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1978 01/05 - 1978 12/27
REGULAR MEETING OF THE BOARD OF DIRECTORS SOUTH TAHOE PIJBLIC UTILITY DISTRICT JANUARY 5,1978 The Board of Directors of the South Tahoe Public Utility District met in a regular session on 1/5/78, 8:00 P.M., District Conference Room. ROLL CALL: Present were President L.L. Kashuba, Directors W.N.Olson, F.J. Cocking, R.A. Fieldcamp and J.R. [ones; General Manager/District Engineer J.R. Corer, Assistant Manager D.W. Callahan, G. Eppler- Manager of Maintenance; J.Bonnet-Manager of Operations;W.Dunckhorst- Manager of Water Systems. Mike McNamara-Tribune Reporter,~.Genzeli- Reporter for Lake Tahoe Ne'~,;s, R.L.Culp of Culp,Wesner,Culp-Consultant for the Dostrict. ABSENT: Attorney J.C. Weidman. MINUTES OF 12/15/77 - Director Olson moved, seconded by Director Fieldcamp, unanimously carried, minutes of 12/15/77 be app_roved as submitted. (Director Fieldcamp absent at that meeting). REPORT BY BOARD MEMBERS: - None. COMMITTEE REPORTS: (1) Research and Conservation and Training: J.Iones stated that he would like to have the Board discuss the possibility of including under this 7ommittee the idea of training - perhaps some additional basic training could be given through the community college to benefit our employees and any others that would need this type of basic training. The employees would not pay for this course - under the Union Agreement it states that education will be paid for to better the employment for the District by an employee, on successful completion of any course. John Bonnet stated that he talked with a Mr. Tamasaki from Sacramento, who is going to try to get a technical course started at the College. (2) Water Utility - No [eport. (3) Plant Operation - No report. (4) Finance/Insurance Committee and Water Committee - ~oint Committee Meeting, as follows: The Finance and Water Committees request staff to prepare a report on need, basis and effect of connection charges and a rate increase within the water system. The Oommittees beli~,~ there exists a need to provide a reserve fund and funds for replacement and improvements. At present there are not any reserve or funds available for major improvements or repairs. New connections require immedate capital outlay by the water department. The committees believe these expenditures should be funded by the new customer and not from future water sales. The new connections, also, places on the water system a demand for a larger distribution system and a greater source of supply. The Committees believe that it might be appropriate to establish a connection fee to provide funds for future years when necessary to make. Also, the Committees request a report be prepared regarding an additional connection fee for the sewer department. There are not any funds avail- able for improvements, extension, or replacement within the department. The connection fee would be to provide a reserve fund for these purposes. A third item the ~?ommittees request information on the need for additional office and warehouse space at the District. The Committees believe that the separation of offices and lack of sufficient office space creates inefficiency~ The s~me is true with the insufficient warehouse space. Director Jones stated he certainly supports the Committees recommendations and felt we should look into all that has been recoramended as soon as possible. Manager Cofer stated that these are good suggestions, and the staff will be happy to respond, however, the one concern he has is in regards to building any office or warehouse space and the problems that we might have when we expand the plant. R.L. Culp stated that he believes the shop and warehouse and office space connected at least with the operation department, would be eligible for either an 87 and 1/2 or 97 and 1/2 percent grant. President Kashuba asked Dave Callahan if he would prepare an initial report to have beady for the workshop session,prior to Regular Meeting -2- January 5,1978 making any further recommendations at this time. (Monday January 23,1978 Workshop Session- 3:00 P.M.) (5) Public Information - no report. REPORT ON WORKSHOP SESSIONS: (As presented by Manager Cofer) :- (1) 12/29/77 - Pipeline Repair Program and Litigation: - Our legal consultant is planning to serve the complaint in March to the defendents; REM also brought their preliminary reports on the repair of the pipeline and Luther Pass Surge System and gave the Board a review of the status of their work. (2) 1/3/78 - Agenda Items and Review Quarterly Budget State- ment. (the quarterly statement was reviewed by the Finance Committee). MANAGER'S REPORT: As presented by J.R. Cofer: We certainly hope that the year 1978 will be a better year for the District than was the year 1977. We have great expectat- ions for the New Year with the following anticipated goals: (1) Completion of Interim Plant Modifications and record of operating performance and the removal of the Cease and Desist Order, and the connection limitation. (2) Completion of the Facilities Planning and Environmental Impact Report, and a decision on the major modifications in treatment and disposal facilities to meet the needs of the service area for the next ten year period. (3) Completion of the Johnson Blvd. Sewer Extension and the removal of threatened overflows from the Ski Run Sewer System2 (4) Completion of the first phased construction of the Fallen Leaf Lake Sewer System. (5) Completion of the first phase of the Water System improve- ments. (6)Completion of the Groundwater Study and the development of a water system master plan. (7) Completion of the Draft Sewer Revenue Plan as part of the Facilities Studies and the development of a Revenue Plan for the water system. The year 1977 was one of identification of problems and select- ion of corrective programs. We hope that 1978 is a year for completion of manu of these programs. ATTORNEY'S REPORT: Absent - Manager Cofer stated that Mr. Weidman will be in the office this next Monday, as the Board did suggest that Mr. Weidman and Manager Cofer make some contacts with our Bond Counsel and discuss some items with them and this is what he will work on Monday from our Office. SHOP STEWARD'S REPORT: None present. COMMENTS FROM THE AUDIENCE: None REPORTS FROM PROGRAM MANAGERS: (1) As presented by Bill Dunckhorst - Manager of Water Systems: The cleaning of the large 420,000 gallon tank on Ralph Drive has been completed and was put back on line about one week ago. The cleaning process has taken about 3 weeks, as it took almost a week to drain the tank, another week to clean and scrub the tank, and a week to fill, chlorinate, and run sample tests, before putting back on line. All the time this tank was down and empty, the entire area that is served by the four Glenwood Wells was held and maintained with no problems through the two newly installed bypasses of the Globin System. In the past two weeks we have had two well failures in the Hoffman system. One failure was the submersible at the ~2 Glenwood Well. This was found to be a shorted wire about 40' down. The other failure was the ~2 Well at Tata Lane, which was found to be a loose shaft. Both wells were pulled and repaired by Nevada Pump Company of Carson City. Both of the 3-day holiday weekends were handled with no major problems. It was noted that on Saturday of last week, the flow in the Globin System was within about 1/2 mg of capacity flow. Regular Meeting -3- January 5,1978 WATER UTILITY COMMITTEE REPORT JANUARY 5, 1978 Water Production - Globin System MG December. Well Production Cold Creek Diversions Totals Calendar Year to Date: Well Production Cold Creek Diversion Totals 1976 1977 % Chanqe 5.2 43.0 48.2 314.6 505.1 819.7 13.6 48.7 62.3 299.9 465.9 765.8 +61.7 +11.7 +22.6 -4.9 -8.4 -6.6 WATER PRODUCTION, HOFFMAN SYSTEM MG, 1977 April 34.6 May 37.0 June 52.1 July 58.8 August 65.6 September 52.2 October 41.7 November 31.8 December 24.3 Regular Meeting -4- Ia nuary 5,1978 MANAGER OF OPERATIONS REPORT: As presented by J.Bonnet and R.L.Culp SUMMARY OF SOUTH TAHOE PUBLIC UTILITY DISTRICT WASTEWATER TREATMENT PLANT PERFORMANCE WITH RESPECT TO LAHONTAN R W Q C B REQUIREMENTS FOR DECEMBER 1977 AND JANRARY 1978 For the month of December 1977 the South Tahoe Public Utility District met without exception the Lahontan Water Quality Standards for Indian Creek Reservoir. Also, for the month of December 1977, the South Tahoe Public Utility District met the discharge requirements for the treatment plant with one minor exception. The plant met fully and without exception the standards for: 1. MBAS (Synthetic detergent) concentrations 2. BOO (biochemical oxygen demand) concentrations and pounds per day. 3. COD (chemical oxygen demand) concentrations and pounds per day. 4. SS (suspended solids) concentrations and pounds per day. 5. Turbidity (clarity) 6. Bacterial content (coliform most probable number). The plant also met the pH requirements for minimum and average pH at all times. However, the standard for maximum pH of 7.5 was exceeded on 9 days during December. To date (January 5th)in January 1978, the Lahontan standards for the treatment plant and Indian Creek Reservoir have all been met contin- uously and without exception. During the Christmas holidays plant flows equalled or exceeded max- imum daily summer flows of the past year. Daily flows exceeded 5.2 million gallons from December 26,1977 through January 1,1978 and the flow for December 29,1977 was 6.1 million gallons. Peak instantaneous flow rates exceeded 9 million gallons per day. The plant handled these flows with no problems. We have been regenerating carbon at the maximum feed rate for the past month. Thos has been working very well. We have increased from an average of 3500 pounds per day to 6000 pounds per day. This has enabled us to meet the COD requirement. The automatic lime feed to the rapid mix is paced from a pH probe installed in the rapid mix basin. This system is also doing a good job, but some modification had to be done to enable us to fine tune it for closer control. The Sodium Hydroxide System is complete, for manual operation. Some equipment, for automatic control, has not arrived yet, and we had to order a new pH monitoring system for the breakpoint chlorine effluent. The old probe that we had would not work. I would like to recommend that we retain the help of CWC through January to help us with the Sodium I-Iydroxide System. This would be of great help to operations because it is going to be fairly difficult to start this system and make the necessary adjustments for proper control. Mr. Culp also explanined the performance of the plant to the Board Members. (See table below) Regular Meeting -5- WATER QUALITY DATA - DECEMBER 1977 TREATMENT PLANT DESCRIPTION 38-day Average MBAS, milligrams per liter Lahontan Std. ,Less than Plant performance 0.3 0.12 BOD, Milligrams per liter Lahontan Std. ,Less than Plant performance 3.0 1.5 BOD~ pounds per day Lahontan Std. ,Less than Plant performance 187.0 43.7 COD, milligrams per liter Lahontan Std. ,Less than Plant performance 20.0 17.9 Milligrams per liter Lahontan Std. ,Less than Plant performance 1.00 0.99 pounds per day Lahontan Std. ,Less than Plant performance 62.0 29.4 COLIFORM MPN/100ml. Lahontan Std. ,Median less than Plant performance, Median less than Lahontan Std. ,Max. number consec, samples greater than 23 Plant performance,no, greater than 23 TURBIDITY, Iackson Units Lahontan Std. ,Less than Plant performance pH ,, units Lahontan Std., range Plant performance Max. Consec. Maxi- 7-day Avg. mum 0.5 1. 0.17 0. 5.0 1.7 312.0 52.5 25.0 23.7 2.00 1.88 125.0 52.6 5.0 1.6 10. 3. 625. 88. 50. 26. 250. 112. Min. 7.0i! - to Min. ?.0 i Avg. 7.5 10. 4. Max- 7 Max- 8. INDIAN CREEK RESERVOIR (ICR). pH ~ units Lahontan Std. ,less than measured Conc. in ICR AMMONIA, mg/1 Lahontan Std. ,less than Measured Conc. in ICR DISSOLVED SULFIDE, mg/1 Lahontan Std., less than Measured Conc. in ICR, less than DISSOLVED OXYGEN, mg/1 Lahontan Std., not less than Measured Conc. in ICR AVERAGE MAXIMUM 8.40 8.60 8.25 8.47 4.00 6.00 2.46 2.90 0.1 0.1 0.1 0.1 5.0 (minimum) 8.6 9.0 * Exceeds standard MANAGER - MAINTENANCE DIVISION REPORT Gene Eppler During the holidays we wxperienced sewer charging in the Ski Run Area. Thanks to Mr. Dunckhorst and his crew, full cooperation with Mr. Ross and the Underground Repair crew, they stopped what may have been the Regular Meeting -6- January 5,1978 District's worst spill. This was done by reducing the water pressure in the Ski Run Area. At Luther Pass Pump Station we have had several discharges through our surge relief system due to power failures. Hopefully, the system will be correctec~ in the spring of 1978. The plant modifications were worked on through the holidays. The RAS line on the flow equalization system is now complete. Che Sodium Hydroxide System is now operational. This system can be operated manually, and when the new pH probes arrive this system will be completely automatic. The second CO2 compressor has arrived, and will be installed next week. The only major item remaining to be completed in the corrective facilities is the new surge relief system at Luther Pass Pump Station. FINANCE OFFICERS REPORT: As presented by D.W. Callahan: Since the last meeting, the Board and staff have been given financial reports on both the water and sewer departments. The report on the water department indicates that revenues and expenditures are right on the budget for operation expense. The sewer department report also indicates that overall we are within the budget. The report, also, compares four months of expenditure to a year ago. The District has spent $700,000 more this yee r over last year for the four month period. ITEMS FOR BOARD ACTION: Manager Corer stated that we have heard from another Agency that advises us we are operating a watsr system without the proper permit and the State Health Department notified us that under the new Safe Clean Water Drinking Act it requires that we file a permit to operate the two water systems of which we have acquired. Manager Corer recommended approval of Petition Resolution No. 2100, Authorize Filing of Petition. Moved by Director Olson, seconded by Director ,t'ieldcamp unanimously carried. (b) Plans and Specifications Pump Installation - Glenwood Wells. Approve Plans and Specifications and Authorize advertising for Bids. Moved by Director Olson, seconded By Director Fieldcamp, unanimously carried. 2. Wastewater Plant Operations (a) Consultant Assistance. Authorize Extension of CWC Contract for Assistance in Plant Operation through February 1978. Manager Corer recommended this extension, and not to exceed $8,000.00. Director Fieldcamp moved, seconded by Director Cocking, unanimously carried. 3. Retirement Plans: (a) Employees over 58 years of age. Authorize District Contribution equal to Pension Plan Amount (6%). As recommended by Assistant Manager Callahan and Manager Corer. Director Olson moved, seconded by Director Cocking, unanimously carried, that RESOLUTION NO. 2101 A Resolution Authorizing the .District to Make Contributions to the Deferred Compensation I Plan for [Employees ineligible to Participate in the District Pension Plan. (b) Process Evaluation Engineer: RESOLUTION NO. 2102 - A Resolution Providing for Compensation of Process Engineer ($28,000 per year). Also It was requested that the job description of responsibilities be prepared for this position; for the Board Members also. Director Olson moved, seconded by Director Cocking, unanimosly carried. 4. Facilities Planning, Federal E I S: Director Olson moved, seconded by Director Fieldcamp, unanimously carried, RESOLUTION NO. 2103, A Resolution by the Board of Directors of STPUD Regarding the Environmental Protection Agency's Proposed '~chedule for Preparation of an Enviromnental Impact Statament. (President Kashuba would also assist in the Wwiting of the letter from the Board for the District's response to same). XIV WILL SERVE REQUESTS: None PAYMENT OF CLAIMS: Director Cocking moved, seconded by Director Fieldcamp, unanimously carried, claims in the amount of $322,894.55 be approved for payment as recommended by D.W. Callahan. ADJOURNMENT: 9:45 P.M. (PLEASE NOTE:-The next regular meeting of the Board of Directors will be January 26,1978 at 8:00 P.M.) Regular Meeting ATTE ST: -7- ~'ar~ary 5, i978 ~"~'r~ene L. K~sfiuba,' President South Tahoe Public Utility District CieYk-o~d'r~[ and Ex-Officio Secretary South T'~laoe Public Utility Di.s~-rict Regular Meeting of the Board of Directors of the South Tahoe Public Utility District January 26,1978 The Board of Directors of the South Tahoe Public Utility District met in a regular session 1/26/78, 8:00 P.M. District Conference Room. ROLL CALL: Present were President L. Kashuba, Directors W.N.Olson, F.J.Cocking, R.A.Fieldcamp and J.R.Jones; General Manager/Engineer J.R:Cofer, Assistant Manager D.W. Callahan, Attorney J.C.Weidman, Clerk of Board, G.Eppler, W.Dunckhorst, J.Bonnet, L.Smith, H.Ingwerson, J.Genzeli, Bill Ettlich, C.I.Ross, Mr. and Mrs. D. Huber, A.Kruse, T. Mc~hs~, Mr. Kylkendall, Lahontan. MINUTES: r~Director Cocking moved,seconded by Director Olson, unanimously carried, minutes of 1/5/78 be approved with the change - Addition of the Training Programs be added to the Research and Conservation Committee duties. REPORT BY BOARD MEMBERS: None COMMITTEE REPORTS: (1) Research and Conservation and Training: Director Jones stated that. the Committee met on January 25,1978 and concentrated on training programs for District staff. It was felt, that because of the complexities of the District's plant, the need for more general and specialized training is necessary. The Committee suggests that two lines of action be taken: (1) The District should develop a continuing education/training program to follow the training course given by CWC Consultants. The intent would provide the opportunity for employees to improve in the performance of their jobs. (2) The District should encourage the Lake Tahoe Community College to provide courses, either specialized short courses or standard college courses, which would not only benefit District personnel but employees of other local governmental entities or private businesses, who are technically oriented. The District personnel should be asked as to their needs/desires for types of courses. President Kashuba stated that any new recommendations, as they come before the Board, will be considered at the next regular Board meeting for action. (2) Water Utility, No report. (3) Plant Operations. No report. (4) Finance/Insurance: - Director Olson stated that each Director has a copy of a report regarding Water Connections and Service Fees and Sewer Connections and service fees, and asked the Board members to review and study same for action and/or consideration at the next regular meeting of this Board, Also, Mr.H.Ingwerson is present to explain the optical plan for the Management employees'and he is listed on the agenda. (5) Public Information, as presented By L. Kashuba: From the Public Information Committee,Lorrene Kashuba, Chairman and Director Olson. The Public Information Committee met on Tuesday, January 24 to establish Regular Meeting -2- January 26,1978 goals and objectives for the best dissemination of information through the news media to the public and to the employees through inter-plant communication. The main problem that was identified was statements of other agencies or persons not part of the Utility District upon which assumptions are made by the public at large. Recognizing the extreme importance of the public having the facts upon which to make their judgments, the following procedures are recommended to the Board for policy action at the next regular meeting. 1. Expand committee responsibilities so that each committee is on call at all times to meet with the manager to discuss the items which relate to the area of expertise of the committee. Analyze problems, reports immediately, relay information to Board members. If policy decisions are required, make appropriate recommendations for Board consideration. 