December 3, 2007

 

Minutes of the Organizational and Regular Meeting of the Board of Trustees of the North Shore Sanitary District held Monday, December 3, 2007 at 9:30 AM. at the District Office of the Raymond E. Anderson Complex located in Gurnee, Illinois.

 

ORGANIZATIONAL MEETING

 

The meeting was opened with the Pledge of Allegiance.

 

On roll call, the following Trustees were present:

 

                                Daniel M. Pierce, President

                                Stephen J. Drew, Vice President

                                John R. Paxton, Treasurer

                                James E. Swarthout

                                Effie Wroten

 

Staff members present were General Manager Brian Dorn, Assistant General Manager Dave Miller, Attorney Jay Ukena, Director of Engineering Services Jai Gupta, Director of Laboratory Services Joe Robinson, Director of Operations Gary Sowma and Director of Technology Services Pete Russo.

 

President Pierce announced that this was the Annual Organizational Meeting.

 

It was moved by Trustee Swarthout and seconded by Trustee Paxton, that Daniel M. Pierce be elected Chairman of the Annual Organizational Meeting.

 

On roll call, all Trustees present voted “Aye”.  Motion declared carried.

 

It was moved by Trustee Swarthout and seconded by Trustee Wroten to appoint Mary Jo Bryant Secretary of the Meeting.

 

On roll call, all Trustees present voted “Aye”.  Motion declared carried.

 

It was moved by Trustee Paxton and seconded by Trustee Drew, that the regularly scheduled meetings of the Board of Trustees of the North Shore Sanitary District for 2008 will be held on the second Wednesday of each month at 9:30 A.M. with the exception of Monday, December 1st as follows:

 

 

                                January 9th                                             July 9th                   

                                February 13th                                         August 13th          

                                March 12th                                             September 10th 

                                April 9th                                                  October 8th

                                May 14th                                                 November 12th 

                                June 11th                                                 December 1st (Monday)

 

On roll call, all Trustees present voted “Aye”.  Motion declared carried.

 

It was moved by Trustee Swarthout and seconded by Trustee Wroten that Daniel M. Pierce be elected as President of the Board of Trustees of the North Shore Sanitary District for the period from December 3, 2007 to December 1, 2008.

 

On roll call, all Trustees present voted “Aye”.  Motion declared carried.

 

It was moved by Trustee Paxton and seconded by Trustee Swarthout, that Stephen J. Drew be elected Vice President of the Board of Trustees for the period from December 3, 2007 to December 1, 2008.

 

On roll call, all Trustees present voted “Aye”.  Motion declared carried.

 

It was moved by Trustee Swarthout and seconded by Trustee Drew, that John R. Paxton be elected Treasurer of the North Shore Sanitary District for the period from December 3, 2007 to December 1, 2008.

 

On roll call, all Trustees present voted “Aye”.  Motion declared carried.

 

It was moved by Trustee Paxton and seconded by Trustee Wroten, that Dave Miller be named Deputy Treasurer of the North Shore Sanitary District for the period from December 3, 2007 to December 1, 2008.

 

On roll call, all Trustees present voted “Aye”.  Motion declared carried.

 

It was moved by Trustee Paxton and seconded by Trustee Swarthout that Mary Jo Bryant be named Secretary of the North Shore Sanitary District for the period from December 3, 2007 to December 1, 2008.

 

On roll call, all Trustees present voted “Aye”.  Motion declared carried.

 

It was moved by Trustee Drew and seconded by Trustee Paxton, that Jay W. Ukena be designated Attorney of the North Shore Sanitary District for the period from December 3, 2007 to December 1, 2008.

 

On roll call, all Trustees present voted “Aye”.  Motion declared carried.

 

It was moved by Trustee Swarthout and seconded by Trustee Drew that Anne C. Linn be designated Assistant Attorney of the North Shore Sanitary District for the period from December 3, 2007 to December 1, 2008.

 

On roll call, all Trustees present voted “Aye”.  Motion declared carried.

