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Home My WebLink About2004-11 MINUTES OF STEERING COMMITTEE MEETING Wednesday, November 17, 2004 A meeting of the Steering Committee of the Orange County Sanitation District was held on Wednesday, November 17, 2004 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: OTHERS PRESENT: Directors Present: Thomas L. Woodruff, General Counsel Jim Ferryman, Vice Chair Don Hughes Carolyn Cavecche, Chair, OMITS Committee Tod Ridgeway, Incoming Chairman, PDC STAFF PRESENT: Committee Blake Anderson, General Manager Roy Moore, Chairman, FAHR Committee Bob Ghirelli, Director of Technical Services Jim Silva, County Supervisor Bob Ooten, Director of Operations and Shirley McCracken, Past Board Chair Maintenance Carol Beekman, Director of Communications and Directors Absent: Administrative Services Steve Anderson, Chair Gail Garrett, Committee Secretary FILD (2) APPOINTMENT OF CHAIR PRO TEM IN THE OFFICE OFT HE SECRETARY ORANGE nisTRICT No appointment was necessary. DEC 715 2004 (3) PUBLIC COMMENTS RYA There were no comments by any member of the public. (4) RECEIVE, FILE AND APPROVE MINUTES OF PREVIOUS MEETING The minutes of the October 27, 2004 Steering Committee meeting were approved as drafted. Minutes of the Steering Committee Page 2 November 17,2004 (5) REPORT OF THE COMMITTEE CHAIR Committee Vice Chair Jim Ferryman announced that Chair Steve Anderson was in Washington, DC, doing the rounds with members of the Orange County delegation. Information packets are available for the Directors for the 2005 CASA Mid-Year Conference at the Palm Springs Hilton, January 19 through January 22. If Directors plan to attend, please let Gail Garrett know as soon as possible. Vice Chair Ferryman made the following announcements. Director Tom Ridgeway has been appointed Chair of the Planning, Design and Construction (PDC)Committee, effective immediately. Vice Chair Ferryman thanked Director Donahue for his service as the PDC Committee Chair this past year. Vice Chair Ferryman has been appointed to both GW RS and the Council of Governments (COG), and Director Darryl Miller to GWRS. The Steering Committee will adjourn to Conference Rooms A and B at 6:30 p.m.for Wes Bannister's reception to congratulate him on his appointment as Chairman of the Metropolitan Water District of Southern California. He Is only the second Orange County chairman to attain this honor in the agency's 75-year history. The District has received Its new ocean discharge permit from EPA and the Consent Decree was formally filed in the United States District Court in Santa Ana. Finally, Vice Chair Ferryman announced the standing committee meeting dates for December. The Urban Runoff Ad Hoc Committee quarterly meeting is scheduled for December 1"at 3 p.m. and due to the holidays, the Board will meet one week earlier, on December 15". (6) REPORT OF THE GENERAL MANAGER General Manager Blake Anderson reported on: A. Legal Services General Manager Blake Anderson gave an overview of the report provided by Mr. Darrell Cohoon, an independent management consultant, on the scope of legal services, relative costs,and overall level of performance. He outlined the steps that have been taken in the last six months to review cost monitoring and possible cost savings measures with each of the Departments. General Counsel Tom Woodruff commended Ms. Olga Cervantes on her performance at the District as Principal Contracts Administrator. Her presence at the District has reduced and will continue to reduce General Counsel services,thereby resulting in significant cost savings to the District. Director Jim Silva questioned the high cost of legal services for last year. Mr. Woodruff responded that this was largely due to recent litigation. Director Ridgeway requested that General Manager Anderson and the Director of Finance, Gary Streed, submit a report on the breakdown of all legal services. Director Carolyn Caveoche expressed concern regarding conflicts that may arise with General Counsel, and noted that having in-house attorneys would erase all Minutes of the Steering Committee Page 3 November 17, 2004 possible conflicts. Supervisor Silva and Director Ridgeway concurred. General Manager Anderson advised that Mr. Streed would provide a mid-year report on the breakdown of legal costs for each Department. Vice Chair Ferryman requested that staff circulate the audit results once again. B. Status of Response to the Huntington Beach Visitors and Convention Center Request(HBVCB)for PR Fund General Manager Anderson reported that Chairman Anderson met with the mayors of the beach cities. Mr. Anderson submitted a memo to Chair Anderson re staff recommendations vis-9-vis the HBCVB proposal, Including estimated associated costs. Director Cavecche objected to forming another coalition and suggested joining an established coalition. Director Ridgeway named several and noted that Supervisors Wilson and Silva are both on the Orange County Coastal Coalition (OCCC) Board. Don Hughes, Supervisor Silva's assistant, will send a copy of the OCCC membership roster to Director Ridgeway and General Manager Anderson. (7) REPORT OF GENERAL COUNSEL General Counsel Tom Woodruff did not make a report. (8) DISCUSSION ITEMS (Items A-B) A. The Agenda Items scheduled to be reviewed by the Board's working committees in December were reviewed. General Manager Blake Anderson alerted the Steering Committee that, since January is a dark month for the PDC, an additional item, OCSD Collection System Model and Strategic Plan Update, Job. No. J-101,will be going directly to the Board for consideration in January. B. 