2. %Arhen items of technical nature are released, they should be presented in an official press release which is printed. Board members need to be apprised of all the facts so that they can respond to requests from news media. The committee reviewed the importance of plant employees being constantly informed of District activities, and seeking employee's input. Committee will l. have recommendations to try to accomplish this. President Kashuba stated that the Board Members and Assistant Manager attended the CASA Conference in Palm Springs. It was a very valuable meeting. For the benefit of the audience, people should recognize that being a Board Member is a highly technical responsibility, and it is not something one can do without knowledge of what one is doting. An e~ucated Board is a benefit to this community, Some of the things that did occur at the meeting that were oflvalue to the Board Members and the Assistant Manager - they ilr?.~t with Mr. P.DeFalco regarding schedt~ling a meeting for changing of the two-year time period for the Environmental Impact Statement, (Mr. De~F~alco ts with EPA), on our Plant Modifications. They also had the opportunity to talk with Iohn Rhett, who is the Deputy Assistant Administrator of Water Programs Operation for EPA in Washington,D.C. on the same and he assured them that there is no reason why the Enviromnental Impact Statement should take more than a year, instead of 2 years and some months. President Kashuba stated we feel that we have to do everything we can to bring this time down because we are looking at an increase of from 30 to 50%, or nineteen- thirty-five million dollars. There was a big discussion on the Iarvis initiative, which will have a very large bearing on the ID"istrict's ability to provi~le service if it is passed. CASA opposed this Iarvis initiative, but supported tax reform. CASA is the lobbyi.est for sanitation agencies, and a very effective one, -and it. is ver~; important that we have this organization to work for us. CASA also endorsed a program, whereas I.C. ~Veidman, District Attorney, and some other members will look into the Porter-Cologne Act for changes as far as the appeal process in California. The Executive Session of the Organization will be in South Lake Tahoe in May; this is also called their legislative session, and take action. ~Vhen they do come here, Director Fieldcamp has arranged to take people on a tour, and also identify the areas of problems.We recognize that we were not only the first plant, we were also. ~he first tertiary plant, the first plant to have all kinds of problems, and visitors should be aware of this fact. Director Olson stated that he has a recommendation to make to the Board regarding educated a~anagement and educated personnel - "It will be the policy of the STPUD to send administrative management and Directors to educational conventions, college up-date courses, seminars, so tha~ they may be cognizant of other District problems, legislation, new methods, better procedures and documentation of public information. The expense of the taxpayer's dollar deserves an educated elected public official and competent personnel through education." This is a recommendation of the Public Information Committee that will come back to the Board for action and/or consideration at the next regular Board meeting. .Regular Meeting -3- January 26, ~978 HOWARD INGWERSON, Insurance Representative for Management Personnel, explained the Vision Program for those insured with Traveler's. The additional coverage will be an expense to the District of app¢oximately $1,400.00 to cover the Management Personnel of this District. There is no deduction for the employee, and no deduction for their dependents. Basically, this coverage would encourage those concern- ed to go and have an optical examination, get glasses, if necessary, from a qualified Doctor in our area, who will or has agreed to accept a set fee, under our plan, and this does not cover the charges for an ophthalmologist if the employee wishes to visit that specialist- the ophthalmologist has a scheduled coverage under this plan. Mr. Ingwerson stated the plan covers what the Doctors charge and what they have agreed to accept under this plan. Mr. Ingwerson stated that the Doctors under'this plan have agreed to accept what the Insurance company would pay - and the payment does go directly to the Doctor. In the matter of frames - there is a standard frame Insurance covers, however, any other frame of the employees choice will be their expense over and above the standard amount the insurance company would cover. There are four Doctors in this area the employee could see under this coverage. This is listed on the aganda this evening for consideration by the Board of Directors. Director Field'amp stated that he would like to have more information on the Dental Plan. Howard Ingwerson stated that he and Director Fieldcamp talked before this meeting, and he mentioned that before anyone authorizes and dental work done, be certain a pre-authorization is made by the insurance company so they will know full well just what the insurance coverage will be and what portion the insurance company will pay for. Mr Ingwerson asked Director Fieldcamp to plea§e stop by his office and he will call the claims office for his case. REPORT ON WORKSHOP SESSIONS: Manager Corer stated the following were held: (1) 1/13/78 Meeting with Congressman McFall re schedule for Federal Enviromnental .Impact Statement. (2) 1/23/78 - Agenda Items / Sewer and Water Connection Charges. (3) 1/26/78 - Consultant Panel Plant Inspection and Report to Lahontan. MANAGER'S REPORT: Manager Cofer stated he did not have a written report for this meeting, however, he did have 2 things he wanted to cover: (1) Last Friday was scheduled a workshop'~for public agencies to review the progress of Facilities Planning Program. The intent was to have an informal discussion of the staffs of the various agencies we have to deal with, we have to seek approvals and permits from, so they would not only understand what was happening in our facilities plan, but we would get some sort of a deed back as to their concern, or interest, or their suggest- ions. We sent letters to CTRPA, TRPA, Lahontan, City of South Lake Tahoe, County Health Department and some other agencies, and not one of the agencies showed up for our workshop session - we were not only disappointed, but concerned, as to their obrcious lack of concern or interest as to what is happening on the Facilities Plan. Since they did not show up, we hhd a technical staff meeting with Lahontan and the State people in reviewing the report from Mr. Culp and the EIR Bob Jones, environmental consultant, was particularly disturbed, in ~. that he has tried desperately to get some input into the Environmental Impact Report, or efforts to get comments from these agencies and failed. We suspect because of the announcement by EPA of the 2-year schedule for the EIS they feel there is no urgency and we hope we can find a way to shorten this time up. (2) The other item Ma~rager Corer wanted to discuss was the Consultant's Panel Inspection of the Plant. A statement has been prepared by the Board President and reads as follows: Ms. Lorrene Kashuba, President of the South Tahoe Public Utility ~Distr£¢t reported today that the Special Board of Consultants visited the District's treatment plant on Wednesday, January 23, 1978 to review the status of the interim plant improvements being implemented to bring the plant dis- charge into compliance with the Lahontan Regional Water. Quality Control Board requirements. Mr. Harvey Banks, President, Water Resources ~Division, Camp Dresser and McKee, Inc., Environmental Engineers, and-Chairman of the Consul- tant Panel, reported to the STPUD Board of Directors that the Panel was Regular Meeting -4- Ianuary 26,1978 pleased with the progress being accomplished iby the District in the completion of the plant modifications and in the meeting of all dis- charge requirements since December 29,1977. Mr. Banks outlined a special plant performance testing and monitoring program developed by the Consultant Panel so that the Panel could verify and confirm estimates of effective plant capacity. Mr. Banks stated that ~he Panel is not prepared at this time to state a plant capacity figure and that when the Panel does make a final estimate they hope to have the estimate sufficiently documented to be defensible before the Lahontan Board. The Panel is scheduled to return to the Lake to inspect the plant during the February 20-21 period when high wastewater flows are anticipated due to the YVashington's Birth- day holiday period. The Panel is scheduled to make the final assess- ment of plant capacity in February. Inspecting the plant were other members of the Consultant Panel: Mr. Murli Tolaney, Vice President ~ames M. Montgomery Consulting Engineers, Inc., Mr. David G. Argo,D%s~ri~.~ Engineer-Orange County Water District, Dr. Edward D. Schroeder, Professor and and Chairman - Department of Civil Engineering-University of California, Davis. The fifth Panel Member - ~.~r. Ray E. Lewis, Chief Engineer - Orange County Sanitation District's was not able to attend the Wednesday inspection. Manager Cofer stated the Panel did make special mention of the job being performed by the staff - operation and maintenance crews, and they wanted to make sure that the Board and the Staff were aware that they felt a real outstanding job has been done. ~r. Bill Ettlich of C~qC stated that the report of the Consulting Panel sun~arizes quite well the performance of the plant - to day, this month, the plant has met all water quality standards without exception; during the month of December the Lahontan quality standards were met with very minor exceptions in pi{. ?he work of the operations and maintenance staff have been outstanding, especially this month. During the Christmas vacation, the plant experienced loads that were equal to essentially the earlier record loads; there were several days of low very close to 6 mgd and some that were over 6 mgd, and during those periods the plant performed flawlessly, other than for pH. Director Fieldcamp stated that the performance of our employees shows the wonderful cooperation and a good morale or we would not have this and stated he was pleased to learn of this. Mr. Lttlich stated that the credit definitely does go to the operations and maintenance personnel, because the work would not have been accomplished without them and their great interest. ATTOrnEY'S REPORT: As reported by J.C. ~leidman, Attorney: (1) The action of the Union and the employees was finally concluded, as the Board authorized in December; release of claims is in our office and the dismissal of appeal - that action is over. (2) ?he Jarvis Amendment - He attended the Attorney's Committee meeting at Palm Springs Friday, and the Jarvis Amendment simply places a limit on the amount of taxes that can be taxed on property. The limit is 1% of the full cash value of the property, as per the 1975-1976 determinations, plus increases for property that has been purchased subsequently or acc~ned. This amendment does not affect the District's ability to tax for previously issued assessment District bonds, and pre- viously issued bonds, but it is going to place a limit on what the District can get by revenues from taxation. ?he predictions of the Attorney's Committee was that the amendment, if it passes, provides that this 1% will be apportioned within the Districts by the County - the County will collect this, and the prediction of the Attorney's Committee is that District's that can charge will not get Regular ~eeting -5- January 26, 1978 any of this share, or a little of this share, therefore, a sewer or a water district that can collect revenues by charges probably should not expect any revenues from property taxes. This bill would be effective July 1, 1978, if it passed, and it is on the June ballot. Mr. Weidman stated that his suggestion, to the ~istricts he represents, is that they prepare a budget during the last quarter of this present fiscal year, based upon no property tax revenues for operation and maintenance. Some Districts raise all of their revenue by taxes, and some Districts raise a percentaqe of their revenues by tax. Our water enterprise is required to be kept separate from our sewer enterprise, and our water enterprise is on a pay-as-you-go basis by charges and not taxes, so we are in faily good shape there, but we are in need of improvements in the water system. In our sewer enterprise, we have about one-half from taxes and the other one-half from sewer service charges. The Jarvis Amendment would mean no taxes for operation and maintenance, but the doubling of the service charges. Mr. Callahan agreed with this. ~r. Weidman stated that there will be several efforts by the legislature to combat the efforts of the Jarvis amendment. (3) Appeal proceedings from the Regional Water Quality Control Board has taken some 20 months, in one case, without a hearing on issues, and in another case of which Mr. Weidman is involved, now 8 months without a hearing on the issues, and the Attorney's Committee found out that if the State Water Resources Control Board really wants to hear something, they will ~aar it in a hurry and make a decision - so it is discretionary with the SWRCB as to when they hear any particular appeal, and Mr. Weidman stated in his judgement is not a fair and impartial way for public agencies to have their appeal proceedings heard. Mr. Weidman stated the Attorney's Con~ittee asked him and an Attorney from Grass Valley to contact the local legislatures to see if they can draft up to the legislative counsel some time limitations on appeals before the SWRCB. Also, investigation will be made as to the State Board using hearing officers instead of Board Members. Mr. Weidman stated that Director Jim Jones attended the 5 hour proceedings - Attorney Committee Meeting with him at Palm Springs. Director Jones stated that was a very informative meeting. He had a copy of the Jarvis Bill, which he will make copies of for the Board Members. Also, another initiative entitled Taxation Expenditure Limitation - similar to the Jarvis Bill, which has been filed with the Attorney General's Office, which has to do with a transaction tax on everything that goes through the Bank Account, in case the Jarvis ~endment passes, and the State could get some alternate source of funds and pass back to the county. Manager Cofer suggested that perhaps the Board would like to have a Workshop Session, as he personally has a concern of having a Hearing Officer only an Attorney, as that could be a very dangerous mistake; he stated appeals to the State Board are not only legal appeals, there is policy, engineering consideration, but he stated he would not agree to having an Attorney for the complicated wastewater issues at the State Board. (Workshop Session Scheduled for Tuesday 1/31/78, 3 pm). President Kashuba asked the Finance Committee to study the Jarvis Amendment and review. SHOP STEWARD'S REPORT: None present. COMMENTS FROM THE AUDIENCE: None. ~NAGER, Water Supply Systems Report - W. Dunckhorst Operation of the water department has been going quite smoothly this month. In comparison, last year a~ this time we had numerous water leaks, and this year very few. Thursday of. last week a City Rotary Snow Blower hit a hydrant in the A1 Tahoe area. Because of the flow of water at the base 2oz2, Regular Meeting -6- January 26, 1978 of the hydrant we could not get to and locate the hydrant valve. The A1 Tahoe area had to be shut down for approximately 2 hours before we could get to the valve and shut it down. We received this call about 4:30 P.~. and water was restored in the area by 6 P.~. On Friday, the following day, we received a call again in the A1 Tahoe area about 11:00 A.M. stating a telephone company crew hit our 8" main on Sacramento Avenue with a backhoe, and a large piece was ripped open by a tooth of the hoe. A 4' section had to be cut out and replaced with a new section. Again the water was restored to the area by 6:00 P.~. Due to the heavy snowfall the past two weeks, we have had to install 4 space heaters inside the building of Harrah's Reservoir. The heat inside is going up and melting the snow on the roof. We have depleted the snow from approximately 3 feet to about 18 inches. It is costing about $35.00 per day to run the four space heaters on a 24-hour basis. PLANAGER OF OPERATIONS - John Bonnet From January 1, 1978 to date, the South Tahoe Public Utility District has met all discharge requirements and all requirements at Indian Creek Reservoir. The only problem we may run into is the ammonia in Indian Creek Reservoir. We are feeding as much chlorine as possible to the breakpoint contact basin and breakpoint contact basin and breakpointing the entire flow. If this does not reduce the ammonia low enough, it may be necess- ary to run a temporary chlorine line to the breakpoint chamber, above ground. ?his would give us twice the chlorine capacity for reducing the ammonia. We have had no major equipment failures since the last board meeting. I have attached to my report the Lahontan Discharge Require- ments for Indian Creek Reservoir along with the plant performance and Indian Creek Reservoir Data for your infor- mation. ~3~AGER OF ~.LAINTENANCE - Gene Eppler I am pleased to inform the Board as of January 16, 1978 all plant modifications have been completed. One outside correction remains to be completed, which is the surge relief ~ystem at Luther Pass ~ump Station. Correction to this system is scheduled for this spring. Our plant maintenance department has started its routine maintenance on all plant facilities. These items were neglected somewhat during the plant modifications. The electrical department has also started their routine maintenance program. On January 17th at approximately 1:00 A.M. a single phasing power loss knocked out numerous pieces of equipment at the plant. This required trouble shooting of the entire plant system and replacing fuses and resetting circuit breakers throughout the system. This power failure also shut-down the Luther Pass Pump Station, causing the surge relief system to discharge approx~ imately 10,000 gallons of effluent. The pump crew returned the station to normal operations at 2:10 A.M. The Underground Repair Crew has been devoting their time to snow removal at the plant and outlaying pump stations; also, repairing manholes hit by City and County snow equipment. In addition to routine maintenance being performed by all the departments of the maintenance division, the attached list of priority items are also being completed. Regular Meeting -7- January 26, 1978 FIN~CE OFFICERS REPORT - David W. Callahan I have given each of the Directors a set of financial statements on the Water Enterprise as of December 31, 1977. The statements are in two parts - first, a comparative statement to the budget for fiscal year 1977-78. I will summarize this statement by stating that the total operating expenses for the six months are slightly more than half of the year's budget. However, I would anticipate, without an unexpected emergency, that the year's operating expenses will not exceed the budget by more than 5 percent. The second statement is prepared per the requirements of our acquisition agreements. It includes a comparative statement to a year ago. Operating income is up 13%, operating expenses are up 30%, and net operating income, before depreciation, is down only 8%. However, during the six months we spent approximately $67,000 on system improvements, and increased our available balance of $40,000. The District equity in the Water System has increased to $780,000. Assistant Manager Callahan also stated that with the increase of the power bill by Sierra Pacific Power Company with their rate increases as of 2/1/78 will increase the Sewer Department Power Costs by $126,000 annually and the Water Department increased by approximately $8,000-10,000 annually. Street Lighting increase will be approximately 100% increase. WORKSItOP SESSIONS FOR BOARD OF DIRECTORS, AS FOLLOWS: 1/30/78 1/31/78 2/1/78 2/2/78 2/7/78 2/10/78 2/13/78 2/15/78 Sewer/Water Budget Review 3 P.M. Proposed Amendments Porter-Cologne Act 3 P.M. Agenda Items District Programs Board Meeting 4 P.M. 8 P.M. Board & EPA at San Francisco Review Indian Creek Reservoir Studies 3 P.M. District Programs (Tentative) 1 P.M. District Programs Regular Board Meeting - ($'~DNESDAY) 4 P.M. 8 P.M. ITEMS FOR BOARD ACTION (1) Interim Plant Modifications. (a) Report to Lahontan, Plant Modifications - Approve Report and Authorize Submittal to the Lahontan RWOCB., this meeting will be held 2/9/78 at Victorville, Ca. 9:00 A.M. and we are number 11 on the agenda for a status report, re: Cease and Desist Order. A report has been prepared that Manager Cofer would like to submit to Lahontan regarding physical changes made at this plant and what we have been doing here at the plant. Director Olson moved, seconded by Director Cocking, unanimously carried that the report prepared by Manager Cofer be approved for submittal to Lahontan at the 2/9/78 Victorville meeting. (2) Facilities Planning Program - Contract, Middlebrooks and Associates, Inc., "Effluent Effects on Indian Creek Reservoir" - Approve Contract and Authorize Submittal to State for Approval, upon review of John C. Weidman, Attorney. Director Cocking moved, seconded by Director Olson, unanimously carried. (Dr. Middlebrooks will be here 2/10/78 re report). (b) Preliminary Priority List - State Water Resources Control board. Ratify Manager's Actions re Rescheduling of STPUD's Regular Meeting -8- January 26, 1978 Projects. Director Olson moved, seconded by Director Cocking, Unanimously carried. (3) WATER DEPARTMENT - Installation of Glenwood Wells - W. Dunckhorst stated one bid only was received from Nevada Pump and Drilling Company in the amount of $10,747.00 and $3,000 for our two used pumps-trade in. Mr. Dunckhorst recommended that the Doard hold-off on awarding this contract because this Company does not possess a California license - they have applied for a California License, and should have same in about 4 or 5 weeks. Attorney Weidman stated the Board should reject this bid as non-responsive. Director Fieldcamp moved, seconded by Director Cocking, unanimously carried, the bid be rejected as non-responsive. (This can be readvertised in approx. 