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HomeMy WebLinkAbout12-18-2019 Steering Committee Meeting Complete Agenda PacketDecember 12, 2019 NOTICE OF MEETING STEERING COMMITTEE ORANGE COUNTY SANITATION DISTRICT REGULAR MEETING – 5:00 P.M. Wednesday, December 18, 2019 Administration Building 10844 Ellis Avenue Fountain Valley, California 92708 The Regular Meeting of the Steering Committee of the Orange County Sanitation District will be held at the above location, date, and time. STEERING COMMITTEE AND BOARD MEETING DATES January 22, 2020 February 26, 2020 March 25, 2020 April 22, 2020 May 27, 2020 June 24, 2020 July 22, 2020 August 26, 2020 September 23, 2020 October 28, 2020 November 18, 2020 * December 16, 2020 * * Meeting will be held on the third Wednesday of the month STEERING COMMITTEE (1) Roll Call: Meeting Date: December 18, 2019 Meeting Time: 5:00 p.m. Committee Members David Shawver, Board Chair…………………………………………… ____ John Withers, Board Vice-Chair……………………………………….. ____ Robert Collacott, Operations Committee Chair……………………… ____ Peter Kim, LaPA Committee Chair……………………………………… ____ Chad Wanke, Administration Committee Chair……………………… ____ Glenn Parker, Member-At-Large…………………………………..…… ____ Tim Shaw, Member-At-Large…………………………………………… ____ Others Brad Hogin, General Counsel………………………………………... ____ Staff Jim Herberg, General Manager……………………………………… ____ Rob Thompson, Assistant General Manager………………………. ____ Lorenzo Tyner, Assistant General Manager………………………... ____ Celia Chandler, Director of Human Resources………..…………… ____ Kathy Millea, Director of Engineering………..……………………… ____ Lan Wiborg, Director of Environmental Services………..…….…… ____ Kelly Lore, Clerk of the Board…………...…………………………… ____ Other Staff Present ORANGE COUNTY SANITATION DISTRICT Effective 05/22/2019 BOARD OF DIRECTORS Complete Roster AGENCY/CITIES ACTIVE DIRECTOR ALTERNATE DIRECTOR Anaheim Lucille Kring Denise Barnes Brea Glenn Parker Steven Vargas Buena Park Fred Smith Sunny Park Cypress Mariellen Yarc Stacy Berry Fountain Valley Steve Nagel Patrick Harper Fullerton Jesus J. Silva Jan Flory Garden Grove Steve Jones John O’Neill Huntington Beach Erik Peterson Mike Posey Irvine Christina Shea Anthony Kuo La Habra Tim Shaw Tom Beamish La Palma Peter Kim Marshall Goodman Los Alamitos Richard Murphy Dean Grose Newport Beach Brad Avery Joy Brenner Orange Mark Murphy Kim Nichols Placentia Chad Wanke Ward Smith Santa Ana Cecilia Iglesias David Penaloza Seal Beach Sandra Massa-Lavitt Schelly Sustarsic Stanton David Shawver Carol Warren Tustin Allan Bernstein Chuck Puckett Villa Park Robert Collacott Chad Zimmerman Sanitary/Water Districts Costa Mesa Sanitary District James M. Ferryman Bob Ooten Midway City Sanitary District Andrew Nguyen Al Krippner Irvine Ranch Water District John Withers Douglas Reinhart Yorba Linda Water District Phil Hawkins Brooke Jones County Areas Board of Supervisors Doug Chaffee Michelle Steel Orange County Sanitation District STEERING COMMITTEE Regular Meeting Agenda Wednesday, December 18, 2019 - 5:00 PM Conference Room A Administration Building 10844 Ellis Avenue Fountain Valley, CA 92708 (714) 593-7433 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. MEETING AUDIO: An audio recording of this meeting is available within 24 hours after adjournment of the meeting. Please contact the Clerk of the Board's office at (714) 593-7433 to request the audio file. NOTICE TO DIRECTORS: To place items on the agenda for a Committee or Board Meeting, the item must be submitted in writing to the Clerk of the Board: Kelly A. Lore, MMC, (714) 593-7433 / klore@ocsd.com at least 14 days before the meeting. FOR ANY QUESTIONS ON THE AGENDA, BOARD MEMBERS MAY CONTACT STAFF AT: General Manager: Jim Herberg, jherberg@ocsd.com / (714) 593-7300 Asst. General Manager: Lorenzo Tyner, ltyner@ocsd.com / (714) 593-7550 Asst. General Manager: Rob Thompson, rthompson@ocsd.com / (714) 593-7310 Director of Human Resources: Celia Chandler, cchandler@ocsd.com / (714) 593-7202 Director of