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 There was no other business discussed. (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 Minutes of the Steering Committee Page 4 November 17, 2004 There were none. (12) CONSIDERATION OF UPCOMING MEETINGS Due to the holidays, the Steering Committee and Board will meet one week earlier next month, on December 15'"at 5 p.m. and 7 p.m. respectively. (13) CLOSED SESSION The Committee convened at 5:40 p.m. in Closed Session, pursuant to Sections 54956.9, 54956.7, and 54956.9(c) to discuss four items. 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 Govemment 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 the recommended actions will be publicly reported at the time the approved actions become final. At 6:20 p.m., the Committee reconvened in regular session. (14) ADJOURNMENT The Chair declared the meeting adjourned at 6:20 p.m. Submitted by:Gail Garrett Steering Committee Secretary N.wept enE%&n �"�c�r 5n STATE OF CALIFORNIA ) )SS. COUNTYOFORANGE ) 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, November 17, 2004, was duly posted for public inspection in the main lobby of the District's offices on Wednesday, November 10, 2004. IN WITNESS WHEREOF, I have hereunto set my hand this 17th day of November, 2004. Penny Kyle, 34cretary of Ple Board of Directors of Orange County Sanitatioi District Posted: November 10, 2004, 4:00 p.m. By: CL� Signature wptlaCgm\s4umm�poctin9fm BOARD SECRETARY(2) NOTICE OF MEETING OF THE STEERING COMMITTEE ORANGE COUNTY SANITATION DISTRICT WEDNESDAY, NOVEMBER 17, 2004 -5 P.M. DISTRICT'S ADMINISTRATIVE OFFICE 10844 ELLIS AVENUE FOUNTAIN VALLEY, CALIFORNIA 92708 A regular meeting of the Steering Committee of the Board of Directors of Orange County Sanitation District will be held at the above location, date and time. H1dept\agenda\Steedng Committee\2004\SC Meeting Notice Fonn.t.doc STEERING COMMITTEE AND BOARD MEETING DATES FOR THE NEXT TWELVE MONTHS 'Wednesday, November 17, 2004 'Wednesday, December 15, 2004 Wednesday, January 26, 2005 Wednesday, February 23, 2005 Wednesday, March 23, 2005 Wednesday, April 27, 2005 Wednesday, May 25, 2005 Wednesday, June 22, 2005 Wednesday, July 27, 2005 Wednesday, August 24, 2005 Wednesday, September 28, 2005 Wednesday, October 26, 2005 'Wednesday, November 16, 2005 'Wednesday, December 21, 2005 'Tentatively rescheduled from regular fourth Wednesday. H:Wept\agendalSteedng Committee\04Weeting Dates Fonn.2.doc STEERING COMMITTEE (1) Roll Call: Meeting Date: November 17 . 2004 Meeting Time: 5 p.m. Meeting Adjourned: Committee Members Steve Anderson, Board Chair............................................. ❑ Jim Ferryman, Board Vice Chair.........................................❑ Roy Moore, FAHR Committee Chair...................................❑ Carolyn Cavecche, OMTS Committee Chair....................... ❑ Brian Donahue, PDC Committee Chair............................... ❑ Jim Silva, Supervisor.......................................................... ❑ Shirley McCracken, Past Board Chair................................. ❑ Others Thomas L.Woodruff, General Counsel ❑ Brad Hogin ❑ Don Hughes ❑ 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 Ooten, Director of Operations & Maintenance ❑ Gary Streed, Director of Financerrreasurer ❑ Lisa Tomko, Director of Human Resources ❑ Carol Beekman, Director of Communication and Administration Services ❑ Gail Garrett, Committee Secretary ❑ c: Lenora Crane Wdepnagenda\Steering Committeet2004\t GA111704 Roll Call Sheet drait.3.doc AGENDA REGULAR MEETING OF THE STEERING COMMITTEE ORANGE COUNTY SANITATION DISTRICT WEDNESDAY, NOVEMBER 17, 2004 AT 5 P.M. — 6:30 P.M. NOTE: 6:30 P.M. END TIME TO ACCOMMODATE RECEPTION FOR WES BANNISTER ADMINISTRATIVE OFFICE 10844 Ellis Avenue Fountain Valley, California Agenda Posting: 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 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 once 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 dale. Accommodations forthe 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 maybe 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). Meeting Ad ournment: This meeting may be adjourned to a later time and items 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). -2- November 17, 2004 Agenda (1) ROLL CALL (2) APPOINTMENT OF CHAIR PRO TEM, IF NECESSARY (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 October 27, 2004 Steering Committee meeting. (5) REPORT OF COMMITTEE CHAIR (6) REPORT OF GENERAL MANAGER A. Legal Services B. Status of Response to the Huntington Beach