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HomeMy WebLinkAbout2009-11 MINUTES OF STEERING COMMITTEE MEETING Orange County Sanitation District Wednesday, November 18, 2009, at 5:30 p.m. The Steering Committee meeting convened on Wednesday, November 18, 2009 at 5:30 p.m. in the Administrative Offices of the Orange County Sanitation District. A quorum was declared present, as follows: STEERING COMMITTEE MEMBERS: STAFF PRESENT: DIRECTORS PRESENT: Jim Ruth, General Manager Larry Crandall, Vice Chair Bob Ghirelli,Assistant General Manager Mark Waldman, Administration Committee Nick Arhontes, Director of Operations and Chair Maintenance Bill Dalton, Operations Committee Chair Ed.Torres, Director of Technical Services Jim Ferryman Lorenzo Tyner, Director of Finance Phil Luebben and Administrative Services David Shawver Michael Gold, Public Affairs Manager John Linder, Engineering Manager Penny Kyle, Clerk of the Board Dean Fisher DIRECTORS ABSENT OTHERS PRESENT: Brad Hogin, General Counsel Doug Davert, Chair Drew Kolosky Eric Saperstein Paul Jones Ryal Wheeler PUBLIC COMMENTS M ` Drew Kolosky of Liberty Energy thanked Bob Ghirelli and Ed Tortes for allowing him to present an energy plan proposal earlier that month. COMMITTEE CHAIR REPORT Vice Chair Crandall reported that the Board Meeting would be adjourning in memory of Jan Vandersloot, a member of the public who was instrumental in changing the District's policy on full secondary treatment. He also advised that the Sanitation District would be receiving the 2009 Excellence in Management award from the National Association of Clean WaterAgencies (NACWA). The award will be presented in February during Na"� a p ITATIO 0@aD6 price being held in Austin,Texas. NTY HE 0AR ISMICT DEC 16 2009 ev: _ Minutes of the Steering Committee November 18, 2009 p° Page 2 GENERAL MANAGER REPORT Jim Ruth, General Manager, provided a brief overview on his monthly status report. He also referred to a memo distributed to the committee answering questions Directors had regarding the North County Yard from last month's meeting. GENERAL COUNSEL REPORT General Counsel did not give a report. ACTION ITEMS 1. MOVED, SECONDED AND DULY CARRIED:Approve minutes of the October 28, 2009 Steering Committee meeting. 2. MOVED, SECONDED AND DULY CARRIED: Recommend to the Board of Directors to: a) Approve the Five-Year Strategic Plan dated November 2009: and, b) Direct staff to implement goals and strategies contained in the Plan. 3. MOVED, SECONDED AND DULY CARRIED: Recommend to the Board of Directors to approve Amendment No. 2 to the Agreement with Irvine Ranch Water District(As Successor to County Sanitation District No. 14)Acquiring Ownership Interests, Assigning Rights and Establishing Obligations, in a form approved by General Counsel. INFORMATION ITEMS 2. Public Affairs Monthly Update Michael Gold reported that nominations for the Honor Walk are due soon and any Board Member could nominate a past Board Member or retired staff member. Gold also reported that the Wastewater 101 training video would be done in early December. Eric Saperstein gave an update on activities in Washington, DC, including recent developments on the Santa Ana River Interceptor Line relocation. CLOSED SESSION There was no closed session. Minutes of the Steering Committee y November 18, 2009 Page 3 ADJOURNMENT The next Steering Committee meeting is scheduled for Wednesday, December 16, 2009, at 5:30 p.m. The Chair declared the meeting adjourned at 6:04 p.m. Submitted by: e n n y M. e Clerk of the Boar r 2S ORANGE COUNTY SANITATION DISTRICT Memorandum Distributed at the Steering p e Committee Meeting held on lrl lY109 DATE: November 17, 2009 TO: Steering Committee FROM: Jamey ng dp. Ruth General Manager SUBJECT: Proposed North County Collections Yard During the October 28, 2009 Steering Committee Meeting, information was requested regarding the possibility of moving other OCSD staff, in addition to the Collections Facilities Operations and Maintenance Division (Collections), to the proposed North County Collections Yard (NCCY). During the preliminary design, staff evaluated various building and occupancy configurations. Potential office space needs beyond that required for Collections staff were identified. In order to determine if efficiencies could be realized by locating other groups to the NCCY, staff worked with consultants to evaluate: 1. The current and future needs of the Collections group. 2. The future needs of groups outside Collections staff working with Collections staff at the NCCY. 3. The future needs of groups outside Collections that might relocate to the NCCY. Key staff from each division were evaluated considering their potential interaction with Collections staff and work activities. In particular, the Source Control Division was reviewed for relocation to the NCCY. An October 27, 2007 report by John Barry &Associates details these efforts. This study concluded that leaving Source Control in their present location is more cost-effective than moving them to the NCCY. Other groups were also considered for relocation to the NCCY; however, there were no compelling business advantages to moving staff from their present location. Furthermore, moving these groups would negatively impact existing business operations. For example, Finance and Information Technology have been recently co-located in the Administration Building to enhance business effectiveness. Relocating either of these groups to the proposed NCCY would negate this synergy. Page 2 November 18, 2009 The proposed new NCCY building contains sufficient space to meet the requirements of Collections including space for 32 Collections staff and flexible office space for up to 13 staff from other divisions as shown in the attached table. JDR:JDH:gc H:Weptkeng%710WerbergWemosWmposed North County Collections Yard-111809.doc Attachment cc: N. Arhontes J. Herberg D. Fisher C. MacLeod NORTH COUNTY COLLECTIONS YARD OFFICE SPACE BY DIVISION b Division Offices Work Stations Other' COMMENT General Management,Administration 1 shared, private office Public Information Office, Administrative Services, Contracts& 1 shared visitor space Purchasing Safety&Health 1 dedicated safety space Regional Assets&Services 2 dedicated visitor space Planning,Project Management Office, 1 shared engineering space Facilities Engineering Engineering and Construction 2 dedicated space for engineering field staff O&M Process Engineering 2 1 offices plus odor detector room Collections Facilities O&M 4 27 1 1 mgr+3 supmisors+27 staff+1 admin Human Resources 1 trainer work area in training room Information Technology 1 dedicated IT room with shared work space TOTALS 7 34 4 Other includes multi-function rooms with office or work stations included STATE OF CALIFORNIA) ) SS. COUNTY OF ORANGE ) Pursuant to California Government Code Section 54954.2, 1 hereby certify that the Notice and the Agenda for the Steering Committee to be held on November 18, 2009, was duly posted for public inspection in the main lobby of the District's offices on November 10, 2009. IN WITNESS WHEREOF, I have hereunto set my hand this 10v' day of November 2009. Lilia Kovac Associate Clerk of the Board Orange County Sanitation District K DEPT4GENDMSTEERING COMMTTEE12 OMOMMITTEE POSTING CERTIFICATION rORM.DGCX ORANGE COUNTY SANITATION DISTRICT E EH\ 10844 EILe Avenue November 10, 2009 Fnu a rn Wlley.CA UP7087016 MNIMg Atltl PO 9..8127 F.um Wllny,0A 927288127 ryw.v.00edcwn Phone 17141962Ph. 1 NOTICE OF MEETING Fes 1714)HM356 STEERING COMMITTEE Bening A„ehel,n ORANGE COUNTY SANITATION DISTRICT elYi9 yiilan9 Rer.4 [.yp,axa WEDNESDAY, NOVEMBER 18, 2009- 5:30 P.M. pplr n✓elley wnarmn G91IBn ay. ADMINISTRATIVE OFFICES Hurmngmn exann 10844 ELLIS AVENUE erne FOUNTAIN VALLEY, CALIFORNIA 92708 Le HxMa W W W.00SD.COM Lx PeLna Im Alem,ms Neepur2 Peers, Garage A regular meeting of the Steering Committee of the Orange F'bl:aage County Sanitation District will be held at the above location, &rnm one date and time. guns 8nxrh bTe„mn iueon uue Rerk YaMe untie f:nsre Meae Sennnry Gsma MloWey GEy Sanbin Uanvcl lrune Ranch Wurar Urorovvt Cnunry bl Gange V✓e W t=public hwe and Me anwm.en[by providing eliective aaste,vater cpllecopn, wevnent end m-ryWling. x • STEERING COMMITTEE AND BOARD MEETING DATES 'December 16, 2009 January 27, 2010 February 24, 2010 March 24, 2010 April 26, 2010 May 26, 2010 June 23, 2010 July 28, 2010 August 25, 2010 September 22, 2010 October 27, 2010 'November 17, 2010 *Meetings being held the third Wednesday of the month. STEERING COMMITTEE (1) Roll Call: Meeting Date: November 18, 2009 Meeting Time: 5:30 P.m. Committee Members Doug Davert, Board Chair................................................... ........... _ Larry Crandall, Vice Chair................................................... ........... _ Mark Waldman, Administration Committee Chair................ ........... Bill Dalton, Operations Committee Chair............................. ........... JimFerryman...................................................................... ..........._ PhilLuebben....................................................................... ........... David Shamer.................................................................... ........... Others BradHogin, General Counsel............................................. ........... _ Staff Jim Ruth, General Manager................................................... . Bob Ghirelli, Assistant General Manager.................................. . Nick Arhontes, Director of Operations & Maintenance................. . Jim Herberg, Director of Engineering....................................... . Ed Torres, Director of Technical Services..................................— Lorenzo Tyner, Director of Finance &Administrative Services........ Michael Gold, Public Affairs Manager....................................... Penny Kyle, Clerk of the Board........................................... ._ Other Staff Present AGENDA REGULAR MEETING OF THE STEERING COMMITTEE ORANGE COUNTY SANITATION DISTRICT WEDNESDAY, NOVEMBER 18, 2009 AT 5:30 P.M. ADMINISTRATIVE OFFICE 10844 Ellis Avenue Fountain Valley, California 92708-7018 www.ocsd.com DECLARATION OF QUORUM PUBLIC COMMENTS REPORT OF COMMITTEE CHAIR REPORT OF GENERAL MANAGER REPORT OF GENERAL COUNSEL ACTION ITEMS 1. Approve minutes of the October 28,2009 Steering Committee meeting. 2. Recommend to the Board of Directors to: a) Approve the Five-Year Strategic Plan dated November 2009; and, b) Direct staff to implement goals and strategies contained in the Plan. (Book Page 6) 3. Recommend to the Board of Directors to approve Amendment No. 2 to the Agreement with Irvine Ranch Water District(As Successor to County Sanitation District No. 14) Acquiring Ownership Interests,Assigning Rights and Establishing Obligations, in a form approved by General Counsel. (Book Page 9) INFORMATION ITEMS 4. Public Affairs Monthly Update(Gold) (Book Page 18) Book page 1 November 18, 2009 CLOSED SESSION Dunng 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.&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. Convene in closed session, if necessary. Reconvene in regular session. Consideration of action, if any, on matters considered in closed session. OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY ADJOURNMENT The next Steering Committee meeting is scheduled for December 16, 2009 at 5:30 p.m. Book page 2 November 18, 2009 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 public records relating to each agenda item, including any public records distributed less than 72 hours prior to the meeting to all, or a majority of all, of the members of District's Board,are available for public inspection in the office of the Clerk of the Board,located at 10844 Ellis Avenue, Fountain Valley, California. 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. Public Comments: Any member of the public may address the Steering Committee on specific agenda items or matters of general interest. As determined by the Chair, 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). Consent Calendar: All matters placed on the consent calendar are considered as not requiring discussion or further explanation,and unless a particular item is requested to be removed from the consent calendar by a Director of staff member,there will be no separate discussion of these items. All items on the consent calendar will be enacted by one action approving all motions,and casting a unanimous ballot for resolutions included on the consent calendar. All items removed from the consent calendar shall be considered in the regular order of business. The Committee Chair will determine if any items are to be deleted from the consent calendar. 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). Meeting Adjournment: This meeting maybe 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). 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 Clerk of the Board'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. Notice to Committee Members: For any questions on the agenda or to place any items on the agenda, Committee members should contact the Committee Chair or Clerk of the Board ten days in advance of the Committee meeting. Committee Chair: Doug Davert 1714)316-9550 General Manager: James D. Ruth (714)593-7110 General Counsel: Brad Hogin (714)415-1006 Clerk of the Board: Penny Kyle (714)593-7130 E-mail: Rkvlerdocsd.=m Book page 3 MINUTES OF STEERING COMMITTEE MEETING Orange County Sanitation District Wednesday, October 28, 2009, at 4:00 p.m. The Steering Committee meeting convened on Wednesday, October 28, 2009 at 4:00 p.m. in the Administrative Offices of the Orange County Sanitation District, and traveled to tour the North County Yard and reconvened at the Administrative Offices at 6:00 p.m.. A quorum was declared present, as follows: STEERING COMMITTEE MEMBERS: DIRECTORS PRESENT: STAFF PRESENT: Doug Davert, Chair Jim Ruth, General Manager Larry Crandall, Vice Chair Nick Arhontes, Director of Operations and Mark Waldman,Administration Committee Maintenance Chair Jim Herberg, Director of Engineering Bill Dalton, Operations Committee Chair Ed Torres, Director of Technical Services Jim Ferryman Lorenzo Tyner, Director of Finance Phil Luebben and Administrative Services David Shawver Michael Gold, Public Affairs Manager Lilia Kovac, Associate Clerk of the Board Chris McLeod Dean Fisher Ryal Wheeler DIRECTORS ABSENT OTHERS PRESENT: Brad Hogin, General Counsel Drew Kolosky PUBLIC COMMENTS h y • ' e There were none. COMMITTEE CHAIR REPORT Chair Doug Davert briefly reported on the Washington D.C. trip, and referenced to the letter from Assemblyman Chuck DeVore thanking staff for the year-end review brochure. There was a brief discussion on the overall facility needs of the Operations and Maintenance Department for the Collections Division, and possible use of the North County Yard property. GENERAL MANAGER REPORT Staff presented slides of renderings for the North County Yard facility plan layouts for the committee's consideration. Book page 4 Minutes of the Steering Committee October 28, 2009 Page 2 GENERAL COUNSEL REPORT General Counsel, Brad Hogin, did not give a report. ACTION ITEMS 1. MOVED, SECONDED AND DULY CARRIED: Approve minutes of the September 23, 2009 Steering Committee meeting. INFORMATION ITEMS 2. Public Affairs Monthly Update Due to lack of time, Michael Gold did not give a report. CLOSED SESSION There was no closed session. ADJOURNMENT The next Steering Committee meeting is scheduled for Wednesday, November 18, 2009, at 5:30 p.m. The Chair declared the meeting adjourned at 6:30 p.m. Submitted by: x - -P Lilia I ovac Associate Clerk of the Board Book page 5 STEERING COMMITTEE Meeugoa� Toea.oron. ll/la/U➢ 11/19/09 AGENDA REPORT Itm Nan be """"e 2 9 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Robert