HomeMy WebLinkAbout07-26-2017 Steering Committee Agenda Packet.pdf Orange County Sanitation District Wednesday, July 21, 2017
Regular Meeting of the ^" 5:00 P.M.
STEERING COMMITTEE Administration Building
Conference Rooms A & B
10844 Ellis Avenue
Fountain Valley, CA 92708
(714) 593-7433
AGEND0
CALL TO ORDER
DECLARATION OF QUORUM: Clerk of the Board
PUBLIC COMMENTS: If you wish to address the Committee on any item, please complete a
Speaker's Form (located at the table at the back of the room) and submit it to the Clerk of the Board or
notify the Clerk of the Board the item number on which you want to speak. Speakers will be recognized by
the Chairperson and are requested to limit comments to three minutes.
REPORTS: The Committee Chairperson and the General Manager may present verbal reports on
miscellaneous matters of general interest to the Directors. These reports are for information only and
require no action by the Directors.
CONSENT CALENDAR: The Consent Calendar Items are considered to be routine and will be
enacted, by the Committee, after one motion, without discussion. Any items withdrawn from the Consent
Calendar for separate discussion will be considered in the regular order of business.
1. APPROVAL OF MINUTES (Clerk of the Board)
RECOMMENDATION: Approve Minutes of the Regular Meeting of the Steering
Committee held on June 28, 2017.
NON-CONSENT:
2. TITLE XVI BUREAU OF RECLAMATION FUNDING OPPORTUNITY FOR (SP-173)
THE EFFLUENT REUSE STUDY PROJECTS (Robert Ghirelli)
RECOMMENDATION: Recommend to the Board of Directors to: Adopt Resolution
No. OCSD 17-12 entitled, "A Resolution of the Board of Directors of the Orange
County Sanitation District approving and authorizing the application for the Title XVI
Water Recycling Projects underthe Water Infrastructure Improvements for the Nation
(WIIN)Act Effluent Reuse Feasibility Studies Program Grant funds and the execution
07/26/2017 Steering CommiOee Agenda Page 1 of 5
of grant documents with the United States Department of the Interior, Bureau of
Reclamation."
3. ORANGE COUNTY SANITATION DISTRICT RESPONSE TO GRAND JURY
REPORT(Jim Herberg)
RECOMMENDATION: Recommend to the Board of Directors to:
A. Approve the Orange County Sanitation District response to the Orange County
Grand Jury Report entitled, 'Pension Enhancements: A Question of
Government Code Compliance' published May 17, 2017; and
B. Adopt Resolution No. OCSD 17-13 entitled, "A Resolution of the Board of
Directors of the Orange County Sanitation District establishing a procedure to
ensure compliance with Government Code section 7507 transparency
requirements."
4. APPRAISAL TO ACQUIRE REAL PROPERTY (Rob Thompson)
RECOMMENDATION: Recommend to the Board of Directors to: Authorize the
General Manager to enter into an agreementwith George, Hamilton, Jones, Inc. Real
Estate Appraisers & Consultants to conduct an appraisal of real property located at
18429 Pacific Street,18410-18436 Bandilier Circle, and 18368-18375 Bandilier Circle
to prepare the Orange County Sanitation District to initiate negotiations to acquire the
same property in compliance with Government Code section 7267.1.
INFORMATION ITEMS:
None.
CLOSED SESSION:
During the course of conducting the business set forth on this agenda as a regular meeting of the Board,
the Chairperson may convene the Board in closed session to consider matters of pending real estate
negotiations,pending or potential litigation, orpersonnel 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 Board during a permitted
closed session and are not available for public inspection. At such time as the Board takes final action
on any of these subjects, the minutes will reflect all required disclosures of information.
CONVENE IN CLOSED SESSION.
0712612017 Steenng Comminee Agenda Page 2 of 5
(1) CONFERENCE WITH LEGAL COUNSEL RE ANTICIPATED LITIGATION
Initiation of litigation (Gov. Code Section 54956.9(d)(4))— 2 cases
(A) Potential eminent domain action
Property Owner: Sukut Real Properties LLC.
Properties: 18429 Pacific St. Fountain Valley, CA, APN No. 156-163-09;
18410 Bandilier Cir. Fountain Valley, CA, APN No. 156-163-10; 18368
Bandilier Cir. Fountain Valley, CA, APN No. 156-163-11.
(B) Potential action for damages against Mission Clay Products based on
defective clay pipe.
(2) CONFERENCE WITH REAL PROPERTY NEGOTIATORS
(Government Code Section 54956.8)
Property: 10950 Virginia Cir. Fountain Valley, CA-APN No.156-165-05;
10870 Spencer Ave. Fountain Valley, CA -APN No.156-163-07;
18480 Pacific St. Fountain Valley, CA - APN No.156-165-04;
18430 Pacific St. Fountain Valley, CA -APN No.156-165-06;
18370 Pacific St. Fountain Valley, CA -APN No.156-165-08;
18429 Pacific St. Fountain Valley, CA - APN No.156-163-09;
18410 Bandilier Cir. Fountain Valley, CA- APN No.156-163-10;
18368 Bandilier Cir. Fountain Valley, CA-APN No.156-163-11;
10700 Spencer St. Fountain Valley, CA -APN No.156-163-16;
10700 Spencer Ave. Fountain Valley, CA - APN No.156-154-07;
18350 Mt. Langley St. Fountain Valley, CA -APN No.156-154-08;
18386 Mt. Langley St. Fountain Valley, CA -APN No.156-154-06;
18385 Bandilier Cir. Fountain Valley, CA-APN No.156-163-12;
18401 Bandilier Cir. Fountain Valley, CA-APN No.156-163-13;
18424 Mt. Langley St. Fountain Valley, CA -APN No.156-154-05;
18435 Bandilier Cir. Fountain Valley, CA-APN No.156-163-14;
18475 Bandilier Cir. Fountain Valley, CA- APN No.156-163-15;
10725 Ellis Ave. Fountain Valley, CA -APN No.156-154-04; and
10540 Talbert Ave. Fountain Valley, CA -APN No.156-151-03
Agency negotiators: General Manager, Jim Herberg; Assistant General Manager,
Bob Ghirelli; Director of Finance and Administrative Services, Lorenzo Tyner; Director
of Engineering, Rob Thompson; Engineering Managers, Kathy Millea and Jeff Mohr;
CIP Project Manager, Tom Grant; Kevin Turner and John Gallivan, Cushman and
Wakefield.
Negotiating parties:
Valley, Business Park, APN Nos. 156-165-05, 156-165-06, 156-163-07;
DK-USA LLC, APN No.156-165-04;
Fountain Valley Industrial Parcel 13, APN No.156-165-08;
Sukut Real Properties LLC, APN Nos. 156-163-09, 156-163-10, 156-163-11;
The Ins Trust Shabtai, Nevon, APN No. 156-163-16;
07/26/2017 Steering Committee Agenda Page 3 of 5
The Ins Trust, APN No. 156-154-07;
K &A Investments LP, APN No. 156-154-08;
Fountain Valley Star LLC, APN No. 156-154-06;
TN Sheet Metal Inc., APN No. 156-163-12;
18401 Bandilier LLC, APN No. 156-163-13;
Phone Lilly Lin-Lin TR, APN No. 156-154-05;
JDK Partners, APN No. 156-163-14;
Chandler Real Properties, APN No. 156-163-15;
Ellis Avenue LLC, APN No. 156-154-04; and
SFII Fountain Valley LLC, APN No. 156-151-03
Under negotiation: Instruction to negotiator will concern price and terms of payment.
