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10-19-06 ~ SOUTH TAHOE PUBLIC UTILITY DISTRICT "Basic Services for a Complex World" Richard Solbri~, General Mana~er Eric W. Schafer, President BOARD MEMBERS Paul Sciuto, Assistant Mana~er 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 19, 2006 MINUTES The Board of Directors of the South Tahoe Public Utility District met in a regular session, \., October 19,2006,2:00 P.M., District Office, 1275 Meadow Crest Drive, South Lake Tahoe, CA BOARD OF DIRECTORS: President Schafer, Directors Jones, Wallace, Farrell, Mosbacher ROLL CALL STAFF: Solbrig, Sciuto, Sharp, McFarlane, Whalen, Brown, Thiesen, Eidam, Curtis, Henderson, Eddy, Sherman, Rasmussen, Cocking, S. Gray, Bergsohn, Carrion, Marshall, Attorney Kvistad GUESTS: Steve Murrill/ Meta Research Action Item 7 a. (Request to Appear Before the Board re: 1428 Chinquapin) was removed from the agenda at the request of the property owner. CORRECTIONS TO THE AGENDA OR CONSENT CALENDAR Moved Mosbacher / Second Jones / Passed Unanimously to approve the Consent Calendar as submitted: CONSENT CALENDAR \., a. Heavy Equipment Purchases, Sole Brand - Approved Caterpillar as the sole brand for future large heavy equipment purchases; REGULAR BOARD MEETING MINUTES - OCTOBER 19, 2006 PAGE. 2 \., b. Alpine County Annual Impact / Mitigation / Compensation - Authorized payment of District's annual mitigation fee in the amount of $114,800; c. Association of California Water Agencies (ACW A) - Adopted Resolution No. 2815-06 in support of legislation to amend the Public Utility District Act to allow special districts to follow the Water Code as it relates to Board compensation; d. B-line Phase 3: Export Pipeline Replacement- Approved Change Order NO.2 to Don Garcia Excavating and Paving, Inc., in the amount of $12,246.73; e. Approved Regular Board Meeting Minutes: September 21, 2006; f. Approved Regular Board Meeting Minutes: October 5, 2006. \., Steve Murrill, Meta Research, gave a PowerPoint presentation covering the results of the recent customer satisfaction survey of residents and non-residents, and how it compared to the survey that was done in 2003. Mr. Murrill reported that overall satisfaction is higher than in 2003, and rated positively in meeting service expectations. He pointed out areas to promote to gain further satisfaction. CONSENT CALENDAR PRESENTATION: Customer Satisfaction Survey 2006 Results, by Steve Murrill, Meta Research ITEMS FOR BOARD ACTION ~ In June 2006, the District completed and submitted a grant application to the Sate Water Resources Control Board (SWRCB) for a proposed oxygenation sYRtem intended to reduce internal loading of phosphorus to the Indian Creek Reservoir (ICR); to optimize reservoir management for protection and enhancement of aquatic life, and recreational uses as called for in the existing ICR TMDL. The SWRCB recommended funding for $609,000, with a 25% match from the District, for construction and installation of the oxygenation system. The project must be completed by the expiration of the grant in December 2010. INDIAN CREEK RESERVOIR TMDL MITIGATION GRANT REGULAR BOARD MEETING MINUTES - OCTOBER 19, 2006 PAGE. 3 ~ Moved Farrell/ Second Mosbacher / Wallace Voted No / Passed to adopt Resolution No. 2816-06 authorizing enter- ing into an agreement with the State of California and designating a representative to sign 319(h) Agreement, and any amendments thereto, for the Indian Creek Reservoir TMDL mitigation. (Director Wallace voted no since final TMDL limits have not been set.) Paul Sciuto reported a requirement of the TRPA permit for the B-Iine project was four years of revegetation maintenance after the initial planting and warranty period. The costs were part of the original B-line contract with Cox & Cox, the general contractor for the project. Cox & Cox listed Kelley Erosion Control (KEC) as the revegetation subcontractor. \.. In