P. Ghirelli, Assistant General Manager Project Managers: Barbara Collins and Michael Gold GENERAL MANAGER'S RECOMMENDATION 1) Approve the Five-Year Strategic Plan dated November 2009; and, 2) Direct staff to implement goals and strategies contained in the Plan. SUMMARY The strategic plan has been updated for 2010 and contains a summary of accomplishments over the past year as well as levels of service and new goals. The plan includes OCSD's mission, vision and core values and does not carry any additional costs associated with the new goals. PRIOR COMMITTEE/BOARD ACTIONS November 19, 2008: Five-Year Strategic Plan update approved November 28, 2007: Five-Year Strategic Plan adopted. ADDITIONAL INFORMATION Strategic Plan Update Process In 2007, the Board of Directors held a series of workshops to develop a Five-Year Strategic Plan containing not only goals and levels of service, but also updated statements of mission, vision and core values. The three month process culminated in adoption of a new plan in November 2007. The plan was updated with new goals in November 2008 following a strategic planning workshop. To update the plan for 2010, the executive management team met in July 2009 to discuss preliminary ideas and suggestions for updates to the plan. These suggested goals were discussed at a joint meeting of department heads and managers in August. Following this meeting, the issues were distilled into four new goals proposed for the next five years. Staff drafted one-page issue papers for each goal that were presented to the Board of Directors. Form No.M-102.1 Agenda Re,M—Board R..d MOI0 009 Page 1 Book page 6 Board Input On October 21, the Board of Directors participated in a workshop to discuss the four new goals. The well-attended meeting generated some comments and questions. While the discussion did not yield any new goals or significant modification of existing plans, several board members had comments and questions. A summary of the comments (and staff responses) is presented below: Goal 1—Leadership Development. There was board consensus on this item with the suggestion that if the program is successful, consideration be given to opening the program to participation by other Orange County agencies. Goal 2—Communications. After much discussion about the need for and scope of a branding initiative proposed by staff, the Board reached consensus support for recasting this goal as a communications initiative that would refresh and refocus existing outreach materials, explore emerging social media technology, and upgrade the website. Goal 3—Chemical Sustainability. There was board consensus for moving forward on this goal with a request to include measurable goals and benchmarks in the chemical sustainability plan. Goal 4—Cast Recovery. There was board consensus on this goal. Board Members requested that the GAP water project be included in the review and that OCSD continue to maintain its leadership role in regional issues such as the FOG (fats, oil, grease) control program and regional organizations such as the Southern California Coastal Water Research Project. Finally, the Board asked staff to continue with implementation of the Cooperative Projects Program to help local agencies correct sewer infiltration problems. Staff noted that while the program will end this year, we will consider worthwhile projects on a case- by-case basis as they are brought to our attention by local agency sponsors. Continual Improvement In addition to the new goals (marked "new" in the plan) there are some other minor changes from last year's plan. One outdated level of service target for the collection system was deleted and the level of service lost work day rate target value was made more stringent. Overall, the updated Strategic Plan continues OCSD's goal of moving from good to great through annual assessments and incremental changes. Each year, the Board will be asked to provide strategic leadership and guidance to District staff for setting goals and levels of service. The Steering Committee and Board are asked to adopt the new Five-Year strategic plan, which contains no new costs and will help guide the strategic direction of the organization and staff. Farm No.M-102.1 Aleda Re ft—SoM Pavisetl: OO101=W Page 2 Book page 7 CEQA N/A BUDGET/ DELEGATION OF AUTHORITY COMPLIANCE N/A Form No.o -102.1 AgerMa Report-Board RMwd: 091012009 Page 3 Book page 8 STEERING COMMITTEE Meetm9 Date To ad.ofDir. 11118109 11/18/09 AGENDA REPORT rrem NBmBB Item Number 3 5 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Lorenzo Tyner, Director of Finance and Administrative Services GENERAL MANAGER'S RECOMMENDATION Approve Amendment No. 2 to the Agreement with Irvine Ranch Water District (As Successor to County Sanitation District No. 14) Acquiring Ownership Interests, Assigning Rights and Establishing Obligations, in a form approved by General Counsel. SUMMARY Section 5 of Amendment No. 2 to the January 1986 Agreement, dated November 15, 1995 provided that District 14's contribution to the Orange County Sanitation District's (OCSD) reserves shall be calculated in a manner that is consistent with the method by which OCSD calculates the reserve share of the areas within the other OCSD predecessor districts. District 14 is funded by the Irvine Ranch Water District (IRWD). Per the agreement, IRWD is required to contribute its share of reserves based on the OCSD Reserve Policy. OCSD and IRWD have met to determine the amount required and the calculation that will be used going forward. District staff believes that the following reserves are related to and should be funded by District 14 for FY 2008-09, as follows: OPERATING AND CAPITAL RESERVES: Next Year's Dry Period (Cash Flow Reserve) $ 4.0 million Operating Contingency 0.8 million Operating & Capital Catastrophe Funds 1.7 million Capital Replacement and Refurbishment 1.7 million CAPITAL IMPROVEMENT PROGRAM RESERVE Capital Improvement Program Reserve 2.8 million TOTAL DISTRICT 14 RESERVE REQUIREMENT 511.0 million The attached Amendment No. 2 to the February 1986 Agreement is intended to set forth the method for calculating IRWD's contribution to the Target Reserves. Fo No.M-102 ApenW ftW-B.M RaWe : W01ROM Page 1 Book page 9 In determining the correct District 14 cash reserve balance of June 30, 2008, both agencies agreed to retain the accounting firm Mayer Hoffman MacCann P.C. (MHM). In their report dated April 20, 2009, MHM documented their findings, including the flume meter adjustment, change in depreciation methodology and the resulting accumulated interest in a letter report. OCSD and IRWD are in agreement with the findings of set forth in the MHM report, included as Exhibit B within this Amendment No 2. This Report concluded that OCSD held cash balances of$24,151,766 for District 14's account as of June 30, 2008. OCSD and IRWD have agreed to apply $11.0 million of this cash balance to meet IRWD's funding of the District 14 share of the Target Reserves funding, and agreed to apply the remaining cash balance of$13,151,766 to other invoices issued by OCSD to IRWD for District 14 expense shares as of June 30, 2009. ATTACHMENT Proposed Amendment No. 2 with IRWD F0M NO M-102 Agenda Repoli-8a m Rena 0 ffil 0 g Page 2 Book page 10 AMENDMENT NO. 2 TO AGREEMENT BETWEEN IRVINE RANCH WATER DISTRICT AND THE ORANGE COUNTY SANITATION DISTRICT (AS SUCCESSOR TO COUNTY SANITATION DISTRICT NO. 14) ACQUIRING OWNERSHIP INTERESTS,ASSIGNING RIGHTS AND ESTABLISHING OBLIGATIONS This Amendment No. 2 is made and entered into,to be effective the day of , 2009,by and between the ORANGE COUNTY SANITATION DISTRICT,("OCSD") and the IRVINE RANCH WATER DISTRICT,("IRWD"). OCSD and IRWD are sometimes individually referred to herein as each "Party"and collectively as the "Parties." RECITALS This Amendment is entered into with reference to the following facts: WHEREAS,OCSD is a duly organized