3 or 4 weeks again). (4) Safety Glasses, Operation and Maintenance Personnel - Authorize Program for Providing Safety Glasses. Manager Cofer stated we have conducted an investigation into the need of safety glasses for our employees, and the District does have a Safety Officer, Mr. Tom McGhee, and asked Rr. McGhee to make his report to the Board regarding need of Safety Glasses. Mr. McGhee stated that he as made a preliminary investigation as to the charges for safety glasses and he spoke with Dr.~eck, who has a similar program for the City of SLT and the Telephone Co., and he did assure Mr. McGhee that the costs for safety glasses would be a very minimum charge. We have had one bad experience with an employee and an injury to the eyes, and he strongly urged consideration of adopting a Safety Glass Program - this would be mandatory under certain circumstances that employees wear safety glasses, wherever needed and on certain jobs requiring same. Director Olson moved, seconded by Director Cocking, unanimously carried. (No cost to employee; District expense). ~anager Cofer commended ~r. McGhee on the work he has done re our Safety Program. (b) Vision Care Plan for Management Employees. This was discussed with the Finance Committee Report. Director Olson moved, seconded by Director Jones, unanimously carried, this plan be approved for Management Employees. 5. Fallen Leaf Lake. Approve Agreement. Agreement for Soil Investigation. Manager Cofer stated we have a contract with J. Kleinfelder and Associates to do this soil investigation and recommended approval of same and not to exceed $8,500.00. Director Olson moved, seconded by Director Cocking, unanimously carried. WILL SERVE REQUESTS: - Assistant Manager Callahan stated we have a request for Remodeling Swiss Chalet and a reduction from 19 to 4 sewer units; removal of motel units and reconstructed for offices. He recommended same be approved. Director J. Jones moved, seconded by Director Olson, unanimously carried, Will Serve Request be approved. PAYMENT OF CLAIMS: Assistant Manager Callahan reconu~ended payment of claims in the amount of $317,986.49 for approval; Director Olson moved, seconded by Director Jones, unanimously carried. ADJOb~EN~: 10:15 P.M. (Next Regular Meeting 2/2/78, 8 P.M.) .~ Kash~ba~ president South Tahoe Public Utility District ATTEST: Cle~k~o~ Board and Ex-Officio Secretary South ~ahoe Public Utility District REGULAR MEETING OF THE BOAP~ OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT February 2, 1978 The Board of Directors of the STPUD met in a regular session 2/2/78 at 8 P.M., District Conference Room. ROLL CALL VOTE for Board Members - Ail present. Also present were General Manager, J.R.Cofer, Asst. Manager D.W. Callahan, Clerk of Board, Attorney J.C.Weidman, Mr. and ~rs. B. Baer, Mr. and Mrs. D. Huber, D. Bates and Mr. A. Annocian of REM, C.I. Ross, G. Eppler, J. Bonnet, W.Dunckhorst and Mrs. Dunckhorst, J. Genzeli-Lake Tahoe News; Mike McNamara - Tribune, Larry Smith, R. Hampson - LRWQCB. (Board Members = L.L. Kashuba, F.J. Cocking, J.R.Jones, W.N.Olson and R.A. Fieldcamp). MINUTES OF January 1/26/78 - Mr. J. Jones stated that the minutes reflect that Mr. John Rhett is the Administrator of Water Programs - this is an incorrect title - he is the Deputy Assistant Administrator of Water Programs Operation. Neal Olson Moved, Seconded by R. Fieldcamp, unanimously carried, minutes be approved as corrected. BOARD ~MBER REPORTS - None. President Kashuba welcomed Mr. Bob Baer, Process Evaluation Engineer for the District, and his wife COMMITTEE F~PORTS: (1) PL~qT OPERATIONS: Director Fieldcamp stated he did meet at the District with visitors that toured the facilities with he and Manager Cofer, Bill Ettlich of CWC, Mr. A. Kruse - Tour Director, and two Air Force Men, and he spent 6 hours touring with the visitors on 1/27/78. (2) RESEARCH, CONSERVATION ~ND TRAINING: Director Olson stated that he has a recommendation to make to the Board regarding educated management and educated personnel - "It will be the policy of the STPUD to send administrative management and Directors to educational conventions, college up-date courses, seminars, so that they may be cognizant of other District problems, legislation, new methods, better procedures and documentation of public information. The expense of the taxpayer's dollar deserves an educated elected public official and competent personnel through education." This is a recommendation of the Public Information Committee that will come back to the Board for action and/or consideration at the next regular Board meeting. HOWARD INGWERSON, Insurance Representative for Management Personnel, explained the Vision Program for those Insured with Traveler's. The additional coverage will be an expense to the District of approximately $1,400.00 to cover the Management Personnel of th~s District. There is no deduction for the employee, and no deduction for their dependents. Basically, this coverage would encourage those concerned to go and have an optical examination, get glasses, if necessary, from a qualified Doctor in our area, who will or has agreed to accept a set fee, under our plan, and this does not cover the charges for an ophthalmologist if the employee wishes to visit that specialist - the ophthalmologist has a scheduled coverage under this plan. REPORT ON WORKSHOP SESSIONS: As mentioned by Manager Cofer: (1) 1/30/78 Review Sewer/Water Budgets (2) 1/31/78 Proposed Amendments to Porter Cologne Act (3) 2/1/78 Agenda Items (4) 2/2/78 District Programs ~AGER~S REPORT: Manager Cofer stated he has no written report this meeting. He did, however, welcome Mr. Bob Baer to the staff of the South Tahoe Public Utility District. Eegular ~eeting -2- February 2, 1978 Manager Cofer stated today he met with representatives of the Union regarding a proposed reorganization, and will have to the Board by February 15th for action and/or consideration. ATTOrnEY'S REPORT: John C. Weidman, Attorney, Stated all items are listed on agenda. SHOP S%'EWARD'S REPORT: None present. CO~LMENTS FRO~ AUDIENCE: None ~NAGER WATER SUPPLY SYSTEMS - W. Dunckhorst Ail operation in the Water Department is going very smoothly. There have been no problems of leaks or water shutdowns at all this past week except Ann & Pionner and Barbara and Sierra but very minor. Progress is continuing on the cleanup and painting of all the pump stations in the Water Department. The stations that are now completed are Helen Station, Ralph Station, and the Dlackrock Station. There are 22 stations in the Water Depart- ment that are being cleaned up, insulated, and painted. It will be spring or early summer before all of these stations are completed. The filter plant modification is now progressing, as all material that has been ordered has arrived. I feel this work will be completed in the next couple of weeks. Mr. Joe Scalmanini of U.S.Davis, who is doint our groundwater study, informs me progress is going quite well, most all studies are complete, and that information we have been able to give him, and the field work Dave Huber has done, is greatly appreciated. An oral progress presentation will be given the 15th of this month. WATER UTILITY COmmITTEE REPORT February 2, 1978 Water Production - Globin System January (M.G.) Well Production Cold Creek Diversion Totals 1977 1978 %Change 8.1 4.9 -39.5 44.4 52.9 +16.0 52.5 57.8 + 9.~ Water Production - Hoffman System ~[.G. January - 33.2 A water flow comparison of 1977 will be started in March 'as that is when metering was completed for the Hoffman System. Water Production - Globin System (~,.[G) March 3, 1977 February Well Production Cold Creek Diversion Totals 1976 1977 %Change 18.9 ~ -34.9 31.2 31.5 - 1.0 5-~ 4~.8 -12.6 Calendar Year to Date Well Production 25.9 Cold Creek Diversions 77.3 Totals 10322 20.5 -20.8 75.9 - 1.8 96.4 - 6.6 Water Production - Hoffman System (MG)* February 7.2 Production recorded at five metered wells. Records not available Regular Meeting -3- February 2, 1978 at ten wells where meters have not been installed to date. REPORT - ~iAi4AGER OF OPERATIONS John Bonnet I am pleased to report that for the month of January 1978, the South Tahoe Public Utility District has met all standards for our final effluent as well as the standards for the Indian Creek Reservoir. We have had some problems with turbidity which tended to increase the final COD. It was discovered that the alum pump was unable to pump against the pressure of the dilution water. We have ordered new pumps to replace the existing alum pumps, rather than rebuild them. To rebuild these pumps, the cost is approximately $2700.00 for both pumps. · he new pumps will cost approximately $1500.00 for both pumps. Also, we can have one of the new pumps by next week, and possibly installed. ~onday and Tuesday Gene's crew helped us put 35,000 pounds of virgin carbon into the carbon columns. This was done at the Consulting Panel's request to better evaluate the carbon system. We are running two columns at 700 gpm, which represents design flow capacity. This will continue until February 20th when the Consulting Panel arrives to inspect the plant on the weekend of Washington's Birthday, which will be a busy weekend resulting in high flows to the plant. REPORT - MAi~AGER OF ~.~INTENANCE DIVISION - Gene Eppler On January 30th and 31st, Maintenance Crews placed 35,000 lbs of birgin carbon in columns 1, 3, 4 and 5 per the request of the Consultant's Panel. On January 31, 1978 ~r. Ross and Mr. Fagot accompanied me to Vallejo to inspect their injection pumping system. Their system is basically like part of the Fallen Leaf Lake project. The trip was very informative and thanks to Mr. Neely of the Vallejo Sanitation District, we inspected items such as pump type, valving, access and pump controls systems. Our plant has continued to operate with no major mechanical ~roblems, and the maintenance crews are continuing work on their priority list. FINANCE OFFICER'S Pd~PORT - D.W. Callahan This past week we received the final reimbursement from EPA and State in the amounts of $45,768.00 and $7,795.00 respectively for the plant improvements completed in 1975. La~ week I reported that the electrical power rate increase by Sierra Pacific Power Company would increase sewer department operating cost a minimum of $125,000.00. If the rate increase requested by California Pacific Utilities is granted, it will increase the cost of our natural gas by a minimum of $40,000.00 the first year. Their rate increase requested includes 19.2% this year, 21% next year, and 22% for 1980 for their largest users. The ~istrict requested and received approval to hire two additional employees under the Comprehensive Employment and Training Act. These employees will be assigned to clean- up and painting the plant buildings. ITEm,S FOR BOARD ACTION: - (1) Repair Export Pipeline (a) Engineering Reports by RE~ - "Preliminary Engineering Report Luther Pass Export Pipeline"- "Luther Pass Booster Pump Station Surge Discharge Facilities"- approve corrective program. ~anager Cofer stated the staff has reviewed these reports, and stated the time is now to move Regular Meeting -4- February 2, 1978 ahead with the design. Mr. An~ooucian and Mr. Bates from RE~i were present for this meeting and requested to summarize the two reports for the Board - which Mr. Annooucian did. Manager Cofer recommended both reports be approved by the Board - Director Olson moved, seconded by Director Jones, unanimously carried. (b) Export Pipeline ~ork Plan, Scope of Work, Budget, and schedule - REM - Approve Work Plan and Scope of Work and Authorize Engineering Work. (Contractor will do the actual work and District Crews will do the T.V. Inspection). Director Jones moved, seconded by Director Olson, unanimously carried. Manager Cofer stated that Environmental Impact reports would perhaps be required for (a) and (b) above - and perhaps the Luther Pass Pump Station Surge Discharge Facilities could possibl be done through a Negative Declaration, and Manager Cofer requested authorization to ask Jones and Stokes, Associates to meet with us and discuss the two projects -- pipe replacement and surge prevention and ask for their proposal to prepare an EIP, and if we find that the Surge Prevention cannot be covered by a Negative Declaration then we would have to request Jones and Stokes to include that in their proposal - J.C.Weidman and CTRPA believes it could, however, be handled by Negative Declaration for the surge prevention. Moved by Director Cocking, seconded by Director Jones, unanimously carried, Manager Cofer's request be approved. 2. Request by Alpine County, Fire Hydrants on Export Line. Letter dated 1/25/78 from Alpine County requesting installation of 3 or 4 fire hydrants, from County Engineer Mr. John A. Haug of Alpine County. Attorney Wei~gan stated we are obligated to put in a valve at Indian Creek Reservoir, which is in, and another which is in the Woodsford area which is in and never been used and 5 additional outlets, at places to be designated by Alpine Water Agency -- there are 2 additional outlets there and one which is incapable of being used, and another, which is capable of being used, so our obligation, Mr. Weidman stated, is to put in 3 additional outlets at our cost, per 1967 contract; however the agency must meet any requirements imposed by Lahontan on the District, on the agency, in connection with tile use of these outlets and our obligation is conditioned to that respect. ~-ir. ~feidman also stated that in the letter from Alpine County he noted that they are looking for this installation as soon after our "Facilities Plan" is adopted, and he felt we should tell them that we will honor our commitments, we are obligated to this, subject to the contract which the agency must also meet, and Mr. Weidman stated we would respond to their letter with this information he has mentioned. Manager Cofer also stated that he is not certain A~pine County understands the time frame for Adoption of our Facilities Plan, and we should probably tell them about the EIS Schedule and the fact that, at the present time, the lowest cost alternative would involve secondary effluent in that line, which would probably not be useable for any five hydrants, and ~anager Cofer concurred with Mr. Weidman's recon%m, endation. Director Olson moved, seconded by Director Jones, that we direct Staff to respond to Alpine County in the manner as indicated by J.C. Weidman and ~anager Cofer, carried unanimously. 3. Plans and Specifications, Secondary Effluent Pump Motor only - Budgeted Item. Director Cocking moved, seconded by Director Fieldcamp, unanimously carried, plans and specifications be approved and authorize advertisement for bids. (Bid opening scheduled 2/15/77, Wednesday, at 2 P.M., District Office, 1275 Meadowcrest Drive - South Lake Tahoe, Ca.). Regular Meeting -5- February 2, 1978 4. Sanitary Sewage Project No. 1961-1 - t~SOLUTION NO. 2104, A Resolution Determining Surplus and Ordering Fund Transfer, San. Sew. Proj. 1961-1 - (Transfer $8,832.00 to general fund).- Director Cocking moved, seconded by Director Fieldcamp, unanimously carried, RES.NO. 2104 be approved. 5. Consideration of Connection Charge - Water Systems = Direct Staff. Manager Cofer stated this was placed on the agenda at the request of the Finance Committee, and there have been several committee meetings regarding this - - we presently have no connection charge for the water system. The Finance Committee recommended that the staff prepare a tentative budget for water system, which included a connection charge in it, and come back to the Board with the tentative budget on 2/15/78; the Water Committee also recommended that a Master Plan of the water system would be in order. Director Olson moved, seconded by Director Fieldcamp, unanimously carried, the staff prepare the tentative 5-year budget by 2/15/78 for presentation to the Board. 6. Consideration of Increasing Connection Charge - Sewer System - Director Olson moved, seconded by Director Fieldcamp, unanimously carried, the staff prepare a tentative budget by 2/15/78. 7. Activated Carbon - Board Authorized on 12/6/77 purchase of 86,000 lbs regenerated carbon at a total cost of $34,056. District purchased only $10,000 of regenerated carbon and approximately $24,000 is available on purchase order. District would like to purchase virgin carbon with remaining funds authorized. Director Olson moved, seconded by Director Fieldcamp, unanimously carried, the District be authorized to purchase approximately 38,040 lbs of virgin carbon instead of regenerated carbon. 8. Proposed Amendments - Porter Colonge Water Quality Control Act - (a) Reclamation of Wastewater for Beneficial Uses. ~anager Cofer stated the Board held a workshop session to dis- cuss possible amendments to the Porter Cologne Water Quality Control Act, and one of the amendments discussed would be the amendment that would modify the present probition of any reuse of waste water within the ~ahoe Basin, and Manager Cofer presented a draft. Resolution to the Board for their consider- ation, trying to outline all the points this Board has discussed. The Board and staff reviewed this Resolution in detail, and by ~oll call vote: Director ©lson move~, seconded by Director Jones, unanimously carried, RESOLU?ION ~.