deal with the budget issues.
Christopher Townsend and his firm are focused on acquisition of state funding for
District projects including fats, oil and greases, Santa Ana River Interceptor line and
other projects through Propositions 40 and 50 and other grant sources. He indicated
that all of the Proposition 50 money has been given to the Department of Water
Resources for distribution. They will be working to get funds identified for the District.
After a brief question and answer period, the Directors agreed that the services provided
by the three firms could not be accomplished with OCSD staff alone and felt that all
-Mnutes of the Steering Committee
Page 4
October 22, 2003
were representing the District professionally and effectively. Mr. Saperstein stressed
that continued participation by the Directors will be required to make the team effective.
He also thanked the staff for their assistance and responsiveness in providing such
high-quality information for them.
B. The Agenda Items scheduled to be reviewed by the Board's working committees in
November were reviewed. Director Brady asked if the MOUs were going to be
presented to the FAHR Committee in November. Mr. Anderson said that he was happy
to report that all of the bargaining units have signed and the MOUs will be presented to
the directors in November.
C. The agenda items scheduled to be presented to the Board at tonight's meeting
were reviewed.
(9) OTHER BUSINESS,COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY
Director Eckenrode announced that he met with the mayor of Anaheim, Curt Pringle, and briefly
discussed the GW R System project. Mayor Pringle has asked to meet with the general managers of
the Orange County Water District and the Sanitation District to discuss this project and the possibility
of landscaping the settling basins.
(10) MATTERS WHICH A DIRECTOR WOULD LIKE STAFF TO REPORT ON AT A
SUBSEOUENT 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 Wednesday, November 19, 2003 at 5 p.m.,
one week earlier than usual.
The next Board Meeting is scheduled for Wednesday, November 19, 2003 at 7 p.m.
(13) CLOSED SESSION
The Committee convened at 6:42 p.m. in Closed Session, pursuant to Sections 54957.6 to
discuss the General Managers performance evaluation and compensation. Minutes of the
Closed Session are on file with the Board Secretary. Confidential Minutes of the Closed Session
held by the Steering Committee have been prepared in accordance with Government Code
Minutes of the Steering Committee
Page 5
October 22, 2003
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 the recommended actions will be
publicly reported at the time the approved actions become final.
At 6:55 p.m.,the Committee reconvened in regular session.
(14) ADJOURNMENT
The Chair declared the meeting adjourned at 6:55 p.m.
S tted by:
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STEERING COMMITTEE AND BOARD MEETING DATES
FOR THE NEXT TWELVE MONTHS
Wednesday,October 22, 2003
Wednesday, November 19, 2003'
Wednesday, December 17, 2003'
Wednesday, January 28, 2004
Wednesday, February 25, 2004
Wednesday, March 24, 2004
Wednesday,April 28, 2004
Wednesday, May 26, 2004
Wednesday,June 23, 2004
Wednesday,July 28, 2004
Wednesday, August 25, 2004
Wednesday, September 22, 2004
Wednesday,October 27, 2004
'Tentatively rescheduled from regular fourth Wednesday.
STEERING COMMITTEE
(t) Roll Call:
Meeting Date: October 22, 2003 Meeting Time: 5 o.m.
Meeting Adjourned:
Committee Members
Shirley McCracken, Board Chair
Steve Anderson, Board Vice Chair
Brian Donahue, Chair, PDC Committee
Jim Ferryman, Chair, OMITS Committee
Brian Brady, Chair, FAHR Committee
Jim Silva, Supervisor
Norm Eckenrode, Past Board Chair
Tod Ridgeway, Director, Invited Guest.............
Others
Thomas L.Woodruff, General Counsel
Don Hughes
ScottBaugh.............................................................
JohnFreshman........................................................
EricSaperstein........................................................
ChrisTownsend.......................................................
Staff Present
Blake P. Anderson, General Manager................................
Bob Ghirelli, Director of Technical Services.......................
David Ludwin, Director of Engineering...............................
Patrick Miles, Director of Information Technology..............
Robert Cotten, Director of Operations & Maintenance........_
Gary Streed, Director of Finance/Treasurer.......................
Lisa Tomko, Director of Human Resources........................
Carol Beekman, Communication Services Manager.........
Jean Tappan, Secretary.....................................................
c: Lenora Crane
AGENDA
REGULAR MEETING OF THE STEERING COMMITTEE
ORANGE COUNTY SANITATION DISTRICT
WEDNESDAY, OCTOBER 22, 2003 AT 4 P.M.
ADMINISTRATIVE OFFICE
10844 Ellis Avenue
Fountain Valley, California
Agenda Postina: In accordance with the requirements of California Government Code Section 54954.2,
this agenda has been posted in the main lobby of the Districts Administrative offices 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.
Items Not Posted: In the event any matter not listed on this agenda is proposed to be submitted to the
Committee for discussion and/or action, it will be done in compliance with Section 54954.2(b) as an
emergency item or because there is a need to take immediate action,which need came to the attention
of the Committee subsequent to the posting of agenda, or as set forth on a supplemental agenda
posted in the manner as above, not less than 72 hours prior to the meeting date.
Accommodations for the Disabled: The Board of Directors Meeting Room is wheelchair accessible. If
you require any special disability related accommodations,please contact the Orange County Sanitation
District Board Secretary's office at (714) 593-7130 at least 72 hours prior to the scheduled meeting.
Requests must specify the nature of the disability and the type of accommodation requested.
Items Continued: Items may be continued from this meeting without further notice to a Committee
meeting held within five(5)days of this meeting per Government Code Section 54954.2(b)(3).
Meetina Adjournment: This meeting may be adjourned to a later time and hems of business from this
agenda may be considered at the later meeting by Order of Adjournment and Notice in accordance with
Government Code Section 54955(posted within 24 hours).
All current agendas and meeting minutes are also available via OCSD's
Internet site located at www.ocsd.com. Upon entering OCSD's web site,
please navigate to the Board of Directors section.
(1) ROLL CALL
(2) APPOINTMENT OF CHAIR PRO TEM, IF NECESSARY
Book Page I
-2- October 22, 2003 Agenda
(3) PUBLIC COMMENTS
All persons wishing to address the Steering Committee on specific 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 three
minutes.
Matters of interest addressed by a member of the public and not listed on this agenda cannot
have action taken by the Committee except as authorized by Section 54954.2(b).
(4) APPROVE MINUTES OF PREVIOUS MEETING
Approve draft minutes of the September 24, 2003 Steering Committee meeting.
(5) REPORT OF COMMITTEE CHAIR
A. Update from Task Committee on Approval and Compensation for Directors'
Meeting Attendance (Directors Brady and Anderson)
(6) REPORT OF GENERAL MANAGER
A. General Counsel Contract Terms
(7) REPORT OF GENERAL COUNSEL
(8) DISCUSSION ITEMS (Items A-D)
A. Update on Biosolids Program and Costs (Bob Ghirelli)
B. Legislative Briefing by Consultants (Bob Ghirelli)
C. Review Agenda Items scheduled to be presented to Committees in November
(Information item only)
D. Review and consideration of Agenda Items for Board of Directors Meeting of
October 22, 2003
(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
Book Page'_'
.3- October 22, 2003 Agenda
(12) FUTURE MEETING DATES
The next Steering Committee Meeting is scheduled for 5 p.m., Wednesday, November 19, 2003.
The next Board Meeting is scheduled for 7 p.m., Wednesday, November 19, 2003.
