commission meeting minutes september 21, 2016€¦ · commission meeting minutes september 21, 2016...

COMMISSION MEETING MINUTES September 21, 2016

Meeting held at 1434 Air Rail Avenue, Virginia Beach, VA 23455 of 26

No. Topic Page 1. Awards and Recognition 3-4

a. HRSD: Making the Region a Better Place Video 3

b. Employee Service Award 3-4

c. Promotion Announcement 4

2. Consent Agenda 5

a. Approval of Minutes 5

b. Contract Awards 5

c. Task Orders 5

d. HRSD Use of Existing Competitively Awarded Contract Vehicle 5

3. Nutrient Compliance Plan for James River Basin Update 6-7

4. Subordinate Trust Agreement Exclusion of Certain Locality Improvementsfrom Calculation of Operating Expenses Resolution

8

5. Chesapeake-Elizabeth Interceptor System Diversion ImprovementsInitial Appropriation and Contract Award

9-10

6. Effingham Street Interceptor Force Main Emergency ReplacementAdditional Appropriation and Contract Change Orders

11-12

7. Hampton Trunk Sewer Extension Division E Gravity ReplacementAdditional Appropriation, Contract Award and Task Order

13-15

8. Kirby Street Sanitary Sewer Rehabilitation Initial Appropriation 16

9. North Trunk Force Main Part B Replacement Initial Appropriation 17

10. York River Treatment Plant Chemical Facility ImprovementsAdditional Appropriation

18-19



No. Topic Page 11. Freeman Drive Pump Station Land Conveyance 20

12. Westville Landing Condominiums Deed of Easement Agreement 21

13. Sustainable Water Initiative for Tomorrow (SWIFT) Update 22

14. Aquifer Replenishment System Concept Feasibility EvaluationAdditional Appropriation and Task Order

23-24

15. Unfinished Business 25

16. New Business 25

17. Commissioner Comments 25

18. Public Comments Not Related to Agenda 25

19. Informational Items 25

a. Management Reports 25

b. Strategic Planning Metrics Summary 25

c. Effluent Summary 25

d. Air Summary 25

20. Closed Meeting - Litigation 26

21. Reconvened Meeting 26

Attachments (7)



Name Title Present for Item Nos.

Elofson, Frederick N. Commission Chair Absent Lynch, Maurice P. Commission Vice-Chair 1-21 Bredemeyer, Arthur C. Commissioner 1-21 Glenn, Michael E. Commissioner 3-21 Lakdawala, Vishnu K. Commissioner 1-21 Levenston, Jr., Willie Commissioner 13-21 Rodriguez, Stephen C. Commissioner 1-21 Rotkis, Susan M. Commissioner 1-21

1. AWARDS AND RECOGNITION

Action: No action required.

Brief:

a. The Commission viewed the recently produced HRSD: Making the Region aBetter Place video, which highlights HRSD’s involvement in the community.This video is available on hrsd.com.

b. Chair Lynch presented a service award to Ms. Linda Wade, who marked her35th year of service with HRSD on July 1, 2016. Linda was hired in July 1980as a part-time Procurement Clerk and became full-time in July 1981. She waspromoted to a Buyer in April 1984 and to Senior Buyer in June 1994. Shebecame a Procurement Specialist in July 1996 and Procurement Analyst inJuly 2004. She was promoted to Strategic Sourcing Manager in June 2010,the position she holds today. Linda has been a Certified Professional PublicBuyer (CPPB) since 1994 and obtained a Bachelor of Science in BusinessAdministration from Saint Leo University in 2000.

Linda has served as the Secretary, Treasurer, President-Elect and President(2011) of the Virginia Association of Governmental Purchasing (VAGP) andwas involved with several committees within the organization. The VAGPawarded Linda “Manager of the Year” in 2012. As a member of the NationalInstitute of Governmental Purchasing (NIGP), Linda was instrumental in



HRSD being recognized as Outstanding Agency Accreditation Achievement (OA4) from 2013 to 2016. The NIGP recognizes agencies that lead the public procurement profession through the implementation of best practices.

Linda was also actively involved in the Enterprise Resource Planning project and Ostara Nutrient Recovery project at the Nansemond Plant. In her spare time, Linda enjoys gardening and photography.

c. Mr. Henifin introduced Brenda Matesig, who was recently promoted toHuman Resources Manager. Brenda was hired in August 1989 as a part-time high school intern in Finance, became a full-time Receptionist in July of1990 and was promoted to an Administrative Clerk in 1992. In 1993, shetransferred to Human Resources where she was promoted to HumanResources Coordinator in 1999, to Human Resource Specialist in 2001 andHuman Resource Analyst in 2009. Brenda earned her Bachelor of Artsdegree in Human Resources Management from Virginia Wesleyan Collegethrough HRSD’s tuition reimbursement program. She is a member of theInternational Public Management Association and holds a certification as aSenior Certified Professional in Human Resources. She is also a member ofthe Society of Human Resources Management. Brenda has served keyroles in the implementation of two Human Resources InformationManagement systems, most recently as a core team member of theEnterprise Resources Project implementation team. Brenda participated onthe HRSD team that originally developed concepts for HRSD’s supervisorytraining program and has recently developed content and instructed theHuman Resources portion of the training. She participates regularly in theAmerican Cancer Society’s Making Strides Against Breast Cancer as amember of HRSD’s Pink Plungers. On a personal note, she spends much ofher time with a new granddaughter and participates with her family involunteer community events including food drives and SPCA events.

Attachment: None

Public Comment: None



2. CONSENT AGENDA

Action: Approve the items listed in the Consent Agenda.

Moved: Vishnu Lakdawala Ayes: 5 Seconded: Arthur Bredemeyer Nays: 0

Brief:

a. Approval of minutes from previous meeting.

b. Contract Awards

1. Atlantic Treatment Plant Migration of Distributed ControlSystem (DCS)

$228,978

c. Task Orders

1. Locality System Monitoring and Condition Assessment $273,300

2. Regional Hydraulic Model and Other Consent OrderRequirements

$1,327,000

d. HRSD Use of Existing Competitively Awarded Contract Vehicle

1. Cisco MDS Switches, EMC Unity Equipment, Services, andHardware and Software Support

$682,401

Item(s) Removed for Discussion: None

Attachment #1: Consent Agenda




3. NUTRIENT COMPLIANCE PLAN FOR THE JAMES RIVER BASIN UPDATE


Brief: The 2016 update for the HRSD Nutrient Exchange submission for the JamesRiver Basin is due to the Virginia Nutrient Credit Exchange Association October 14,2016. Generally the submission deadline for all basins is September 1. The JamesRiver Basin was relieved of the earlier deadline due to the pending General Permitfor nutrient discharges and trading in the Chesapeake Bay watershed. Final StateWater Control Board action on this permit is anticipated on September 22, 2016.Included in the draft general permit are reductions to the total phosphorusallocations for nearly all James River dischargers which will take effect in 2017.

The Exchange is a voluntary body of more than 100 regulated municipalwastewater treatment plants and industrial facilities discharging nitrogen andphosphorus into the Chesapeake Bay watershed. The purpose of the Exchange isto coordinate and facilitate nutrient credit trading among its members with the goalof improving water quality in the Chesapeake Bay watershed efficiently and cost-effectively.

As set forth by regulation, the Exchange must submit a five-year compliance planschedule to the Department of Environmental Quality each February on behalf of allmembers of the Exchange. In order to provide time for compilation and review, theExchange requires that all members submit their individual plans to the Exchangeseveral months prior to the annual February deadline. The annual update adds anew fifth year (2021) to the rolling five year compliance plan period.

In light of the proposed reductions to HRSD’s phosphorus allocation, staff hasrevised the previously submitted 2017 – 2020 plan years to demonstratecompliance with the new phosphorus allocation. These revisions included flowupdates, which were carried over to the nitrogen submission for those same yearsfor consistency. In addition, the new fifth year (2021) for nitrogen and phosphorushas been added. The highlights of the plan are noted below.

• HRSD’s phosphorus allocation effective in 2017 has been reduced byapproximately 15 percent. Target concentrations were revised at all of theJames River facilities to demonstrate compliance with the new allocation.

• HRSD’s phosphorus and nitrogen allocations have also been updated toreflect the approval of the nutrient transfer agreement between HRSD and



JH Miles. As a result of this waste consolidation agreement, HRSD gained 17,437 lbs. of phosphorus and 153,500 lbs. of nitrogen.

• HRSD’s James River aggregate has also been revised in anticipation ofthe acquisition of the Lawnes Point Wastewater Treatment Plant.

The Exchange uses the information provided by the annual updates to ensure that the plans on each basin are sufficient to meet the load allocations of nitrogen and phosphorus. The updated submission for 2017 – 2021 demonstrates a plan of continued compliance with HRSD James River allocations.

In addition to a discussion on the Exchange submission, a presentation will be provided outlining HRSD’s historical and projected compliance with each of its permitted nutrient allocations. Future projections will include an evaluation of the HRSD’s capacity to assist with locality compliance with Chesapeake Bay Total Maximum Daily Load (TMDL) nutrient and sediment stormwater reduction requirements.

Attachment #2: PowerPoint Presentation




4. SUBORDINATE TRUST AGREEMENT EXCLUSION OF CERTAIN LOCALITYIMPROVEMENTS FROM CALCULATION OF OPERATING EXPENSESRESOLUTION

Action: Adopt the resolution authorizing the exclusion of LocalityImprovements from the calculation of operating expenses.

Moved: Michael Glenn Ayes: 6 Seconded: Vishnu Lakdawala Nays: 0

Brief: As staff prepares the Fiscal Year 2016 Comprehensive Annual FinancialReport (CAFR), there was work performed on three locality improvement projectswith an estimated total project cost of $4,400,000. A portion of this amount,approximately $3,300,000, was expended in Fiscal Year 2016 and needs to beexcluded from Operating Expenses as defined in the Subordinate Trust Agreement.The remaining amount is expected to be expended in Fiscal Year 2017. Byexcluding these projects from Operating Expenses, staff can calculate the DebtService Coverage Ratio on an adjusted basis as opposed to Generally AcceptedAccounting Principles (GAAP) basis to ensure our subordinate debt covenants aremet. In addition, staff will be working with our auditors on potentially showing NetPosition on an adjusted basis in the CAFR.

These projects improved the integrity of the regional wastewater system byrehabilitating aging infrastructure to reduce inflow and infiltration and also providedinsight on three different project delivery methods that we may use to accomplishthe work.

An excerpt from the Subordinate Trust agreement is provided below:

“Operating Expenses shall also exclude expenses for improvements that will not be owned by the District but which will, in the reasonable determination of the Commission, as evidenced by a resolution thereof, maintain or improve the integrity of the Wastewater System.”

The attached resolution was prepared by bond counsel.

Attachment #3: Resolution




5. CHESAPEAKE-ELIZABETH INTERCEPTOR SYSTEM DIVERSIONIMPROVEMENTSINITIAL APPROPRIATION AND CONTRACT AWARD (>$200,000)

Actions:

a. Appropriate total program funding in the amount of $500,000.

b. Award a contract to Kimley-Horn and Associates, Inc./Rummel, Klepper& Kahl, LLP in the amount of $500,000.

Moved: Vishnu Lakdawala Ayes: 6 Seconded: Michael Glenn Nays: 0

CIP Project: CE011820

Type of Procurement: Competitive Negotiation

Proposers Technical

Points

Recommended Selection Ranking

Kimley-Horn & Associates, Inc./ Rummel, Klepper & Kahl, LLP

94 1

HDR Engineering, Inc./ Michael Baker International, Inc.

90 2

Program Description: This program involves the study, design and construction of interceptor improvements needed to divert the Chesapeake-Elizabeth Treatment Plant (CETP) flow to other plants. The interceptor system projects include HRSD and city pump station improvements, Pressure Reducing Station (PRS) improvements, interceptor force main improvements, city force main improvements, a new PRS and a storage tank.

Funding Description: At the program level, a Communication Plan, Risk Management Plan, Procedure for Locality/Environmental Approvals, Detailed Budget and Schedule at a minimum will be developed. Additional CIP projects will be created at the completion of the program study to study, design, and construct the individual projects. Full appropriation for each of these individual projects will be obtained when each is defined. The target sum of the future CIP projects under this program is $78.2 million as shown in the FY-17 CIP.



Contract Description: A professional services contract is recommended to the consulting partnership between Kimley-Horn and Associates, Inc. (KHA) and Rummel, Klepper & Kahl, LLP (RKK) with KHA serving as the primary company. The initial contract between HRSD and KHA will be to complete a study of the overall CIP program consisting of individual interceptor improvement projects that must be completed before the end of 2021 in order to close the Chesapeake-Elizabeth Treatment Plant. Individual CIP project scopes, budgets, and schedules will be generated from this program study effort, which is anticipated to reach completion by February 2017.

Analysis of Cost: The cost for this contract is based on negotiated rates and an estimate on the amount of time the consultant will need to complete the program study. The cost is a not to exceed budget amount.

Schedule: Program Study September 2016 Study Completion February 2017 PER September 2016 Design June 2017 Bid June 2018 Construction October 2018 Project Completion July 2021

Discussion Summary: The funding requested today will complete the study. Funding for each project will be requested as needed.

Attachment: None




6. EFFINGHAM STREET INTERCEPTOR FORCE MAIN EMERGENCYREPLACEMENTADDITIONAL APPROPRIATION AND CONTRACT CHANGE ORDERS

Actions:

a. Appropriate additional funding in the amount of $355,275.

b. Approve Change Order Nos. 2 and 3 to the contract with TidewaterUtilities Construction, Inc. in the amounts of $64,835 and $216,240,respectively.

Moved: Stephen Rodriguez Ayes: 6 Seconded: Michael Glenn Nays: 0

CIP Project: VP017500

Budget $2,778,000 Previous Expenditures and Encumbrances ($2,752,200) Available Balance $25,800 Proposed Change Order Nos. 2 and 3 to Tidewater Utilities

($281,075)

Proposed Contingency ($100,000) Project Shortage/Requested Additional Funding ($355,275) Revised Total Project Authorized Funding $3,133,275

Contract Status Amount Cumulative % of Contract

Original Contract with Tidewater Utilities $1,385,589 Total Value of Previous Change Orders $401,397 29% Requested Change Order Nos. 2 and 3 $281,075 Total Value of All Change Orders $682,472 49% Revised Contract Value $2,068,061

Time (Additional Calendar Days) 107

Project Description: This project will replace approximately 1,400 linear feet of 24-inch force main on Effingham Street from Firehouse Lane to Country Street in Portsmouth.



Funding Description: This action includes Change Order No. 2, Change Order No. 3 and an Additional Appropriation.

Change Order No. 2 addresses unforeseen utility conflicts and a change in the type of valve to be installed at the City's Firehouse Pump Station.

Change Order No. 3 addresses the relocation of the City's water line. When working to replace pavement in Chestnut Street, the contractor found an 8-inch water line installed with only 17 inches of cover. The pipe is cast iron with lead joints and installed in 1907. The pipe is in poor condition and the road repaving work cannot proceed until it is replaced. Because this is a betterment for the City, the City will provide the materials for this added work, including the pipe and fittings. The City will provide engineering design and field inspection services for the water line replacement.

The additional appropriation includes funds for Change Order Nos. 2 and 3 and adds $100,000 for contingency.

Analysis of Cost: The Engineer prepared an independent estimate of costs and recommends approval of these changes.

Schedule: Project Completion January 2017

Attachment: None




7. HAMPTON TRUNK SEWER EXTENSION DIVISION E GRAVITY REPLACEMENTADDITIONAL APPROPRIATION, CONTRACT AWARD AND TASK ORDER(>$200,000)

Actions:

a. Appropriate additional funding in the amount of $396,489.

b. Reject the bid submitted by VICO Construction Corporation, Incorporated andfind the bidder non-responsible.

c. Approve a contract with MEB General Contractors, Inc. for the HamptonTrunk Sewer Extension Division E Gravity Replacement in the amount of$1,658,580.

d. Approve a task order for AECOM under the Utility Relocation Projectscontract in the amount of $265,025.