(3) CONFERENCE WITH LEGAL COUNSEL RE EXISTING LITIGATION
(Government Code Section 54956.9(d)(1))— 1 case
City of Los Angeles v. County of Kern, Tulare County Superior Court, Case No.
242057.
(4) PUBLIC EMPLOYEE PERFORMANCE EVALUATION
(Government Code Section 54957(b)(1))
Title: General Manager
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:
To the Steering Committee meeting scheduled for Wednesday, August 23, 2017 at
5:00 P.M.
07/26/2017 Steenng Comminee Agenda Page 4 of 5
Accommodations for the Disabled: Meeting Rooms are 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)593-7433 at least 72 hours prior to the scheduled meeting. Requests must specify the nature of the disability
and the type of accommodation requested.
Agenda Posting: In accordance with the requirements of California Government Code Section 54954.2,this agenda
has been posted outside the main gate of the Sanitation District's Administration Building located at 10844 Ellis
Avenue, Fountain Valley, California, and on the Sanitation District's website at www.ocsd.com, 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 the Board of Directors, are
available for public inspection in the office of the Clerk of the Board.
Agenda Description: The agenda provides a brief general description of each item of business to be considered or
discussed. The recommended action does not indicate what action will be taken. The Board of Directors may take
any action which is deemed appropriate.
NOTICE TO DIRECTORS: To place items on the agenda for a Committee or Board Meeting, items must be
submitted to the Clerk of the Board 14 days before the meeting.
Kelly A. Lore
Clerk of the Board
(714)593-7433
klore(olocsd.com
For any questions on the agenda,Committee members may contact staff at:
General Manager Jim Herberg (714)593-7300 iherberaitDocsd.com
Assistant General Manager Bob Ghirelli (714)593-7400 rghirelli(cDocsd.com
Director of Engineering Rob Thompson (714)593-7310 rthompson(&ocsd.com
Director of Environmental Services Jim Colston (714)593-7450 icolston(olocsd.com
Director of Finance and Lorenzo Tyner (714)593-7550 Itvneraocsd.com
Administrative Services
Director of Human Resources Celia Chandler (714)593-7202 cchandler(glocsd.com
Director of Operations&Maintenance Ed Torres 714 593-7080 etorres ocsd.com
07/26/2017 Steering Committee Agenda Page 5 of 5
ITEM NO. 1
MINUTES OF THE
STEERING COMMITTEE
Orange County Sanitation District
Wednesday, June 28, 2017 at 5:00 p.m.
A regular meeting of the Steering Committee of the Orange County Sanitation
District was called to order by Chair Sebourn on Wednesday, June 28, 2017 at
5:02 p.m. in the Administration Building of the Orange County Sanitation District.
A quorum was declared present, as follows:
COMMITTEE MEMBERS PRESENT: STAFF PRESENT:
Greg Sebourn, Board Chair Jim Herberg, General Manager
David Shawver, Board Vice-Chair Bob Ghirelli, Assistant General Manager
Chad Wanke, Administration Committee Celia Chandler, Director of Human
Chair Resources
John Withers, Operations Committee Jim Colston, Director of Environmental
Chair Services
Ellery Deaton, Member-At-Large Rob Thompson, Director of Engineering
Tim Shaw, Member-At-Large Ed Torres, Director of Operations &
Maintenance
COMMITTEE MEMBERS ABSENT: Lorenzo Tyner, Director of Finance &
Donald Wagner, Member-At-Large Administrative Services
Kelly Lore, Clerk of the Board
Janine Aguilar
Mike Dorman
Al Garcia
Lori Karaguezian
Laurie Klinger
Tina Knapp
Mark Manzo
Kathy Millea
Jeff Mohr
OTHERS PRESENT:
Brad Hogin, General Counsel
PUBLIC COMMENTS:
No public comments were provided.
REPORTS:
Chair Sebourn announced the dates and times of the upcoming Legislative tours for
Assembly Member Sharon Quirk-Silva (July 26 at 9:00 a.m.); Assembly Member
06/28/2017 Steering Committee Minutes Page 1 of 3
Phillip Chen (August 4 at 1:30 p.m.); and Senator Josh Newman (August 2 at
1:00 p.m.) and reminded the Committee if their schedule allowed, to sign up to attend
one of the tours.
General Manager Herberg announced that tonight's Board of Directors meeting will
be provided via teleconference for at least one Director and explained the additional
requirements that will take place to remain legally compliant.
Mr. Herberg then provided a few highlights and accomplishments from the General
Manager's FY 2016-17 Work Plan Year-end Update.
CONSENT CALENDAR:
1. APPROVAL OF MINUTES (Clerk of the Board)
MOVED, SECONDED, AND DULY CARRIED TO: Approve Minutes of the
Regular Meeting of the Steering Committee held on May 24, 2017.
AYES: Deaton; Sebourn; Shaw; Shawver;Wanke; and Withers
NOES: None
ABSTENTIONS: None
ABSENT: Wagner
2. GENERAL MANAGER'S FY 2016-2017 WORK PLAN YEAR-END
UPDATE
(Jim Herberg)
MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board
of Directors to: Receive and File the General Manager's FY 2016-2017 Work
Plan Year-End Update.
AYES: Deaton; Sebourn; Shaw; Shawver;Wanke; and Withers
NOES: None
ABSTENTIONS: None
ABSENT: Wagner
CLOSED SESSION:
CONVENED IN CLOSED SESSION PURSUANT TO GOVERNMENT CODE
SECTIONS 54956.8 & 54957(b)(1):
The Committee convened in closed session at 5:07 p.m. to discuss two items.
Confidential minutes of the Closed Session have been prepared in accordance with
the above Government Code Sections and are maintained by the Clerk of the Board
in the Official Book of Confidential Minutes of Board and Committee Closed Session
Meetings.
O6/2812017 Steering Committee Minutes Page 2 of 3
RECONVENED IN REGULAR SESSION:
The Committee reconvened in regular session at 6:05 p.m.
CONSIDERATION OF ACTION, IF ANY, ON MATTERS CONSIDERED IN CLOSED
SESSION:
General Counsel Brad Hogin did not provide a report.
OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA
ITEMS, IF ANY:
None.
ADJOURNMENT:
Chair Sebourn declared the meeting adjourned at 6:05 p.m. to the next Steering
Committee meeting to be held on Wednesday, July 26, 2017 at 5:00 p.m.
Submitted by:
Kelly A. Lore
Clerk of the Board
06/28/2017 Steering Committee Minutes Page 3 of 3
STEERING COMMITTEE Meeting Date Ta Bd.of Dir.
