 here. Good afternoon. I'll call the meeting of the Board of Public Utilities for the City of Santa Rosa to order. We may have a roll call, please. Chairman Galvin. Here. Vice Chair Anoni. Here. Board Member Bannonfort. Here. Board Member Bannister. Here. Board Member Grable. Here. Board Member Watts. Here. Board Member Wright. Here. Thank you. Any statements of abstention by Board Members? None. We will move to our one study session on the Asset Management Overview. Director Burke. Yes, so we have Casey Claiborne and Jason Roberts, both Associate Civil Engineers with our Asset Management Team, to present the study session. Welcome, gentlemen. Thank you, Chairman Galvin. Members of the Board, thank you, Director Burke for the introduction. I'm Casey Claiborne. This is Jason Roberts. We're engineers with the Asset Management Division of the Water Department. We'll be discussing the benefits of asset management and how it's practiced here in Santa Rosa Water. So we'll start with just a general outline of what asset management does and why it's useful. We'll do a brief overview of the Water Department's assets, how they're managed with different information systems, and then move on to how we conduct asset management and how we apply those big general principles to the everyday business of managing a water system. So asset management in general, the EPA defines it basically based on what it achieves, maintaining a desired level of service for what your assets should provide at the lowest life cycle cost. So establishing a level of service based on broad goals and objectives, and then meeting all of those goals with the lowest possible cost. So on the right there you'll see just a sort of classic life cycle diagram out of an engineering textbook. In modern practice asset management is a bit more complicated. I'll get to that more complicated flowchart later on, but in practice asset management is about aligning assets, all of our assets, with those organizational objectives and our purpose as a water utility. And in order to do that we endeavor to streamline how insights and information are shared between work groups, between departments, and also between different levels of the organization hierarchy. So from the top we want to disseminate those big broad objectives and from the bottom we want to collect as much data, as many observations as we can, from field operators, from maintenance technicians, so that we can aggregate those, analyze those, and deliver better decision making back up at the top. And in every case that involves taking a life cycle approach, looking at an asset not just when it's built or as it's maintained but throughout its life. So why perform asset management? Well in short it gives us what we're looking for. We want top tier service and we want sustainable lows, we can get them water rates, and we also want to minimize risk. We want to minimize sanitary sewer overflows, we want to minimize big main breaks under farmers lane. And asset management helps us do that as well. Asset management helps us answer common everyday questions like where are my trouble assets, which which pipes and tanks and pumps are giving me the most trouble over time? And can we afford to replace them? Is it efficient to replace them today, or should we continue to maintain them until a later date? And then in the longer run it can help us answer big questions like what is that level of service that we're striving to provide? And which assets are critical to provide that broad system-wide level of service? For example sewer lift stations are critical to preventing sewer overflows, preventing and just to maintain the flow of sewer from one area to another. We also need asset management to tackle modern challenges and those challenges might include new regulations, climate change, different environmental factors that come from climate change. One big challenge for us in every water utility is an aging of assets, especially given the development boom in the 50s and 60s built lots and lots of infrastructure and now it's all coming up to need replacement. Similarly we have aging human assets and as they retire and move on to bigger and better things, we want to make sure that their institutional knowledge is maintained whether it's in a database or an SOP or just in new staff knowledge. And one sort of challenge but also an advantage is we have an enormous amount of data and more of our assets are generating data and they're generating more data. You may have heard of the Internet of Things, it's a thing in water utilities as well so we want to make sure that all of that data is being incorporated into our decision making in the most efficient way that we can. Thankfully with modern challenges comes modern solutions so we have analytical tools at our disposal like risk assessment or life cycle analysis, we have new technologies such as more efficient computers that can model our water system and sewer system in greater depth and complexity, we also have machine learning algorithms or artificial intelligence that we and our consultants can apply to solve problems and really to look at that enormous amount of data and try and tease out patterns and observations and insights that we can then apply to improve the way we operate and maintain our water system. And again our water system is made up of people as well so we want to make sure that we capture their insights and the insights that we get from data analysis into something like a living SOP so not just a standard operating procedure that sits on the shelf and is never modified or updated or read but rather something that we can update and invest in over time with the best available data. So just to recap what asset management can do for us with all of those tools the US EPA took a look at Australia's advanced asset management practices because Australia is on the leading edge of asset management in general and they achieved something like 20 to 30 percent life cycle cost savings across their entire system. Those savings come from both capital investment being precise in when we rehabilitate and replace our assets but also using the data we have and using those insights to improve the way we maintain the system to be more efficient. Sorry I just threw up in error on PowerPoint. There we go let's try again. Of course our water department's greatest assets are our people in the asset management team those individuals include of course deputy director Emma Walton and supervising engineer Andy Allen and they're of course overseen by yourselves director Burke other members of city management and that's who gives us those big broad objectives those critical goals critical excuse me get the idea and that's what we use to essentially evaluate our assets evaluate our water system to see how it's doing to see where we need to improve. On the left there you'll see myself and Jason along with our fellow engineer Tanya Mokvitz who's out at Laguna treatment plant managing that system. We're supported by very talented GIS analyst GIS professional and civil engineering technicians and QCAs and they support the engineering documentation engineering records management as well as supporting the process by which we create new capital projects. On the right side is a another very essential team led by Janine Saragosa that's our water IT group within asset management and I'll talk about them in some more depth here so that's uh that team works every day kind of behind the scenes to support our operations to support the information systems that maintain our asset records maintain