CIP Project: BH012000

Budget $1,858,000 Previous Expenditures and Encumbrances ($123,561) Available Balance $1,734,439 Proposed Contract to MEB General Contractors, Inc. ($1,658,580) Proposed Task Order to AECOM ($265,025) Proposed Contingency 12.5% of construction cost ($207,323) Project Shortage/Requested Additional Funding ($396,489) Revised Total Project Authorized Funding $2,254,489

Type of Procurement: Competitive Bid



Bidder Bid Amount VICO Construction Corporation $1,587,195 MEB General Contractors, Inc. $1,658,580 Tidewater Utility Construction Inc. $1,777,757 T.A. Sheets General Contractors, Inc. $1,987,820 Gaston Brothers Utilities LLC $2,163,834 Basic Construction Company LLC $2,988,725

Engineer Estimate: $1,769,620

Contract Status Amount Original Contract for AECOM $36,714 Total Value of Previous Task Orders $85,135 Requested Task Order $265,025 Total Value of All Task Orders $350,160 Revised Contract Value $386,874 Engineering Services as % of Construction 23%

The low bidder, VICO Construction Corporation, has been determined to be non-responsible. Upon review of the Questionnaire, it was determined that the projects referenced were not similar in nature to the Hampton Trunk Sewer Extension Division E Gravity Replacement project. The referenced projects provided were significantly smaller in size and scope. Please note that this finding is not a statement regarding the reputation of VICO Construction Corporation nor is it a reflection of their ability to successfully complete projects within their area of expertise. AECOM evaluated bids and recommends award to MEB General Contractors, Inc.

Project Description: This project involves the replacement of approximately 1,000 linear feet of existing 24-inch slip-lined pipe along Kecoughtan Road from Ivy Home Road south towards Clyde Street with a new 24-inch gravity sewer as well as the replacement of approximately 200 linear feet of existing 21-inch slip-lined pipe along Ivy Home Road west from the Kecoughtan Road intersection. This project will also include the restoration of all existing connections to the existing 24-inch gravity sewer and the rehabilitation of two existing manholes within the project limits that were included from GN012130. This project is included in the Federal Consent Decree Interim System Improvements and must be completed by February 2018.



Funding Description: Additional funding is required to meet locality requirements and as the project progressed it was determined that there was a need for an additional manhole. The contingency for this project is 12.5 percent of total construction cost which is higher than other projects. This will be a challenging project with excavations greater than 15 feet at many locations and the need for shoring to prevent cave-in during the excavation. The project also is located in an urban environment along a heavily travelled corridor with many existing utilities.

Task Order Description: This task order will provide contract administration and inspection services. A meeting was held with AECOM to discuss the project and scope of services. A fee of $265,025 was negotiated which will provide the required services during construction.

Analysis of Cost: The engineering services to construction cost ratio are 23 percent. This cost is in agreement with other similar efforts from other firms. In particular the costs compare well to the Williamsburg Interceptor Force Main Contract A and Warwick Boulevard to James River Influent Force Main Section 2 projects.

Schedule: PER October 2012 Delay January 2013 Bid July 2016 Construction September 2016 Project Completion October 2017

Discussion Summary: Contractors are notified of the intent to reject the bid and are given an opportunity to provide additional information to qualify for the project. HRSD bid documents require the prime contractor to have specific experience and demonstrate it. Contractors can gain the necessary experience for large projects by successfully completing smaller projects.

Attachment: None




8. KIRBY STREET SANITARY SEWER REHABILITATIONINITIAL APPROPRIATION

Action: Appropriate total project funding in the amount of $656,200.

Moved: Michael Glenn Ayes: 6 Seconded: Stephen Rodriguez Nays: 0

CIP Project: MP011800

Project Description: This project will replace approximately 440 linear feet of 10-inch pipe as well as rehabilitate approximately 1,175 linear feet of 12-inch VitrifiedClay gravity sewer that spans parallel to Kirby Street from 7th to 2nd Street underthe tidal marsh lands. An additional rehabilitation of approximately 155 linear feet of10-inch gravity along 10th Street was added to the project due to a recent conditionassessment effort that indicated this section of pipe was in need of immediatereplacement.

Funding Description: The total cost for this project is estimated to be $656,200.The original CIP budget of $428,655 was revised to add the additional 155 linearfeet of 10-inch gravity sewer rehabilitation and to address pipe installation costs.

Schedule: PER October 2016 Design December 2016 Bid March 2017 Construction May 2017 Project Completion December 2017

Attachment: None




9. NORTH TRUNK FORCE MAIN PART B REPLACEMENTINITIAL APPROPRIATION

Action: Appropriate total project funding in the amount of $883,600.


CIP Project: WB012200

Project Description: This project located in Williamsburg adjacent to the LonghillRoad (VA route 612) will replace approximately 1,200 linear feet of 24-inch pipealong NF-001. The pipe to be addressed is located between existing linestopswhich are near branch valve W5016-2 and air vent W5018-2. This project isincluded in the Rehabilitation Plan as part of the Federal Consent Decree and mustbe completed by June 2020.

Funding Description: The total cost for this project is estimated to be $883,600.The original CIP budget of $687,487 was revised to add a main line valve, siterestoration, and to address pipe installation costs.

Schedule: PER October 2016 Design December 2016 Bid Delay July 2018 Bid July 2018 Construction October 2018 Project Completion February 2020

Attachment: None




10. YORK RIVER TREATMENT PLANT CHEMICAL FACILITY IMPROVEMENTSADDITIONAL APPROPRIATION

Action: Appropriate additional funding in the amount of $83,082.

Moved: Vishnu Lakdawala Ayes: 6 Seconded: Michael Glenn Nays: 0

CIP Project: YR013200

Budget $2,246,071 Previous Expenditures and Encumbrances ($2,191,253) Available Balance $54,818 Proposed Change Order No. 2 to Shaw Construction Corporation

($87,900)

Proposed Contingency ($50,000) Project Shortage/Requested Additional Funding ($83,082) Revised Total Project Authorized Funding $2,329,153

Project Description: The project will provide reuse of two existing structures to create a new ferric chloride and sodium hydroxide (caustic) facility that will separate the existing ferric chloride system from the existing caustic system. The new ferric chloride facility will include replacement of pumps, piping, valves and appurtenances, and relocate the existing chemical storage tanks. The new caustic facility will include replacement and/or reuse of pumps, piping, valves and appurtenances, and relocate the existing chemical storage tanks. The project will also include improved mixing and new piping to the ferric feed points. The new facilities will be added to the current Distributed Control System (DCS) so that operating staff will have full monitoring and control capabilities from any DCS Operator Interface Terminal (OIT). This project will include removal and disposal of existing tanks and piping as needed.

Funding Description: The original CIP project estimate did not anticipate the need for additional caustic and ferric feed points, coatings work, electrical changes and other miscellaneous items. The amount for this work is estimated to be $87,900 and exceeds the balance available for this CIP project by $33,082.



This request also includes $50,000 in contingency to accommodate any additional unforeseen conditions that could occur during project completion and start-up of the facility.

Schedule: PER September 2013 Design March 2014 Bid November 2014 Construction May 2015 Project Completion February 2017

Attachment: None




11. FREEMAN DRIVE PUMP STATIONLAND CONVEYANCE

Action: Accept conveyance of 997 square feet of property from the City ofHampton to facilitate the installation of a fence to be constructed around theFreeman Drive Pump Station.

Moved: Michael Glenn Ayes: 6 Seconded: Vishnu Lakdawala Nays: 0

Brief: In 2015, HRSD took ownership of the Freeman Drive Pump Station. Thispump station is physically located within the City of Hampton. The City of Hamptonhas acquired all of the nearby homes and properties to create a future public parkand the Freeman Drive Pump Station is located within the bounds of this park.Plans are currently in place to install a 10-foot wide trail in connection with the parkthat will be located close to the pump station.

Because this pump station has been a target for graffiti/vandalism in the past, andto create an immediate buffer around the structure, HRSD would like to install a 6-foot fence, which would have required an encroachment onto property owned bythe City of Hampton. Instead of allowing an encroachment, the City of Hamptonwould like to gift 10 feet of their property (a portion of LRSNs 13001174 and7000118), approximately 997 square feet, to HRSD.

Funding Description: No funding required.

Agreement Description: The attached plat has been reviewed by staff. Facilitiesorientation maps are also provided for clarification purposes.

Attachment #4: Plat and Maps




12. WESTVILLE LANDING CONDOMINIUMSDEED OF EASEMENT AGREEMENT

Actions:

a. Accept the terms and conditions of the Deed of Easement Agreementwith Westville Landing, LLLP for Phase 1 condominium units, includingplanned future phases and authorize the General Manager to executesame, substantially as presented, together with such changes,modifications and deletions as the General Manager may deemnecessary.

b. Accept conveyance of sewer infrastructure and accompanyingeasements for Phase 1 condominium units and planned future phases.

Moved: Vishnu Lakdawala Ayes: 6 Seconded: Stephen Rodriguez Nays: 0

Project Description: Westville Landing is a proposed condominium development physically located in Mathews County, Virginia, and within HRSD’s existing vacuum system. The ultimate build-out of the condominium includes a mix of single and multi-family residential facilities, club house, etc., which will be served by an expansion of the existing HRSD vacuum system. The condominium property includes proposed HRSD assets within the private right-of-way and shared utility easements. HRSD has received a set of site plans and digital drawings acceptable to staff. The Phase 1 plat will be recorded with the Deed of Easement and all subsequent phases will require new plats that will be subject to the same terms and conditions of this agreement. The assets to be conveyed include approximately 1,950 feet of 4-inch and 6-inch vacuum sewer main and associated appurtenances.

The Deed of Easement will provide the means to access, operate, maintain, repair, replace and protect sewer infrastructure within the private property and the private right-of-way while clearly delineating HRSD ownership.

Agreement Description: The attached Deed of Easement Agreement has been reviewed by HRSD legal counsel. A facility orientation map is also provided for clarification purposes.

Attachment #5: Deed of Easement Agreement and Map Public Comment: None



13. SUSTAINABLE WATER INITIATIVE FOR TOMORROW (SWIFT)


Brief: SWIFT continues to move forward since approved by the Commission at theAugust 2015 meeting. Significant progress has been made since the Februarybriefing. The pilot plants are operating and producing drinking water quality water.Two test wells have been drilled and are being developed to inform design ofinjection wells. Interviews are scheduled for design-build teams that will be workingon the 1-mgd demonstration project at Nansemond Treatment Plant. The UnitedStates Geological Survey is installing the extensometer at Nansemond. CH2M hascompleted the next phase of modeling. Staff has made numerous presentations tostakeholders and held a celebration event to get additional media and stakeholderexposure.

Staff provided a status update at the September meeting.

Attachment #6: PowerPoint Presentation




14. AQUIFER REPLENISHMENT SYSTEM CONCEPT FEASIBILITY EVALUATIONADDITIONAL APPROPRIATION AND TASK ORDER

Actions:

a. Appropriate additional funding in the amount of $4,540,000.

b. Approve a task order for CH2M Hill Engineers, Inc. under the contractfor General Engineering Services in the amount of $2,288,282.


CIP Project: GN015700

Budget $3,000,000 Previous Expenditures and Encumbrances ($2,687,661) Available Balance ($312,339) Proposed Task Order to CH2M Hill ($2,288,282) Proposed Contingency ($2,564,057) Project Shortage/Requested Additional Funding ($4,540,000) Revised Total Project Authorized Funding $7,540,000

Contract Status: Amount Original Contract with CH2M Hill $386,312 Total Value of Previous Task Orders $1,963,162 Requested Task Order $2,288,282 Total Value of All Task Orders $4,251,444 Revised Contract Value $4,637,756

Project Description: The Aquifer Replenishment System Concept Feasibility Evaluation will evaluate the feasibility of reusing highly treated wastewater for aquifer replenishment to protect groundwater supplies as well as accomplish wastewater treatment objectives and enhance the region's total groundwater supply.



Funding Description: This project requires additional funding. The project is currently arranged in a six-phase framework, where the conclusion of each phase is a juncture where HRSD can decide if and how to proceed to the next phase. This approach provides a screening process where key potential barriers are identified and addressed or mitigated. The original CIP estimate did not budget for Phase 4 work.

The negotiated amount for Phase 4 work is $2,288,282 and exceeds the balance available for this CIP project. In addition, this appropriation request contains a contingency of $2,564,057 for the drilling of test wells at five sites and to accommodate any unforeseen conditions.

Analysis of Cost: The Phase 4 requested funding is for regulatory and permitting plan development; preliminary facility layout development; pretreatment control program support; groundwater modeling; soil, groundwater and aquifer testing; pilot plant operational support; and stakeholder outreach. The programmed hours are in alignment with the level of effort. The hourly rates for this task order are in alignment with those from other firms. The $2,564,057 is for well drilling and testing to characterize the underground conditions and aquifer response to the injection of water.

Task Order Description: This task order will provide Phase 4 services. Phase 4 focuses on the development of facility-specific information. Along with the previous pilot-scale testing, process evaluations, water quality testing and preliminary planning, this information will assist in confirming project direction through more detailed facility technical and cost information. The output from this phase is intended to inform an overall implementation plan that will guide full-scale implementation should the Sustainable Water Initiative for Tomorrow (SWIFT) continue to prove beneficial to HRSD’s mission.

Attachment: None




15. UNFINISHED BUSINESS

Mr. Henifin reviewed the schedule for the upcoming Water Environment FederationTechnical Conference (WEFTEC).

16. NEW BUSINESS – None

17. COMMISSIONER COMMENTS

Commissioner Rodriguez said he was excited to be part of the SWIFT project andcongratulated the team for an outstanding presentation.

18. PUBLIC COMMENTS NOT RELATED TO AGENDA – None

19. INFORMATIONAL ITEMS


Brief: The items listed below were presented for information.

a. Management Reports

b. Strategic Planning Metrics Summary

c. Effluent Summary

d. Air Summary

Attachment #7: Informational Items




20. CLOSED MEETING

Action: Motion to go into Closed Meeting for discussion with legal counseland staff regarding actual litigation [Specific Exemption: Va. Code §2.2-3711.A7]

Moved: Michael Glenn Ayes: 7 Seconded: Willie Levenston Nays: 0

Brief: Consultation with legal counsel and briefing by staff members pertaining toactual litigation, where such consultation or briefing in open meeting wouldadversely affect the negotiating or litigating posture of the public body.

Roll call vote to return to Open Session: Ayes: 7 Nays: 0

21. RECONVENED MEETING


Attachment: None


Next Commission Meeting Date: October 25, 2016 at the HRSD North Shore Operations Center, 2389 G. Avenue, Newport News, VA 23602

Meeting Adjourned: 11:54 a.m.

SUBMITTED: APPROVED:

Jennifer L. Cascio Secretary

Frederick N. Elofson, CPA Chair

HRSD COMMISSION MEETING MINUTES September 21, 2016

ATTACHMENT #1

AGENDA ITEM 1. – Consent Agenda

Resource: Don Corrado CONSENT AGENDA ITEM 2.b.1. – September 21, 2016 Subject: Atlantic Treatment Plant Migration of Distributed Control System (DCS) Contract Award (>$200,000) Recommended Action: Award a contract to Emerson Process Management in the amount of $228,978. Contract Description: This contract is for the migration of the UNIX/Solaris based DCS at the Atlantic Treatment Plant. This migration is to move the system to the Microsoft Windows platform to align with the other seven HRSD DCS systems. This migration includes the replacement of the existing Human Machine Interface (HMI) equipment with Hewlett Packard (HP) equipment, upgrade of the existing Ovation HMI software to the latest version, replacement of the existing network hardware and addition of new HP workstations and servers. Pricing is based on the Emerson/HRSD Preferred Customer Agreement which provides discount pricing. Emerson Process Management was approved as the sole source provider for these types of services at the June 2016 Commission Meeting.