~O. 2105, A Resolution of the Board of Directors of the STPUD Supporting ~endments to the Porter-Cologne Act to allow Wastewater to be Reclaimed and Used for Beneficial Purposes Within the Lake Tahoe Basin. i4anager Cofer stated a letter has also been prepared for mailing to Alpine County Supervisors regarding reuse of treated wastewater within the Lake Tahoe Basin, and the Resolution being sent to Assemblyman Waters. Director Cocking moved, seconded by Director Fieldcamp, unanimously carried, this letter be sent to Alpine County Board of Supervisors, as prepared and drafted by Manager Cofer. (b) Time limits for processing appeals before State Water Resources Control Board - ~4anager Cofer stated that the in-basin demonstration program is one of the four alternatives under consideration in the Facilities Plan and may not be the recommend- ed plan, and whether it is or not - the need to consider reuse in the basin is still going to be there, and the artificial restraints we have on time limits on facilities planning is only for the grant program, we still must consider in basin reuse. At the CASA Convention, President Kashuba stated that people from all over the State were concerned with the Time Limits for Processing Appeals before SWRCB, and the Board has some proposed action on this tonight. 2.0.31 Regular tleeting -6- !~ebruary 2, 1978 Attorney John C. Weidman stated that he has been concerned over the time constraints the STATE WRCB have had in handling appeals that he is familiar with, and in discussing with the Attorney's in the Sanitation Association Neetings on the problems they have had in getting the SWRCB to act. Lahontan must act with- in 60 days, or one has a right of appeal to the S~fRCB, and the 30-day time limit appeal starts if Lahontan does not act within 60 days; once one gets to the SWRCB, there is no similar time constraints upon the SWRCB to handle one's appeal. l~e stated in the matter of Tahoe Truckee Sanitation District appeal on waste discharge requirements (a portion of them) - that appeal was filed June 13th and Mr. Weidman asked for a 20-day extension, and will be scheduled for decision ~arch 16th- that is 8 months, there is a matter of 20 days delay on the part of the appellant. The Alpine Springs County Water District appeal is over 2 years old, and some of this delay would be by mutual agreement. Mr. Weidman stated he has been told by State Staff there are other appeals pending that have been hanging around for over a year. tle stated he does not feel this should be permitted, it is not fair to anyone, and that the State of California should assume the responsibility of proptly handling appeals from a Regional Water Quality Control Board, and a 60-day time limit he feels is reasonable, and if they do not act in that period of time, the appellant should have access to the courts now permitted by the Porter- Cologne Act, and that the Governor and the Legislature have an immediate responsibility to all appear who appear before the SWRCB, provide the funds and staff and organization to handle promptly appeals, lie stated that he discussed him thoughts with Mr. R. Hampson in the corridors of the Resources Control Building today. Mr. Weidman stated that he really feels that the courts should decide cases. Mr. Weidman stated he felt the Board should ask their Assemblyman to in- troduce legislation, which would put a 60-day time limit on the SWRCB to process appeals from the Regional Board and if there is no decision within that time limit, the appellant has the access to the courts; this should be applied to all pending appeals, and that it should be urgency, Mr. Ifeidman stated. The concept is, Nr. Weidman stated, justice is delays, is justice denied, and someone should point this out, as the Association of Sanitation Agencies has, and the Committee asked Nr. Weidman to see if he could get this introduced, and he stated that he would like to do this with the Boards author- ization. Manager Cofer stated that he would support for the State Board to have a timely review on appeals; there is a possibility, of courcse, that we will have an appeal. We have put off going to Lahontan from November until ~arch, becuase we are not ready to go to Lahontan. There is a definite need for timely reviews. tie supports Mr. I~eidman's reco~]endations, and suggested that this Doard take an action directing Nr. ~idman to work with Assemblyman Waters to draft such legislation. Director Jones stated that Nr. R. Hampson of Lahontan is present this evening, and asked if he had any comments to make regarding this subject. Nr. R. Hampson, Lahontan RWQCB, stated that he certainly sympathizes with this District and other Districts as to wanted to expedite decisions as soon as possible. Decisions of ~he Regional %later Quality Control Board are followed by SWRCB, and then to Superior Court. lie stated the slow processes, from his experience, is with the Courts. I~e stated that the Board should not expect a lot of relief in this total system - justice takes much time. tie stated, also, if this District feels the road-block is in Sacramento, then perhaps that is where the District should go, but he did not feel it would make that much difference. Manager Cofer stated that he disagrees with Nr. tlampson to the extent of he is not aware of how many decision of the State Board go to court, but he does believe in the system, and hope most of the issues are resolved at the State Board hearing; the Regular Meeting -7- February 2, 1978 problem is that you have to get the decision from the State Board. Manager Cofer stated if we could get some time limits, and decisions, perhaps and hopefully we could stay out of the courts. Manager Cofer recom~ended that our Attorney work with Assemblyman Norman Waters in drafting and introducting legislation re time limits on appeals, applying to all pending cases now - this is one of urgency. Director Cocking moved, seconded by Director Olson, unanimously carried. (Unanimously carried by ro~l call vote of Board Members). Public Information Committee Recommendations of 1/26/78 Regular Meeting. (1) Expand committee responsibilities so that each com~ittee is on call at all times to meet with the Manager to discuss the items which relate to the area of expertise of the committee. Analyze problems, reports immediately, relay information to Board Members. If policy decisions are required, make appropriate recommendations for Board consideration. (2) When items of technical nature are released, they should be presented in an official press release which is printed. Director Olson moved, seconded by Director Jones, unanimously carried. Research, Conservation and Training Committee recommendations of 1/26/78: (1) The District should develop a continuing education/training program to follow the training course given by CWC Consultants. The intent would provide the opportunity for employees to improve in the performance of their jobs. (2) The District should encourage the Lake Tahoe Community College to provide courses, either specialized short courses or standard college courses, which would not only benefit District personnel but employees of other local governmental entities or private businesses, who are technically oriented. Director Cocking moved, seconded by Director Jones, unanimously carried. Director Jones stated we should set up a date to get together and get recommendations re this training program. Manager Cofer stated we have received inquiries regarding this program from a number of the employees since the last meeting, so they are aware of this and are interested in the program. (Date will be decided on 2/15/78, regular Board meeting). ~b~AGER COFLR STATED THE FOLLOWING ~ETINGS ARE SCHEDULED FOR THE NEXT TWO ~EEKS: 2/7/78 District Board Members to meet with EPA at San Francisco (Tuesday) to discuss schedule for EIS- Facilities Plan, and Non-Capacity Portions of the Project. 2/10/78 Review Indian Creek Reservoir Studies 2/13/78 Tentative District Programs - 1 P.M. District Office. 2/15/78 2/15/78 2/21/78 District Frograms - 4 P.M. WEDNESDAY - Regular Board Meeting. ~ P.M. Consultant Panel Discussion w/Harvey Banks at 4 P.M. WILL SERVE REQUESTS: Comr~%ercial and Office Building located on Highway 50 and Edgewood Circle for water service - 2 separate buildings and Assistant Manager Callahan recommended a Will Serve Letter be issued. Director Cocking moved, seconded by Director Regular Meeting -8- February 2, 197~ Olson, unanimously carried. PAYMENT OF CLAIMS: Assistant ~anager Callahan recommended payment of claims in the amount of $103,120.72; Director Olson moved, seconded by Director Fieldcamp, unanimously carried. ADJObl~EN2': ~ieeting adjourned at 10:30 ¥.~. to FEBRUARY 15, 1978, I~Di~ESDAY, at 8:00 P.M. District Conference Room. · orrene L. Kashuba, President South Tahoe Public Utility District ATTEST: ADJOURNED MEETING OF THE BOARD OF DIRECTORS SOUTH TAiiOE PUBLIC UTILITY DISTRICT February 15, 1978 The Board of Directors of the STPUD met in an adjourned session on 2/15/78 at 8:00 ~.M., District Conference Room. ROLL CALL: Present were President L.L. Kashuba, Directors ~{.N. Olson, F.J. Cocking, R.A. Fieldcamp, and J. Jones. Also present were Manager J.R.Cofer, Asst. Mgr. D.W.Callahan, Clerk of Board, J.C.?Teidman', Attorney, G. Eppler, J. Bonnet, W. Dunckhorst, R. Baer, ~%r. and Mrs. M. McNamara, C. Smith - TRPA, Mr. and Mrs. D. Huber, C. Ross, John Genzeli - Lake Tahoe News, Larry Smith, George Baron. CORRECTIONS AND/OR ADDI%~IONS TO THE AGENDA: Manager Cofer recommended additions to the agenda for items for Board action and/or consideration: (1) Proposed Reorganization #2 (a) (2) Cash Payment Extensions for Fallen Leaf Lake #9 (3) Purchase Effluent Pump Motor - #10 MINUTES OF 2/2/78 - }~inutes did not contain the action requested at the 1/26/78 regular board meeting, as follows: Director Olson moved, seconded by Director Jones, unanimously carried, (1) The District should develop a continuing education-Training program to follow the training course given by C~{C Consultants; the intent would provide the opportunity for employees to improve in the performance of their jobs. (2) The District encourage the Lake Wahoe Community College to provide courses, either specialized short courses or standard college courses, which would not only benefit District personnel, but employees of other local governmental entities or private businesses, who are technically oriented. Director Olson moved, seconded by Director Jones, unanimously carried, minutes of 2/2/78 be approved and addition of the above motion included. Adjourned Regular Meeting -2- February 15, 1978 f'~EPORT BY BOARD ME~Ii3ERS: None Committee Reports: PLANT OPEP~TIONS CO~ITTEE: Director Fieldcamp stated that he and Director Jones met on 2/6/78 with Manager Cofer, G. Eppler and J. Bonnet at 2:00 P.M. and discussed force main line, secondary sump, tertiary, lime grit sump, drying beds, and a report of a manual, being written by Jim Gorbet - solids systems building. Director Fieldcamp stated that he would like to have the board consider publication of the Manual being prepared by Jim Gorbet - and recommended that the Board authorize printing of this manual after same is approved. President Kashuba stated that this will come up at another regular board meeting for consideration and/or approval, as recommended by Director Fieldcamp. No further committee reports. ~fORKSIIOP SESSIONS IIELD: (1) 2/7/78 (2) 2/10/78 (3) 3/13/78 (4) 2/15/78 Meeting w/EPA Re Schedule of Federal EIS Review Indian Creek Studies District Programs/ Agenda District Programs t~PORT ON GROUNDWATER STUDIES BY U.C. DAVIS: Present from U.C. Davis were Vern Scott, Professor of Water/Science and Engineering, and also is with the administrative functions of the University; Mr. Joe Scalamini, Bob Mathews, J. tiouser, ~ Thomas July Weininhof and Justin Bloom. All of the above n;entioned took part in the presentation to the Board of Directors on the Groundwater Studies Report. kEt~ORTS BY PROGRam4 ~.'JII~AGERS: WATER SUPPLY - Bill Dunckhorst, Manager The Water Department continues to operating with very little or no problems. Normally, this time of year we have many calls due to frozen pipes. So far this year we have not received one call on pipes freezing and having to go out and thaw out. We are continuing to stay ahead of the snow load on the State- line reservoir. Whenever men can be spared, they have been shoveling the roof. We have the four space heaters inside which are putting out 150,000 BTU and are doing a fairly good job of melting the snow on the roof. My plans are to install 4 new heaters inside the reservoir this summer, which will put out 300,000 BTU each. This should then eliminate the work of shoveling the roof. Tlme Filter Plant modification should be completed next week and all the bugs worked out; also, the painting will be completed. %~wo more pump stations have been completed - the Pine ~9ell Station and the Glen Road Booster Station. Work is now starting on the four stations at the Glenwood well site. PLANT OPEt~TIONS - J. Bonnet Enclosed you will find my report of the plant performance for the month of January 1978. Note that all of the requirements were met. For the month of February to date, we have met all discharge requirements, with one exception, the pt{ on Tuesday February 14, was 8.1. The reason for this increase is not known at this time, but a pluged vent line was found and, possibly, could have caused a siphoning effect which would have increased the pi{. Also we have not been able to sample Indian Creek because of the weather, until today. The last sample was taken February 3, and at that time we were within our requirements. The only problem we may have at Indian Creek, is the ammonia. Adjourned Regular ~eeing -3- February 15, 1978 We are chlorinating the entire flow in an effort to bring the an~onia down, 36,000 lbs virgin carbon received and all will be used in column ~4. ~INTENANCE DIVISION ~NAGER - Gene Eppler The plant facilities have continued to operate with no major mechanical problems. The maintenance crews are continuing routine and priority maintenance items. The Electrical Department had only one emergency situation arrive - that was at the water department Keller Pump Station after a pump seal broke. Other than that they have been performing routine repairs and maintenance at the plant and pump stations. Underground repair has encountered a few stoppages and none of which over-flowed the manholes. They have continued snow-removal and repair on manholes hit by City and County snow equipment. The pump crew is repainting and performing routine maintenance throughout the pump stations. FINANCE OFFICER'S REPORT: D.W. Callahan Presented Board Members with a 5 year Budget on Water and Sewer and A Comparative Water Rate Study. PROPOSED SCHEDULE - WORKSHOPS SCHEDULED FOR BOARD ~MBERS, AS FOLLOWS: February 20 - 21 Consultant Panel Inspect Plant- Make Assessment of Capacity February 21, 1978 Tuesday Board of Directors Executive Session - Consultant Panel Report to Board - 4:00 P.M. February 22, 1978 Wednesday Executive Session - Lahontan Hearing February 23, 1978 Budget Workshop - 3 P.M. Sewer and Water February 24, 1978 Friday Citizens Advisory Meeting 3:00 P.M. February 27, 1978 Monday Joint Committee Meeting - City of £LT/STPUD - 9:00 A.M. March 2, 1978 Thursday Board Meeting - Outline Lahontan Hearing Presentation March 9, 1978 Thursday Lahontan RWQCB Meeting Tentative - 9:00 A.M. ITEMS FOR BOARD ACTION: (1) Repair Export Pipeline: (a) Proposal for Prepartion EIR Pipeline Replacement and Surge Protection. The Board did award the contract to Resources Engineering Management to undertake the preparation of plans and specifications for repair of the pipeline; Manager Cofer stated that there are two of those activities that we believe will require an E I R, for one-mile replacemant section on Highway 89 above Luther Pass Pump Station, and the surge pipeline, or its alternative, for the upper part of the high-pressure system. At the last Board meeting we were authorized to request a proposal from Jones and Stokes to prepare the EIR documents, and Jones and Stokes did meet with Resources Engineering Management (P~M) Engineers and David ~.Callahan, who went through the project so they could understand it, and have not had the time to give a written proposal, however, Manager Cofer does have the cost proposal to prepare the draft EIR and the hearings for the Adjourned Regular Meeting -6- February 22, 1978 (Supplemental to 2/22/77 - Page 2) and was put off until May the following year, in Superior Court; then in the Court of Appeals, then the State Supreme Court, and the case dragged on. (This was an example that Mr. Hampson gave as to why hearings could be put off). Director Fieldcamp asked Mr. Hampson about the Law Suit that is on us right now, and Attorney Weidman responded that is not on the District - he believed it was for Lahontan and the State Board, and not against the District. Tahoe Tyrol appeal is to the State Board and their writ-of-mandate is going to get the State Board to action in reverse in Superior Court, and Mr. Weidman stated he does not know why the District or City would be a necessary part of that law suit... Mr. Hampson stated they are aware of the Tahoe Tyrol law suit, and he stated he does not feel uncomfortable over it; they have some good arguments, for which Mr. Hampson stated he has compassion, however, the system does not always allow for compassion. Mr. Hampson stated that the hearing will be held in this area; seldom would it be held elsewhere unless there ~ere some similar situation that we all went through last April, where there were some hidden problems. He expects this hearing will be held at the Sands Convention Center. Mr. Hamspon stated he spoke with the District's Panel of Experts, and that he certainly hopes that whatever comes from the Panel is the final say in terms of professional judgement; we don't want to get into a rock-throwing situation, etc., and if they come up with the right judge- ments, it would be felt their professional obligations support them. Mr. Hampson stated regarding the last professional judge- ments - Lahontan did not have many problems with them, but did have problems with their report and Mr. Hampson stated that their real reasons were not based upon what the Board did, or recommended actions as to what the staff did, or the Panel, at that time, did. We went to a public hearing at that time because we did not feel the report supported the Board's actions or the staff's recommendations, or the Panel's recommendations, and Mr. Hampson stated he has never changed his opinion on that; the facts of finding did not justify the result and conclusion, and Lahontan was a perfect "Patsy" set up for law suits. Mr. Hampson stated he has said privately to Jim Cofer and Russell Culp that the professional report last time was accepted verbatim, as being the facts in the case, and never even questioned that. There was an unorthodox report that Lahontan could not accept, based upon the fact of finding, and it had nothing to do with what Mr. Culp, Mr. Cofer or what the Board said. Communications were broke off because of hostility - and people thought that he (Mr. H~mpson) was just playing games -- this was not the case at all. Mr. Hampson stated co~unications were picked up after the night- mare, and we could now talk about it more openly. Director Cocking asked Mr. Hampson if the CH2M report did not state facts correctly. Mr. Hampson stated that the report was very vulnerable to this Board doing something - taking the Manager's recommendation, and anyone going along with that, saying that there would be an allocation administered by the District, through the City and the County and Regional Agency. Mr. Hampson stated he was in Sacramento the week the report was dropped off and the night before he went to Sacramento Mr. Cofer brought him the report around 4 P.