our operations records and allow us to aggregate all of those observations and data points together so data is generated by operations it flows up and that leftmost loop into a database in that database it can be reported back out summarized analyzed and from that we can take corrective action we can create a plan we can change the way we operate and see how that changes the data and observations that come out so that loop is going on every day continuously improving the way we operate and continuously improving the data we collect on the right loop the outer loop you'll see sort of that traditional engineering workflow where broad patterns are observed and assets are prioritized and then those are bundled together looked at through various lenses and then packaged into a big expensive capital improvement program um so focusing again on that water IT team they support operational units not just in the water department specifically but also throughout the city such as parks stormwater and streets and some of the data systems that they support I've just highlighted eight of them here these are some major ones but they also support a wide range of other smaller applications and integrations and all of them allow better cross functional activity and information sharing between work groups and departments that top one on the last slide was our computerized maintenance management system or cmms that's currently something called a software called Hansen but that's being transitioned to city works as I'm sure you've heard that cmms system manages an abundance of asset categories assets reports and among those sorry it also manages records for various operational activities such as service requests and work orders and within work orders are inspections and all of those activities generate yet more data that we have to manage and not just store somewhere but actively manage in order to draw out the subtler patterns and insights that we need to make better decisions so just speaking more generally all that data goes into a database but what what can we do with it so good decisions rely on good information if we have more information that's relevant to the decision we need to make and we understand what it means we can summarize it we can comprehend it we can make better decisions again data is not necessarily all stored in a server and that's why the human part of our team is so important because they understand the actual operations going on in the field they understand how the data is relevant when it's relevant and just as an aside when you start making better decisions you have fewer emergencies you can start to think more long-term and it drives this virtuous cycle where we can continuously improve the way we operate and maintain our system so to recap this piece our water it team it's very talented group they're able to use both their knowledge of system operation and their knowledge of the information systems the technology and the software to integrate different departments integrate data systems together and improve and really drive that true asset management operation where we share information we can make better decisions and we can have more of these aha moments where you know we've been operating under one paradigm but we come to understand something about our system that we didn't before and that's been that whole process has been so successful for the water department in the past several years that our water it team is now leading the way and helping the rest of the city get more involved and more engaged in asset management themselves and a big piece of that is implementing city works citywide jason thanks kasey so i'm going to shift a little bit excuse me into a discussion of our assets in particular i'm going to concentrate a little bit more on pipelines for for this presentation since they are such a large part of our total asset group and how we develop our cip so local water assets we've got over 600 miles of water main about 28 000 water valves over 6000 hydrants 23 reservoirs and 20 booster stations it's estimated total system replacement or total cost of that system right now is about 2.3 billion dollars so quite a large number this is a map of our water system by age now it might appear that the map or our water system is is fairly young most of our pipes were installed 1960s or later within the next 25 years those pipes are going to technically age out right if you look at that average lifespan if we were to look at replacing all of that pipe within the next 25 years we'd be looking at a cost of about 500 million dollars for 240 miles of pipe it'd be about 9.6 miles per year so we simply don't have the funding or the manpower to to replace all that pipe and let alone the contractors to do that work so what i'm trying to highlight here is really the need for us to have a data driven targeted approach to replacing the right pipes at the right time here's a map of our water system by material so you can see all of our asbestos cement pipe in red this city the city started expanding in the 60s to kind of its current boundary and that that ac pipe was used extensively it's about half of our pipe the good news is 40% of our pipe is pvc and has an average life of about 100 years or more upwards of 130 some utilities are seeing longer than that as well again the real challenge we face is replacing the right pipe at the right time local sewer assets we've got about 600 miles of sewer trunk and collection mains 17 sewage lift stations over 12 000 sewer manholes and the estimated replacement cost of that entire system is almost two billion dollars so another very high number here's a map of our sewer system by age and you see the same picture as our water system you can imagine as the city expanded we installed water and sewer pipe more or less at the same time using that same that same comparison over the next 25 years about 280 miles of our sewer pipe will be aging out that's about 11 miles per year so a little more than water and a total estimated cost of about 550 million dollars in replacement so again further highlighting the need for us to take a really good look at our data and make decisions targeted decisions about which pipes we replace replacing the right pipe at the right time and you can see our ac pipe in red this is a sewer system mapped by material pretty much the same picture as water we do have a larger proportion of pvc installed per sewer system so that's that's good looking briefly at our regional water reuse system the system consists of the Laguna treatment plant or LTP the laboratory at the plant reclamation system geyser system and as well as biosolids in total there are over 7 000 assets in this system and recently ghd finished up a master plan for LTP in particular an estimated 275 million dollar need in cip over the next 20 years so as with our water and sewer systems taking a targeted approach in really looking at the data analyzing the data and trying to decide which equipment to replace at the right time is going to be crucial so how do we do that i'll talk about how we establish level of service for our utilities talk a little bit about condition assessment and why that's important i'll talk about our risk assessment protocol or program that we're implementing in asset management and then briefly how we develop cip project so each asset that the city has provides value to us and it provides value to our customers we want to make sure that we are meeting a level of service that we either desire to achieve for our customers or that is required for regulatory compliance