 

It was moved by Trustee Paxton and seconded by Trustee Swarthout, that incidental expenses for the Trustees be authorized for the period from December 3, 2007 to December 1, 2008, not to exceed $2,500.00 for the President and $1,000.00 for each of the other Trustees.

 

On roll call, all Trustees present voted “Aye”.  Motion declared carried.

 

It was moved by Trustee Drew and seconded by Trustee Swarthout, that the President and Treasurer be authorized to sign all checks written for the North Shore Sanitary District on all funds pertaining to the District, and that both shall sign all checks.

 

On roll call, all Trustees present voted “Aye”.  Motion declared carried.

 

It was moved by Trustee Paxton and seconded by Trustee Drew, that the Annual Organizational Meeting be adjourned.

 

On roll call, all Trustees present voted “Aye”.  Motion declared carried.

 

 

 

                                                                                                                ______________________________

                                                                                                                                       CHAIRMAN

 

 

____________________________________

                   SECRETARY

 


 

REGULAR BOARD MEETING

 

The Regular Meeting was declared in session.

 

On roll call, the following Trustees were present:

 

                                Daniel M. Pierce, President

                                Stephen J. Drew, Vice President

                                John R. Paxton, Treasurer

                                James E. Swarthout

                                Effie Wroten

 

Staff members present were General Manager Brian Dorn, Assistant General Manager Dave Miller, Attorney Jay Ukena, Director of Engineering Services Jai Gupta, Director of Laboratory Services Joe Robinson, Director of Operations Gary Sowma and Director of Technology Services Pete Russo.

 

There were no comments from the public.

 

President Pierce presented the Consent Agenda, as follows:

 

A.      Approval of the Minutes of the Meeting held on November 14, 2007.

B.       Consideration of Bills.

Wastewater Treatment Fund                                     $2,316,096.23

Check Nos. 139020 through 139024, Check Nos. 139075 through 139112,

Check Nos. 139114 through 139118, Check Nos. 139120 through 139320.

Void Check Nos. 139113 and 139119.

C.       Financial Report, October 2007.

D.      Hearing Summary, November 12, 2007.

E.       Current Status of Significant Industrial Wastewater Violation(s) in the Service Area of the NSSD.

F.       Water Shut-off Schedule Fall 2007.

G.       SWALCO/Lake County Health Department Brochures.

H.      State Portfolio and Illinois Funds Investment Status.

I.         Annexation Ordinance.

1.        No. 435, Submitted by the City of  Lake Forest, for approximately 33.9 acres for governmental use located immediately east of Interstate Highway 94, approximately one mile north of W. Kennedy Road, in the City of Lake Forest.

 

ANNEXATION ORDINANCE

 

                WHEREAS, the property hereinafter described is contiguous to the North Shore Sanitary District, and

 

                WHEREAS, said property is not within the corporate limits of any sanitary district, and

 

                WHEREAS, within the meaning of 70 ILCS 2305/28, the NORTH SHORE SANITARY DISTRICT has power to annex the territory hereinafter described by the passage of an ordinance to that effect, and

 

                WHEREAS, it is in the best interests of the citizens of the NORTH SHORE SANITARY DISTRICT to annex the property hereinafter described.

 

                NOW, THEREFORE, BE IT ORDAINED BY THE PRESIDENT AND BOARD OF TRUSTEES OF THE NORTH SHORE SANITARY DISTRICT AS FOLLOWS:

 

                SECTION 1:  That the property hereinafter described to‑wit:

 

LOT 1 IN DALITSCH SUBDIVISION, BEING A SUBDIVISION OF PART OF THE SOUTHWEST ¼ OF SECTION 25, TOWNSHIP 44 NORTH, RANGE 11 EAST OF THE THIRD PRINCIPAL MERIDIAN, ACCORDING TO THE PLAT THEREOF RECORDED DECEMBER 19, 2006 AS DOCUMENT 6108123 IN LAKE COUNTY, ILLINOIS.

 

be and the same is hereby annexed to the North Shore Sanitary District.

 

                SECTION 2:  If the property herein described was the subject of a sewer service agreement, that agreement is terminated as of the effective date of this Ordinance.