Resource: Phil Hubbard CONSENT AGENDA ITEM 2.c.1. – September 21, 2016 Subject: Locality System Monitoring and Condition Assessment Task Order (>$200,000) Recommended Action: Approve a task order with CDMSmith in the amount of $273,300. CIP Project: GN012150 Budget $131,087,042* Previous Expenditures and Encumbrances ($127,924,176)* Available Balance $3,162,866*

Contract Status: Amount Original Contract with CDMSmith $710,000 Total Value of Previous Task Orders $1,925,000 Requested Task Order $273,300 Total Value of All Task Orders $2,908,000 Revised Contract Value $2,908,000

*Includes all Consent Order CIPs: GN012110, GN012112, GN012113, GN012114, GN012115, GN012120, GN012130, GN012140, GN012150, CE011900, AT013800, JR013300, MP012800 Project Description: This project is needed to thoroughly identify issues within the locality systems that will go into creation of the Regional Wet Weather Management Plan (RWWMP). Task Order Description: This task order will provide modeling, engineering evaluations and technical coordination for the Locality Hydraulic Models (LHMs) to support the RWWMP due to the U.S. Environmental Protection Agendy and Virginia Department of Environmental Quality by October 1, 2017 per requirements of the Third Amended Consent Decree. Specific tasks include optimizing LHM facility improvements for the level of service selected and developing sequencing and implementation schedules for the solutions. These evaluations will be applied to LHMs for the following localities: Gloucester County, Isle of Wight County, James City Service Authority, Town of Smithfield, City of Suffolk, City of Virginia Beach, City of Williamsburg and York County. Analysis of Cost: The cost for this task order is based on agreed upon cost for work performed. Schedule: Project Completion October 2019

Resource: Phil Hubbard CONSENT AGENDA ITEM 2.c.2. – September 21, 2016 Subject: Regional Hydraulic Model and Other Consent Order Requirements Task Order (>$200,000) Recommended Action: Approve a task order with CDMSmith in the amount of $1,327,000. CIP Project: GN012110 Budget $131,087,042 * Previous Expenditures and Encumbrances ($127,924,176)* Available Balance $3,162,866*

Contract Status: Amount Original Contract with CDMSmith $2,608,061 Total Value of Previous Task Orders $21,343,363 Requested Task Order $1,327,000 Total Value of All Task Orders $25,278,424 Revised Contract Value $25,278,424

*Includes all Consent Order CIPs: GN012110, GN012112, GN012113, GN012114, GN012115, GN012120, GN012130, GN012140, GN012150, CE011900, AT013800, JR013300, MP012800 Project Description: Engineering services, system inspections and software expenses are required to create a fully functional extended state hydraulic model for the specified portions of the regional sanitary sewer system. Model features and engineering services to include extended state simulation, GIS data integration, interoperability with the localities’ hydraulic models, training and database administration. Additional modeling efforts and software purchases for each of the localities and the Middle Peninsula are included as part of this project. Additional task items to be completed as mandated by the Federal Consent Decree include overall program management and guidance, consent decree negotiation, locality coordination, capacity and condition assessment (an estimated 2-5 percent of the interceptor force mains and 100 percent of the gravity interceptors will need to be inspected for possible defects), public participation, overall Supervisory Control and Data Acquisition (SCADA) coordination, Sewer System Evaluation Survey (SSES) planning, rehabilitation planning and implementation, and preparation and implementation of the Regional Wet Weather Management Plan (RWWMP). Other related work includes: surveying of manholes and pumping stations, several consent decree related studies and hydraulic model support to make sure other CIP projects fully comply with the Federal Consent Decree.

Task Order Description: This task order will provide modeling, engineering evaluations and technical coordination to support the RWWMP due to the U.S. Environmental Protection Agency and Virginia Department of Environmental Quality by October 1, 2017 per requirements of the Third Amended Consent Decree. Specific tasks include optimizing the level of service (LOS) selected by developing solution sets for the LOS and finalize the RWWMP report. Analysis of Cost: The cost for this task order is based on agreed upon cost for work performed. Schedule: Project Completion October 2019

Resource: Don Corrado

CONSENT AGENDA ITEM 2.d.1. – September 21, 2016 Subject: Cisco MDS Switches, EMC Unity Equipment, Services, and Hardware and Software Support HRSD Use of Existing Competitively Awarded Contract Vehicle (>$200,000) Recommended Action: Approve the use of the City of Hampton Cooperative Contract 15-34E for Technology Equipment and Software Maintenance Services in the total amount of $602,401 to Innovative Systems and Solutions DBA ABS Technology Architects. This purchase is for Cisco MDS Switches, EMC Unity Equipment, Services, and Hardware and Software Support for multi-year periods through five years. The contract will also include two annual renewal options related only to the EMC Unity Equipment support for the fixed amount of $40,000 per year for a cumulative value in the amount of $682,401. HRSD Estimate: $602,687 Contract Description: This contract is for the purchase of Cisco MDS Switches, EMC Unity equipment, services, and hardware and software support. This is needed to increase HRSD’s storage capacity due to the continued growth, as well as large initiatives such as the SWIFT Project. The hardware will double the amount of storage capacity to 180 TB and also use solid state technology. The solid state drives will increase system responsiveness that will drive future technology needs such as Virtual Desktops. The total purchase cost is based on a bundled pricing structure, which includes a combination of three and five years of hardware and software support. The three years of support is related to EMC Unity Equipment with costs for two optional renewal years fixed at $40,000 per year provided HRSD maintains contract support coverage. Benefits of using the cooperative contract include the bundled pricing structure, multiple manufacturer’s list price discounts and a special project multi-year pricing discount resulting in total purchase cost savings of $1,329,000 over the five-year period. The City of Hampton competitively solicited this cooperative contract solution. HRSD is eligible to use this competitively bid contract.


ATTACHMENT #2

AGENDA ITEM 3. – Nutrient Compliance Plan for the James River Basin PowerPoint Presentation

Nutrient Compliance Plan Update – James River Basin

Commission Briefing

September 21, 2016

HRSD-River Basin Map

2

Area: 2,808 Square Miles

James River Basin: Annual Nitrogen Discharge

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Nitrogen Exchange Submission – 5 yr: James River Basin

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2017 2018 2019 2020 2021 Army Base: Flow (MGD) 10.39 10.40 10.41 10.42 10.43

Proj Conc (mg/L) 4.5 4.5 4.5 4.5 4.5 Proj Discharge (lbs/yr) 142,388 142,543 142,699 142,854 143,010

Boat Harbor: Flow (MGD) 14.74 14.74 14.74 14.74 14.74 Proj Conc (mg/L) 26.0 26.0 26.0 26.0 26.0

Proj Discharge (lbs/yr) 1,166,874 1,167,038 1,167,203 1,167,367 1,167,532 Ches-Eliz: Flow (MGD) 17.78 17.87 17.96 18.05 18.15

Proj Conc (mg/L) 26.5 26.5 26.5 26.5 26.5 Proj Discharge (lbs/yr) 1,434,735 1,442,138 1,449,580 1,457,059 1,464,578

James River: Flow (MGD) 13.08 13.10 13.12 13.14 13.16 Proj Conc (mg/L) 9.0 9.0 9.0 9.0 9.0

Proj Discharge (lbs/yr) 358,508 359,057 359,607 360,157 360,708 Lawnes Point: Flow (MGD) 0.00 0.00 0.00 0.00 0.00

Proj Conc (mg/L) 5.0 5.0 5.0 5.0 5.0 Proj Discharge (mg/L 0 0 0 0 0

Nansemond: Flow (MGD) 17.07 17.41 17.76 18.12 18.49 Proj Conc (mg/L) 7.5 7.5 7.5 7.5 7.5

Proj Discharge (lbs/yr) 389,842 397,711 405,740 413,931 422,287 VIP: Flow (MGD) 30.70 30.76 30.83 30.90 30.97


Williamsburg: Flow (MGD) 8.85 8.97 9.09 9.21 9.34 Proj Conc (mg/L) 10.0 10.0 10.0 10.0 10.0

Proj Discharge (lbs/yr) 269,620 273,221 276,870 280,567 284,314 Projected Discharge (lbs/yr) 4,369,617 4,203,337 4,224,274 4,245,464 4,266,911

Permitted Allocation (lbs/yr) 4,553,500 4,553,500 4,553,500 4,553,500 4,553,500 Total Flow (MGD) 112.6 113.3 113.9 114.6 115.3

Safety Factor 4.0% 7.7% 7.2% 6.8% 6.3%

Nitrogen Exchange Submission: Planning Years and Beyond James River Basin

8

2022 2023 2024 Design Army Base: Flow (MGD) 10.45 10.46 10.47 18.00

Proj Conc (mg/L) 4.5 4.5 4.5 4.0 Proj Mass (lbs/yr) 143,166 143,323 143,479 219,280

Boat Harbor: Flow (MGD) 14.75 14.75 14.75 25.00 Proj Conc (mg/L) 26.0 26.0 26.0 26.0

Proj Mass (lbs/yr) 1,167,696 1,167,861 1,168,025 1,979,614 Ches-Eliz: Flow (MGD) 0.00 0.00 0.00 0.00

Proj Conc (mg/L) 0.0 0.0 0.0 0.0 Proj Mass (lbs/yr) 0 0 0 0

James River: Flow (MGD) 13.18 13.20 13.22 20.00 Proj Conc (mg/L) 9.0 9.0 9.0 4.0

Proj Mass (lbs/yr) 361,261 361,814 362,367 243,645 Lawnes Point: Flow (MGD) 0.00 0.00 0.00 0.05


Nansemond: Flow (MGD) 18.86 19.24 19.63 30.00 Proj Conc (mg/L) 7.5 7.5 7.5 4.0

Proj Mass (lbs/yr) 430,811 439,508 448,381 365,467 VIP: Flow (MGD) 31.04 31.11 31.18 40.00


Williamsburg: Flow (MGD) 9.46 9.59 9.71 22.50 Proj Conc (mg/L) 10.0 10.0 10.0 4.0

Proj Mass (lbs/yr) 288,111 291,958 295,857 274,100 Expected Discharge (lbs/yr) 2,816,483 2,830,859 2,845,465 3,570,158

Permitted Wasteload Allocation (lbs/yr) 3,553,500 3,553,500 3,553,500 3,553,500 Total Flow (MGD) 97.7 98.3 99.0 155.5

Safety Factor 20.7% 20.3% 19.9% -0.5%

2017 2018 2019 2020 2021 Army Base: Flow (MGD) 10.39 10.40 10.41 10.42 10.43


Boat Harbor: Flow (MGD) 14.74 14.74 14.74 14.74 14.74 Proj Conc (mg/L) 0.8 0.8 0.8 0.8 0.8

Proj Discharge (lbs/yr) 35,904 35,909 35,914 35,919 35,924 Ches-Eliz: Flow (MGD) 17.78 17.87 17.96 18.05 18.15


James River: Flow (MGD) 13.08 13.10 13.12 13.14 13.16 Proj Conc (mg/L) 0.8 0.8 0.8 0.8 0.8

Proj Discharge (lbs/yr) 31,867 31,916 31,965 32,014 32,063 Lawnes Point: Flow (MGD) 0.00 0.00 0.00 0.00 0.00

Proj Conc (mg/L) 0.0 0.0 0.0 0.0 0.0 Proj Discharge (mg/L 0 0 0 0 0

Nansemond: Flow (MGD) 17.07 17.41 17.76 18.12 18.49 Proj Conc (mg/L) 1.2 1.2 1.2 1.2 1.2

Proj Discharge (lbs/yr) 62,375 63,634 64,918 66,229 67,566 VIP: Flow (MGD) 30.70 30.76 30.83 30.90 30.97


Williamsburg: Flow (MGD) 8.85 8.97 9.09 9.21 9.34 Proj Conc (mg/L) 0.8 0.8 0.8 0.8 0.8

Proj Discharge (lbs/yr) 21,570 21,858 22,150 22,445 22,745 Projected Discharge (lbs/yr) 300,544 302,592 304,671 306,783 308,926

Permitted Allocation (lbs/yr) 318,436 318,436 318,436 318,436 318,436 Total Flow (MGD) 112.6 113.3 113.9 114.6 115.3

Safety Factor 5.6% 5.0% 4.3% 3.7% 3.0%

Phosphorus Exchange Submission – 5 yr: James River Basin

9

Phosphorus Exchange Submission: Planning Years and Beyond James River Basin

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2022 2023 2024 Design Army Base: Flow (MGD) 10.45 10.46 10.47 18.00


Boat Harbor: Flow (MGD) 14.75 14.75 14.75 25.00 Proj Conc (mg/L) 0.8 0.8 0.8 0.6

Proj Mass (lbs/yr) 35,929 35,934 35,939 45,683 Ches-Eliz: Flow (MGD) 0.00 0.00 0.00 0.00


James River: Flow (MGD) 13.18 13.20 13.22 20.00 Proj Conc (mg/L) 0.8 0.8 0.8 0.6

Proj Mass (lbs/yr) 32,112 32,161 32,210 36,547 Lawnes Point: Flow (MGD) 0.00 0.00 0.00 0.05


Nansemond: Flow (MGD) 18.86 19.24 19.63 30.00 Proj Conc (mg/L) 1.2 1.2 1.2 0.6

Proj Mass (lbs/yr) 68,930 70,321 71,741 54,820 VIP: Flow (MGD) 31.04 31.11 31.18 40.00


Williamsburg: Flow (MGD) 9.46 9.59 9.71 22.50 Proj Conc (mg/L) 0.8 0.8 0.8 0.6

Proj Mass (lbs/yr) 23,049 23,357 23,669 41,115 Expected Discharge (lbs/yr) 261,105 263,057 265,041 284,227

Permitted Wasteload Allocation (lbs/yr) 318,436 318,436 318,436 318,436 Total Flow (MGD) 97.7 98.3 99.0 155.5

Safety Factor 18.0% 17.4% 16.8% 10.7%

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ATTACHMENT #3

AGENDA ITEM 4. – Subordinate Trust Agreement Exclusion of Certain Locality Improvements from Calculation of Operating Expenses Resolution

27516684

Hampton Roads Sanitation District Resolution of

September 21, 2016

HAMPTON ROADS SANITATION DISTRICT COMMISSION

********************

A RESOLUTION EXCLUDING CERTAIN LOCALITY IMPROVEMENTS FROM CALCULATION OF

OPERATING EXPENSES FOR PURPOSES OF THE SUBORDINATE TRUST AGREEMENT

Adopted September 21, 2016

27516684

Resolution

Resolution Excluding Certain Locality Improvements from Calculation of Operating Expenses for Purposes of the District’s Subordinate Trust Agreement

WHEREAS, the Hampton Roads Sanitation District (the “District”) was duly created under and pursuant to Chapter 407 of the Acts of Assembly of Virginia of 1940, and the Hampton Roads Sanitation District Commission (the “Commission”), created by said Chapter 407, is the governing body of the District; and

WHEREAS, by virtue of Chapter 66 of the Acts of Assembly of Virginia of 1960, as amended (the “Act”), the Commission is authorized and empowered:

(a) to construct, improve, extend, enlarge, reconstruct, maintain, equip, repair and operate a wastewater treatment system or systems, either within or without or partly within and partly without the corporate limits of the District;

(b) to issue, at one time or from time to time, revenue bonds, notes or other obligations of the District payable solely from the special funds provided under the authority of the Act and pledged for their payment, for the purpose of paying the cost of a wastewater treatment system or systems and extensions and additions thereto, and providing funds for any other authorized purpose of the Commission, and

(c) to fix, revise, charge and collect rates, fees and other charges for the use of, and for the services and facilities furnished or to be furnished by, any such wastewater treatment system; and

WHEREAS, as provided by the Act, the District is constituted a political subdivision of the Commonwealth of Virginia and established as a governmental instrumentality to provide for the public health and welfare; and

WHEREAS, the Commission has previously authorized the execution and delivery of a Trust Agreement, dated as of March 1, 2008 (as the same may be supplemented and further supplemented and amended from time to time, the “Senior Trust Agreement”), between the District and The Bank of New York, as Trustee (The Bank of New York Mellon Trust Company, N.A., as successor in interest to The Bank of New York, the “Senior Trustee”), to secure the payment of Senior Obligations (as defined in the Senior Trust Agreement) of the District, such Senior Obligations being payable from the Net Revenues (as defined in the Senior Trust Agreement) of the District; and

WHEREAS, the Senior Trust Agreement permits the issuance of Subordinated Indebtedness (as defined in the Senior Trust Agreement), the payment on which will be, in all cases, subordinate and junior in right of payment to the prior payment in full of the Senior Obligations; and

3 27516684

WHEREAS, to secure the payment of and provide for the issuance of such Subordinated Indebtedness, the Commission authorized the execution and delivery of a Trust Agreement, dated as of October 1, 2011, as amended and restated as of March 1, 2016 (as so amended and restated, the “Trust Agreement”), between the District and The Bank of New York Mellon, as Trustee (in such capacity, the “Trustee”), to provide for the issuance Subordinate Indebtedness (as defined in the Trust Agreement);

WHEREAS, the Commission has previously issued several series of Subordinated Indebtedness in accordance with the Trust Agreement;

WHEREAS, in connection with certain covenants and agreements of the Commission contained in the Trust Agreement, the term “Operating Expenses” excludes for the purpose of such term, “expenses for improvements that will not be owned by the District but which will, in the reasonable determination of the Commission, as evidenced by a resolution thereof, maintain or improve the integrity of the Wastewater System;”

WHEREAS, attached as Exhibit A to this Resolution is a list of certain improvements to assets not owned by the District but instead by localities in the District’s service area (the “Locality Improvements”); and

WHEREAS, information has been presented to the Commission at this meeting to the effect that notwithstanding that such Locality Improvements will not be owned by the District, each such Locality Improvement will maintain or improve the integrity of the Wastewater System;

Now, Therefore, the HAMPTON ROADS SANITATION DISTRICT COMMISSION DOES HEREBY RESOLVE, as follows:

Section 1. Definitions. Capitalized words and terms used in this Resolution and not defined herein shall have the same meanings in this Resolution as such words and terms are given in the Trust Agreement.