sometimes those levels of service can be generic such as just we want to provide clean drinking water sometimes it can be more specific for instance we want to provide a minimum pressure delivery pressure to a residence or a business to make sure that that they can use water so you know they really like i said it really relies on goals and priorities to come down from the top either directives for management vpu or city hall or the city council rather or from regulatory bodies that require a certain level of service be provided a little bit about condition assessment and why it's important and what it can do for us i like the you know analogy of a car it's pretty easily applicable to everybody everybody's got a car so when you buy a new car that you got a new condition it's it's the best performance that you're going to get out of that car after a while a car starts declining you take it into shop for inspection you get the condition assessed and you you do maintenance or repairs as needed and the results is an increase in performance but you're never going to get back to that new condition and so after you get that increase and you use that asset more it'll start declining and you repeat this cycle over and over again in an ever declining manner until you can no longer meet the level of service desired until your car doesn't run anymore and then you have to buy a new one so condition assessment along the way through the life of the asset really lets us decide when to implement maintenance and renewal strategies how often to do to do maintenance on certain assets and then ultimately when that asset is no longer serving our needs it's no longer serving our customers and we need to replace it something else that we're looking to do is to look at condition assessment data over time and not only what this asset looks like right now but how it's been declining what's that rate of decline so that we can try to predict as best we can when that asset might fail and make sure that we are accounting for funding in our CIP over the long term so condition assessment is a big part of risk assessment right we can't assess the risk of an asset unless we know what kind of conditions it's in so risk assessment really has two main parts the likelihood of failure and the consequence of failure so when we talk about likelihood of failure we're really looking at everything about the pipe we're looking at the maintenance history we're looking at the condition of the pipe through condition assessment and we're also looking at the attributes of that asset what's the age what's the material what size is it what is it doing is it conveying sewage is it conveying water and looking at all of this data excuse me we can come up with a likelihood score of a failure for this for this asset and then we look at the the consequence of failure of this asset in a few different ways but you know the big ones the financial consequence of failure social consequences and as well as environmental so if you imagine in the worst case a large diameter sewer trunk a failure collapse of a large diameter sewer trunk would be severe consequence in all three of these financially to the city it would be tremendous burden to replace that pipe in a timely manner socially we might have problems with the public as far as sanitary sewer backups into residents and businesses and environmentally we may face problems if that that collapse calls an overflow into a nearby creek so we take these two factors together and we basically produce this this table that you see here in the bottom right now obviously almost certain likelihood of failure coupled with a severe consequence of failure is going to be a top priority project so we really look at those projects first that are in the extreme category but at the same time we are also paying attention to the high and medium medium risk projects because with the understanding that that those could soon become extreme risk projects so we want to try to take care of those as much as possible as we can as well and then looking at development of our CIP so just kind of a kind of a recap here really we look at we do a data review we identify all the assets that need work we review associated data that'd be maintenance records inspection data and pipe information we will perform a risk assessment exercise really and really what that helps us do is prioritize our projects right prioritize which assets assets need work now once those projects are identified we'll refine the scope confirm funding and then we'll reach out to stakeholders within the city with local operations we'll we'll reach out to tpw and traffic stormwater as well as right away and we'll take that feedback we'll refine the scope and then we'll get that project ready for capital projects engineering and i think it's a timely presentation for this because i know you'll hear from deputy director urbannik later about kind of the fruits of the capital projects engineering team over the last over the last year so with that take any questions thank you both gentlemen board member questions very informative board member banister one of the slides had a quote from the us epa saying that australia's advanced management practices could achieve a 20 to 30 future life cycle cost savings in typical u.s water and wastewater utilities it seems to me after seeing this presentation that we already have what they're referring to australian needing is that right or not or do they are they going further than we have gone that's a great question board member banister so australia and to the same extent new zealand and the united kingdom have really led the way in this practice not just among water utilities but among industrial industries it's a little redundant so factories oil refineries really any any kind of process system can use asset management effectively so it started as a business concept and then quickly expanded to be included incorporated and actually mandated by their governments for critical infrastructure so that includes water as well as power energy other energy that sort of thing so in a sense they got a 20 year head start but these days asset management is actually being mandated by some government organizations here in the united states here in california i think it's it's still under review it's not necessarily mandatory but it's still a good idea all the same so yeah it's clearly a good idea i guess my the question was can we learn still learn anything from them to help achieve any of these cost savings that this quote refers to or are we already doing it well given that they had a 20 year head start they still have a major role in industry in asset management consulting in developing standards and practices for asset management for water and in general that being said it's it's practiced much more widely here in the united states so we have many resources close to home as well i'm glad we're doing what we're doing and thanks for the presentation any other board member questions thank you very much for presentation the minutes from the february 6 meeting will be approved and entered and we have three staff briefings so we'll start with 5.1 the high strength waste project director berke yes so our first staff briefing will be deputy director joe schwall who's going to give us an update on the high strength waste project and all of the activities and revenues from 2019 and where we're looking to go in the future try to get a good afternoon chair goblin members of the board right i'm here to talk about the uh an operational update really of the high