Engineering: Kathy Millea, kmillea@ocsd.com / (714) 593-7365 Director of Environmental Services: Lan Wiborg, lwiborg@ocsd.com / (714) 593-7450 STEERING COMMITTEE Regular Meeting Agenda Wednesday, December 18, 2019 CALL TO ORDER DECLARATION OF QUORUM: PUBLIC COMMENTS: If you wish to address the Committee on any item, please complete a Speaker’s Form (located at the table outside of the Board Room) and submit it to the Clerk of the Board or notify the Clerk of the Board the item number on which you wish 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: 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. 1.2019-710APPROVAL OF MINUTES RECOMMENDATION: Approve Minutes of the Regular Meeting of the Steering Committee held November 20, 2019. Originator:Kelly Lore Agenda Report 11-20-2019 Steering Committee Minutes Attachments: NON-CONSENT: 2.2019-809MEMORANDUM OF UNDERSTANDING WITH ORANGE COUNTY EMPLOYEES RETIREMENT SYSTEM REGARDING PAYMENT OF UNFUNDED ACTUARIAL ACCRUED LIABILITIES RECOMMENDATION: Recommend to the Board of Directors to: Adopt Resolution No. OCSD 19-20 entitled, “A Resolution of the Board of Directors of the Orange County Sanitation District authorizing the Execution of the Memorandum of Understanding with the Orange County Employees Retirement System establishing the terms to recognize and apply the Orange County Sanitation District’s satisfaction of its Unfunded Accrued Actuarial Liability and deferred Unfunded Accrued Actuarial Liability. Originator:Lorenzo Tyner Page 1 of 4 STEERING COMMITTEE Regular Meeting Agenda Wednesday, December 18, 2019 Agenda Report Draft Resolution No. OCSD 19-20 Exhibit "A" Memorandum of Understanding Attachments: INFORMATION ITEMS: None. DEPARTMENT HEAD REPORTS: 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, or personnel matters, pursuant to Government Code Sections 54956.8, 54956.9, 54957 or 54957.6, as noted. Reports relating to (a) purchase and sale of real property; (b) matters of pending or potential litigation; (c) employment actions or negotiations with employee representatives; or which are exempt from public disclosure under the California Public Records Act, may be reviewed by the Board during a permitted closed session and are not available for public inspection. At such time the Board takes final action on any of these subjects, the minutes will reflect all required disclosures of information. CONVENE IN CLOSED SESSION. CS-1 2019-799CONFERENCE WITH LEGAL COUNSEL RE ANTICIPATED LITIGATION - GOVERNMENT CODE SECTION 54956.9(d)(4) RECOMMENDATION: Convene in Closed Session: Number of Potential Cases: 1 Initiation of litigation regarding development fees and conditions at Project OCSD Headquarters Building: City of Fountain Valley Agenda Report Memo re Anticipated Litigation Headquarters Building Attachments: CS-2 2019-834CONFERENCE WITH LEGAL COUNSEL RE ANTICIPATED LITIGATION - GOVERNMENT CODE SECTION 54956.9(d)(4) RECOMMENDATION: Convene in Closed Session: Number of Potential Cases: 1 Claim received from Shimmick Construction pertaining to Project No. J-117B - Outfall Low Pump Station Ocean Outfall System Rehabilitation Page 2 of 4 STEERING COMMITTEE Regular Meeting Agenda Wednesday, December 18, 2019 Agenda Report Memo re Anticipated Litigation Shimmick Construction Attachments: CS-3 2019-841CONFERENCE WITH LEGAL COUNSEL RE ANTICIPATED LITIGATION - GOVERNMENT CODE SECTION 54956.9(d)(4) RECOMMENDATION: Convene in Closed Session: Number of Potential Cases: 1 Claim received from Terra Insurance Company pertaining to insurance requirements for Orange County Sanitation District Project No. PS17-03 - Active Fault Location Study at Plant No. 2 Agenda Report Memo re Anticipated Litigation Terra Insurance Company Attachments: CS-4 2019-839CONFERENCE WITH REAL PROPERTY NEGOTIATORS - GOVERNMENT CODE SECTION 54956.8 RECOMMENDATION: Convene in Closed Session: Property: 18475 Bandilier Cir. Fountain Valley, CA - APN No.156-163-15; Agency negotiators: General Manager, Jim Herberg; Assistant General Manager, Lorenzo