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10-16-08 ......... SOUTH TAHOE PUBLIC UTILITY DISTRICT "Basic Services for a Complex World" Richard Solbrig, General Manager Mary Lou Mosbacher, President BOARD MEMBERS Paul Sciuto, Assistant Manager Dale Rise, Vice President James R. Jones, Director Eric W. Schafer, Director Ernie Claudio, Director REGULAR MEETING OF THE BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT OCTOBER 16, 2008 MINUTES The Board of Directors of the South Tahoe Public Utility District met in a regular session, October 16, 2008, 2:00 P.M., District Office, 1275 Meadow Crest Drive, South Lake Tahoe, California. '-' BOARD OF DIRECTORS: President Mosbacher, Directors Rise, Jones, Claudio, Schafer ATTENDEES STAFF: Sol brig, Sharp, Sciuto, Hughes, Bird, Hussmann, Brown, Coyner, Bergsohn, Curtis, Thiel, Swain, Van Gorden, B. Cuevas, R. Johnson, C. Stanley, Rasmussen, Henderson, Attorney Herrema Guests: John Runnels/Citizens Alliance, Georg Krammer and Alyssa Uchimuura/Koff & Associates, Cathy Monagahan/EI Dorado County Water Agency John Runnels wished President Mosbacher a happy 80th birthday. COMMENTS FROM THE AUDIENCE Randy Curtis led the pledge to the flag. PLEDGE OF ALLEGIANCE CORRECTIONS TO THE AGENDA OR CONSENT CALENDAR Staff requested Consent Item 4.c. {Indian Creek Reservoir TMDL Mitigation Pump Cable} be removed from the agenda because a less expensive alternative was found. '-" REGULAR BOARD MEETING MINUTES - OCTOBER 16, 2008 PAGE-2 Moved Schafer / Second Rise / Passed Unanimously to approve the Consent Calendar as amended: CONSENT CALENDAR ......... a. Identity Theft Prevention Program - (1) Adopted proposed program in response to, and in compliance with, the Fair and Accurate Credit Transaction Act of 2003; and (2) Enacted Ordinance No. 511-08 adding Section 2. 1 0 to Division 2 of the Administrative Code regarding the Identify Theft Prevention Program; b. Angora Tank Replacement and Access Road - Extended contract with Hauge Brueck Associates for consulting services, in the amount of $16,640, for a total amount not to exceed $29,660; c. Item removed; d. Indian Creek Reservoir Oxygenation - Authorized execution of the Utility Line Extension Agreement No. 08-39009-5-57 for electric service to the Indian Creek Reservoir oxygenation system, (Alpine County, CA), between Sierra Pacific Power Company and the District for $14,790; e. Indian Creek Reservoir Oxygenation - (1) Approved Change Order No. 1 to Hobbs Electric, in the amount of $11,352.73; and (2) Added 48 calendar '-' days to the total contract time; f. Alpine County Annual Impact/Mitigation/Compensation- Authorized payment of District's annual mitigation fee to Alpine County in the amount of $115,700; g. Lynn Nolan, Grant Coordinator, Employment Contract - Terminated employment contract and added limited term union employee; h. Restatement of the South Tahoe Public Utility District Deferred Compensation Plan and Trust (Plan) - Adopted Resolution No. 2853-08 adding Paul Hughes, Chief Financial Officer, and removing Rhonda McFarlane, previous Chief Financial Officer, from the Plan Trustee signature list; I. Approved Regular Board Meeting Minutes: September 18, 2008; J. Approved Regular Board Meeting Minutes: October 2, 2008. "-" Georg Krammer, Koff & Associates, explained the processes and variables considered when developing the final recommendations for the management salary survey, including: data collection, benchmark PRESENTATION: MANAGERS COMPENSATION STUDY, KOFF & ASSOCIA TES REGULAR BOARD MEETING MINUTES - OCTOBER 16, 2008 PAGE - 3 classifications, criteria for selection of comparative agencies, and internal relationships. '-' Richard Sol brig explained the study was a tool to aid in negotiating a new management MOU. PRESENTATION: MANAGERS COMPENSATION STUDY, KOFF & ASSOCIA TES (continued) ITEMS FOR BOARD ACTION Ivo Bergsohn reported the District solicited proposals from four consultants to conduct a monitoring well installation program to collect water quality data related to the use of reclaimed water on the Diamond Valley Ranch. Based on the results of staff's evaluation of each firm, Farr West Engineering was recommended to conduct the work in accordance with their proposal, and also recommended a cost ceiling of $60,000 be set for this work. Moved Schafer / Second Claudio / Passed Unanimously to approve proposal received from Farr West Engineering, with a cost ceiling of $60,000. Ross Johnson reported one of the operators plans to retire in May 2009. He requested hiring an operator now to allow time for the new person to develop the '-' proficiency necessary to independently handle routine operations by training for six months in advance of the anticipated vacancy. Moved Jones / Second Claudio / Passed Unanimously to approve hiring an Operator 1/111 six months in advance of an anticipated opening. Ross Johnson reported that attempts to fill this position for a limited term were unsuccessful. The electrical department has been running without one of their