order to simplify the administration of the project in connection with the District's settlement with Cox & Cox, the subcontract was assigned from them to Garcia Paving (Garcia Paving took over the remaining work from Cox & Cox). Garcia Paving's work was completed earlier this year, except for revegetation maintenance to be performed by KEC. The KEC subcontract would be assigned from Garcia Paving to the District, allowing completion of Garcia Paving's contract with the District. The proposed amendment to the KEC subcontract will allow KEC to provide an individual bond each year in decreasing amounts since KEC cannot obtain a single bond for the entire maintenance period. Staff is satisfied that the decreasing amount of the bonds is adequate to protect the District since the survival rate of the vegetation improves each year. Moved Wallace / Second Jones / Passed Unanimously to approve assignment and amendment of the subcontract for ongoing revegetation maintenance with Kelley Erosion Control, Inc., in the amount of $489,000 over four years, and include flexability in the bonding periods. Moved Wallace / Second Farrell/ Passed Unanimouslv to approve payment in the amount of $1,126,774.46. ~ Water and Wastewater Operations Committee: The committee met October 16. Minutes of the meeting are available upon request. INDIAN CREEK RESERVOIR TMDL MITIGATION GRANT (con't. ) B-L1NE PHASE 3: REVEGETATION MAINTENANCE PAYMENT OF CLAIMS BOARD MEMBER STANDING COMMITTEE REPORTS REGULAR BOARD MEETING MINUTES - OCTOBER 19, 2006 PAGE. 4 '" Director Wallace reported the Executive Committee met with staff to develop a response to the potential $400,000 property tax take-away the County Water Agency board is considering. The agency's board would also like the District and Tahoe City PUD to give the purveyor representative seat to EI Dorado Irrigation District permanently. They can't have it both ways. General Manaoer: Richard Solbrig reported a meeting will be held with the California Tahoe Conservancy and EI Dorado County Dept. of Transportation to decide what will be included in the MOU. Assistant General Manaoer/Enoineer: Paul Sciuto reported the emergency generator at Trout Creek pump station had a fuel spill that was caused by a faulty electrical relay. Cleanup efforts are underway. '-' Staff and Board members received notification that Assemblyman Tim Leslie would retire on October 23. Since notification was received subsequent to the regular Board meeting agenda being posted, and action is necessary prior to the next regular Board meeting, consideration of a resolution of appreciation should be added to this agenda so it can be presented on October 23. Moved Mosbacher / Second Jones / Passed Unanimously to add Resolution for State Assemblyman Tim Leslie to the agenda as Action Item 7.e. Moved Mosbacher / Second Wallace / Passed Unanimously to direct staff to write a resolution honoring Tim Leslie for his service to the District. 3:40 - 3:45 P.M. 4:35 P.M. \... EL DORADO COUNTY WATER AGENCY REPRESENTATIVE REPORT GENERAL MANAGER REPORTS STAFF REPORT ADDENDUM TO THE AGENDA RESOLUTION OF APPRECIATION FOR STATE ASSEMBLYMAN TIM LESLIE MEETING BREAK AND ADJOURN- MENT TO CLOSED SESSION RECONVENED TO REGULAR SESSION REGULAR BOARD MEETING MINUTES - OCTOBER 19, 2006 PAGE. 5 \" ACTION I REPORT ON ITEMS DISCUSSED DURING CLOSED SESSION 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 No reportable Board action. 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. ~ 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 No reportable Board action 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. \.., REGULAR BOARD MEETING MINUTES - OCTOBER 19, 2006 PAGE. 6 \., No reportable Board action. Pursuant to Government Code Section 54956.9(b)/Conference with Legal Counsel - Anticipated Litigation (Two Cases) 4:35 P.M. ADJOURNMENT \.. 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