~.; Mr. Hampson went home and re~d it, and he had to spend the ne~[t 3 days in Sacramcnto, pending state meetings, and he left a message with his staff %o let it be known they are having much .... trouble with that report. Mr. Cofer did not feel uncomfortable with the report. Mr. Hampson stated he did not know who the Eoard was listening to at the time, in terms of the professional Adjourned Regular Meeting -4- February 15, 1978 two projects (portions of) of which the cost of about $9,100.00 and to prepare the final comments and report would be another $1,500.00, and recommended the District enter into a contract with Jones and Stokes and not to exceed $10,600.00 for the preparation of an EIR on those two features. Director ©lson moved, seconded by Director Jones, unanimously carried that we enter into a contract with Jones and Stokes, as so recommended by Manager Cofer, and not to exceed $10,600.00 2. PROPOSED REORGAi~IZATiON: - Manager Cofer presented copies of the reorganization chart for personnel of the District. Manager Cofer stated in Nover~-~er of 1977 the Union objected to the reorganization chart, and since has met with the Union, and now have resolved all the problems with it, and its resubmitting this reorganization chart change for the Board's ~onsideration. Director Jones recommended that re the classification of ~rocess Evaluation Engineer - he requested that "Other training programs" be included in item 3 of duties. This was agreed to Dy the ~oard and Management and same will be included in duties. Director Jones also requested a chart with the names of the employees and their positions. Director Jones moved, seconded by Director Olson, unanimously carried, Proposed Reorganization Chart be approved as recommend- ed by Manager Cofer (by roll call vote). (b) Salary Adjustment Classified Personnel - 5 positions for Manager Wastewater Operations Division, Manager Maintenance Division, Asst. Manager - Maintenance Division, Manger Water Supply, and District Clerk/Secretary. These proposed salary adjustments are recommended on the basis of a salary survey obtained by the District, and ~anager Cofer recommended approval of same. Director Fieldcamp moved, seconded by Director Jones, unanimously carried, salary adjustments be approved, effective immediately. 3. COM~LAiN~ ~©R PERSONAL INJURY: Gwen Simpson. Director ©lson moved, seconded by F.J. Cocking, unanimously carried, claim be turned over to the District's Insurance Carrier and be denied by the Eoard. 4. PURCKASL OF ACTIVATED CARBON DELIVERY FROM ALTERNATE WARLHOUSE SUPPLY DUE TO WINTER STOP~,I CONDITIONS. Ratify Manager's Actions re Carbon Deliverly. Director Olson moved, seconded by Director Jones, unaniDously carried, manager's actions re carbon purchase be approved. 5. DURCIiASE OF T%fO VEHICLES - One 3/4 ~on truck and 1-4 wheel drive vehicle. (Proposals to be submitted to the District ~{arch 16, 1978 by 3:30 P.~[.). Assistant Manager Callahan recom~.ended approval of same. Director Olson moved, seconded by Director Fieldcamp, unanimously carried, authorization for sealed proposals be approved. 6. t'~reliminary Budget Water Enterprise Fund - Fiscal Years 1977-78 through 1982-83. and 7. ~reliminary Budget Sewer Enterprise Fiscal Years 1977-78 through 1982-83. Assistant Manager Callahan gave each Director copy of budgets for the l'Tater Enterprise and the Sewer Department and. requested a workshop session to review same. FEBI~UARY 23, 1978 at 3:00 P.M. to discuss and review same. (Also, ~anager Corer recommended that March 16~1978 be scheduled for the Public Workshop on the budgets, regular scheduled ~oard ~ieeting). 8. PLANS ~:~b SPECIFICATIO~.:S, REPLACEk.~ENT OF ~U~ ~ '~,~"~RGLD' ~'[ELLS kT GLENWOOD WELL FACILITY. APPROVE PLANS Ai~D ot,.CI}!ICA~IO~S~ ~ ~ ~ '" '? AND A6THORIZL AbVERTISE~{ENT FOR BIDS. Bid Opening scheduled Adjourned Regular Meeting -4- February 22, 1978 been in compliance with the Waste Discharge Standards, however, we do not have the gallonage figure to request re- moval of this Cease and Desist Order. Director Jones stated he felt we could go to Lahontan now and ask for removal of the C & D, but the chances now of lifting the C & D are very slim, and if we do lost it with this appeal, then it would take us much longer going through the appeal process beyond that, in order to get anything lifted. Mr. Jones stated that he does not feel we have a chance at this time of havin9 the Cease and Desist lifted. He feels that we do have a chance of getting a limited number of connections for approval in March that would satisfy the City, the County, the building industry, and then that will give us until next winter to solve the carbon problem and get a better handle on what our plant can do, and have a good tract record. President Kashuba stated that there were 75 discharge requirements we made modifications to - in the amount of 100 - to take care of those discharge requrements; if we have taken care of those, then she stated she would see that Lahontan has no further authority over what we do unless we violate again and asked Manager Cofer if her thinking is correct. ~anager Cofer stated that we were in violation of four constituents and threat of violation, as so listed in the C & D; the District has a responsbility to not only serve the lots, but we have the responsibility to meet the discharge requirements/standards, and there are penalties for not meeting those discharge standards, as there are penalties for not serving those lots. If we 'were to ask for relief of the C & D, then to fulfill your responsibility, the District would have to say how many connections you are prepared to allow without any threat of violation, and ~.~anager Cofer stated that he could not give this type of a guarantee that the District will not violate - we could break down any day - anytime of the year - and not every plant has been under the scrutiny this plant has been under; we have a board of Consultants we have hired that would be acceptable in a court of law, if necessary, and these consultants are not at this time prepared to say we have any capacity. It would put this Loard in an exposed position if the Doard overruled the advice of the Consultants. ~anager Cofer stated that he just cannot recomr~end request of the removal of the C & D. ~anager Cofer stated that he cannot at this time tell the Loard how much carbon would have to be purchased for this plant or if we have the funds to do this. We cannot recormr, end, at this time, that additional connections can be made and no threat of violation. The Eoard adjourned at 3:50 P.~. to go into an Executive Session. The Board reconvened into an adjourned regular session at 4:18 P.~i. I~resident ~ashuba stated we have heard from our legal counsel as to the ramifications and what we can and cannot do as far as the law is concerned. She then openad the floor to discussion for those in the audience as to the alternatives considered in the first part of this meeting, and names these alternatives for those present. Director ©lson moved, seconded by Director Jones, that the District appear before Lahontan on ~Iarch 9, 1978. VOTES AS FOLLOWS: AYES: Directors ©lson, Cocking, Jones, Kashuba NOES: None ABSTAIi~ED: Director Fieldcamp~ Carried ........ ADJOgI~ED P~CULAR MEETI~G OF 1'HE LOARD OF DIRECTORS OF TIlE SOUTII TAttOE P ~'~ UTTerly U~LIC ~=~- DISTRICT COi~SUL?;~%' tANLL ~ REPOR'i~ FOR FEBRUARY 21,1978 ?he Board of Directors met in an adjourned public meeting to hear the Consultant Panel's Report at 4:00 P.~[. District Conference Room 2/21/78. ' ROLL CALL: Present were President L.L. Kashuba, Directors W.N. Olson, F. J. Cocking, R. A. Fieldcamp, j. Jones; Manager J.R. Cofer, Attorney J.C. Weidman, R. L. Culp, Dave Argo ~lurli Tolaney R. t~ampson N. Woods, , ' , M. Mc~amara B. Frizzee D. Antonnucci, B. Baer, J. Maxhimer. ' ~~: Asst. Mgr. Callahan. President Kashuba stated this adjourned meeting was called to hear the report from the Consultant Panel -- Manager Corer stated there are no additions to the agenda he wishes to make. ~[r. Harvey Banks, Chairman, was present the 20th and 21st of February as a member of the Panel, however, he could not be present for this meeting today since he had com~itments overseas and had to fly out early this afternoon. ~[r. Dave Argo and Mr. Murli Tolaney are present today to give the Consultant Panel's Report. Dave Argo gave a detailed report on the Consultant Panel's meeting, and those present also received a copy of this report, whcih is on file at the District Office for any interested parties wishing a copy of sa~e. Russell L. Culp stated that we have met the Lahontan Standards for the last 2 1/2 months - the operators have done a good job in operating this plant and it is really remarkable the job they have done and they sould be recognized. t'~resident Kashuba stated that this Board recognizes this, and hopes the public recognizes the tremendous job the operators have done for this plant. Norman Woods asked if the District is considering not going before Lahontan before 3/9/78 and President Kashuba stated that the District is not assuming anything at this time; the Doard has to make a decision. Attorney Weidman asked what it would take in carbon or process to not have any violation of COD this summer. Dave Argo stated that without the improved regeneration capability it would take tremendous ~ · amounts of virgin carbon or off-site regenerated carbon. Mr. Weidman stated'we are conforming with the Lahontan Standards, and we could be in conformity if we would spend the money. Manager Cofer stated we are going to meet with Calgon on Friday to discuss the problem of carbon and hopefully identify the problems and find a solution. Manager Cofer stated that he would recommend that we ask the Panel to continue their studies and ask them back in April or May 1978 to give us a progress report, or if they can at that time make an assessment. Also request Dave Argo to continue to ~-~ come to the District, though he may not have to be here as frequently as he has. The Board agreed with Manager Cofer's reconm]endation. £.djourned Regular }i~eting -5-. February 1.5, 1978 for March 16, 1918 at '3:001 P,M,, District Office. This did go out to bid and we received only one proposal from a Contractor that did not have a California license, and the Eoard rejected the bid as not responsive. That Contractor now does have a California license and requested authorization to anain advert- ise for bids. Director Olson moved, seconded by Director Cocking unanimously carried. 9. CASti PAYMENT LXTENSIONS FOR FALLEN LEAF LAKE: Manager Cofer stated that based on the action the board took for A.D. 1971-1 for the Fallen Leaf Lake Project, those that wish to make cash payments rather than annual payments must complete their payment by 3/1/78; we are now just into the design portion of the project and will not go out to bid for construction until June, and probably not start construction until July, so we really do not need the money right now, and to collect now would only be to accumulate interest which cannot be used for any other purpose of the District. Those from Fallen Leaf Lake Homeowner's Association have contacted the District and requested that we consider deferring the need for cash payment to June 1st, and Manager Cofer recommended the Board defer cash payments until June 1st. Assistant Manager Callahan read a letter received from District's bond Counsel - Mr. Robert Hill, stating that the cash payments can be extended to June 1st, 1978 or 30 days following the action of the Board ordering reduction of assessments. Director Olson moved, seconded by Director Jones, unanimously carried, ash payments be deferred to June 1st, 1978, for A.D. 1971-1. 10. BID RECEIVED FROM V~ ALYSTYNE ~M{D SON, SACP~MENTO FOR EFFLbEHT PUMP MOTOR FOR THEIR BID PRICE OF $6,651.21 delivery 6-10 weeks, subject to the measurements of the frame meeting District's specifications. Director Olson moved, seconded by Director Jones, unanimously carried. Director Olson and President Kashuba will be the Committee to meet with the City. PAY~I]N? OF CLAIMS: Director Cocking moved, seconded by Director Olson, unanimously carried, claims as recommended by Assistant Manager Callahan in the amount of $195,075.37 be approved for payment. ADJOURNMENT: 10:30 P.M. to February 21, 1978, 4:00 P.M. to receive and discuss the Consultant Panel's Report. rrene L. Kashuba, Pres'ideht South Tahoe Public Utility District ATTEST: Cl~rk ~f Board and Ex-Officio Secretary South "i'ahoe Public Utility District Adjourned Regular ~'~eeting -2- February 22, 1978 ~resident KashuOa asked each Director to make a statement on Item ,~-~o. 1 - (Should we appear before Lahontan on 3/9/78)... Director Olson stated that he concurs with Manager Cofer's recommendation. ~ Director Cocking stated that he heartily concurs. Lirector Jones stated he agrees with the other members of the Board - we should go. Director Fieldcar. p stated that he did not feel we should go to Lahontan for anything. President Kashuba stated, she believes we should to to Lahontan 3/9/78. ~o. 2 - On what basis will this Board go to Lahontan? Attorney Weidman stated if the Board is going to Lahontan on an anticipated long hearing, perhaps Lahontan would not want to hear the Directors on the 3/9/78 but someother day in March. Manager Cofer stated that in his discussion with Mr. Hampson - Lahontan will hear the District on the day that we ask. President Kashuba stated that we should, in general discussion, list all of the alternatives that we have, as far as what we have, as far as what we say to Lahontan, what we are requesting, and what we expect that request to produce for us. Manager Cofer stated that he would offer as: Alternative "A" - We would not ask for relief of the Cease and Desist, but ask for an amendment in the order to allow additional connections during 1978. (Sewer District would make no recommendation on the number of connections - Manager Cofer stated the numbers requested should come from the City). We would say what we have done, present the Panel Report, our track record, and ask that the Lahontan Board consider amending the order to allow connections to the sewer system in 1978. Manager Cofer stated that the basis for any additional connections if we cannot make a successful argument on capacity, would be community hardship, and the Sewer District is not the proper agency to make a community hardship argue- ment, and felt the City and County are the more appropriate ones to do that. Manager Cofer stated that it is his under- standing that the City is preparing a testimony for presenta- tion to Lahontan on 3/9/78.~ Alternative "B" - Request removal of the Cease and Desist Order. Allow connections at this time. Alternative "C" - That the District ask for a specific gallonage from Lahontan (this would tie in with Alternative "A", providing we ask for the amendment), and not ask for removal of Cease & Desist Order. Attorney Weidman stated that: (1) If the District is going to ask for any relief, you have to show that you are willing to buy the carbon required up to any relief that the District is requesting. (2) The District would have to show that the carbon that may be required for relief requested is available, or (3) We would have to show that the furnace problem is solved without new and more carbon. (4) The District should ask Lahontan in March for as many connections, as in their discretion that Lahonton can give, because the District does have the obligation to serve, and not to abandon the obligation to serve the lots that are assessed. Eventually when the Cease and Desist is lifted, the City, County, or any other planning agency will have the Adjourned Regular ~ee~ing -3- February 22, 1978 authority for growth control. Attorney ~eidman also stated that the additional legal questions came up as a result of the ~eoruary 13, 1978 hearing F ~ with Harvey Bank~.and he has submitted them to ~r. Hill of the Wilson, Jones, Marton & Lynch office. Director Fieldcamp stated that our Consultant Panel has indicated we have 7.5 mgd capacity with compliance of the carbon/furnace. He feels the District should proceed to get the carbon and request additional connections to meet the obligation to serve the assessed lots. Director Jones stated that as far as the three alternatives--- Alternative "B" is not the one we could use at this time - we don?t thave the track record, nor the carbon problem solved at this time, perhaps in a couple of months we can, and he stated that he feels the best Alternative is "A" or "C". He further stated he was not really sure whether we should ask the City to request the number of connections, gallonage, or whether the District should. He stated he can see the merit of having the City doing it since they are the planning agency, perhaps he would lean towards the first Alternative, which is Alternative "A", but we must go to Lahontan in a manner that is completely above board and legal, Mr. Jones stated. Director ©lson stated that as far as he is concerned, Alternative "D" is out. He feels that the Consultant Panel's report should be presented to Lahontan - which indicates the plant is operational to a capacity of 7.5 mgd, with the exception of the carbon, and we should clarify exactly what the Panel has told us. He stated he thinks we have demonstrat- ed within some reasonable number, that we can handle the same without any problem, and we should point out to Lahontan, that 'the District has had two periods of ma~[imum flow that have a great discrepancy in the volume to the plant, and in the foreseeable future, whether a year or year's to come, regardless of numbers of connections, we are nct apt to go beyond that flow in this plant, because the Lake has been maximumized in its occupancy for that period. Stated that somewhere within the next five years that we would reach thc capacity of this plant is just not so - it is not there. I!e stated we should not request the removal of the Cease and Desist, and we should also point out that the plant is in compliance at an expense and can be maintained by this District until that can be done. ~Ie felt we should be the agency asking for the additional connections and not ask for removal of the Cease and Desist Order. Director Cocking stated he feels we have met the criteria requested by Lahontan, and he would ask for the removal of the Cease and Desist Order, and state to Lahontan we are obligated to serve the existing assessed lots, and let the City planners do any managing of connections they feet'ar~ required to do. President Kashuba stated that she feels we have complied; we know we cannot give 4,000 connections today or tomorrow, and we also know that it would take 3, 4, 5 years before that many would normally come into the plant; she felt we should ask for the lifting of the Cease and Desist Order, based on compliance as of this date, and if there is a modification to be made that it be done by Lahontan; we have an obligation to our assessed owners to do that, and in her estimation that would relieve our responsibility as far as complying - asking for a Cease and Desist end, and provid- ing for support for our Taxpayer's that we said we would try to do. She stated her thoughts could be changed, but stated we are here today to discuss this matter, and to come up with a reasonable agreement of the Doard. Director Olson stated that he is in agreement that we have Adjourned l~egular ~[eeting -8- February 22, 1978 (Supplemental to 2/22/78 - rage 4) Director Fieldcamp asked ~r. Hampson a question and requested same off record. Attorney Weidman stated that he is quite concerned over the 309 permits floating around. Mr. t{ampson stated the City would like the 309 permits approved - get those out from under them, and law suits, and rightfully so; the City did a good job under this terrible situation, and no matter what they did - they could not satisfy everyone, they took a lot of heat themselves, tie further stated there is the theory that if we are going to have orderly development in the community, we should recognize that we have a time table to meet, and you must have orderly limited growth until the