California Special Districts: Public Works by California Special Districts Association

California Volume 8, Issue 1, Jan - Feb 2013

Publication of the California Special Districts Association

In this Issue

Public works

CSDA news [6] Ask the experts [10] Solutions and Innovations: Design-Build [22]

Interview with Senator Michael Rubio

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[Contents]

Volume 8, Issue 1 Jan - Feb 2013

California Environmental Quality Act: Interview with Senator Michael Rubio

Indemnification: How can your district ensure it is properly protected?

Printed on recycled paper.

Departments 6

CSDA News Thank you to CSDA members; 2013 board of directors and executive committee; 2013 Special Districts Legislative Days; New workshops and webinars; Updated employee posters In Brief Mesa water reliability facility hosts tour; Open space district anniversary; Bond saves ratepayers $200 million; Recreation and park district restores golf course; Napa district teams with students to restore creek California Special District – Jan-Feb 2013

Solutions & Innovations Design-build: A valuable alternative for your district? Community Connections Teaching skills to a hungry workforce: EBMUD partners with community colleges to increase local job opportunities Legal Brief Public works projects– Competitive bidding requirements

SDLF SDLF new district transparency certificate program

Managing Risk Changes in store in 2013

Money Matters Updates and changes to prevailing wage requirements

What’s So Special What once was old is new again

Officers Stanley Caldwell, President Mt. View Sanitary District Pete Kampa, Vice President Tuolumne Utilities District Noelle Mattock, Secretary El Dorado Hills Community Services District Ginger Root, Treasurer Country Club Sanitary District Jo MacKenzie, Past President Vista Irrigation District Neil McCormick CSDA Executive Directdor

Members of the Board Jim Acosta, Saticoy Sanitary District David Edwards, East Quincy Services District Steve Esselman, North of the River Municipal Water District Vince Ferrante, Moss Landing Harbor District Elaine Freeman, Rancho Simi Recreation & Park District William Nelson, Orange County Cemetery District Greg Orsini, McKinleyville Community Services District Steve Perez, Rosamond Community Services District Timothy Ruiz, P.E., East Niles Community Services District Phil Schoefer, Western Shasta Resource Conservation District Sherry Sterrett, Pleasant Hill Recreation and Park District Elaine Sullivan, Leucadia Wastwater District Kathy Tiegs, Cucamonga Valley Water District

CSDA Staff Neil McCormick, Executive Director Megan Hemming, Professional Development Director Cathrine Lemaire, Member Services Director Kyle Packham, Advocacy & Public Affairs Director Todd Winslow, Publications Director Emily Cha, Receptionist George Cordero, Legislative Intern Nicole Dunn, Editor Sharon Foster, Professional Development Assistant Ralph Heim, Legislative Representative Dorothy Holzem, Legislative Representative Jess Lima, Staff Assistant Christina Lokke, Legislative Representative Charlotte Lowe, Executive Assistant Jimmy MacDonald, Legislative Analyst Miryam M. Barajas, Public Affairs Specialist James Wilfong, Senior Designer Travis Wills, Member Services Coordinator Rick Wood, Finance Manager For editorial inquiries, contact Nicole Dunn at 877.924.2732 or nicoled@csda.net. For advertising inquiries, contact Diana Granger, Granger Marketing Works, at (530) 642-0111 or granger@cwo.com. 1112 I Street, Suite 200 Sacramento, CA 95814 t: 916.442.7887 f: 916.442.7889 toll-free: 877.924.2732 www.csda.net A proud California Special Districts Alliance partner

executive director’s message

10 ways to get the most out of your membership

a member of CSDA, your agency receives numerous benefits throughout the year. Here are just some of the ways to get the most out of your CSDA membership in 2013: 1. Stay Current through CSDA Communications – CSDA regularly communicates with members through this magazine as well as a weekly e-News and special alerts 2. Get a Free Quote on SDRMA Coverages – there’s no obligation to commit and you could save your district a significant amount of money as well as have access to premiere risk management resources! As an example, districts joining the Workers’ Compensation program save an average of 40 percent over State Fund! It’s worth at least getting a quote. 3. Get a Free No-Obligation Quote for Your District’s Project – have a major project or purchase you need financed? Get a no-obligation quote through the CSDA Finance Corporation and work toward getting the funding you need. 4. Get Involved in CSDA! – provide feedback on key issues, respond to Calls to Action, meet with your legislators and other stakeholders or join a CSDA committee. 4

5. Get recognized by the Special District Leadership Foundation – CSDA’s foundation is more active than ever in providing opportunities for you and your district to be recognized as some of the best in California. 6. Save Money through CSDA – whether through our Alliance partners or Endorsed Programs, there are many ways for your district to access premier services and products while saving money. 7. Participate in Professional Development – continuing education for staff and elected officials is key to the success of your district. CSDA will be offering new conferences, events, webinars and resources to help you along the way. 8. Network, Network, Network – Attend any of our major conferences throughout the year and meet other special district professionals. Discuss challenges, solutions, information and questions with your peers. 9. Sign up for the CSDA Listserv – the listserv is more active than ever and a great way to exchange ideas, get questions answered and network with district peers. 10. There’s Gold in the CSDA Website – current events, sample documents for download, post an RFP/RFQ, list an item for sale, post a job opening, find a Business Affiliate…the list goes on! Maximize your membership in 2013.

For complete program descriptions and information about registration and accommodations, visit the Education section of the CSDA website at www.csda.net or call CSDA at (877) 924-2732.

Professional Development Calendar

February S

february Feb

Feb

Understanding Board Member & District Liability Issues - WEBINAR

Feb

Special District Leadership Academy: Governance Foundations, San Diego

Mar

Board Secretary/Clerk Conference, Anaheim

28 - 1

10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28

March S

March

Mar

Ethics Compliance Training – AB1234 - WEBINAR

Mar

Strategies for Excellent Customer Service - WEBINAR

10 11 12 13 14 15 16

Mar

Legislative Round-Up - WEBINAR

6 7

Mar

Special District Leadership Academy: Board’s Role in Human Resources, Monterey

Mar

Special District Leadership Academy: Setting Direction/Community Leadership, Monterey

Mar

CEQA: Past, Present and Future - WEBINAR

Mar

Proposition 218, Proposition 26 and Rate Setting - WEBINAR

20 26

Mar

Special District Leadership Academy: Governance Foundations, Sacramento

17 18 19 20 21 22 23 24 25 26 27 28 29 30 31

april S 7

10 11 12 13

14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30

April Apr

Best Practices in Agenda Preparation and Taking/Recording Minutes - WEBINAR

Apr

Special District Leadership Academy: Board’s Role in Human Resources, Sacramento

Apr

Records Retention and Management - WEBINAR

Apr

Incident Writing: Just the Facts - WEBINAR

Apr

Accommodating Bad Behavior - WEBINAR

11 17 25

California Special District – Jan-Feb 2013

CSDA NEWS A Big Thank You to CSDA Members

CSDA Announces the 2013 Board of Directors and Executive Committee

CSDA is your association! It is only with the support and participation of our members that CSDA can maintain our reputation as the strong and respected voice for California’s special districts. For all those districts, agencies, and businesses that have continued in their commitment and investment as CSDA members, we say “Thank you!” We look forward to working with you in the coming year.

The 2013 CSDA Board elections concluded in August of 2012. Below are the members of the 2013 CSDA Board of Directors and Executive Committee.

If you have not yet renewed your membership, please consider what it means to be part of the only association that protects the interests of all special districts and renew today. If you have any questions about your member benefits or dues amount, please contact the Member Services Department at 877.924.2732.

Region 3 • Vincent Ferrante, Moss Landing Harbor District • Sherry Sterrett, Pleasant Hill Recreation & Park District • Stanley Caldwell, Mt. View Sanitary District

2013 Executive Committee • Stanley Caldwell, President • Pete Kampa, Vice President • Noelle Mattock, Secretary • Ginger Root, Treasurer • Jo MacKenzie, Past President Region 1 • David Edwards, East Quincy Services District • Greg Orsini, McKinleyville CSD • Phil Schoefer, Western Shasta Resource Conservation District Region 2 • Noelle Mattock, El Dorado Hills CSD • Ginger Root, Country Club Sanitary District • Pete Kampa, Tuolumne Utilities District

Region 4 • Steven Esselman, North of the River MWD • Tim Ruiz, East Niles Community Services District • Steve Perez, Rosamond Community Services District Region 5 • Elaine Freeman, Rancho Simi Recreation & Park District • Kathy Tiegs, Cucamonga Valley Water District • Jim Acosta, Saticoy Sanitary District Region 6 • Jo MacKenzie, Vista Irrigation District • Bill Nelson, Orange County Cemetery District • Elaine Sullivan, Leucadia Wastewater District

SPECIAL DISTRICTS

Register Now! 2013 Special Districts Legislative Days Special Districts Legislative Days (SDLD) is a compelling two-day legislative conference that features a dynamic lineup of speakers and activities. Representatives from all types of special districts attend SDLD to ensure the successful delivery of the core local services provided to millions of people statewide. Hear from and interact with some of California’s key elected officials and leading policy experts on the most important issues facing special districts. Take this opportunity to meet with your legislators and exchange ideas with other special district leaders, both in the Capitol and at a private legislative reception. This year’s schedule includes a full day on Tuesday, May 14 and a half day on Wednesday, May 15. Online registration is now available at www.csda.net. CSDA has also secured a block of rooms at a special CSDA rate of $155 single/double plus tax at the Sheraton Grand Sacramento for the nights of May 13 and 14. Room reservations are currently available by calling 1-800-325-3535 and asking for the CSDA rate. Space is limited and is expected to sell out in advance of the reservation cut-off of April 26, 2013.

You asked for more top quality CSDA workshops and webinars in 2013 and we have them! Visit www.csda.net for more information on these and other educational offerings for 2013.