Tyner; Assistant General Manager, Rob Thompson; and Director of Engineering, Kathy Millea. Negotiating parties: Sukut Real Properties II, LLC Under negotiation: Price and terms of payment Agenda Report Memo re Real Property 18475 Bandilier Cir. Attachments: 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: BOARD OF DIRECTORS INITIATED ITEMS FOR A FUTURE MEETING: At this time Committee members may request staff to place an item on a future agenda. Page 3 of 4 STEERING COMMITTEE Regular Meeting Agenda Wednesday, December 18, 2019 ADJOURNMENT: The next Steering Committee meeting is scheduled for Wednesday, January 22, 2020 at 5:00 p.m. Page 4 of 4 Orange County Sanitation District STEERING COMMITTEE Agenda Report Administration Building 10844 Ellis Avenue Fountain Valley, CA 92708 (714) 593-7433 File #:2019-710 Agenda Date:12/18/2019 Agenda Item No:1. FROM:James D. Herberg, General Manager Originator: Kelly A. Lore, Clerk of the Board SUBJECT: APPROVAL OF MINUTES GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Approve Minutes of the Regular Meeting of the Steering Committee held November 20, 2019. BACKGROUND In accordance with the Board of Directors Rules of Procedure,an accurate record of each meeting will be provided to the Directors for subsequent approval at the following meeting. RELEVANT STANDARDS ·Resolution No. OCSD 19-19 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: ·Minutes of the Steering Committee meeting held November 20, 2019 Orange County Sanitation District Printed on 12/9/2019Page 1 of 1 powered by Legistar™ Orange County Sanitation District Minutes for the STEERING COMMITTEE Wednesday, November 20, 2019 5:00 PM Conference Room A Administration Building 10844 Ellis Avenue Fountain Valley, CA 92708 (714) 593-7433 CALL TO ORDER A regular meeting of the Steering Committee of the Orange County Sanitation District was called to order by Board Chairman David Shawver on Wednesday, November 20, 2019 at 5:03 p.m. in the Administration Building of the Orange County Sanitation District. DECLARATION OF QUORUM: A quorum was declared present, as follows: PRESENT:David Shawver, John Withers, Robert Collacott, Peter Kim, Chad Wanke and Glenn Parker ABSENT:Tim Shaw STAFF PRESENT: Jim Herberg, General Manager; Rob Thompson, Assistant General Manager; Lorenzo Tyner, Assistant General Manager; Kathy Millea, Director of Engineering; Kelly Lore, Clerk of the Board; Daisy Covarrubias; Al Garcia; Tom Grant; Tina Knapp; Laura Maravilla; Jeff Mohr; Tyler Ramirez; Wally Ritchie; Roya Sohanaki and Mickey Whitney. OTHERS PRESENT: Brad Hogin, General Counsel; Roger Cerda and Peter Maisitis, Alston & Bird (Special Counsel). PUBLIC COMMENTS: None. REPORTS: None. CONSENT CALENDAR: 1.APPROVAL OF MINUTES 2019-650 Originator: Kelly Lore MOVED, SECONDED, AND DULY CARRIED TO: Page 1 of 4 STEERING COMMITTEE Minutes November 20, 2019 Approve Minutes of the Regular Meeting of the Steering Committee held October 23, 2019. AYES:David Shawver, John Withers, Robert Collacott, Peter Kim, Chad Wanke and Glenn Parker NOES:None ABSENT:Tim Shaw ABSTENTIONS:None NON-CONSENT: 2.ORANGE COUNTY SANITATION DISTRICT’S STRATEGIC PLAN 2019-719 Originator: Rob Thompson Assistant General Manager Rob Thompson provided a brief summary of the steps taken in the preparation of the Strategic Plan. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: A. Adopt the 2019 Strategic Plan; and B. Direct staff to implement the goals contained in the Strategic Plan. AYES:David Shawver, John Withers, Robert Collacott, Peter Kim, Chad Wanke and Glenn Parker NOES:None ABSENT:Tim Shaw ABSTENTIONS:None INFORMATION ITEMS: None. DEPARTMENT HEAD REPORTS: None. CLOSED SESSION: CONVENED IN CLOSED SESSION PURSUANT TO GOVERNMENT CODE SECTIONS 54956.9(d)(4) & 54956.9(d)(1): The Committee convened in closed session at 5:07 p.m. to discuss three items. Confidential minutes of the Closed Sessions 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. Page 2 of 4 STEERING COMMITTEE Minutes November 20, 2019 