CONTRA COSTA WATER DISTRICT

BOARD OF DIRECTORS

REGULAR MEETING

February 20, 2008

 

MINUTES

 

 

CALL TO ORDER 

 

President Campbell called to order a regular meeting of the Board of Directors of the Contra Costa Water District at 6:30 p.m., at 1331 Concord Avenue, Concord, the regular meeting place of the Board.

 

ROLL CALL

 

            Directors Present:                      Joseph L. Campbell, President

                                                            Elizabeth R. Anello, Vice President

                                                            John A. Burgh

                                                            Bette Boatmun

                                                            Karl L. Wandry

            General Manager:                       Walter J. Bishop

            Legal Counsel:                           Robert B. Maddow

            District Secretary:                      Sharon L. Burris

 

PLEDGE OF ALLEGIANCE

 

Director of Finance Brice Bledsoe led the Pledge of Allegiance. 

 

ADOPTION OF AGENDA

 

Mr. Bishop reported that there was a minor change to Agenda Item No. 9 – Legislative Affairs Report – February 2008.  He advised that one of the bills would be removed from the recommended action and that it would be addressed when the item was presented.   

 

PUBLIC COMMENT

 

President Campbell asked if there were any public comments.  There were no public comments.

 

CONSENT       

 

1.         Approve the minutes of January 2, 2008. 

           

2.         Approve the warrant register dated February 21, 2008.

 

3.         Award of Contract – Ygnacio Pump Station Solar Power Project   

            a.   Authorize a budget transfer in the amount of $211,000 from the FY08 Multi-Purpose Pipeline to Zone 2 Improvements Project to the FY08 Treated Water Facility Improvements Program Construction Services budget;

            b.   Authorize assignment of California Energy Commission’s Solar Initiative rebate in an amount not to exceed $120,000 to Worldwater and Solar Technologies Corporation; and 

            c.   Authorize execution of a contract with Worldwater & Solar Technologies Corporation to design and install the Ygnacio Pump Station Solar Power Project in the amount of $311,020 with a 10% change order authority of $31,102 for a total amount not to exceed $342,122.

 

4.         Authorize the General Manager to execute documents for placement of property and liability insurance coverage for the period of March 1, 2008 to March 1, 2009 in an amount not to exceed $680,109.

 

Director Boatmun advised that she had a correction to the minutes of January 2, 2008.  Referencing page 5, paragraph 14, the minutes should reflect “Director Boatmun would not be attending Contra Costa USA 2008 on January 24 due to a conflict with an ACWA Board of Directors meeting.”  President Campbell asked if there were any objections to the change.  There were no objections. 

 

MOTION:  Boatmun/Wandry to approve the consent calendar with the minutes revised to reflect the change as noted.  The motion carried by a unanimous voice vote. 

 

ACTION

 

President Campbell advised that Agenda Item No. 6 and Agenda Item No. 7 would be taken prior to Agenda Item No. 5 as a courtesy to the contractors in the audience.  

 

6.         Authorize execution of a contract with Independent Construction Co. for the construction of the Alternative Intake Project – Setback Levee and Site Improvements for an amount of $7,428,675, with an 8% change order authority of $594,294, for a total amount not to exceed $8,022,969.

 

Mr. Bishop reported that the Alternative Intake Project (AIP) had been before the Operations and Engineering Committee on several occasions.  This item was placed on the action calendar due to the amount of the contract.  He advised that 17 bids were received for the project and Independent Construction Company was the lowest responsive, responsible bidder.  He noted that the Assistant General Manager of Engineering and Construction, Steve Welch, was present to answer any questions.

 

Director Burgh commented positively on staff’s ability to obtain numerous responsive bids. 

 

President Campbell commented positively on the award of the contract and the highly regarded reputation of the awarded contractor. 

MOTION:  Wandry/Boatmun to authorize execution of a contract with Independent Construction Co. for the construction of the Alternative Intake Project – Setback Levee and Site Improvements for an amount of $7,428,675, with an 8% change order authority of $594,294, for a total amount not to exceed $8,022,969.  The motion carried by a unanimous voice vote. 

 

7.         Award of Contract – Alternative Intake Project – Construction Management Support Services          

            a.   Authorize an agreement with HDR Engineering for Construction Management Support Services for the Alternative Intake Project in an amount not to exceed $3,132,000; and

            b.   Authorize an amendment in an amount not to exceed $4,656,725 with Carollo Engineers for Engineering Services During Construction for the Alternative Intake Project.

 

Mr. Bishop reported that the construction department would provide overall construction management of the AIP.  A construction manager was needed to meet the demands of the project, to provide specialty construction inspection support and to supplement District staff.  HDR Engineering was selected using a Request for Proposal (RFP) process.  Staff was recommending HDR Engineering as the most qualified to provide the construction management services for the project. 