New Workshop and Webinars in 2013 You asked for more top quality CSDA workshops and webinars in 2013 and we have them! Check out the latest 2013 Education Catalog for all of the information on CSDA conferences, workshops and webinars. Be sure to register now for these new events on topics ranging from human resources to technology. Effective Media Relations: Sacramento, August 15 Includes information on media law for special districts, media policies, understanding the news media and new tools including social media, crafting and using key messages/ preparing for interviews, crisis management, and interview techniques. Accommodating Bad Behavior: We’re Not Going to Take It!: Webinar, April 25 Absenteeism, tardiness, emotional outbursts and alcoholism. When is an employee’s bad behavior disability-related and what bad behaviors are employers required to accommodate? This interactive webinar will help employers navigate the intersection between disability, leave and discipline. CEQA: Past, Present, and Future: Webinar, March 20 This session will provide an overview of CEQA, divided into three main topic areas, and focusing on issues faced by special districts. First, CEQA Basics – a review of the main tenets of the law and strategies for dealing with common difficulties. Second, Current Issues – a review of recent important new cases and legislation and their impact on implementing CEQA’s legal requirements. Third, The Future of CEQA – a look at legislative proposals for CEQA reform and attempts to limit its scope and reduce associated costs and delays.

California Special District – Jan-Feb 2013

Family and Medical Care Leave Act: Webinar, June 27 This webinar will cover the Family and Medical Care Leave Act (including the new 2009 regulations), The California Family Rights Act, and related family and medical leave law. Fraud Detection/Prevention for Special Districts: Webinar, May 8 Financial fraud is a reality for many special districts and districts need to develop not only good internal control procedures, but a culture that says “no” to fraud and irregularities. This webinar will talk about how to assess risk in your organization and develop policies and procedures that will mitigate risk and help prevent fraud. Issues and Challenges Regarding Drugs and Alcohol in the Workplace: Webinar, May 30 Drug and alcohol abuse in the workplace present many challenges for the public employer. This webinar will help public agency managers and supervisors deal with the impact of drugs and alcohol in the workplace environment and assist them in what steps to take under the law to address substance abuse in the workplace. The workshop will also identify the legal and practical matters an agency should consider before undertaking measures to prevent and remedy drug and alcohol abuse. Is the Future in the Cloud?: Webinar, August 1 The emergence of cloud services has left many general managers and IT staff pondering whether to cloud or not to cloud. Faster delivery of IT solutions, access to skilled technical resources and lower operational costs are key drivers behind the adoption of cloud services, but organizations are weary of the messages parroted by cloud providers. Attendees will breakdown the landscape of cloud service offerings and highlight differences between private, public and hybrid clouds.

Don’t Forget to Order Updated Employee Posters Each year new laws come into effect that impact the day-today operations and policies of California’s employers. To make it easier and more affordable for CSDA members to comply with the most recent regulations, CalChamber is offering a 10 percent discount on the many HR products and resources available through their website. To access this CSDA member benefit and get 10 percent off your regularly priced purchases, visit www.calchamberstore.com and use priority code CSDAR at checkout. For more information, contact CalChamber’s Business Services Division at 800.331.8877. SDRMA members receive these posters each year at no cost.

What CSDA is watching Each year the Senate and Assembly introduce approximately 2,000 bills in the first two months of session. In the 2013-14 legislative session, CSDA anticipates the following issue areas will be the focus of much legislative and state administrative activity with potentially meaningful impacts for special districts. A current list of CSDA tracked legislation in these and other policy areas is available online by logging onto www.csda.net and visiting the Legislative Access Services page. Funding for Local Services Property Tax Increment – In the wake of unwinding redevelopment agencies, the Legislature continues to look for new economic development tools. CSDA supports bills such as Senate Bill 1 (Steinberg) and SB 33 (Wolk), which include special districts and other taxing entities as stakeholders and requires each agency consent to any diversion of property tax increment. Without such provisions, funding for core services would be undermined. 55 Percent Voter Threshold for Local Revenue – Numerous bills have already been introduced seeking to establish a lower voter threshold (from the current two-thirds majority to 55 percent) to pass special taxes and parcel taxes for libraries, schools, transportation and transit districts, and community and economic development projects. Reserve Funds – Questions posed by the Little Hoover Commission in 2000 regarding special districts’ reserve funds led CSDA to form a task force and develop guidelines for establishing and maintaining this important budgeting tool. With over a decade having passed, there have been many changes in what constitutes best practices. In order to update the guidelines and address any lingering questions, CSDA reconstituted the task force and has published a second edition of its Special District Reserve Guidelines, which is available online at www.csda.net.

Environmental Sustainability CEQA Reform – Efforts to update current California Environmental Quality Act statutes and guidelines for greater efficiency, effectiveness and cost-savings are at the forefront of legislative and administrative agendas. Senate Pro Tem Darrell Steinberg has set the table for a robust dialogue in the Senate Environmental Quality Committee where a majority of committee members are environmental advocates and the chair, Senator Michael Rubio (interviewed on page 14 of this issue), is an outspoken proponent for significant form.

Proposition 39 “California Clean Energy Jobs Act” Implementation – This ballot measure closed a loop-hole in out-of-state corporate taxation practices to create an estimated $1 billion revenue stream dedicated for job-creating energy efficiency projects. The governor’s January budget dedicated all of the initial revenue to K-12 schools’ clean energy projects but other state and local agency programs were included in the proposition as eligible recipients. Cap and Trade Auction Revenue Investments – With revenue estimates as high as $200 million this year and $400 million in the next fiscal year, the state will begin directing where program dollars are allotted to achieve meaningful greenhouse gas emissions reduction. Legislation signed last year (Assembly Bill 1532; Perez) requires the Department of Finance to provide a three-year investment plan for auction proceeds with the May Budget Revise.

CSDA will continue to be proactive in protecting special districts’ authority and resources in the following areas: • Elections and Local Authority - Empowering local actions that best represent local decisions in order to meet local needs. • Employee Relations - Fostering a productive employeremployee relationship. • Public Works Contracting - Ensuring a fair and costeffective process. • Transparency and Accountability - Promoting open and effective governance.

California Special District â&#x20AC;&#x201C; Jan-Feb 2013

Ask theExperts Is it a violation of the Brown Act for one director to seek a legal opinion without an action by the majority of the Board requesting that he or she seek that opinion on the Board’s behalf? The short answer to this question is: “No, it is not a violation of the Open Meeting Law (Brown Act) for any single director to do anything (unless of course the action constitutes a ‘meeting,’ as defined).” A director acting alone will not violate the Brown Act; the Brown Act covers meetings which by definition require the involvement of a majority of the directors. One director asking for a legal or professional opinion from any other person, including an attorney (not a fellow director) would not be in violation of the Brown Act. If that director then discussed that opinion with other directors so that a majority of the board discussed the opinion it is likely that an improper meeting has occurred; this would also be the case if the director discussed the opinion with one other director who then discussed it with a different director and so on until a majority of the board had engaged in discussing the opinion.

districts have policies in place which address this by designating the executive officer, president, or some other director as the single point of contact for its legal counsel, and authorizing that director or individual to communicate with legal counsel on behalf of the agency itself.

However, each director – individually – must bear in mind that the agency’s legal counsel works for the agency and not any single director, and gives advice to the agency as a unique entity and not to directors as individuals, not even to the board president, unless and until the agency has taken action authorizing that director (including the president) to act on its behalf in seeking that opinion. When a single director seeks an opinion from the agency’s legal counsel without authorization or delegation from the board, that director puts that attorney in a dicey situation. The attorney must handle the contact in a tactful yet professional manner, reminding the director that his or her (attorney’s) client is the agency as represented by the entire board, and that he or she cannot give an opinion to one individual director absent some delegated authority from the board. Some attorneys in fact ask that the agency designate by board action (or contract terms) a single point of contact so that this line of communication is clearly spelled out. Some

(The discussion above also applies to communications and requests for opinions, advice, actions, or information, with any other person including consultants and agency employees.)

While a board cannot stop an individual director from engaging in this type of activity, if it becomes a frequent problem it should be dealt with by the entire board during a board meeting; take formal action clearly specifying which director, if any, is authorized to engage in this sort of communication. Adopting such a policy will give direction to the attorney or consultant who is faced with dealing with a director insistent on making unilateral and individual contact and requesting information, action, or advice.

Larry Crabtree, Senior Consultant, Crabtree Consulting Services, LLC Crabtree Consulting Services, LLC, “Fills The Gap” in a variety of administrative and management disciplines for small and medium sized public agencies who may have insufficient or inexperienced staff.

Do you have a question for any of our CSDA “experts?” Send your question to Nicole Dunn, editor, at nicoled@csda.net.

MOVERS & SHAKERS

movers and shakers Does your district have an individual recently appointed as general manager or a top staff position? Have you recently elected a new board president? Have any district personnel been appointed to other community boards or positions? Email your district’s movers and shakers to Nicole Dunn, communication specialist, at Nicoled@csda.net and we will include them in our next issue!

Calaveras County Water District (CCWD) welcomes Mitchell S. Dion as general manager. Dion comes to CCWD after previously serving as general manager of Rincon del Diablo Municipal Water District. A landmark Colorado River study that the San Diego County Water Authority helped develop was honored by the U.S. Department of Interior. The Colorado River Basin Supply and Demand Study received the prestigious Partners in Conservation Award, which recognizes a major collaborative effort to address one of the most pressing natural resource issues for the Southwest and the nation – the uses and management of the Colorado River. West Bay Sanitary District received the Safety, Health, Environmental, Liability and Losses (SHELL) award from the California Sanitation Risk Management Authority for its outstanding accomplishment in safety and risk management. ”The SHELL Award is shared by all the (district) employees, which is fitting since it takes every individual employee to be committed to safety to win this award,” said District Manager Phil Scott. For its efforts organizing and implementing the Bay Area Chemical Consortium (BACC), Dublin San Ramon Services District received the Organizational Excellence Award from the California Association of Sanitation Agencies. BACC is an informal cooperative of wastewater and water agencies that solicits competitive bids collectively to reduce the cost of needed chemicals. Mario M Menesini, Ph.D. has retired from Central Contra Costa Sanitary District after twenty years of service on its board of directors. Menesini served as Board President four times during his tenure and has been involved in numerous committees. Throughout his time on the board, his chief interests included education of the young and public outreach to the community at large. Mesa Water District has hired Roger J. Galli as Financial Services Manager. In this role, Galli will oversee the district’s budget by planning, directing and managing the activities and operations of the Financial Services Department.

California Special District – Jan-Feb 2013

Vista Irrigation District received the Governor’s Historic Preservation Award for 2012 for its preservation and restoration work of the WarnerCarrillo Ranch House and Barn. The WarnerCarrillo Ranch House Restoration Project restored a unique Mexican period adobe ranch house, which served as Butterfield stagecoach station and trading post and is also a registered national and state historic landmark, to its mid-1800’s appearance. South Coast Water District General Manager Mike Dunbar has resigned after 25 years. Assistant General Manager and District Counsel Betty Burnett has been appointed interim Mike Dunbar general manager until a permanent replacement has been selected. Mr. Dunbar now serves as general manager of Emerald Bay Community Services District. Board member Mark Jacobsen has retired from the Conejo Recreation and Park District Board of Directors after 44 years of service. Jacobsen plans to spend time traveling with his wife and continue his love of gardening.