07/26/17 07/26/17
AGENDA REPORT IWrnNumber Item Number
z
Orange County Sanitation District
FROM: James D. Herberg, General Manager
Originator: Robert P. Ghirelli, Assistant General Manager
SUBJECT: TITLE XVI BUREAU OF RECLAMATION FUNDING OPPORTUNITY FOR
(SP-173) THE EFFLUENT REUSE STUDY PROJECTS
GENERAL MANAGER'S RECOMMENDATION
Adopt Resolution No. OCSD 17-12 entitled, "A Resolution of the Board of Directors of the
Orange County Sanitation District approving and authorizing the application for the Title
XVI Water Recycling Projects underthe Water Infrastructure Improvements for the Nation
(WIIN) Act Effluent Reuse Feasibility Studies Program Grant funds and the execution of
grant documents with the United States Department of the Interior, Bureau of
Reclamation."
BACKGROUND
The Orange County Sanitation District(Sanitation District)received a $450,000 grant from
the 2015 WaterSMART: Title XVI Feasibility Studies Program. The grant helped to fund
a $2 million effluent reuse study that identified projects necessary to expand the
Groundwater Replenishment System (GWRS). The GWRS is a water recycling project
jointly sponsored by the Sanitation District and the Orange County Water District(OCWD)
that supplements existing water supplies by providing a new, reliable, high-quality source
of water to recharge the Orange County Groundwater Basin and to protect it from
seawater intrusion.
Since the Sanitation District received a grant from the 2015 WaterSMART: Title XVI
Feasibility Studies Program, the Sanitation District was identified by the Bureau of
Reclamation (Bureau) as a candidate to apply for grant funds under the Title XVI Water
Recycling Projects under the WIIN Act. The Sanitation District is in the process of
applying for the grant funds. The Bureau identified 37 agencies (of which the Sanitation
District is one)to apply for the grant funds. Part of the application process is to submit a
resolution approving and authorizing the grant application.
RELEVANT STANDARDS
• Support OCWD expansion of GWRS
• Use all practical and effective means for recovering wastewater for reuse
Page 1 of 2
PROBLEM
Due to the regulations laid out by the Bureau, we must submit a resolution with our
application; otherwise, it will become null and void and we will have lost the opportunity
to receive funding for the final expansion of the GWRS.
PROPOSED SOLUTION
Approve the resolution naming the Sanitation District as a strategic partner in the
expansion of the GWRS and the completion of the projects named in the effluent reuse
study.
TIMING CONCERNS
The grant application is due to the Bureau of Reclamation on August 17, 2017. According
to the rules and regulations set forth by the Bureau, an approved/signed resolution must
be submitted with the grant proposal.
RAMIFICATIONS OF NOT TAKING ACTION
Our application for the grant would not be accepted and we would not get the funding to
offset the costs of the GWRS expansion.
PRIOR COMMITTEE/BOARD ACTIONS
March 2015 - The Board of Directors approved Resolution No. OCSD 15-08 approving
and authorizing the application for the WaterSMART: Title XVI Feasibility Studies
Program grant funds.
ADDITIONAL INFORMATION
N/A
CEQA
N/A
FINANCIAL CONSIDERATIONS
N/A
ATTACHMENT
The following attachment(s)is attached in hard copy and may also be viewed on-line at the OCSD website
(mm w.ocsd.com) with the complete agenda package:
Resolution No. OCSD 17-12
Page 2 d 2
RESOLUTION NO. OCSD 17-12
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE
ORANGE COUNTY SANITATION DISTRICT APPROVING
AND AUTHORIZING THE APPLICATION FOR THE TITLE
XVI WATER RECYCLING PROJECTS UNDER THE WATER
INFRASTRUCTURE IMPROVEMENTS FOR THE NATION
(WIIN) ACT EFFLUENT REUSE FEASIBILITY STUDIES
PROGRAM GRANT FUNDS AND THE EXECUTION OF
GRANT DOCUMENTS WITH THE UNITED STATES
DEPARTMENT OF THE INTERIOR, BUREAU OF
RECLAMATION
WHEREAS, the Orange County Sanitation District (Sanitation District) Board of
Directors approved a five-year Strategic Plan in November 2013 establishing future water
recycling as a strategic goal; and
WHEREAS, in furtherance of the Strategic Plan, the Sanitation District conducted
an Effluent Reuse Study (SP-173) to assess the feasibility of water recycling at Plant
No. 2 and to evaluate options to improve the region's local water supply reliability by
substituting recycled water for existing potable water demands; and
WHEREAS, the U.S. Department of the Interior, Bureau of Reclamation, has
announced grant funding through a program entitled "Title XVI Water Recycling Projects
Under WIIN Act" ("Grant")established under Title XVI of Public Law No. 114-322 to assist
in identifying and investigating opportunities to reclaim and reuse wastewater and
promote the availability of new sources of clean water while promoting water and energy
efficiency and environmental stewardship; and
WHEREAS, this resolution certifies the Board of Directors' approval of the
Sanitation District's application for the Grant.
NOW, THEREFORE, the Board of Directors of Orange County Sanitation District
DOES HEREBY RESOLVE, DETERMINE, AND ORDER:
Section 1: The Board of Directors hereby approves the Sanitation District's
application for a Grant to the United States Department of the Interior, Bureau of
Reclamation, for Fiscal Year 2017-2018 to support projects identified by the SP-173
Effluent Reuse Study, support water reclamation and reuse, and promote water
efficiency, sustainable water management, and environmental stewardship.
Section 2: The Board of Directors authorizes the General Manager or his
designee to submit an application for the Grant and to negotiate and execute any
documents related to this Grant, including a grant application and cooperative agreement,
to accept financial assistance from the U.S. Department of the Interior, Bureau of
Reclamation.
OCSD 17-12-1
Section 3. If the application for the Grant is approved, the Sanitation District has
the capability to provide matching grant funds and/or in-kind contributions specified in the
grant requirements.
Section 4. The Sanitation District will work with the U.S. Department of the
Interior, Bureau of Reclamation, to meet established deadlines for entering into a
cooperative agreement.
PASSED AND ADOPTED at a regular meeting of the Board of Directors held
July 26, 2017.
Gregory C. Sebourn, PLS
Chairman of the Board
ATTEST:
Kelly A. Lore, CIVIC
Clerk of the Board
OCSD 17-12-2
STATE OF CALIFORNIA )
ss
COUNTY OF ORANGE )
I, Kelly A. Lore, Acting Clerk of the Board of Directors of the Orange County
Sanitation District, do hereby certify that the foregoing Resolution No. OCSD 17-12 was
passed and adopted at a regular meeting of said Board on the 26'^ day of July 2017, by
the following vote, to wit:
AYES:
NOES:
ABSTENTIONS:
ABSENT:
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal
of Orange County Sanitation District this 261h day of July 2017.
Kelly A. Lore, CIVIC
Clerk of the Board of Directors
Orange County Sanitation District
OCSD 17-12-3
STEERING COMMITTEE Meeting Date Toad.of Dir.