County Sanitation District,existing pursuant to the County Sanitation District Act, California Health& Safety Code Sections 4700 et seq.,providing for the ownership, operation, and maintenance of wastewater collection,treatment, and disposal facilities;and WHEREAS,IRWD is organized and exists pursuant to the California Water District Law, California Water Code Section 34000 at seq., and also owns, operates,and maintains wastewater collection,treatment,and disposal facilities pursuant to powers granted by such Law;and WHEREAS,a group of OCSD's predecessor districts, County Sanitation District Nos. 1, 2, 3, 5, 6, 7, 11 and 13,and IRWD entered into an agreement entitled"Formation Agreement"dated March 13, 1985. Through the Formation Agreement, IRWD and the predecessor districts agreed to cooperate in the formation of County Sanitation District No. 14 of Orange County("District 14") in order to assist IRWD in treating and disposing of wastewater from IRWD's service area. District 14 was subsequently formed as of January 1, 1986. District 14 lay entirely within IRWD's service area; and WHEREAS, District 14 on the one hand and OCSD's other predecessor districts, County Sanitation District Nos. 1,2,3, 5, 6, 7, 11 and 13 on the other hand,entered into that certain Agreement "For Purchase and Sale of Capacity Rights In Treatment, Disposal and Sewer Facilities,"dated as of January 1, 1986("January 1986 Agreement"). Pursuant to the January 1986 Agreement,the other predecessor districts sold to District 14 (1)an equity ownership interest in joint facilities for the collection,treatment,and disposal of wastewater,and(2) an equity ownership interest in certain real properties. Before the predecessor districts were consolidated into OCSD in 1998,thejoint facilities were known as the"Joint Works Treatment Facilities"or"JWTF." Since consolidation, OCSD has owned and operated the former JWTF. The former JWTF shall be collectively referred to herein as the "OCSD Wastewater System." The January 1986 Agreement also provided for District 14's equity interest in the OCSD Wastewater System to be adjusted annually based on a methodology set forth therein. and WHEREAS, District 14 and IRWD entered into that certain Agreement"Acquiring Ownership Interests,Assigning Rights and Establishing Obligations,"dated as of February 13, 1986(the"February 1986 Agreement"). In the February 1986 Agreement,IRWD agreed, inter alia,to fund District 14's 657 01.1 Book page 11 share of the operations and maintenance costs of the OCSD Wastewater System and capital expenditures as determined pursuant to the January 1986 Agreement;and WHEREAS,pursuant to the terms and conditions established by the Local Agency Formation Commission for the 1998 consolidation,all contracts between IRWD and one or more of OCSD's predecessor districts,and all contracts between District 14 and one or more of OCSD's predecessor districts were assigned to OCSD and were to remain in full force and effect as necessary to carry out the original intent of those agreements,to the extent not inconsistent with the terms of the consolidation. In order to separately account for the costs that IRWD is contractually obligated to fund with respect to the former District 14,OCSD has since 1998 maintained a separate Revenue Area known as Revenue Area 14 ("RA 14'); and WHEREAS,OCSD's ongoing costs for the construction, operation,and maintenance of the OCSD Wastewater System include,among other costs,the costs of funding monetary reserves. As part of the budget process, OCSD's Board of Directors establishes target amounts of reserve funding for particular expenditure categories("Target Reserves'). The Target Reserves for the period 2008-2010 are set forth in Exhibit"A"attached hereto and incorporated herein by reference;and WHEREAS,District 14 on the one hand and OCSD's other predecessor districts,County Sanitation District Nos. 1,2,3, 5, 6, 7, 11 and 13 on the other hand,entered into that certain "Amendment No 2"to the January 1986 Agreement,dated November 15, 1995. Amendment No. 2 provided in Section 5 thereof that District 14's contribution to OCSD's reserves shall be calculated in a manner that is consistent with the method by which OCSD calculates the reserve shares of the areas within the other OCSD predecessor districts; and WHEREAS, OCSD maintains that the amount of IRWD's contribution to the Target Reserves should be based on the former District 14's equity interest in OCSD's wastewater system. As of the fiscal year 2007-2008,the former District 14 held a 6%equity interest in the OCSD Wastewater System. Under OCSD's methodology, IRWD would be responsible for funding approximately$27.7 million in Target Reserves for fiscal year 2009-09,based on the total Target Reserves of$460.9 million multiplied by 6%; and WHEREAS, IRWD maintains that IRWD's funding of all categories of the Target Reserves in an amount equivalent to the former District 14's equity interest in the OCSD Wastewater System would result in IRWD's funding of certain categories of the Target Reserves that are not necessary for,and are not related to,RA 14's funding obligations borne by IRWD; and WHEREAS,the Parties desire to reach an agreement on the method for calculating IRWD's required contribution to the Target Reserves;and WHEREAS,this Amendment No.2 to the February 1986 Agreement is intended to set forth the method for calculating IRWD's contribution to the Target Reserves,; and WHEREAS,the Parties jointly retained the accounting firm of Mayer Hoffman MacCann P.C. ("Mayer Hoffinan")to assist them in determining the correct cash reserve balance for RA 14 as of June 30,2008. On April 20,2009,Mayer Hoffman documented their findings in a letter report. A copy of Mayer Hoffinan's letter report is attached hereto as Exhibit`B"and incorporated herein by reference. 65P_01.1 Book page 12 AGREEMENT NOW,THEREFORE, in consideration of the mutual promises set forth herein,the Parties agree as follows: Section 1. Target Reserve Expenditure Categories. IRWD shall fund RA 14's contribution to OCSD's Target Reserves in the following expenditure categories: OPERATING AND CAPITAL RESERVES Next Year's Dry Period(Cash Flow Reserve) Operating Contingency Operating&Capital Catastrophe Funds Capital Replacement and Refurbishment CAPITAL IMPROVEMENT PROGRAM RESERVE Capital Improvement Program Reserve IRWD need not fund an RA 14 contribution to Target Reserves for any other expenditure category for which the OCSD Board of Directors has currently established a Target Reserve. In the event that the OCSD Board establishes a Target Reserve in the future for an expenditure category for which OCSD does not currently maintain a Target Reserve,IRWD shall fund the RA 14 contribution to such Target Reserve in an amount determined as set forth in Section 2. Section 2. Amount of IRWD Contribution. IRWD's funding of the RA 14 contribution to the Target Reserves shall be calculated annually according to the following formulas: Expenditure Category Formula OPERATING AND CAPITAL RESERVES Next Year's Dry Period IRWD Contribution=RA 14 Operation& Maintenance Budget x 50% (Cash Flow Reserve) Operating Contingency IRWD Contribution=RA 14 Operation& Maintenance Budget x 10% 65P_01.1 Book page 13 Operating& Capital IRWD Contribution=Target Reserve for Operating&Capital Catastrophe Funds Catastrophe Funds x 49.8%x District 14's Percentage of Equity Interest in the OCSD Wastewater System Capital Replacement and IRWD Contribution=Target Reserve for Capital Replacement and Refurbishment Refurbishment x 49.8%x District 14's%of Equity Interest in the OCSD Wastewater System CAPITAL IMPROVEMENT PROGRAM RESERVE Capital Improvement IRWD Contribution=Target Reserve for Capital Improvement Program Reserve Program Treatment and Disposal Projects Only x 50%x District 14's Percentage of Equity Interest in the OCSD Wastewater System "In the event that the OCSD Board establishes a