Visitors and Convention Center Request for PR Fund (7) REPORT OF GENERAL COUNSEL (8) DISCUSSION ITEMS (Items A-B) A. Review Agenda Items scheduled to be presented to Committees in December (Information item only) B. Review and consideration of Agenda Items for Board of Directors Meeting of November 17, 2004 (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 -3- November 17, 2004 Agenda (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, December 15, 2004. The next Board Meeting is scheduled for 7 p.m., Wednesday, November 15, 2004. (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: 1. Confer with General Counsel re pending litigation, Santa Ana Watershed Project Authority v. Orange County Sanitation District, Orange County Superior Court Case No. 04CC06197, Government Code Section 54956.9. 2. Confer with General Counsel re pending litigation, Orange County Sanitation District v. Santa Ana Watershed Protect Authority, Orange County Superior Court Case No. 04CC0l1345, Government Code Section 54956.9. 3. Confer with Distdcrs Negotiator, Blake P.Anderson, General Manager, re Executive Management Team Compensation and Benefit Percentage Adjustment, Government Code Section 54956.7. 4. Confer with General Counsel-Anticipated Litigation, Government Code Section 54956.9(c): One (1) matter. B. Reconvene in regular session C. Consideration of action, if any, on matters considered in closed session. (14) ADJOURNMENT 99 -4- November 17, 2004 Agenda H:NF.PiNGENDASTEERING OOMMMEFO GENOA FORMA.WC 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: Steve Anderson (562)905-9700(La Habra City Hall) Committee Staff Contact: Blake P.Anderson (714)593-7110 General Counsel: Thomas L Woodruff (714)564-2605 Committee Secretary: Gail Gamell (714)593-7101 (714)962-0356 (Fax) E-mail: ggarrett@omd.com MINUTES OF STEERING COMMITTEE MEETING Wednesday, October27, 2004 A meeting of the Steering Committee of the Orange County Sanitation District was held on Wednesday, October 27, 2004 at 5 p.m., in the Districts Administrative Office. (1) The roll was called and a quorum declared present, as follows: STEERING COMMITTEE MEMBERS: STAFF PRESENT: Directors Present: Blake Anderson, General Manager Steve Anderson, Chair Bob Ghirelli, Director of Technical Services Jim Ferryman,Vice Chair David Ludwin, Director of Engineering Carolyn Cavecche, Chair, OMTS Committee Carol Beekman, Director of Communications and Roy Moore,Chairman, FAHR Committee Administrative Services Shirley McCracken, Past Board Chair Jennifer Cabral, Public Information Specialist Directors Absent: Jim Colston, Legal & Regulatory Affairs Brian Donahue, Chairman, PDC Committee Liaison Jim Silva, County Supervisor Jim Herberg, Engineering Manager Ed Torres, Engineering Manager OTHERS PRESENT: Jim Burror, Senior Engineer Director Cathy Green Mike Moore, Environmental compliance & Director Tod Ridgeway Monitoring Manager Thomas L. Woodruff, General Counsel Layne Baroldi Legal & Regulatory Affairs Brad Hogin, Counsel Liaison Don Hughes,Asst. to Supervisor Silva Ann Sullivan, Principal HR Analyst Steve Bone, Robert Mayer Corp Gail Garrett, Committee Secretary Gary Brown, Orange County CoastKeeper Daniel Cozad, SAWPA Acting General Manager Marta Hayden, Newport Beach Conference &Visitors Bureau Bill Workman, City of Huntington Beach Douglas C. Traub, Huntington Beach Conference and Visitors Bureau (2) APPOINTMENT OF CHAIR PRO TEM No appointment was necessary. (3) PUBLIC COMMENTS Comments were made under item 6 below. (4) RECEIVE. FILE AND APPROVE MINUTES OF PREVIOUS MEETING The minutes of the September 22, 2004 Steering Committee meeting were approved as drafted. Minutes of the Steering Committee Page 2 October 27, 2004 (5) REPORT OF THE COMMITTEE CHAIR Committee Chair Steve Anderson introduced our Director from Huntington Beach, Mayor Cathy Green. Chair Anderson also recognized Doug Davert as the active director for the City of Tustin at tonight's Board meeting, replacing Tony Kawashima. Director Davert is also appointed to the OMTS Committee. Chair Anderson announced the meeting dates for the standing and ad hoc committees. He noted that, due to the Thanksgiving Holidays, the Board will meet a week earlier next month on November 170 Chair Anderson also announced the November 6 christening ceremony for the "Nerissa", our new Ocean Monitoring Vessel, which will be held at the Newport Harbor Nautical Museum. Attendance is voluntary and this event is not compensable for Directors. (6) REPORT OF THE GENERAL MANAGER General Manager Blake Anderson introduced Daniel Cozad, SAWPA Acting General Manager. Mr. Cozad thanked the Board for giving Acting General Manager Bob Ghirelli authority to meet with him and discuss the current litigation between SAWPA and OCSD. General Manager Anderson noted that this item will be discussed in closed session this evening. Bob Ghirelli reported that the original estimate on the Labor Day spill was of treated and disinfected effluent into the Santa Ana River inaccurate. Further recalculation by both staff and outside experts indicated the spill was approximately 1.6 