In Brief Open Space District Commemorates Anniversary with Book

Mesa Water Reliability Facility Hosts its First International Delegation to Tour the Improved Facility Mesa Water District (Mesa Water) welcomed its first international delegation to the newly improved Mesa Water Reliability Facility (MWRF) in late October. Half a dozen water industry leaders from the Kang Seo Water District in South Korea traveled more than 7,000 miles to tour the award-winning MWRF, which has helped Mesa Water meet its Board’s long-standing goal of becoming 100 percent locally reliable. The delegation toured the MWRF, which uses state-ofthe-art nanofiltration membrane technology to produce high-quality, locally sourced, clear, soft water. In addition, the delegation explored the unique garden landscape adorning the facility. The MWRF gardens are comprised of California-native drought-tolerant landscaping, as well as majestic Redwood trees, which commemorate the ancient underground Redwood forest under the Facility, where the colored water is sourced. Mesa Water’s unique facility -- which removes color, caused by natural organic materials, from the water -- has provided 15 billion gallons of high-quality, soft water since its service initiation in the year 2000. The District’s MWRF Improvements Project began in January 2011, demolition took place in spring 2011, construction was completed in fall 2011, the equipment was installed in spring 2012, system testing was finished in fall 2012, and the improved Facility is now back in service.

In celebration of its 40th anniversary, Mid-Peninsula Regional Open Space District (MROSD) has released a 133page coffee-table book titled “Room to Breathe: The Wild Heart of the San Francisco Peninsula.” The book showcases the beauty of the space MROSD was formed to preserve. In it is a compilation of poetry, paintings and photographs celebrating the region and capturing its beauty. The various artworks in the book are accompanied by statements from the artists and poets who give their inspiration for their work and what they think about the open space. The book took two to three years to complete and MROSD worked in partnership with Heyday Books of Berkeley to publish. Room to Breathe can be purchased through the district’s website, openspace.org, through amazon.com and through the publishers.

Alameda County Water District Revamps Website, Launches Social Media Outreach Alameda County Water District (ACWD) has started the new year off with a redesigned website and new outreach efforts using social media tools. The new website will allow customers to view their accounts online, report complaints, sign up for text message and email alerts and send in questions. Says ACWD General Manager Walt Wadlow, “By reinventing our online presence, we hope to make it easier for our customers to do business with us.” ACWD has also launched a new social media strategy, using Facebook and Twitter to post information about water quality, upcoming public meetings and even water supply emergencies. “Our social media sites will allow us to instantaneously provide information that will help to protect public health and safety,” according to Wadlow.

Sources: Half Moon Bay Review, Inside Bay Area, Mercury News, Mesa Consolidated Water District, Napa Sanitation District, San Diego County Water Authority, The Press-Enterprise

Got news?

California Special District wants to hear about newsworthy people, projects, events and accomplishments in your district. To submit a news item for In Brief, contact Nicole Dunn at nicoled@csda.net or (877) 924-2732.

Favorable Desalination Project Bond Sale Saves Ratepayers $200 Million The San Diego County Water Authority has announced it has secured a favorable interest rate for financing a landmark desalination plant and pipeline that will save an estimated $200 million over three decades. The Water Authority teamed with private developer Poseidon Resources to sell construction bonds at 4.78 percent for Poseidon’s seawater desalination plant in Carlsbad, CA., and a related pipe. That will save approximately $125 per acre-foot, reducing the price of water from the plant to between $1,917 and $2,165 per acre-foot. The Water Authority’s Board of Directors approved a historic 30year purchase agreement with Poseidon in November based on a projected cost range of $2,042 to $2,290 per acre-foot. “This is a great start to the project because it means ratepayers will spend less to secure this drought-proof water supply,” said Maureen Stapleton, the Water Authority’s general manager. “By coming in at a lower interest rate today, we will save money for decades.” Independent analysts cited the Water Authority’s financial stability and strong credit ratings, along with the strategic importance of the desalination plant, as critical factors in their positive assessments of the debt. “The Water Authority’s financial diligence over the decades and on this project paid off on Wall Street,” said Sandy Kerl, the Water Authority’s deputy general manager who helped negotiate the bond sale in New York this week. “This is great news for the whole region as we prepare for construction.” Construction of the desalination plant is set to start in early 2013.

Recreation and Park District Restores Community Golf Course Thanks to the work done by Valley-Wide Recreation and Park District, what was once just a weed-ridden, closeddown golf course is now a stunning green landscape. The district purchased Echo Hills Golf Course after its owner had to shut it down due to water bills too high to keep it profitable. The district used volunteer labor and its own employees to renovate the course, removing the weeds and planting new grass. Valley-Wide RPD was also able to enter into a beneficial water-use agreement with the city of Hemet for irrigation. The nine-hole course is beloved in the community, accessible to experienced golfers, retirees and children alike. It is scheduled to open in March after the new grass becomes firmly rooted and final renovations are complete on the course’s clubhouse.

Napa Sanitation District Teams with Students to Restore Local Creek On two November days last fall, a busload of third and fourth graders from Vista 360o Elementary School arrived at Napa Sanitation District’s Somky Ranch to install native plants along the banks of Suscol Creek, as part of a restoration project spearheaded by the Napa Sanitation District. The creek is located on a ranch property of the district’s that is used for distribution of recycled water and biosolids, both bi-products of the wastewater treatment process. Suscol Creek is also home to steelhead trout and provides important habitat for this threatened species. The reach of Suscol Creek running through Somky Ranch was overgrown with Himalayan Blackberry, an invasive non-native plant that chokes out native vegetation and limits access to the creek for both humans and wildlife. Once the blackberry vines had been removed from the creek banks, an important step remained: restoring the native plants that provide food and shelter for wildlife, as well as protecting creek banks from high water flows. The students from Vista 360o, an environmental sciences magnet school, got involved for this part of the process. “Our program is based on hands-on, experiential learning,” affirms Steve Konakis, lead teacher at Vista 360o. “This type of project gets our students out there in the community, learning about watersheds and how we can get involved in making things better.” The students helped to plant the native species of plantlife along the creekbed, and the school and the district are planning follow up trips where students will monitor the success of the restoration effort. continued on page 40

California Special District – Jan-Feb 2013

California Environmental Quality Act (CEQA) Interview with Senator Michael Rubio

One thing that should be on everyone’s radar this year at the Legislature is possible reform of the California Environmental Quality Act, commonly referred to as CEQA. The Act was passed in 1970 and implemented a statewide policy of environmental protections in California. It is a mandatory part of every local agency’s process when planning projects. Over the years, agencies have encountered numerous setbacks involving CEQA. Due to the Act’s broad scope, litigation can often arise regarding an agency’s plans, costing the agency time and money. Senator Michael Rubio is an advocate of protecting California’s natural resources while at the same time ensuring jobs are created and expensive litigation is avoided. California Special District asked Senator Rubio for his view on CEQA as it is currently written and how he would like to see it reformed.

The environment is something you have focused on during your time in the Legislature. Why is this a focus for you? Because we know one of the unique things about California is its natural resources. Whether it’s the coastline, the beautiful mountain ranges or the desert landscapes, it is incumbent upon us—as legislative leaders in California—to protect those natural resources.

You believe it is possible to support green energy efforts while creating jobs in California. How can this be done? This can be accomplished through open dialogue between the environmental community and the public and private sectors. We need to be innovative to look for ways to better the environment and preserve natural resources while assessing how those ways can create opportunities for investment in our state. We have research hubs in parts of the state like Silicon Valley and Southern California and we should maximize the development of the important technologies coming out of those hubs by scaling up and having advanced manufacturing to put those technologies into practice.

CEQA provides the process or the vehicle for which everyday citizens are able to see to it that a public or private entity is complying with those high standards.

Do you view CEQA, as it is currently written, as an impediment to creating jobs? I see it as an impediment for improving the quality of life of Californians when it is misused. And that last part is an important component because CEQA is a law that I strongly support, however I don’t support the misuse of this statute. So when it is misused and abused, that is when it stymies innovation. Misuse obstructs the creativity to strike that balance in both being green and good to environment and ultimately creating jobs and being good for the state.

How do you see CEQA being most commonly misused? I see it most commonly misused when people will sue and there’s not a legitimate environmental issue. When someone is suing a project that is improving the public health and quality of life in a particular neighborhood or community and they are suing on an aesthetics issue, I think that’s not in the spirit of what CEQA is trying to achieve.

What are some of the benefits of CEQA? It provides the opportunity for the public to engage in shaping their environment and allows for the public to use the democratic process to protect natural resources and the public health where they live. And CEQA works extremely well in seeing to it that the best technology is always used in providing cleaner air, cleaner water, and that projects are held to a very high bar, which we have in California. If you’re going to build or manufacture or develop in this state you’re going to be held to a high standard that I would

California Special District – Jan-Feb 2013

argue is the highest in the entire world. CEQA provides the process or the vehicle for which everyday citizens are able to see to it that a public or private entity is complying with those high standards.

uncertainty and delays in projects. As a result, jobs are not created and the environment is not protected. We need to strike that balance by updating CEQA so we can protect the environment and create jobs.

There is a fine balance between keeping industry thriving and implementing necessary regulations. Do you believe, with the appropriate reform, CEQA can allow this balance to be struck?

How would you like to see CEQA reformed?

Absolutely. It has worked very well for a number of years except for case law that has been decided on where there’s ambiguity in the statute. This has at times created conflict. Also, when the Legislature has not updated CEQA to take into account the progressive standards the Legislature has adopted is where we find there are conflicts within the statute that then provide for

I’d like for the conflicts that I just mentioned to be addressed. Specifically, I would like to provide incentives in the statute to promote responsible development, to promote local governments and special districts to be able to plan responsibly and ultimately to reduce the litigation abuses so that we can increase the certainty in the siting and permitting of projects that are good to the environment and create jobs in our state. continued on page 16

See Senator Rubio speak at this year’s Special Districts Legislative Days, May 14-15 in Sacramento!

