Wednesday, January 8, 2014

Minutes of the ISD Regular Board Meeting December 3, 2013



MINUTES OF THE REGULAR MEETING
OF THE BOARD OF DIRECTORS OF THE
IRONHOUSE SANITARY DISTRICT

December 3, 2013

The Ironhouse Sanitary District (ISD) Board of Directors met in regular session on Tuesday, December 3, 2013.

The place of meeting was the Ironhouse Sanitary District Office at 450 Walnut Meadows Drive, Oakley, California. 

1.          Call to Order
The meeting was called to order by President Lauritzen at 7:00 p.m.

2.       Roll Call:
Directors present:                David Contreras, David Huerta, Chris Lauritzen, Michael Painter and Doug Scheer

          Members absent:                None

Staff/Consultants present:     Tom Williams, General Manager
                                                Susan Walde, District Secretary
                                                Bob Henn, District Counsel
                                                Michael Welty, Financial Officer
                                                Joe Mueller, Environmental/Process Compliance Manager
                                               
          Interested Parties:               Susan Morgan, Oakley
                                                Randy Pope, City of Oakley
                                                Bryan Bertacchi, Radback Energy
                                                Brian Connelly, Maintenance Worker II
                                                Louis Solana, Lead Maintenance Worker
                                                Jack Ossowski, Maintenance Worker II
                                                Leon Laucirica, Maintenance Worker II
                                                Eric Robertson, Lead Vehicle/Equipment Mechanic
                                                Lawrence Ginochio, Lead Ranch Operator
                                                Dominic Gardiner, Maintenance Worker II

          Pledge of Allegiance:           Led by President Lauritzen

          Employee Awards – Louis Solana, Lead Maintenance Worker – 10 Year Service Award
                                    Eric Robertson, Lead Vehicle/Equip. Mechanic – 10 Year Service Award
                                    Lawrence Ginochio, Lead Ranch Operator – 10 Year Service Award
On behalf of the Board, President Lauritzen acknowledged each above staff member presenting them with a Certificate of Merit and thanked each staff member for their hard work and dedication to the District.
3.       Approval of Agenda
M/S D. Contreras, M. Painter, and the Board voted to approve the agenda.

4.       Approval of the Minutes of the November 5, 2013 Regular Meeting.

M/S D. Contreras, D. Scheer and the Board voted to approve the minutes of the November 5, 2013 Regular Meeting.

5.       Public Comments – Communications from the public on subjects not on the agenda. 
There were no comments from the public.

6.       Consent Calendar
          A.      Approval of Payment Order, Report on Financial Position & Operating Performance.
M/S D. Huerta, D. Scheer and the Board voted to approve the Consent Calendar.

7.       Business Before the Board

7A.     APPROVAL OF IMPROVEMENT AGREEMENT FOR SEWER FACILITIES WITH CONTRA COSTA GENERATING STATION LLC FOR THE OAKLEY GENERATING STATION.
          Mr. Tom Williams introduced Representative Bryan Bertacchi of Radback Energy for the Oakley Generating Station.  He spoke to the Board regarding the agreement for Sewer Facilities for construction of sewer improvements.  This agreement is a commitment to the future project.  The agreement has been approved by the attorneys and to request approval of the Boart to move forward with the agreement to obtain financing for the project.  Mr. Bertacchi thanked staff for their quick work to get the agreement done to help close financing on the project. 
President Lauritzen asked about the 3 percent inflator provision.  Director Painter asked about the timing of the project.  Mr. Bertacchi stated he felt it would take approximately two – eight months to close the financing and the project could start construction at that time. 
M/S M. Painter, D. Huerta and the Board voted unanimously to approve the Improvement Agreement for Sewer Facilities with Contra Costa Generating Station LLC for construction of sewer improvements associated with the Oakley Generating Station and the accompanying Notice of Determination.   