Section 2. Exclusion of Locality Improvements from Calculation of Operating Expenses for Purposes of Trust Agreement. Based on the information presented to the Commission at this meeting, the Commission hereby determines that each of the Locality Improvements described in Exhibit A to this Resolution will maintain or improve the integrity of the Wastewater System and shall, accordingly, be excluded from the calculation of “Operating Expenses” for the purposes of the Trust Agreement.

Section 3. No Effect on Calculation of Operating Expenses for Other Purposes. Notwithstanding the Commission’s determination to exclude the Locality Improvements from the calculation of “Operating Expenses” for purposes of the Trust Agreement, this Resolution shall not, in and of itself, affect the calculation of operating expenses by the District for any other purpose, including, but not limited to, the calculation of “Operating Expenses” for purposes of the Senior Trust Agreement or the presentation of financial information in the District’s audited financial statements.

5 27516684

EXHIBIT A

LOCALITY IMPROVEMENTS

AT013800: Locality System Monitoring and Condition Assessment (Unit Price Pilot)

Project Description: This is a rehabilitation pilot project for Virginia Beach Pumping Station 111 using a unit price contract with T.A. Sheets. This project will include I/I reduction in the city right-of-way and non-single family (apartments and condominiums) using any of the following techniques; pipe replacement, pipe lining using CIPP, manhole replacement, manhole rehabilitation. Accordingly, these improvements improve the integrity of the regional wastewater system by rehabilitating aging infrastructure to reduce inflow and infiltration. All work is being coordinated with the City of Virginia Beach Department of Public Utilities.

Project Justification: This project is being done as a pilot effort in order to help evaluate the most effective project delivery methods to be used in implementation of the future Regional Wet Weather Management Plan (RWWMP). Two additional projects are being completed simultaneously, both using different project delivery methods. The projected completion dates for all three projects are similar so that flow monitoring can be completed following construction to help evaluate the results in each basin.

Approximate Project Cost: $1,800,000

CE011900: Locality System Monitoring and Condition Assessment (Design-Build Pilot)

Project Description: This is a design-build pilot project in which HRSD has assumed responsibility for rehabilitation of the sewer infrastructure located in the City of Virginia Beach Sanity Sewer Basin 340. This project is being done as a pilot effort in order to help evaluate the most effective project delivery methods to be used in implementation of the future Regional Wet Weather Management Plan (RWWMP). This project will utilize a design-build project delivery method to rehabilitate the sanitary sewer collection system. The goal of this project is to remove approximately 10,430 gallons per hour of 10-year peak Infiltration and Inflow flow from this basin through the rehabilitation of publicly owned assets (pipes, manholes, and the publicly owned portions of the laterals). Accordingly, these improvements improve the integrity of the regional wastewater system by rehabilitating aging infrastructure to reduce inflow and infiltration.



6 27516684

JR013300: Locality System Monitoring and Condition Assessment (Design-Bid-Build Pilot)

Project Description: This is a design-bid-build pilot project in which HRSD has assumed responsibility for rehabilitation of the sewer infrastructure located in Newport News Sanity Sewer Basin 008. This project is being done as a pilot effort in order to help evaluate the most effective project delivery methods to be used in implementation of the future Regional Wet Weather Management Plan (RWWMP). This project will include the design and construction efforts necessary to rehabilitate the entire basin with a goal of obtaining a 70% reduction in inflow and infiltration (I&I). Accordingly, these improvements improve the integrity of the regional wastewater system by rehabilitating aging infrastructure to reduce inflow and infiltration.



*All project costs are approximate and will be subject to change upon completion.


ATTACHMENT #4

AGENDA ITEM 11. - Freeman Drive Pump Station Land Conveyance Plat and Maps

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LegendParcelsLot LinesBoundary

Title: Date: 6/19/2015 DISCLAIMER:This drawing is neither a legally recorded map nor a survey and is not intended to be used as such. Theinformation displayed is a compilation of records,information, and data obtained from various sources, and Hampton is notresponsible for its accuracy or how current it may be.


ATTACHMENT #5

AGENDA ITEM 12. - Westville Landing Condominiums Deed of Easement Agreement and Map


ATTACHMENT #6

AGENDA ITEM 13. - Sustainable Water Initiative for Tomorrow (SWIFT) Update PowerPoint Presentation

HRSD Commission Update

September 21, 2016

4

Gloucester Mathews Gazette Washington Post

Outreach efforts • James River Association

• Chesapeake Bay Commission

• Sunray Farmers Association

• Interstate Commission on Potomac River Basin

• Hampton City Council

• Virginia Beach City Council

• Senator Mark Warner

• Congressman Rob Wittman

• Congressman Forbes’ Staff

• US Navy - COMNAVMIDLANT

5

In the months ahead • Employee Tours (October and November)

• Continued work with localities on MS4 trades

• Legislative Efforts –Extensometer funding request $1.3 million –Lynnhaven and Little Creek Carve Out – JLARC report response

• Event around completion of Extensometer

• Event around Demonstration Project ground breaking

• Exploring beer partnership with local craft brewers

7

Pilot Plants •Membrane-Based Train

–Ultrafiltration Reverse Osmosis

–UV Advanced Oxidation

•Carbon-Based Train –Coagulation/Flocculation/Sedimentation –Ozone oxidation –Biologically Active Granular Activated Carbon –Granular Activated Carbon –UV Disinfection

8

Pilot Testing Objectives • Primary Objective

– Compare FW quality between two AWT trains • Secondary Objectives

– Gain operational experience for HRSD staff with AWT processes – Establish preliminary design criteria for full scale, where possible – Monitor FW quality for compatibility with aquifer – Understand removal of CECs and additional forward looking water

quality parameters – Verify the treatment performance during WWTP excursions

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ent

RO

Perm

eate

RO

Con

cent

…

UVA

OP

TOC

(mg/

L)

Carbon-Based Membrane-Based

TOC Removal – Carbon-Based

14

Pilot Feed Floc Sed BAC High BAC Low GAC High GAC Low UVD

•Sedimentation tank lamella plate fouling •Ozone dose control mostly related to methanol control

•Bromate control •GAC turbidity breakthrough

•Total Coliform detections •Online TOC analyzer •Workload

Challenges

15

Sedimentation Tank Operation

16

Ozone dose control

17

Applied dose

Nitrate

Ozone Residual

Bromate Control

MCL = 0.010 mg/L

18

BAC – Expected Performance

19

GAC Turbidity Breakthrough

20

• Benefit of nanofiltration over RO • CEC removal • Evaluation of other plant effluents • F600 GAC • BAC and GAC design criteria • GAC regeneration interval • Ozone dose & bromate control downstream impacts

– CEC removal – TOC removal – NDMA generation – Pathogen removal credits achieved

• Enhanced coagulation with ferric sulfate • Disinfection byproduct formation • Performance during WWTP excursions • Virus and CEC challenge testing

Big Questions Remaining

21

Extensometer

22

SWIFT Six Phase Framework Initiative Phase Phase Description

Phase 1 – Concept Feasibility (completed)

Identified potential benefits and feasibility of highly purified wastewater and injecting into the area aquifers

Phase 2 – Concept Development

Developed, evaluated and pilot-tested treatment approaches and modeled aquifer responses

Phase 3 – Concept Demonstration

Develops and implements a 1 MGD Facility for treatment and injection of purified water into the aquifer

Phase 4 – Facility Plan Development

Develops specific facility features for each plant site for treatment and injection. Determines approach to tailor injectate water quality for compatibility with aquifer geochemistry

Phase 5 – Implementation Plan

Develops overall implementation plan including plant features, schedule of implementation and finances

Phase 6 – Full-Scale Facility Implementation

Implements full-scale construction of selected facilities at selected sites and locations

Six-Phased Framework • Phase 1 – Concept Feasibility (completed) ($208,180)

–Modeling and reports (technical memos)

• Phase 2 – Concept Development ($2,141,294) –Further modeling and analysis –2 test wells –Pilot design and assistance

• Phase 3 – Concept Demonstration ($15 Million)

• Phase 4 – Facility Plan Development ($4,540,000)

• Phase 5 – Implementation Plan

• Phase 6 – Full-Scale Facility Implementation ($1B)

24

Schedule • 2016 Pilot Testing & groundwater

modeling (ongoing) • November 2016 Recommend Design-

Build contract award for Demonstration Facility

• January 2018 Demonstration Facility start up

• 2020 EPA/DEQ/VDH formally approves Certificate to Construct for SWIFT

• 2020 to 2030 Construction • 2030 Fully operational – 120 MGD of

purified water put into the aquifer

25


ATTACHMENT #7 AGENDA ITEM 19. – Informational Items

a. Management Reports

(1) General Manager

(2) Engineering

(3) Finance

(4) Information Technology

(5) Operations

(6) Special Assistant for Compliance Assurance

(7) Talent Management

(8) Water Quality

(9) Report of Internal Audit Activities

b. Strategic Planning Metrics Summary

c. Effluent Summary

d. Air Summary

PO Box 5911, Virginia Beach, VA 23471-0911 • 757.460.7003

Commissioners: Frederick N. Elofson, CPA, Chair • Maurice P. Lynch, PhD, Vice-Chair • Vishnu K. Lakdawala, PhD Michael E. Glenn • Arthur C. Bredemeyer • Stephen C. Rodriguez • Susan M. Rotkis • Willie Levenston, Jr.

www.hrsd.com

September 16, 2016 Re: General Manager’s Report Dear Commissioners: August was another very busy month throughout HRSD. Beyond the continued focus on our Sustainable Water Initiative for the Future (SWIFT) and preparations for the September celebration event, we kicked off the 2016 apprentice class with 27 new apprentices. Continued refinements and improvements to the apprentice program have allowed apprentices to choose between our traditional 4-year program or a more intensive 3-year program. The 3-year option is very popular and all of this year’s class will be pursuing that option. Our efforts to increase the pool of talent by inspiring the next generation to pursue environmental careers is paying off from the Hampton Roads Public Works Academy (HRPWA). The HRPWA is a high school vocational training program that exposes students to a wide variety of trade and technical careers in public works and public utilities. HRSD has been actively supporting the HRPWA since its inception and this year two of our nine interns were offered and accepted permanent employment with HRSD. They will join the more than a dozen HRPWA graduates working for HRSD. We conducted a week-long hurricane preparedness drill in August to exercise our readiness planning. As with all drills, we discovered areas in our plans that need some revision but, overall, the drill went well. The HRSD plan is very good and will serve us well but as Mike Tyson was famously quoted, “everyone has a plan until they get punched in the mouth.” The attached monthly reports review activities throughout the month, with a few items highlighted below: 1. Treatment, Compliance and System Operations: Central Middlesex, our

smallest treatment plant, had a permit exception in August. Other than that, all plants met all Virginia Pollutant Discharge Elimination System (VPDES) permit requirements. There were no spills from the interceptor system.

HRSD Commission September 16, 2016

Page 2

2. Internal Communications: I participated in the following meetings/activities with HRSD personnel:

a. A meeting to review our nutrient strategy and the integration of SWIFT b. A new employee orientation session c. One employee length of service recognition breakfast d. Several meetings and conference calls related to the hurricane drill e. A meeting to discuss the scope of the proposed SWIFT demonstration

facility f. A meeting to review pump installation and tasting facilities for the York

River SWIFT pilot g. The meet and greet session for the new class of apprentices h. A meeting to discuss options, risks and opportunities related to the

Army Base Treatment Plant incinerator i. A meeting to discuss the objectives of asset management j. A meeting to review options related to providing sewer service to

Deltaville in Middlesex County k. A briefing on the Chlorophyll a study l. A meeting to discuss our source tracking program and process to

prioritize and address localities’ needs

3. External Communications: I participated in the following meetings/ activities:

a. The second meeting of the Virginia Department of Environmental

Quality (DEQ) Regulatory Advisory Panel on the James River Chlorophyll a criteria

b. The monthly meeting of the Hampton Roads Planning District Commission (HRPDC)Directors of Utilities Committee

c. A meeting with HRPDC staff on SWIFT d. A meeting with City of Norfolk staff to review coordination opportunities

related to SWIFT e. A meeting with the Director of DEQ and the Head of the Permitting

Division regarding nutrient and sediment trading opportunities related to SWIFT and local government storm water programs

f. A SWIFT briefing for the Virginia Director of the Chesapeake Bay Commission

g. A SWIFT briefing for Rear Admiral Scorby, Commander, Navy Region Mid-Atlantic

h. A SWIFT briefing for Senator Mark Warner i. A SWIFT briefing for Congressman Forbes’ staff

HRSD Commission September 16, 2016

Page 3

j. A SWIFT update and VIRGINIAforever briefing for Delegate Barry Knight

k. A SWIFT briefing for Norfolk City Council l. The Isle of Wight Board of Supervisors meeting during which the board

approved a change in the conditional use permit for Lawnes Pointe m. A meeting with the Virginia Department of Transportation (VDOT)

Deputy Regional Administrator regarding a potential property swap adjacent to the Nansemond Treatment Plant and discussion of using VDOT facilities to support HRSD pipelines

n. Multiple conference calls related to annual planning for the US Water Alliance’s Value of Water Coalition and the 2016 Imagine a Day Without Water

o. A follow-up conference call with the director of the Coastal Policy Center at William and Mary to discuss the planned December forum on SWIFT

p. A meeting with the Secretary of Natural Resources to discuss the progress of SWIFT and potential funding requests of the General Assembly

q. The annual Virginia Association of Municipal Wastewater Agencies’ meeting with the Director of DEQ

r. A conference call with the association partners (Water Environment Federation, National Association of Clean Water Agencies, Water Eenvironment & Reuse Foundation and US Environmental Protection Agency) to discuss the Utility of the Future Today awards

I appreciate your continued support and guidance. It takes a very special group of citizen leaders to provide resources and support to an agency that is moving is so many directions at once. Thanks for your continued dedicated service to HRSD, the Hampton Roads region, the Commonwealth and the environment. I look forward to seeing you on Wednesday, September 21, 2016 in Virginia Beach. Respectfully submitted, Ted Henifin Ted Henifin, P.E. General Manager

TO: General Manager FROM: Director of Engineering SUBJECT: Engineering Monthly Report for August 2016 DATE: September 9, 2016 A. General

1. Capital Improvement Program (CIP) spending for the first month of Fiscal Year-2017 was $4.80 million, while the planned expenditure for the month was estimated at $13.10 million. The first month of the fiscal year is often lower than planned due to accounting adjustments for projects associated with the previous fiscal year. A Water Quality Improvement Fund grant reimbursement of $1.92 million was received for the Virginia Initiative Plant Nutrient Reduction Improvement project.

2. Due to a recent promotion, we have hired a new Geographic Information

System (GIS) Analyst to work in the Planning and Analysis Division. Robert Bohon was promoted from his previous role as a GIS/CAD Technician. This promotion highlights the quality of our current staff and our ability to train and promote internal staff to take on new and more advanced roles here at HRSD.

B. Asset Management Division

1. Staff has begun to use the newly hired firm of Pond & Company for Corrosion Protection Services. The first task order includes inspection services for recently completed cathodic protection repairs and a second task order is under review to revamp the existing Cathodic Protection Inspection and Repair Program.

2. Efforts continue to conduct an Asset Management Gap Analysis. Interviews

have been held with key staff for the Gap Analysis Team to assess HRSD’s current state of use and acceptance of asset management principles. Initial feedback was very positive from the consultant team as well as HRSD staff. The next step will involve a Visioning Workshop to set Asset Management goals for the organization. Once this is complete a roadmap outlining future steps required to develop a robust Asset Management Plan can be prepared as well as an Implementation Plan to set the priorities for this effort.

C. Design & Construction Divisions

1. Construction efforts continue on the Bridge Street Pump Station Replacement project located in Hampton adjacent to the Hampton Yacht Club. Excavation for the large and deep wet well continues and should be completed in September. Once this excavation work is complete the concrete base slab can be poured. The project has a very aggressive schedule with a goal for completion by February 2018.