 

                SECTION 3:  That a certified copy of this Ordinance, together with a map of the annexed territory shall be filed with the County Clerk of Lake County, Illinois.

 

SECTION 4:  This Ordinance shall be in full force and effect from and after its passage and approval as provided by law.

 

J.        Correspondence.

1.        11/07/07 email to President Pierce from Mr. David Daum regarding reinstatement of terminated sewer service.

2.        11/19/07 letter of thanks from Upper Des Plaines River Ecosystem Partnership to NSSD for hosting October Brown Bag Briefing.

3.        11/27/07 letter of thanks to American Public Works Association Chicago Metropolitan Chapter Lake Branch for touring the Zion Township Sludge Recycling Facility.

K.      Press Article.

1.     Lake County News Sun.

i.                     ‘Sanitary District considers break for nonprofits’, 11/17/07.

L.       Authorize Payroll and Finance Department to issue District checks to meet expenses where necessary for payroll and to avoid interest and/or penalties before the next Board Meeting.

 

It was moved by Trustee Swarthout and seconded by Trustee Drew, that the items under the Consent Agenda be approved.

 

On roll call, all Trustees present voted "Aye".  Motion declared carried.

 

General Manager Dorn presented the Management Report as follows:

 

A.      Presented Sewer Permit Connection Fee Assessment – Congregation B’nai Torah, Highland Park.

 

General Manager Dorn reported that representatives from the Congregation B’nai Torah of Highland Park were present at the meeting to give an overview of their organization and their request that the Board of Trustees not assess the Sewer Permit Connection Fee in the amount of $5,115.00 associated with a new education building being constructed on their campus.   Kerry Leaf and Nancy Heymann introduced themselves from the Congregation B’nai Torah.  Ms. Heymann gave an overview of their current situation which includes 3 building on their site which are used for Preschool, Religious classes and Adult Education classes.   They are forced to rearrange activities in one of the buildings on a daily basis to accommodate all of their classes which is requiring 75 man hours per week. 

 

They are constructing a new building on their site which will house 11 classrooms to take the burden off of the other three building which are at capacity.  Their request is based on the fact that they are not increasing population and usage of the sewer system.  General Manager Dorn stated that according to our Ordinance, any new connection to the public sewer must be charged a connection fee.  Trustee Swarthout stated that how the Board has handled situations like this in the past is that after one year of operation the water records are reviewed to see if there is an increase in flow from the facility.  If the flow remains the same, no fee is assessed.  Ms. Heymann and Ms. Leaf were agreeable to this and stated they would pay their fair share if required after the new facility has been in operation for a year and thanked the Board for giving them the opportunity to present their case.

 

President Pierce then introduced Carol Spielman from Highland Park who is on the County Board and was instrumental in the development of B’nai Torah.  Ms. Spielman thanked the Board and Staff of the North Shore Sanitary District for their cooperation in this matter and allowing them to present their concerns.

 

B.       Presented Amendment to LaFarge North America Lease Agreement.

 

General Manager Dorn stated that following the termination of sludge landfilling activities in Cell A, the District and LaFarge North America entered into a lease agreement related to LaFarge’s continuing interest in operations at the 9th street site.  Lease terms and rates were developed based on LaFarge’s continuing use of the dry fly ash storage facility located there, as well as LaFarge’s continued operation of the processing plant to mix dry fly ash with water (conditioning), and then to utilize this conditioned fly ash to complete a structural fill in Cell B East.

 

It is presently projected that structural fill construction in Cell B will be completed on or before April 1, 2008.  On April 1, 2008 LaFarge’s use of the District’s facilities would be limited to the operation of the dry fly ash storage building and the stockpiling, screening and subsequent distribution of bottom ash generated at the Waukegan Station of Midwest Generation.  Both uses would be seasonal.  Considering the reduced scope of operations, LaFarge proposes to amend the existing lease.  General Manager Dorn stated that he will be working with Mitch Nowicki of LaFarge to draft an amendment reflecting the partial lease of our facility.  General Manager Dorn stated he would keep the Board informed of the activities associated with this lease agreement amendment.