strength waste receiving facility and the program that we have both around it i presented this to the board roughly a year ago so i wanted to update it with this year's or last year's data and one of the reasons i wanted to i want to keep bringing it forward is that this is one of those fairly rare projects that's really kind of elective this wasn't a project that was brought to you for your approval because of regulatory constraints pressures or aging infrastructure pressures it was a project that seemed like it could provide service and value to the community seemed like the right thing to do and also seemed like it was a program that could eventually pay for itself as well so just to remind you all of what we're talking about when we talk about high strength waste typically it's a waste material that is trucked to the facility fat soils and greases are about 40 percent of of our high strength waste flow that's referred to as fog in the industry food wastes are also i should say pre-consumer food wastes are brought to the facility and also meat processing which is primarily from pedulum of poultry so fat swelling grease is about 40 percent pedulum of poultry is about 15 percent and the beverage and food processing is the remainder the truck material then is delivered to our our facility where we pump into holding tanks we keep it out of the water stream and by doing so we we save the energy that it would take to extract that pollutants those pollutants from the water stream we are from the holding tanks and we can meter the feedstock directly into our anaerobic digesters which is really a fairly low energy treatment and produces methane gas as a byproduct which then we are able to use in our engines to produce electricity as a renewable energy source when the project was conceived the goals included providing a local disposal option for waste haulers in doing so we would be able to reduce or shorten hauler trips before our facility was built the only other options were to drive to Napa or to drive to Oakland to dispose of those wastes we realized that we would be able to also receive revenue from tipping fees and that we would save the money with the renewable or with the electricity that we generated that we otherwise would have to purchase from the utility so back in 2015 the board approved the construction contract the construction was completed in 2016 and operations began in September of that year operations in 2016 were very very low we started very slowly to help the biology and the anaerobic digesters adapt to the to the new feedstock the total cost of the project was 2.6 million dollars and that consisted of four of these 12,000 gallon stainless steel tanks above ground stainless steel tanks some receiving pumps and metering pumps the it's also you know all the equipment that was installed is stainless steel that it's also heat traced so to minimize those greases from depositing on the on the equipment and fouling it so with regard to performance the in 2019 we received just over 3,600 deliveries which is down from 2018 down by about 25 percent correspondingly the tipping fees are also down we're also down by about 25 percent interestingly though the so the fees were about six six hundred eighty thousand dollars or so and from that we produced about four hundred seventy thousand dollars worth of electricity that the the electricity is only about five percent less than last year which potentially points to the potential that the waste that we were receiving actually was stronger than we had been receiving in previous years we you know waste of different different values to us some is more water and some is more grease so we received fewer loads but the electrical benefit was similar to previous years so in 2019 we had a gross benefit of a little over a million dollars in revenues and avoided costs the operations and maintenance costs that are I kind of you know debit against the the project included a little over half a million dollars worth of worth of work labor and maintenance some of that is also additional maintenance on the combined heat and power engines since they are running more with the additional gas they also have they wear faster and so need additional additional work we also have noticed over some time that the paving in our end of plant is degrading faster than we had seen in the past and that's attributable to the to the trucks that are coming more you know the greater load of trucks coming in so our the net benefit then for 2019 was just a tick under six hundred thousand dollars which is overall down about 17 percent I should say the the maintenance costs operational costs were also down about 20 percent from last year so the overall cost was still the overall benefit was about 17 percent less than less than last year so seeing that graphically I've got the these columns for these bar graphs for each year tipping fees are in green the avoided electrical costs is orange and the additional costs for operations and maintenance is is in black and the line at the bottom shows the value of the project over time it starts out at you know minus 2.6 million dollars on each year ticks up a bit as the as the project starts paying for itself so you can see by by last year by the end of 2019 we were the value of the project had increased to minus one million dollars then so looking ahead we identified some of the reason for some of the reason for fewer loads it wasn't all based on stronger stronger loads but some of it was some of our feedstock suppliers have either found other places to go or or their production has changed a little bit the logonese brewing is a is a large supplier customer of ours and they have their production the last quarter was a little less than had been in the previous years and also they are in in the process of installing a pre-treatment system which will very likely result in fewer or or potentially no more loads to us there's also the pettiluma poultry i'm sorry the city of pettiluma is has already installed a high strength waste receiving facility they haven't yet started operations of it there's some permitting issues that they're still going through it remains to be seen with the impact of that is but one of our large important customers is pettiluma poultry and very potentially if the city pettiluma can receive that that strength waste then they could be going there and we could lose them as customers so for the next two years then i i'm hoping i'm a little pessimistic with my projections tipping fees i have them lower than this this past year the avoided electrical costs about the same and the additional costs an average of the last three years if that proves out then we should have a benefit of at least $200,000 each year and by the end of 2021 we should be you know about $600,000 from turning a profit from that program so as a summary of the program since this inception there's been over we've received over 10,000 well 10,500 deliveries those are loads that did not go to Napa or did not go to Oakland we received over two million dollars in tipping fees and avoided one and a half million dollars in electrical costs we did incur about two million dollars in additional maintenance and operational costs for a net benefit of 1.6 million dollars to date looking ahead i've already mentioned the city pettiluma may be competing with us for feedstock in the future we are continually to improve the receiving facilities there's always operational improvements that we can we can do to it to make it a little more efficient a little more user-friendly for the the