million gallons. Samples immediately following the spill showed a spike at the mouth of the Santa Ana River only although,as a precaution, the beaches were dosed from Magnolia in Huntington Beach to 52nd Street in Newport Beach by the County Health Department soon after it was notified of the event. Dr. Ghirelli informed the Steering Committee that staff is preparing a report for the Regional Board next week which will be shared with our Board of Directors. He also informed the directors that the penalty against the District could be in the$100,000 to$200,000 range. Director Ridgeway questioned whether further information was received from Edison regarding the helicopter that purportedly dropped water on the power transformer. Dr. Ghirelli informed that the District has requested information on the alleged incident but has not received a response. Director Cavecche noted that the spill incident was an aberrance-the District has not had a spill Into the Santa Ana River in 30 years. Dr. Ghirelli also reported on the Huntington Beach PR Fund proposal received from the Huntington Beach Visitors and Conference Bureau. He, Carol Beekman, Bob Ooten, and Jennifer Cabral met with the group and Mayor Cathy Green to discuss the group's request that OCSD pay for an advertising campaign to mitigate the bad press coverage received over the last five years. Director Tod Ridgeway introduced Douglass Traub, Steve Bone, Garry Brown, and Bill Workman, representatives of the Huntington Beach Conference&Visitors Bureau and the City of Huntington Beach. They each requested that the Sanitation District fund the public outreach campaign to improve the image of Orange County beaches and water quality, and to inform the public about the measures that have been taken to protect public health. After extensive discussion, Chair Anderson requested a meeting with Director Tod Ridgeway, Director Cathy Minutes of the Steering Committee Page 3 October 27, 2004 Green,and the mayor of Seal Beach,and other interested parties to discuss the concept,after which he will present his findings to one of the District's standing committees. Director Jim Ferryman asked whether the District's participation would be a gift of public funds. Chair Anderson requested General Counsel to offer an opinion on the matter. General Manager Anderson briefed the Committee on the impact of last night's stone. The Corps of Engineers regulated the flow in the Santa Ana River at 2500 cfs. Protective rip-rap will be added to the vulnerable section of the SARI line as soon as the flow in the river subsides. Board Agenda Item 18 will address the emergency repair costs which were originally estimated at$350,000, but are now estimated at$635,000. This will be presented to the Board tonight. The two-year transfer of the Sanitation District's property tax was forecast by staff at$16 million in June and appears to be was on target. Our 2004-2005 budget, approved by the Board in June, accounts for this loss of revenue. Director Ridgeway introduced Marta Hayden, Newport Beach Conference &Visitors Bureau. (7) REPORT OF GENERAL COUNSEL General Counsel Tom Woodruff reported an additional item has been added to Closed Session, Item D. The District has received new claims on the Bushard Trunk project. General Manager Anderson handed out an Ethics Manual for the Steering Committee to review and decide if it would benefit all Board members to receive a copy. (8) DISCUSSION ITEMS (Items A-D) A. State and Federal Legislative Advocacy Update General Manager Anderson reported that our efforts to secure additional funds for secondary treatment will continue. Under authority previously granted by the Board of Directors, Mr. Anderson will renew the three contracts with the District's lobbyists, subject to a cost reduction for ENS Resources from $180,000 to $120,000. B. California Performance Review Update Dr. Robert Ghirelli, Director of Technical Services, reported the Governor's California Performance Review(CPR) has completed its hearings and prepared a report that represents the preliminary analysis and findings of the CPR Commission. Jim Colston reported that recent news from the commission indicates the likelihood the SWRCB and RWQCBs may not be eliminated as originally proposed. Staff will continue to monitor the CPR as it moves to the Little Hoover Commission. C. Agenda Items scheduled to be presented to Committees in November were not reviewed due to time constraints. D. Agenda Items for Board of Directors Meeting of October 27, 2004 were not reviewed or considered due to time constraints. Minutes of the Steering Committee Page 4 October 27, 2004 (9) OTHER BUSINESS. COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY There was no other business discussed. (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 Wednesday, November 17,2004, 2004 at 5 p.m. The next Board Meeting is scheduled for Wednesday, November 17, 2004 at 7 p.m. (13) CLOSED SESSION The Committee convened at 6:32 p.m. in Closed Session, pursuant to Sections 54956.8, 54956.9, 54957 or 54957.6, to discuss five items. 