CS-1 CONFERENCE WITH LEGAL COUNSEL RE ANTICIPATED LITIGATION - GOVERNMENT CODE SECTION 54956.9(d)(4) 2019-725 CONVENED IN CLOSED SESSION: Number of Potential Cases: 1 Initiation of litigation regarding permittee: Aseptic Technology, LLC CS-2 CONFERENCE WITH LEGAL COUNSEL RE ANTICIPATED LITIGATION - GOVERNMENT CODE SECTION 54956.9(d)(4) 2019-726 CONVENED IN CLOSED SESSION: Number of Potential Cases: 1 Initiation of litigation regarding development fees and conditions at Project OCSD Headquarters Building: City of Fountain Valley CS-3 CONFERENCE WITH LEGAL COUNSEL RE EXISTING LITIGATION - GOVERNMENT CODE SECTION 54956.9(d)(1) 2019-741 CONVENED IN CLOSED SESSION: Number of Cases: 1 Klean Waters, Inc. v. Orange County Sanitation District, United States District Court, Central District of California, Southern Division, Case No. 8:15-cv-00627...body The Committee reconvened in regular session at 6:01 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. BOARD OF DIRECTORS INITIATED ITEMS FOR A FUTURE MEETING: None. ADJOURNMENT: Chair Shawver declared the meeting adjourned at 6:02 p.m. to the next Steering Committee meeting to be held on Wednesday, December 18, 2019 at 5:00 p.m. Page 3 of 4 STEERING COMMITTEE Minutes November 20, 2019 Submitted by: __________________ Kelly A. Lore, MMC Clerk of the Board Page 4 of 4 Orange County Sanitation District STEERING COMMITTEE Agenda Report Administration Building 10844 Ellis Avenue Fountain Valley, CA 92708 (714) 593-7433 File #:2019-809 Agenda Date:12/18/2019 Agenda Item No:2. FROM:James D. Herberg, General Manager Originator: Lorenzo Tyner, Assistant General Manager SUBJECT: MEMORANDUM OF UNDERSTANDING WITH ORANGE COUNTY EMPLOYEES RETIREMENT SYSTEM REGARDING PAYMENT OF UNFUNDED ACTUARIAL ACCRUED LIABILITIES GENERAL MANAGER'S RECOMMENDATION RECOMMENDATION: Recommend to the Board of Directors to: Adopt Resolution No. OCSD 19-20 entitled, “A Resolution of the Board of Directors of the Orange County Sanitation District authorizing the Execution of the Memorandum of Understanding with the Orange County Employees Retirement System establishing the terms to recognize and apply the Orange County Sanitation District’s satisfaction of its Unfunded Accrued Actuarial Liability and deferred Unfunded Accrued Actuarial Liability. BACKGROUND On September 9,2019 and November 1,2019,the Orange County Sanitation District (Sanitation District)made an Unfunded Accrued Actuarial Liability (UAAL)payment totaling $38,000,000 in its defined pension plan administered by the Orange County Employees Retirement System (OCERS), which paid off both the Sanitation District’s UAAL and proportionate share of the deferred losses not yet recognized in the December 31,2018 actuarial valuation (deferred investment loss).As a result of the Sanitation District paying off the UAAL,and making the additional payment on the deferred losses,OCERS’actuary recommended that a bookkeeping account be created because the deferred losses are not yet part of the UAAL as reported in the December 31,2018 Actuarial Valuation.The bookkeeping account provides a mechanism to track the contributions made related to the deferred losses.The balance in the account will be used to offset UAAL as it is recognized in future valuations.The OCERS Board of Retirement approved the bookkeeping account at its October 21, 2019 meeting with direction to staff to memorialize the terms and conditions under which OCERS shall recognize and apply the balance in the new bookkeeping account in future valuations. OCERS drafted a Memorandum of Understanding (MOU)that specifies how the contributions made by the Sanitation District will be accounted for by OCERS,including how interest will be applied and when balances in the bookkeeping account will be moved out of the account and become valuation assets to cover UAAL.The Sanitation District’s General Counsel has reviewed the MOU and drafted Resolution No.OCSD 19-20,which if approved,authorizes the execution of the MOU between OCERS and the Sanitation