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10-05-06 - \" SOUTH TAHOE PUBLIC UTILITY DISTRICT UBasic Services for a Complex World" Richard Solbrig, General Manager Eric W. Schafer, President BOARD MEMBERS Paul Sciuto, Assistant Manager Duane Wallace, Vice President James R. Jones, Director Mary Lou Mosbacher, Director Kathleen Farrell, Director REGULAR MEETING OF THE BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT OCTOBER 5, 2006 MINUTES \., The Board of Directors of the South Tahoe Public Utility District met in a regular session, October 5,2006,2:00 P.M., District Office, 1275 Meadow Crest Drive, South Lake Tahoe, CA BOARD OF DIRECTORS: President Schafer, Directors Jones, Wallace, Farrell. Director Mosbacher was absent. ROLL CALL STAFF: Solbrig, Sciuto, Sharp, McFarlane, Adams, Cocking, Brown, Coyner, Curtis, Ryan, Hoggatt, Thiesen, Nolan, Attorney Kvistad GUESTS: Eric Sapirstein and David French/ENS Resources; Jeff FedorchaklCrosspointe Partners; Dave Lindow/Winzler & Kelly; Kim HilI/UNR; April Ross; Jean Buster; Katie Cassidy Moved Wallace / Second Farrell/ Mosbacher Absent / Passed to approve the Consent Calendar as submitted: CONSENT CALENDAR a. Collection System Repairs - Authorized contract with J.F. Pacific Liners, Inc., in the estimated amount of \.. $26,000; REGULAR BOARD MEETING MINUTES - OCTOBER 5, 2006 PAGE. 2 4... b. Customer Service, Operations and Laboratory Facility - CONSENT CALENDAR Approved Change Order NO.6 to Roebbelen (con't.) Contracting, Inc., in the amount of $100,485; c. Bayview Waterline - Approved Change Order NO.1 to T&S Construction Co. Inc., in the amount of $49,279; d. AI Tahoe Waterline Replacement 2006 - Approved Change Order No.1 to White Rock Construction, Inc., in the amount of $220,750; e. Water Meter Replacement - Approved Change Order NO.1 to G.B. General Engineering Contractor, Inc., in the amount $1,640.23; f. Resolution No. 2813-06 - Adopted Resolution of Intention Document and Disclosure of Future Annual Cost of Joining the CalPERS Risk Pool; g. Resolution No. 2814-06 - Adopted Resolution for Office of Emergency Services Applicant Authorizations; '- h. Approved Special Board Meeting Minutes: August 29,2006; i. Approved Special Board Meeting Minutes: September 1, 2006; j. Approved Regular Board Meeting Minutes: September 7,2006. Eric Sapirstein, David French, and Jeff Fedorchak, Washington D.C. advocates, gave a PowerPoint presentation that covered: appropriations (fire protection, chemical security/homeland, state revolving loan fund) authorization (water recycling, water infrastructure), upcoming November elections, and the11 Oth Congress. REPORTS: Washington D.C. Legislative Activities, by Eric Sapirstein and David French/ ENS Resources; Jeff Fedorchak! Crosspointe Partners ITEMS FOR BOARD ACTION 4. Lisa Coyner reported Ms. Ross submitted a claim on July 12, 2006, for damages to her driveway at 700 San Francisco Avenue allegedly caused by the Bayview Well project. Jim Hoggatt, construction manager for the District, agreed that the asphalt portion of her driveway had some minimal damage due to CLAIM AGAINST STPUD RECEIVED FROM APRIL ROSS REGULAR BOARD MEETING MINUTES - OCTOBER 5, 2006 PAGE. 3 .. replacement of the water service nearby. The asphalt ~ will be repaired as part of the Bayview Well project. However, the District does not claim responsibility for the concrete portion of her driveway, which she claims was worsened as part of the construction. Staff took photographs of her driveway before the project started two years ago, showing the severe cracking that already existed in this portion of her driveway. Ms. Ross submitted photos she had taken recently and compared them to photos taken by District staff in 2004. She stated she obtained two bids - one to repair the cracks for $4,000, and one to remove and replace the driveway for $4,900. Ms. Ross stated large trucks and equipment used her driveway as a turn- around which contributed to the cracking. The District's insurance carrier denied the claim since it was for replacement of the entire driveway. ~ Moved Jones / Second Wallace / Mosbacher Absent / Passed that Ms. Ross proceed with repair or replacement work, submit the final invoice to the District, and the District will pay up to one-half of the cost, but not to exceed $2,450, and will need a release of liability from Ms. Ross upon payment (which she agreed to). The Board previously approved proceeding with the design of a new pump station. The expected cost for full replacement of the pump station will be $5M, and is budgeted for in 2006/07 and 2007/08. Winzler & Kelly have completed their assessment of the final/secondary effluent pump stations and the predesign of the new pump stations, completing their obligation under their previous contract. Staff has negotiated a contract for design and