(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 to consider General Manager's Annual Performance
Evaluation and Compensation (Government Code Section 54957.6)
B. Reconvene in regular session
C. Consideration of action, if any, on matters considered in closed session.
(14) ADJOURNMENT
It
D>WP.DTAO3E4DA4TEERING C0MMnrEFvM0Cn10U00AGENDAD0C
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: Shirley McCracken (714)765-5247(Anaheim City Hell)
Committee Staff Contact: Blake P.Anderson (714)593-7110
General Counsel: Thomas L.Woodruff (714)564-2605
Secretary: Jean Tappan (714)593-7101
(714)962.0356 (Fax)
E-mail: Itappan®omd.com
Book Page 3
DRAFT
MINUTES OF STEERING COMMITTEE MEETING
Wednesday, September 24, 2003
A meeting of the Steering Committee of the Orange County Sanitation District was
held on Wednesday, September, 2003 at 4 p.m., in the Districts Administrative
Office.
(1) The roll was called and a quorum declared present, as follows:
STEERING COMM17TEE MEMBERS: Thomas L.Woodruff, General Counsel
Directors Present Randy Fuhrnan
Shirley McCracken, Chair Gerhardt Van Dreis
Steve Anderson, Vice Chair
Jim Ferryman, Chairman, OMTS Committee STAFF PRESENT:
Brian Donahue, Chairman, PDC Committee Blake Anderson, General Manager
Norm Eckenrode, Past Board Chair Bob Ghirelli, Director of Technical Services
Carol Beekman, Communications Services
Directors Absent: Manager
Brian Brady, Chairman, FAHR Committee Jean Tappan, Committee Secretary
Jim Silva, County Supervisor Nick Arhontes, Manager, Regional Assets and
Services
OTHERS PRESENT:
(2) APPOINTMENT OF CHAIR PRO TEM
No appointment was necessary.
(3) CLOSED SESSION
The Committee convened at 4:05 p.m. in Closed Session, pursuant to Sections 54957.6 and
54956.9,to discuss two issues re compensation and one litigation case. Minutes of the Closed
Session are on file with the Board Secretary. Confidential Minutes of the Closed Session held
by the Steering Committee have been prepared in accordance with Government Code Section
549572,and are maintained by the Board Secretary in the Official Book of Confidential Minutes
of Board and Committee Closed Meetings. A report of the recommended actions will be publicly
reported at the time the approved actions become final.
At 5:40 p.m., the Committee reconvened in regular session.
Book Page 4
Minutes of the Steering Committee
Page 2
September 24, 2003
(4) PUBLIC COMMENTS
There were no comments by any member of the public.
(5) RECEIVE. FILE AND APPROVE MINUTES OF PREVIOUS MEETING
The minutes of the August 27, 2003 Steering Committee meeting were approved as drafted.
(6) REPORT OF THE COMMITTEE CHAIR
Committee Chair Shirley McCracken reported that staff provided the meeting and compensation task
committee revised forms for consideration.
Chair McCracken announced that our Sacramento and Washington, DC, lobbyists will be attending
the October 22 Steering Committee and Board meetings to discuss the results of our efforts over the
past year and objectives for 2004. It was decided that the Committee would receive the reports and
recommendations from the consultants and then decide the course of action. The October 22
Steering Committee meeting will begin at 4 p.m. to allow enough time for a comprehensive
discussion.
Updates were provided on AB 1427,the Biosolids bill; AS 1051,Capital Facilities fees; ACA 10,
Local Government Property-Related Fees; Proposition 53, Infrastructure set-asides; and federal
funding support for our secondary treatment expansion.
Chair McCracken announced that the tentatively scheduled workshop with the OCW D directors on
October 15 has been postponed until February.
General Manager Blake Anderson stated that if the State Water Board takes on the Biosolids issue
by making a policy statement within the General Orders, AB 1427 will not be necessary.
After some discussion, it was moved, seconded and approved to recommend that the Board of
Directors pass a resolution of support for Proposition 53.
Chair McCracken acknowledged the special efforts of Director Tod Ridgeway regarding the low-flow
toilet program, as well as persuading Congressman Cox to sign a letter to the Chair of the
Appropriations Committee that can provide us with EPA funding for our secondary treatment
construction program.
(7) REPORT OF THE GENERAL MANAGER
A. Status of agreement with member agencies for WDR activities
Nick Arhontes reported that staff has been working with the cities and sewering
agencies on the Regional Board's Waste Discharge Requirements (WDR)compliance
program. A working group from members of the City Engineers Association of Orange
County(CEAOC) has approached the District and proposed that the District serve as
lead agency for contracting task related work and provide support to the parties of the
agreement and develop fees and administer the program. An annual budget would
Book Page 5
Minutes of the Steering Committee
Page 3
September 24, 2003
also be prepared.The basis for this agreement is a similar agreement that the cities
have with the County of Orange for administering task related work on the countywide
NPDES Stormwater Permit program.The District would provide contract management
to develop the tools such as reports, templates, or studies to the parties to assist them
with their responsibilities. Initial efforts are developing Fats, Oils and Grease (FOG)
studies and developing Communications Programs. Mr.Arhontes indicated that fair
share fees for inclusion in this program would probably be based on population. The
agreement could also serve as a model for other agreements for OCSD to assist cities
and sewering agencies on other regional services issues in the future. General
Counsel's office has the draft and after it is reviewed, it will be forwarded to the cities
for final review and signatures. Several agencies included in the WDR but out of our
service area such as El Toro Water District and Sunset Beach Sanitary District have
expressed interest in participating.The operating military bases named in the WDR
have been non responsive thus far.
B. OCSD's 50'Anniversary Celebration
Carol Beekman reported that a committee has been formed to plan for the District's
50i°anniversary, which will be celebrated on June 30, 2004. Fifty ideas have been
suggested and they are being evaluated. Ms. Beekman said that interviews are
planned with current and former directors to create a history of the District.
C. Mr. Anderson provided additional information on the low-flow toilet program as it has
evolved since OCWD withdrew its support. Even with the changes to the program
and lower public participation, it is still a solid investment for the Sanitation District.
The agreement will not need to be modified if the District's contribution per toilet
supporting the program stays as it is now.
D. Mr. Anderson announced that there will be a meeting between SAW PA and OCSD
general managers and general counsels to begin drafting the agreement based on the
recently approved term sheet. There is a side issue of the purchase of an additional 2
mgd of capacity by SAW PA. It can move forward in parallel with the agreement.
(8) REPORT OF GENERAL COUNSEL
General Counsel Tom Woodruff provided additional information on AB 1051, which obligates school
districts to pay their fare share of sewage treatment operating and capital costs. It is due to be
signed by the Governor by October 12, though there is considerable opposition to the issue from
school districts.
(9) DISCUSSION ITEMS (Items A-C)
A. Consider Resolution No. OCSD 03-21,authorizing the filing of a tax assessment
appeal with the State Board of Equalization re District's Kings County'Williamson Act'
property
Mr Woodruff explained that this resolution of the Board is required before the State
Board of Equalization will consider our request. After discussion, staff was requested
Book Page 6
Minutes of the Steering Committee
Page 4
September 24, 2003
to provide an update on the biosolids program and costs associated with the options
currently used.
B. The Agenda Items scheduled to be reviewed by the Board's working committees in
October were reviewed.
C. The agenda items scheduled to be presented to the Board at tonight's meeting
were reviewed. Mr. Woodruff said that he will be reporting on the results of the
September 18 Adjourned PDC Committee meeting.
(10) OTHER BUSINESS, COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY
There was no other business discussed.
(11) MATTERS WHICH A DIRECTOR WOULD LIKE STAFF TO REPORT ON AT A
SUBSEQUENT MEETING
A. Biosolids Update
(12) MATTERS WHICH A DIRECTOR MAY WISH TO PLACE ON A FUTURE AGENDA FOR
ACTION AND/OR STAFF REPORT
A. General Counsel's Contract Terms
(13) CONSIDERATION OF UPCOMING MEETINGS
The next Steering Committee meeting is scheduled for Wednesday, October 22, 2003 at 4 p.m.