07/26/17 07/26/17
AGENDA REPORT Item Number Iem Number
3
Orange County Sanitation District
FROM: James D. Herberg, General Manager
SUBJECT: ORANGE COUNTY SANITATION DISTRICT RESPONSE TO GRAND
JURY REPORT
GENERAL MANAGER'S RECOMMENDATION
A. Approve the Orange County Sanitation District response to the Orange County
Grand Jury Report entitled, "Pension Enhancements: A Question of Government
Code Compliance" published May 17, 2017; and
B. Adopt Resolution No. OCSD 17-13 entitled, "A Resolution of the Board of Directors
of the Orange County Sanitation District establishing a procedure to ensure
compliance with Government Code section 7507 transparency requirements."
BACKGROUND
On May 17, 2017, the Orange County Grand Jury published a report which questioned
whether the Orange County Sanitation District (Sanitation District) complied with all
statutory transparency requirements when it authorized pension benefit enhancements
ultimately adopted bythe Orange County Employees Retirement System (OCERS) Board
in 2005.
(1)The Sanitation District believes it complied with all operative statutory pension-
related procedural requirements when it authorized pension enhancements.
In 2002, the Sanitation District obtained an actuary to prepare a statement of the costs to
change its pension benefits and responsibly considerthe financial impact prior to entering
into the MOUs with its employee bargaining units. The Sanitation District has been unable
to locate any documents to show that the Sanitation District made its actuarial report
public two weeks prior to the meeting when the Sanitation District authorized the MOUs.
At the time the MOUs were executed, the initial authorization of the pension benefit
enhancements was preliminary, and adoption of the enhancements depended upon
reaching a contractual agreement with OCERS to provide the new benefit formula,
including any revised contribution rates.
In 2005, OCERS obtained an independent actuarial study of the costs of the District's
pension benefit enhancements to determine appropriate contribution rates. OCERS
published the actuarial report and held a public meeting at which the increased costs
were listed as a regular agenda item during a meeting of its Board of Retirement.
Page 1 of 3
RELEVANT STANDARDS
• California Government Code section 7507
• Penal Code Sections 933 and 933.05
• Ensure transparency and compliance with statutory requirements
PROBLEM
Penal Code sections 933 and 933.05 require the Sanitation District's Board of Directors
to respond to the Grand Jury Report by providing comments to the Presiding Judge of the
Superior Court on the findings and recommendations pertaining to matters under the
control of the Sanitation District's Board of Directors. California Penal Code section
933.05 details the manner of the response in which such comments are to be made.
PROPOSED SOLUTION
A response to the Grand Jury Report finding and recommendation prepared by General
Counsel is attached for review by the Sanitation District's Board of Directors. In its report,
the Grand Jury recommended the Sanitation District "implement procedures that ensure
compliance with all transparency requirements including those relating to the approval of
pension enhancements." Adopting Resolution No. OCSD 17-13 will further implement
transparency measures consistent with the District's response and will specifically ensure
that the District provides two weeks' notice of its intent to approve an MOU that contains
changes in retirement benefits. Resolution No. OCSD 17-13 is attached for review by the
Sanitation District's Board of Directors.
TIMING CONCERNS
Penal Code section 933 requires the Sanitation District's Board of Directors to respond
to the Grand Jury Report within 90 days of the date it is published. The Grand Jury
published this report May 17, 2017. A response is due to the Presiding Judge of the
Superior Court no later than August 15, 2017.
RAMIFICATIONS OF NOT TAKING ACTION
The Grand Jury can bring a civil action for a Writ of Mandate against the Sanitation District
to compel the Sanitation District to perform its legally required duty to respond. The Grand
Jury may also seek attorneys' fees in such an action.
PRIOR COMMITTEE/BOARD ACTIONS
N/A
Page 2 of 3
ATTACHMENT
The following attachment(s)are included in hard copy and may also be viewed on-line at the OCSD website
(www.ocsd.com) with the complete agenda package:
• Response letter to the Orange County Grand Jury Report (Attachments 'A""D"
listed in the response letter are available online only)
• Resolution No. OCSD 17-13
Page 3 a 3
The Honorable Charles Margines
Presiding Judge
Orange County Superior Court
700 Civic Center Drive West
Santa Ana,CA 92701
Dear Presiding Judge Margins:
The Orange County Sanitation District (the"District")has received the Orange County
Grand Jury Report entitled"Pension Enhancements: A Question of Govemment Code
Compliance." In summary,the District responds as follows:
1. The District has been unable to locate any documentation confirming that the
District's actuarial report was made public two weeks before the District
approved MOUs,with enhanced retirement benefits, in 2003.
2. Assuming that the District failed to make its actuarial report public two weeks
before the District approved MOUs in 2003, it is unclear whether that would
have violated Government Code Section 7507. Under applicable law,the
Orange County Employees Retirement System("OCERS"),not the District,
has the authority to adopt changes in retirement benefits. Thus, it appears that
the two-week notice requirement does not apply to the District.
3. The District wholeheartedly supports transparency in government, and
especially when it comes to the expenditure of taxpayer and ratepayer funds.
Thus,the District Board of Directors welcomes the attention that the Grand
Jury has brought to this issue, and has adopted the attached Resolution. Under
the Resolution,the District will comply with the notice requirements of
Government Code Section 7507 regardless of whether those requirements are
deemed to apply to the District.
Response
The District responds in detail to the Grand Jury's findings and recommendations as
follows:
Findings
F.2 The Sanitation District did not provide documentary evidence that the operative
code requirements were met by the Sanitation District Board of Directors when
they approved 2.5%at 55 pension formula for sanitation workers in 2004.
District Response: The District wholly disagrees with this finding.
1257827.1
The Honorable Charles Margines
Page 2
Add date of letter
Facts
The District began considering an increased retirement benefit during labor negotiations
in 2002. The District retained an actuary to estimate the cost of increasing the benefit
formula from approximately 2% at 57 or 611 to 2.5% at 55.2 The actuarial report was
completed on October 21, 2002.
The District ultimately reached agreement on MOUs with the District's bargaining units
in 2003. The MOUs included, among other things, a commitment by the District to seek
a contract with OCERS that would increase the retirement benefit formula to 2.5% at 55.s
On November 19,2003, at a regular meeting,the District Board of Directors authorized
the General Manager to enter into the MOUs.4
Throughout 2004 and into 2005 the District discussed with OCERS a contract
amendment that would implement the enhanced benefit formula and establish the
required contribution rates. At the conclusion of these discussions, the OCERS Board
adopted the increased benefit formula and contribution rates at a regular,public meeting
on March 28, 2005. The OCERS Board had before them an actuarial study that
calculated contribution rates for an increased pension benefit of 2.5%at 55.5
Response
The District has been unable to locate any documents to show that the District made the
actuarial report public at a public meeting two weeks prior to the meeting of November
19, 2003,when the District approved the MOUs. The District,therefore, could not, and
did not,provide any such documents to the Grand Jury.