SPECIAL DISTRICTS

May 14-15, 2013 • Sacramento

Senator Rubio interview [continued] In December, you introduced Senate Bill 34. Explain what this bill would accomplish, if passed. This is a rare win-win piece of legislation in the state Legislature, where you have both industry and the environmental communities in strong support of the measure because it helps us achieve our AB 32 goal in reducing greenhouse gases and it also provides the opportunity for the private sector to enhance oil recovery. SB 34 would accomplish the following: recognize the role that carbon capture and storage (CCS) can play in enabling California to meet its greenhouse gas reduction goals; acknowledge that CCS can enhance Californiaâ&#x20AC;&#x2122;s local oil production with resulting job creation and economic growth; create a regulatory

framework for the planning, construction, operation and decommissioning of a CCS project; ensure that adequate health and safety requirements are met; and minimize the risk of unacceptable leakage from the injection and storage zone for CCS. SB 34 would provide a unique opportunity that would be both good for the environment and also to produce and manufacture a homegrown advantage in oil and gas here in the state of California.

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California Special District – Jan-Feb 2013

Indemnification: How Can Your District Ensure it is Properly Protected?

ublic works projects can be complicated. So much planning, budgeting and designing goes into every project before ground can even be broken for construction. It follows, then, that the contracts involved with a public works project can also be very complex.

Every public agency working on a project wants to ensure it protects itself – and furthermore the taxpayers – from costly lawsuits that can arise. Out of this desire to protect taxpayer funds, public agencies – including special districts – will generally seek out indemnification clauses in their contracts with the design professionals they hire. Over the last several years, these indemnification clauses have become a source of tension between public agencies and the design professionals they hire. The public agency wants to ensure it is shielded from costs for litigation wherein the work of the design professional has been found negligent and the design professional wants to ensure it isn’t held liable to pay legal fees where there has been no negligence on their part. Many times, a balance isn’t struck to make both parties content with the indemnification clause in their contracts and the result is frustration for both sides and lengthy delays on important projects.

What does indemnity actually mean? Indemnity is defined by California Civil Code Section 2772 as: “a contract by which one engages to save another from a legal consequence of the conduct of one of the parties, or of some other person.” Plainly put, indemnity is the transfer of liability from one party to another, generally pursuant to a contract. In the context of public works projects, indemnity can be used to shift risk by moving the inherent risk of a construction project from one party to another. According to David Barker, attorney with Collins Collins Muir + Stewart LLP, a firm that represents design professionals, this risk is usually shifted from the more powerful party in terms of bargaining position to the less powerful. The California Supreme Court of Appeal recently further explained the definition of indemnity in the case of Zalkind v. Ceradyne, Inc. (2011): “The terms ‘indemnify’ and ‘indemnity’ have been defined in several ways. ‘Indemnity may be defined as the obligation resting on one party to make good a loss or damage another party has incurred.’ (Rossmoor Sanitation, Inc. v. Plyon, Inc.)…The indemnitor is the party obligated to pay another, and the indemnitee is the party entitled to receive the payment from the indemnitor. (Maryland Casualty Co. v. Bailey & Sons, Inc.)” When a public agency enters into a contract with a design professional, the indemnification clause of the contract will generally be set up to protect the public agency from financial loss (defense costs, etc.) if it is being sued for some negligence on the part of the design professional (flaw in plans, etc.).

California Special District – Jan-Feb 2013

What’s the problem? Over the last several years, design professionals have worked to get legislation passed that would change the way public agencies use indemnification clauses in contracts. The aim of the legislation has been to ensure design professionals cannot be required to indemnify and defend another party for a loss they did not cause, could not insure, and was the result of a risk they could not control. “The biggest issue for design professionals is being required to pay for something they didn’t cause,” says Barker. “Whether that be the negligence or breach of contract of someone else, or the attorneys’ fees associated with an underlying claim. This concern has several facets to it: basic fairness, insurability, and the financial impact on the design professional are the major considerations.” Public agencies want to include indemnification clauses in their contracts with design professionals

to best protect taxpayer dollars. Brian Pierik, partner with the law firm Burke, Williams & Sorensen, LLP – a firm who has experience representing public agencies on contracts such as the one described in this article – provides one example of why exactly agencies need indemnity provisions: “It is important for a public agency to ensure the design professional agrees by contract to indemnify the public agency because there may be claims by the contractor that constructed the (project) based on an alleged defective design, which causes the contractor to incur added costs or additional time to perform the contract. The contractor may file a lawsuit against the public agency, which includes the alleged defective design as a basis for the contractor’s claim for additional compensation. Upon receipt of such a claim or lawsuit by the contractor, the agency should send a written demand to the design professional requesting that the design professional defend and indemnify the agency in connection with the claim/lawsuit. If the design professional refuses to defend and/or indemnify the continued on page 20

Indemnification [continued from page 19] public agency in a lawsuit filed by the construction contractor, then it may be necessary for the public agency to file a cross-complaint for contractual indemnity against the design professional.” Often times in litigation the party sued is the party with the deeper pockets. Often times, the party with the deeper pockets in this scenario will be the public agency. The public agency needs to protect itself and the taxpayers from erroneous lawsuits and indemnity clauses help to do that. However, where design professionals experience frustration is with over-reaching clauses or those that hold the design professional to an unreasonable standard. “Public agencies, when negotiating with a design professional, should keep in mind that there is no such thing as a perfect set of plans,” says Barker. “What one contractor may see as an error, another contractor may completely understand and build without issue. That inherent subjectivity in the construction of projects creates a field of unpredictability for the design professional against which they cannot protect themselves. It is the overreaching by many - if not most public agencies - that cause design professionals heart burn.”

What should you, as a public agency, keep in mind when working with these clauses? California Civil Code Section 2782.8 You should keep in mind California Civil Code Section 2782.8. This section of code prohibits indemnity clauses that require a design professional to indemnify public agencies beyond the culpability of the design professional. David Barker’s firm was involved in the drafting of this statute through the firm’s work with the American Institute of Architects – California Council and the American Council of Engineering Companies of California. Says Barker, “Local public agencies are not permitted to have provisions which obligate design professionals to defend or indemnify the agency for anything beyond the damages caused by the negligence, recklessness or willful misconduct of the design professional. Many agencies still spend time and effort attempting to negotiate these clauses into their contract when they are simply not legal.” According to Brian Pierik, “Civil Code Section 2782.8(a) does not limit what indemnity provisions a public agency may include in a contract with a design professional except that the contractual obligation of the design professional to indemnify the public agency for claims, including the cost to defend, is limited to ‘claims that arise out of, or pertain to, or relate to the negligence, recklessness, or willful misconduct of the design professional.’ Thus, for example, a public agency may include in its indemnity provisions of the contract a clause stating that the indemnity provisions will survive the expiration or earlier termination of the contract.” They may not, however, include any provisions wherein if the claim against the agency is not based upon the negligence, recklessness or willful misconduct of the design professional, the design professional is obligated to defend or indemnify the public agency against the claim. Continues Pierik, “One suggested clause in the indemnity provision of the contract which should limit opposition by a design professional to the indemnity obligation in the contract is the following clause that can be put at the end of the other indemnity provisions: ‘Notwithstanding any provision of this Agreement to the contrary, design professionals shall be required to

defend and indemnify Agency only to the extent allowed by Civil Code Section 2782.8, namely for claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the design professional. The term “design professional” includes licensed architects, licensed landscape architects, registered professional engineers, professional land surveyors and the business entities which offer such services in accordance with the applicable provisions of the Business and Professions Code.’” Insurability Is what you are asking for in the clause insurable? Says Paul Meyer, executive director of the American Council of Engineering Companies of California, “It is entirely appropriate for a public agency to require that a design professional provide adequate insurance to cover any losses that could result from a design professional’s negligence. However, all too often onerous contract provisions can create an insurance coverage issue between the insurer and the insured design professional, or may even take the claim out of coverage altogether. This in turn could harm efficient resolution of a third party dispute.” Professional

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liability coverage covers only the design professional on a contract and does not cover damages for which the design professional is not liable. According to David Barker, “Indemnity clauses that require a defense on the front end, before there is any determination of fault or cause would be uninsurable.” If a contract contains an indemnity clause that is uninsurable, it is not in the best interest of the design professional, the public agency or the general public. The clause your agency includes in any contract with a design professional must fall under the statutory provisions found in Civil Code Section 2782.8. If it does not meet those provisions, the clause will likely not be insurable. Communication The best thing you can do when tackling the issue of indemnification? Ensure your district and district legal continued on page 30

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[Solutions & Innovations]

Design-Build: A valuable alternative for your district? By Jimmy MacDonald, CSDA Legislative Analyst

In a struggling economy, it has become even more paramount for special districts to achieve savings whenever prudent. Designbuild, an alternative to the commonly used design-bid-build method, can be utilized in specific circumstances to decrease project delivery time, save money for the district and its taxpayers, and reduce the risk of conducting a public works project. The statutory authority for special districts to use this method is currently very limited, but for those projects that qualify, design-build can be a valuable option. Traditional contracting employs design-bidbuild, which splits construction projects into two distinct parts: design and construction. During the design phase, the special district prepares detailed project specifications. Once designs are complete, local boards invite bids and award the contract to the lowest responsible bidder. This process became the standard in order to avoid favoritism, corruption, and waste associated with public works in the 19th century. Lawmakers in California have been cautious about allowing local governments to deviate from design-bid-build, but the last decade has seen a number of incremental modifications for counties, cities and special districts.

What is Design-Build?

Design-build is a construction delivery alternative to the designbid-build method, which California’s public agencies began utilizing in the 1990s. Under design-build, the district contracts with a single entity to both design and construct a project. When used appropriately, and in the right circumstances, this alternative method can provide faster project delivery, cost savings, decreased administrative burden and reduced risk. Before preparing bids, the district prepares documents that describe the basic concept of the project, as opposed to a complete set of drawings and specifications of the final product. In the bidding phase, the district evaluates bids on a best-value basis. After a bid is awarded, the winning firm is responsible for completing the design and all construction at the contract’s fixed price.

Which Districts Can Use Design-Build?

Although design-build has been identified as an effective alternative, most special districts do not currently have the authority to use design-build on their public works projects. While all counties and cities have the authorization to use design-build, only a select number of special districts are afforded the opportunity. Assembly Bill 642 (Wolk, Chapter 314, Statutes of 2008) authorized special districts, along with cities and counties, to use design-build for up to 20 wastewater, solid waste or water recycling facilities. This program is set to expire by January 1, 2020, and to this date, only two local agencies have taken advantage of AB 642 – both in 2009. • City of Willits was permitted to conduct a wastewater treatment/water reclamation project. • Orange County Sanitation District was approved to perform interplant gas line rehabilitation. 22

Share your Solutions & Innovations Do you have a new program, process or facility that increases efficiency, reduces costs, improves service or otherwise helps make your community a better place to live? California Special District wants to know about it! Contact Nicole Dunn at nicoled@csda.net or (877) 924-2732.