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 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. Submitted by: �0 &4TC- Gail Garrett Committee Secretary H'bepfw"a lSl cmnmm«Uao 11"102ro scM .0 .Sa LAW OFFICES OF WOODRUFF, SPRADLIN & SMART Agenda Hem 6(A) A PROFESSIONAL CORPORATION MEMORANDUM TO: Chair and Members of Steering Committee Orange County Sanitation District FROM: General Counsel and General Manager DATE: November 9. 2004 RE: Report of General Manager and General Counsel re Legal Services At the April 28, 2004 Steering Committee Meeting, the Committee received a written report and an oral presentation by Mr. Darrell Cohoon, an independent management consultant, on the scope of legal services, relative costs, and overall level of performance. Mr. Cohoon's report had a few findings, conclusions, and recommendations,including: • That the quality of and response to services by the Office of General Counsel was rated very good to excellent. There were a few minor concerns, so Management and Counsel should review and address resolutions. • That the cost of legal services over the years had increased slightly higher percentage than overall operating costs, but were generally reasonable and in line with annual budgets. • That the costs of legal services by use of in-house counsel could not be expected to significantly decrease, and there are several non-financial benefits of using a specialty firm such as Woodruff, Spradlin & Smart (extensive experience and expertise in the complex subjects of a POTW). • That have the individual Departments should more closely monitor legal costs incurred for services to their Department on a monthly basis. Upon conclusion of the report, the Steering Committee unanimously concurred with the findings and concluded: • There was no present advantage nor desire to further study an in-house counsel option. • The amounts expended annually were satisfactory to the Committee. The General Counsel was requested to provide an annual written report of activities, expenses, and analysis. • The General Manager and General Counsel were directed to set up and review cost monitoring and possible cost savings measures with each of the Departments. November 10, 2004 Page 2 • The General Manager and General Counsel were directed to set up a discussion with all Department Heads on the subject of improving communication, where necessary. • The General Manager and General Counsel were directed to report back to the Steering Committee after six months on the above subjects, particularly regarding any cost savings due to having a Contracts Administrator. We are pleased to report the following based on the direction of the Committee: 1. General Counsel distributes a monthly open Projects List of all pending actions in the Office of General Counsel. It is sent to the Department Heads to allow them to see the scope of legal issues, so as to be aware of the necessary inter-department relations. The List is approximately 30 pages long and includes over 100 Projects (many of which do not require any action by the General Counsel at this time). 2. The Finance Department sends out relevant portions of the General Counsel's monthly invoice for services to each Department. This allows each Department to review the scope of services provided to that Department. 3. At a facilitated Executive Management Team Meeting in May, a general, open discussion was successfully undertaken by all, on the subject of the need to improve authentic dialogue between the Department Heads and General Counsel. It produced an open, honest exchange of ideas, concerns, and requests. At the conclusion, it was agreed that each Department Head, if he/she felt it necessary, would have a one-on-one discussion with the General Counsel. 4. During May and June, the General Counsel met with four Department Heads, and developed specific expectations on better communication between the respective offices, work assignments and reporting protocol. All parties agreed this was beneficial, and while the pre-existing relationship was good, this refinement improved upon it. 5. Regarding cost control, the General Counsel asked every Department Head to provide a list of the names of all personnel within the Department who are delegated authority to request service from the Office of General Counsel. The lists were provided by every Department. This was never a significant problem, but we believe it increased the awareness throughout each Department of the need to have management authority and direction so as to monitor and control costs 6. The Senior Legal Assistant to the General Counsel, Ms. Paula Yoost, visits the District to meet with Department Heads, Division Managers, and Administrative Staff in most Departments, to review current pending issues and projects. Ms. Yoost has been providing service to the District for over 28 years, and is highly knowledgeable on the operations and actions of every Department. This allows Staff to review matters and voice concerns in a short period of time and in a more efficient manner, limiting the need for the General Counsel to intervene on routine matters. 