District. Orange County Sanitation District Printed on 12/12/2019Page 1 of 2 powered by Legistar™ File #:2019-809 Agenda Date:12/18/2019 Agenda Item No:2. RELEVANT STANDARDS ·Ensure the public’s money is wisely spent PROBLEM There is currently no mechanism to track the contributions made related to the deferred losses.The balance in the account needs to offset the UAAL as it is recognized in future valuations. PROPOSED SOLUTION The bookkeeping account provides a mechanism to track the contributions made related to the deferred losses.The balance in the account will be used to offset UAAL as it is recognized in future valuations.The OCERS Board of Retirement approved the bookkeeping account at its October 21, 2019 meeting with direction to staff to memorialize the terms and conditions under which OCERS shall recognize and apply the balance in the new bookkeeping account in future valuations. TIMING CONCERNS OCERS approved the MOU at its October 21, 2019 Board meeting. RAMIFICATIONS OF NOT TAKING ACTION OCERS has no direction from the Sanitation District on an agreed upon procedure for tracking the UAAL contributions made by the Sanitation District related to the deferred investment losses as of December 31, 2018. PRIOR COMMITTEE/BOARD ACTIONS August 2019 - Board approved up to $38 million pay-down against its UAAL with OCERS. January 2017 -Board approved Resolution No.OCSD 17-01 entering into a MOU with OCERS Regarding Payment of Unfunded Actuarial Accrued Liabilities. ATTACHMENT The following attachment(s)may be viewed on-line at the OCSD website (www.ocsd.com)with the complete agenda package: ·Draft Resolution No. OCSD 19-20 ·Exhibit “A” Memorandum of Understanding Orange County Sanitation District Printed on 12/12/2019Page 2 of 2 powered by Legistar™ OCSD 19-20-1 RESOLUTION NO. OCSD 19-20 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE ORANGE COUNTY SANITATION DISTRICT AUTHORIZING THE EXECUTION OF THE MEMORANDUM OF UNDERSTANDING WITH THE ORANGE COUNTY EMPLOYEES RETIREMENT SYSTEM ESTABLISHING THE TERMS TO RECOGNIZE AND APPLY THE ORANGE COUNTY SANITATION DISTRICT’S SATISFACTION OF ITS UNFUNDED ACCRUED ACTUARIAL LIABILITY AND DEFERRED UNFUNDED ACCRUED ACTUARIAL LIABILITY WHEREAS, as a participating employer in the Orange County Employees Retirement System (“OCERS”), the Orange County Sanitation District (“Sanitation District”) contributes to OCERS on an annual basis such contributions as OCERS determines are due and payable to OCERS from the Sanitation District, as an employer, to help fund the retirement and other benefits due to Sanitation District employees and their beneficiaries; and WHEREAS, the Sanitation District’s annual contributions as determined by OCERS are currently calculated as a percentage of pensionable payroll that includes both a normal contribution rate (“Normal Cost”) and a rate that reflects the amortization of an unfunded accrued actuarial liability (“UAAL”) attributable to the Sanitation District, pursuant to Government Code sections 31453 and 31453.5; and WHEREAS, as of September 4, 2019, the total UAAL attributable to the Sanitation District was $8,116,226; and WHEREAS, as of December 31, 2018, an additional UAAL attributable to the Sanitation District on the books of OCERS totaled $30,232,235 (“Deferred UAAL”), which amount has been deferred and is projected to be due and payable by the Sanitation District in amortizing installments commencing July 1, 2021; and WHEREAS, the amortizing installments of Sanitation District’s Deferred UAAL in any future year may be more or less than the total UAAL attributable to the Sanitation District in such future year (“Actual UAAL”); and WHEREAS, as of November 1, 2019, the Sanitation District has contributed $38,000,000 to OCERS in satisfaction of its UAAL and Deferred UAAL; and WHEREAS, the Sanitation District and OCERS wish to enter into a Memorandum of Understanding (“MOU”) to set forth the terms and conditions under which OCERS shall recognize and apply the Sanitation District’s