four employees for six months due to a medical leave of absence. It is unknown when the absent employee will be able to return to work. Preventative maintenance projects have slipped and many in-house type of improvements have had to be outsourced. Authorization for this position will allow the department to keep up with the current workload. Should the absent employee return to work, the department would catch up on deferred projects, and return to the normal four person staff through attrition. "-' Moved Claudio / Second Schafer / Passed Unanimously to authorize hiring a full time permanent, Electrician 1/11 with the Electrical Department to return to four person staff through attrition. DIAMOND VALLEY RANCH TEMPORARY CONTAINMENT BASIN OPERATIONS DEPARTMENT HIRE ELECTRICAL INSTRUMENTATION/ TECHNICIAN 1/11 REGULAR BOARD MEETING MINUTES - OCTOBER 16,2008 PAGE - 4 John Thiel reported in compliance with CEQA, staff and consultants completed an environmental review of the '-' project and found it would have no significant impacts. Moved Jones / Second Rise / Passed Unanimouslv to: (1) Approve the initial study and the determination of no significant effect on the environment; (2) Authorize the preparation of a Notice of Intent to Adopt a Negative Declaration with submittal to the State Clearinghouse; and (3) Publish a notice in the Tahoe Tribune with provisions for a public hearing. Moved Schafer / Second Claudio / Passed Unanimously to approve payment in the amount of $978,594.10. Water and Wastewater Operations Committee: The committee met October 13. Minutes of the meeting are available upon request. Most of the meeting was devoted to Complete Wireless, a company interested in leasing a site for their tower. '-' City of South Lake Tahoe Issues Ad Hoc Committee: Richard Solbrig reported a meeting with City represen- tatives will be held October 23. Staff will discuss the Lahontan NPDES requirements. Solbrig will meet separately with the City Manager and request that an ad hoc committee meeting be held (comprised of two District Board members, and two City council members) to discuss several other issues. Manaqement Neqotiations Ad Hoc Committee: The committee met October 13 to discuss the Koff salary study. Director Jones reported the water agency is part of a regional river management organization called CABBY. The District's property tax money that was shifted to the water agency is being used to pay part of the $90,000 membership fee and there is no benefit whatsoever to the District from their membership. Director Jones voiced his concerns and the water agency board agreed to review the effectiveness of CABBY. A lot of money has been spent to date, but no grants have ever been received. The group has spent over $300,000 per year, and will have spent approximately $1 M by year end. Plus, they hired three full time staff, who now wish to receive "-" medical insurance and CaIPERS. The next water agency meeting will be held November 12. TWIN PEAKS BOOSTER STATION AND WATERLINE REPLACEMENT PAYMENT OF CLAIMS BOARD MEMBER STANDING COMMITTEE REPORTS BOARD MEMBER AD HOC COMMITTEE REPORTS EL DORADO COUNTY WATER AGENCY PURVEYOR REPORT REGULAR BOARD MEETING MINUTES - OCTOBER 16, 2008 PAGE - 5 Director Claudio reported he is impressed with California BOARD MEMBER REPORTS Forward, and encouraged the Board to consider endorsing the group after the November elections. '-' Director Mosbacher thanked staff for arranging a District- wide gathering to honor her 80th birthday. General Manaqer: Richard Solbrig reported on two items: GENERAL MANAGER REPORTS 1) Integrated Regional Water Management Plan - It is possible that a bond will be issued under the Proposition 50 guidelines, which would be good news since grant applications can be submittf'd without a significant rewrite of the plan. 2) He read a letbr from an appreciative customer who participated in the turf buy-back program and complimented Shelly Barnes on her professionalism. Assistant General Manaqer / Enqineer: Paul Sciuto STAFF REPORTS reported that Heavenly has requested a significant amount of additional water to be used for snowmaking. Hydraulic modeling is being done to determine the amount that can be provided from Pioneer Trail to Ski Run Blvd. Heavenly will also make improvements to their own water supplies to help meet their demand. 3:25 P.M. ADJOURNMENT TO CLOSED SESSION RECONVENED TO OPEN SESSION "-' 3:30 P.M. 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 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. 3:30 P.M. ADJOURNMENT "-' I ATTEST:- ~-A{~I k I J ,/){ 1 , I ) Kathy Sharpt Clerk of the/Board South TaH'~ Public Utility District ..... ...... - w !;;( c e!) z - ... W... Ww :Ew ooJ: ~oo O~ .... uz We!) ~- _00 C... u.oo OW :J Ce!) ~ <C o OJ >- 0::: <( I- Z ::> -l o >. CJ)W -() Zz 0<( -0 I-z <(W ~~ 0<( LLo::: ~O CJ)LL IZ 1-0 LLi= 015 Zz 00 -() I-W ~O::: 0.0. ~<( 01- ()O ~Z ()CJ) <(- zO SZ O<e. 0:::>- coO::: wO II- 1-('3 IZ 1-<( ~~ WI- ()O ZZ <( o 0::: o () () <( Z (f) (f) ~ Q Q < ..J <( ~