2. Progress continues on the construction of the Virginia Initiative Plant

Nutrient Reduction Improvement project. Construction efforts are ongoing and the project is on schedule. The first part of the project (Group 1) involves the nutrient reduction portion of the project. Ongoing work includes air piping, mixing for the versatile bioreactor, support piles for yard piping, supplemental carbon (methanol) storage and feed system, secondary clarifier and electrical work needed for these facilities. The next milestone for this part of the project is the activation of the versatile bioreactor, which should occur by the end of 2016. The substantial completion date for this part of the project is March 2017. The second part of the project (Group 2) involves the construction of the plant peak capacity improvements. Ongoing work includes the foundation work for the preliminary treatment facility and equalization basin and construction for a new Raw Water Influent Pump Station. The substantial completion date for this part of the project is July 2018. This is HRSD’s largest single CIP project and the work will continue for the next three years. The project team is working well together and this effort is an example of good planning and communication.

D. Planning & Analysis Division

1. The Sustainable Water Initiative for Tomorrow (SWIFT) continues to be a significant focus for staff. A number of internal webinars have been recently held highlighting the various technical aspects of the project. Coordination between public outreach, the Pilot Project at the York River Plant and the upcoming Demonstration Project at the Nansemond Plant continues. A coordination meeting between the Water Research Foundation, the Metropolitan Water District of Southern California and HRSD was recently held to discuss issues of common concern. Well drilling continues at the York River Plant and the completed well at the Nansemond Plant is being readied for groundwater testing. The United States Geological Survey continues their work to drill the wells for the future extensometer and monitoring equipment.

2. A drill was recently conducted to test the HRSD Emergency Preparedness and Recovery Plan. This effort was held in late August and a fictitious Hurricane Jay was used in the exercise. The plan will be updated with lessons learned from this drill and shared with staff to improve our ability to address the next real event.

E. Strategic Planning Metrics Summary

1. Educational and Outreach Events: 0

2. Number of Community Partners: 0 3. Number of Research Partners: 1

a. Virginia Tech Sustainable Water Infrastructure Management (SWIM) Center

Item # Strategic Planning Measure Unit August 2016

M-1.4a Total Training Hours per Full Time Employee (39) - Current Month

Hours / #FTE 1.63

M-1.4b Total Training Hours per Full Time Employee (39) - Cumulative Fiscal Year-to-Date

Hours / #FTE

3.26

M-5.2 Educational and Outreach Events Number 0 M-5.3 Number of Community Partners Number 0 M-5.4 Number of Research Partners Number 1

Bruce W. Husselbee, P.E. Bruce W. Husselbee, P.E.

TO: General Manager FROM: Director of Finance SUBJECT: Monthly Report for August 2016 DATE: September 12, 2016 A. General

1. HRSD’s $50 million in Variable Rate Demand Bonds’ (VRDBs) interest rate

continues to climb as dealer inventories build ahead the money market reform implementation date (JP Morgan). The 10-year average for the SIFMA Index (benchmark for our VRDBs) is 0.84 percent and the index was at 0.56 percent at the end of August, the highest level since 2009. With the potential for a Federal Reserve hike in interest rates in December, we may see continued upward pressure on our VRDBs through the end of the year. On the investment side, the $44 million from our former Debt Service Reserve Fund we have invested in the Local Government Investment Pool (LGIP) is earning 0.54 percent and has been trending upward in direct correlation with our VRDB rates.

2. Revenues and expenses are generally in line with the adopted budget. Surcharge revenue is slightly higher than budget as it reflects Fiscal Year-2016 rates received in FY-17. We expect this line item to be more in line as the year progresses. Interest Income was reduced by a market adjustment in July that offset substantially all of the revenue for that month, but we expect to be in line with budget by year end. The General Reserve as a percent of Operations is slightly higher than the policy maximum, which is a result of higher revenues and lower expenses in FY-16. As the Comprehensive Annual Financial Report (CAFR) is finalized, staff will transfer any excess liquidity to fund capital projects.

3. The Virginia Resources Authority refunding for the Boat Harbor, Army Base and

Williamsburg Treatment Plants closed on August 31. The rate was reduced from 2.93 percent to 2.05 percent with no change in call dates, resulting in a Net Present Value savings of $3.66 million.

4. Staff is working on updating HRSD’s Financial Policy to ensure that the Amended

and Restated Subordinate Trust agreement and the policy are consistent. In addition, a new section on asset capitalization will be included and there may be minor changes recommended to the investment policy. An outline of the proposed changes will be presented to the Finance Committee at their October meeting.

B. Interim Financial Report 1. Operating Budget for the Period Ended August 31, 2016

Amended Budget Current YTD

Current YTD as % of

Budget (17% Budget to

Date)

Prior YTD as % of Prior

Year BudgetOperating Revenues

Wastewater $ 242,810,000 $ 41,853,863 17% 18%Surcharge 1,500,000 341,059 23% 21%Indirect Discharge 2,500,000 446,111 18% 19%Norfolk Sludge 90,000 10,070 11% 7%Fees 2,843,000 532,478 19% 15%Municipal Assistance 1,250,000 143,105 11% 24%Miscellaneous 750,000 30,889 4% 24%

Total Operating Revenue 251,743,000 43,357,575 17% 18%Non Operating Revenues

Facility Charge 5,850,000 787,435 13% 15%Interest Income 1,400,000 62,211 4% 8%Build America Bond Subsidy 2,400,000 - 0% 0%Other 840,000 16,038 2% 17%

Total Non Operating Revenue 10,490,000 865,684 8% 11%

Total Revenues 262,233,000 44,223,259 17% 18%Transfers from Reserves - - 0% 17%Total Revenues and Transfers $ 262,233,000 $ 44,223,259 17% 18%

Operating ExpensesPersonal Services $ 52,521,153 $ 7,985,781 15% 12%Fringe Benefits 24,277,464 3,885,795 16% 15%Materials & Supplies 7,025,374 1,089,076 16% 16%Transportation 1,443,719 208,349 14% 12%Utilities 12,110,491 1,405,456 12% 11%Chemical Purchases 9,210,500 1,050,423 11% 12%Contractual Services 28,242,335 4,229,174 15% 15%Major Repairs 7,424,907 763,916 10% 6%Capital Assets 1,454,400 134,135 9% 4%Miscellaneous Expense 2,314,359 365,201 16% 14%

Total Operating Expenses 146,024,702 21,117,306 14% 12%

Debt Service and TransfersDebt Service 62,947,000 13,073,877 21% 10%Cost of Issuance Bonds 900,000 - 0% 0%Transfer to CIP 52,101,298 8,683,550 17% 17%Transfer to Risk management 260,000 43,335 17% 17%Total Debt Service and Transfers 116,208,298 21,800,762 19% 12%

Total Expenses and Transfers $ 262,233,000 $ 42,918,068 16% 12%

2. Notes to Interim Financial Report The Interim Financial Report summarizes the results of HRSD’s operations on a basis of accounting that differs from generally accepted accounting principles. Revenues are recorded on an accrual basis whereby they are recognized when billed. Expenses are generally recorded on a cash basis. No provision is made for non-cash items such as depreciation and bad debt expense.

This interim report does not reflect financial activity for capital projects contained in HRSD’s Capital Improvement Program.

Transfers represent certain budgetary policy designations as follows:

a. Transfer to CIP: represents current period’s cash and investments that are

designated to partially fund HRSD’s capital improvement program.

b. Transfers to Reserves: represents the current period’s cash and investments that have been set aside to meet HRSD’s cash and investments policy objectives.

3. Reserves and Capital Resources (Cash and Investments Activity) for the Period

Ended August 31, 2016

GeneralRisk

Management Capital

Beginning of Period - July 1, 2016 155,644,784$ 2,740,508$ 124,405,496$

Add: Current Year Sources of Funds Cash Receipts 51,589,709 Capital Grants 1,919,817 Line of Credit - Bond Proceeds (includes interest) 88,462 Transfers In - 43,335 8,683,550 Sources of Funds 51,589,709 43,335 10,691,829

Total Funds Available 207,234,493$ 2,783,843$ 135,097,325$

Deduct: Current Year Uses of Funds Cash Disbursements 46,082,538 23,887,849 Transfers Out 8,726,885 - Uses of Funds 54,809,423 - 23,887,849

End of Period - August 31, 2016 152,425,070$ 2,783,843$ 111,209,476$

4. Capital Improvements Budget and Activity Summary for Active Projects the Period Ended August 31, 2016

5. Debt Management Overview

6. Financial Performance Metrics for the Period Ended August 31, 2016

Expenditures prior to

June 30, 2016Administration 40,961,073$ 35,489,810$ 105,117$ 35,594,927$ 3,297,470$ 2,068,676$ Army Base 156,834,000 117,268,663 20,327 117,288,990 3,275,679 36,269,331 Atlantic 91,488,147 37,540,037 321,799 37,861,836 7,489,842 46,136,469 Boat Harbor 83,396,192 33,305,878 (366,181) 32,939,697 13,567,793 36,888,702 Ches-Eliz 8,807,274 4,781,814 1,530 4,783,344 1,371,653 2,652,277 James River 74,881,504 36,167,539 (341,196) 35,826,343 13,701,344 25,353,817 Middle Peninsula 36,633,823 5,170,711 15,731 5,186,442 4,131,404 27,315,977 Nansemond 74,720,570 24,996,903 592,236 25,589,139 10,100,625 39,030,806 VIP 251,751,502 195,724,686 4,510,790 200,235,476 42,027,652 9,488,374 Williamsburg 10,512,783 7,646,446 19,900 7,666,346 2,265,693 580,744 York River 43,917,467 30,560,270 33,457 30,593,727 9,213,851 4,109,889 General 215,123,337 141,618,472 (113,736) 141,504,736 31,369,737 42,248,864

1,089,027,672$ 670,271,229$ 4,799,774$ 675,071,003$ 141,812,743$ 272,143,926$

Available Balance

Classification/ Treatment Service Area Budget

Year to Date FY 2017

ExpendituresTotal

ExpendituresOutstanding

Encumbrances

July 2016 Principal Payments

Net Refunding August 2016

Interest Payments

Fixed Rate Senior 444,616$ 135$ -$ 444,482$ 71$ Subordinate 311,422 3,713 - 307,709 4,251 Variable Rate Subordinate 50,000 - - 50,000 17 Line of Credit - - - - - Total 806,038$ 3,848$ -$ 802,191$ 4,339$

SIFMA Index HRSDSpread to

SIFMA Maximum 0.56% 0.58% 0.02% Average 0.11% 0.11% 0.00% Minimum 0.01% 0.01% 0.00% As of 8/26/16 0.56% 0.58% 0.02%

* Since October 20, 2011 HRSD has averaged 10 basis points on Variable Rate Debt

Debt Outstanding ($000's)

Series 2016 Variable Rate Interest Summary - Variable Rate Debt Benchmark (SIFMA) as of 8/26/2016

Current YTD Policy MinimumCapital % Cash Funded 40% 15%General Reserve as % of Operations 104% 75-100%Risk Management Reserve as % of Projected Claims Costs 25% 25%

7. Summary of Billed Consumption

C. Customer Care Center 1. Accounts Receivable Overview

Summary of Billed Consumption (ccf)

MonthCumulative 3 Year Average

Cumulative 2016 Actual

2017 Cumulative

Budget Estimate

2017 Cumulative Actual

From Budget

From 2016

From 3 Year

AverageJuly 4,902 4,819 4,784 4,776 -0.2% -0.9% -2.6%Aug 9,774 9,783 9,382 9,275 -1.1% -5.2% -5.1%Sept 14,337 14,290 13,595 - N/A N/A N/AOct 19,210 18,976 18,284 - N/A N/A N/ANov 23,362 23,486 22,761 - N/A N/A N/ADec 27,733 27,627 26,918 - N/A N/A N/AJan 31,997 31,844 31,009 - N/A N/A N/AFeb 36,132 35,960 34,750 - N/A N/A N/AMarch 40,991 40,706 40,257 - N/A N/A N/AApr 45,205 44,834 44,861 - N/A N/A N/AMay 49,487 49,022 48,879 - N/A N/A N/AJune 54,069 53,503 52,788 - N/A N/A N/A

% Difference

HRSD Juris TotalRoll ForwardJuly A/R Balance $ 23,960,859 $ 25,621,599 $ 49,582,458

Billings 21,446,563 24,532,297 45,978,860 Payments (23,512,094) (20,605,282) (44,117,376)Delinquency Activity Fees 172,775 - 172,775 Late Payment Charges 87,245 19,557 106,802 Adjustments 2,439,524 (2,927,589) (488,065)Balances Written Off (162,973) (204,498) (367,471)

August A/R Balance $ 24,431,899 $ 26,436,084 $ 50,867,983

2. Customer Care Center Statistics for the Period Ended August 31, 2016

Customer Interaction Statistics August July JuneCalls Answered within 3 minutes 68% 73% 70%Average Wait Time 2:40 2:22 2:30Calls Abandoned 2,038 1,680 2,029

D. Procurement

1. Procurement Statistics Current Period FYTD

Bid Cost Savings 2,400,783$ $ 2,506,657 Negotiated Cost Savings 5,231$ $ 6,573 Salvage Revenues 2,519$ $ 2,579 Corporate VISA Card - Estimated Rebate 21,853$ $ 41,178

Average Cycle Time (Receipt of Requisition to Award) Solicitation

Types Award

Amounts July-16 August-16

No. Days Count No. Days Count

RFQs < $10,000 19 22 11 12 $10,000 - $50,000 37 13 38 16

IFBs $50,000 -$100,000 67 3 70 2

IFBs/RFPs >$100,000 46 12 66 10

2. Some of the more formal technical competitive bid solicitations for the month included: a. Miscellaneous Metal Platform Improvements for the Army Base Treatment

Plant b. HRSD Operations Center Entry Plaza Streetscape Project c. Aqua Ammonia Contract for the Operations Department d. Miscellaneous Electrical Supplies Contract for the Electrical and Energy

Management Division

Requisition Volume Comparison

Requisition Amounts

7/1/2015 - 6/30/2016

Requisitions

8/1/2016 - 8/31/2016

Requisitions

Percent Comparison of Past Year

< $10,000 260 39 15% $10,000 – $50,000 274 31 11% $50,000 – $100,000 47 10 21% >$100,000 78 16 21%

Total 659 96 15%

E. Strategic Planning Metrics Summary

1. Educational and Outreach Events: 1 a. The Institute for Public Procurement (NIGP) Vendor Expo

2. Community Partners: 1

a. NIGP


M-1.4a Training During Work Hours Per Full Time Employee (100) – Current Month

Hours / #FTE 3.44

M-1.4b Total Training During Work Hours Per Full Time Employee (100) – Cumulative Fiscal Year-to-Date

Hours / #FTE 5.36

M-5.2 Educational and Outreach Events Number 1 M-5.3 Number of Community Partners Number 1 Wastewater Revenue Percentage of

budgeted 100%

General Reserves Percentage of Operating Budget less Depreciation

104%

Accounts Receivable (HRSD) Dollars $24,431,899 Aging Accounts Receivable Percentage of

receivables greater than 90 days

16%

3. Annual Metrics

Item # Strategic Planning Measure Unit FY-2016 M-2.4 Infrastructure Investment Percentage of Total

Cost of Infrastructure

*

M-4.3 Labor Cost/MGD Personal Services + Fringe Benefits/365/5-Year Average Daily Flow

*

M-4.4 Affordability 6.5 CCF Monthly Charge/Median Household Income1

*

M-4.5 Operating Cost/MGD Total Operating Expense /365/5-Year Average Daily Flow

*

Billed Flow Percentage of Total Treated

*

Senior Debt Coverage Cash Reserves/ Senior Annual Debt Service

*

Total Debt Coverage * * These metrics will be reported upon completion of the annual financial statements.

Respectfully, Jay A. Bernas Jay A. Bernas, P.E. Director of Finance

1 Median Household Income is based on the American Community Survey (US Census) for Hampton Roads

TO: General Manager FROM: Director of Information Technology (IT) SUBJECT: Information Technology Department Report for August 2016 DATE: September 8, 2016 A. General

1. Staff is currently designing a multi-tiered data storage platform which incorporates the use of both cloud-based and on-site elements. Once all business needs are defined, a scope of work and detailed specifications will be prepared and submitted to the Procurement Division for action.

2. Installation, configuration and testing of Oracle’s UPK product is complete. The UPK software provides online training and assistance for specific Oracle applications, but can also be used to publish training and assistance modules for other software applications.

3. As a next step in the migration to a virtual desktop computing environment,

a fully functional test lab is being established to facilitate evaluation and performance of various software platforms and applications.

4. As the Supervisory Control and Data Acquisition (SCADA) project begins

its transition from design and planning to implementation and installation, staff’s roles and responsibilities are steadily increasing. The first wave of network hardware and software installation and configuration are scheduled to begin next month.

5. As part of our ongoing security and support program, the antivirus and

automated software patching platforms were successfully upgraded.