          7B.   CONSIDERATION OF OPTIONS FOR POSSIBLE STAFF COMPENSATION ADJUSTMENTS IN RELATION TO THE DRAFT TCS STUDY BY KOFF AND ASSOCIATES.
          Mr. Williams spoke to the Board and at the Board’s request; staff has prepared alternates to the TCS in the 43rd, 44th, and the 45th percentiles.  The 43rd and 45th percentile alternatives were requested by the Board at its October 9, 2013 special meeting and the 44th percentile alternative was requested by the finance committee at its November 9, 2013 committee meeting.
On behalf of the finance committee represented by Director Huerta, the committee went over the numbers with great concern regarding the bottom line, implementation of the numbers, and how it impacts the next two years budget.  The finance committee recommends the Board use the 44th percentile alternative that will leave the District with a sound number for budgeting purposes. 
Discussion was held on the three alternatives and the impact on the budget and the consideration for the future. 
Director Contreras stated that the study will be used to implement and in hopes of connections coming on, to increase in the future.  Director Painter stated that every Board member here wants to keep the District in the 50 percentile, but we have to stay within our budget numbers.  President Lauritzen stated that he is comfortable with the 50th percentile, but stated that we can’t do it all in one year.  He stated that we need to keep and retain our folks.  We understand that our staff has families and our goal is to take care of our employees.  Director Scheer stated that the TCS needs to be reviewed more often than every 7 years.  Director Contreras stated in the next five years, our goal is to visit the TCS annually to stay current. 
Director Painter thanked Director Contreras and Director Huerta for their work.  He stated they have worked on this long and hard and have put a considerable about of time and effort into the study. 
Mr. Haefke spoke to the Board and asked, what is the minimum amount number to meet the net revenue.  Director Huerta stated to meet the 45th percentile was not enough to create a comfortable cushion for the finance committee.  Mr. Welty stated there is not a solvent number to meet the net revenue.  Mr. Haefke asked if we bring up the connections will the 50th percentile be visited again. 
President Lauritzen stated the Board will be more fluid and more diligent to help take care of their employees.  He thanked the Finance committee on behalf of the Board for all their time.
Mr. Frank Casey asked the Board, by not raising the rate and holding the rate at $618 he understands, but it has hurt the employees by not allowing adequate annual COLA’s and raises.
President Lauritzen stated the Board has a responsibility to be fiscally responsible to the ratepayer.  At 14,600 connections each dollar makes a big difference in this past economy.  He also stated that $2.5 million dirt project will help fund the projects reserve account.
Mr. Louis Solana spoke on the Proposition 218 that was passed with a 5 year projection of a rate increase to $680.  He stated as a rate payer he understands the cost of doing business.  For the service provided for $51.50 a month compared to other utilizes needed for a household it is reasonable and folks would pay for the increase to $680.  As an employee we work hard and shouldn’t be at the 35-40th percentile.  We need to be taken care of.
Mr. Williams spoke to the Board and all attending on the rate proposed in the Prop 218 in F/Y 06/07 to a maximum of $680.  He stated the economy changed and we are still at a high rate as compared to other districts, and as other Districts perform upgrades they are catching up to ISD.  He stated the District is right where it needs to be for a rate. 
Director Contreras stated the Board is trying to take care of the issues.  We have addressed transparencies, making the public more aware of our District.  Nothing is the same as it was and the economy has changed.
Mr. Dominic Gardiner asked if the Board is trying to catch up to the 50th percentile in three years.  
President Lauritzen stated if fuel stays down, the solar goes online and we obtain 300 connections, the Board will work to bring the employees up to the 50th percentile. 
Mr. Haefke stated he is looking for a commitment from the Board to bring staff to the 50th percentile. 
M/S D. Contreras, D. Scheer and the Board voted unanimously to implement the Total Compensation Study at the 44th percentile approving an amount of $144,000. 

          7C.     CONSIDERATION OF ACCEPTING PROPOSED CHANGES TO THE STRATEGIC PLAN.
Mr. Williams stated that the Board packet includes a track change version of the edits made to the Strategic Plan at the November 21, 2013 Special Workshop meeting.  Staff’s recommendation is for the Board to review and accept the changes to the Strategic Plan as of November 22, 2013. 
M/S D. Contreras, D. Huerta and the Board voted unanimously to accept the changes to the Strategic Plan and advise staff to review annually with the Board of Directors.