The minimum requirements that exist for this program include: • The project must cost in excess to $2,500,000. • Must be conducted by a local agency that operates wastewater facilities, solid waste facilities, or water recycling facilities. • Can be awarded to the bidder that presents the “best value” rather than simply to the lowest responsible bidder. A small number of specific special districts have also been authorized to utilize design-build. The Santa Clara Valley Water District can use designbuild for constructing and upgrading its water treatment plant facility; the Orange County Sanitation District can use design-build for the construction of projects in excess of $6 million, including wastewater facilities; and the Sonoma Valley Health Care District has been granted the authority to use design-build to construct a hospital or health facility building.

Advantages and Disadvantages: One significant advantage to utilizing design-build can be to expedite project completion, and therefore reduce construction costs. This advantage occurs due to the fact that construction can begin during the design phase. Also, because the designer and contractor are members of the same firm, they do not get pulled into time-consuming and costly disputes which often occur between the two parties. Thirdly, proponents often argue that design-build promotes innovative design and construction approaches by giving contractors more flexibility over design, materials and construction methods.

California Special District – Jan-Feb 2013

Despite the cost savings that can be achieved through design-build, not every project is suitable as this alternative is not without its disadvantages. The more commonly used process of design-bid-build allows an agency to comprehensively control design and construction quality and may result in less expensive change orders. Both project delivery methods offer advantages and disadvantages, and no single method is appropriate for all projects. Many factors go into deciding which method is more suitable, including project budget, schedule, risk allocation, the contracting agency’s expertise and the ability to define the scope of the public work clearly.

Utilizing Design-Build

CSDA encourages districts that are conducting suitable projects to review and determine if design-build is a reasonable alternative. The future expansion of design-build authority for special districts is likely dependent on the success of the current trial period, which sunsets at the end of 2019. If over the next seven years special districts do not take advantage of and demonstrate the effectiveness of this method in building special district infrastructure, it will be difficult to make the case for further authorization. The AB 642 design-build program is monitored by the Governor’s Office of Planning and Research (OPR). To find more information on this program, including a sample application to use design-build, please visit the OPR website at www.opr.ca.gov/s_designbuild.php.

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[Community Connections]

Teaching skills to a hungry workforce: EBMUD partners with community colleges to increase local job opportunities

By Elaine Lew-Smith and Andrea Pook, East Bay Municipal Utility District

They

called it a “silver tsunami” of retirements. In 2005, Baby Boomers made up 65 percent of the total East Bay Municipal Utility District (EBMUD) workforce. By 2008, nearly half of the water and wastewater district’s operations and maintenance workforce was eligible for retirement. At the same time, it was becoming challenging for EBMUD to hire skilled candidates to operate and maintain its pipelines and treatment infrastructure. The district was facing a decrease in the number of candidates with the skills to do these jobs due to local military base closures and two generations of high school students without access to vocational training programs. To best maintain a qualified and diverse workforce, in 2010 EBMUD turned these challenges into an opportunity to broaden local job opportunities by partnering with Laney College, an Oakland community college in EBMUD’s service area. Over the next five years, EBMUD planned to hire 24

20 Water Distribution Plumbers annually. These trainee jobs presented excellent entry-level job opportunities. District and Laney College staff worked together to design a nine-week program that included refresher math, English, physical fitness, and an orientation to plumbing maintenance. Laney College recruited and enrolled diverse students from local communities, and the EBMUD plumber exam was scheduled at the end of the training program. After two plumber training programs were complete, graduates were excited and positive, saying that the classes prepared them well for job opportunities with EBMUD and other employers. But only one graduate successfully gained employment as an entry-level EBMUD plumber. EBMUD realized that more in-depth training, including relevant hands-on work experience, would increase the students’ job preparedness. EBMUD joined with other Bay Area utilities to develop a Treatment Operator training program with Solano College. The sponsoring utilities also offered internships at their treatment plants so students could become eligible for state-mandated Operator certificates. This partnership has increased the number of certified operator job candidates in the Bay Area, and

Share your community connections Is your district interacting with the community in a new and original way? California Special District wants to know about it! Contact Nicole Dunn at nicoled@csda.net or (877) 924-2732.

increased public awareness of water and wastewater job opportunities. EBMUD decided to duplicate the operator intern model for hard-to-fill skilled trades jobs such as electrician, instrument technician, machinist and plant mechanic. EBMUD identified local community colleges with one to two-year certificate training programs with curriculum focused on skills development for these jobs. EBMUD staff partnered with the colleges to strengthen the training programs by donating surplus equipment, developing curriculum, writing letters of support for grants, recruiting other industry employers and participating on college industry advisory committees. One of EBMUD’s partnerships was with Laney College. In fall 2012, five students in the Laney College Industrial Maintenance Certificate Training Program interned at EBMUD and impressed EBMUD supervisors with their willingness to apply what they learned and their eagerness to develop their skills. All of the interns showed strong commitment and initiative, with one intern riding his bicycle several miles to arrive at work on time, even in the rain. EBMUD machinists and plant mechanics enjoyed sharing their expertise with the interns and gained new enthusiasm for their work. When you watch a veteran utility worker teaching a skill he or she has learned over many years to an interested student, the exchange can quickly become inspirational for California Special District – Jan-Feb 2013

both. By passing on their talents to the next generation, these employees are preparing the utility to serve its future customers. These five student interns will graduate from Laney College’s four-semester training program this spring with knowledge and skills that will make them highly sought candidates for well-paid machinist and mechanic trainee jobs. These interns and other students enrolled in the training program have benefited from the EBMUD and Laney College partnership. They will have opportunities to compete for plant mechanic and machinist trainee jobs in 2013, with pay ranging from $29.56 - $34.22 per hour (plus excellent benefits, and on-the-job training for journey-level status). EBMUD has plans to partner with more community colleges in 2014 and 2015 to increase economic opportunities in our diverse service communities, and to strengthen the qualifications of local job candidates. These partnerships help the district to cultivate skills and continue its service-oriented work ethic. These partnerships are working because local colleges are dedicated to improving student skills but may be

unaware of what job opportunities are being offered by local utilities, or how to train students to compete for them. Hard-working students with a desire to learn new skills and gain a better paying job often have to juggle study time with part-time work and caring for their families. And utilities such as EBMUD offer entry-level trainee jobs that can lead to journey level positions, but have difficulty recruiting enough candidates with the abilities and potential to do these jobs. EBMUD’s partnerships with local colleges have helped the colleges to focus on skills development relevant for utility jobs; offered students experience they need to better compete for those jobs; and provided utilities with a larger, diverse and skilled candidate pool to maintain and improve their facilities for the next generation.

Legal Brief Public Works Projects –Competitive Bidding Requirements By Randy Parent, Liebert Cassidy Whitmore

One of the Legislature’s stated objectives for public contracting is “to the maximum extent possible, for similar work performed by similar agencies, California’s public contract law should be uniform.” (Public Contract Code, § 102.) This statement of public policy is somewhat ironic when it comes to special districts. CSDA’s Guide to Special District Laws and Related Codes provides that “each special district type or even, at times, a specific special district has its own contracting and bidding regulations. See the list that follows Public Contract Code Section 20100.” (The guide leaves it up to the reader to look up the applicable section.) As you will see, the Legislature has provided small but important differences in the specific statutes governing bidding for various types of special districts. For example, the threshold amount for required bidding ranges from requiring bids on all projects to requiring bidding only for projects costing more than $35,000. In order to make this easier for you, the following information specifies the bidding requirements for the specified types of agencies. Community Services Districts

Municipal Water Districts

A district may purchase materials and supplies for construction projects or contract for construction work up to $25,000 without going out to bid, but must bid such contracts exceeding $25,000 and award the contract to the responsible bidder submitting the lowest responsive bid or reject all bids. (Public Contract Code, §§ 20682, 20682.5.)

A district must award all contracts for the construction or extension of any waterworks, water system or water distribution system to the responsible bidder submitting the lowest responsive bid. However, the Public Contract Code specifies that the code does not prohibit a municipality itself from constructing or extending such systems and employing the necessary labor without a contractor. (Public Contract Code, § 21051.)

Fire Protection Districts

Reclamation Districts

A district must put construction work costing more than $10,000 out for bids and award the contract to the responsible bidder submitting the lowest responsive bid or reject all bids. (Public Contract Code, § 20813.)

Irrigation Districts The board shall award all contracts for construction work to the lowest responsible bidder that submits a responsive bid or reject all bids. With approval of the commission, a board may elect to construct works under its own superintendence. (Public Contract Code, §§ 20562, 20564.5.)

A district must put construction work costing more than $25,000 out for bids and award the contract to the responsible bidder submitting the lowest responsive bid or reject all bids. If two or more bids are the same and are the lowest, the district board may accept the one it chooses. If the board receives no bids, it may proceed to complete the project by force account or contract without further compliance with this article. A district may exceed the $25,000 limitation to $50,000 if the project receives no assistance from government agencies by securing approval from landowners of the district representing at least two-thirds of the assessment value of the district, or if no assessment has been collected from landowners holding such interest within the prior year, by the landowners representing at least two-thirds of the acreage within the district. (Public Contract Code, §§ 20921, 20925, 20927.)

...this information is general in nature and not intended to serve as legal advice. We advise districts to obtain the advice of legal counsel when embarking on public works projects.

Recreation and Parks Districts A district must put both construction work and maintenance or repair work costing more than $25,000 out for bids and award the contract to the responsible bidder submitting the lowest responsive bid or reject all bids. A district may perform work estimated to cost less than $25,000 with its own forces or by contract without going out to bid. (Public Contract Code, §§ 20815.1, 20815.3.)

Sanitary Districts A district must put construction work costing more than $15,000 out for bids and award the contract to the responsible bidder submitting the lowest responsive bid or reject all bids. (Public Contract Code, § 20803.)