The Grand Jury's finding,however,makes an assumption that may not be correct. The
finding assumes that the District, in approving the MOUs, "adopted"the increased
1 Prior to the pension benefit enhancement adopted in 2005,the District utilized a fiered system in which
both the District and its employees made contributions to OCERS.At retirement,employees received a
monthly allowance based on their age,average monthly compensation during service,years of service,and
tier selected.Tier I employees were hired on or before September 20, 1979,and Tier It employees were
hired after that date.The average monthly compensation for Tier I employees was determined by taking the
sum of the highest consecutive 12 months of compensation eamable and dividing by 12.The average
monthly compensation for Tier It employees was determined by taking the sum of the highest consecutive
36 months of compensation eamable and dividing by 36.Although the tiered benefit structure did not use a
percentage"measurement"to describe the structure,the resulting monthly compensation was
approximately 2%at 57 for Tier I employees and 2%at 61 for Tier U employees.
2 The District provided a copy of the actuarial study,attached hereto as Attachment`B",to the Grand Jury.
a Copies of the MOUs provided to the Grand Jury are attached here as Attachment"D."
4 The Board approved the MOUs in 2003,not 2004 as assumed in the Grand Jury request. Copies of all
agendas and minutes from District Board of Directors meetings held in 2004 are attached hereto as
Attachment"A."
'The relevant portion of OCERS'published agenda,meeting minutes,and the memorandum reporting the
actuarial study previously provided to the Grand Jury are attached hereto as Attachment"C."
1257827.1
The Honorable Charles Margines
Page 3
Add date of letter
benefits within the meaning of Government Code Section 7507("Section 7507").'
Under another reading of Section 7507,however, it was OCERS,not the District, which
"adopted"the increased benefits. Under this reading,the two-week notice requirement
did not apply to the District's action in approving the MOUs.
Prior to 2008, Government Code section 7507 stated as follows:
The Legislature and local legislative bodies shall secure the services of an
enrolled actuary to provide a statement of the actuarial impact upon future
annual costs before authorizing increases in public retirement plan
benefits.An"emolled actuary"means an actuary enrolled under subtitle C
of Title III of the federal Employee Retirement Income Security Act of
1974 and"future annual costs" shall include,but not be limited to, annual
dollar increases or the total dollar increases involved when available.
The future annual costs as determined by the actuary shall be made public
at a public meeting at least two weeks prior to the adoption of any increases
in public retirement plan benefits.
The notice requirement is set forth entirely in the second paragraph of Section 7507. The
paragraph states that the actuarial report"shall be made public at a public meeting"at
least two weeks "prior to adoption." The Grand Jury finding assumes that the notice
requirement applies to the"local legislative bodies"referenced in the first paragraph.
That interpretation,however,appears to be inconsistent with the County Employees
Retirement Law of 1937 ("CERL")' and relevant case law.
Under the CERL,it is OCERS,not the District,which has final authority to adopt
changes in retirement benefits.' The District's role is limited to negotiating and
approving MOUs with its bargaining units.9 In the parlance of retirement benefit
practice, agency employers like the District are considered"sponsors"of benefit changes.
Sponsors must present retirement benefit changes to their retirement board—in this case,
OCERS—for adoption. Unless and until OCERS adopts changes to retirement benefits,
the District's approval of the MOUs has no effect. It follows that the two-week notice
requirement does not apply to the District,because the District does not have the
authority to "adopt'increases in retirement plan benefits.
6 While the Grand Jury Report cites a number of code sections,the only section that imposes any
requirements on the District is Government Code section 7507.
'Gov.Code§31450 or seq.
e Gov.Code,§§31520;Howard Jarvis Taxpayers'Assn. v. Board of Supervisors(1996)41 Cal.App.4th
1363, 1373 ("[tlhe Board of Retirement is vested with powers under CERL to manage the county's
retirement system,including the responsibility of determining the amount of retirement allowance to which
members are entitled)"
9 The process for negotiating and approving MOUs is set forth in the Meyers-Milias-Brown Act,Gov.
Code§ 3500 et seq.
1257827.1
The Honorable Charles Margines
Page 4
Add date of letter
The California Supreme Court case Voters for Responsible Retirement v. Board of
Supervisors of Trinity County(1994) 8 Cal.41h 765 supports this interpretation. In Voters
for Responsible Retirement,a County Board of Supervisors approved an MOU in
November of 1991. The MOU set forth an enhanced retirement benefit formula. In order
to implement the changes described in the MOU, the County sought, and obtained, a
contract amendment with the County's retirement system,the Public Employees
Retirement System. The Supreme Court held that the County did not"adopt"the
enhanced retirement benefits within the meaning of the PERS law or Section 7507 when
the County approved the MOUs in 199 1.10 Rather, the benefit changes were not
"adopted"until later, after PERS had considered and approved the enhanced retirement
formula and the contribution rates.p The same reasoning appears to apply here.
Recommendations
R.2 The Sanitation District should implement procedures that ensure compliance with
all transparency requirements including those relating to the approval ofpemion
enhancements.
District Response: The District agrees with this recommendation. To that end,the
District adopted a Resolution at its meeting on July 26,2017 setting forth requirements
identical to those contained in Section 7507. Attached hereto as Attachment"E"is
Resolution No. OCSD 17-13 adopted by the Board on July 26, 2017. The Resolution
requires the District to provide two weeks' notice of any changes in retirement plan
benefits.
Additional Information
The Grand Jury Report describes, in a complementary manner, actions taken by the
County Board of Supervisors to reduce pension benefits pursuant to the 2012 California
Public Employees' Pension Reform Act(`PEPRA"). This acknowledgment is well
deserved.
The District would like to point out that the District has also played a significant
leadership role in pension reform in Orange County. In fact,the District lowered pension
costs in 2010 by adopting a two-tier retirement system—a full three years before PEPRA
(AB 340)took effect. Then, in 2011,the District's Board of Directors successfully
negotiated with employees to reduce pension benefit rates for new hires to 1.667% at
57.5. This is lower than the 2.5%at 67 maximum benefit ratio established in 2013 by
PEPRA.
10 Voters for Responsible Retirement v.Board of Supervisors of Trinity County(1994)8 Cal.40 765,785.
"Ibid.(`4he PERS statutes. ..required that the County not ultimately commit itself to amendment of the
PERS contract at the time of adoption of the MOU's,but undertake additional procedures dictated by those
statutes").
1257827.1
The Honorable Charles Margines
Page 5
Add date of letter
The Grand Jury also expressed concern regarding the County's Unfunded Actuarial
Accrued Liability("UAAL"). The District would like the Grand Jury to know that the
District has aggressively reduced its UAAL through additional payments. In 2013,the
District had an UAAL of close to $200 million. Although OCERS developed a long-term
funding plan to allow agencies to pay these liabilities over a period of 20 to 30 years, the
District paid its UAAL entirely in three years,thereby saving tens of millions of dollars
in additional payments. Most recently,in January 2017,the District's Board of Directors
adopted Resolution No. OCSD 17-01 which authorized the General Manager to enter
into an MOU with OCERS to fully eliminate its existing unfunded pension liability and
save tens of millions of dollars in premium payments.