 

C.       Presented Ordinance Amendments.

1.        Amendments to ‘An Ordinance Relating to Sewers and Sewer Systems’.

2.        Amendment to ‘An Ordinance Establishing the Fees and Charges of North Shore Sanitary District’.

 

General Manager Dorn reported the USEPA conducted an Audit of the Laboratory in June, 2006 and as a result the District has incorporated some language changes to the Sewer and Sewer System Ordinance based on this Audit.  Most of the remaining changes proposed are clarification on sewer extension and connection permit issues and more stringent limits on pollutant discharges to the sewer system.

 

General Manager Dorn reported that the change to our Fees Ordinance was to clarify the No Notification Fee.

 

It was moved by Trustee Paxton and seconded by Trustee Drew to approve Ordinance Amendments to ‘An Ordinance Relating to Sewers and Sewer Systems’ and ‘An Ordinance Establishing the Fees and Charges of North Shore Sanitary District’.

 

On roll call, all Trustees present voted "Aye".  Motion declared carried.

 

D.      Presented Employee Holiday Gifts.

 

General Manager Dorn stated that for the last seven years the District gave each employee a $100.00 “net” check accompanied by a letter of gratitude from the Board of Trustees and the General Manager.  General Manager Dorn said it is the Board’s discretion to grant the Holiday Gift this year.

 

It was moved by Trustee Drew and seconded by Trustee Swarthout to approve an Employee Holiday Gift in the “net” amount of $100.00.

 

On roll call, all Trustees present voted "Aye".  Motion declared carried.

 

E.       Presented Zion Township Landfill Sludge Recycling Facility Monthly Status Report.

 

General Manager Dorn reported that the dryer continues to operate near its rated capacity on a consistent basis.  Dryer run time between October 29th and November 25th has averaged 94%.  The majority of downtime has been limited to routine maintenance or shutdown due to running out of feedstock at week’s end.

 

Run time for the Melter during the period from October 29th through November 25th has averaged 60%.  The majority of Melter downtime is attributed to system trips – primarily associated with plugging of the granulate feed system or primary economizer.  General Manager Dorn reported that he would like to discuss in Executive Session a course of action that the District should proceed with to resolve the Minergy issues.

 

General Manager Dorn reported that STS Consultants submitted the IEPA Bureau of Air operation permit application for the facility on November 14th.  District employees toured the facility on November 16th, while members of the American Public Works Association Chicago Metropolitan Chapter Lake Branch toured the facility on November 20th.  General Manager Dorn stated that feedback on the tour taken by the employee’s had been favorable. 

 

F.       Presented FY09 CIP/O&M Budget Timeline.

 

General Manager Dorn reported that this proposed Timeline is to keep the Board informed on the current status of our Capital Improvement Plan and our O & M Budget for the upcoming fiscal year.

 

There was no Presidents report from President Pierce.

 

Assistant General Manager Miller gave the Administration Division report as follows:

 

A.      Presented Workers Compensation and Public Official’s Bond Renewal.

 

Assistant General Manager Miller introduced Brad West, West’s Insurance Agency, Inc. to present Worker’s Compensation and Public Official’s Bond renewals.  Mr. West presented for approval a renewal quotation on the District’s workers compensation coverage for the 12/15/07 to 12/15/08 renewal term. Various insurance companies were asked to provide a renewal quotation with three responses received from the Illinois Public Risk Fund, NSSD’s current carrier, the St. Paul Travelers Insurance Company and Crum and Forster Insurance Company.  The Illinois Public Risk Fund has quoted a renewal premium of $204,411.  The renewal quotation is an increase of 1.6% over the expiring premium.  The St. Paul Travelers Insurance Company has quoted a renewal premium of $186,515 with no medical deductible and $182,044 with a $1,000 medical deductible each claim.  The Crum and Forster Insurance Company has quoted a premium of $255,700.   In addition, Mr. West stated the Illinois Public Risk Fund is providing the District with a $14,300 grant which is available in June 2008 to be used for workplace safety expenditures.