Target Reserve in the future for an expenditure category for which OCSD does not currently maintain a Target Reserve and such expenditure category is a sub-category of the existing reserves listed above,the reserve amount will be determined using the corresponding above-listed calculation. If the new Target Reserve is a sub-category of the Environmental Requirement, Rate Stabilization,Short-Tem1 Specific CIP Reserves or Debt Service Reserves, IRWD will not contribute to the new Target Reserve. If the new Target Reserve is not a sub- category of any of the categories listed above, IRWD shall contribute to such Target Reserve in an amount that is proportional to the contributions of the similarly situated areas served of OCSD. The parties agree to confer in good faith to reach an agreement on a formula for IRW D's funding of the RA 14 contribution to such Target Reserve in an amount that is consistent with the methodology reflected in the table above and that is proportional to the contributions of the other similarly situated areas served by OCSD. In the event that the OCSD Board reduces or discontinues an existing expenditure category of the Target Reserves,a consistent reduction or discontinuation shall apply to the RA 14 contribution." Section 3. Existinu Reserve Balances. Based on the methodology set forth in Section 2,the existing amount of Target Reserves and RA 14's existing equity interest in the OCSD Wastewater System, IRWD is currently obligated to fond the RA 14 contribution to the Target Reserves in the following amounts: Expenditure Category Current Amount OPERATING AND CAPITAL RESERVES Next Year's Dry Period(Cash Flow Reserve) $4 Million Operating Contingency $.8 Million Operating& Capital Catastrophe Fonds $1.7 Million Capital Replacement and Refurbishment $1.7 Million 657201.1 Book page 14 CAPITAL IMPROVEMENT PROGRAM RESERVE Capital Improvement Program Reserve $2.8 Million Total Reserve Obligation $11 Million The Parties agree with the findings of set forth in the Mayer Hoffman report at Exhibit B. This Report concluded that OCSD held cash balances of$24,151,766 for RA 14's account as of June 30,2008. OCSD agrees to apply$11.0 million of this cash balance to meet IRW D's funding of the RA 14 share of the Target Reserves funding,and agrees to apply the remaining cash balance of$13,151,766 to other invoices issued by OCSD to IRWD for RA 14 expense shares as of June 30,2009. Section 4. Indecendent Review of Future Reserve Balances. IRWD may,at its own expense, engage an independent accounting firm on an annual basis to perform procedures similar to those employed by Mayer Hoffman. In the event IRWD elects to do so, OCSD will provide such accountants with access to its records and information as is needed to perform such review. Any such annual review must be completed within three years following the end of the fiscal year under review. Section 5. Interest on Reserve Balances. RA 14's share of the reserve and other funds held on behalf of IRWD for RA 14's account shall bear interest at the prevailing annual rate of return of OCSD. Section 6. Annual Adjustment of Reserve Funding. Within one hundred eighty(180)days after the close of each fiscal year on June 30 of each year,OCSD shall calculate IRW D's share of the Target Reserves according to the formulas set forth in Section 2,and return any excess to the extent that the reserve funds held on behalf of IRWD for the account of RA 14 exceed IRW D's share of the Target Reserves To the extent that the reserve funds held on behalf of IRWD for the account of RA 14 are less than IRWD's share of the Target Reserves, IRWD shall pay the amount of the deficiency to OCSD within thirty(30)days after OCSD notifies IRWD of IRWD's share of target reserves. The policy, set forth in Exhibit A,that excess accumulated funds be transferred to rate stabilization, shall not apply to RA 14. Section 7.Assignment. This Amendment may not be assigned, in whole or in part, by either party without the prior written consent of the other Party. Section 8. Applicable Law. This Amendment shall be governed by the laws of the State of California. Section 9. Complete Agreement. 65MI'l Book page 15 This Amendment contains the full and complete agreement between the two Parties. All modifications must be in writing and approved by OCSD's and IRWD's Board of Directors. No oral agreements or representations or statements by any officer or employee of either Party shall affect or modify any of the terms and conditions of this Amendment. Section 10. Prior Agreements. This Amendment is intended to implement Section 5 of Amendment No. 2 to the January 1986 Agreement. Except as expressly amended by this Amendment,all terms and conditions of prior Agreements between the Parties,and all attachments and exhibits thereto, shall remain in full force and effect. IN WITNESS WHEREOF,this Amendment has been executed in duplicate in the names of the respective Parties by their duly authorized officers,effective as of the day and year first above written. [Signatures on the following page.] ORANGE COUNTY SANITATION DISTRICT By Chair,Board of Directors By General Manager By Clerk of the Board APPROVED AS TO FORM: BRADLEY R. HOGIN, GENERAL COUNSEL By IRVINE RANCH WATER DISTRICT 657201.1 Book page 16 By President,Board of Directors By General Manager By Secretary APPROVED AS TO FORM: BOWIE,ARNESON, WMES & GIANNONE By 651101.1 Book page 17 STEERING COMMITTEE MmUng Dace To ad.of Dir. 09/B/09 AGENDA REPORT Item Numbe Item NumEer a Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Michael Gold, Public Affairs Manager SUBJECT: Public Affairs Monthly Update GENERAL MANAGER'S RECOMMENDATION Information Only SUMMARY This report is the monthly Public Affairs Division update that includes legislative and political information from Washington, D.C. and Sacramento, lobbyists' activities, and outreach education and communication programs to member cities, employees and the public. PRIOR COMMITTEE/BOARD ACTIONS None ADDITIONAL INFORMATION Federal Legislative Report Eric Sapirstein, ENS Resources Federal political update During the month of September, ENS focused on the reauthorization of the Water Resources Development Act (WRDA) and continued monitoring of the SARI line. Also, because it is such a big issue to OCSD, ENS watched closely the development of climate change legislation in the Senate. ENS met with the Senate Committee on Environment and Public Works staff to review the status of proposals providing wastewater treatment facilities with infrastructure assistance. The current Senate bill, S. 1733, now contains a provision funding public treatment plants to replace infrastructure impacted by climate changes. While the bill is far from being passed by the full Senate, the addition of this funding provision is significant. Discussions in Congress continue on providing infrastructure funding to Publically Owned Treatment Works(POTWs), led by the National Association of Clean Water Agencies (NACWA). NACWA's preferred approach is a trust fund that levies taxes to fund water quality projects; however, California agencies (and others) have been reluctant to sign on because of fear of equity issues. CASA and OCSD believe that larger states like California will become net donors to the system. The Obama Administration and the committee chair prefer an 1 Book page 18 infrastructure bank providing loans or grants. Because of its broad support, the bank option may come together in the coming months. The final issue being monitored by ENS is the Chemical Facilities and Anti-terrorism Act. While initial versions of this bill placed wastewater security under the Department of Homeland Security, the current versions retain the US EPA, working through the states, as the primary authority. This change is positive because the states will have more flexibility on treatment technologies and other measures. Action on this bill is