haulers and as well as for the operators and i've mentioned the the pavement being in something that we need to keep an eye on and we've we're developing a plant pavement program to help identify spots and come up with an approach to a phase approach to focus on the on the hot spots so overall you know i i mentioned that this was a project that it was elected it was an elective project and so it's i think it's well to look at whether it's achieving the goals the stated goals and you know i would say that it certainly is it's still an asset to improving to be an asset to the community and it's on track to pay for itself in about five more years probably which would be a a total simple payback of eight years which i i believe is well worth it for a project that has such benefit and with that i'll entertain any questions as you may have questions for deputy director schwell from our master i wasn't on the board in 2015 when the project was approved was eight years the suspected payback at the time or is it changed over time the the initial payback was calculated based on a project that we didn't actually build and we built it we built a bit a bigger project so the initial payback was expected in about four years but we built we built it bigger so that it could be so that it wasn't based on economics but based on what we could do for a community as we lose some of the supply to pedaloma processing or whatever it would be helpful to replace that lost stock somewhere have we looked at whether there's places north or wherever that could could use our facility we haven't actively looked we've kept our ears open for people talking about needing a place to go but we haven't really developed the marketing outreach program for that at this point yet just a thought if we because we have benefits i mean with the benefits of it are clear both to us and also for processing the waste in an efficient manner so anyway okay thank you vice chair arnone i think it should be noted that one of the things that really i remember being incentivized by was the idea of taking a lot of trucks off the highway and there's no monetary reflection of that huge benefit in this analysis so you know between taking those trucks off the freeways and generating our own electricity i mean i think probably our our benefit is even better the results have been even better than anticipated so i think this has proven out to be a very beneficial project and i'm really glad we did it thank you thank you any other board member questions or comments thank you very much for the update item 5.2 is the water engineering services update dr berg so we have Karen lazata our development review coordinator who is going to give an overview of water engineering services and in particular the um accomplishments they had in 2019 welcome mr. Lovato thank you director berg good afternoon chairman galvin members of the board congratulations board member right on your appointment i'm Karen lazata from the water engineering services team and i'm here today to update you on the services that our team provides water engineering services oversees the development of new water and sewer services and among the many services we provide we provide customer service internal and external customers via phone email and in person at city hall at the ped counter we calculate and collect demand fees for new development we prepare and maintain several payment plan programs the team reviews and entitles building permit applications for compliance with city standards we perform plan check and inspection of water and sewer related encroachment permits and we inspect and process requests for new water meters our team currently assists with the rebuild efforts performing water and sewer related encroachment permit inspections and we oversee the resetting of water meters to re-establish water service staff provides fire flow information and coordinates flow tests needed by customers to submit fire sprinkler clout to the to the fire department we participate on several subcommittees that promote council initiatives for example the cannabis and the downtown development subcommittees we coordinate the update of the water wastewater and recycled water design and construction standards and with the annexation of roseland we've also taken on the plan check and inspection of the parcels within the south park sanitation district that are now part of the city and we coordinated with Sonoma water to collect the fees required for south park we collect that money and quarterly we reimburse it back to Sonoma water on our current team has six positions myself the development review coordinator a quality control associate and three and a half civil engineering technicians prior to the economic downturn in 2008 this team had 11 staff members and they were all over at the msc building on stony circle in 2015 this team began rebuilding to the current staffing level half of our team resides here at city hall to provide the customer service when they went to a one-stop shop we've been based down here our inspection team and myself are based out of the ufo over on stony point with the amount of development initiatives going on in the city currently along with rebuild efforts the level of the impact of the increase of new development in town and then the tub fire hit stilling of water and sewer inspections several team members still dedicate their time to rebuild efforts along with keeping up with their regular duties and we're just about halfway over reestablishing service in the rebuild area and as of today we've processed 1,650 requests to reestablish water service to properties affected by the fire this team worked closely with the pant planning and economic development team the fire department environmental compliance utility billing and our local water and wastewater crews members of the team have been on the city's cannabis subcommittee and technical advisory team the downtown development subcommittee and the rosaline annexation team due to the amount of new developments that have been submitted with applications to pet our team has struggled to meet turnaround times of our plan checks for the new development since the fire due to our high workloads we recently just filled a position that's been vacant for close to eight months and our newest team member will be joining us sometime in March this last year we've relied on the assistance of the asset management team in our division along with peds engineering services plan check consultant to assist us with many of the plan checks of subdivision projects to help us meet our turnaround times so that we're not the cause of delay for new projects we've also relied on both the pet and cip teams for inspection assistance while we're a short staffed and we've been very thankful that we've had the assistance of all these folks in the last year our inspection team this year has inspected a wide variety of projects ranging from the splitting of water services to add new water meters for new accessory dwelling units to abandoning six sewer laterals which were which required bypassing of a sewer trunk line for the memorial hospital expansion project they've overseen the installation of many new water combination services for various projects who needed add services for either their domestic or their fire line services and we've reviewed numerous sewer videos to accept new sewer projects on this next slide i started keeping statistics for our team in 2017 some of them i didn't start until 2018 and as you can see 2019 was a very busy year for us in 2018 i established a