construction documents for the new pump stations and appurtenances, which will be completed as a task order under the existing Master Services Agreement with Winzler & Kelly. The bid package is expected to be out to contractors by March 2007. \. Moved Wallace / Second Farrell/ Mosbacher Absent / Passed to approve proposal from Winzler & Kelly Consulting Engineers in the amount of $509,798. CLAIM AGAINST STPUD RECEIVED FROM APRIL ROSS ( con't.) FINAL/SECONDARY EFFLUENT PUMP STATION REGULAR BOARD MEETING MINUTES - OCTOBER 5, 2006 PAGE. 4 ~ Hatch & Parent and the District have been discussing an updated agreement for legal representation. Director Wallace reported the Board Legal Services Ad Hoc Com- mittee met to discuss ideas to continue control over legal fees and still have access to the full range of services offered by Hatch &Parent. The Committee recommended approval of a new agreement on the terms negotiated by the Committee. Moved Wallace / Second Farrell/ Mosbacher Absent / Passed to direct Hatch & Parent to prepare an agreement in accordance with terms outlined, and authorized execution of the agreement. Moved Jones / Second Wallace / Mosbacher Absent / Passed to approve payment in the amount of $2,531,789.72. Water and Wastewater Operations Committee: The committee met October 2. Minutes of the meeting are available upon request. ~ Lukins Ad Hoc Committee: The committee met with members of the City of South Lake Tahoe's ad hoc committee to discuss funding for system improvements. Director Schafer reported he received his certificate for Ethics training. Director Wallace reported the Water Agency held their October 2 meeting at the District. District staff gave a presentation demonstrating the need to retain property taxes from South Lake Tahoe. The agency's goal is to divert 100% of tax proceeds which will then be used for many projects on the west slope that do not benefit the District or Tahoe City PUD. They want the District to apply for funding project-by-project, and any that are approved must be met with a 50% match from the District. (3:25 p.m. - Director Wallace left at this point in the meeting.) \" General Manaoer: Richard Solbrig reported he met with a representative from EI Dorado County Department of Transportation to discuss which projects can be done jointly to avoid tearing up roadways twice. AMENDED LEGAL SERVICES AGREEMENT PAYMENT OF CLAIMS BOARD MEMBER STANDING COMMITTEE REPORTS BOARD MEMBER AD HOC COMMITTEE REPORTS BOARD MEMBER REPORTS EL DORADO COUNTY WATER AGENCY REPRESENTATIVE REPORT GENERAL MANAGER REPORTS REGULAR BOARD MEETING MINUTES - OCTOBER 5, 2006 PAGE. 5 District Information Officer: Dennis Cocking reported that ~ ACW A has agreed to sponsor legislation to amend the Public Utility District Act to allow special districts to use the Water Code to provide for Board compensation. 3:30 - 3:35 P.M. 4:15 P.M. STAFF REPORT MEETING BREAK AND ADJOURN- MENT TO CLOSED SESSION RECONVENED TO REGULAR SESSION ACTION / REPORT ON ITEMS DISCUSSED DURING CLOSED SESSION No reportable Board action. \., No reportable Board action No reportable Board action. \.., Pursuant to Government Code Section 54956.8/Real Estate Negotiations: Negotiating Parties: Board Ad Hoc Committee, General Manager, Assistant General Manager/Engineer, Chief Financial Officer Under Negotiations: Price and Terms Property Identification: Lukins Water Company, 2031 West Way, South Lake Tahoe, CA Pursuant to Government Code Section 54956.9(a)/Conference with Legal Counsel - Existing Litigation re: Beth Jett, Kendall Pearce, and Pearce Family Trust Dated 1-20-88 vs. STPUD, Cox & Cox Construction, Inc., a California Corporation, Nimbus Engineers, a Nevada Corporation and Does 1-100, Inclusive, Civil Action No. PC 20050567, Superior Court, County of EI Dorado, State of Ca. Pursuant to Government Code Section 54956.9(a)/Conference with Legal Counsel - Existing Litigation re: Meyers Landfill Site: United States of America vs. EI Dorado County and City of South Lake Tahoe and Third Party Defendants, Civil Action No. S-01-1520 LKK GGH, U.S. District Court for the Eastern District of Ca. -. \" \.., REGULAR BOARD MEETING MINUTES - OCTOBER 5, 2006 PAGE. 6 No reportable Board action. Pursuant to Government Code Section 54956.9(b)/Conference with Legal Counsel - Anticipated Litigation (Two Cases) No reportable Board action. Pursuant to Government Code Section 54956.9(b)/Conference with Legal Counsel - Liability Claim Received from April Ross No reportable Board action. Pursuant to Government Code Section 54956.9(a)/Conference with Legal Counsel - Existing Litigation: STPUD vs. 1442.92 Acres of Land in Alpine County, Ca.; et aI., United States District Court for the Eastern District of Ca., Sacramento Division, Case No. CIV S-02-0238 MCE JFM 4:15 P.M. 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