not expected until next year. State Legislative Report Christopher Townsend, Heather Dion and Casey Elliott, Townsend Public Affairs Political Highlights The big news of the past month coming out of Sacramento was the passage of a water policy bill and bond to fund various water-related improvements. The policy bill contained a number of water management reforms and was the result of a great deal of bipartisan negotiations. The package of bills also calls on all Californians to reduce water usage by 20 percent by 2020. The bond measure is also a significant piece of the mix and, if approved by the voters, would spend over$11 billion on water related projects around California. The attached matrix prepared by Townsend Public Affairs lists all the funds proposed in the bond, but most significant to OCSD is the $1 billion set aside for water recycling programs. Many in the Capitol are pushing to use a list of projects developed five years ago as the basis for project funding. OCSD currently has two outdated projects on this list and we are working to update the list with more current projects. Should the bond pass and this current water recycling project list be used, OCSD will be in a good position to receive these dollars. Staff will keep the Steering Committee informed about these developments. League of California Cities Introduces a New Ballot Measure Last month, the League of California Cities submitted a local government protection measure meant to close some of the loopholes from Proposition 1A (2004) and strengthen local government's ability to keep tax payer funds from being taken or borrowed by the State. While the main provisions of the measure focus on protection of transportation and highway users gas tax dollars, the key part of concern to OCSD is the provision prohibiting the State from taking or borrowing local property tax dollars. In other words, this new measure would stop the State from borrowing local property taxes to balance its budget. Staff will monitor this and all the measures proposed for the November 2010 ballot and provide informational updates. As an aside, there are currently 30 ballot measures in circulation for next year's ballot. While all will certainly not make it to November 2010, many are preparing for a packed ballot. TPA Activities for the Month • TPA is working with OCSD staff to determine the most competitive projects for the Integrated Regional Water Management (IRWM) program, through the Department of Water Resources. OCSD is eligible to compete for the $114 million that is available to the Santa Ana Region for water management funding. The focus of the program is integrated regional projects. A call for projects is anticipated very late this fall or early in 2010. • TPA is analyzing current water resource bond funding opportunities for OCSD should voters approve the bond in November 2010. 2 Book page 19 • TPA is working with OCSD staff on the implementation of SB 790 (Pavley)which would provide funding for grants designed to implement or promote low-impact development that would contribute to the improvement of water quality or reduce stormwater runoff. Implementation of the legislation will run through the State Water Resources Control Board. Outreach, Education and Communication Activities $200,000 AQMD Grant Received I am pleased to report that OCSD has received a$200,000 grant from the South Coast Air Quality Management District(AQMD) as part of our participation in a pilot study of the catalytic emissions reduction project at Plant 1 CGS engine (J-79 project). This study will confine that using the SCR/catalytic oxidizer technology with a digester gas cleaning system using carbon adsorption will help reduce air pollution in the South Coast Air Basin. Honor Walk Update The first round of Honor Walk nominations is due by the beginning of December. Any Board member wishing to nominate a former Board Member or retired staff is encouraged to submit their nominations on time. Staff intends to bring the first recommended names to the December Steering Committee meeting so the honorees can be placed in January. The nomination form is attached to this report. GWRS logo and Web site refresh The GWRS Steering Committee has met a few times to further refine the updated logo and Web site designs. The new Web site will be completed before the end of the year. 3 Book page 20 TOWnsend PUBLIC AFFAIRS.INC. Final Water Bond Language SBx7-2 (Cogdill) Total Bond Amount: $11.14 Billion Chapter 5— Total funding: $455 million Breakdown of funding: Eligible project Drought Relief categories Include: $190 million forplanning, design& water conservation and construction of regional drought relief efficiency projects,water projects that reduce the Impacts of drought recycling and related conditions('please we the eligible project infrastructure, categories list to the right)of which$100 groundwater cleanup, million for local and regional welerprojects, local and regional Including surface storage projects that Conveyance projects, provide emergency water supplies and water local&regional surface o supply reliability in drought Conditions In San water storage projects x Diego County, that provide emergency -o water supplies&water to $90 million for disadvantaged communities supply reliability. m &economically distressed areas 'Projects must be experiencing economic impacts from drought operational within 2-years fewt of receiving funding; preference given to $75 million to the State Water Resources applicants that can Control Board for grants for small community demonstrate substantial wastewater treatment projects.•must be past&current Community of 20,000 or less; investments in Conservation and local $80 million to the Safe Drinking Water State water projects; not more Revolving Loan Fund,of which Is allocated to than 10 percent of the $8 million to the City of Maywood for water $190 million can be used supply infrastructure for planning,studies and monitoring;a 50 percent $20 million for water quality and public non-state match is health benefits for the New River. required,but can be waived or reduced for disadvantaged communities. SBx7-2(Cogdill Summary—Final) November4,2009 018 d PUBLIC AFFAIRS.INC. Chapter 6- Total Funding:$1.05 billion Breakdown of Funding: Eligible Projects Include Water Supply $690 million for the Integrated Regional for IRWMP:investment In Reliability Water Management Program(IRWMP), new water technology broken down as follows: development and 1) North coast:$45 million deployment;meeting 2) San Frenctsoo Bay:$132 million state water recycling and 3) Central Coast.,$58 million water conservation goals; 4) Los Angeles subregion:$198 million adopting to climate 5) Santa Ana subregion:$128 million change impacts;reducing Includes South Orange County contributions to climate 6) San Diego subregion:$87 million change;other projects to 7) Sacramento River. $76 million improve statewide water 8) San Joaquin River. $64 million management systems; 9) Tulare/Kem:$70 million 10) North/South Lahontan:$51 million for regional conveyance c 11) Colorado Basin:$47 million and water management: ac 12) Mountain Counties Overlay:$44 improvements in regional d million or Interregional water Ci 13) Interregional.