District goes to expansion, and recognizes the limitations. Another theory the District would get from the community, is there is any capacity at all now. Attorney Weidman stated we have asked for some legal opinions as to whether or not we have to give it all now; ~aybe we do and maybe we don't. Mr. Hampson stated that will come from some of the people, and most likely those that have been short-ended on the allocation system. Director Fieldcamp asked R. Hampson - "Right now, according to our Panel, the plant can go to 7.5 ~gd with the exception of the carbon. That is their reconnnendation. Alright. If we put in all new carbon, they said it will go to 7.5 mgd. Do we have to come back and ask you to remove that Cease and Desist." Mr. ilampson stated that he has no authority to remove it. Mr. Weidman stated we have to ask. Manager Cofer stated we would have to continually put in new carbon, unless the furnace works properly. Mr. Hampson stated that if there is additional capacity, the coD~unity would want to use what is available, and the District would be in the same situation as they are now. He stated he is in favor of orderly growth. If the District would open the door and state so many connections can take place, there will probably be about 2000 building permits taken out. Attorney Weidman stated once we have the capacity, assuming the Panel is right, and assuming the furnace can be rejuvenated, really - Lahontan doesn't have the growth control, and neither does this District, and that is our problem. Mr. Hampson asked the Board if they realized the price tag on sewage in Tahoe in the next 5 years. Mr. Weidman stated that he realizes it - but we are different than Truckee, we know that we have law suit cases that say we don't have to serve any of this vacant land, even if TRPA and CTRPA wasn't here, and grow new subdivisions; we know that we are protected, even though that land might be in the District - we know we are protected by not extending service to new areas like as Mr. tIampson spoke of about Truckee; we are different than Truckee, and Petaluma, and someone has to bail us out if there is going to be orderly growth - we have all these assessments. Mr. Hampson stated maybe the District cannot make that decision and you (District) certainly should not be issuing Will Serve Letters. It was stated we are not issuing letters for sewer connections. Adjourned Regular Meeting -9- February 22, 1978 (Supplemental to 2/22/78 - Page 5) Mr. Hampson stated Round Hill has a 3 mgd plant; and will be spending $22 million dollars just to bring the plant in complaince; no expansion and no growth - that is just the figure for complying with requirements. Incline Village is $18 million - no e~pansion - just to meet the requirements. Director Fieldcamp thanked Mr. tlampson for being at this meeting and answering the questions. Manager Corer stated that we have scheduled for tomorrow (2/23/78) s work shop session on budgets, and we will be meeting with Calgon tomorrow, which will greatly effect the budgets, and requested that the budget workshop be removed from tomorrow's agenda and reschedule. Manager Cofer stated also, it has not been discussed, but for the Citizens Co~:~ittee ~eeting Friday at 3:00 P.~., maybe we sould add another alternative, which would be to do nothing/ take no action. It was decided this alternative not be mentioned at the meeting. The meeting was adjourned at 5:30 I>.~i. ~Lorrene L. Kashuba, President South Tahoe Public Utility District AT2'EST: REGULAR MEETING OF THE BOARD OF DIRECTORS SOUTH TAIIOE PUDLIC UTILITY DISTRICT ~'5ARCH 2, 1978 The Eoard of Directors of the STPUD met in regular session at 8 P.M., 3/2/78, District Conference Room. ROLL CALL: Present were President L.L. Kashuba, Directors W.N. Olson, F. J. Cocking, R. A. Fieldcamp, J. R. Jones; General Manager J.R. Cofer, Assistant Manager D.W. Callahan, Clerk of Board, Attorney J.C. Weidman, G. Eppler, J. Bonnet, W. Dunckhorst, R. Baer and Mrs. R. Bear, A. I~ruse, Mr. and Mrs. D. I{uber, R.L. Culp. CORRECTIONS OR ADDITIONS TO THE AGENDA. Director Olson stated tha% item VII (3) should be 2/27/78 Agenda Items, instead of 2/28/78. Adjourned Regular ?eeting -7- February 22, 1978 (Supplemental to 2/22/78 - Page ?) judgement. Director Fieldcamp stated there was some conflict on our Board at that time, and there were 3 things he wanted to do when he came on the Loard, and he stated he did not think he would accomplish those, but he did. tle further stated, "The point is, Roy, this is why I have had ill- feelings against Lahontan, and when you show initiative to come in here and talk to us like you have the last couple of times, and explain things, I have a lot different perspective for you, and that is why I made the remark I did a little while ago." Mr. tlampson stated "Well, let it be, I'm not saying I'm not without fault, or that I use good. judgement either. I will say this - I have to deal with governmental agencies continually, and our agency is being sued continually, and in most every instance that I say we have run into trouble with Board of Directors is when private companies run them - that do not have strong men like Jim Cofer, but when the private companies want to set policies of the Boards - there is much trouble, and that is not the case now, and it was not the case when Russell Culp was here. Clair Hill is a good firm - they have done a lot of work in this State, "but they can make mistakes just like the rest of us. Director Fieldcamp stated "it is just like we have been talking, we have spent $600,00+ on modification of the plant to try to come up to meet your requJ, rements, and I think we are doing a fairly good job; now they come tell us we are not running the furnace right - the engineers told us in the first place and set down a criteria to operate that way, and we did, and now they come up and say we are not operating it right, and our carbon is not being generated right, so we are going to have to put out another $275,000 for all new carbon, or work some means out with Calgon. The point is that we have tried everything in the world, and this is why I say - when you come to us and talk to us like you have, then my ideas about you are going to change." Mr. llampson stated that he believes he is straight-forward, and his problem is that we have had some organizational changes, and Mr. Klykendall from his office, thinks as he does. Lahontan has a large area, personnel spread to thin, and we don't get around as often as we would like to, and this is unfortunate, and because of that we all make mistakes. Jim Klykendall of Lahontan is here today, at Truckee last night, at T.T.S.A. in the afternoon, so when people ask what is Lahontan's position - they will know, in our best judgement, as needed - they find many people going in the wrong direction. Mr. llampson also stated that they feel the District has spent much money, in good faith, making a good effort, and shouldn't be shot-down, they should be given some kind of help; Lahontan believes that. lie stated no matter what one does - memories of the hanging will be there; Lahontan is basically sympathetic with the District, as with most District's in the Tahoe Basin, who have been the whipping boys because of no planning. He stated TRPA does not recognize the problems they have put on this District and others. ~r. Eampson stated they (Lahontan) do not like to be the whipping boy either, there is no glory in it - becomes very trying situations that this District and Lahontan goes through, as Jim Cofer had mentioned to Mr. ilampson following ~he last hearing - he would not have Mr. Hampson's job for anything. Mr. Iiampson stated that his intent originally was to have these problems to through the City and County, and not TRPA and CTRPA, and let the City and County and District solve the probler%s, and the allocations, amongst them selves; TRP~. and CWRt'A are too political to enter into Water Quality Control~-,~ it would waste everyone's time. Unfortunately it did not work that way .... Adjourned Regular Meeting -2- 3/10/78 Director Olson stated that he did not feel obligated that we had to go to this meeting to request anything for the City when we decided to go for a modification for scme additional connections - he stated he thought it was the best route. He also stated that he has the impression frc~ the Lahontanmeeting which he attended yesterday, and perhaps personal therein, and he now feels obligated that the earliest possible mc~ent to return for any additional modification, over and above the 200 granted, asking for the balance of 300 more; he feels that if Lahontan has a full panel of members there, that we could get the additional connections, and he believes this is the basis for returning,whenwe have additional data, request an appearance before the Board and go for the additional 300 connections; we can at least reapply to Lahontan. President Kashuba stated there was an informal discussion last night following the meeting as to whether the City would be interested in another approach. The City also has an obligation in this situation, they still have the 108 outstanding permits that have not been allowed due to the hearing of Lahontan and Lahontan's decision. Director Olson stated that whenwe appear for the relief of the Cease and Desist Order, we must have the Consultant's Opinion as to the capacity of this plant; the time frame that goes with it, and the longer the time frame to carry through the period of the sun,her operation, seemingly, that is the route to go; and he felt that perhaps Lahontan's thoughts are that the plant can be judged re the capacity in July or August by the Consulting Panel. He also stated that it would seem the Consulting Panel's final thoughts will be acceptable to the LahontanBoard, and the one that wouldbattle over this would be~. R. Hampson. ~nager Cofer stated that it can~ through very clear at the LahontanHearing that it was the feeling this plant will not be allowed to get over 6.5 capacity; Lahontanwill not let us get over 6.5 and that is where they are going to stop us. Manager Cofer also stated that as far as going back to Lahonta, he, personally, does not want to go back; the City may force us to go back, but he is not at all for this at this tim~. He recc~nended that we discuss this matter with the City and see what they want; we should go back when we have an iron-clad case for lifting the Cease and Desist Order, but if the City wants us going back to get 108 permits sonner, then we will do so. Mr. Rnssell L. Culp stated that Lahontan Staff/Board are looking for violations and that they were at the District plant the day before the hearing to make certain they bad all the facts. Director Olson moved, seconded by Director Cocking, unanimously carried, that we ask the City to meet with us in a Joint Session to further discuss the additional connections/permits; they advise us as to time and date. This Adjourned Meeting was closed at 10:35 A.M., and the Board then went into a Workshop Session. Lorrene L. Kashuba,~PresiGen5 South Tahoe Public Utility District ATTEST: Clerk of~o~rd & E~ Officio ~ec ary South Tahoe Public Utility District Adjourned Regular ~ieeting -5- February 22, 1978 On what basis will the District appear before Lahontan? Manager Cofer recommended that any request to be placed on the 3/9/78 agenda would be for the STPUD to present a progress report on its interim plant modifications and plant performance records, and to request a modifications of the Cease and Desist Order to allow additional connections to our system at this time. Director Jones moved, seconded by Director Olson that the above staff recon~endation be approved. Roll call votes as follows; AYES: Directors Olson, Cocking, Jones, Kashuba. NOYLS: None ABSTAINED: Director Fieldcamp Carried ........... ~Ir. R. Hampson of Lahontan stated that they will put the STPUD on Notice through Public tIearing and the matter will be considered at that time (3/9/78). He also stated that the recommendations made by the ~:anager of STPUD and their legal counsel are appropriate - and that he feels the District has a good case. ~at happens from this day forw ward, ~Ir. ttampson stated, is going to be difficult ~or everyone involued - the District, Lahontan, the community because of the pressures. The Regional Board will make a judgement based upon facts of findings. He stated that he believes something should come fro~ this from the Lahontan Board for the District, and in the event he would change his mind between now and the hearing, it would be because of something that would happen in the interim. ~Supplemental to 2/22/77 - Page 1) Director Fieldcamp stated "I don't know what we're going to Lahontan for, they've already got their mind made up anyway; they know '~h~ they're going to do; if they want to give us some they will, if they don't - they won't. We are like a bunch of puppets - they holler, and we jump -- I don't go for that. If they come to us and ask us in a mannerly fashion, we would work with them. They don't tell us nothing, they.say you're going to do it this way, or else." ~;anager Cofer stated unless the order is amended, no additional connections can be made to the plant, so we have to ask. Director Fieldcamp stated - "we tell ~hen] what we think we've got, and that's it - I don't ask nobody." Director Olson stated that he felt it is our duty to point out that it is at the discretion of the Doard to appear before Lahontan; he also stated that the cooperation is there between the District and Lahontan, and he felt it is our duty to comply with the ordinances as set down by law; and he believes the cooperation with Lahontan and the District, since November when he was elected to this Board, has been excellent. President 12ashuba stated that we have a Panel of Experts, of which there are no others better qualified, to respond to our specific needs, and she hoped Lahontan would also take that into consideration. We are complying with the reco~endations from the Panel, whcih we have hired them for, and to guide us as to what should be done. ~.Ir. t~ampson stated we have gone to public hearings in this area where we have publicly noticed a Cease and Desist hearing; the people involved went to court and received a court order prohibiting Lahontan from holding the hearing, and tile case dragged on. Originally the hearing was to be in November, and -8- 3/2/78 Regular Meeting Inspection, with the planning agencies. D. Callahan stated that Denton Bates (REM) and he reviewed (the initial study) the check list frcm the State Guidelines with two members of Jones and Stokes. All documents were prepared, notice of intent to prepare an EIR on Replacement Pipe- line, and Negative Declaration on the other 3 projects; all are ready to send to the proper goverrmental agencies. Director Cocking moved, seconded by Director Olson, unanimously carried, the initial studies be received. Also notify state clearinghouse of our intent to prepare EIR for replacement Pipeline and Surge Pipeline. Director Fieldcamp moved, seconded by Director Cocking, unanimously carried, that Negative Declarations be filed on Items 3, 4, 5, - Air Inlet/Vacuum Valves, Luther Pass Pump Station Surge Protection and Pipeline Inspection. Manager Cofer stated we received a proposal frc~ D&M for Proposal Soil Investigation, related to the design of the pipeline improvements (D&~ Dam~s and Moore) .... for an estimated budget of $5,000. Under warranty and liability~ they have a paragraph, as foll~;s: - "Our liability to the plant for injury or damages to person of property arising out of work performed for the plant, and for which legal liability may be found to rest upon us, other than the professional errors and c~issions, will be limited to our general liability insurance coverage, which we maintain to our general liability insurance coverage, which we maintain in limits in excess of three-million dollars. For any damage on account of errors or c~ission, or other professional negligence, our liability will be limited to a sum of not to exceed $50,000, for our fee, which in this case of $5,000, whichever is greater. In the event the client does not wish to limit our professional liability to this sum, we will waive the limitation upon the clients written request, provided that the client agrees to pay for this waiver an additional consideration of 4% of our fee or $200.00, whichever is greater." ~nager Cofer reco~nended that the Board authorize the contract, not to exceed $5,000 plus the $200.00 waiver. Director Olson moved, seconded by Director Fieldcamp, unanimously carried, Manager' s recc~m~ndation be approved. Manager Cofer stated that he wanted to make one more statement on the Lahontan Report - he stated that on every agenda he can nc~ recall, seine major effort on the export pipeline, in the last 9 months or so, the staff at Lahontan states "the District has made sc~e progress (on page 9), etc." Manager Cofer stated he feels we have made considerable more progress than just sc~e progress, and he made the cc~nent on that at the 3/9/78 raeeting/hearing. 3. CARBON REGENERATION P~OGRAM: Contract with Calgon Corporation for Carbon Service. Authorize Calgon Corporation Contract Amendment. Manager Cofer stated the Consultant Panel had indicated in their report that we still b~ve a carbon problem at this plant, and that we might have to modify our contract with Calgon to bring either more virgin carbon or extend our off-site regeneration carbon, should the furnace start not performing as it should. This has been discussed with Calgon. Due to the coal strike, there is no virgin carbon that meets our specifications anyplace in the United States; if the strike is settled next week, Calgon stated it would be approximately 3 months before the virgin carbon is available to us. Manager Cofer stated that our preference would be to purchase another 36,000 lbs of virgin carbon and keep it on hand at the District to handle any problems that might cc~e up, or have Calgon regenerate sc~e of our carbon off-site. Manager Cofer requested authorization from the Board for budget authorization of $25,000 for carbon service. Director Fieldcamp moved, seconded by Director Olson, unanimously carried, that Manager Cofer's recc~nendation re carbon be approved for $25,000.00. MIC~DFILMING: BOARD MIL~S: - Manager Cofer stated the staff has contaced the Microfilming Company re microfilm of the Board minutes; he stated that all minutes of the District, through December of 1977, will now be microfilmed, if approved by the Board; at a later time all contract documents, etc., will also be on microfilm for safe-keeping, should be have a fire, etc., that could destroy our records. Charge for this will be $0.2-1/2¢ per page. Director Fieldcamp moved, seconded by Director Cocking ,unanimously carried, the staff be authorized to enter into a contract with Microfilming for all District documents, as recc~e~ nded by General ~nn~ge~ J-R- Cofer. Regular Meeting -2- March 2, 1978 President Kashuba stated she would like to add an item to this agenda - we have received copies of the Federal policy, and comments are due on this by 3/15/78; the Board has not had an opportunity to look at it and asked the Research, Conservation and Training Committee to review this policy and come back to the Board on 3/15/78 for a suggested letter to the U.S.F.S. MINUTES: Director Jones moved, seconded by Director Cocking, unanimously carried that the minutes of 2/15/78 be approved as submitted. Director Olson moved, seconded by Director Jones, unanimously carried, minutes of 2/21/78 be approved as submitted. MINUTES OF 2/22/78 - The Board took no action on these minutes and have deferred action until the next regular Board Meeting. REPORT BY BOARD MEMBERS: President Kashuba stated that Linda Walker has requested the Board hear a tape that was prepared ed several months ago, prior to our modifications of the plant. Director Olson stated he would like to hear the tape. The Board agreed they would like to hear the tape, and this will be scheduled for March 10th at 10:00 A.M., which will be an adjourned meeting. CO~4ITTEE REPORTS: (1) Research, Conservation and Training - Director Jones stated that we did not have a meeting, but as far as the Training - he has received a list of suggestions for courses, and the Committee will have a meeting soon to discuss that. (2) Water utility. None (3) Plant Operations: Director Fieldcamp stated there was a meeting on 2/23/78 - with W.N. Olson, D. Stroshane and Bart Bawden with Calgon and Director Fieldcamp, and Mr. Fieldcamp also was at the plant today~discussing items with Mr. G. Eppler. (4) Finance/Insurance. None. (5) Public Information. None. REPORT ON WORKSIiOF SESSIONS: (1) (2) (3) (4) 2/24/78 Citizens Review Committee 2/27/78 Joint Committee Meeting, City of SLT and E1 Dorado County and STPUD. 