Construction Cost Accounting Act (the “Act,” Public Contract Code, §§ 22000 et seq.) is an optional program that a governing body may elect to participate in by filing a resolution with the State Controller. The Act permits local agencies to perform public project work up to $45,000 with the agency’s own forces or by negotiated contract. (Public Contract Code, § 22032.) Section 22032 also permits utilizing an informal bid procedure when performing work by contract when the work costs $175,000 or less. Under this procedure, the agency maintains a list of qualified contractors by categories of work and mails notice to all contractors on the list inviting informal bids. In addition, the governing board may delegate the authority to staff to award informal contracts. Of course, this information is general in nature and not intended to serve as legal advice. We advise districts to obtain the advice of legal counsel when embarking on public works projects. We wish for you in 2013 projects without bid protests (when bids are required), without change orders or claims, and coming in under budget and on time. Happy building!

Sanitation Districts A district may perform construction work with its own forces up to $5,000. A district must put construction work costing more than $35,000 out for bids and award the contract to the responsible bidder submitting the lowest responsive bid or reject all bids. These requirements do not apply to sewerage maintenance or repair work. (Public Contract Code, § 20783.)

Water Storage Districts A district must put construction work costing $25,000 or more out for bids. The district may award the contract to the responsible bidder submitting the lowest responsive bid, reject all bids, or proceed to construct the work under its own superintendence. (Public Contract Code, §§ 20581, 20584, 20585.) The Legislature has, however, provided public agencies, including special districts, an alternative that provides greater flexibility in contracting procedures in exchange for agreement to follow specified accounting procedures. (Public Contract Code, § 22002.) The Uniform Public

California Special District – Jan-Feb 2013

Providing California Special Districts with quality representation and trusted legal advice on a broad spectrum of business and facilities matters, including:

- Competitive Bidding - Contract Award - Construction Contracts - Purchasing Agreements - Real Property and Facilities - Intergovernmental Agreements - Bid Protests - Surplus Property Issues

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@LCWLegal

Los Angeles | San Francisco | Fresno | San Diego

SDLF sheds light on transparency with new district certificate program At its November meeting, the Special Why should your district earn the District Transparency Certificate of Excellence? District Leadership Foundation (SDLF) approved the creation of a new 1. The certificate covers all general, website, and outreach best practices and requirements regarding transparency for special District Transparency Certificate of districts. Excellence. The District Transparency 2. Earning the certificate is a tangible acknowledgement of your Certificate of Excellence is a standtransparency efforts. 3. Demonstrate to your constituents and other stakeholders your alone program of SDLF and made district’s commitment to being open and accessible to them. available to districts that apply and 4. Earning the certificate demonstrates a commitment to engaging the meet the requirements. It is also public and creating greater awareness of your district’s activities. a new required component of the District of Distinction Accreditation. Three main subject areas • Basic Transparency Requirements Current Districts of Distinction will • Website Requirements have a grace period to meet the new • Outreach requirements requirement. Over the last couple years, the abuses that have come to light in various public agencies from cities to schools to special districts have brought increased scrutiny as it relates to transparency. A transparency checklist via a certificate program will provide districts with an opportunity to ensure they are meeting all basic requirements as well as best practices when it comes to being a transparent public agency. Additionally, it will demonstrate to the public and other stakeholders that the district is committed to being open and accessible.

CSDA Appointees

Stanley Caldwell, Mt. View Sanitary District Jo MacKenzie, Vista Irrigation District Sherry Sterrett, Pleasant Hill Recreation & Park District

SDRMA Appointees Special District Leadership Foundation 1112 I Street, Suite 200 Sacramento, CA 95814 www.sdlf.org

What recognition the district receives • Certificate for display (covering 2 years) • Window cling • Press release template • Recognition on the SDLF website • Letter to legislators within the district’s boundaries announcing the achievement • Recognition in California Special District magazine and the CSDA e-News Visit www.sdlf.org to download an application and checklist or for more information.

Staff

Neil McCormick, Administrator Megan Hemming, Program Manager Charlotte Lowe, Program Assistant Rick Wood, Finance Manager

David Aranda, SDA, North of the River Municipal Water District Muril Clift, Cambria Community Services District Jean Bracy, SDA, Mojave Desert Air Quality Management District

Public Member Appointees

Katie Kolitsos, Chief Consultant, Assembly Local Government Committee April Manatt, April Manatt Consulting Geoffrey Neill, California State Association of Counties

Special District Leadership Foundation Programs promoting good governance.

SHOWCASE YOUR DISTRICTâ&#x20AC;&#x2122;S COMMITMENT TO TRANSPARENCY

District Transparency Certificate of Excellence

The District Transparency Certificate of Excellence is a standalone program of SDLF and made available to districts that apply and meet certain requirements. It is also a required component of the District of Distinction Accreditation. This program was created in an effort to promote transparency in the operations and governance of specials districts to the public and to provide special districts with an opportunity to showcase their efforts in transparency.

For more information and an application, visit www.sdlf.org or call 916.231.2939.

Get your district certificate today!

Are you up for the Challenge? Prove your commitment to transparency

SDLF is supported by

The Special District Leadership Foundation (SDLF) is a an independent, non-profit organization formed to promote good governance and best practices among Californiaâ&#x20AC;&#x2122;s special districts through certification, accreditation and other recognition programs.The SDLF and its activities are supported through the California Special Districts Association and Special District Risk Management Authority.

Indemnification [continued from page 21] counsel are keeping a healthy line of communication open with the design professional before any contract is officially entered into. “It is important to remember that the collective interests of public agencies and design professionals are frequently compatible. Both public agencies and design professionals are very familiar with frivolous lawsuits. It is better for both design professionals and public agencies if they develop cooperative relationships and avoid being needlessly adversarial,” says Paul Meyer.

It is better for both design professionals and public agencies if they develop cooperative relationships and avoid being needlessly adversarial.

Work with the design professional with whom you are contracting to form an indemnification clause both parties can agree to. The clause should hold the design professional responsible when the professional is negligent, it should be legal under California Civil Code statutes and it should be insurable. “If, right off the bat, the agency and the design professional reach agreement on contract language that complies with the statutes and is insurable, that helps create a positive, cooperative relationship,” according to Meyer. Communication isn’t just key at the initiation of a contract – it is vital throughout the length of the project. Meyer continues, “Then if down the road a third party dispute arises, such a relationship

can help save both the agency and the design professional a lot of headache, time and money. Whenever a third party dispute does arise, the agency and the design professional should begin meeting right away, share the relevant facts and develop a proactive cooperative strategy for resolving the dispute.” David Barker advises: “Keep in mind that your design professional is your ally and can assist you through every step of the project. Unlike contractors, design professionals have no interest and derive no benefit from projects being delayed or change orders being issued.”

Conclusion There is nothing simple or straight forward about any contract a public agency enters into. But the goal should always be to keep the public’s best interest in mind. Setting up a cooperative relationship with your design professional from the beginning will help to keep a public works project moving along. Part of this cooperation will be working closely with them to determine what work they should indemnify and ensuring both parties have a full understanding of that indemnification clause. As always, consult your district’s legal counsel with any questions.

CSDA thanks David Barker, with Collins Collins Muir & Stewart LLP, Paul Meyer, executive director of the American Council of Engineering Companies of California and Brian A. Pierik, Esq. with Burke, Williams & Sorensen LLP for all of their contributions to this article. This article could not have been written without their valuable input.

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anaging Risk

Changes in store for 2013 On behalf of the Board of Directors of SDRMA we wish all of our members and their respective staffs a very happy and safe 2013.

Governor Edmund G. Brown, Jr. signed into law Senate Bill 1038 (Committee on Budget & Fiscal Review) on June 27, 2012. Effective January 1, 2013, among other changes, the bill amended the Fair Employment and Housing Act (FEHA) to: (1) eliminate the Fair Employment and Housing Commission and replace it with a Fair Employment and Housing Council within the Department; (2) transfer the Commission’s regulatory function to the Department’s Council; and (3) end administrative adjudication of FEHA claims. There are new definitions under the FEHA guidelines that all California employers should become aware of. The new ‘definitions’ have gone into effect as of January 1, 2013 and California employers - especially public entities - should take the steps to update employee handbooks/personnel manuals to add the new definitions to existing personnel policies to remain in compliance with state law. The new ‘definitions’ are: (d) “Disability” shall be broadly construed to mean and include any of the following definitions:

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(1) “Mental Disability,” as defined at Government Code section 12926, includes, but is not limited to, having any mental or psychological disorder or condition that limits a major life activity. “Mental Disability” includes, but is not limited to, emotional or mental illness, intellectual or cognitive disability (formerly referred to as “mental retardation”), organic brain syndrome, or specific learning disabilities, autism spectrum disorders, schizophrenia, and chronic or episodic conditions such as clinical depression, bipolar disorder, posttraumatic stress disorder, and obsessive compulsive disorder. (2) “Physical Disability,” as defined at Government Code section 12926, includes, but is not limited to, having any anatomical loss, cosmetic disfigurement, physiological disease, disorder or condition that does both of the following: (A) Affects one or more of the following body systems: neurological; immunological; musculoskeletal; special sense organs; respiratory, including speech organs; cardiovascular; reproductive; digestive; genitourinary; hemic and lymphatic; circulatory; skin; and endocrine; and (B) limits a major life activity. (C) “Disability” includes, but is not limited to, deafness, blindness, partially or completely missing limbs, mobility impairments requiring the use of a wheelchair, cerebral palsy, and chronic or episodic conditions such as HIV/ AIDS, hepatitis, epilepsy, seizure disorder, diabetes, multiple sclerosis and heart disease. (4) A “Record or History of Disability” includes previously having, or being misclassified as having, a record or history of a mental or physical disability or special education health impairment of which the employer or other covered entity is aware. (5) A “Perceived Disability” means being “Regarded as,” “Perceived as” or “Treated as” Having a Disability.

Officers

David Aranda, President, North of the River Municipal Water District Jerry Ledbetter, Vice President, Alameda County Water District Muril Clift, Secretary, Cambria Community Services District Special District Risk Management Authority 1112 I Street, Suite 300 Sacramento, CA 95814 tel: 800.537.7790 www.sdrma.org

Members of the Board

Jean Bracy, Mojave Desert Air Quality Management District Terry Burkhart, Bighorn-Desert View Water Agency Ed Gray, Chino Valley Independent Fire District Sandy Raffleson, Herlong Public Utility District

Consultants

SDRMA Staff

Gregory S. Hall, ARM, Chief Executive Officer C. Paul Frydendal, CPA, Chief Financial Officer Dennis Timoney, ARM, Chief Risk Officer Barbara Tyler, CCLA, Claims/Loss Prevention Manager Nicole Rushing, Finance Manager Ellen Doughty, Manager of Member Services Karen Lafferty, AIC, Senior Claims Examiner Shawn Vang, Accounting Technician Wendy Tucker, Member Services Specialist II Alana Batzianis, Health Benefits Specialist Rachel Saldana, Administrative Assistant

Lauren Brant, Public Financial Management Ann Siprelle, Best Best & Krieger, LLP David McMurchie, McMurchie Law John Alltop, Bickmore Risk Services & Consulting Charice Huntley, River City Bank James Marta, CPA, Auditor Karl Snearer, Apex Insurance Agency Doug Wozniak, Alliant Insurance Services, Inc.