-$50 million supply and water supply N *50 percent cost share is required,but can reliability; mitigation of N be waived or reduced for disadvantaged conditions of groundwater communities;UWMP is also required under overdraft,saline water Chapter 6,,DWR may recognize multiple intrusion,water quality IRWM plans within each of the areas of degradation; adapation to allocated funding.,not less than 10 percent of the impacts of hydrologic funds will be provided to disadvantaged changes;providing safe communities; drinking water for disadvantaged $10 million for University of California, communities& Sierra Nevada Research Institute for economically distressed research; areas. $350 million for grants for planning,design and construction oflocal and regional conveyance projects that support regional and interregional connectivity and water management-piclects shall be consistent Sgx7-2(CogdilI Summary-Final) November 4,2009 Tom-seDd PUBLIC AFFAIRS.INC. with an adopted IRWM plan. Chapter 7- Total Funding:$2.25 billion Breakdown of Funding: Eligible Delta Counties Delta Sustainabillty $750 million fbrprojects,including grants to and Cities projects Delta Counties and cities within the Delta Include: preserving that provide public benefits and support Dede urban&agricultural water sustainab0lty of which$50 million for use does not result in matching grants for Improvements to catastrophic Delta failure; wastewater treatment facilities upstream of preserving economically the Delta and$250 million to provide viable&sustainable assistance to We/governments and local agricultural&other agricultural economic due to loss of economic interests in the productive agricultural lands for habitat and Delta;improve the quality ecosystem restoration within the Delta; of drinking water derived m from the Delta;improve o $1.5 billion for pmJects to protect and levee&flood control n- enhance the sustainabilify of the Delta facilities; provide physical d ecosystem improvements to create water flow and water m u quality conditions within the Delta to provide adequate habitat for native fish and wildlife; mitigate the impacts of water conveyance and ecosystem restoration. Chapter 8- Total Funding: $3 billion Breakdown of Funding: Eligible Projects Statewide Water $3 billion for water storage projects that Include: surface storage System improve the operation of the state water projects identified in the Operational system'funds are to be continuously CALFED Bay-Delta Improvements appropriated and are not subject to Program Record of appropriation or transferby the Legislature or Derision dated Aug.28, the Governor, •a0 funds expended are under 2000;groundwater the authority of the commission 'rro project storage projects and may be funded unless it provides ecosystem groundwater improvements of at least 50 percent of total contamination prevention public benefits of the profect funded or remediation projects SBx7-2 (Cogdill Summary-Final) November 4,2009 Townsend - PUBLIC AFFAIRS, INC. that provide water storage benefits;conjunctive use and reservoir reoperational projects; local&regional surface storage projects that improve the operation of water systems;funds must be expended solely for the following public benefits associated with water storage projects: 1) Ecosystem Improvements, including cc changing the o timing of water x diversions, improvement in (o flow conditions, fD temperature or a other benefits 2) Water quality improvements in the Delta or in other river systems; 3) Flood control benefits, including increases in flood reservation space in existing reservoirs; 4) Emergency response including securing emergency water supplies; SBx7-2(Cogdill Summary—Final) November 4,2009 Townsend PUBLIC AFFAIRS.INC. recreational u Dees Chapter 9- Total Funding: $1.785 Breakdown of funding: Conservation and billion $250 million for the State Coastal Watershed Conservancy for projects within coastal Protection counties and coastal watersheds-of this amount not less than$40 million is available for San Diego County,including not less then $20 million for the Son Diego River Conservancy and not less than$40 million for the Santa Ana Parkway and not less than $20 million for the Boise Chica wetlands; $100 million to the Wildlife Conservation Board torgrents for the acquisition of water to rights; 0 $215 million to the Wildlife Conservation Board th grants for the protection or restoration of watershed lands or rivers, with ru not less than$25 million for the San Joaquin o' River Conservancy and not less than$20 million for watershed protection in Venture Coumy; $75 million for the San Gabriel and Lower Los Angeles Rivers and Mountains Conservancy; $75 million Santa Monica Mountains Conservancy; $20 million for the Baldwin Hills Conservancy; $20 million or the Santa Monica Bay Conservancy; SBx7-2 (Cogdill Summary-Final) November 4,2009 Townsend PUBLIC AFFAIRS.INC. $50 million for the State Coastal Conservancy for coastal salmonid restoration; $100 million to the Lake Tahoe Conservancy; $20 million for the California Farmland Conservancy Program, $5 million for the Conservation Watershed Coordinator Grant Program; $50 million to the Califomia River Parkways Act, with up to$20 million for the Urban Co Streams Restoration Pmgmm; 0 x $75 million for the Sierra Nevada ti Conservancy; N $100 million for the Salton Sea Restoration; M $10 million to the Natuml Resources Agency; $30 million to the Department of Parks and Recreation for Water Education Centers, with $20 million going towards urban areas with a population of I million or more; $10 million to the California Waterfowl Habitat Conservation; $100 million to the Department of Forestry, $250 million to the Klamath River watershed; SBv7-2(Cogdill Summary—Final) November 4,2009 Townsend PUBLIC AFFAIR$.INC. $20 million to Siskiyou County for economic development; $50 million to the California State University for agncukural water supply, water use and e05ciency education efforts; $50 million to the State Coastal Conservancy for the Ocean Protection Act; $60 million for the Natural Resources Agency for projects authorized under the Central Valley Project Improvement Act; $50 million to the Wildlife Conservation co Board for advanced public infrastructure 0o revolving fund mitigation program*to be x established. m V Chapter 10- Total Funding: $1 billion Breakdown of Funding: Prioritiution of Groundwater $l billion forgrants and bans forprojects to Projects: Protection and prevent or reduce the contamination of 1) The threat posed Water Quality groundwater that serves as a source of by groundwater drinking water, Aprojects need to be contaimination to consistent with an adopted integrated the affected regional watermanagement progrem, with community's not less then$100 million forprojacts that overall drinking meet the following: water supplies, 1 The pmject is part of a basinwide I inclucing the SBx7-2 (Cogdill Summary—Final) November 4,2009 Townsend PUBLIC AFFMRS.INC. management and remediation plan need for for which federal lands have been treatment of allocated; alternative 2) The project addresses contamination supplies If at a site on the list maintained by the groundwater is Dept. of Toxic Substances not available due With at least$100 million for the Department to contamination; of Public Health to finance emergency 2) The potential for actions on behalf of disadvantaged groundwater communities. contamination to spread and reduce drinking water supply and water storage for nearby population areas; 0 3) The potential of x the project, if fully ti implemented, to r� enhance the local N water supply m reliability; 4) The potential of the project to increase opportunities for groundwater recharge and optimization of groundwater supplies; With additional consideration of the following criteria: 1) The project is implemented pursuant to a SBx7-2(Cogdill Summary—Final) November 4,2009 Townsend PUBLIC AFFAIRS, INC. comprehensive basinwide groundwater quality management d remediation plan; 2) Affected groundwater provides a loal supply that, If contaminated and not remediated, will require import of additional water from co outside the o region; x 3) The project will ti serve an economically N disadvantaged ro community; 4) The project addresses contamination at a site where the responsible parties have not bean indentihed or where they are unwilling to pay for cleanup; Chapter 11 - Total Funding: $1 billion Breakdown of Funding: Project Selection Water Recycling $1 billion for grants and loans for water Criteria: Program . With an additional recycling and advanced