7. Senior Counsel from the office of General Counsel meets bi-weekly at the District with the Managers of the Engineering Department to review all pending issues and contracts that require legal advice. With the huge increase in projects due to the Capital Improvement is\aarteHV.oc l November 10, 2004 Page 3 Program, this allows consolidation of time and effort to address pending concerns. It is a very cost-efficient process. Mr. Thomas F. Nixon, who has been working with the District Staff for over 20 years, regularly attends these meetings, with additional assistance from Mr. David E. Kendig, who has joined the Finn with 14 years of public agency law experience, including that as Assistant County Counsel in Santa Cruz County. 8. The Office of General Counsel has worked with the District's new Contracts Administrator to develop a full package of updated and standardized contract documents. This will eliminate the need for General Counsel to routinely review all contracts, as the Staff will have legally-approved documents to work with. In the past six months, there has been a considerable reduction In the need to obtain services from the Office of General Counsel. 9. The Office of General Counsel has clearly defined those professionals in the Finn that can be the initial point of contact by a Department Head requesting service. This insures that there are multiple persons skilled in the subject area, and thus immediate availability is nearly always assured. It also avoids duplication of requests or efforts by the General Counsel by having everyone aware of the direct line of request. This was recommended by two Department Heads and has been implemented. 10. Mr. Bradley R. Hogin, one of the most highly skilled attorneys in Southern California on environmental issues, is available as a primary contact by Staff, principally the Engineering and Technical Services Departments. Mr. Hogin, because of his experience, provides Special Counsel services to such high profile Agencies as the Southern Califomia Air Quality Management District and the Los Angeles Unified School District, as well as numerous Cities in Orange County. Both the General Manager and General Counsel will continue to monitor the level of services to insure continued good and efficient communication with the Staff, as well as to monitor costs. The budget adopted for Fiscal Year 2004-05 was maintained at the same amount as for Fiscal Year 2003-04, as compared with the District's overall Joint Operating Budget increase of 8.6%, and a combined Capital Improvement Program and Joint Operating increase of 15.7%. For the first quarter of Fiscal Year 2004-05, legal services are 2.65% over budget, but are down 8.11% compared to the first quarter of Fiscal Year 2003-04. BLAKE P. ANDERSON, THOMAS L. WOODRUFF, GENERAL MANAGER GENERAL COUNSEL isbarre"%Local STEERING COMMITTEE Meeting Daze To 8d.of Dir. u/v/04 AGENDA REPORT Item Numbe Item Number 8(A) Orange County Sanitation District FROM: Blake P. Anderson, General Manager Originator: Gail Garrett, Committee Secretary SUBJECT: December 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 December 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 December: OMITS Committee: 1. Consider SCCWRP Update &Joint Powers Agreement 2. Report on Air Toxic Strategic Plan PDC Committee: 1. Ratify Change Order No. 16 to Job No. P1-37, Primary Clarifiers 16-31 and Related Facilities 2. Ratify Change Order No. 9 to Job No. J-35-1, Area Classification Studies, Plant Nos. 1 and 2 3. Ratify Change Order No. 4 to Job No. J-77, Effluent Pump Station Annex 4. Ratify Change Order No. 2 to Job No. P2-79, Gas Compressor Redundancy (PDC Approval) 5. Ratify Change Order No. 5 to Job No. J-33-1A, Standby Power and Electrical Reliability 6. Ratify Change Order Nos. 11 and 12 to Job No. 1-2-4, Bushard Trunk Sewer 7. Ratify Change Order No. 2 to Job No. P2-47-3, Secondary Treatment Facilities Process Upgrades at Plant No. 2 8. Ratify Change Order No. 3 to Job No. J-71-3, Facilities Modifications for Odor Control - Phase 3 9. Approve PSA for Contract 7-49, MacArthur Pump Station Rehabilitation 10. Approve Amendment No. 4 to PSA for Specification No. PSA- 2001-34BD 11. Approve Budget Amendment for Job No. P11-82, Activated Sludge Plant Rehabilitation 12. Increase Construction Budget for Job No. 132-66, Headworks Improvements at Plant No. 2 13. Award a Blanket Purchase Order for a One-Year Renewable Contract with OCB for Reprographic Services with OCB FAHR Committee: 1. Consider Structure of 2005-06 COP Offering 2. Consider Financing Team for 2005-06 Offering 3. Consider Independent Auditors for FY 2004-05 4. Consider Preliminary Budget Assumptions for 2005-06 5. Consider Purchases Authorized by the General Manager 6. Consider Preliminary Budget Assumptions for 2005-06 7. Consider Purchases Authorized by the General Manager 8. Consider HR Policies & Procedures 9. Consider OCERS ARBA Agreement 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 99 wwepiuscodaw teen no,Comm tee�onaamaunvoa u:t m AR:for next,rwdh-or 6 ma Ren.ed. MOM Page 2 STEERING COMMITTEE