Perceived disability includes: (A) Being regarded or treated by the employer or other entity covered by this subchapter as having, or having had, any mental or physical condition or adverse genetic information that makes achievement of a major life activity difficult; or (B) Being subjected to an action prohibited by this subchapter, including nonselection, demotion, termination, involuntary transfer or reassignment, or denial of any other term, condition, or privilege of employment, based on an actual or perceived physical or mental disease, disorder, or condition, or cosmetic disfigurement, anatomical loss, adverse genetic information or special education disability, or its symptom, such as taking medication, whether or not the perceived condition limits, or is perceived to limit, a major life activity

(1) A job function may be considered essential for any of several reasons, including, but not limited to, the following: (A) The function may be essential because the reason the position exists is to perform that function. (B) The function may be essential because of the limited number of employees available among whom the performance of that job function can be distributed. (C) The function may be highly specialized, so that the incumbent in the position is hired for his or her expertise or ability to perform the particular function. continued on page 42

(6) A “Perceived Potential Disability” includes being regarded, perceived, or treated by the employer or other covered entity as having, or having had, a physical or mental disease, disorder, condition or cosmetic disfigurement, anatomical loss, adverse genetic information or special education disability that has no present disabling effect, but may become a mental or physical disability or special education disability. (9) “Disability” does not include: (A) excluded conditions listed in the Government Code section 12926 definitions of mental and physical disability. These conditions are compulsive gambling, kleptomania, pyromania, or psychoactive substance use disorders resulting from the current unlawful use of controlled substances or other drugs, and “sexual behavior disorders,” as defined at section 7293.6, subdivision (q), of this subchapter; or (B) conditions that are mild, which do not limit a major life activity, as determined on a case-by-case basis. These excluded conditions have little or no residual effects, such as the common cold; seasonal or common influenza; minor cuts, sprains, muscle aches, soreness, bruises, or abrasions; non-migraine headaches, and minor and non-chronic gastrointestinal disorders. (e) “Essential job functions” means the fundamental job duties of the employment position the applicant or employee with a disability holds or desires.

California Special District – Jan-Feb 2013

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Money Matters Updates and changes to prevailing wage requirements By Deborah Wilder, Contractor Compliance and Monitoring, Inc.

maintenance, rehab and repair as well as modification to existing buildings and new construction. Work covered by prevailing wages includes such things as landscaping, survey work, inspections, warranty and service work, installation of photovoltaic panels subject to a power purchase agreement (2012), and, in 2013, the assembly of free standing modular furniture.

Thirty years ago, complying with prevailing wage meant an agency informed the contractor a project was subject to prevailing wages, the contractor paid a total package of wages and fringes as determined by the California Department of Industrial Relations (DIR) and all was well. Nearly each and every year since that time, the California Legislature has changed the law so that compliance with prevailing wage requirements now requires a variety of forms and compliance steps to be completed by the contractor, as well as additional paperwork and compliance required of public agencies. The best way to understand many of the recent prevailing wage compliance requirements is to categorize them by dollar value and funding source. First, all “works of improvement” in which $1,000 or more of public funds is used is considered to be covered by California prevailing wage. (limited exceptions for Housing Authorities receiving HUD funding). This $1,000 does not have to be State funds, but can be from the agency’s general fund. With such a low threshold, almost all “works of improvement” are covered by prevailing wage. The California Labor Code defines a “work of improvement” to include demolition,

CSDA F C

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For any project that exceeds $30,000, the public agency must complete and file with the DIR a PWC100 form (new requirement - 2012). For any project using any State Bond Funds (regardless of the value of the project), a PWC-100 must be filed. The PWC100 informs the DIR of the type and size of project, duration and the funding source related to the project. The public agency is also acknowledging that the agency included the proper language in its contract or purchase order informing the contractor of the prevailing wage requirements for the project. Since 2003, various types of State bond funds have triggered special labor compliance requirements. In 2012, the DIR implemented the Legislature’s latest Labor Compliance Program (LCP) directive by mandating the use of the CMU (Compliance Monitoring Unit). The CMU requirements apply to all State bond funds used for works of improvement (except Proposition 84) and for many design-build projects (even if state bond funds are not used). The requirements of the CMU include an obligation of the public agency to complete a PWC-100, conduct a preconstruction conference, require that all certified payrolls and related documents be posted to the DIR’s CMU web-based program, and that the agency must continue to be cognizant of any violation and take appropriate action. Problems with the operations, staffing and response time by the CMU has plagued the DIR throughout 2012. Additionally, the public agency must pay for the privilege and will be billed

Officers

Jo MacKenzie, President, Vista Irrigation District James Acosta, Vice President, Saticoy Sanitary District Stephen Kozak, Secretary, Municipal Water District of Orange County

CSDA F C

CSDA Finance Corporation 1112 I Street, Suite 200 Sacramento, CA 95814 tel: 877.924.CSDA www.csdafinance.net

Consultants

David McMurchie, McMurchie Law Josephine Libunao, BNY Mellon Trust Co., NA William Morton, Municipal Finance Corporation Saul Rosenbaum, Prager & Co., LLC Jeff Stava, Nossaman, LLP

CSDAFC Staff

Neil McCormick, Administrator Cathrine Lemaire, Program Manager Charlotte Lowe, Executive Assistant Rick Wood, Finance Manager

Members of the Board

Scott Dowell, Chico Area Recreation and Park District Paul Hughes, South Tahoe Public Utilities District Larry Peterson, Rancho Simi Recreation and Park District

by the DIR up to one-quarter of one percent of the amount of State Bond Funds used for the project. Proposition 84, by the very language in the ballot measure, mandates a Labor Compliance Program administered by the agency receiving funds, but allows for the LCP services to be contracted out to a qualified third party. This involves an application and approval process with the DIR and then very specific and detailed steps to collect and review the certified payroll and related documents for full compliance. This process includes monthly interviews of workers on the project, requesting verification of payment to employees (such as cancelled checks), verification of apprenticeship compliance (filing of DAS-140 DAS-142 and CAC-2 forms by the contractor), and various reports which must be completed and filed by or on behalf of the agency with the Labor Commissioner and/or DIR. Finally, prevailing wage requirements for agencies can be complicated further when federal funding is involved, requiring the additional compliance with federal prevailing wage requirements (Davis-Bacon Act). While Davis-Bacon requirements are often times similar to California, they are indeed different and a public agency receiving such forms is required to comply with additional requirements: 1) specific language from 29 CFR 5.5. must be included in the contract

California Special District – Jan-Feb 2013

or purchase order between the agency and the contractor; 2) a hard copy of the federal wage determination must be included in the bid specifications and/ or the contract/purchase order between the agency and the contractor; 3) the wage rate requirements must be paid (sometimes California prevailing wage rates are higher and sometimes DavisBacon are higher); 4) any apprentices used by a contractor on the project must also be enrolled in a federal Bureau of Apprenticeship Training authorized program (this is in addition to the California requirements for apprentices); 5) “certification language” (which is different from California’s language) must be signed by the contractor; and, 6) frequently, the agency will be required to engage in an independent audit of the federal LCP requirements during the course of the project.

Special Districts Look to CSDA Finance Corporation for Lower Interest Rates Is your agency paying too much in interest? As rates fell in 2012, dozens of districts looked to the CSDA Finance Corporation to help them save on interest payments. Last year, the CSDA Finance Corporation facilitated the refinancing of more than $18 million in prior debt for special districts, including: Sacramento Metro Air Quality Management District $4,350,000

Failure to comply with these various labor compliance requirements risks the funding allocated and could impact the agency’s ability to obtain future state bond funds or federal funding for a local agency’s projects. Having informed staff who understand the funding sources and thresholds that trigger various labor compliance requirements is key to the smooth administration of these public works projects.

Monterey Regional Water Pollution Control Agency $8,855,000

Deborah Wilder is a practicing attorney, the president of Contractor Compliance and Monitoring, Inc. (a third party labor compliance company), the former Mayor of Foster City and a CSDA Business Affiliate.

To find out if you can save money with lower interest rates, or call 877.924.2732 or visit www.csdafinance.net.

Monterey Peninsula Airport District $3,100,000 Tehachapi-Cummings County Water District $1,700,000

[What’s so special]

What once was old is new again

Placer County Water Agency and Tahoe City Public Utility District Over the years, Placer County Water Agency (PCWA) and Tahoe City Public Utility District have built a solid relationship that works to serve their residents exceptionally well. So when PCWA determined it was ready to divest itself of one of its snow vehicles – a snowcat – it turned to Tahoe City Public Utility District to make a donation. The utility district has a close working relationship with a local search and rescue team who would benefit greatly from the vehicle and, thanks to the donation, more lives can be saved in the area. California Special District asked the districts to explain the importance of the snowcat as well as the importance of their own partnership. What is a snowcat? Why did PCWA own it?

Placer County Water Agency donates snowcat to the Tahoe City Public Utility District

A snowcat is an over-the-snow vehicle that provides transportation in snow-covered areas where on-road vehicles cannot travel. PCWA used the 1990 model snowcat in its Power Division, where travel is required in snowbound areas near the 5000-foot elevation on the upper American River and Rubicon River watersheds. The snowcat became available when PCWA purchased a new model.

Placer County Water Agency Established: Size: Population: Website:

1957 1500 square miles 357,000 www.pcwa.net

Budget: Location:

Explain why PCWA decided to transfer the snowcat to Tahoe City PUD. The Tahoe Nordic Search & Rescue Team is a critical and highly respected 100-member volunteer organization that provides winter search and rescue services in the Lake Tahoe region. It relies on community and volunteer support and has a long, successful working relationship with the Tahoe City PUD. In fact the search and rescue team is based at Tahoe City PUD headquarters in Tahoe City.