Finally, it bears noting that, in 2011,the District Board of Director's passed Resolution
No. OCSD 11-22 to require all final action on compensation for represented employees
take place in open session meetings. This requirement exceeds State law transparency
requirements in that,under the Brown Act,votes on compensation for represented
employees can be taken in closed session. This Resolution further demonstrates the
District's commitment to transparency.
If you have any further questions,please do not hesitate to contact me at(714) 593-7110.
Sincerely,
Gregory C. Seboum, PLS
Board Chairman
Orange County Sanitation District
1257827.1
RESOLUTION NO. OCSD 17-13
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE
ORANGE COUNTY SANITATION DISTRICT ESTABLISHING A
PROCEDURE TO ENSURE COMPLIANCE WITH GOVERNMENT
CODE SECTION 7507 TRANSPARENCY REQUIREMENTS
WHEREAS, California Government Code section 7507 requires the local
legislative bodies to take measures to determine and make public certain information
pertaining to cost when considering changes in retirement benefits or other
postemployment benefits; and
WHEREAS, the Orange County Sanitation District('District')aspires to the highest
degree of integrity, honesty, trust, and respect in its interaction with its customers and the
community; and
WHEREAS, in order to maximize transparency and opportunities for public
participation, the Board of Directors desires to establish a procedure to ensure
compliance with the transparency requirements provided in Government Code section
7507.
NOW, THEREFORE, the Board of Directors of the Orange County Sanitation
District, DOES HEREBY RESOLVE, DETERMINE AND ORDER:
Section 1. The District, should it consider changes in retirement benefits or
other postemployment benefits, shall do the following:
(a) Secure the services of an actuary as defined in California Government Code
section 7507 to provide a statement of the actuarial impact upon future annual
costs, including normal cost and any additional accrued liability, before
authorizing changes in public retirement plan benefits orother postemployment
benefits.
(b) Ensure the statement of actuarial impact shall then be made public at a noticed
public meeting at least two weeks prior to the consideration of a Memorandum
1255677.1 OCSD 17-13-1
of Understanding through which the Board would authorize any changes in
public retirement plan benefits or other postemployment benefits.
(c) Require an actuary to be present to provide information as needed at the public
meeting at which the authorization of a benefit change shall be considered.
(d) Prohibit the adoption of any benefit to which this Resolution applies from
placement on a consent calendar.
(e) Upon the adoption of any benefit change to which this Resolution applies,
require the General Manager to acknowledge in writing that he or she
understands the current and future cost of a benefit change as determined by
the actuary.
The requirements of this Resolution shall not apply to:
i. An annual increase in a premium that does not exceed three percent
(3%) under a contract of insurance.
ii. A change in postemployment benefits, other than pension benefits,
mandated by the state or federal government or made by an insurance
carrier in connection with the renewal of a contract of insurance.
Section 2. The Clerk of the Board shall certify to the adoption of this Resolution.
PASSED AND ADOPTED at a regular meeting of the Board of Directors
held July 26, 2017.
Gregory C. Sebourn, PLS
Board Chairman
ATTEST:
Kelly A. Lore, CMC
Clerk of the Board
1255677.1 OCSD 17-13-2
STATE OF CALIFORNIA )
ss
COUNTY OF ORANGE )
I, Kelly A. Lore, Clerk of the Board of Directors of the Orange County Sanitation
District, do hereby certify that the foregoing Resolution No. OCSD 17-13 was passed and
adopted at a regular meeting of said Board on the 26th day of July 2017, by the following
vote, to wit:
AYES:
NOES:
ABSTENTIONS:
ABSENT:
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official
seal of Orange County Sanitation District this 26th day of July 2017.
Kelly A. Lore, CIVIC
Clerk of the Board of Directors
Orange County Sanitation District
1255677.1 OCSD 17-13-3
STEERING COMMITTEE Meeting Date TOBd.of Dir.
07/26/17 07/26/17
AGENDA REPORT IternNamber Item Number
a
Orange County Sanitation District
FROM: James D. Herberg, General Manager
Originator: Rob Thompson, Director of Engineering
SUBJECT: APPRAISAL TO ACQUIRE REAL PROPERTY
GENERAL MANAGER'S RECOMMENDATION
Authorize the General Manager to enter into an agreement with George, Hamilton, Jones,
Inc. Real Estate Appraisers&Consultants to conduct an appraisal of real property located
at 18429 Pacific Street, 1 841 0-1 8436 Bandilier Circle, and 18368-18375 Bandilier Circle
to prepare the Orange County Sanitation District to initiate negotiations to acquire the
same property in compliance with Government Code section 7267.1.
BACKGROUND
The Orange County Sanitation District (Sanitation District) is seeking real property to
relocate non-process buildings and structures to address a future shortage of space for
process facilities at Plant No. 1. To maximize the space available at Plant No. 1 for
process facilities, the Sanitation District purchased property earlier this year and seeks to
acquire additional property in the area between Ellis Avenue and the 1-405 Freeway
between the Euclid Avenue off-ramp and Ward Street. Prior to initiating condemnation
proceedings, Government Code section 7267.1(a) requires the Sanitation District to make
every reasonable effort to acquire real property by negotiation. Government Code section
7267.1(b) requires real property to be appraised before the initiation of any such
negotiation. General Counsel has recommended the proposed firm as they have previous
experience working with the Sanitation District.
RELEVANT STANDARDS
• California Government Code section 7260 at seq.
• Maintain collaborative and cooperative relationships with neighboring agencies
• Provide a safe and collegial workplace
PROBLEM
The Sanitation District is anticipating a future shortage of space for process facilities if the
non-process buildings and structures are constructed on-site. For this reason, the
Sanitation District must relocate its non-process facilities. To acquire appropriate real
property for those buildings, the Sanitation District may be required to initiate
condemnation proceedings.
Page 1 of 3
PROPOSED SOLUTION
Retain an appraiser to conduct an appraisal and establish an amount which it believes to
be just compensation for the real property located at 18429 Pacific Street, 18410-18436
Bandilier Circle, and 18368-18375 Bandilier Circle to initiate negotiations required by
Government Code section 7267.1.
TIMING CONCERNS
There are a number of timing concerns associated with this project:
• Acquiring additional property now would allow the relocation of non-process
facilities and a parking structure to be sited on the new property.
• Should it become necessary, condemnation proceedings may require several
months to complete. Retaining an appraiser now will allow the Sanitation
District to negotiate and prepare for any additional action required.
• As the City of Fountain Valley Crossings Plan moves forward, the opportunity
to acquire property in this area may diminish.
• As the 1405 widening project relocates the main entry to Plant No. 1, parking
for the Administration Building will be lost.
• The Sanitation District is behind on their schedule commitment to City of
Fountain Valley for Americans with Disabilities Act compliance.
• Deferred maintenance on the current buildings may need to be completed if the
project does not move forward in a timely manner.
• Cost escalation is significant for the Headquarters Complex project.