2/27/78 - Agenda Items 3/2/78 - District Programs at 4 P.M., regular meeting 8 P.M. VIII. MP~AGER"S P~PORT - Manager Cofer stated he did not have a written report to present this evening. Manager Cofer stated he was contacted by a member of the SWRCB regarding the priority list for grant funding. Manager Cofer mentioned that he went to Sacramento to protest the scheduling as they scheduled the Facilities Planning into 1982 and 1983 F.Y. and Fallen Leaf Lake unscheduled. SWRCB states they are rescheduling the District's Programs and they will have step 2 of the Facilities Plan Design Phase in the 1979-80 Fiscal Year; step 3 the construction phase in 1980-81; Fallen Leaf Lake Project - Step 3 construction is being rescheduled for 1978-79; and the project for modifications to the A1 Tahoe and Tahoe Keys ~ump Stations and force mains for 1981-82 fiscal year. Regular Neeting .~{arch 2, 1978 The State board is scheduling to adopt the priority list on the 16th of this month, arid with those changes - they are consistent with our request. Attorney's Report - Items are on agenda. Shop Steward's Report. None present. Comments from ~llGlellce: None ~ ' RLPORTS LY PROGRPW{ ~PG[AGERS: Water Supply System - L. Dunckhorst, Nanager Last week a seal on one of the high pressure booster pumps at tile Neller Station blew 6ut. The water from this blown seal was quite excessive, and, fortunately, this water blowing out inside this room did not get into the 440 high voltage panels and do any extensive damage. This pump was pulled and sent to Sacramento for repair. The repair work has been completed reinstalled, and back in operation. ' [.fe have had considerable trouble of late with the overflowing of the large storage tank on Ralph Drive. This has been due to the failures of the mercury controlled altitude valve. This valve has been disassembled and modified with a pilot control valve which controls the water level of the tank. ¥?e have had no problems since modification of this valve. Signals are being installed on this tank, and will be on the warning panel here at the plant so that it can be monitored on a 24-hour basis. Operations Division - j. Bonnet, Manager Mr. Dick Stroshane, of Systems Control, went over the carbon regeneration furnace last Thursday. Ite has made recor~endations to improve the operation. These recon~enda- tions are being complied with, although it is too soon to see much of a change. The chlorine header in the chlorinator room is being rebuilt. ~[hile this is being done, it is necessary to pump to the emergency holding pond. The secondary system as well as the rest of the plant is performing well and there have been no major problems. Twice this month we violated the pH standard and the BOD standard was also violated. Some of the automatic equipment, that still has not arrived should help considerably to control the pH. ' Since Monday we have been controlling a filimentous organism with chlorine. This is not a problem at this time and probably was brought about because of wasting sludge to the primary instead at the sludge float thickener. The thickener has been repaired and is in service so we should be able to improve the filimentous problem. Maintenance Division - Gene Eppler, Manager Under the supervision of Mr. Stroshane, our Electrical and Maintenace Department's made major recalibrations to the gas and coz~ustion air on the carbon furnace. They also replaced the gas regulator with the correct type, and eliminated bleeder valves that were of no use. At this time the furnace appears to be functioning quite well. Regular ~.~eeting March 2, 1978 ~J-o The only major equipment failure was one of the ~3 water pumps - it was returned to the Manufacturer to be repaired under warranty. The plant was shut-down today so that Maintenance could completely rebuild the CL2 header lines and install another injector in #1 chlorinator. They also inspected the separation bed influent line for Mr. Fieldcamp, (line with out corrosion and in excellent condition). Mr. Ross was selected for Assistant Manager of Maintenance Division again, and ~r. Schroeder was selected for Plant Maintenance Mechanic Supervisor. I know they will continue to do an excellent job in their new positions. Finance Officer's Report - David W. Callahan Attached is a 7-month report for the Water Department prepared by Ann Long. Revenues and expenditures continue to be in line with the budget. Tonight's payment of claims include a refund to David D. Bohannon Organization for cancellation of a sewer permit. They obtaine~ a building permit in October 1976. The City has recently cancelled the permit as no construction was commenced. I thought this to be of interest in light of the suit filed by the Bohannon Organization requesting the right to continue with their construction. At the last meeting, preliminary budgets for the ~ater and Sewer Departments were presented to the Loard. The budgets included recommendations that new connection charge of ~1 000 00 be established for each department and that the water and sewer rates be increased 28% and 36% respectively. If the rates are to be increased for the next billing season, then action must be taken at the March 16th meeting to provide staff time to prepare the invoices at the new rates. ITEl, IS FOR BOARD ACTION: (1) Lahontan Ccase and Desist Order - (a) Outline of proposed Presentation - 3/9/78, LR%~QCE Hearing. Approve Outline of this Proposed S?PUD Presentation to Lahontan on 3/9/78. Manager Cofer stated that what we are proposing is for the District to discuss each of the modifications that have been completed; to have Mr. Russell Culp outline the performance record for the past 3 months; District to request modifica- tions of the Cease and Desist Order to allow for 500 additional connections at this time, and to submit evidence as to what we think the impact of 500 additional connections would have on the operation of the plant. ~r. R. Culp showed the charts he will use for his presenta- tion to Lahontan and explained same to those present, on the plant performance. Manager Cofer stated that we have just this afternoon re- ceived the Lahontan Staff Report, and the staff has not made a thorough review from it, and read the last paragraph of the Lahontan Staff Report; "It can be concluded from the above discussion, the District at best can only meet 3 of 5 conditions necessary to justify a modification or a removal of the connection ban at this time. As such time as the District clearly demonstrates by natural capability and produces an approved step 3 construction phase contract, then the Regional Board would be obligated to reconsider the connection ban in light of these new circumstances." F~egular Meeting -5- March 2, 1978 ~anager Cofer stated that the staff disagrees with some of the conclusions that have been made by the Lahontan Staff. Mr. Weid~nan, our District Counsel, has not had an opportunity until just now to see this report, but Mr. Corer did suggest we modify the outline to include a presentation by Mr. Weidman discussing the Staff%s (Lahontan) opinion on what the District has to do to get relief from the Cease and Desist; we do not agree with Lahontan's report, and Mr. Cofer stated he did not feel the record should be closed without our saying we don't agree with their staff report/assumptions. Lahontan is saying the only way the District can show total compliance would be to build a new plant, which would cost at least twenty-million dollars, and we would have to show we have financial capabilities to build a 22 million dollar plant before we would meet the test of financial capability - Mr. Cofer stated we don't agree with that. Attorney ?;eidman stated that no where does he have that there is any indication that consistent compliance is 9 months (consecutive); no where do we have reflected operations during adverse climatic conditions; no where do we have the high flows period of summer tourists; no where do we have in the law where we have to wait for spring overturn at Indian Creek; no where do we have to observe in operating in excess of 5.8; Mr. Weidman agrees that it is exactly as Director ©lson mentioned - staff interpretation by Lahontan staff of the law. Mr. Weidman stated he feels Lahontan is wrong about Indian Creek Reservoir -- the concern of the Federal permit is: are we discharging into Interstate Waters, and whatever excess there is from Indian Creek doesn't go into Interstate !~aters, and this section of the report should not be applicable ...... Mr. Cofer stated he would suggest that a Section 5 be added to the District's presentation for Mr. ~?eidman to discuss the legal point and Mr. R. Culp to discuss the engineering assumptions used in the Lahontan Report, which basically were taken from the Facilities Plan Report prepared by Mr. R. Culp. Also, Manager Cofer will ask Dr. Hazel of Jones and Stokes to be present for the meeting/hearing, in case something would come up at the Hearing re Indian Creek Eeservoir. Director @lson stated if this is going to be a new basis for Cease and Desist, he feels we must be very positive in our approach to Lahontan, and if this is not in conformity with thoughts of our Manager, Assistant ~[anager, Mr. Culp, Attorney Weidman, then now is the time to lay it on the table. He further stated he has some strange feeling about the Attorney presenting to another Attorney and their interpretation of the law. Attorney Wcidman stated there is no question they are quoting administrative regulations, and those administrative regulations they are quoting is not the law; the law is in the water code, and the manner of issuing the Cease and Desist, and the manner of limiting volume, type and concentration is discretionary with Lahontan - and what is read in the report is in interpretation of regulations adopted by the State ~?ater Resources Control Board, not an interpretation of the %later Code itself; we should make it known that we do not agree with the report of Lahontan. Manager Cofer stated he does not feel we have to argue out re the Cease and Desist - we must make it clear 'that we do not accept the report of the Lahontan Staff. Attorney Weidman asked Mr. Culp if we took a reading of the ar~onia at Indian Creek Reservoir on the 8th of March, would '~e exceed 6.0 - and Mr. gulp stated no we would not. During the 30 day period we would not have exceeded 4.0 at that point for the 30 day average; we could possibly have a Regular Meeting -6- March 2, 1978 threatened violation because the concentration is now 4.9 .... as of tomorrow, Mr. Culp stated we should have less than 1.mg/1 ammonia going out of the plant. Manager Cofer stated there is another statement by the Lahontan staff that will need correction - (Page 8 of their report) - "The possibility of recurrence of last Spring's fish kill is very high. Such a recurrence would again violate the District's Waste Discharge Requirements and also would result in the violation of the Cease and Desist Order No. 6-77-51." - Manager Cofer stated our waste discharge requirements have no requirements for fish, alive or dead, nor does the Cease and Desist Order. ?hey are looking at a fish kill as a violation of the discharge standards, and that is incorrect. Mr. R. Culp stated there is another correction in the Lahontan Report ---they state in violation of ammonia requirements in 1972 and 1973; there were no amm]onia standards at Indian Creek Reservoir until 1974. ~ianager Cofer recommended that the Board hold a workshop session on Wednesday, March 8th. We hope to have most of our testimony in written form to present to the Board before we present it to Lahontan. We suggest 3:00 P.M. for this workshop session for final review by the Board for the presentation to be made to Lahontan on the 9th of March. Manager Cofer was asked to prepare the testimony in final form for the Board's review and a workshop will be held on 3/8/78 at 3:00 P.M. ~ianager Cofer stated that he would like to point out that when the Lahontan Staff delivers the report - it is the staff report, and not that of the Executive Officer or the Lahontan Board. Attorney Weidman stated that he felt the basis of asking relief from the Cease and Desist Order before we are ready is set forth in the Legislative Committee con~.ent to the authority and the law and not the regulations we are talking about, or someones interpretation. The Legislative con~ent at the time they enacted this law that you can put on limits of volume, type, and concentration/it said - It is intended-' that restrictions imposed by a Regional Board pursuant to this section shall be invoked only when the. net increase in a comg~unities waste discharge at a particular location will further unreasonably impair water quality ..... ~[r. Weidman stated that now - the difference between this year and last year is that further increases are not going to unreasonably impair water quality, and Mr. Weidman stated that he believes our water quality is better in Indian Creek Reservoir than it was last year. Our waste discharge - efflUent - is better than it was last year leaving the plant. %re are not ready to get relief from the C & D order because of perhaps only one waste discharge requirement, which is the an~onia at Indian Creek, and could become a threat to US. Director Jones asked if we should be the entity to request the 5~0 connections, or if it should be the City or the County. Manager Cofer stated he anticipated our testimony would not ask for 500 but for additional connections, and we would introduce as to what 500 connections might do, but we would not specifically ask for the 500 connections. Manager Cofer stated at the Joint Committee meeting with the City/County and District, the City presented a rough outline of what they hoped to present to Lahontan - they will show the impacts on the community of 200 - 500 or 800 connections, and they will discuss that they have an outstanding commitment of 340 on the waiting list for permits, and they will request 500. Manager Cofer stated we have asked Mr. Weidman, District Eegular Meetine -7- March 2, 197E Counsel, to have a written statement to present to the Lahontan ~oard on 3/9/78. Mr. J. Riley, visitor, appeared before the Board and stated that he has voted and lived in Placer County for 15 years. tie wanted the Board to know that they are to be compliment- ed and apologized for the fact that there is no one present this evening to support the effort that the Board is undertaking; he stated he comprehended everything that has been said by the Attorney, the Manager, etc. Mr. Riley suggested that a letter be written or a Resolution be passed, because Mr. R. Hampson is saying to the press this should be delayed, and your Board should state to the press you want the Hearing. Mr. Riley also stated that he made a snide remark before this meeting about Jim Jones, and wanted to apologize, as he constantly confused him with Jim Yost, who is an environmental alarmist. Mr. Riley stated that the conversation this evening concern- ed it is going to be expensive living on the North Shore with the increased utility charges - he stated it is going to be expensive living anywhere .... The problems are the same here, as on the Coast. Mr. Riley stated to the Board that they are not here in the control growth business and neither is Lahontan Board. He stated that he is trying to get to Jerry Lrown, Governor, to get the new Lahontan Board leadership appointed. Mr. Riley again complimented the Board of Directors for the hard work they have put out, with the limited amount of support the Board gets. President Kashuba thanked Mr. John Riley for his conm~ents, and stated to him that Lahontan has decided to go ahead with the hearing on the insistence of the Utility District. RECL£S AT 9:05 P.M. Metting reconvened at 9:10 P.M. ITEM 2: -Repair Export Pipeline. (a) Initial Study - Receive initial studies. Manager Cofer stated in order for us to comply with the CEQA Guidelines and our own District adopted Guidelines on environmental quality, it is necessary for us to do, on the staff level, an initial study on each project we plan to do; it is now required that when preparing an initial study - we must confer with other agencies - we did this - Mr. G. Eppler and Mr. J. Cofer did confer with CTRPA on each one of the items - thus, we have met that requirement. The purpose of this initial study is to identify what the environmental concerns might be, and to make a decision as to whether an Environmental Impact Assessment is needed, or proceed with a l[egative Declaration, or catagorical exemption. Dave Callahan and Denton Dates (REM) had gone through each of the 5 parts of the pipeline repair project, with an initial study, and based on the initial study, it was concluded that the 2 major sections of the replacement of the pipeline (I mile replacement section), and the surge pipeline would require an Environmental Impact Report, which the Board has authorized for Jones and Stokes to prepare. The Air Inlet/Vacuum Valves and Luther Pass Pump Station Surge Protection, Pipeline Inspection, can be handled by a Negative Declaration. Again, our Guidelines require that we submit the Proposed Negative Declaration to the i~lanning Agencies for their concurrence. ~[r. J. Vostrez (C2~RPA) indicated a Negative Declaration would be sufficient. ~;anager Cofer stated that he would recommend authorization to file Negative Declaration on Initial Study for Air Inlet/Vacuum Valves; Luther Pass Pump Station Surge Protection, and Pipeline Regular Meeting -2- 3/16/78 Mr. Sinclair stated this District created Indian Creek R~servoir and he felt we should have a say about the fish in Indian Creek Reservoir - of which he couldn't care less, and he is more concerned with this community and the ability to survive. He can understand a new sewer service charge, however, the increase of connection for sewer/water connection is, he feels, purely unrealistic; he fees the residents are being penalized; first - cannot obtain a permit, and then when one is obtained, all their improver~-nts would be in, they would be assessed $1,000.00 for water/ sewer connection, and he feels that assessment should be passed onto the vacant lots, and he mentioned that he has 28 vacant lots to be developed on a gradual basis. There should be a stand-by vacant lot charge, so those that would like to build a new home, would not be priced out of the market; there have been m~ny developers that have taken profits out of this area, and his organization is one that does not do that; he stated that we have to pass the load on to those that are also holding lots for the future. Attorney J.C.Weidman stated we had authority to impose stand-by chargesfDr sewer on vacant losts in 1975; with the trouble we had with Lahontan, those charges were not imposed. The basis of a stand-by charge is that there is available sewer service when needed; if we had imposed those charges, or we impose them now, and we are not able to serve the lots when requested, then we are opening the District to sc~ serious liability, and from a legal point of view, he has been hesitant to impose standby charges. Also