How does Tahoe City PUD use the snowcat? Primary use of the snowcat will be by the Tahoe Nordic Search & Rescue Team for search and rescue activities. The Tahoe City PUD, which accepted title of the vehicle from PCWA, assigned its use to the search and rescue team, and also reserved its rights to the vehicle for use in emergency situations.

Explain the Tahoe Nordic Search and Rescue Team’s mission and its relationship to Tahoe City PUD. The group’s purpose is to conduct fast and safe search and rescue operations and to educate the public on winter safety. The Tahoe City PUD, like the mountain community it serves, sees the important value of a search and rescue response team.

This isn’t the first time a transfer like this has taken place. A snowcat was transferred previously in 2003. How successfully was that machine used? This is the second snowcat transferred by PCWA to Tahoe City PUD and Tahoe Nordic Search & Rescue. The first is still in use and highly valued by the search and rescue team. Chris McConnell, president of the 100-member volunteer

California Special District – Jan-Feb 2013

Tahoe City Public Utility District $81.9 million (combined water, power, agency wide) Auburn, (county seat) Placer County, CA

Established: 1938 Size: 31 square miles Population: 4900 full-time 24,000 part-time Website: tahoecitypud.org

group, said the first machine has been used in numerous rescues over the years and he expects the new snowcat to prove just as valuable. “We’re an all volunteer group so this is an extremely welcome donation,” he said. “It will help us be more effective and save lives, and it will benefit our entire community. We’re very grateful to PCWA.” Tahoe City Public Utility District serves a large area (almost 1/3) of the Lake Tahoe shoreline. Because of the unique mountain environment that creates separation from the rest of California, special districts and nongovernmental organizations often form unique partnerships to better serve their communities. The agreement for use of the snowcat continues a long-standing close relationship between Tahoe City PUD and Tahoe Nordic Search & Rescue. In 1997 Tahoe City PUD agreed to share land (for $1 per year) it had recently acquired with Tahoe Nordic Search & Rescue for the construction of Tahoe Nordic’s headquarters.

Budget: Location:

$8.4 million (combined water, sewer, parks & rec) Lake Tahoe, Emerald Bay to Dollar Point and Truckee River Cooridor

How does the transfer benefit both districts and their communities? The snowcat provides a valuable public service, which is key to the missions of both agencies. It was originally purchased for PCWA’s Power System, using power sales revenues. These revenues are intended to benefit the people of Placer County and this is one way to benefit Tahoe area taxpayers, without the need to pay for it through water rates or other district revenues.

Are there any other ways the two districts have been able to work together? Yes. PCWA meets with Tahoe City PUD and many other community water supply agencies across Placer County to offer water resource, technical and other support. PCWA offers a financial assistance program that provides planning grants to local agencies.

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In brief [continued from page 13] Irrigation District Considering Investment in Portable Power

First Annual Health Awards Held In an effort to recognize and fund individuals and organizations that work to improve the health and well-being of the residents of Calaveras County, Mark Twain Health Care District launched its first ever Golden Health Awards ceremony. The district worked with the Mark Twain Medical Center Foundation to produce the awards. The Foundation raises money to support various health needs and both the Foundation and the district hope to be able to make the awards an annual event. Five organizations received $1,000 community service awards. Those organizations were: The Resource Connection â&#x20AC;&#x201C; Calaveras Food Bank, Calaveras Youth Mentoring Program and Foundation, Blue Mountain Coalition for Youth and Families, Calaveras County Behavioral Health and Calaveras Senior Center. Individual awards went to Colleen Smart, a long-standing member of the district board of directors, and Ryan Thompson, a physician who opened the Mind Matters clinic, which serves individuals coping with autism, attention deficit hyperactivity disorder and related syndromes.

Imperial Irrigation District is eyeing the use of mobile substations as a way to guard against emergency outages and to promote local development. The substations are container trucksized power-distribution facilities on wheels that can be located and relocated and serve as backups in a major catastrophe. These substations were used on the East Coast during the aftermath of Superstorm Sandy in late 2012. Not only can these substations provide emergency power in the event of an emergency, IID believes they could also help encourage growth in the community. They could provide temporary, small substation areas where expected growth does not yet support the almost $6 million expense of building a full-size substation. The mobile substations cost about $3.5 million and the district would like to invest in two â&#x20AC;&#x201C; one on wheels for use in emergencies and one on mounted skids as a temporary substation. The district is currently investigating funding options and wants to keep the impact on ratepayers as minimal as possible.

District Snapshots San Diego County Water Authority

Crane used

e. diameter pip ugh a 6-foot Peering thro 40

Construction crews relining about 3.5 miles of water pipe in the San Carlos community of San Diego. The $21.2 million project will extend the life of the pipe by at least 75 years, a more cost-effective approach than removing and replacing entire sections of pipe.

to lift massiv e wate r pipe.

Fire District Honors Unique Public Servant Rancho Cucamonga Fire District recently held a memorial service for a unique former employee of the district. Denali, a yellow Labrador retriever passed away in late 2012 and was viewed as a valuable member of the district team. The retriever worked for years with arson investigator Susan De Antonio as an accelerant-sniffing dog. He was trained to find signs of flammable liquids where fires had occurred, signaling potential arson for arson investigators. Over the course of their work with the district, De Antonio and Denali investigated dozens of fires in Rancho Cucamonga and the surrounding area – fires that amounted to over $9 million in losses. Denali’s value to the fire district wasn’t just in his aid at investigating arson; he and De Antonio also visited libraries to teach fire safety and prevention to children. Says Fire Chief Mike Bell, “(Denali) and Susan were much more viable to the community in the way that they taught people about fire prevention. It was just so amazing how she was able to use the dog in so many ways to touch lives in our community.”

Moraga-Orinda Fire District Gets New Staff For the first time in two years, the Moraga-Orinda Fire District will be getting some new hires. The district has long been understaffed, forcing the current employees to work large amounts of overtime in order to ensure adequate coverage. The district will now be able to fill six of 12 firefighter vacancies, which includes two captain positions. “The reason we have to hire is I don’t have enough folks to staff fire engines, and it’s going to get worse in the next couple of months,” says Fire Chief Randy Bradley. Usually the district would choose to hire experienced firefighter/paramedics to limit the amount of training required for newcomers, but to save money it will hire those with less professional experience and send them to an academy for more training. The cost savings are due to the retirement tier established recently by the state Legislature and went into effect January 1. Newcomers will be hired at a tier that would collect a pension of 2.7 percent based on an average of three years of salary at age 57. While the training of the less experienced firefighter/paramedics will cost the district additional money up front, the district will make up the costs over the lifetime of their careers due to the lower retirement rate.

CSDA’s Business Affiliates CSDA gratefully relies on the generous support of all Business Affiliates

Gold level

CSDA Finance Corporation www.csdafinance.net Enterprise Networking Solutions, Inc. www.ens-inc.com Meyers Nave www.meyersnave.com Special District Risk Management Authority www.sdrma.org

Burke, Williams & Sorensen, LLP www.bwslaw.com California CAD Solutions, Inc. www.calcad.com CPS HR Consulting www.cps.ca.gov HdL Companies www.hdlcompanies.com PARS www.pars.org

Diamond level

For more information about all CSDA Business Affiliates, see the Buyer’s Guide at www.csda.net. To learn more about becoming a CSDA Business Affiliate or participating at a higher level, contact our office at 877.924.2732.

California Special District – Jan-Feb 2013

A special thank you to:

Risk management [continued from page 33] (2) Evidence of whether a particular function is essential includes, but not limited to, the following: (A) The employer’s or other covered entity’s judgment as to which functions is essential. (B) Accurate, current written job descriptions. (C) The amount of time spent on the job performing the function. (D) The legitimate business consequences of not requiring the incumbent to perform the function. (E) Job descriptions or job functions contained in a collective bargaining agreement. (F) The work experience of past incumbents in the job. (G) The current work experience of incumbents in similar jobs. (H) Reference to the importance of the performance of the job function in prior performance reviews.

(3) “Essential functions” do not include the marginal functions of the position. “Marginal functions” of an employment position are those that, if not performed, would not eliminate the need for the job or that could be readily performed by another employee or that could be performed in an alternative way. (j) “Interactive process,” as set forth more fully at California Code of Regulations, title 2, section 7294.0, means timely, good faith communication between the employer or other covered entity and the applicant or employee or, when necessary because of the disability or other circumstances, his or her representative to explore whether or not the applicant or employee needs reasonable accommodation for the applicant’s or employee’s disability to perform the essential functions of the job, and, if so, how the person can be reasonably accommodated. (k) “Job-Related,” as used in sections 7294.1, 7294.2 and 7294.3, means tailored to assess the employee’s ability to carry out the essential functions of the job or to determine whether the employee poses a danger to the employee or others due to disability. (l) “Major Life Activities” shall be construed broadly and include physical, mental, and social activities, especially those life activities that affect employability or otherwise present a barrier to employment or advancement. (1) Major life activities include, but are not limited to, caring for oneself, performing manual tasks, seeing, hearing, eating, sleeping, walking, standing, sitting, reaching, lifting, bending, speaking, breathing, learning, reading, concentrating, thinking, communicating, interacting with others, and working. (2) Major life activities include the operation of major bodily functions, including functions of the immune system, special sense organs and skin, normal cell growth, digestive, genitourinary, bowel, bladder, neurological, brain, respiratory, circulatory, cardiovascular, endocrine, hemic, lymphatic, musculoskeletal, and reproductive functions. Major bodily functions include the operation of an individual organ within a body system. If you have questions, you can view the DFEC website at www. dfeh.ca.gov or contact SDRMA Chief Risk Officer Dennis Timoney at 800.537.7790 or dtimoney@sdrma.org.

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CSDA Members Take Notice. C

CMY

Are you posting and distributing employment notices with legally required updates for 2013? If you’re unaware there are changes from last year, CalChamber makes it easy to meet your compliance requirements. You see, no matter how many employees you have in California, your business must post and distribute the most current employment notices. Our convenient 2013 Required Notices Kit—in English or Spanish—contains what you need: an all-in-one, 27"x39.75" poster with the 16 required California and federal notices, plus 20 copies of each of the five pamphlets employees must receive. They reflect mandatory updates for 2013. CSDA members save 10% when you order your kit or other compliance products at calchamberstore.com. Just enter priority code CSDAR at checkout. Or call (800) 331-8877. © 2013 California Chamber of Commerce. All rights reserved.