          7D.     CONSIDERATION OF SECURITY UPDATES FOR JERSEY ISLAND AT HEADQUARTERS AND NEW CARETAKER’S AREA.
Mr. Dave Dal Porto spoke to the Board regarding the security exposures to the Island at headquarters location with the caretaker moving to the new location.   ISD should be taking possession of the new mobilehome for the caretaker mid-December.  He has been doing research on security systems to cover the office and the equipment at headquarters.  He presented the Board with a two-fold security proposal using a wireless system and a hardwire system from Electrical Protection Inc.
Director Contreras asked staff if the cost is in the budget and also asked for a professional opinion from Director Scheer.  Mr. Dal Porto stated that staff can provide a considerable amount of in-house work i.e., labor to complete the trenching.  The funds would be covered by the capital reserve account.  Director Scheer advised the Board that in his opinion, hardwiring systems are always better. 
Discussion was held on the placement of gates and camera’s.  There was also discussion on the need for temporary security at the caretakers’ site after delivery of the mobilehome, and during the process of the move of the caretaker family to protect the new mobilehome.  The temporary security coverage is included in the budget for the cost of the mobilehome.  Mr. Dal Porto stated that the cost of the new security updates would be $21,000 including ISD labor.
M/S D. Contreras, D. Huerta and the Board voted unanimously to approve installing additional security protection at the Jersey Island headquarters and new caretaker areas for a cost not to exceed $22,000. 

          7E.     CONSIDERATION OF ATTENDANCE AT CASA 2014 WINTER CONFERENCE January 15, 2014 – January 17, 2014.
Mrs. Walde asked the Board to let her know who is considering attending the conference to make the appropriate arrangements.  Director Contreras stated he would be attending and Director Scheer showed interest in attending.

          7F.     ANNUAL ORGANIZATIONAL MEETING OF THE BOARD OF DIRECTORS TO ELECT A PRESIDENT AND VICE PRESIDENT.     
President Lauritzen called for nominations to elect a President and Vice President as stated in the ISD Board By-Laws Item 4.4.  Director Contreras nominated Director Huerta for President.  Director Painter nominated David Contreras for Vice President.  Hearing no other nominations, the nominations were closed.
The President called for a secret ballot vote, and the result of the voting was unanimous, with Director David Huerta elected to the position of President and Director David Contreras elected to the position of Vice President.
Director Lauritzen surrendered his position of President to Director Huerta.  


8.       Staff Reports
Tom Williams – Mr. Williams reported that he included a report in the Board packet with a detail of his November General Manager duties.  He reported he attended the General Manager’s round table meeting at East Bay Mud.  He reported that in Region II there is a nutrient level issue; the water is becoming clearer and the algae are becoming more prominent.  There is much concern over the nitrates, ammonia, and phosphorous.  He reported that 23 facilities will have to upgrade to a nutrient removal level in the distant future.

Joe Mueller – Mr. Mueller reported that his written staff report is one month behind in reporting.  He reported that the discharge was very similar to the report of October.  It was a split month between river discharge and irrigation.

Bob Henn – Mr. Henn reported that he has been working with staff on the Improvement Agreement for Sewer Facilities associated with the Oakley Generating Station.


9.       Board Members Advisory Reports
Director Painter – Director Painter reported that on Jersey Island they released 80 pheasants before Thanksgiving and there are approximately 20 left.  There will be a junior hunt on this Saturday and estimates there will be 30-40 hunters.

Director Contreras – Director Contreras thanked Chris Lauritzen for his Presidency and acknowledged what a nice job he did as serving the office.


10.     Future Agenda Items for Consideration  
There were no items for consideration at this time.


11.     Adjournment
President Huerta adjourned the regular meeting at 8:50 p.m. until Tuesday, January 7, 2014 at 7:00 p.m. for the next regular meeting in the Ironhouse Sanitary District offices at 450 Walnut Meadows Drive, Oakley, California.