Meeting Dale To Bd.of Dir. nw/oa AGENDA REPORT Item Nornbe Item Number BB Orange County Sanitation District FROM: Blake P. Anderson, General Manager Originator: Gail Garrett, 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 November 17, 2004 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 November 17, 2004 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) Receive and file petition from Rene Bollen requesting annexation of 1.30 acres to Orange County Sanitation District, in the vicinity of Randall Street and Meads Avenue, in an unincorporated area of Orange County; and, (2) Adopt Resolution No. OCSD 04-27, authorizing initiation of proceedings to annex said territory to OCSD (Proposed Annexation No. OCSD-45— Bollen Annexation). b Ratify the purchase of an easement from the County of Orange Resources Management Development Department for the Effluent Pump Station Annex, Job No. J-77, in an amount not to exceed $7,500, in a form approved by General Counsel. END OF CONSENT CALENDAR 10. Consideration of items deleted from Consent Calendar, if any. COMMITTEE REPORTS AND RECOMMENDED ACTIONS 11. STEERING COMMITTEE Consent Calendar a. Order draft Steering Committee Minutes for the meeting held on October 27, 2004 to be filed. Non-Consent Calendar b. Review and consideration of agenda items considered by the Steering Committee re the November 17, 2004 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 November 3, 2004 to be filed. (Minutes to be distributed at 11117104 Board Meeting.) b. Approve Amendment No. 2 to the Consulting Services Agreement with Brown and Caldwell Consulting, providing for additional consulting services in connection with the Santa Ana Regional Water Quality Control Board's newly adopted Waste Discharge Requirements, for an additional amount of$730,000 to include a $100,000 contingency, increasing the total amount not to exceed $1,430,000 for the time period of January 1, 2005 thru December 31, 2005. C. Approve Memorandum of Understanding with South Orange County Wastewater Authority for Phase 1 of the South Orange County Composting Facility for an amount not to exceed $69,637, to be shared equally with South Orange County Wastewater Authority, in a form approved by General Counsel. OMTS Non-Consent Calendar d. Consideration of items deleted from OMTS Committee Consent Calendar, if any N beOaB^daA5leenn0 Co—Iur 11 I W I 117N B(B�ea m Aas mr.o.a ,d- 74.c B....d B MS Page 2 13. PLANNING DESIGN AND CONSTRUCTION COMMITTEE (PDC) POC Consent Calendar a. Order draft Planning, Design and Construction Committee Minutes for the meeting held on November 4, 2004 to be filed. (Minutes to be distributed at 11/17104 Board Meeting.) b. Ratify Change Order No. 5 to Warner Avenue Relief Sewer, Contract No. 11-22, with ARB, Inc., authorizing a deduction of$308,378, decreasing the total contract amount to $5,198,580. C. Ratify Change Order No. 1 to Gisler-Redhill Trunk Improvements, Reach "A", Contract No. 7-36; Orange Trunk Improvements, Contract No. 7-39; Gisler-Redhill/North Trunk Improvements, Contract No. 7-41; and City of Tustin Project Nos. 6106 and 6151, with ARB, Inc., authorizing an addition of$349,612 and 20 calendar days, increasing the total contract amount to $18,725,611. d. Ratify Change Order No. 10 to Bushard Trunk Sewer Rehabilitation, Job No. 1-2-4, with Steve P. Rados, Inc., authorizing an addition of$242,360, increasing the total contract amount to $31,911,805. e. Approve Professional Services Agreement with Malcolm Pimie, Inc. for preparation of a Preliminary Design Report for the Coast Trunk Sewer Rehabilitation, Contract No. 11-26, for an amount not to exceed $2,219,330. f. Approve Amendment No. 2 to the Professional Services Agreement with Camp, Dresser & McKee for Rehabilitation of Odor Control Facilities, Job No. J-71-8, providing for modifications to the scope of work for an additional amount of$645,674, increasing the total amount not to exceed $4,220,881. g. Approve Amendment No. 7 to the Professional Services Agreement with Boyle Engineering Corporation for Bushard Trunk Sewer Rehabilitation, Job No. 1-2-4, providing for additional engineering construction support services for an additional amount of$326,509, increasing the total amount not to exceed $2,345,920. h. Approve Amendment No. 1 to the Professional Services Agreement with Fluor Enterprises, Inc. for Electrical Equipment Refurbishment and Protection, Job No. SP-81, providing for additional engineering services for an additional amount of$128,549, increasing the total amount not to exceed $214,049. H'�.p ,e"�ve,mycm,nyenxooe, wn I nw a(e)UM dnw W 7 Page 3 ww..a:eaaee i. Approve Professional Services Agreement with Biack a veatch Corporation to provide an Energy Master Plan for the Treatment Plant Strategic Plan Update, Job No. J-102, for an amount not to exceed $1,894,660. PDC Non-Consent Calendar j. Concur with Staff recommendation to: (1) Revise the 1999 Strategic Plan Year 2020 flow projection for treatment capacity to provide 13 million gallons per day (mgd) of capacity for the Santa Ana River Watershed Project Authority; (2) Design Plant No. 1 Secondary Treatment Expansion, Job No. P1-102, for a first phase capacity of 60 mgd, with provisions to expand to 80 mgd in the future; and, (3) Establish a policy regarding the two contract agencies served by Orange County Sanitation District (OCSD), such that OCSD plans, designs, and constructs new facilities based on the adopted plans of the agency. k. 