team email for our group that is posted to our website and last year the trend was we responded to more customers via email as you can see we had over 21,000 responses via email 2020 again is looking like we're very busy with new development in the horizon this screen here i've taken from ped ped recently created a new dashboard on their website and this slide is a snapshot from that dashboard this this is a dashboard for new housing projects it doesn't include rebuild or commercial projects and on the tab that i took a screenshot from is the total under review they're currently 1,669 projects in for review and these are housing projects our team supports the entitlements and inspections related to these permits and again this doesn't include the rebuild efforts or any of the commercial projects that are in the pipeline this next screen i've also taken from ped it shows the housing production since 2004 and this includes both rebuild and new units and as you can see from this slide in 2020 is projected to be very busy and the blue portions are just for the new housing the red is rebuild so already this year we have 470 new units under construction and there's over 1500 that are actively open with building permits i really appreciate the staff members on my team and the dedication they have for santa rosa water and its customers they're a very dedicated and professional team and they keep me energized about coming to work every day while we had a vacant position for nearly eight months this year they all took it in stride and they did their best to assist our customers and try to keep our workloads moving this year looks like we're going to have another challenging one and i want to thank them for all their hard work and at this time i'd be happy to take any questions thank you so much for that report it's obvious that you and your staff are doing yeoman's work with a lot of pressure on you and we greatly appreciate all that you're doing so please keep it up thank you other board member questions or comments board member watts there seems to be a theme of today's presentations giving us updates on these teams and projects and i just think it's as a board member i really appreciate hearing from from the different teams and projects because it reminds us of what is going on every day for the water department and how it you know associates with the bigger picture that we do so i just want to say thank you thank you any other questions thank you again for your presentation thank you all right in five point three is our capital improvement construction project update dr berck sure so we're very excited to have lori urbana our deputy director of our capital projects engineering team and tracy dwayness a supervising engineer on our capital projects team to talk about all the exciting work they completed in 2019 and what's upcoming for capital projects for the water department in 2020 karen turned it off anyway let me start over again it is certainly my pleasure to be here this afternoon and so good afternoon chairman galvin board members board member right especially happy to see you again um and today we just have a short presentation because i know it's a long day still for you we're going to talk a little bit about our projects tracy mine um whoops we're going to talk about the projects the construction projects that we completed last year and what we're planning to bring before this board in a very short time our construction projects for 2020 tracy will highlight a a very successful project that we are both very proud of and it's the matanzas creek siphon project this project truly is a success story and um of collaboration and trust that occurred and benefit benefited really the residents um that were living close to the project especially benefited them they didn't have to endure several months of construction activities so tracy will highlight that project in a little bit and then he'll also highlight one of our major projects that we anticipate starting construction um near the beginning of summer which is the north trunk sewer uh-oh we have a technical difficulty anyway this slide um talks about the number projects that we completed it was we completed 19 for a total construction dollar value of about 21 million dollars um the slide shows the representation sort of about what the distribution of project types were we completed four regional projects for a total cost of about three million dollars and as most of you know with regional projects um and during construction activities it usually requires that we have to take um either a partial or full shutdown of a wastewater treatment process so when we're in construction um out at the treatment planner on the regional system that means we gotta hustle up and make sure we meet our time frames uh a great example of that was the case when we did the repair for the recycled water ponds b c and d the ponds were drained in the summertime the ponds the banks were repaired and stabilized and it was back in service prior to the winter rains we completed four local sewer and water projects and these are what we typically call or consider neighborhood replacement projects and largely these projects are driven by um fire flow needs in the area a good example is the alvarado and belay oh street sewer and water project we completed six water projects for about seven million dollars and again these are just construction dollars and uh we finally finished the seismic upgrades phase four which retrofitted um water reservoirs r3 7 and 12 b uh bringing them up to current safety standards and codes they were also um epoxied inside and out and there were five local projects sewer projects that we completed for a total of about five million dollars and as i mentioned trace you'll talk about matanzas which was a huge success and now we'll look ahead about um the projects that we anticipate um bringing to you we have several out to bid right now and many more to come so we're anticipating eight regional projects um to start construction and one of our more sensitive projects is the replacement of the expansion joints on the geysers pipeline we anticipate this construction cost to be about eight million dollars although that that number may increase as we continue to hear about labor prices going up in the area and these numbers that i'm discussing these dollar values are the engineer's estimates just on construction we also anticipate 11 local sewer and water projects for a total of 28 million dollars in construction that's 19 total projects for the department that we're planning and possibly more for the total value of 37 million so last year was 21 this year we're expecting close to 40 so nearly double and now i'd like to turn it over tracy to highlight um our key projects um one is the rehabilitation of the matanzas creek siphon and the upcoming north trunk sewer replacement project good afternoon chairman galman members of the board thank you for your opportunity to present this um i'll focus on the project we just completed last year matanzas siphons and just highlight the main elements of the project um so the matanzas siphon was originally constructed in the 1950s its aging infrastructure it traverses underneath the matanzas creek corridor it in 2017 local operations had to respond to a collapse under hoan avenue they promptly responded with the interim repair which was the nexus to get into capital improvements engineering as a priority project from their engineering put forth a contract for permanent repairs those repairs consisted of improving the siphon via a