APPROVED                                                                    ____________________________                                                    
                                 President                                          District Secretary

Minutes of the ISD Speicl Workshop November 21, 2013



MINUTES OF THE SPECIAL WORKSHOP MEETING
OF THE BOARD OF DIRECTORS OF THE
IRONHOUSE SANITARY DISTRICT

November 21, 2013

The Ironhouse Sanitary District (ISD) Board of Directors met in Special Session to hold a Workshop Meeting on Thursday, November 21, 2013.

The place of the meeting was the Ironhouse Sanitary District Office at 450 Walnut Meadows Drive, Oakley, California.  The meeting was called to order by President Lauritzen at 2:02 p.m.

 1.      Call to Order  
Roll Call:
Members present:               David Contreras, David Huerta, Chris Lauritzen, Michael Painter, and Doug Scheer

Members absent:                none

Staff/Consultants present:     Tom Williams, General Manager
Susan Walde, District Secretary
Joe Mueller, Environmental Compliance Officer

Interested parties present:     None

Pledge of Allegiance was led by Director Contreras

Public CommentThere were no comments from the public in attendance.

 2.      Approval of the Agenda
M/S M. Painter, D. Huerta and the Board voted to approve the agenda.

3.       Public Comments – Communications from the public on Subjects not on the agenda.  President Lauritzen announced that there is a Delta Protection Commission meeting tonight at 6:00 p.m. at the City of Oakley Chamber facility.

4.       REVIEW OF THE STRATEGIC PLAN

Mr. Williams presented the Strategic Plan for review by the board.  The Board reviewed the plan item by item updating work that has been completed and updates to future items. 
Mr. Williams asked the Board to review the Mission, Vision and Core Values of the District.  Much discussion was held on these items.  Discussion was held on retaining quality staff at our facility and opportunities for succession planning.
The Board went on to address items which need updating as follows:
Item 1.2 - The title was changed to eliminate ‘Develop a plan to’ and change to investigate alternative sources of funding.

Item 1.7 - Director Huerta suggested the District complete in house updates to the financial and rate study yearly and use Bartel Wells on a long-term study.

Item 2.3.1 – change made to include BIMAC in public relations.

Item 2.7 – ISD Board Bylaws – each year review was changed to bi-annually.

Item 3.1.3 – 2012/13 was changed to 2014/15.

Item 3.1.4 – Standard Operating procedures was changed to include standard operating guidelines (SOP’s & SOG’s).  Also added was ‘and will be revised as needed on an ongoing basis’.

Item 3.1.6 – was changed from 2012/13 to 2013/14.  Plant operation staff will continue to be trained and reviewed in the performance of running these testing procedures.  Through a staff training and rotation program the facility will provide operational depth and redundancy in laboratory operations.  Omitted was ‘and will begin performing much of its laboratory testing in house.  Part of in house laboratory testing will include the in house training of the operations staff and the development of a rotation program.  The training and rotation program will be designed to provide operational depth and redundancy in the laboratory operations’. 

Item 3.2.1 – Was changed from 2012/13 to 2013/14.

Item 3.4 – Added to be completed in 2014/15.

Item 4.1 – Added to be completed in 2014/15.

Item 4.3 – Was changed to be update/review.

Item 4.4 – Was changed from 2012/13 to 2013/14.

Item 4.6 – This item is complete and omitted.

Item 5.3.4 The following item was added:  Develop plan for Biosolids application on Jersey Island and Timeline.

Mr. Williams stated that the Strategic Plan with the update changes will be on the December Board packet for Board approval and acceptance of changes.

5.       Adjournment

President Lauritzen adjourned the Workshop meeting at 5:20 p.m. to Tuesday, December 3, 2013 at 7:00 p.m. for the next regular meeting in the Ironhouse Sanitary District offices at 450 Walnut Meadows Drive, Oakley, California.


APPROVED                                                                    ____________________________                                                    
                                 President                                          District Secretary