Contribution. OCSD 19-20-2 NOW, THEREFORE, the Board of Directors of Orange County Sanitation District, DOES HEREBY RESOLVE, DETERMINE, AND ORDER: Section 1: The above recitals are true and correct and are incorporated herein by reference. Section 2: That the Board Chairman is hereby authorized and directed to execute the Memorandum of Understanding as attached hereto as Exhibit “A”. Section 3: 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 December 18, 2019. ____________________________________ David John Shawver Board Chairman Orange County Sanitation District ATTEST: _________________________________ Kelly A. Lore Clerk of the Board Orange County Sanitation District APPROVED AS TO FORM: _________________________________ Bradley R. Hogin General Counsel Orange County Sanitation District OCSD 19-20-3 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 19-20 was passed and adopted at a regular meeting of said Board on the 18th day of December 2019, 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 18th day of December 2019. Kelly A. Lore Clerk of the Board of Directors Orange County Sanitation District Orange County Sanitation District STEERING COMMITTEE Agenda Report Administration Building 10844 Ellis Avenue Fountain Valley, CA 92708 (714) 593-7433 File #:2019-799 Agenda Date:12/18/2019 Agenda Item No:CS-1 FROM:James D. Herberg, General Manager SUBJECT: CONFERENCE WITH LEGAL COUNSEL RE ANTICIPATED LITIGATION - GOVERNMENT CODE SECTION 54956.9(D)(4) RECOMMENDATION: Convene in Closed Session: Number of Potential Cases: 1 Initiation of litigation regarding development fees and conditions at Project OCSD Headquarters Building: City of Fountain Valley BACKGROUND 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, or personnel matters. 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 the Board takes final action on any of these subjects, the minutes will reflect all required disclosures of information. RELEVANT STANDARDS ·Government Code Sections 54956.8, 54956.9, 54957, or 54957.6, as noted 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: ·Memorandum from General Counsel Orange County Sanitation District Printed on 12/11/2019Page 1 of 1 powered by Legistar™ 1114541.2 555 AN T O N B O U L E V A R D, SU I T E 12 0 0 C O S T A ME S A , CA 9 2 6 26-7 6 70 (714) 558-7000 MEMORANDUM TO: Hon. Chair and Members of the Orange County Sanitation District Steering Committee FROM: Bradley R. Hogin, Esq. General Counsel DATE: December 9, 2019 RE: Closed Session Items The Steering Committee desires to hold a closed session on December 18, 2019 for the purpose of conferring with its legal counsel regarding potential litigation. 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: a dispute has arisen between the City of Fountain Valley and the District regarding fees and conditions that the City seeks to impose on the District’s construction of a new headquarters building. In the view of the District, these fees and conditions are unlawful. Respectfully submitted, By_________________________________ Bradley R. Hogin, General Counsel Orange County Sanitation District STEERING COMMITTEE Agenda Report Administration Building 10844 Ellis Avenue Fountain Valley, CA 92708 (714) 593-7433 File #:2019-834 Agenda Date:12/18/2019 Agenda Item No:CS-2 FROM:James D. Herberg, General Manager SUBJECT: CONFERENCE WITH LEGAL COUNSEL RE ANTICIPATED LITIGATION - GOVERNMENT CODE SECTION 54956.9(D)(4) RECOMMENDATION: Convene in Closed Session: Number of Potential Cases: 1 Claim received from Shimmick Construction pertaining to Project No. J-117B - Outfall Low Pump Station Ocean Outfall System Rehabilitation BACKGROUND 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, or personnel matters. 