RAMIFICATIONS OF NOT TAKING ACTION
N/A
PRIOR COMMITTEE/BOARD ACTIONS
November 2016 - Authorized the General Manager and General Counsel to approve
escrow documents for the purchase of the Bender Property at 18475 Pacific Street and
18484 Bandilier Circle.
October 2016 - Approved a Standard Offer, Agreement, and Escrow Instructions For
Purchase of Real Estate with Bender Properties for the property at 18475 Pacific Street
and 18484 Bandilier Circle for $10,619,180, and approved AIR Commercial Real Estate
Association Standard Industrial/Commercial Single-Tenant Lease.
July 2016 - Approved Broker Representation Agreement with Cushman & Wakefield to
give exclusive authority to represent the Sanitation District, at no cost , for the
investigation and potential negotiation to acquire existing office building and/or land for a
new Administration Building in an area near Plant No.1.
June 2016-Approved agreements forthe CEQA study and Architectural and Engineering
design services.
Page 2 of 3
October 2015 - Designated the southwest corner of Plant No. 1 as the location for the
Headquarters Complex as the preferred alternative for CEQA evaluation under the
Headquarters Complex, Site and Security, and Entrance Realignment Program, Project
No. P1-128.
June 2015 - Established new project and budget for Headquarters Complex, Site and
Security, and Entrance Realignment Program, Project No. P1-128.
June 2014 - Approved a Professional Design Services Agreement with HDR to provide
engineering design services for Administrative Facilities Implementation Planning, Project
No. SP-194.
November 2013 - Established a budget for Administrative Facilities Implementation
Planning, Project No. SPA94.
October 2013 - Staff presented an overview of the administrative facilities and their need
for rehabilitation or replacement.
June 2012 - Approved a Professional Services Agreement with The Austin Company to
provide engineering services to prepare an Administrative Facilities Master Plan for the
Title 24 Access Compliance and Building Rehabilitation Project, Project No. P1-115, for
an amount not to exceed $175,000.
May 2012 - Authorized GM to negotiate a Professional Services Agreement for
Administrative Facilities Master Plan.
CEQA
An evaluation of the environmental impacts per the California Environmental Quality Act
for the Headquarter Complex, Site and Security, and Entrance Realignment Program,
Project No. P1-128 is currently being conducted.
FINANCIAL CONSIDERATIONS
This request complies with authority levels of the Sanitation District's Purchasing
Ordinance. This item has been budgeted and the funds are sufficient. (FY 2017-18
Update, Appendix, Page A-9, Project No. P1-128).
ATTACHMENT
The following attachment(s) may be viewed on-line at the OCSD website (www.ocsd.coml with the
complete agenda package:
N/A
Page 3 d 3
(,�5� CLOSED SESSION 1
WOODRUFF $PRA,. . . . . . .SMART.
555 ANTON BOULEVARD, BUITC1200
COsIA MNsA, CA 92626-7670
(714)556-0000
MEMORANDUM
TO: Hon. Chair and Members of the Orange County Sanitation District Steering
Committee
FROM: Bradley R. Hogin, Esq.
General Counsel
DATE: July 17,2017
RE: Closed Session Items
The Steering Committee desires to hold a closed session on July 26, 2017 for the purpose
of conferring with its legal counsel regarding a potential eminent domain action. Based on
existing facts and circumstances, the Committee is deciding whether to initiate litigation against
another party. The closed session will be held pursuant to the authority of California
Government Code Section 54956.9(d)(4). The facts and circumstances are as follows The Board
may consider filing an eminent domain action against Sukut Real Properties LLC for the
properties 18429 Pacific St. Fountain Valley, CA,APB No. 156-163-09: 18410 Bandilier Cit.
Fountain Valley, CA,APN No. 156-163-10: and 18368 Bandilier Cit. Fountain Valley, CA,
APN No. 156-163-11.
Respectfully submitted,
By
Bradle . Hogin, Cenral Counsel
1114541.1
CLOSED SESSION 2
WOODRUFF SPRADLIN&SMART
555 ANTON BOULEVARD, SUITE 1200
COSTA MESA, CA 92626-7670
(714)556-7000
MEMORANDUM
TO: Hon. Chair and Members of the Orange County Sanitation District Steering
Committee
FROM: Bradley R. Hogin, Esq.
General Counsel
DATE: July 19,2017
RE: Closed Session Items
The Steering Committee will hold a closed session on July 26, 2017 for the purpose of
conferring with its negotiators regarding the purchase of real property. The negotiating parties and
properties are as follows: Valley Business Park,APN Nos. 156-165-05, 156-165-06, 156-163-07;
DK-USA LLC, APN No.156-165-04; Fountain Valley Industrial Parcel 13,APN No.156-165-08;
Sukut Real Properties LLC, APN Nos. 156-163-09, 156-163-10, 156-163-11; The his Trust
Shabtai,Nevon, APN No. 156-163-16; The Ins Trust, APN No. 156-154-07; K&A Investments
LP,APN No. 156-154-08;Fountain Valley Star LLC,APN No. 156-154-06; TN Sheet Metal Inc.,
APN No. 156-163-12; 18401 Bandilier LLC,APN No. 156-163-13;Phone Lilly Lin-Lin TR,APN
No. 156-154-05; JDK Partners, APN No. 156-163-14; Chandler Real Properties, APN No. 156-
163-15; Ellis Avenue LLC, APN No. 156-154-04; and SFII Fountain Valley LLC,APN No. 156-
151-03; 7311 Doig Drive Garden Grove,CA,APN No. 131-654-20. The District's negotiators are
Jim Herberg, Rob Thompson,Kathy Millea and Jeff Mohr, Wendy Sevenandt, Kevin Turner and
John Gallivan, Cushman and Wakefield. Said closed session will be held pursuant to authority of
California Government Code Section 54956.8.
Respectfully submitted,
By. /f
BradleY R. Hogin, Vieneral Counsel
11921611
►` WOODRUFF,.SPRADLIN&SMART CLOSED SESSION 3
555 ANTON BOULEVARD, BUTTE1200
C09TA MN9A, CA 92626-7670
(714)556-0000
MEMORANDUM
TO: Hon. Chair and Members of the Orange County Sanitation District Steering
Committee
FROM: Bradley R. Hogin, Esq.
General Counsel
DATE: July 19,2017
RE: Closed Session Items
The Steering Committee desires to hold a closed session on July 26, 2017 for the purpose
of conferring with its legal counsel regarding existing litigation to which the District is a party.
The title of the case is City of Los Angeles, et al. v. County of Kern, Tulare County Superior
Court, Case No. 242057. The closed session will be held pursuant to the authority of California
Government Code Section 54956.9(d)(1).
Respectfully submitted,
By
Bradle . Hogin, Oeneml Counsel
1179357.1
•T WooDRDFF,.SPRADLIN&SMART
. . CLOSED SESSION 4
555 ANTON BOULEVARD, BUITC1200
C.sIA MNsA, CA 92626-7670
(714)556-0000
MEMORANDUM
TO: Hon. Chair and Members of the Orange County Sanitation District Steering
Committee
FROM: Bradley R. Hogin, Esq.
General Counsel
DATE: July 19,2017
RE: Closed Session Items
The Steering Committee desires to hold a closed session on July 26, 2017 for the purpose
of conferring for the evaluation of the General Manager. Said closed session will be held
pursuant to the authority of Government Code Section 54957(b)(1).