The next Board Meeting is scheduled for Wednesday, October 22, 2003 at 7 p.m.
(14) ADJOURNMENT -
The Chair declared the meeting adjourned at 6:35 p.m.
bmitted by:
J Tappan
e ring Committee Secretary
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Book Page 7
STEERING COMMITTEE Meeting Date I To ad.of Dr.
l0/22/03
AGENDA REPORT I rtP,glNagiber Item Number
Orange County Sanitation District Y /r
FROM: Robert P. Ghirelli, D.Env., Director of Technical Services
Originator: Layne Baroldi, Legal & Regulatory Affairs Liaison
SUBJECT: BIOSOLIDS MANAGEMENT UPDATE
GENERAL MANAGER'S RECOMMENDATION
This is an information only item.
SUMMARY
OCSD currently contracts with four biosolids management contractors to provide a
diverse and sustainable biosolids management program. We recently added three
operational Class A biosolids management options. Based on OCSD's annual
production of approximately 220,000 wet tons of biosolids per year, staff estimates that
the annual biosolids hauling costs for each of OCSD's biosolids management contracts
will be as follows:
Company Contract Est.Tons Management Cost per Estimated Processing
End Per Year' Option(s) Offered Ton Annual Cost Location
Synagro 7/2005 60,000 Class B land app. $39.50 $2,370,000 Tribal CA & NV
Class A compost $39.50 Tribal CA
Class A compost $39.50 Private land AZ
CA Soil 312007 40,000 Class B land app. $37.75 $1,530,000 Nye County, NV
Products Class A stabilized2 $38.62 Los Angeles, CA
Yakima 1/2012 0 Landfill cover $36.00 $0 La Paz County, AZ
Tule 2/2004 120,000 Class B land app. $38.75 $4,200,000 Yuma County, AZ
Ranch Landfill disposal° $32.75 Kern County, CA
Class A stabilized $35.00 Kern County, CA
Class A stabilized $33.00 Kings County, CA
'Based on approximately 220,000 tons of biosolids produced per year. Actual tonnage allocations to
management options will vary throughout the year due to inclement weather,operational problems,
regulatory developments, and other unanticipated factors.
3 CA Soil Products(CSP) is expected to begin its Class A biosolids stabilization operation in late 2004.
The facility's maximum capacity will be 300 tons per day. In the future,the vast majority of the biosolids
managed by CSP will be chemically stabilized. The Nye County, NV Class B biosolids land application
operation commenced in June, 2003. The estimated future annual cost is based on an average biosolids
management cost of$38.25.
a The Yakima contract is not being utilized at this time due to Yakima's inability to obtain a performance
bond that is satisfactory to La Paz County, AZ.
"Estimated annual cost based on an average cost of$35.00 per ton. The landfill disposal option is
expected to be available in late 2004.
G*p.dta\agenda\Steering Commmee103tOCT\102203 Biosollds Update AR.doc Page i
ECW6200.B 10/3V03(wh) Revision 001
Book Page 8
PRIOR COMMITTEE/BOARD ACTIONS
N/A
PROJECT/CONTRACT COST SUMMARY
No amendments of contracts are being requested at this time.
BUDGETIMPACT
❑ This item has been budgeted. (Line item: Section 8, Page 124)
❑ This item has been budgeted, but there are insufficient funds.
❑ This item has not been budgeted.
® Not applicable (information item)
ADDITIONAL INFORMATION
A presentation will be given at the meeting.
ALTERNATIVES
None
CEQA FINDINGS
N/A
ATTACHMENTS
G9wp.Cta\agenda\Bteenng Committee\03\0CTM2203 Biosolids Update AR.dw Page 2
ECW620/LB 10/3/03(wh) Revision 001
Book Page 9
STEERING COMMITTEE Meeun9 Date To ad.of Mr.
10/22 03
AGENDA REPORT 1tP0,iNury}er Item Number
Orange County Sanitation District Y '�J
FROM: Robert P. Ghirelli, Director of Technical Services
Originator: James Colston, Environmental Compliance and Monitoring
SUBJECT: Legislative Advocacy
GENERAL MANAGER'S RECOMMENDATION
Information Item
SUMMARY
During the 2003 Legislative Calendar, the District hired four legislative advocates to
assist the agency in forwarding its legislative agenda and responding to legislation of
interest to the District. Each of these consultants will provide the Board with a brief
update on the status of their efforts. Each presentation will include a list of
accomplishments, current activities, and a plan for the future. The Committee will have
an opportunity to discuss these efforts with each of the consultants.
PRIOR COMMITTEE/BOARD ACTIONS
N/A
PROJECT/CONTRACT COST SUMMARY
Monthly contract costs per consultant:
• ENS Resources (Eric Sapirstein) and Freshman and Kast (John Freshman and
Larry Kest) - $15,000
• Mayer, Brown, Rowe & Maw (Scott Baugh) - $5,000
• Townsend Public Affairs (Chris Townsend) - $5,000 (Does not include GWRS)
BUDGET IMPACT
® This item has been budgeted. (Line item: (General Manager's Budget (Jean Tappan))
❑ This item has been budgeted, but there are insufficient funds.
❑ This item has not been budgeted.
❑ Not applicable (information item)
ADDITIONAL INFORMATION
Sapirstein/Freshman/Kast: consulting services focused on acquisition of federal funding
for the secondary treatment expansion, through EPA assistance grants.
JC-"
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Page 1
Book Page 10
Townsend Public Affairs: consulting services focused on acquisition of state funding for
District projects (Fats, Oils, and Greases, Santa Ana River Interceptor line, etc.) through
Propositions 13, 40, 50 and other grant sources.
Scott Baugh: consulting services focused on state legislative initiatives to support
District goals, most recently in the areas of secondary treatment, biosolids, and urban
runoff.
ALTERNATIVES
N/A
CEGA FINDINGS
N/A
ATTACHMENTS
Each of the consultants has attached an outline of their respective presentations.
Jc:w
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nnam: lnaoa�„ro Page 2
Book Page 11
MEMORANDUM
TO: Orange County Sanitation District
FROM: Scott R. Baugh
DATE: October 10, 2003
SUBJECT: Scott Baugh Tasks for 2004 (Meeting Notes)
Pursuant to your request, outlined below is a status of our work for the Orange County
Sanitation District since the legislature adjourned in August of 2002.
On September 28, 2002, we secured the Governor's signature on AB 1969 that was
initially opposed by the Sanitation District due to the fact that it interfered with a local
government decision. The bill was introduced by Assemblymember Maddox to
eliminate the 301(h) waiver, a matter that was subsequently voted on by the Sanitation
District Board in the summer of 2002. Once the Board voted to eliminate the waiver, the
Sanitation District was faced with the prospect of incurring millions of dollars in
mandatory minimum penalties during the interim period of increasing treatment levels.
With the help of then-assemblymember Bill Campbell, we amended AB 1969 to provide
the Sanitation District with an exemption from the mandatory minimum penalties.
During the fall, we received marching orders to deal with two pressing issues facing the
Sanitation District, i.e., urban runoff and biosolids. We were asked to secure authors
and have the Sanitation District sponsor legislation dealing with these important issues.
As you know, on June 28, 2002, Governor Davis signed AB 1892, which was a bill
sponsored by the Sanitation District. That bill gave the Sanitation District charter
authority to treat urban runoff. The challenge we had, however, was that the Sanitation
District did not have authority to spend money on any treatment program with a 2/3 vote
pursuant to proposition 218 and the California Constitution. Thus, we sponsored and
introduced ACA 10 through Assemblymember Harman which would allow local
governments to assess fees on property owners for the purpose of treating urban runoff.