 

Mr. Bishop reported that the second portion of the recommended action addressed design services.  The District did not have the expertise or in-house staffing available to provide the engineering services necessary to support the project.  The original design contract for the project was awarded to Carollo Engineers and did not include engineering services during construction.  It was in the District’s best interest to retain Carollo Engineers during construction of the project since the support work was directly related to the design.   

 

MOTION:  Burgh/Boatmun to a) authorize an agreement with HDR Engineering for Construction Management Support Services for the Alternative Intake Project in an amount not to exceed $3,132,000; and b) authorize an amendment in an amount not to exceed $4,656,725 with Carollo Engineers for Engineering Services During Construction for the Alternative Intake Project.  The motion carried by a unanimous voice vote. 

 

 5.        Review status of the District’s FY08 revenues and expenditures as of December 31, 2007, and approve FY08 Mid-Year budget adjustments. 

 

Mr. Bishop reported that semi-annual budget reviews compare budget estimates to actual performance for the District’s revenues, expenditures and staffing levels to ensure unanticipated impacts are addressed in a timely manner.  The Finance Committee reviewed the mid-year results on February 5 and concurred with the recommendations.  He advised that four adjustments were being proposed as part of the mid-year budget review, which resulted in a $3.2 million increase in the FY08 budget and an offset in FY09 expenditures due to an accelerated construction schedule for the AIP.  He noted that Mr. Bledsoe was available if the board chose to have a presentation.   It was the consensus of the Board not to have a presentation.

 

MOTION:  Boatmun/Anello to approve FY08 Mid-Year budget adjustments.  The motion carried by a unanimous voice vote. 

 

 8.        Adopt the Capital Improvement Program and Financial Plan for fiscal years 2009-2018.

 

President Campbell noted that the Board last reviewed the CIP at the Board meeting on February 6.  The Board had instructed staff to bring the item back for consideration at this Board meeting. 

 

Mr. Bishop reported that a summary table regarding the sources of funding had been clarified per Board comments.  The CIP and Financial Plan were consistent with the Board’s Rate and Reserve Policy.   He advised that the largest significant change to the CIP when compared to the 2008-2017 CIP was the accelerated schedule for the AIP.   

 

President Campbell asked if there were any public comments concerning the item.  There were no comments. 

 

MOTION:  Boatmun/Anello to adopt the Capital Improvement Program and Financial Plan for fiscal years 2009-2018.  The motion carried by a unanimous voice vote. 

 

9.         Legislative Affairs Report – February 2008

            Review update on legislative issues and adopt District positions for the following:  State Legislation AB 642 (Wolk) – Design-Build:  Counties, Cities and Special Districts – Support if Amended; AB 983 (Ma) – Public Contracts:  Plans and Specifications – Watch; AB 1756 (Caballero) – Infrastructure Development: Public-Private Partnership – Support if Amended; SB 1102 (Machado) – California Bay-Delta Authority Act – Watch; SB 1108 (Machado) – Sacramento-San Joaquin Delta Conservancy Program – Watch; and Federal Legislation HR 1526 (Miller) – Reclamation Wastewater and Groundwater – Support. 

 

Mr. Bishop reported that Legislation AB 642 (Wolk) – Design-Build:  Counties, Cities and Special Districts – Support if Amended had been removed from the recommended action.  He advised that the bill had been significantly amended since it was last reviewed by staff.  Additional time was needed for staff to review the amendments and make a recommendation before Board action.  He noted that Director of Public Affairs Patty Friesen would be making a presentation.

 

Ms. Friesen reported on the following state legislation:

 

AB 983 (Ma) – Public Contracts: Plans and Specifications – The bill provided that no local public entity would require a bidder to assume responsibility for completeness and accuracy of architectural or engineering plans that the public agency provides to a contractor.  It also suggested that there was an implied warranty on the accuracy and completeness of the plans and specifications that the agency provides.  Ms. Friesen reported that this was a legislative fix to an interpretation of an appellate case where a contractor was liable for damages because the plans given to him were faulty.  The bill was very controversial and would pit the public agencies against contractors bidding on projects.  The District was recommending a Watch position on this bill.

 

AB 1756 (Caballero) – Infrastructure Development:  Public-Private Partnerships – The bill would establish the Office of Local Public-Private Partnerships to promote financing, constructing, or operating local infrastructure projects.  The office would be responsible for promoting partnerships through education seminars and preparation of fact sheets.  It would also serve as a clearinghouse with examples of partnerships to build infrastructure and facilitate partnerships with technical and legal resources to structure agreements.  Ms. Friesen advised that the District should submit amendment language to the bill to use the Contra Costa Water District model for efficacy of State agencies contracting with local implementing agencies for implementation of projects.  The recommended position was to Support if Amended.

 

Responding to a question from Director Wandry concerning the approach and if it would be successful since it had been tried in the past, Ms. Friesen responded that Senator Caballero was supportive of local government.   This was a directive from Governor Schwarzenegger and she was hopeful. 