Respectfully submitted,
By:
Bradley I . Hogin, Giefieral Counsel
1165663.1
ORANGE COUNTY SANITATION DISTRICT
Agenda
Terminology
Glossary
Glossary of Terms and Abbreviations
AQMD Air Quality Management District
ASCE American Society of Civil Engineers
BOD Biochemical Oxygen Demand
CARS California Air Resources Board
CASA California Association of Sanitation Agencies
CCTV Closed Circuit Television
CEQA California Environmental Quality Act
CIP Capital Improvement Program
CRWQCB California Regional Water Quality Control Board
CWA Clean Water Act
CWEA California Water Environment Association
EIR Environmental Impact Report
EMT Executive Management Team
EPA US Environmental Protection Agency
FOG Fats, Oils, and Grease
gpd gallons per day
GWRS Groundwater Replenishment System
ICS Incident Command System
IERP Integrated Emergency Response Plan
LOS Level Of Service
MGD Million Gallons Per Day
NACWA National Association of Clean Water Agencies
NPDES National Pollutant Discharge Elimination System
NWRI National Water Research Institute
O & M Operations & Maintenance
OCCOG Orange County Council of Governments
OCHCA Orange County Health Care Agency
OCSD Orange County Sanitation District
OCWD Orange County Water District
OOBS Ocean Outfall Booster Station
OSHA Occupational Safety and Health Administration
PCSA Professional Consultant/Construction Services Agreement
PDSA Professional Design Services Agreement
POTW Publicly Owned Treatment Works
ppm parts per million
PSA Professional Services Agreement
RFP Request For Proposal
RWQCB Regional Water Quality Control Board
Glossary of Terms and Abbreviations
SARFPA Santa Ana River Flood Protection Agency
SARI Santa Ana River Interceptor
SARWQCB Santa Ana Regional Water Quality Control Board
SAW PA Santa Ana Watershed Project Authority
SCADA Supervisory Control And Data Acquisition
SCAP Southern California Alliance of Publicly Owned Treatment Works
SCAQMD South Coast Air Quality Management District
SOCWA South Orange County Wastewater Authority
SRF Clean Water State Revolving Fund
SSMP Sewer System Management Plan
SSO Sanitary Sewer Overflow
SWRCB State Water Resources Control Board
TDS Total Dissolved Solids
TMDL Total Maximum Daily Load
TSS Total Suspended Solids
WDR Waste Discharge Requirements
WEF Water Environment Federation
W ERF Water Environment & Reuse Foundation
WIFIA Water Infrastructure Finance and Innovation Act
WIIN Water Infrastructure Improvements for the Nation Act
W RDA Water Resources Development Act
Activated sludge process — A secondary biological wastewater treatment process where
bacteria reproduce at a high rate with the introduction of excess air or oxygen and consume
dissolved nutrients in the wastewater.
Benthos —The community of organisms, such as sea stars, worms, and shrimp, which live on,
in, or near the seabed, also known as the benthic zone.
Biochemical Oxygen Demand (BOD) — The amount of oxygen used when organic matter
undergoes decomposition by microorganisms. Testing for BOD is done to assess the amount of
organic matter in water.
Biogas—A gas that is produced by the action of anaerobic bacteria on organic waste matter in a
digester tank that can be used as a fuel.
Biosolids—Biosolids are nutrient rich organic and highly treated solid materials produced by the
wastewater treatment process. This high-quality product can be recycled as a soil amendment on
farmland or further processed as an earth-like product for commercial and home gardens to
improve and maintain fertile soil and stimulate plant growth.
Glossary of Terms and Abbreviations
Capital Improvement Program (CIP) — Projects for repair, rehabilitation, and replacement of
assets. Also includes treatment improvements, additional capacity, and projects for the support
facilities.
Coliform bacteria—A group of bacteria found in the intestines of humans and other animals, but
also occasionally found elsewhere, used as indicators of sewage pollution. E. coli are the most
common bacteria in wastewater.
Collections system— In wastewater, it is the system of typically underground pipes that receive
and convey sanitary wastewater or storm water.
Certificate of Participation (COP)—A type of financing where an investor purchases a share of
the lease revenues of a program rather than the bond being secured by those revenues.
Contaminants of Potential Concern (CPC) — Pharmaceuticals, hormones, and other organic
wastewater contaminants.
Dilution to Threshold (DIT) — The dilution at which the majority of people detect the odor
becomes the D/T for that air sample.
Greenhouse Gases (GHG) — In the order of relative abundance water vapor, carbon dioxide,
methane, nitrous oxide, and ozone gases that are considered the cause of global warming
("greenhouse effect').
Groundwater Replenishment System (GWRS) — A joint water reclamation project that
proactively responds to Southern California's current and future water needs. This joint project
between the Orange County Water District and the Orange County Sanitation District provides 70
million gallons per day of drinking quality water to replenish the local groundwater supply.
Levels Of Service (LOS) — Goals to support environmental and public expectations for
performance.
N-Nitrosodimethylamine (NDMA) — A N-nitrosamine suspected cancer-causing agent. It has
been found in the Groundwater Replenishment System process and is eliminated using hydrogen
peroxide with extra ultra-violet treatment.
National Biosolids Partnership (NBP)—An alliance of the National Association of Clean Water
Agencies and Water Environment Federation, with advisory support from the US Environmental
Protection Agency. NBP is committed to developing and advancing environmentally sound and
sustainable biosolids management practices that go beyond regulatory compliance and promote
public participation to enhance the credibility of local agency biosolids programs and improved
communications that lead to public acceptance.
Plume — A visible or measurable concentration of discharge from a stationary source or fixed
facility.
Glossary of Terms and Abbreviations
Publicly Owned Treatment Works (POTW) —A municipal wastewater treatment plant.
Santa Ana River Interceptor(SARI) Line —A regional brine line designed to convey 30 million
gallons per day of non-reclaimable wastewater from the upper Santa Ana River basin to the ocean
for disposal, after treatment.
Sanitary sewer—Separate sewer systems specifically for the carrying of domestic and industrial
wastewater. Combined sewers carry both wastewater and urban runoff.
South Coast Air Quality Management District (SCAQMD) — Regional regulatory agency that
develops plans and regulations designed to achieve public health standards by reducing
emissions from business and industry.
Secondary treatment — Biological wastewater treatment, particularly the activated sludge
process, where bacteria and other microorganisms consume dissolved nutrients in wastewater.
Sludge—Untreated solid material created by the treatment of wastewater.
Total Suspended Solids (TSS)—The amount of solids floating and in suspension in wastewater.
Trickling filter — A biological secondary treatment process in which bacteria and other
microorganisms, growing as slime on the surface of rocks or plastic media, consume nutrients in
wastewater as it trickles over them.
Urban runoff—Water from city streets and domestic properties that carry pollutants into the storm
drains, rivers, lakes, and oceans.
Wastewater—Any water that enters the sanitary sewer.
Watershed—A land area from which water drains to a particular water body. The Orange County
Sanitation District's service area is in the Santa Ana River Watershed.