We were also able to secure the Planning and Conservation League as sponsors of the
bill, as well as support from business interests so that we could have broad support for
the measure. Due to the state budget crisis, however, all involved agreed that we
should wait until 2004 to pursue this measure.
The measure now sits on the Assembly Floor. Assemblymember Harman is waiting for
our direction as to when to move the bill forward. Our plan at this point is to wait until
the March 2, 2004 primary is over before we move the bill forward. Some members are
concerned that the bill will be viewed as a tax increase, which could be used against
them in a campaign. In addition to ACA 10, we continue to evaluate other methods of
Book Page 12
Orange County Sanitation District
Page 2 of 3
October 10, 2003
obtaining funding for urban runoff treatment through the state budget process and
through bonds that are anticipated to be proposed to the voters.
With respect to the biosolids issue, we secured Assemblymember Maddox to introduce
a bill that would deal with biosolids from a statewide perspective. That bill is AB 1427.
The bill has been processed through the Assembly and the Senate policy committees.
It is now sitting in the Senate Appropriations committee. At this point, we agreed to hold
the bill in the Appropriations committee until the State Water Resource Control Board
adopts its General Order relating to biosolids. The bill is functionally operating as a
hammer to force the State Water Resource Control Board to adopt language in the
General Order that is acceptable to the Sanitation District.
In addition to sponsored bills, we continuously monitor and lobby bills of interest to the
Sanitation District. There were three major items of interest this year. For example, AB
496 was a bill introduced by Assemblymember Correa relating to creating a
conservancy along the Santa Ana River. Although the Sanitation District did not
disagree with the bill entirely, there were many issues in the bill concerning governance
and operation of the conservancy. We relayed those issues to Assemblymember
Correa and his staff. While the bill had tremendous momentum through the legislative
process, the bill ultimately was stripped in Senate Appropriations and converted to
another topic.
The second item was the budget bill. Whenever there is a deficit, the state goes looking
for money from special districts and the local government. We continuously monitored
the budget process and kept the Sanitation District updated regularly. Fortunately,
there were no raids of special districts in the budget this year.
Finally, we provided regular updates on Proposition 53, which would have provided
infrastructure funding for the State of California. That measure, however, failed
passage at the ballot box during the recent recall election.
Moving forward, we shall continue to focus on our two sponsored bills relating to urban
runoff and biosolids. In addition, we shall focus this fall on meeting new members of the
Governor Schwarzenegger administration to educate them on issues of concern to the
Sanitation District. In particular, we shall lobby budget issues as they are being
developed by the new administration. We shall also continuously monitor bills of
interest to the Sanitation District and take action where we are directed to take action.
Finally, we shall continue to participate in our weekly telephone conference calls with
the Sanitation District.
GAwp.dteUst820tGENERAL DATAWgenda Repods\St"dngVC ScotlBeugh_LegieletNeAdv cy Steering-10-2003.doo
Book Page 13
Federal Legislative Update
Eric Sapirstein,ENS Resources,Inc.
John Freshman and Larry Kasl, FreshmanKast, Inc.
October 10,2003
BACKGROUND
• Over the past several months, the Orange County Sanitation District(OCSD) has
implemented a federal legislative program to obtain federal assistance to support
its effort to comply with Clean Water Act water quality mandates referred to as
secondary treatment compliance.
• The decision to pursue federal assistance was based on past federal commitments
to other coastal communities, including the City and County of Los Angeles that
faced similar challenges of transitioning from a 301(h) permit condition to full
secondary treatment compliance.
• This program is a two-phased program.
• The current activities described in the Status section follow the Phase I. This
involved working with OCSD's congressional delegation, stakeholders and others
to secure a congressional directive to the U.S.Environmental Protection Agency
(U.S. EPA) that any agreements between OCSD and U.S. EPA would not expose
OCSD to unreasonable or unwarranted litigation during the transition to
secondary compliance permit conditions.
• This effort was successful. It helped to establish a sound working relationship
with U.S. EPA Region 1X officials and Headquarters Office of Water officials.
• Phase II of the legislative agenda involves seeking federal assistance for the costs
associated with the planning,design/engineering and construction of necessary
wastewater treatment facility upgrades.
• OCSD held meetings with the congressional delegation in early spring 2003 to
apprise them of the legislative priority of the requested assistance. Briefings were
also held with the key appropriations committee staff to review the project and its
benefits. At the same time,outreach with stakeholders was initiated that
generated additional support for the legislative priority.
• This support was communicated to the congressional delegation. After receiving
support from the delegation for the priority, the next step involved the
development of justification documents and supporting materials for the requested
assistance that were submitted to the Committee on Appropriations in the House
and Senate.
Book Page 14
Federal Legislative Update
Page 2 of 3
October 10, 2003
• OCSD's congressional delegation also submitted a joint letter of support for the
request to the Committee on Appropriations' subcommittee with jurisdiction over
U.S. EPA spending programs.
• OCSD also sponsored a legislative tour of its plant to delegation staff to provide a
thorough understanding of the physical and technical challenges that it would
address in the transition to secondary treatment compliance.
STATUS OF PHASE H: FEDERAL ASSISTANCE TO COMPLY WITH
SECONDARY STANDARDS COMPLIANCE
• Over the past three months, the House and Senate Committees on Appropriations
acted on their respective U.S.EPA funding measures. Both bills curtailed
spending for U.S. EPA's wastewater treatment facility construction program
(STAG)by approximately$300 million limiting the number of new project starts.
• These restrictions resulted in limited funding assistance being provided to
wastewater treatment systems with a preference for funding ongoing projects.
• As a result, the House was unable to provide funding assistance for the project
request in the first round of decision-making.
• In the Senate,only five California projects were funded with two targeted to
support clean up of PERC contamination.
• The severe budget constraints have stymied the House and Senate in its efforts to
meet to reconcile the differences between the two versions of the spending
measure. As has been the case in recent years, the federal government is currently
operating under a stopgap spending measure until agreements can be reached.
This has placed all project set-aside spending decisions on hold allowing further
consideration of priorities such as OCSD's request.
• Congress may develop an "omnibus"-spending spending bill,wrapping into it
most federal agency budgets perhaps providing additional spending authority to
permit funding of project requests, like OCSD's,that were not incorporated into
the original spending bill.
• As of this writing, OCSD's assistance request has been reaffirmed by
Representative Christopher Cox as part of any Committee on Appropriations final
spending bill for U.S.EPA. Contacts with the other members of OCSD's
Book Page 15
Federal Legislative Update
Page 3 of 3
October 10, 2003
congressional delegation have also been contacted to seek their support of the
project request as part of a recent visit to Washington by OCSD.
• Discussions with OCSD's Senate delegation also reaffirmed a strong interest in
working to provide funding assistance as the House and Senate begin
deliberations on a final spending bill.
NEXT STEPS
• Based on the delegation's continued support of OCSD's request for assistance in
fiscal year 2004, the critical next steps will involve:
o Monitoring the progress of congressional efforts to finalize an U.S. EPA
budget;
o Working with committee staff to ensure that they have any additional
information in support of request;
o Advising the congressional delegation on any additional input that may be
required; and
o Advising OCSD about any supplemental support that may be required to
support efforts to include funding in any final compromise-spending bill.
• In anticipation that the delegation will succeed in securing federal assistance to
initiate a federal partnership with OCSD, the Steering Committee should meet
with its advocacy team to review a proposed plan of action to be initiated during
the second session of Congress.
• Additionally, with the recent outcome of the recall, OCSD should integrate its
Sacramento-based advocacy program to secure the new Administration's active
support of OCSD's initiative with its congressional delegation as a priority during
the next budget cycle.