 

SB 1102 (Machado) – California Bay-Delta Authority Act – Ms. Friesen reported that CALFED had been reorganized in 2006 and the duties had been transferred to other state agencies.  This bill would repeal the California Bay-Delta Authority Act.  She advised that language was still being developed for the bill and the recommended position was to Watch.

 

SB 1108 (Machado) – Sacramento-San Joaquin Delta Conservancy Program – Ms. Friesen reported that this was the third attempt to create the Sacramento-San Joaquin Delta Conservancy Program.  The bill would create another Delta protection program.  The recommended position was to Watch the bill.

 

Ms. Friesen reported on the following federal legislation:

 

HR 1526 (Miller) – Reclamation Wastewater and Groundwater – This bill promotes a comprehensive water recycling program for the Bay Area including recycled water projects in Antioch and Pittsburg.  Ms. Friesen reported that the District understood the critical challenges confronting the State’s water supply with the deepening crisis in the Delta.  She noted that the District supports water recycling projects and recognizes the importance of continuing to explore cost-effective approaches to water recycling projects.  The recommended position was to Support.

 

President Campbell asked if there were any questions for the presenter.  There were no questions.

 

President Campbell advised that the recommended action before the Board was to approve adoption of the positions listed with the removal of AB 642 (Wolk) – Design-Build:  Counties, Cities and Special Districts.

 

MOTION:  Boatmun/Wandry to adopt District positions for the following:  State Legislation AB 983 (Ma) – Public Contracts:  Plans and Specifications – Watch; AB 1756 (Caballero) – Infrastructure Development: Public-Private Partnership – Support if Amended; SB 1102 (Machado) – California Bay-Delta Authority Act – Watch; SB 1108 (Machado) – Sacramento-San Joaquin Delta Conservancy Program – Watch; and Federal Legislation HR 1526 (Miller) – Reclamation Wastewater and Groundwater – Support.  The motion carried by a unanimous voice vote. 

REPORTS FOR DISCUSSION

 

10.        Committee Report(s)

            a.   Finance Committee Post-Meeting Report (2/5/08)

            b.                     Operations and Engineering Post-Meeting Report (2/7/08)

            c.                     Board of Supervisors’– Transportation, Water and Infrastructure Post-Meeting Report (2/11/08)

 

President Campbell asked if there were any comments on the committee reports. 

 

Director Burgh commended Senior Planner Mark Seedall for attending the Board of Supervisors’ Transportation, Water and Infrastructure Committee meeting on February 11 even though it was a District holiday. 

           

11.        Schedule Future Meeting Dates and Times

 

There were no meeting dates and times to schedule. 

 

REPORTS

 

12.        General Manager

 

Mr. Bishop announced that Watershed and Lands Manager Bill Chilson was retiring from the District after five years of service.  He noted that Mr. Chilson was instrumental in negotiations with Victoria Island Farms for the AIP.  He also introduced and welcomed the new Engineering Manager Rachel Lenci and gave a brief background on her employment history. 

 

13.        Legal Counsel

 

Mr. Maddow thanked Mr. Chilson on behalf of his law firm for the opportunity to work with him and for his professionalism. 

 

14.        Board Members

 

Vice President Anello reported that she would be attending the Public Information Committee meeting on February 21 and the Retirement Committee meeting on February 22. 

 

Director Wandry expressed his appreciation to Mr. Chilson for his service to the District.  He also welcomed Ms. Lenci to the District. 

 

Director Burgh congratulated Mr. Chilson on his accomplishments with the District and wished him well in his new endeavor.  He also commented positively on the District’s 2007 Annual Report and extended compliments to staff for a job well done.  He also commented on the availability to receive the weekly news clips electronically. 

 

Director Boatmun did not have a report.

 

President Campbell extended his appreciation to Mr. Chilson and thanked him for his efforts during his service with the District.  He also reported that he and three other directors attended the State of the County Address presented by Supervisor Federal Glover on February 15.

 

CLOSED SESSION

 

15.        Real Property Transaction as allowed under Government Code Section 54656.8; Property: Water Supply Contract:  Negotiating Party:  Golden State Water Company; District Negotiator:  Walter J. Bishop, General Manager; Issue:  Instruct Negotiator on Terms and Price.

 

At 6:58 p.m., President Campbell announced that the Board would move into closed session.  There was one matter involving Real Property and the additional attendee would be the Assistant General Manager of Engineering and Construction Steve Welch.    

           

 RECONVENE FROM CLOSED SESSION

 

16.        Report on closed session.

 

At 7:29 p.m., President Campbell reconvened the meeting and announced that the Board did not take any action on the matter before it. 

 

ADJOURNMENT

 

At 7:30 p.m., President Campbell adjourned the meeting to the next regular meeting of the Board of Directors scheduled for March 5, 2008, commencing at 6:30 p.m.

 

 

 

                                                                                                                                                        

                                                                                                Joseph L. Campbell, President

 

ATTEST:

 

                                               

Sharon L. Burris

District Secretary