B. Strategic Planning Metrics Summary


2. Number of Community Partners: 0


M-1.4a Training During Work Hours Per Full Time Employee (48) – Current Month

Total Training Hours / # FTE

.58

M-1.4b Total Training During Work Hours Per Full Time Employee (48) – Cumulative Fiscal Year-to-Date


1.86

M-5.2 Educational and Outreach Events Number 0

M-5.3 Number of Community Partners Number 0

Respectfully, Don Corrado

TO: General Manager FROM: Director of Operations SUBJECT: Operations Report for August 2016 DATE: September 2, 2016 A. Summary

1. The Central Middlesex Plant experienced one permit exception this month.

All other treatment plants met all Virginia Pollution Discharge Elimination System (VPDES) permit requirements.

2. HRSD experienced several air permit deviations, odor complaints and odor control exceptions. In many cases over the past several months, the air permit deviations were the result of power anomalies that caused the incinerator induced draft fans to shut down. In some cases, these anomalies were less than ½ second in duration or were at such low intensities that they would not be noticeable to the naked eye. Staff is evaluating whether installing certain devices can be effective to protect against some of these events.

3. All work centers devoted significant staff effort to a hurricane readiness drill.

B. Interceptor Systems

1. North Shore (NS) Interceptor Systems responded to 11 after-hours interceptor alarms.

Investigation determined that two interceptor complaints involved infrastructure not owned by HRSD. NS Operations personnel spent a significant number of hours on the pump and haul operations of Lawnes Point Treatment Plant and caustic injection of the York River force main system.

2. South Shore (SS) Interceptor Systems crews worked with HRSD’s Technical Services Division (TSD) to create a pilot air vent sampling program along the Lagomar Force Main in Virginia Beach. The program will report baseline data to help size odor control devices. HRSD is also working with the City of Virginia Beach to add nitrogen to their system. This is intended to decrease hydrogen sulfide and methane gas levels in

both the city’s collection system and HRSD’s interceptor system. The nitrogen addition will also assist the Atlantic Treatment Plant (ATP) with phosphorus uptake issues. SS Interceptor Systems crews conducted condition assessment of a concrete pipeline along Northampton Boulevard in Norfolk. Staff removed pipe samples and installed air vents in the sample locations. Chemical tests indicate that the pipeline is in good shape.

C. Major Treatment Plant Operations 1. Army Base Treatment Plant (ABTP) experienced five regulatory reportable

incidents (RRP) in sewage treatment this month. The plant reported a loss of chlorination on three occasions due to an interruption of wastewater flow (vapor lock) on the hypochlorite pumps. Odor control system B lost treatment twice this month. The first occurred when a contractor shut down the caustic feed without staff authorization. A second occurred when a fiberglass fan delaminated, damaging the odor control system. Operators responded and corrected all five incidents. Solids handling reported use of the bypass stack after a power anomaly shut down the induced draft fan. Equipment representatives inspected the malfunction of Emergency Generator 2. The representatives reported incorrect installation for the failed automatic oiler system. HRSD continues to work with the vendor to determine if the equipment warranty remains in effect given the nature of the malfunction. Staff received notice that the plant passed the MACT 129 testing for Incinerator #1.

2. ATP staff installed a mixer in the phosphorus release tank #1. In an effort to assist the Chesapeake-Elizabeth Treatment Plant (CETP) with its excess grease problem, ATP will be receiving more commercial trucks hauling grease that normally discharge at the CETP.

3. Boat Harbor Treatment Plant (BHTP) staff used the furnace bypass stack on two occasions during the month. The first use of the bypass stack occurred for less than one minute, when the furnaces’ non-potable water (NPW) pumps were incorrectly alternated for routine equipment rotation. The second occurrence was a result of a plant power outage and lasted for approximately 30 minutes.

In anticipation of the upcoming 2017 reduced bubble permit limits for nitrogen for the James River, BHTP staff continued efforts to improve and stabilize its nitrification and denitrification treatment processes. Staff observed a gradual loss in nitrification intermittently, but was able to recover by turning on the blower and adding air to the first cell on each aeration tank. A research intern was assigned to help troubleshoot and monitor the nitrification project at the plant. Research efforts will continue for several months. BHTP lost utility power August 26 and 27 due to a fault in the underground utility feeder to the plant transformer. The two generators operated as designed and provided power to the plant during this time. Staff worked with Dominion Virginia Power (DVP) to repair the feeder and re-establish utility power to the plant. As the plant returned to utility power, generator #1 failed when the rotor burned out. Depending on the extent of the damage, final repairs could take 30-120 days. Replacement parts must be specifically fabricated because of the age of the generator. As a result of the loss of one generator, staff performed an evaluation of the capability of generator #2 and determined that is has the ability to produce the output required to maintain most treatment processes during high flows. In the event of a power failure staff will shut down solids handling operations. Generally, BHTP can store thickened solids for 10 days.

4. CETP experienced nine MACT 129 deviations. Six deviations were from excess storm water in the plant’s influent from several brief but intense storms that depressed the alkalinity in the plant process water, which in turn caused low pH readings in the off gas scrubber water. In September, staff is planning to add caustic addition equipment to the scrubber that should assist with low pH readings in the future. Three deviations resulted from loss of plant utility power, which turned off the induced draft fan. Given the nature and age of the backup power generator at CETP, it generally can take several minutes before power is fully restored to the plant. Once restored, staff must manually restart much of the plant’s equipment including the induced draft fan. Staff replaced old diffusers with new fine bubble membrane diffusers in Aeration Tanks #1 and #3. The Virginia Department of Environmental Quality (DEQ) conducted an inspection for the new air permit requirements, including the new MACT 129 requirements.

5. James River Treatment Plant (JRTP) experienced three odor exceptions when a contractor, excavating next to the odor scrubbers, broke a non-potable water (NPW) pipeline.

JRTP staff rebuilt the NPW pump #2, replaced the belt on gravity belt thickener #2 and started coating of digester heat exchanger #2. Staff removed 50 cubic meters of anammox bacteria media from the ANITA-Mox tank to seed a new ANITA-Mox system for another wastewater utility in Egan, Illinois. Anammox bacteria are slow-growing bacteria that convert nitrite and ammonium to nitrogen gas. The JRTP ANITA-Mox system was seeded with anammox bacteria from Sweden almost three years ago. Staff replaced the 50 cubic meters of media removed with new clean media that will be seeded by bacteria on media still in the tank. On the JRTP Hydraulic Improvement Project, the contractor poured concrete for manhole 41A, formed and poured concrete on the centrate pump wet well, installed about 20 percent of return activated solids pipe and excavated for manhole 8A. The contractor, however, neglected to use shoring when excavating manhole 8A, resulting in significant erosion of soil under existing manhole #8 from groundwater. The contractor quickly ordered and poured concrete fill material under manhole #8 to prevent the structure from collapsing into the excavation. Corrective action was taken to prevent this situation from occurring again. All plant flow travels from primary treatment to secondary treatment through manhole #8. Nansemond Treatment Plant (NTP) staff completed site modifications for the Extensometer installation and monitoring wells for the Sustainable Water Initiative for Tomorrow (SWIFT) project. The United States Geological Survey (USGS) completed the first borehole down to bedrock at a depth of 2,037 feet. Piezometers (pressure sensors) will be installed in the borehole to measure pore pressure/groundwater height in the aquifer. Two additional boreholes will be installed later this month.

6. Virginia Initiative Plant (VIP) experienced nine MACT 129 deviations and

one process overflow.

Four deviation events that required the use of the bypass stack were the result of power disruptions during emergency generator testing. The power disruptions occurred when HRSD and contractors were testing the emergency generators to ensure proper communication with the electrical plant power grid during a power loss. The fifth event was a power anomaly resulting in a deviation. The sixth bypass stack event was a result of a utility power loss. The seventh event occurred when the ID fan shut down

due to a high amperage reading. The eighth event occurred during regular plant maintenance when staff opened an NPW valve that reduced the NPW line pressure causing the ID fan to shut down. To prevent premature shut down during routine maintenance in the future, staff installed a time delay in the DCS interlock system for the ID fan. The ninth deviation was due to low scrubber differential pressure. To compensate, staff increased the burn temperature to increase the differential pressure. The plant experienced one invalid Total hydrocarbon (THC) data event. The THC system would not calibrate due to a low nitrogen gas pressure. Staff replaced the nitrogen bottle and the problem was resolved. Over the weekend of August 20, a contractor left NPW running into a new process tank. The process tank filled and overflowed until contractors discovered and secured the valve Sunday morning. The spill resulted in the discharge of approximately 15,600 gallons, with 9,350 gallons recovered and 6,250 gallons lost onto the ground and wetland area to the south. DVP approved VIP’s generator system to operate in a closed transition mode with incoming power. This will allow the plant to switch to emergency generators without losing power to much of the plant’s equipment, most notably the raw influent pumps. DEQ conducted an inspection for the new air permit requirements, including the new MACT 129 requirements.

7. Williamsburg Treatment Plant (WBTP) staff rebuilt the main gear drive on one of the primary clarifiers.

Staff replaced the variable frequency drive, cabinet and vibration monitoring system for the Induced Draft (ID) fan on the out-of-service incinerator. This equipment had been in service for 17 years and was approaching the end of its expected service life.

8. York River Treatment Plant (YRTP) staff continues to support the SWIFT pilot testing. The drilling contractor for the injection well completed the first boring to bedrock at around 2000 feet. The JR-YR-WB Maintenance Specialist conducted a scheduled quarterly inventory audit and noted no issues.

D. Small Communities Division (SCD) 1. SCD experienced one permit exception this month:

The Central Middlesex Plant experienced one permit exception on August 6, 2016 due to a Dissolved Oxygen (DO) value of 6.0 mg/l concentration on Final Effluent (FNE), which is below the permit requirement minimum value of 6.3 mg/l. This occurred due to an operator taking the FNE DO measurement when there was no flow in the effluent channel and resulted in a Regulatory Reportable Incident. The operator received refresher training on the necessity of flow in the effluent channel to take a proper DO reading.

2. SCD Treatment a. West Point Treatment Plant (WPTP)

The new chemical building construction continues with final installation of instrumentation and power conduit and new chemical feed pumps.

b. Urbanna Treatment Plant (UBTP)

The settleability upgrade project is moving forward with a Certificate to Operate request to DEQ. The Urbanna inDENSE® trial continues to show good settleability (TSS) results within the treatment chain. Staff implemented the use of a vacuum suction pump for removal of foam, drastically improving turbidity levels.

c. King William Treatment Plant (KWTP)

The new MEMCOR® hollow fiber membranes are performing well.

3. SCD Collections a. West Point System

Staff repaired a sewer line damaged when a power line was bored through it. Staff received a service call from a resident concerning a sinkhole in the front yard. Staff discovered that a plug on the end of the collector was detached and excavated and repaired it. Staff discovered a potable water hookup to the sewer system that was leaking approximately 8-15 thousand gallons per day into the collection system. Through coordination with the City of West Point, staff removed the potable line and capped the outside of the sanitary system.

b. King William System

Staff determined that additional bacteria sampling should occur on Sundays to help prevent future permit exceptions from occurring during unknown/unscheduled shutdowns of the Nestle Purina facility.

c. Urbanna System The Rappahannock Pump Station rehabilitation was completed and the station was put back in service.

d. Mathews System Phase IV of the system valve replacement project is progressing well with 18 of 28 pits installed.

E. Support Systems

1. Generator #2 at Army Base Treatment Plant (ABTP) remains out of

service. Staff continues to work with the contractor on whether the repairs will be covered by warranty.

2. Automotive and Electrical Staff performed generator load bank tests at the

NS and SS Operations Complexes as well as the Big Bethel, Ferebee Avenue, Greensprings, Kempsville, Laskin Road and Richmond Crescent pump stations. All generators operated as designed and were returned to service.

3. The SS Carpenters continue to work on the renovations in the former

training center as part of the TSD staff relocation project. The SS Carpenters completed the Lead Operator office at ATP.

4. The contractor has completed the coating of the roof system on the #1 and

#2 digesters at NTP as part of its restoration project. 5. The Machine Shop rebuilt pump #3 at Shipps Corner Pump Station; made

drive shafts, connector shafts and end shafts for ABTP’s Foreign Biosolids (FBS) hopper; fabricated 16 scum arms; and repaired a clarifier pinion shaft for WBTP. The Machine Shop also modified 198 meter valve covers for the Customer Care Center (CCC) and completed a spool cable, pump-out tank handles and the repair of a boat trailer for TSD.

F. Electrical and Energy Management

1. Staff continues to support construction work for the VIP project upgrade.

The remaining new main switchgear (side B) met the technical

requirements of the DVP interconnect agreement and can now seamlessly connect side A and/or B with the DVP electrical grid.

2. Project work at ABTP continues. Staff coordinated and assisted with

shutdowns for feeder cable insulation and variable frequency drive (VFD) testing in August. The team also coordinated and assisted Eaton with low voltage switchgear “certification of proper installation” inspections.

3. Staff developed and distributed a comprehensive skills-based work process

book to document each employee’s progress in cross training associated with the combination of the electrical and instrumentation trades.

G. Water Technology and Research

Staff continues to evaluate the benefits and consequences of ammonia-based aeration control (ABAC) at NTP. The benefits of this control approach are apparent with respect to significant decreases in the demand for methanol, sodium hypochlorite and blower energy; however, these cost savings have not been explicitly quantified as compared to conventional dissolved oxygen control (CDOC). During summer and fall months of 2016, a careful study is being conducted comparing periods of ABAC and CDOC, holding as many other variables constant as possible and switching back and forth between these control modes in several week-long test periods. Research objectives include the following: • Explicitly quantify the amount of methanol savings • Evaluate the extent of simultaneous nitrification/denitrification (SND) as a

function of process dissolved oxygen (DO) in ABAC • Evaluate the benefit of continuous chloramination in terms of sodium

hypochlorite and aqueous ammonia addition • Evaluate aeration blower energy savings (though this is limited by the

ability to adequately turn down a single operating blower to meet the decreased oxygen demand during ABAC)

• Evaluate the potential for mixed liquor setting problems during ABAC as a result of low DO operation and proliferation of filamentous bacteria

• Evaluate the potential for ABAC to provide a benefit for biological phosphorus removal (bioP) performance as a result of preferential selection for beneficial polyphosphorus accumulating organisms (PAO) over harmful glycogen accumulating organisms (GAO).

• Evaluate the potential for low DO operation in ABAC to enhance the activity of denitrifying PAO (dPAO), which are a benefit to nutrient removal because wastewater carbon is used for both nitrogen and phosphorus removal.

H. Strategic Measurement Data

1. Education and Outreach Events: 5 a. Williamsburg Treatment Plant tour for West Point High School

summer science program b. Charles Bott participated in the Loudoun Water Broad Run Plant

Master Planning Effort c. Charles Bott hosted a group of collaborators visiting from the

University of Michigan d. Cooperating Hampton Roads Organization for Minorities in

Engineering (CHROME) meeting on August 11 to plan CHROME Sponsor Launch 2016 to be held in October

e. Boat Harbor Treatment Plant tour for Newport News Juvenile Services

2. Community Partners: 6 a. West Point High School b. Virginia Institute of Marine Science c. Old Dominion University d. City of Newport News Juvenile Services e. Chesapeake Bay Foundation – oyster restoration f. CHROME

Item # Strategic Planning Measure Unit August 2016 M-1.4a Training During Work Hours per

Full Time Employee (FTE) (507) – Current Month-

Hours / FTE 2.51

M-1.4b Total Training During Work Hours per FTE (507) – Cumulative Year-to-Date

Hours / FTE 5.80

M-2.3a Planned Maintenance Total Maintenance Hours

Total Recorded Maintenance Labor

Hours

27,833.25

M-2.3b Planned Maintenance – Preventive and Condition Based

% of Total Maintenance Hours

46

M-2.3c Planned Maintenance -Corrective Maintenance

% of Total Maintenance Hours

22.83

M-2.3d Planned Maintenance-Projects % of Total Maintenance Hours

31.17

M- 4.1a Energy Use: Treatment *reported for July 2016

kWh/MG 2,159

Item # Strategic Planning Measure Unit August 2016 M-4.1b Energy Use: Pump Stations

*reported for July 2016 kWh/MG 165

M-4.1c Energy Use: Office Building *reported for July 2016

kWh/MG 119

M-5.2 Educational and Outreach Events

Number 5

M-5.3 Number of Community Partners Number 6

Respectfully submitted, Steve de Mik

Director of Operations

TO: General Manager FROM: Special Assistant for Compliance Assurance SUBJECT: Monthly Report for August 2016 DATE: September 6, 2016 A. General HRSD continues to implement the hybrid regionalized approach to the Regional

Wet Weather Management Plan (RWWMP) with the next major Consent Decree milestone, the submittal of the final RWWMP, scheduled for October 1, 2017.