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 the Board takes final action on any of these subjects, the minutes will reflect all required disclosures of information. RELEVANT STANDARDS ·Government Code Sections 54956.8, 54956.9, 54957, or 54957.6, as noted 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: ·Memorandum from General Counsel Orange County Sanitation District Printed on 12/11/2019Page 1 of 1 powered by Legistar™ 1459833.1 555 AN T O N B O U L E V A R D, SU I T E 12 0 0 C O S T A ME S A , CA 9 2 6 26-7 6 70 (714) 558-7000 MEMORANDUM TO: Hon. Chair and Members of the Orange County Sanitation District Steering Committee FROM: Bradley R. Hogin, Esq. General Counsel DATE: December 10, 2019 RE: Closed Session Items The Steering Committee desires to hold a closed session on December 18, 2019 for the purpose of conferring with its legal counsel regarding potential litigation. Existing facts and circumstances reflect a significant exposure to litigation against the District. 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 District received a claim for damages from Shimmick Construction pertaining to Project No. J-117B – Outfall Low Pump Station Ocean Outfall System Rehabilitation. Respectfully submitted, By_________________________________ Bradley R. Hogin, General Counsel Orange County Sanitation District STEERING COMMITTEE Agenda Report Administration Building 10844 Ellis Avenue Fountain Valley, CA 92708 (714) 593-7433 File #:2019-841 Agenda Date:12/18/2019 Agenda Item No:CS-3 FROM:James D. Herberg, General Manager SUBJECT: CONFERENCE WITH LEGAL COUNSEL RE ANTICIPATED LITIGATION - GOVERNMENT CODE SECTION 54956.9(D)(4) RECOMMENDATION: Convene in Closed Session: Number of Potential Cases: 1 Claim received from Terra Insurance Company pertaining to insurance requirements for Orange County Sanitation District Project No. PS17-03 - Active Fault Location Study at Plant No. 2 BACKGROUND 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, or personnel matters. 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 the Board takes final action on any of these subjects, the minutes will reflect all required disclosures of information. RELEVANT STANDARDS ·Government Code Sections 54956.8, 54956.9, 54957, or 54957.6, as noted 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: ·Memorandum from General Counsel Orange County Sanitation District Printed on 12/11/2019Page 1 of 1 powered by Legistar™ 1114541.2 555 AN T O N B O U L E V A R D, SU I T E 12 0 0 C O S T A ME S A , CA 9 2 6 26-7 6 70 (714) 558-7000 MEMORANDUM TO: Hon. Chair and Members of the Orange County Sanitation District Steering Committee FROM: Bradley R. Hogin, Esq. General Counsel DATE: December 10, 2019 RE: Closed Session Items The Steering Committee desires to hold a closed session on December 18, 2019 for the purpose of conferring with its legal counsel regarding potential litigation. Existing facts and circumstances reflect a significant exposure to litigation against the District. 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 District received a claim for damages from Terra Insurance Company pertaining to insurance requirements for Orange County Sanitation District Project No. PS17-03. Respectfully submitted, By_________________________________ Bradley R. Hogin, General Counsel Orange County Sanitation District STEERING COMMITTEE Agenda Report Administration Building 10844 Ellis Avenue Fountain Valley, CA 92708 (714) 593-7433 File #:2019-839 Agenda Date:12/18/2019 Agenda Item No:CS-4 FROM:James D. Herberg, General Manager SUBJECT: CONFERENCE WITH REAL PROPERTY NEGOTIATORS - GOVERNMENT CODE SECTION 54956.8 RECOMMENDATION: Convene in Closed Session: Property: 18475 Bandilier Cir. Fountain Valley, CA - APN No.156-163-15; Agency negotiators:General Manager,Jim Herberg;Assistant General Manager,Lorenzo Tyner; Assistant General Manager, Rob Thompson; and Director of Engineering, Kathy Millea. Negotiating parties: Sukut Real Properties II, LLC Under negotiation: Price and terms of payment BACKGROUND 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, or personnel matters. 