G9wp.du\a\620\GENERAL DATA\Agenda Rgpu St..i oQSapirs¢iv_LegisWduv Adv.y_Steeling-10-2003.dm
Book Page 16
`i'mselld
PUBLIC AFFAIRS, INC.
MEMORANDUM
TO: Orange County Sanitation District
FROM: Christopher Townsend, President
Sean Fitzgerald, Client Manager
DATE: October 9, 2003
SUBJECT: Summary of Grant Activities and Outlook for 2004
Townsend Public Affairs, Inc. serves OCSD primarily in a grant support capacity, working
directly with staff to maximize the District's efforts to secure public funding for capital projects.
Within this scope of work, we perform the following functions:
• Identification of funding opportunities appropriate to the District's capital projects.
• Direct engagement with legislative leadership, agency leadership and staff, and other
stakeholder in the establishment of criteria for new grant programs.
• Assistance with preparation of grant applications and other submissions.
• Preparation of project summaries and other communications promoting the project to
legislators and policymakers, including coordination of support letters.
• Comprehensive process management throughout the grant cycle, including continuous
proactive engagement with agency staff.
• Proactive engagement with the Governor, legislative leadership, agency leadership
and any other officials relevant to the ultimate award decision.
Over the past six months, TPA has worked diligently to engage actively on grant applications
already submitted, as well as to identify new opportunities, and even repackage existing
capital projects. TPA maintains close communication with OCSD staff and remains up to
date on the breadth of the District's capital project needs. This allows our team to quickly
match these projects with potential funding sources and work efficiently with staff to maximize
resources. The following are a few of the priority projects currently being pursued:
• FOG Study Phase If:
Status/2003 Accomplishments
✓ Submitted as a Concept Proposal through the State and Regional Water Quality
Control Board consolidated grant process.
✓ TPA has worked with Richard Katz, Chair of the SW RCB, in concert with OCSD
staff's work with the RWQCB.
✓ The project has now been approved for submission of a full proposal and asked
to submit that proposal as early as possible to expedite potential funding.
Strategy for2004
❑ Communicate support of legislative delegation through final award decision
❑ Update and redistribute project summaries
❑ Continue proactive engagement with Richard Katz, who will remain as Chair of
the State Water Resources Control Board.
Book Page 17
Orange County Sanitation District
Page 2
October 9, 2003
• SARI Line:
Status/2003 Accomplishments
✓ Recent negotiations among stakeholders have put this project in a position to
move forward
✓ TPA has engaged directly with Richard Katz and supplied information regarding
the most recent project scope.
✓ TPA continues to research appropriate funding sources, primarily through Prop.
50 funding programs which have yet to be defined.
Strategy for 2004
❑ Work with OCSD staff and the RWQCB to re-establish SARI line as a priority
project in the region
❑ Continue proactive engagement with Richard Katz, appropriate legislative
leaders and agency staff.
❑ Participate actively in upcoming regional stakeholder process regarding Prop.
50 funding to ensure that SARI line is recognized as regional priority and that
eventual criteria are favorable to future applications.
• Corrosion Management Program:
Status/2003 Accomplishments
✓ Application through Clean Beaches Initiative (CBI) achieved Tier 4 ranking
(project was previously unranked)
✓ TPA supplied project summary to Richard Katz, Chair of SW RCB
✓ TPA worked with staff to update and re-position current project information to
highlight environmental concerns and the project's specific benefits.
✓ TPA prepared a one-page project summary for use in communicating project
benefits to legislators and policymakers.
Strategy for 2004
❑ Continue outreach to county legislative delegation and identify local legislative
champion(s) for the project.
❑ Revisit outreach with the Governor's administration, pending appointment of
new cabinet officials.
❑ Identify additional potential sources of funding.
In addition, TPA has worked in concert with OCSD's state lobbying team to support their work
on biosolids reform. In addition, we have worked with the federal lobbying team to support
OCSD's ongoing federal appropriations request, both for GWRS and for full secondary
treatment. Our team participates actively in the weekly conference calls, which ensure
appropriate integration among all aspects of the lobbying and grant support team. In
addition, we have established an additional weekly conference call focusing solely on grant
support efforts to ensure prompt attention to important tasks and to eliminate duplication of
effort. We look forward to continuing this work in the coming year.
G1wp.dte\ts\820\GENERAL DATAWgende Repmle\StmdngVC_ChrbtopherTov wnd_.egbla#veAdv ey Steerin¢142003.dw
Book Page 18
STEERING COMMITTEE Meetin1a�g Da
10,3e I To ea.or Dr.
AGENDA REPORT IItv No Item Number
Orange County Sanitation District C%
FROM: Blake P. Anderson, General Manager
Originator: Jean Tappan, Committee Secretary
SUBJECT: November Agenda Items for Consideration by Working Committees
GENERAL MANAGER'S RECOMMENDATION
Review with staff the agenda items tentatively scheduled for review by the Working
Committees in November.
SUMMARY
Staff routinely prepares for the Steering Committee a list of items scheduled for
presentation to the Working Committees and the Board 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 November:
OMTS Committee: 1. Report on Long-term Biosolids Management Plan Interim
Options for Biosolids Management
2. Receive and file Corrosion Assessment Report
3. Ratify change order to Digester Gas Pipeline project
PDC Committee: 1. Ratify Change Order 1 to Contract 11-22, Warner Avenue
Relief Sewer
2. Ratify Change Order 10 to Job No. P-137, Primary Clarifiers
Nos. 16-31 and Related Facilities at Plant 1
3. Ratify Change Order 4 to Job No. J-35-2, Area Classification
Study Implementation Plan
4. Approve Amendment 1 to PSA for Job 1-10, Replacement of
Ellis Avenue Pump Station
5. Award Construction Contract for Job J-36, Groundwater
Replenishment System
6. Approve Amendment 3 to PSA for Contract 11-22, Warner
Avenue Relief Sewer
7. Approve budget increase for Contract 6-13-3, Abandonment of
Airbase Trunk Sewer-California Street
8. Approve Addendum 5 to PSA re Job J-77, Effluent Pump
Station Annex
9. Report on J-40-7, Long Range Biosolids Management Plan
FAHR Committee: 1. Consider Annexation Charge Policy
2. Consider Capital Facilities Capacity Charges
3. Consider Revised Purchasing Resolution
Book Page 19
4. FY 02/03 Comprehensive Annual Financial Report
5. FY 03/04 First Quarter Investment Management Report
6. Consider 03/04 First Quarter SWAP Report
7. FY 03/04 First Quarter Financial Report
8. Consider Employee Reclassification Recommendations
9. Consider Changes to Rideshare Program
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
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awab: w"8 Page 2
Book Page 20
STEERING COMMITTEE
AGENDA REPORT
1IL'�1 NuDmDer IMm NumOer
Orange County sanitation District �(
FROM: Blake P. Anderson, General Manager
Originator: Jean Tappan, Committee Secretary
SUBJECT: Agenda Items for Consideration by the Board
GENERAL MANAGER'S RECOMMENDATION
Review with staff the agenda items tentatively scheduled for consideration by the Board
at its October 22, 2003 meeting.
SUMMARY
Staff routinely prepares for the Steering Committee lists of items scheduled for
presentation to the Working Committees and the Board 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 Board at the October 22,
2003 meeting:
Consent Calendar
9. Consideration of motion to approve all agenda items appearing on the Consent
Calendar not specifically removed from same, as follows:
a. (1) Approve Change Order No. 1 to Purchase Order No. 100536-OB,
issued to OCB Reprographics for Specification No. 9900-05, for an
additional amount of $125,000, for a total amount not to exceed $225,000,
providing for additional copying services; and,
(2) Provide an additional $125,000 for all remaining renewal periods for
Specification No. 9900-05, for a total annual amount not to exceed
$225,000.
b. (1) Receive and file petitions from Paul Andrews and Janet Harris
requesting annexation of .62 acres to Orange County Sanitation District
(OCSD) in the vicinity of Orange Park Blvd. and Clark Avenue in an
unincorporated area of Orange County; and,
(2) Adopt Resolution No. OCSD 03-22, authorizing initiation of
proceedings to annex said territory to OCSD (Proposed Annexation No.