cured in place pipeline technology cipp um with this technology was required as bypass pumping traditional bypass pumping would involve laying down distribution lines to convey sewage from one point to the next we didn't have that luxury with this project given the creek corridor so engineering had to come up with the only best option was to install a temporary engineered pipe bridge that expanded from top of bank to top of bank over the creek the bypass element of it had to also involve accommodating for winter wet weather flows so we weren't sure if we were able to get the this improvement done in time so there's a stipulation in the contract that we would have an accommodated wet weather bypass system in the event there was a failure as we move forward given the unfortunate constraints that were in the contract to get the work done promptly we put the project out late with those elements and the uncertainties of running a bypass during wet weather flows we unfortunately only received one bid we bought that brought that bid before the board in 2019 last year the board approved it and awarded to sate sak construction the amount of 3.4 million dollars so as we move forward in the project the contractor quickly submitted a value engineering proposal this is an effort to for contractors and its incentive to complete projects entirely on time the same product but at a less cost it's a shareings for both parties both the contractor and the city the contractor in this case proposed utilizing the inlet structure reconfiguring in such way adding to the walls putting additional plugs in there in such way that they could utilize the siphons themselves as a passive means to convey sewage while the other lines were being approved the city was on board for this we move forward with approving it under the caveat that a one the contractor had to submit engineering calcs that verified the hydraulics worked and didn't have adverse impacts upstream and then b they had to run it for a certain period of time to be sure it worked by october of last year they're installing they successfully were running it they installed all three lines by the end of october and by mid november we had we were underway with rehabilitating the inlet and outlet structure as well with enhanced structural and corrosion resistant resistant lining technologies so the contract came in 3.4 million through the collaborative efforts of working with the contractor via the ve the final cost came in a little over 1.6 with the net savings a little over 1.8 with that staff would like to make take this time to show its appreciation toward the board for one approving the project particularly jennifer burk with her support through and out the project when the first project came to it she was informed of the risk she endorsed moving forward with the one contractor she worked collaboratively with staff as we informed her of the risk involved she made educated decisions and assisted working with the contractor with the value engineering portion of it so with that her support the success of this project would not been had had we had her support with it so as we look forward to 2020 one project worth mentioning is the north drunk sewer replacement you've seen this previously through a sequa its purpose is to relocate aging infrastructure that currently resides in the pauling creek corridor the sewer is just adjacent if not oftentimes goes under the creek and for reasons as such limited access to to the sewer causes operations increased efforts which means increased costs the age and infrastructure seen at service life and there are signs of deterioration and failures with these reasonings there's increased possibility for sewer overflows we wouldn't know about until happen which would result in potential regulatory fines and in environmental impacts for this reason this project slated for construction this year proposal their the improvements are such given the shenate road corridor it's narrow it's deep where the the proposed trunk is going to be installed upwards of 30 feet the only true viable option is trenchless technologies in the stretch shown up on there rest of the shenate corridor will be just standard typical typical trunk sewer open trench methods along with collector mains in the belvedere and humboldt street corridor lamidas avenue lamidas lane and menesino avenue with sewer will come with the need to upgrade water in certain portions of the project but for the most part this slide here represents the scope of the project that technology worth of note has not been done as far as we know in the city it's high caliber it's very precise it's a front guided gear steer method it requires two large bore pits for one for receiving one for sending one for access and for the material for the equipment and the laborers these bore pits will be required in shenate once these pits are dug the operations could commence the boring operations will be involved sending in a 15 inch material that will serve both as the casing and the conveyor pipe once operations are done those bore pits will be reinstated as large deep manholes engine are estimated for this project's a little under nine million it will take approximately two years to construct given shenate roads a major thorough way for east to west traffic in the fact that the boring operations will affect shut down one part of the road for extensive period of time there will be a major traffic detour element there will also be an element to address any potential pgne psps events and with that I'd like to take any questions thank you it's an exciting project board member questions board member grable does this mean we get to have a pizza party because of the cost savings on the no I just want to say congratulations that's you know unheard of it seems like in in government especially but most especially in construction and cattle improvement projects in this cost environment shall we say so thank you so much and the cities should be grateful as well board member right my curiosity just got me what is the length of the trenchless section and just how long is that little machine going to be underground grinding away the length of the trenchless section I don't know exactly it's from the intersection of pollen creek to humboldt approximately you know a quarter of a mile we estimate that that boring operation may be upwards of three to four months at least if not half the season thank you yeah any other questions great thank you for the update congratulations on the great completed project right in the one to come thank you jennifer one is the pizza party I will just take this opportunity although I greatly appreciate the sentiments it really is the work of the team in particular deputy director or bannock and supervising engineer dwayness as well as deputy directors walton and shavoni they had the technical expertise and knowledge to come and bring this solution so paths off to them it really is their win so thank you so much very nice uh next we have our consent calendar we have two items 6.1 and 6.2 I'll move the consent calendar all second motion by vice chair arnone seconded by board member watch to approve the consent calendar all in favor say aye aye any opposed passes unanimously thank you we have no report items item number eight is public comments on non agenda matters seeing no one rise we have no referrals no written communications uh subcommittee reports board member watch thank you the budget subcommittee met on tuesday of this week and we were able to see the preliminary draft budget which was pretty