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 the Board takes final action on any of these subjects, the minutes will reflect all required disclosures of information. RELEVANT STANDARDS ·Government Code Sections 54956.8, 54956.9, 54957, or 54957.6, as noted 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: ·Memorandum from General Counsel Orange County Sanitation District Printed on 12/11/2019Page 1 of 1 powered by Legistar™ 1411299.1 555 AN T O N B O U L E V A R D, SU I T E 12 0 0 C O S T A ME S A , CA 9 2 6 26-7 6 70 (714) 558-7000 MEMORANDUM TO: Hon. Chair and Members of the Orange County Sanitation District Steering Committee FROM: Bradley R. Hogin, Esq. General Counsel DATE: December 11, 2019 RE: Closed Session Items The Steering Committee desires to hold a closed session on December 18, 2019 for the purpose of conferring with its negotiators regarding the purchase of real property. The property is 18475 Bandilier Cir. Fountain Valley, APN No. 156-163-15. The District’s negotiators are Jim Herberg, Lorenzo Tyner, Rob Thompson and Kathy Millea. Said closed session will be held pursuant to authority of California Government Code Section 54956.8. Respectfully submitted, By: _________________________ Bradley R. Hogin, General Counsel ORANGE COUNTY SANITATION DISTRICT COMMON ACRONYMS ACWA Association of California Water Agencies LAFCO Local Agency Formation Commission RWQCB Regional Water Quality Control Board APWA American Public Works Association LOS Level Of Service SARFPA Santa Ana River Flood Protection Agency AQMD Air Quality Management District MGD Million Gallons Per Day SARI Santa Ana River Interceptor ASCE American Society of Civil Engineers MOU Memorandum of Understanding SARWQCB Santa Ana Regional Water Quality Control Board BOD Biochemical Oxygen Demand NACWA National Association of Clean Water Agencies SAWPA Santa Ana Watershed Project Authority CARB California Air Resources Board NEPA National Environmental Policy Act SCADA Supervisory Control And Data Acquisition CASA California Association of Sanitation Agencies NGOs Non-Governmental Organizations SCAP Southern California Alliance of Publicly Owned Treatment Works CCTV Closed Circuit Television NPDES National Pollutant Discharge Elimination System SCAQMD South Coast Air Quality Management District CEQA California Environmental Quality Act NWRI National Water Research Institute SOCWA South Orange County Wastewater Authority CIP Capital Improvement Program O & M Operations & Maintenance SRF Clean Water State Revolving Fund CRWQCB California Regional Water Quality Control Board OCCOG Orange County Council of Governments SSMP Sewer System Management Plan CWA Clean Water Act OCHCA Orange County Health Care Agency SSO Sanitary Sewer Overflow CWEA California Water Environment Association OCSD Orange County Sanitation District SWRCB State Water Resources Control Board EIR Environmental Impact Report OCWD Orange County Water District TDS Total Dissolved Solids EMT Executive Management Team OOBS Ocean Outfall Booster Station TMDL Total Maximum Daily Load EPA US Environmental Protection Agency OSHA Occupational Safety and Health Administration TSS Total Suspended Solids FOG Fats, Oils, and Grease PCSA Professional Consultant/Construction Services Agreement WDR Waste Discharge Requirements gpd gallons per day PDSA Professional Design Services Agreement WEF Water Environment Federation GWRS Groundwater Replenishment System POTW Publicly Owned Treatment Works WERF Water Environment & Reuse Foundation ICS Incident Command System ppm parts per million WIFIA Water Infrastructure Finance and Innovation Act IERP Integrated Emergency Response Plan PSA Professional Services Agreement WIIN Water Infrastructure Improvements for the Nation Act JPA Joint Powers Authority RFP Request For Proposal WRDA Water Resources Development Act ORANGE COUNTY SANITATION DISTRICT GLOSSARY OF TERMS 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. 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 (D/T) – 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. LEVEL 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. 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.