OCSD-32 — Andrews/Harris Annexation).
Book Page'_'1
C. (1) Receive and file petition from DUfkBedfotd C2gU2S�111g a[1�exa��0�Ol
.64 acres to Orange County Sanitation District at 251 Country Hill Road,in
an incorporated area of Orange County; and
(2) Adopt Resolution No. OCSD 03-23, authorizing initiation of
proceedings to annex said territory to OCSD (Proposed Annexation No.
OCSD-34—Bedford Annexation).
d. Authorize the General Manager to execute Quitclaim Deeds to Mousse
Essayli and Ward Dixon III and Miriam Dixon for two parcels in the City of
Cypress in connection with Los Alamitos Sub-trunk Sewer, Contract No.
3-8, in a form approved by General Counsel.
END OF CONSENT CALENDAR
10. Consideration of items deleted from Consent Calendar, if any.
NON-CONSENT CALENDAR
11. STEERING COMMITTEE
Consent Calendar
a. Order draft Steering Committee Minutes for the meeting held on
September 24, 2003 to be filed.
Non-Consent Calendar
b. Review and consideration of agenda items considered by the Steering
Committee re the October 22, 2003 meeting.
C. Consideration of items deleted from Steering Committee Consent
Calendar, if any.
12. OPERATIONS. MAINTENANCE AND TECHNICAL SERVICES COMMITTEE
(OMTS)
OMTS Consent Calendar
a. Order draft Operations, Maintenance and Technical Services Committee
Minutes for the meeting held on October 1, 2003 to be filed.
OMTS Non-Consent Calendar
if any. b. Consideration of items deleted from OMTS Committee Consent Calendar,
a:\xy.NespanNtLaen,q LammieeWTq�fliOPSW and N41m Oct awNr.Eoc
flMM: arzaae Page 2
Book Page 22
13. PLANNING, DESIGN AND CONSTRUCTION COMMITTEE (PDC)
PDC Consent Calendar
a. Order draft Planning, Design and Construction Committee Minutes for the
adjourned meeting held on September 18, 2003, and the regular meeting
held on October 2, 2003 to be filed.
b. Ratify Change Order No. 9 to Primary Clarifiers 16-31 and Related
Facilities, Job No. P1-37, with Margate Construction, authorizing an
addition of$187,452, increasing the total contract amount to $71,142,093.
C. Ratify Change Order No. 3 to Bushard Trunk Sewer Rehabilitation, Job
No. 1-2-4, with Steve P. Rados, Inc., authorizing an additional of$44,293
and a time extension of one calendar day, increasing the total contract
amount to$30,305,227.
d. (1) Ratify Change Order No. 2 for Engineering Trailer Complex at Plant
No. 1, Job No. J-90, with Oved Dagan Construction, authorizing an
addition of $68,331, increasing the total contract amount to $1,797,149;
and,
(2) Accept Job No. J-90 as complete, authorizing execution of the Notice of
Completion and approving the Final Closeout Agreement.
e. Approve Amendment No. 2 to the Professional Services Agreement with
Black & Veatch Corporation for additional construction support services for
Short Tenn Ocean Outfall Bacteria Reduction, Job No. J-87, for an
additional amount of$54,447, increasing the total amount not to exceed
$909,128.
I. Ratify Change Order No. 3 for Area Classification Study Implementation
Plan, Plant Nos. 1 &2, Job No. J-35-2, with J.F. Shea Construction, Inc.,
authorizing an addition of$269,345, increasing the total contract amount
to $14,534,262.
g. (1) Ratify Change Order No. 1 to Drain System for North Pacific Coast
Highway Force Main, Contract No. 5-56, with Ken Thompson, Inc.,
authorizing an addition of$124,300 and a time extension of 17 calendar
days, increasing the total contract amount to $257,350; and,
(2) Accept Contract No. 5-56 as complete, authorizing execution of the
Notice of Completion and approving the Final Closeout Agreement.
h. Approve Professional Services Agreement with Camp, Dresser& McKee
providing for engineering services for Rehabilitation of Odor Control
Facilities, Job No. J-71-8, for an amount not to exceed $3,197,522.
G W.EI+I'p�NWwMYCamnerVTOC1�l0i1N W ae MaMOe Bovtrv.0ec
a� Page 3
Book Page 23
(1) Approve a budget increase for an additional $415,040 for Gisler-
Redhill Trunk Improvements Reach "A", Contract No. 7-36, for a total of
$7,066,698; an additional $670,806 for Orange Trunk Improvements,
Contract No. 7-39, for a total of$5,297,929; and an additional $3,076,488
for Gisler-RedhilVNorth Trunk Improvements, Contract No. 7-41, for a total
of $14,987,780; and,
(2) Approve Addendum No. 1 to the Professional Services Agreement with
AKM Consulting Engineers, providing for additional engineering services
for Gisler-Redhiil Trunk Improvements Reach "A", Contract No. 7-36;
Orange Trunk Improvements, Contract No. 7-39; and Gisler-RedhilVNorth
Trunk Improvements, Contract No. 7-41, for an additional amount of
$58,320, increasing the total amount not to exceed $870,278.
PDC Non-Consent Calendar
j. Consideration of items deleted from PDC Committee Consent Calendar, if
any
14. FINANCE, ADMINISTRATION AND HUMAN RESOURCES COMMITTEE
(FAHR)
FAHR Consent Calendar
a. Order draft Finance, Administration and Human Resources Committee
Minutes for the meeting held on October B, 2003 to be filed.
b. Receive and file Treasurer's Report for the month of September 2003.
C. Approve SAFETY-POL-114 Hazardous Waste Management Program, as
provided for in Resolution No. OCSD 02-5, regarding the District's Injury
and Illness Prevention Program.
d. Adopt Resolution No. OCSD 03-24, Amending Resolution No. OCSD
98-33, Amending Human Resources Policies and Procedures Manual.
e. Receive and file Communications Services Strategic Plan FY 2003-04.
I. Approve an Agreement with the Santa Ana Watershed Project Authority
(SAWPA) to establish the purchase price for, and the purchase 04.2.0 mgd
Wastewater Treatment and Disposal Capacity Right for Desalter Brine for
a total amount of $5,252,015.26, in a form approved by General Counsel.
FAHR Non-Consent Calendar
g. Consideration of items deleted from FAHR Consent Calendar, if any.
a:Hw.awa•nm,sm.n.o cam++mensocn,aaw un a a,.iv oa awrtv.aoc
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Page 4
Book Page 24
15. JOINT GROUNDWATER REPLENISHMENT SYSTEM COOPERATIVE
COMMITTEE (JCC)
JCC Consent Calendar
a. Order Joint Groundwater Replenishment System Cooperative Committee
Minutes for the meetings held on September 8, 2003 and September 29,
2003 to be filed.
b. Approve an agreement between Orange County Water District and Porter
Novelli, providing for one year of additional services for the public
information and outreach program for the Groundwater Replenishment
System, Job No. J-36, for an amount not to exceed $900,000, to be
equally cost shared with the Orange County Water District.