B. Submittals Completed in August 2016 – The Alternatives Analysis Report (AAR),

due to the U.S. Environmental Protection Agency (EPA) and the Virginia Department of Environmental Quality (DEQ) on August 1, was submitted. This document provides HRSD’s selected Level of Service and implementation schedule range.

C. Activities

1. Phase 6 – Rehabilitation Plan. Construction was substantially completed

for the gravity sewer repair work at 13th Street (SR-052) in West Point. Punch list items remain. Additional funding has been provided for the Sewer Repairs and On Call Services contract, and work has resumed on Fiscal Year-2017 work orders.

2. Phase 7 – Regional Wet Weather Management Plan (RWWMP).

The AAR was submitted to the regulatory agencies on July 29. A meeting with staff was held on August 30 to review the AAR. Initial steps for the optimization of the AAR solutions and the selected level of service are underway with kickoff meetings held on August 11 and 19. A meeting to review system valving was held with South Shore Operations on August 30. Updates to the Regional Hydraulic Model and the Locality Hydraulic Models were ongoing during August.

Staff met on August 1 to discuss overall lessons learned from the three rehabilitation pilot projects. These pilots generally validate the planning level assumptions for Infiltration and Inflow (I/I) reduction assumptions and costs.

3. Phase 8 – EPA Consent Decree Services. HRSD continues to share

information with the Localities through the regional SharePoint site and flow, pressure and rainfall data portal. The AAR was made available through the HRSD Live website. Individual consultation meetings with all but two of the Localities were held during August to review Locality-specific solutions for the selected Level of Service in the AAR. The final two meetings are scheduled for the first week of September.

4. Phase 9 – Supplemental Services. A monthly compliance program meeting was held on August 3 to review overall progress.

Management, Operations and Maintenance (MOM) Program elements are ongoing including the Hydrogen Sulfide (H2S) Monitoring Program and implementation of a Business Intelligence (BI) system for the Small Communities Division (SCD). This includes a MOM update manual guidance document for use on the next major update expected in 2018. The Flow, Pressure and Rainfall (FPR) monitoring program continued in August with data collection and analysis is being performed as part of the MOM Program.

Field work for Work Order FMP2 037 Pocahontas began August 29. Field work for Work Order FMP2 038 Southern Boulevard under Phase II of the Force Main Condition Assessment (FMCA) Program continued in August. No field work was scheduled for the Gravity Sewer Inspection Phase II Program in August.

D. Next Submittals 1. Quarterly Briefing with the EPA and DEQ, scheduled for September 20,

2016.

2. FY-2016 Annual Report – November 1, 2016 E. Program Budget Status

The overall program budget is $131,087,042, excluding the Master Metering Program. A summary of appropriations and expenses is attached.

F. Strategic Planning Metrics Summary


2. Number of Community Partners: 0

Item # Strategic Planning Measure Unit August 2016 M-1.4a Total Training Hours Per Full Time

Employee (1) – Current Month Total Training Hours / # FTE

0

M-1.4b Total Training Hours Per Full Time Employee (1) – Cumulative Fiscal Year to Date


0

M-5.2 Educational and Outreach Events Number 0 M-5.3 Number of Community Partners Number 0

Respectfully submitted, Phil Hubbard, P.E. Attachments: Consent Order State & EPA Expenditures

Consent Order State & EPA Expenditures

Total August 2016 AvailableAppropriation Obligations Balance

Regional Consent Order and Other ConsentOrder Requirements

Regional Hydraulic Model $104,248,712 $106,562,271 -$2,313,559

Manhole Rehab/Replacement Phase I & North Shore Siphon Chamber $2,834,000 $276,783 $2,557,217

Pump Station Wet Well Rehabilitation Phase I $2,890,000 $317,920 $2,572,080

Locality System Monitoring and Condition Assessment $21,114,330 $20,767,201 $347,129Subtotal - In progress $131,087,042 $127,924,176 $3,162,866

Completed Work

Regional Consent Order and Other Consent Order Requirements (Included in subtotal above)

Master Metering Program III $2,005,140

Master Metering Program IV $13,628,635

Total $143,557,950

TO: General Manager

FROM: Director of Talent Management

SUBJECT: Monthly Report for August 2016

DATE: September 8, 2016

A. Human Resources

1. Recruitment a. Summary

New Recruitment Campaigns 8 Job Offers Accepted Internal Selections 8

External Selections 12 Internal Applications 38 External Applications 216 Average Days to Fill Position 55

b. Hampton Roads Public Works Academy (HRPWA) students completed internships at eight work centers. Out of nine interns, two interns were hired into full-time positions.

c. HR Specialists met with Virginia Tech’s Career Services Associate

Director of Employer Relations to discuss recruitment opportunities.

2. Enterprise Resource Planning (ERP)

a. HRSD worked on the following with Emtec, the new managed services vendor: (1) On-site onboarding, kickoff and individual meetings to discuss service issues including helpdesk ticketing, system set-up and outstanding service issues (2) Several conference calls to address benefit module issues and reconfiguration

b. Several updates were made to the Learning Management Module.

c. Staff worked with Information Technology (IT) on the following: (1) Updates to the P&A Group interface for COBRA notifications (2) Development of an HR appraisal checklist report (3) Updates to the Optima wellness interface

d. The remaining Business Intelligence reports developed by AST Managed Services were delivered and approved.

3. Benefits and Compensation

a. HRSD’s Benefits Consultant presented Fiscal Year-2016 Medical Review and Dashboard to Finance and HR staff. The presentation provided information on medical claims, costs and health management trends and potential gaps in care.

b. ICMA’s Retirement Specialist conducted on-site group and individual information meetings on Supplemental Retirement Plans.

c. The Employee Assistance Program’s quarterly utilization meeting was held.

d. Several upcoming Cigna pharmacy formulary changes effective in January 2017 were evaluated. e. Staff participated in International Public Management Association’s 2016 Benefits Survey Results webinar.

4. Wellness

a. Participation Activities

Year 3 Participation Activities

Unit August

2016 Year to Date (March 2016–

February 2017) Biometric Screenings Number 4 15 Preventive Health Exams Number 14 55 Preventive Health Assessments

Number 52 272

Coaching Calls Number 0 3 On-Line Health Improvement Programs

Number 206 1095

Year 3 Participation Activities

Unit August

2016 Year to Date (March 2016–

February 2017) Web-MD Online Health Tracking

Number 175 927

Challenges Completed Number 0 1 Fit-Bit Promotion Number 8 51

c. The newly formed Wellness Committee kick-off meeting was held.

Members, representing work centers throughout HRSD, will help to continue building a culture of wellness, identify participant success stories, gather employee feedback and assist with improvements.

d. The Wellness Specialist visited four treatment plants and presented a

health education program, “10 Tips for Packing a Healthy Lunch.”

5. Workers Compensation Two new cases were opened with 11 cases remaining active.

6. Employee Relations

a. Human Resources (HR) staff continued to partner and meet with work center supervisors to provide guidance. Input and clarification was provided on Operations’ shift schedules and timekeeping, wastewater license exam fees and preparatory classes. An HR Specialist participated on interview panels for Operations.

b. The Director of Operations, Chief of Electrical and Energy

Management, Talent Management staff and Electrical and Instrumentation (E&I) employees met to communicate final reorganization steps. Information provided included new E&I Specialist and Supervisor position descriptions, job expectations, training requirements and the new apprenticeship trade.

7. General

a. Talent Management cross-functional workgroups continued to meet and work on following:

(1) The Training Delivery team presented results of an organization

wide survey to Talent Management staff. The survey assessed familiarity with Talent Management training programs and delivery method preferences.

(2) The Cross Training team continued to evaluate results of a questionnaire to identify inter-divisional cross training interests.

b. Staff attended the following training: (1) InfoTech Advanced Excel Training (2) Department of Homeland Security’s I-9 Verification Forms c. SC&H Group, HRSD’s Internal Auditors, conducted several

information gathering meetings to document Employee Health Benefits administrative processes.

d. Staff participated in the following: (1) Hurricane Jay Drill (2) Asset Management Gap Analysis Overview meeting and

interviews

B. Organization Development and Training

1. Training a. The 2016 -2017 training calendar was completed with the addition

of three new classes, “Building Positive Working Relationships,” “Virtual Coaching” and “Conflict Management.” Several courses will be delivered using an e-Learning environment.

b. Results of 360 degree profiles were shared with participants and supervisors along with information to facilitate coaching and individual development plans.

c. The HRSD University team continued to work to evaluate various

training delivery software tools and approaches to develop an e-learning environment. The team participated in an online demonstration of software tools.

d. Meetings were held with Directors to gather feedback and review

department orientation practices for development of Phase II of the New Employee Orientation Program.

2. Apprenticeship Program a. Final preparations were completed for the 2016-17 Apprenticeship

year. Twenty-seven new apprentices beginning the program have been offered a three-year program option.

b. Staff participated in several meetings to implement the new E&I trade. A new On-the-Job Training (OJT) book was finalized and the E&I trade was approved and registered by the Department of Labor.

c. Apprenticeship information was entered into the ERP Learning Management module to utilize system functionality for the Apprenticeship Program.

3. Quality

a. Facilitators worked with the Customer Care Center to begin annual

work center meetings in August to accommodate an upcoming system upgrade. New strategies were implemented to make work center planning days more engaging and informative, including incorporation of Specific, Measureable, Attainable, Realistic and Time Bound (SMART) goals.

b. Preparations were made for Leadership and Management Program (LAMP) training to be conducted in September.

C. Safety

1. Mishaps and Work Related Injuries

a. HRSD-Wide Injury Mishap Status to Date (OSHA Recordable)

2015 2016

Mishaps 49 26

Lost Time Mishaps 11 5

Numbers subject to change pending HR review of each case.

b. MOM Program Year Performance Measure Work Related Injuries

August 2016 Injuries For Operations

August 2016 Injuries for

Other HRSD Departments

Total Lost Time Injuries

Since July 2016

Total HRSD Injuries Since

July 2016

0 1 1 5

c. Follow-up investigations were performed on one work related injury

and five auto accidents.

2. HRSD Safety Training

Strategic Planning Measure Unit August 2016

Total Safety Training Hours per Full Time Employee (814) All HRSD – August 2016

308Hours / 814 FTE

0.38

Total Safety Training Hours Per Full Time Employee (814) – Cumulative July 2016

896.85 Hours / 814 FTE

1.10

3. In addition to regularly scheduled safety training and medical monitoring,

the following sessions were conducted: a. Six external briefings for contractors working at HRSD treatment

plants and pump stations

b. Two Forklift training classes for North Shore Interceptor employees c. Aerial lift training for York River and Boat Harbor Treatment Plants

d. Virginia Department of Transportation (VDOT) Work Zone Basic

Traffic Control training for North Shore Interceptor System employees

4. Safety Inspections, Testing and Monitoring a. Weekly on-site inspections of the following construction sites:

(1) Virginia Initiative Plant (VIP) (2) Norchester Pump Station

(3) York River Treatment Plant (4) James River Treatment Plant b. Quarterly safety inspections of the following work centers:

(1) Air Rail Avenue Complex buildings (2) Central Environmental Lab (3) South Shore P3 (4) Technical Services (5) VIP (6) York River Treatment Plant

c. Monitoring and testing for the following: (1) Monthly hood velocity tests on Central Environmental

Laboratory (CEL) and Technical Services lab hoods (2) Annual air-vent sampling of North Shore and South Shore

Interceptor System force mains (3) Quarterly radiation testing of Army Base, Boat Harbor, VIP,

Chesapeake-Elizabeth, and Williamsburg Treatment Plants incinerator ash

d. The following safety walk-throughs or inspections were conducted:

(1) Escorted Newport News Fire Marshall on inspection and re-inspection of the James River Treatment Plant

e. Competed two hot work permits for Langley Circle and State Street

pump station contractors.

5. Safety Programs

a. Employee records were updated in the new Audiometric and Pulmonary Function Testing software in order to import historical data.

b. Work center audiometric testing schedules were developed.

c. Updates to Chemical Hygiene Plan training program were completed.

d. Automatic switch transfer labeling was reviewed with E&I Managers.

e. The HRSD Safety Team worked on revisions to Safety Innovation Recognition guidelines based on QST feedback.

f. The following was performed for the confined space program:

(1) Update to a confined space permit for Coliseum Pump Station (2) Update to a confined space permit for VIP (3) Evaluated confined space procedures for Atlantic Treatment

Plant.

g. A Hot Work Permit was completed for a State Street Pump Station contractor.

h. The Safety Coordinator continued to maintain the Operations Safety Accident Tracking report.

6. General a. Staff attended the following training:

(1) Chesapeake Acoustic Solutions Audiometric/Hearing

Conservation Certification training (2) Applied Labs Annual Asbestos Inspector and Management

Planner Refresher training b. Staff participated in the following HRSD activities: (1) Automation team tour of Nansemond Treatment Plant (2) Quarterly MOM Steering Committee meeting (3) Hurricane “Jay” Drill

D. Monthly Strategic Planning Metrics Summary

1. Education and Outreach Events: 2

a. Level I - IV Safety Course Instructor for Virginia Tech’s Wastewater Short School

b. Hampton Roads Public Works Academy’s (HRPWA) Subject Matter Expert Brunch


a. HRPWA

Item # Strategic Planning Measure Unit August 2016 M-1.1a Employee Turnover Rate (Total) Percentage 1.55 M-1.1b Employee Turnover due to

Service Retirements Percentage 0.00

M-1.4a Total Training Hours Per Full

Time Employee (15) – Current Month

Total Training Hours/ FTE

4.53

M-1.4b Total Training Hours Per FTE (15) Cumulative Fiscal Year-to-Date

Total Training Hours/ FTE

10.30

M-5.2 Educational and Outreach Events

Number 2

M-5.3 Community Partners Number 1 Respectfully submitted, Paula A. Hogg Director of Talent Management

TO: General Manager FROM: Director of Water Quality (WQ) SUBJECT: Monthly Report for August 2016 DATE: September 9, 2016 A. General

1. No Civil Penalties were assessed this month.

2. The Director presented to the Virginia Department of Environmental Quality

(DEQ) James River Chlorophyll Regulatory Advisory Group, on behalf of HRSD and the James River Basin members of the Virginia Association of Municipal Wastewater Agencies (VAMWA), a wastewater treatment facility perspective regarding Virginia’s approach to developing new water quality criteria to guide management actions regarding impacts associated with chlorophyll. These criteria will be used to determine if HRSD and/or other wastewater treatment facilities must reduce their respective nutrient discharges in the near future. Nutrients sometimes are associated with algal population and community dynamics; these population and community dynamics are often measured as a function of chlorophyll present within algal cells. The DEQ funded a three-year effort to review available information and generate new data to determine the appropriate water quality criteria and expects to present its proposal to the State Water Control Board in the coming months. HRSD’s and VAMWA’s perspective is that the criteria must align with the biological state of the river independent of other factors like suspended sediment and legacy pollutants (PCBs, or polychlorinated biphenyls). The James River, when compared to other Virginia rivers, is superior in its various fisheries. This suggests that current nutrient loads to the river are not impacting living resources like shellfish and finfish and further reductions in nutrient loads to the river, based on potential for water quality impacts associated with chlorophyll, will not provide a benefit commensurate with the cost of reducing nutrient loads.

B. Quality Improvement and Strategic Team Activities

1. The Sustainability Advocacy Group (SAG) reports continued work on HRSD’s One Thing Challenge in the month of August. “HRSD’s second “One Thing” Challenge is currently in the works and focuses on Material Reuse. The challenge has only about two months left and the purpose of this year’s challenge is to find value in post-consumer materials that would otherwise go into a landfill or be recycled; the former being the most

problematic. The SAG will be proposing five sustainability metrics to the QST in October that will be evaluated annually. They focus on the recovery of recycled material, nutrients, water, energy and monitoring of an HRSD-wide carbon footprint. In addition to the HRSD-wide carbon footprint, the SAG is working on calculating the carbon footprint of each work center to make this metric more actionable. We have also been provided ideas from work centers to recycle the fresh packs for the coffee machines and hard hats once they are expired and are working on putting these actions in place across HRSD.

