Board of Directors

New Monthly CIP Tracking Reports Added to Board Financial Packet

Vice Chair Marsh highlighted new monthly reports on active CIP projects and non-CIP capitalized expenditures now included in board financials per finance committee request.

Why it matters: The new reporting format gives directors ongoing visibility into capital spending, a key transparency improvement as SAM undertakes major infrastructure investments.

Federal Court Upholds PFAS Hazardous Designation, Threatening Wastewater Agency Liability

General counsel warned that a D.C. Circuit ruling upholding EPA's PFAS designation under CERCLA could expose SAM and other wastewater agencies to significant cleanup liability.

Why it matters: PFAS exists in human bodies and thus in all wastewater biosolids; without federal legislation protecting 'passive receivers,' SAM could face open-ended liability for substances it cannot control at intake.

Board Authorizes Dive Team to Inspect and Repair Underwater Outfall Diffusers

Board authorized Global Diving and Salvage to perform annual underwater inspection and replace four clogged duckbill diffusers at SAM's ocean outfall at 40-foot depth.

Why it matters: The outfall diffusers are SAM's final discharge point to the ocean; sand buildup and damage require annual dive inspection to maintain permit compliance and prevent environmental violations.

SAM Board Adopts $8.5M Budget Increase for Sewer Force Main Construction

Board unanimously adopted Resolution 042-2026 increasing the mid-year budget by $8.5 million for the sewer force main project after receiving guaranteed maximum price.

Why it matters: The budget increase funds a progressive design-build sewer force main connecting Spain and Montara, with all three member agencies having already approved the increase through their own resolutions.

Army Corps Finds Federal Interest in SAM Shoreline Project

The Army Corps determined it has a federal interest in a SAM-area shoreline project, potentially unlocking $400,000 in additional federal appropriation.

Why it matters: Federal involvement could bring new resources for coastal infrastructure protection in the mid-coastside area.

GM Gets 4% Pay Raise to Match Union Workers' Increase

Board approved a 4% retroactive salary increase for the General Manager, matching the IUOE Local 39 represented staff increase per a prior contract amendment.

Why it matters: The increase was pre-committed in the GM's fifth contract amendment and ensures pay parity with unionized employees; it also triggers adoption of a CalPERS-compliant salary schedule.

Board Approves $13.2M Sewer Pipe Replacement, Contingent on Budget Sign-Off

Board unanimously authorized the GM to sign a $13.2M design-build contract with McGuire & Hester for a two-mile sewer force main replacement, contingent on each member agency approving a mid-year budget amendment.

Why it matters: The deteriorating 40-year-old pipeline has had multiple failures and spills, and a consent decree with the Ecological Rights Foundation requires its replacement; every month of delay adds roughly $100,000 in material cost escalation and risks contempt of court.

Board Unanimously Approves 4% COLA and Formalizes Salary Schedules

Board approved a 4% cost-of-living increase for the sole unrepresented employee and formalized the bi-weekly salary schedule under the Local 39 MOU.