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 November 10, 2004 to be filed. (Minutes to be distributed at 11/17104 Board Meeting.) b. Receive and file Treasurer's Report for the month of October, 2004. C. Receive and file the Quarterly Investment Management Program Report for the period July 1, 2004 through September 30, 2004. d. Receive and file the 2004-05 First Quarter Financial Report for the period ending September 30, 2004. e. Receive and file the SWAP Report for the quarter ended September 30, 2004. f. Adopt Resolution No. OCSD 04-28, Amending Resolution No. OCSD 98- 33, Amending Human Resources Policies and Procedures Manual, providing for: N mep,ap[naa l5ilgnp ConvnllMVWf\11Mry1va'A Gal or AR fM NovBvrOa'lUp[ PexXa. Yto9B Page 4 (1) Approve the reclassification of one Public Information Specialist position to Senior Public Information Specialist at pay range 76 ($5,266 — $6,582); and, (2) Approve the reclassification of one Associate Engineer III to Engineer at pay range 84 ($6,415—$8,018); and, (3)Approve the upgrade of one Senior Engineer position to Engineering Supervisor at pay range 92 ($7,817—$9,771); and, (4)Approve the pay range placement of the Director of Communications and Administrative Services at pay range 101 ($7,557—$11,336). g. Approve a one time only non-base building payment for the Director of Technical Services in an amount not to exceed $7,948 for his service as Acting General Manager. h. Authorize the General Manager to solicit Requests for Proposal and subsequently award a Consultant Services Agreement for Phase 2 of the Corporate Identity and Public Awareness Project, Specification No. CS-2003-162BD, in an amount not to exceed $20,000. I. Receive and file FY 03l04 Comprehensive Annual Financial Report. FAHR Non-Consent Calendar j. Consideration of items deleted from FAHR Committee Consent Calendar, if any. NON-CONSENT CALENDAR 15. Ordinance No. OCSD-24, An Ordinance of the Board of Directors of Orange County Sanitation District, Adopting Revised Table G re Permittee Charges for Use and Reaffirming All Other Charges: "An Ordinance of the Board of Directors of Orange County Sanitation District Establishing Sanitary Sewer Service Charges; Establishing Capital Facilities Capacity Charges; Adopting Miscellaneous Charges and Fees relating to Industrial Charges, Source Control Permittees and Wastehaulers; and Repealing Ordinance No. OCSD-22". a. Open meeting 1. Receive and file written comments, if any 2. Verbal report of Director of Finance H:W«NVoe"ftZ1ee4nY�HMW«11 1041111704 WBI Ust a MN for NovBwNar 1L« Re .d: Page 5 3. Verbal report of General Counsel 4. Directors' questions 5. Public comments b. Close meeting C. Discussion by Board of Directors d. Recommended actions: 1. Motion to read Ordinance No. OCSD-24 by title only and waive reading of said entire Ordinance. (The waiver of the reading of the entire Ordinance must be adopted by a unanimous vote of Directors present.) 2. Motion to adopt Ordinance No. OCSD-24, Adopting Revised Table G re Permittee Charges for Use and Reaffirming All Other Charges, An Ordinance of the Board of Directors of Orange County Sanitation District Establishing Sanitary Sewer Service Charges; Establishing Capital Facilities Capacity Charges; Adopting Miscellaneous Charges and Fees relating to Industrial Charges, Source Control Permittees and Wastehaulers; and Repealing Ordinance No. OCSD-22 (Requires two-thirds affirmative vote of the Board of Directors). 16. Ordinance No. OCSD-25, An Ordinance of the Board of Directors of Orange County Sanitation District, Adopting Fats, Oils and Grease Control Regulations Applicable to Food Service Establishments in the Tustin area: a. Open meeting 1. Receive and file written comments, if any 2. Verbal reports of staff 3. Directors' questions 4. Public comments b. Close meeting C. Discussion by Board of Directors X:beNVBenEelSlmnnOCMiMNOeV'WC\t I t 17W e191 WI W N WNa&mUE01 Page 6 d. Recommended actions: 1. Motion to read Ordinance No. OCSD-25 by title only and waive reading of said entire ordinance. (The waiver of the reading of the entire ordinance must be adopted by a unanimous vote of Directors present.) 2. Motion to adopt Ordinance OCSD-25, An Ordinance of the Board of Directors of Orange County Sanitation District, An Ordinance of the Board of Directors of Orange County Sanitation District, Adopting Fats, Oils and Grease Control Regulations Applicable to Food Service Establishments. PROJECT/CONTRACT COST SUMMARY N/A BUDGET IMPACT ❑ 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 99 N Vlplapp,pB151 ttnrp Ccmnl:ea1300411 IN,'1 IN BBB)UN.,NU w N.&afar i ON Ii—d. .1I Page 7 l0 1hi �� Ni�. y.� _ �� 1 �i • 1 _�. _�_ • � :. 1' .^ .��p ,�a, 1 � I I f f