C. (1) Approve Amendment No. 1 to the Professional Services Agreement
with Montgomery Watson Harza, providing for additional construction
management services for the Groundwater Replenishment System, Job
No. J-36, for an additional amount of$1,423,992, increasing the total
amount not to exceed $12,367,030, to be equally shared with the Orange
County Water District; and,
(2) Approve Amendment No. 2 to the Professional Services Agreement
with Montgomery Watson Harza, providing for a cost-of-living adjustment
per their contract for the Groundwater Replenishment System, Job No.
J-36, for an additional amount of $523,536, increasing the total amount
not to exceed $12,890,566, to be equally cost shared with the Orange
County Water District.
d. Approve Amendment No. 10 to the Professional Services Agreement with
Camp Dresser& McKee, Inc., providing for additional design services for
the Groundwater Replenishment System, Job No. J-36, for an additional
amount of $305,550, increasing the total amount not to exceed
$33,587,086, to be equally cost shared with the Orange County Water
District.
JCC Non-Consent Calendar
C. Consideration of items deleted from JCC Consent Calendar, if any.
PROJECT/CONTRACT COST SUMMARY
N/A
a:�vv.m.WpenMv9eenno Carv,+nr`dmocn,mYos uu el aVe b,M ama-v.arc
aewxa:arzase Page 5
Book Page 25
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
CEGA FINDINGS
Not a project.
ATTACHMENTS
NA
jt
GMO N�vW Wl4NA^Y La�XEW6T-0CIVO'f26t1iAg01bb W amNv.O%
Page 6
Book Page 26
ORANGE COUNTY SANITATION DISTRICT
(714)962-2411
Mailing Address:
P.O. Box 8127
Fountain Valley, California
92728-8127
Street Address:
10844 Ellis Avenue
Fountain Valley, California
92708-70I8
OCSD 2/13/03
Cte1N4R..
MAYOR
Miguel A.Pulido '{ i � � i s 1. � !... .i'.\{ { /.\
MAYOR PRO TEM c
Breit E.Franklin
COUNCIL MEMBERS CITY MANAGER
Claudia C.Alvarez David N.Ream
Lisa Bist } CITY ATTORN
Alberta D.Christy I..*W. EY
Mike Garcia CLERK OF THE COUNCIL
lose Solaro Patricia E.Healy
September 4,2003 (m • t �`�3
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54-10srA,a ,as
Mr. Blake Anderson
General Manager
Orange Co.Sanitation District
10844 Ellis Avenue
Fountain Valley,CA 92708
Dear Mr, n�erson.
RE: August 2e Meeting
Thank you for attending the meeting to discuss the fiscal environment in our cities and
the impacts of the Orange County Sanitation District User Fee. I appreciated your input
during the meeting and your commitment to this important issue.
I have attached a meeting summary,which you may share with your councilmembers.
As we agreed,our next meeting will be in January,2004 and will be held in Buena Park.
I will send a notice announcing the time and agenda for the meeting as we get closer to
the date.
Sincerely,-
Alberta D. Christy
Councilwoman
Attachment
20 OVIC CENTER PLAZA•P.O.BOX 1988 SANTA ANA,CALIFORNIA 92702 TELEPHONE(714)647-6900
FAX(714)647-69U
Meeting Summary
August 20, 2003, 6:00 PM
City of Santa Ana - 2nd Floor Conference Room
Purpose: To discuss economic issues affecting Orange County cities and to review
the impact of the Orange County Sanitation District User Fee increase.
Attendees: Alberta Christy,Blake Anderson, Don Bankhead,Jim BieM Norm
Eckenrode, Joy Neugebauer,Patsy Marshall, Bob Savage,Jim Ross,
Thom Coughran,Dave Ream.
Each representative summarized some of the current financial challenges facing local
government this year. Several referenced the impacts of State budget cuts,the slow
economy, and concerns about business leaving the State and global competition. It was
stated that 22,000 businesses had left the State. Also emphasized was the lack of capital
funding for infrastructure in general. Some local efforts to raise revenue were
unsuccessful due in part to the State budget process and the controversy over the
Sanitation District rate increase proposal.
Blake Anderson outlined some of the Sanitation District efforts to partner with the local
agencies. Seventeen million dollars a year has been budgeted over ten years for
cooperative local projects. The program is a 50150 match and some members suggested
that in light of the financial stress the cities are under, a lower match requirement might
increase participation in the program.
Blake also outlined the Sanitation District's willingness to assist the cities with the
mandated"Waste Discharge Requirements"and"Fats, Oils and Grease"programs. The
Sanitation District,at the request of several of the cities,has agreed to enter into MOUs
with interested local agencies to help centralize the development of plans and studies that
will be required.
In reference to the recent Orange County District rate increase issue,Blake pointed out
that with a 10%annual rate increase, all the major new capital construction contemplated
over the next ten years would be 100% financed. Discussion among the group centered
not on the need for the capital program,but rather on the front loading of the costs. There
were also questions about the rate structure's fairness and concerns about potentially
overtaxing business.
Blake explained that the rate structure is based on fair share usage and is reviewed by the
Board's rate advisory committee consisting of about 30 representatives of various
stakeholders in the community.
At the conclusion of the meeting the group agreed to meet again in January 2004, at
which time the Orange County Sanitation District could present some options to the
group that would reduce the early frontloading of the Capital Improvement Program
costs.
ORANGE COUNTY SANITATION DISTRICT
POLICY REGARDING APPROVAL AND COMPENSATION FOR DIRECTORS'
MEETING ATTENDANCE
SECTION 1 —General
The District will authorize travel and reimburse ordinary, necessary, and
reasonable business expenses incurred in connection with official responsibilities
performed on behalf of the District, in accordance with established policies and
procedures. Such expenses occur while conducting District business or attending
professional association conferences.
This policy applies to all Directors authorized to represent the District through
travel or business activities. At all times, Directors serve the public and must do so within
the ethical and business performance standards expected of a public agency. Prudent
judgment and full compliance with District policies is required. Travel and business
expenses will only be approved as they are necessary to fin other the accomplishment of
District goals and objectives.
Directors are expected to use due discretion when carrying out District business.
Expenses must be kept to the lowest reasonable cost to the District while still fulfilling the
District's business purpose.
Non-compliance with this policy or falsification of reports may result in Board
action, including sanctions and/or criminal prosecution.
SECTION 2—Definitions
As used in this policy, the following terms shall have the meanings so indicated:
a. Director—
shall mean a member of the District Board of Directors.
b. District—
shall mean Orange County Sanitation District.
C. Incidentals—
shall mean any minor, miscellaneous expenses incurred during Travel,
including, but not limited to, local bus fare, telephone calls, non-meal
gratuities, and snacks.
d. Meetings—
shall mean all regularly convened Board of Directors meetings, standing
committee meetings and other meetings called by the Chair of the Board of
POLICY REGARDING ALLOWANCE OF EXPENSES
Directors. Also included are specific industry conferences and business
meetings designated by the Chair. Meetings not sanctioned by the Chair
are not considered business of the District.
C. Maximum meetings allowed per Month—
shall mean: for the Chair, ten
for the Vice-chain, eight
for all other Directors, six
f. Travel—
shall mean transportation, lodging, meals, and incidentals associated with
attending a seminar, conference, or meeting further than a sixty(60)mile
radius of either the traveler's primary residence or regular work site,
whichever is closer.
g. Travel Liaison—
shall mean the person or persons selected within the General Manager's
office to handle the travel accommodations for and assist in processing
Director expense reimbursement claims.
SECTION 3 —Bud eg t Implications
Sufficient funds must be included in the current fiscal year's operating or capital
budget for all travel and business expenses to be paid or reimbursed under this policy.
SECTION 4—Responsibilities
Directors shall be familiar with this policy; obtain prior authorization for travel;
submit timely"Conference/Seminar Authorization" and"Conference/Seminar or Monthly
Expense Report"forms, supporting documentation and accounting for expenses incurred.