 

The surety bond covering  the five Trustees positions is quoted with the Ohio Casualty Company rated A- Excellent and is quoted with a limit of $250,000 per Trustee to include faithful performance.  The renewal quotation of $2,215 is the same as the expiring premium and is effective on 12/4/07.

 

Mr. West is seeking authorization as NSSD’s agent to renew the proposed worker’s compensation coverage effective 12/15/07 with Illinois Public Risk Fund at the renewal premium of $204,411 and the Public Official’s Bond Renewal with the Ohio Casualty Company at the renewal premium of $2,215 effective 12/4/07.

 

It was moved by Trustee Paxton and seconded by Trustee Swarthout to approve authorizing Mr. West, West’s Insurance Agency, Inc. as NSSD’s agent to renew the proposed worker’s compensation coverage effective 12/15/07-12/15/08 with Illinois Public Risk Fund at the renewal premium of $204,411 and Public Official’s Bond Renewal effective 12/4/07 with the Ohio Casualty Company at the renewal premium of $2,215, as presented.

 

On roll call, all Trustees present voted “Aye”.  Motion declared carried.

 

B.       Presented Revisions to Policy on Water Usage Credits.

 

Assistant General Manager Miller requested a revision to the Policy on Water Usage Credits that is referenced to Section 5.04 of the “Ordinance Establishing a User Charge System”.  Under the current Policy customers are allowed up to 2 credit meters for the purpose of determining the amount of incoming water usage that does not return to the sanitary sewer system.  Assistant General Manager Miller stated that we have some customers who would typically need more that 2 credit meters so a revision to the language on the Policy on Water Usage Credits is requested.

 

It was moved by Trustee Paxton and seconded by Trustee Drew to approve Revisions to the Policy on Water Usage Credits.

 

On roll call, all Trustees present voted “Aye”.  Motion declared carried.

 

C.       Presented Reinstatement of Terminated Sewer Service.

1.        539 South Avenue, Waukegan.

 

Assistant General Manager Miller reported that Mr. Clayton Harris’ sewer service at 539 South Avenue in Waukegan was terminated on May 31, 2007 based on the District’s “due process” of Sewer Service Termination Policies and Procedures.  Mr. Harris contacted the District on November 16th regarding the sewer service termination.  Vice President Drew reviewed Mr. Harris’ account and agreed that Mr. Harris shall pay at least 50% of his balance immediately and sign a payment agreement for the remaining balance to have water service reinstated.

 

Mr. Harris stated on November 19th that he would pay $300.00 towards his account and Community Action Partnership of Lake County would be paying the balance of the 50% which is $200.00.  Community Action Partnership faxed a copy of their $200.00 check request to the District as documentation on November 21st.  The District will monitor this account to verify that the payment from Community Action is made in the scheduled time period.

 

It was moved by Trustee Swarthout and seconded by Trustee Wroten to approve Reinstatement of Terminated Sewer Service at 539 South Avenue, Waukegan.

 

On roll call, all Trustees present voted “Aye”.  Motion declared carried.

 

Director of Engineering Services Gupta reported as follows:

 

A.      Presented the following Construction Change Orders.

1.     C.O. No. 1, FY08 Concrete Repair at Gurnee STP, Concrete and Masonry Restoration, Increase of $5,095.00.

2.     C.O. No. 1, FY08 Concrete Repair at Waukegan STP, Concrete and Masonry Restoration, Increase of $43,390.54.

 

It was moved by Trustee Swarthout and seconded by Trustee Drew to approve Construction Change Orders, C.O. No. 1, FY08 Concrete Repair at Gurnee STP to Concrete and Masonry Restoration an Increase of $5,095.00 and C.O. No. 1, FY08 Concrete Repair at Waukegan STP to Concrete and Masonry Restoration an Increase of $43,390.54.

 

On roll call, all Trustees present voted “Aye”. Motion declared carried.

 

Director of Operations Division Sowma reported as follows:

 

A.   &nbs