2. The Pretreatment and Pollution Prevention (P3) Technology Team reported

no activity for the month of August. 3. The Pretreatment Information Management System (PIMS) Team reported

that in August work on the new internet based Publicly Owned Treatment Works Administration and Compliance System (iPACS) and the Field Assistant Service Tracking (FAST) application continued. Testing of the two-way interface between iPACS and the Customer Care & Billing (CC&B) system is ongoing and additional testing is planned in September. Go-Live for iPACS/FAST is on schedule for October 31.

4. The Technical Services Division (TSD) Technology Team and HRSD’s

Information Technology Department have finalized the agreement to perform a product pilot to evaluate a digital transformation forms program. This new technology allows users to digitally capture data in the field with immediate validation. Testing will be complete in early September and an evaluation of the product will be made later in the month.

5. The Water Quality (WQ) Communication Team continues to monitor and

measure inter-divisional communication issues within the WQ Department. Quarterly reports will be distributed to the WQ Quality Steering Team (QST).

C. Municipal Assistance

HRSD provided sampling and analytical services to Northampton County to support their groundwater monitoring program.

D. Strategic Planning Metrics Summary

1. Educational and Outreach Events: 5 a. Staff presented in a Water Environmental Federation (WEF)

Webcast.

b. Staff served as event support and score auditor for the Chesapeake Water Environmental Association regional operations challenge.

c. Staff provided a tour of the York River Treatment Plant ,SWIFT Pilot, the Central Environmental Laboratory (CEL) and the TSD Special Projects laboratory to MIT Environmental Policy Students.

d. Staff presented a coliphage webinar to WEF and members of the Association of Public Health Laboratories.

e. Staff represented HRSD at a Greater Hilton Area Civic League meeting in Newport News.


a. P3 participated in an askHRgreen.org (Fats, Oils, Grease) FOG Committee meeting.

b. TSD and the Laboratory Division assisted the City of Newport News with a microbial source tracking project at Hilton Beach.

c. TSD and the Laboratory Division assisted the City of Virginia Beach in its bacteria/nutrient resuspension study in Mill Dam Creek/Broad Bay watershed.

d. TSD and the Laboratory Division assisted the City of Suffolk in a nutrient/bacteria study for Shingle Creek.

e. TSD and the Laboratory Division provided Chlorophyll Monitoring and Assessment Program support to the DEQ in monitoring the James River.

f. TSD staff assisted the City of Chesapeake and the Elizabeth River Project with bacterial monitoring and fecal source identification in the Indian River.

g. TSD staff assisted the City of Norfolk with a microbial source tracking project at Knitting Mill Creek.

3. Industrial Waste Related System Issues: 0

4. Odor Complaint: 0


M-1.4a Training During Work Hours Per Full Time Employee (105) (Current Month)

Total Hours / # FTE 2.82

M-1.4b Total Training During Work Hours Per Full Time Employee (105) (Cumulative Fiscal Year-to-Date)

Total Hours / # FTE 9.28


M-2.5 North Shore/South Shore Capacity Related Overflows

# within Level of Service

0

M-3.1 Permit Compliance # of Exceedances: # of Permitted Parameters

1:8,749

M-3.2 Odor Complaints # 0

M-3.4 Pollutant Removal Total Pounds Removed

16,738,122

M-3.5 Pollutant Discharge % Pounds Discharged/Pounds Permitted

20%

M-5.2 Educational and Outreach Events # 5

M-5.3 Community Partners # 7

Average Daily Flow Total MGD for all Treatment Plants

144.83

Industrial Waste Related System Issues

# 0

5. Annual Metrics

Item # Strategic Planning Measure Unit FY-2016 M-3.3 Carbon Footprint Tons per MG 1.45 M-4.2 R & D Budget Percentage of Total

Revenue 0.8%

M-5.4 Value of Research Number 178% M-5.5 Number of Research Partners Number 35 Rolling 5-Year Average Daily

Flow MGD 153.09

Rainfall reported at Norfolk International Airport

Number 54.14”

Respectfully submitted, James Pletl, PhD Director of Water Quality

Hampton Roads Sanitation District Internal Audit Status August 31, 2016

Page 1 of 1

Engagement Background Our team is continuing to progress with the planned internal audit assignments. We completed the Biosolids Program review during the month of August. The draft report was issued to management and discussions to finalize the report took place on August 17th. We continued work on the Human Resources Benefits audit and finalized the Planning phase. The scope of the audit will center on the internal controls and processes related to the management of the employee (active and retired) health insurance benefit programs. Our audit process consists of three phases:

• Planning: Reviewing relevant background information, gaining an understanding of, and documenting the key areas to be reviewed

• Fieldwork: Testing and examining pertinent documents, reports, transactions, and information to confirm the strength of the processes and related controls

• Reporting: Discussing the conclusions of our audit work and ultimately issuing a written report with suggestions being provided (if identified)

Project Accomplishments During the month of August, our team performed the following:

• Biosolids Program Review: o Performed additional data analysis to ensure accurate presentation within the report o Discussed the results with process owners and updated the report accordingly o Delivered the final report for acceptance and development of the management action plans

• Human Resources Benefits Process Review: o Met with process owners to perform discussions of key procedures o Drafted process flowcharts along with a risk and control matrix o Prepared the audit program

Projected Tasks for September During the month of September, our team will:

• Human Resources Benefit Process Review: o Conduct audit testing o Begin documenting findings and recommendations

• Internal Audit #4 for 2016: o Confirm the next area of review with HRSD management. Tentatively the next area for review

will be the Inventory process o Conduct a kick-off meeting with process owners o Deliver the initial documentation request list

Engagement Notes/Delays The finalization and delivery of the Biosolids report was delayed as additional information was being retrieved and provided by the process owners. No additional delays were experienced. Future Activity/Engagements We anticipate moving on to the next internal audit project in October.

Strategic Planning Metrics Summary

Annual MetricsItem Strategic Planning Measure Unit Target FY-10 FY-11 FY-12 FY-13 FY-14 FY-15 FY-16M-1.1a Employee Turnover Rate (Total) Percentage < 8% 5.63% 4.09% 6.64% 7.62% 8.22% 9.97% 6.75%M-1.1b Employee Turnover Rate within Probationary Period 0% 2.22% 8.16% 14.58% 9.68% 0.66% 0.13%M-1.2 Internal Employee Promotion Eligible Percentage 100% 59% 80% 69.57% 71.43% 64.00% 69.00%M-1.3 Average Time to Fill a Position Calendar Days < 30 70 60 52 43.76 51 56M-1.4 Training Hours per Employee - cumulative fiscal year-to-date Hours > 40 30.0 43.8 37.5 35.9 42.8 49.0M-1.5a Safety OSHA 300 Incidence Rate Total Cases # per 100 Employees < 3.5 6.57 6.15 5.8 11.2 5.07 3.87 7M-1.5b Safety OSHA 300 Incidence Rate Cases with Days Away # per 100 Employees < 1.1 0.74 1.13 1.33 0.96 1.4 0.82 1.9M-1.5c Safety OSHA 300 Incidence Rate Cases with Restriction, etc. # per 100 Employees < 0.8 3.72 4.27 2.55 4.5 2 1.76 3.6M-2.1 CIP Delivery - Budget Percentage 113% 96% 124% 149% 160% 151%M-2.2 CIP Delivery - Schedule Percentage 169% 169% 161% 150% 190% 172%

M-2.3a Total Maintenance Hours Total Available Mtc Labor Hours Monthly Avg 16,495 22,347 27,615 30,863 35,431 34,168 M-2.3b Planned Maintenance Percentage of Total Mtc Hours Monthly Avg 20% 27% 70% 73% 48% 41%M-2.3c Corrective Maintenance Percentage of Total Mtc Hours Monthly Avg 63% 51% 12% 10% 18% 25%M-2.3d Projects Percentage of Total Mtc Hours Monthly Avg 18% 22% 20% 18% 32% 34%M-2.4 Infrastructure Investment Percentage of Total Cost of Infrastructure 2% 8.18% 6% 6% 4% 7% *M-3.3 Carbon Footprint Tons per MG Annual Total 1.61 1.57 1.47 1.46 1.44 1.45M-3.6 Alternate Energy Total KWH 0 0 0 5,911,289 6,123,399 6,555,096M-4.1a Energy Use: Treatment kWh/MG Monthly Avg 2,473 2,571 2,229 2,189 2,176 2205M-4.1b Energy Use: Pump Stations kWh/MG Monthly Avg 197 173 152 159 168 163M-4.1c Energy Use: Office Buildings kWh/MG Monthly Avg 84 77 102 96 104 97M-4.2 R&D Budget Percentage of Total Revenue > 0.5% 1.0% 1.4% 1.0% 1.3% 1.0% 0.8%

M-4.3 Total Labor Cost/MGDPersonal Services + Fringe Benefits/365/5-Year Average Daily Flow $1,028 $1,095 $1,174 $1,232 $1,249 $1,279 *

M-4.4 Affordability8 CCF Monthly Charge/Median Household Income < 0.5% 0.48% 0.48% 0.41% 0.43% 0.53% *

M-4.5 Total Operating Cost/MGDTotal Operating Expense/365/5-Year Average Daily Flow $2,741 $2,970 $3,262 $3,316 $3,305 $3,526 *

M-5.1 Name Recognition Percentage (Survey Result) 100% 67% 71% N/A 62% N/A 60% N/AM-5.4 Value of Research Percentage - Total Value/HRSD Investment 129% 235% 177% 149% 181% 178%M-5.5 Number of Research Partners Annual Total Number 42 36 31 33 28 35

Rolling 5 Year Average Daily Flow MGD 157.8 155.3 152 154.36 155.2 151.51 153.09Rainfall Annual Total Inches 66.9 44.21 56.21 46.65 46.52 51.95 54.14Billed Flow Annual Percentage of Total Treated 71.9% 82.6% 78% 71% 73% 74% *Senior Debt Coverage Net Revenue/Senior Annual Debt Service > 1.5 2.51% 2.30% 2.07% 1.88% 1.72% 1.90% *Total Debt Coverage Net Revenue/Total Annual Debt >1.4 1.67% 1.67% 1.46% 1.45% 1.32% 1.46% *

*These metrics will be reported upon closeout of fiscal year financials.

Monthly Updated MetricsItem Strategic Planning Measure Unit Target FY-10 FY-11 FY-12 FY-13 FY-14 FY-15 FY-16 Jul-16 Aug-16

Average Daily Flow MGD at the Plants < 249 136 146.5 158.7 156.3 153.5 155.8 151.5 144.8Industrial Waste Related System Issues Number 0 3 6 6 6 2 4 0 0Wastewater Revenue Percentage of budgeted 100% 97% 96% 98% 107% 102% 104% 100% 100%General Reserves

Percentage of Operating and Improvement Budget 75% - 100% 72% 82% 84% 92% 94% 95% 100% 104%Accounts Receivable (HRSD) Dollars (Monthly Avg) 17,013,784$ 17,359,488$ 18,795,475$ 20,524,316$ 20,758,439$ 22,444,273$ $23,960,859 $24,431,899Aging Accounts Receivable Percentage of receivables greater than 90 days 21% 20% 18% 19% 21% 20% 16% 16%

M-2.5 Capacity Related Overflows Number within Level of Service 0 25 1 30 5 11 16 3 0M-3.1 Permit Compliance # of Exceedances to # of Permitted Parameters 0 12:55,045 1:51995 2:52491 1:52491 2:52491 2:52,491 0:4374 1:8749M-3.2 Odor Complaints Number 0 6 2 7 11 5 9 1 0M-3.4 Pollutant Removal (total) Total Pounds Removed 178,163,629 171,247,526 176,102,248 185,677,185 180,168,546 193,247,790 16,738,122 33,499,177M-3.5 Pollutant Discharge (% of permitted) Pounds Discharged/Pounds Removed < 40% 25% 22% 25% 22% 22% 20% 23% 20%M-5.2 Educational and Outreach Events Number 302 184 238 322 334 443 42 33M-5.3 Number of Community Partners Number 280 289 286 297 321 354 29 18

FLOW % of BOD TSS FC ENTERO TP TP TN TN TKN NH3 CONTACTPLANT mgd Design mg/l mg/l #/UBl #/UBl mg/l CY Avg mg/l CY Avg mg/l mg/l TANK EX

ARMY BASE 9.09 51% 2 3.0 4 2 0.85 0.98 9.4 8.1 NA NA 10ATLANTIC 27.55 51% 8 7.1 24 3 NA NA NA NA NA NA NABOAT HARBOR 12.08 48% 4 5.6 10 3 0.59 0.59 12 19 NA NA 10CENT. MIDDLESEX 0.010 40% <2 <1.0 1 1 NA NA NA NA NACHES-ELIZ 18.15 76% 12 15 39 5 1.2 1.4 29 30 NA NA 11JAMES RIVER 11.83 59% 1 2.4 3 9 0.52 0.79 5.7 7.5 NA NA 2KING WILLIAM 0.037 37% <2 <1.0 NA 1 0.05 0.76 0.32 0.74 0.14 NA NANANSEMOND 17.91 60% 4 2.6 2 2 1.8 1.3 6.1 7.0 NA NA 10URBANNA 0.053 53% 2 9.1 2 2 6.8 4.5 16 23 NA <.20 NAVIP 28.06 70% 2 2.7 5 1 0.88 0.94 8.7 8.2 NA NA 5WEST POINT 0.337 56% 16 12 8 10 3.4 2.5 17 14 NA 8.8 0WILLIAMSBURG 8.52 38% 3 4.2 6 4 1.6 0.73 6.7 6.6 NA NA 3YORK RIVER 11.20 75% 3 1.3 1 1 0.23 0.29 3.6 4.8 NA NA 20

144.83 5 6

North Shore 53% YTDSouth Shore 61% Tributaries % Lbs % % Lbs %Mid Peninsula 51% James River 46% 4,750,600 79% 57% 349,126 94%

York River 47% 242,123 84% 49% 16,147 84%Rappahannock 145% 366%

SmallCommunities

(FYJ)Pounds of Pollutants Removed in FY17 to Date: 33,499,177Pollutant Lbs Discharged/Permitted Discharge FY17 to Date: 20% Month 1.96" 4.75" 2.13"

Normal for Month 5.87" 5.74" 4.77"Year to Date Total 34.33" 37.75" 36.20"

Normal for YTD 34.36" 33.11" 33.00"

Permit Exceedances:Total Possible Exceedances, FY17 to Date: 1:8,749

Tributary Summary

Projection CY16

North Shore (PHF)

South Shore (ORF)

Rainfall

EFFLUENT SUMMARY FOR AUGUST 2016

Projection CY16

Annual Total NitrogenDischarged Discharged

YTD

Annual Total Phosphorus% of Capacity OperationalOperational

AIR EMISSIONS SUMMARY FOR AUGUST 2016

No. of Permit Deviations below 129 SSI Rule Minimum Operating Parameters Part 503e LimitsBZ Temp Venturi(s) PD Tray PD Precooler Flow Spray Flow Venturi Flow Tray/PBs Flow Scrubber Any THC THC BZ Temp12 hr ave 12 hr ave 12 hr ave 12 hr ave 12 hr ave 12 hr ave 12 hr ave pH Bypass Mo. Ave DC Daily Ave

MHI PLANT (F) (in. WC) (in. WC) (GPM) (GPM) (GPM) (GPM) 3 hr ave Stack Use (PPM) (%) Days >Max

ARMY BASE 0 0 0 0 0 1 0 1 1 36 99 0

BOAT HARBOR 0 0 0 0 n/a 0 0 0 2 49 100 0

CHES‐ELIZ 0 0 0 n/a 0 0 0 6 1 36 99 0

VIP 0 0 1 0 n/a 0 0 0 7 42 99 0

WILLIAMSBURG 0 0 0 0 n/a 0 0 0 1 16 96 0

ALL OPERATIONS

DEQ Reportable Air Incidents: 0 No. of Permit Deviations/Possible No. of Permit Deviations (8/16) = 21/3317No. Permit Deviations/No. Possible Permit Deviations (CY16 to date)* = 175/17,949

DEQ Request for Corrective Action (RCA): 0Total Time on Bypass/Total Time Operating (8/16) = 2.5 hrs/3482 hrs

DEQ Notice of Violation (NOV): 1 Total Time on Bypass/Total Time Operating (CY16 to date)* = 18.2 hrs/18,244 hrs

Other Air Permit Deviations: 0 Tons Solids Processed (8/16) =2350Total Tons Solids Processed (CY16 to date)* = 13,316

Odor Complaints Received: 0 Monthly average Dry Ton per Day (DTD) per MHI unit = 15.3

Odor Scrubber HRSD Exceptions: 7 * CY16 commences with 03/21/16 compliance requirements

commission meeting minutes september 21, 2016€¦ · commission meeting minutes september 21, 2016...

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