treatment 1) Water supply $250 million for technology pro/ecfs,including: reliability water conservation 1 Water-cycling Protects; improvements; SBz7-2 (Cogdill Summary-Final) November 4,2009 Townsend PUBLIC AFFAIRS.INC. and water use 2) Contaminant and salt removal 2) Water quality and efficiency programs projects, Including groundwater and ecosystem seawater desalination; benefits related to 3) Dedicated distribution infrastructure decreased for recycled water including reliance on commercial and industrial end-user diversions from retrofit projects to allow use of the Delta or recycled water instream flows; 4) Pilot projects for new salt and 3) Public health contaminant removal technology, benefits from 5) Groundwater recharge inhastmcture improved drinking related to recycled water, water; 5) Technical assistance and grant 4) Cost writing assistance for disadvantaged effectiveness; communities 5) Energy and CO Of these funds, not less then$50 million to efficiency and o help restore lost water supply reliability in greenhouse gas x areas with widespread groundwater emission impacts. contamination in locations that contain sites M that are listed by the Dept. of Toxic w Substances; *at least a 50 percent cost o share is required, but may be waived or reduced for disadvantaged communities; $250 million for grants and loan for water conservation and water use efficiency pmjects and programs, Including: 1) Urban water conservation plans, projects, and programs,, 2) Assist water suppliers and regions to implement conservation programs and measures that are not locally cost-effective; 3) Support water supplier and regional efforts to Implement programs targeted to enhance water use efficiency for commercial Industrial and institutional water users,, SBx7-2(Cogdill Summary—Final) November 4,2009 �£ J N O �4 G 3 3 m Z � :x W � � ��n �0�/�� A C� a x T3�, n � N 4 m A �� N b O Z O N 36 ry D _Q ORANGE COUNTY SANITATION DISTRICT HONOR WALK NOMINEE FORM Please complete this form and return it to the OCSD Public Affairs Office. Name of nominee Relationship to OCSO On a separate sheet, please describe: • The length and nature of the nominee's relationship to OCSD; • How he or she has enhanced the quality of operations and/or leadership; and • How the nominee has made an exceptional contribution to the District or people served by the District. Please use the attached leadership competencies and resolution adopted by the Board of Directors establishing the program, as reference. Nominees should be past Board Members or retired employees. Name of requestor Phone/email address Department head approval* Date General manager approval* Date Steering Committee Yes No Date approval , *Required for employee nominations only. Book page 32 RESOLUTION NO. OCSD 08-08 A RESOLUTION OF THE BOARD OF DIRECTORS OF ORANGE COUNTY SANITATION DISTRICT ESTABLISHING A POLICY FOR NAMING FACILTIES AND THE PLACEMENT OF MONUMENTS AND OTHER MEMORIALS WHEREAS, the Orange County Sanitation District wishes to recognize individuals that have provided meaningful and important service to the Sanitation District; WHEREAS, the District recognizes the need for guidance in the naming of facilities and placing of monuments and other memorials; NOW THEREFORE, the Board of Directors of the Orange County Sanitation District DOES HEREBY RESOLVE, DETERMINE AND ORDER: Section 1: The naming of District facilities or the placement of monuments and other memorials will be a rare event designed to honor an individual who has made distinct and significant contributions to the District. Section 2:To be recognized by the District, the individual must have demonstrated or performed the following: • Have a long standing affiliation with and made an exceptional contribution to the Orange County Sanitation District • Significantly enhanced the quality of operations and/or leadership directly contributing to the well-being of the District and the people served by OCSD Section 3: By a majority vote of the Steering Committee, an individual may be recognized by the naming of a component, building, support facility, or through the placement of a plaque, marker, or other memorial. Section 4: Only new or unnamed facilities will be named in honor of an individual. PASSED AND ADOPTED at a regular meeting held June 25, 2008. Board Chair ATTEST: Clerk of the Board Book page 33 Document Vemlon: October 2009 Supersetles: February M07 OCSD Leadership Competencies COMPETENCY DESCRIPTION Ability to communicate Ideas,thoughts, and facts both verbally and written. Ability to Interpret, comprehend, or understand ideas,thoughts,and Communication facts expressed by others. Conveying information using correct grammar,appropriate body language, proper tone and Inflection, recognizing verbal and nonverbal cues,and respecting and listening to the audience to effectively communicate ideas. Degree to which an Individual can be trusted. Operates in an ethical manner.Degree of Integrity/Honesty trustworthiness and ethical behavior of an individual with consideration for the knowledge one has of the impact and consequences when making a decision or taking action. Interpersonal Skills (Working with Others) Extent to which an individual gets along and interacts positively with co-workers. Degree and style of understanding and relating to others. Ability to effectively resolve disputes among others. Conflict Management Manages disagreements. Methods and style of dealing with disagreements.Requires the ability to remain impartial and unbiased. Team Leadership Ability to effectively manage and guide group efforts. Includes providing appropriate level of feedback concerning group process. Teaching Others Overall concern for the developmental level of an individual or group.Takes steps to explain and provide guidance. Degree to which an Individual successfully Decisiveness determines,follows,and persists with a timely course of action. Requires the consideration of multiple factors and influences in making decisions. The concurrent management of projects,time,self, and other resources Including prioritizing, planning, Planning and Evaluation goal setting,and coordinating with respect to goals and objectives.Ability to create and follow a set path In order to achieve a goal.Ability to determine the effectiveness of a given plan. The identification of various types of problems along Problem Solving with the creating of workable solutions. Requires the identification and analysis of problems,evaluation of alternatives, and provision of solutions. The extent to which one plans,prioritizes,sets goals,establishes standards,coordinates tasks, Goal &Task Management shows concern for deadlines, and tracks progress with respect to personal performance. Includes the ability to perform under pressure and in stressful situations. Level of concern for own effort and Initiative. Refers to effort an employee will display during a particular task. The extent that an individual will work and Effort& Initiative take action without specific direction and without being monitored. Also refers to the degree that an Individual is a self-starter, motivated,and is a risk- taker. Book page 34 Document Version: OcWber 2009 Supers M: February2007 Vision Understanding of how an organization must change in light of internal and external trends and Influences. Organizational Awareness Understanding of the formal and informal structures within an organization,and the ability to operate effectively within them. Extent to which an individual possesses and applies Career Specific Expertise job-related knowledge in the completion of work tasks and activities. Includes knowledge gained through formal and informal education or training. Book page 35 ORANGE COUNTY SANITATION DISTRICT (714) 962-2411 www.ocsd.com Mailing Address: P.O. Box 8127 Fountain Valley, California 92728-8127 Street Address: 10844 Ellis Avenue Fountain Valley, California 92708-7018