complete for a preliminary um we just wanted to thank staff for getting all of that done so quickly and it's a huge team effort we have two more meetings scheduled for the budget subcommittee as well as the council members are supposed to meet with us as board members with staff so please look out uh in your email i'm assuming gina's probably going to set that up so please be timely in your responses and i'm sure staff would appreciate if board and council members feel comfortable meeting with one another and doing it more in a group setting could take some time off of staff if that meets calendar so uh just look out for that email and i think our next budget subcommittee is on march 10th i believe thank you um i think we can maybe do some tag team as long as we don't violate the brown act so thanks to the budget subcommittee i know you've got a lot of work and it sounds like you really accomplished a lot in the first meeting so that that's great any other subcommittee reports okay any board member reports directors report thank you chair i have a few things um to report out to the board on uh first i wanted to let the board know that the whack uh the water advisory committee met earlier this month um and in particular we've started having discussions at the technical advisory committee or tech budget subcommittee regarding the snowman county water agencies proposed budget and rate increase for fiscal year 2020-2021 so um at this point the plan is to have an update on their proposed increase in front of this body on your second meeting in march and then we will bring a recommendation from the board to the city council at their meeting on march 31st and then the whack will consider uh that budget on their first meeting in or their meeting in april which is the first monday of april also uh wanted to just let the board know in terms of water supply conditions although it's been incredibly dry um both reservoirs continue to be in good shape and lake sonoma is about 90 percent and lake mendicino is over 100 percent and we've really been thankful to sonoma water for the work they've done with the army corps on the forecast informed reservoir operations and the major deviation for lake mendicino which has allowed them to store uh about another 10 000 acre feet behind the dam which is great news and then i also wanted to let the board know at that meeting we got a quick update on the potter valley project relicensing activities and in particular um just wanted to remind the board that a feasibility study is due um to the federal energy regulatory commission or FERC in may of this year and that there's a new website that has been launched which is to basin solution dot org and that's uh two as in the number but it's about two solution dot org where you can have uh additional information on all that's occurring with the potter valley project relicensing so i just wanted to give that quick update on some of the whack activities i also wanted to let the board know that um last week uh chair galvin and i met with jeff ciphers who's the executive director of sonoma clean power uh sonoma clean power has been um in conversations and following closely the work that pgne is doing in regard to preparations and plans they're making to harden their system and they're also looking at um developing some temporary power solutions that would fit within their substations in this area the goal is really to try and reduce um the length and um frequency of public safety power shutdowns if they can one area in particular the scp is following is the energy that they receive from the geysers um from calpine so we provide recycle water to calpine through the geysers pipeline uh sonoma clean power purchases that power um so they're a customer of uh calpine in that respect and so uh some of the activities that pgne is looking at could affect the energy um from the geysers system and so they are following that closely and keeping us informed in case that will have impacts to us as the recycle water provider and uh more to come and we'll continue to follow up with sonoma clean power on that activity um i also wanted to introduce uh our new deputy director of water resources so we have um in the audience pewter martin he's our new deputy director of water resources he has a very diverse background and experience and legislative and policy affairs regulatory compliance and water resource planning he most recently worked for calaveras county water district as their manager of water resources overseeing a complex suite of surface water groundwater and hydropower development interests across three watersheds and prior to calaveras county he worked for city of san yago um and then prior to that the state water resources control board division of drinking water so just wanted to let the board know that we have finally a full team and um peter started uh last week and so this is week number two and you'll be seeing him in front of the board in in coming months to give water supply updates among other things and then last i wanted to recognize one of our employees in the audience dan salveria he's our supervising mechanical school technologist at the laguna treatment plant and um sadly we have one new addition but we'll be losing a long-term employee um dan is retiring after more than 31 years with the city he's worked his entire career at the regional system starting as a wait-water maintenance mechanic before working his way up to the supervising mechanical technologist um in addition to prior to working for the city dan was uh had over 27 years of active duty in the military and had another 14 in reserve duty while working for uh the city dan worked um at the laguna plant but he also worked at the oakmont and old west college plants as well as in the reclamation system biosolids and local wastewater lift stations and water stations and really has a great knowledge of all of our major facilities he was instrumental in the design review and project coordination for um all the major plant upgrades in the late 90s the new chp facility the high strength place facility and the 1998 uv system installation dan most recently um had led in coordinating the highly successful urgent repairs and maintenance of the headwork screens last summer which i think the board remembers was a huge undertaking under dan's leadership the maintenance section successfully met the constant challenge to learn how to maintain and repair new systems and equipment and dan says he's loved his time with the city and wishes everyone could experience the same job job satisfaction and reward as he has while working here so i really want to thank dan uh not only for his service to the city but his service to our country and we're sad to see you go but we're very happy for your retirement so congratulations and that concludes my report any questions for the director very well welcome to our newest member of the team and sad to see an old member departing but much good luck in your retirement with that i'll turn it over to assistant city attorney mclean yes thank you chair galvin and board um we are going to convene we have two closed session items on the agenda so we'll be um going to the mayor's conference room for um the first item of existing litigation which is a petition that we filed with the state board regarding our um npds discharge permit um on the in the no net loading specifically and the second one is a real property um negotiation and um with our real property negotiator and information is listed on the agenda we are adjourned temporarily to the mayor's conference room