To avoid unnecessary expense and take advantage of early registration discounts, the
Director must apply for attendance at seminars and conferences as early as possible.
Travel Liaisons shall be familiar with this policy; advise Directors; make necessary
arrangements, reservations, guarantees; issue travel authorization, tickets and itineraries to
Directors; notify employees of outstanding travel expense reports; set equivalent costs of
common carrier travel and determine travel times chargeable as business when personal
vehicles are authorized as a means of travel; coordinate group travel; promote economic,
reasonable, necessary and fiugal means; and advise senior staff on travel matters.
General Manager shall oversee execution of this policy and ensure that travel and
other reimbursable expenses are necessary and reasonable.
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POLICY REGARDING ALLOWANCE OF EXPENSES
SECTION 5—Travel Liaison
The General Manager's Travel Liaison will arrange all travel for Directors. The Travel
Liaison will arrange all lodging accommodations and seminar/conference registration and
use the District's designated travel agency for booking all air and ground travel. Any
travel or registration not booked through the Travel Liaison may be subject to payment by
the Director without reimbursement from the District.
SECTION 6—Designated Travel Agency
The District will designate a single travel agency through which all air travel and car
rentals shall be arranged.
SECTION 7—Seminars/Conferences/Meetines
Attendance at seminars, conferences, and meetings(other than Board and Standing
Committee meetings) must be approved in advance by the Char of the Board.
There must be a business reason for attendance at conferences and other outside meetings.
Such reasons would include presentation of technical findings, attendance at meetings of
committees or technical sessions dealing with issues related to District business, or
participation as an officer of the association. Seminars must be selected based on value to
the District.
The number of District conference attendees should be minimized.
Attendance benefits would include improved efficiency and effectiveness, as well as
meeting new regulatory standards. In addition to the costs estimated on the
Conference/Seminar Authorization, the cost of an Employee's work time for travel to,
from and during the seminar must be considered. Free,local seminars must also be
authorized in advance.
Preference will be given to seminars that are provided within the Southern California
region. Attendance at seminars, conferences, or meetings in"destination resort" areas or
areas outside the continental Unites States is discouraged.
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POLICY REGARDING ALLOWANCE OF EXPENSES
SECTION 8—Ground Transportation
Mileage reimbursement for use of personally-owned vehicles shall be the rate set by the
Board, which is equivalent to the current Internal Revenue Service(IRS)rate for travel
deductions. In no case, shall the amount paid for mileage reimbursement for use of a
personally-owned vehicle used for travel in lieu of air travel exceed the cost of coach class
or equivalent airfare.
Reasonable vehicle parking and storage costs will be allowed when District, rental, or
personally owned vehicles are used for District business.
Highway and bridge tolls are allowable expenses when incurred while conducting District
business.
When traveling by air, Directors should only use rental cars for ground transportation as a
last resort or when it is less expensive than other forms of transportation such as trains,
buses, taxis or shuttles. Discretion must be used in selecting rental car size. They should
be the smallest size that provides adequate safety and comfort for the generally short time
they are in use.
Directors will not be reimbursed for any surplus insurance purchased for rental cars,
because the Director and the District are already sufficiently insured through existing
District policies. Only Directors are allowed to operate rental cars.
Other forms of ground transportation should be selected such that transportation costs are
reasonable.
SECTION 9—Air Transportation
All air transportation must be arranged by the Travel Liaison through the designated travel
agency. The General Manager is given the authority to determine exceptions on a case-by
case basis. All air travel must be at coach class level. First class travel will only be allowed
on an exception basis and must be approved by the General Manager in advance.
Air transportation should be arranged as early as possible to take advantage of reduced
fares for early reservations. Consideration should be given to alternative departure/arrival
airports, dates, flight times, and stopovers to minimize air fares. However, the total cost
of the alternatives(eg, ground transportation, employee work times, lodging) should also
be considered in selecting an alternative. Internet booking services can be consulted to
help in finding the optimum alternative, however flights must still be reserved by the
Travel Liaison.
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POLICY REGARDING ALLOWANCE OF EXPENSES
SECTION 10—Lod&g
All lodging must be arranged by the Travel Liaison. When travel is to a conference, the
conference-sponsored hotel should be used to minimize cost. Some conferences require
early booking to take advantage of reduced rates. If lodging cannot be arranged at the
conference-sponsored hotel, then the next most reasonably priced lodging must be used.
Other lodging accommodations may also be arranged if the cost is less than the
conference-sponsored hotel.
No lodging within 60 miles of work or the Director's residence, whichever is less, is
allowed.
SECTION I 1 —Meals and Incidentals
Meal expenses are allowed while Directors are traveling. Expenses for other meals, not
associated with travel, but with appropriate business purpose, are also allowed.
Directors will be reimbursed for actual meal expenses, including all taxes and gratuities, up
to the amounts indicated below. Expenses will be reimbursed on a meal-by-meal basis,
not a daily basis. If meal expenses exceed the amounts allowed, the Director will be
reimbursed the allowance amount, with the remainder being paid by the Director. If meal
expenses are less than the allowable amount, the actual expense amount will be
reimbursed. All meal expenses must be documented in detail in accordance with the
Policy.
Directors may be reimbursed for meals under either of two methods:
Method!— "No Receipt Medved"
When no receipts are provided, the maximum per meal/expense reimbursements
are as follows:
Breakfast $10.00
Lunch $20.00
Dinner $30.00
Incidentals $10.00
During Travel, these amounts may be aggregated to allow a total per day
maximum of$70.00. For instance, multiple meal expenses may be combined to
allow for a more expensive single meal. However, in no event will a Director be
reimbursed more than $70.00 per Travel day under the"No Receipt Method."
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POLICY REGARDING ALLOWANCE OF EXPENSES
Method 2 — "Recetot Method"
When receipts are provided, the maximum per meal/expense reimbursements are as
follows:
Breakfast $15.00
Lunch $25,00
Dinner $35,00
Incidentals $15.00
Under this method, multiple meal expenses cannot be combined to pay for a more
expensive single meal. It is applied strictly as a per meal expense. In no event, will
a Director be reimbursed more than $90.00 per travel day under the"Receipt
Method." In the case of a missing receipt, the Director will be reimbursed the
maximum per meal amount allowed under Method 1 for that meal.
Receipts must be an original, detailed receipt for actual costs. Credit card receipts
and restaurant bill stubs do not provide sufficient detail and are not acceptable for
reimbursement under this method. If detailed receipts are not available, the
Director can still be reimbursed at lower amounts under the"No Receipt Method."
No adjustments are made to the allowance amounts based on geographical location or
other criteria unless approved in advance by the General Manager.
Non-travel business meals will only be reimbursed if taken in conjunction with a District
business meeting. Meals for Director guests will be reimbursed only if they have had,
currently have, or potentially will have a legitimate business relationship with the District.
Conflict of interest policies and laws must be considered when providing meals to or
receiving meals from non-Directors.
If meals are included in the cost of a conference or seminar, Directors will not be
reimbursed for meals eaten outside the conference or seminar in lieu of the meal provided
without Chair or General Manager approval.
The District will not reimburse for alcoholic beverages consumed by Directors or their
guests, regardless of when consumed.
Any exceptions to the above meal allowance requirements must be approved prior to
reimbursement by the Chair or General Manager.
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POLICY REGARDING ALLOWANCE OF EXPENSES
SECTION 12—Extended Travel and Travel with Family Members
On occasion, Directors may elect to extend their stay at travel destinations or travel with
family members. All expenses, including but not limited to airfare, extra meals, extended
car rental or lodging, related to such extended or family travel must be paid by the
Director.
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