Victor Damiani

The Special Finance Committee meeting agenda included several reviews pertaining to items scheduled for the February 18, 2026 Board of Directors meeting. Key topics for review included accepting the January 2026 Monthly Financial Reports, authorizing an amendment (Amendment No. 2) to the Contract for Real Estate Legal Services with Burke Williams & Sorensen, LLP, not to exceed $75,000, and approving a related resolution to amend the Fiscal Year 2025-26 Budget. Other considerations involved approving a contract change order for the LS 20, 31, 32 Pump Stations Improvements Project and authorizing a Consultant Services Agreement with West Valley Construction for engineering services for the Lower FM-14 Bypass Force Main Replacement Project. The committee also reviewed a proposed contract change order for the FY 2024/25 Gravity Sewer Improvements Project and considered authorizing a limited-term Administrative Coordinator Position for 12 months.

The meeting involved adjourning to and reconvening from a closed session, reporting that action was taken to direct delegates to the Central Marine Sanitation District (CMSA). The board moved Agenda Item 12 regarding a proposed Management Operations Services Agreement between SRSD and CMSA to the beginning of the open session for discussion before public comment. Directors expressed significant concerns about this agreement, viewing it as a lopsided consolidation attempt that creates managerial impossibility (one manager reporting to two districts) and issues with governance and transparency, referencing an RSG study and potential subsidization of San Rafael. Concerns were also raised regarding financial risk, liability, and the lack of uniform benefit to all rate payers. Speakers emphasized that true consolidation, not this proposed agreement, should be the long-term goal, citing past statements about consolidation being an objective.

The agenda for the meeting included a Closed Session to confer with Legal Counsel regarding one anticipated litigation case. The Open Session included approval of the agenda, public comment time for matters not on the posted agenda, and reports from various committees (Finance, Business Plan Committee, North Bay Watershed Association, Central Marin Sanitation Agency). Key agenda items for consideration or consent included the approval of the January 21, 2026, Regular Meeting Minutes, acceptance of January 2026 Monthly Financial Reports, authorizing the General Manager to execute an amendment to the Real Estate Legal Services contract and amend the Fiscal Year 2025-26 Budget, and approving a contract change order for the LS 20, 31, 32 Pump Stations Improvements Project. Further considerations involved authorizing a Consultant Services Agreement with West Valley Construction for the Lower FM-14 Bypass Force Main Replacement Project, approving a Contract Change Order for the Gravity Sewer Improvements Project, granting tentative approval for a Public Sewer Extension Permit, and considering the authorization of a limited-term Administrative Coordinator position. Informational items included the Monthly Operations and Maintenance Metrics Report for January 2026 and Community Outreach Annual Metrics.

The meeting began with the call to order for the regular board meeting and a pledge of allegiance, followed by a brief adjournment to and reconvening from closed session with no actions to report. The board approved changes to the agenda, moving the financial audit discussion. Following public comment on items not on the agenda, the board conducted an interview and appointed Andrew Poster as a member at large to the Central Marine Sanitation Agency (CMSA) commission. Subsequently, the board considered and reviewed the Fiscal Year 2025 Financial Audit and Annual Comprehensive Financial Report (ACFR) for 2024-2025, presented by the Chief Finance Officer, detailing highlights such as net position, capital asset increases, revenue, and expense changes. A new budget to actual comparison schedule was also reviewed, noting significant variances related to capital projects and savings from vacant positions. Discussions also covered the valuation of the Larker Landing asset.

The Finance Committee agenda included a review of the upcoming January 21, 2026, agenda items, specifically concerning accepting the Mid-Year Financial Reports and approving a Lateral Replacement Loan for 166 Wolfe Grade, Kentfield, in the amount of $27,500, which exceeds the standard $25,000 loan maximum. A separate section detailing the December 15, 2025, meeting notes indicated discussions regarding the Fiscal Year 2025 Financial Audit and ACFR, noting a potential segregation of duties issue in payroll that the District is addressing. The committee also reviewed the November 2025 Financial Reports, noting the dipping into emergency reserves due to the timing of treatment charge billing versus property tax revenue receipt. Furthermore, consideration was given to the disposal of surplus district-owned vehicles, which were older trucks replaced by electric vehicles, and the review of the Fiscal Year 2025 Popular Annual Financial Report.