that from a personal point of view, he hoped it was understood why we have been hesitant on putting stand-by charges on. Nat Sinclair stated San Francisco is still dumping raw sewage into the Bay; they have tried to tell us our water quality isn't any better than elsewyere, and he knc~s our is; yet we try to adhere to the law, do a good job here, our sewer plant is then condemned, we bonded ourself here; had no outside help from the government, why should anyone tell us new that we are wrong; we have to take a stand, just as we are asking the City Council to take a stand; we don't want rapid development here, we have no low-cost housing here, many of the elderly people are living in sub-standard hc~s; there are nine-hundred hard-core underprivileged families here in this cc~m~nity, who have sub-standard housing, ca-not get better housing, and now we are talking about tacking on another $2,000 and it is very easy to say we can pass this on, but hew much more can this cc~m~nity stand? - NOR~AN WOODS, 2154 MONTEREY DRIVE, CITY OF SOUTH LAKE TAHOE, CALIFORNIA: - He is here this evening as a private individual and in no way speaking for the City. He has had several conversations, and believes there is sc~e misunderstanding here with Nat Sinclair about the increase of $2,000.00; first we should be talking about 2 things - the increase of sewer service fees on the existing units from $79.20 to $115.20; and 2nd - the sewer connection charge for future connections. As any other taxpayer in this cc~munity he does not like to see increased taxes. His real argument is with the sewer hookup fee that could possibly be in the future; the District is betting on the cuff, we don't knew if we are ever going to have future buildings, and -or when - as we don't knew if we are ever going to know for sure; we are talking about the need of replacing the $600,000 already expended and the $1,000 fee may never cc~e around; we have a problem at the plant, and $600,000 has been spent to bring the plant to conformity; everyone should pay the fee; spread the fee over all of the people and not only those that may or may not be able to build; people have paid their assessments, paid their taxes and they cannot build - or get a permit to build, and my never get a permit, and it will cost them $1,000 right off the top for sewer connection and water connection. As a builder, Mr. woods stated that he fights every way he knows, as do other builders, to try to keep ~/~e costs down; costs are just going out of reason; if the District is looking at the absolute need to build a reserve, it should be from funds collected from everyone, spread it out, rather than charge the $1,000 connection fee on sc~eone that may never be able to build. President Kashuba stated that we do want to hear everyone's remarks and as to how the District can get the needed funds- Regular Meeting -3- 3/16/78 MR. ROBERTPLIMPTON, 3456 RANCHO CIRCLE, CITY OF SOUTH ~ TAHOE, CALIFORNIA: stated that this is our comnunity, our sewer plant, and the comnunity should be involved re the whole system; he does not feel a property owner should be individually charged $1,000 extra, everyone should be involved. He also asked if we are obligated to have trout at Indian Creek Reservoir, and who brought the trout it. Manager Cofer stated our agreement with the State does maintain we will have the trout fishery, and that was put in at the time they made grants available to us to build the reservoir. Attorney Weidman stated in his interpretation it does not mean that we have to maintain that reservoir so there is no fish kill; it means that we have to maintain a trout fishery and there are ways and means of doing that, even if, on occasion, there is a fish kill, but scme regulatory agencies do not have the rule of reason about hew one should conduct their lifes and spend their money. Mr. Plimpton stated bass would live there and no problem, why trout? Mr. Weidman stated we are at the present m~ment stuck with maintaining the trout fishery, and again, his interpertation does not meanwe are stuck with main- taining a trout fishery in which ere are no fish kills; at the present time, the Lahontan agency seems to think if one fish is killed over there, a nuisance has been created and Mr. Weidman stated he does not believe this. Director Jones stated that what we call the "Facilities Planning Program" - we are looking down the line at expansion of the plant, and one of the alternatives that we are looking at is going into secondary treatment,which would meanpumping water over the hill, putting in a reservoir, that wouldbe used for agricultural purposes, and this would cut the cost of operation here at the plant. EUGENE LEWIS, also stated he is in agreement with others that have spoken this evening, all charges should be shared by everyone. KEN HO~.~N, 169 CIOGACIRCLE SOUTH LAKE TAHOE,CALIF. - Agreed costs to be shared. President Kashubamentioned that the reason we need the $600,000 is because we have depleted our reserve in upgrading the plant over the past 7-8 months; we do have to have a reserve in order to operate this plant, cover any and all emergencies as well. Director Fieldcamp stated that this plant is run 365 days a year, 24 hours a day; this was not thought of in the past, but sc~monies mustbe in reserve in case sc~ething goes wrong. At one time, there was a problem with the furnace, which cost the District $110,000 to repair; we must have monies in reserve to operate this plant; he also stated that should have been thought about in the past, and we would not have had to ceme up with these large increases; he stated it hurts him financially also, as he is on retirement, hewever, he did mention he is very pleased with the public turnout this evening, and their input, and thanked everyone for showing up for this hearing. Manager Cofer stated the connection charges were considered for inccming connections to the plant, there is no clear-cut rationale as to what that connection charge should be, and suggested $1,000 - the District felt those new connections should help pay for the area. JOHN HUBBEL stated he is not appearing tonight as a councilman of the City, but as a property owner and an interested citizen only; and as an irate property owner, residing at 2228 ~ro Drive, City of South Lake Tahoe. He feels everyone should share the expenses needed; we should go for secondary treatment,purchase our own land and sell the water to the farmers. GRACE DEEDE of 2546 CONISTOGA, City of South Lake Tahoe - agreed the burden of expense shouldbe equally shared by all. JOHN CEFALU stated he has not in the past objected or protested the increases; he wanted to know where the money was re the increases; he stated that with the increases he feels (especially water) private enterprise is more efficient. DON SWAR~Z, 300 MARLET~E CIRCLE, CITY OF SOUTH LAKE TAHOE - 18 year resident; asked if we are restricted to 200 permits this year and next year - what kind of an increase can the property owners expect to maintain this plant? He stated if these increases continue year after year, perhaps a bend should be floated. Manager Cofer stated we are going to be holding hearings on the Facilities Planning Program inMay, and at this time - the recon~ndedproject is to abandon advanced waste treatment and, the projected cost of secondary treat- ment, with new reservoirs in Alpine County would be approximately one-half of what our present costs ar~e, but that will take $22,000,000 to build those facilities; zo$ ~ REGULAR MEETING OF THE Board of Directors South Tahoe Public Utility District March 16,1978 The Board of Directors of the South Tahoe Public Utility District n~t in a regular session on 3/16/78 at 8:00 P.M., and also included was the Public Workshop regarding the Proposed Budgets for Water and Sewer. ROLL CALL: Present were President L.L. Kashuba, Directors W.N.Olson, F.J.Cocking, R.A. Fieldcamp, J.R. Jones, Manager/District Engineer J.R. Cofer, D.W. Callahan, Assistant Manager, Clerk of Board, Attorney J.C. Weidman, A. Long - Accountant, Mr. and Mrs. D. Huber, L. Smith, N. Woods, B. Dunckhorst, D.Kennedy, A. Kruse and Mr. andMrs. M. McNamara. CORRECTIONS OR ADDITIONS TO AGENDA: Manager Cofer rec~t~tended and requested two it~ns be added to the agenda under Board Action: 1. Authorization for Accountant to make available information to the I.R.S. 2. Employ temporary laboratory assistant to wash glassware. Director Olson moved, seconded by Director Cocking, unanimously carried, the above additions be added to the agenda. President Kashuba opened the public hearing/workshop and introduced~%nager J.R. Cofer, Assistant ~nager/Finance Officer D.W. Callahan, A.Long - Accountant, and then turned the meeting over to Manager Cofer who stated that we would like to discuss the Sewer Enterprise Fund Proposed Budget for 1978-79 Fiscal Year. Proposed are as follows: $26.40 per unit charge presently to $38.40 per unit. Single Family Dwelling Units from $79.20 to $115.20 per year. Street Lighting - Pioneer Village: Increase from .48¢ to .80¢ to offset the increase of Sierra Pacific Power Company to the District. Also, reconmending from $240.00 connection charge to $1,000.00, and for over 3 single family dwelling units an additional $300.00 per sewer unit. Manager Cofer presented charts explaining the increased costs to the District and why it is necessary that this District increase sewer service fees, costs of supplies, operation and maintenance were also shown on the charts to inform those present for this hearing of the increased costs. President Kashuba then opened the floor for conn~nts from those present, request- ing they state name and place of residence before making their ccnm~nts for record. NAT SINCLAIR, 1594 JACKSON COURT, SOUTH LAKE TAHOE, CALIFORNIA: - - ~. Sinclair asked how much of the increase of the sewer service fee is contributable by the demands of Laho ntan; also, that about 3 years ago he did a study on sewer charges and felt that the previous Board had inadvertently failed to notify this ccn~nunity of the demands by Lahonta, and in so doing, the public was misled. Also, that in checking on the expenditures now there is a $6,000 increase for chlorine, and mainly the increase was because of the demands made. As a taxpayer, he is deeply concerned as to the demands of Lahontan and what the Porter-Cologne Act is doing to us; also this is the only quarrel he has with anything that happened as far as an increase in sewer service charges, and other ite~ns happening here. The public has been led to believe that we have the finest sewer plant anywhere, and he did not feel we should pennit an outside agency to come here and tell us how to run our business; the District has an obligation to tell the cut~nitywhen that happens, this has not been done at any time, he stated. Manager Cofer stated we have had n~etings here for the last year and a half discussing modifications to the plant to meet Lahontan Standards; the chlorine is a single item, we used to breakpoint chlorinate only one-half the flow of the plant, and we have always had an~nonia problems at Indian Creek Reservoir, and it was always hoped that someday we would change the level of treatment; Lahontan never chose to make an issue of those an~nonia problems until recently, but now that they have, and the law of the State allows them to shut us down because we did violate, we have gone to 100% breakpoint chlorination, we have doubled the amount of chlorination we use in an attempt to meet the ammonia standards at Indian Creek. Lahontan never enforced those standards until last year, and that is directly atI'ributable to a change in attitude of Lahontan. Adjourned Meeting -5- 3/21/78 President Kashuba stated that is true; her feeling is should we go back to Lahontan, and that we go on the basis of offering the rest of the members of that Board the same opportunity for the information given to this Board; she stated we are not doubting what the Board did, or what their reasons were for not being in attendance, but we do have to see that every other Board Member of Lahontan has the opportunity to hear our testimony. If we are to go in April to request a June hearing, what would be the economic hardship on the Community. Mayor Woods stated if favorable reaction is obtained, in the middle of June, we could be in a position to start issuing permits for the first of July. We are trying to permit those applications that are on file this year (since last year). He stated he feels it is a reasonable request to Lahontan. John Hubbel stated that he believes the District has an obligation to the people to get on the agenda, and he would like to see that in April. Attorney J.C.Weidman stated he would like to see the City and the District appear, request a new hearing for modifications at the earliest possible time. Director Olson stated he personally prefers to ask for the modifications in June; that is 3 addit-ional months, however, he as for one member of the Board, would go back anytime and request a special hearing in Victorville with Lahontan Board, for a modification to have 141 more permits, and feels we would have a better chance in June of modifications, but if it is the desire we'll go anytime - odds are better the longer we wait, he stated. J. Cefalu stated he would like to see the District, with the cooperation of the City, appear in April, ask for a hearing in May, or for the 108 permits, at least, and based on Mr. Weidman's statement it may shed some light on the additional capacity; would like to see the meeting held in So. Lake Tahoe, in a facility that will accommodate all interested people, and a sound system that will allow everyone to hear what is going on. Terry Trupp stated he is deeply concerned about (he stated that obvdiously the City is intervening on behalf of the District) what has to be made known is that the City has made themselves subject to liability for suit in order to sheld the District from those who, under normal circumstances, file directly against the District; he stated he can see 108 potential law suits filed against the City and win, lose or draw, he stated they will cost money; he simply does not see any point in waiting, and the City at some point, will have to take the position of withdrawing from being the shield or subjecting itself to litigation, and let the agencies stand its own grounds. He stated that he, who is representing the Community - City of South Lake Tahoe, cannqt continue to subject them to the loss of public monies, due to litigation, for the problem which was not created by the City, ~ and stated he did not know how long he would be willing to sit in that position. President Kashuba asked T. Trupp if he was then asking if the Utility District Board appear in April with the full presentation and replied yes. John Hubbel stated he agrees with Mr. Trupp - the City is in the middle, and needs to get out of that situation, the District should go back one more time and try for a modification. Del Laine stated she feels we all share a certain discomfort for this situation in which we find ourselves, and though it is primarilly the responsibility of the Utility District, we have to go together; to go before the Lahontan Board in April and request a date for a full Board hearing is the proper procedure and her great concern is not that we have the hearing in a particular locale; the Board is able to weigh evidence, and it is evidence that has to be presented, and that evidence, based upon the Attorney for the Utility District's remarks, and that of Manager Cofer, is in fact available, we are not really looking for a full Board present at any time; we have to go back and Regular ~eeting -9- 3/2/78 5. lOAN APPLICATION SAFE WATER DRINKING BOND LAW OF 1976 (Application found not eligible by State) - Authorize Petition to Director Department Water Resources to Reconsider Application. Director Olson moved, seconded by Director Cocking, Unanimously carried. XIV. WILL SERVE P~QUESTS: None. XV: PAYMENT OF CLAIMS: Director Olsonmoved, seconded by Director Coc]~ng, unanimously carried, claims in the amount of $237,269.68, as recc~mendedby Assistant Manager D.W. Callahan, be approved for palar~nt. ADJOURNMENT: 10:00 P.M. to ~mrch 10, 1978, District Conference roc~at 10:00 A.M. Z6~e~e- ~].- Kash--uba, President South Tahoe Public Utility District ATTEST: ADJGURNEDREGUIARM~.ETING OF THE BOARD OF DIREgR~RS OF THE SOUTH TAHOE PUBLIC UTILITY DISTRIC~ MARCH 10,1978 -- 10:00 A.M. The Board of Directors of the South Tahoe Public Utility District met in an adjourned session on 3/10/78 at 10:00 A.M., District Conference Room. ~OLL CALL: Present were President L.L. Kashuba, Director Olson, Fieldcamp, Cocking. ABSENT: Director J. Jones and Attorney J.C.Weidman. Also present were Manager/District Engineer J.R. Cofer, Assistant Manager D.W. Callahan, Clerk of Board, J. Bonnet, R. Baer, R.L. Culp. CORREC~fIONS OR ADDITIONS TO AGENDA: President Kashuba stated that she received a call from Linda WaLker stating that she could not be present today, and President Kashuba stated that she mentioned to Mrs. Walker when she is prepared to cc~ebefore the Board, if she would advise us, we will be happy to listen to her tape. President Kashuba stated that Ms. Walker had to go to San Diego for a convention. LAHONTAN REGIONAL WATERQUALITY CONTROL BOARD, CEASE AND DESIST HEARING ON ~%RCH 10, 1978: - Director Cocking was unable to be at that hearing, and asked if he could bebrought up on what had taken place. Director Olson stated that 500 connections were requested, of which the Lahontan Board voted 3-2. The LahontanBoardwas then notified they had to have a quorum- there are nine members of this Board, and to have aquorum, there must be a unanimously cast vote of 5 Ayes, if all 9 members are not present - their quorum is 5 members. A motion then was made to allow 200 connections, and, again, there was a 3-2 against the motion. Compromise was put up for 308 - 340 connections...again, 3-2 vote; then, they did grant 200 connection ~for a vote of 5 Ayes. Adjourned Meeting -3- 3/21/78 Manager Cofer stated that it is his opinion, and what the consulting panel has told us all along, that with the modifica- tions we ought to have at least 6.5 mgd, and he is not prepared to accept 6.5 mgd as any type of a limit, until our Consulting Panel comes up with an assessment. Mayor Woods stated that one member at the hearing had stated that we were willing to gamble with the Board last year, and that the District has fulfilled almost all of the obligations, the City, County and Sewer District, and were able to gamble the 500 permits on the unknown, and $600,000 later the District did everything but one item, and now they are not willing to gamble more than 200 permits; he stated it just seems strange to him that Lahontan was willing to gamble 500 on the unknown, and now the unknown is almost passed, and now, especially two of the Board members that live here in the Basin, are not willing to gamble that additional over and above the 200 and that point, forgetting everything else that was said at that hearing, is the problem. Manager Cofer stated that this District has done much more than promised to do - in fact, twice of what this District promised to do. Mayor Woods stated that he personally, as one member of the City Council, would request the Sewer Board to pick the time that is best for us to go before Lahontan, hopefully that there will be a full Board then, at the earliest, possible date, and if we cannot make it in April, then we may have to put it off until June, for additional modifications, he stated he could not ask the Utility District Board to go before them and ask for lifting of Cease and Desist Order, but if the District feels they have a good chance with a full Board on Lahontan, to get some additional permits for this year, then even June is not too late. Manager Cofer stated that he has just learned that a Mr. Buffington of Lahontan Board resigned, and Mr. Hearns of the Board is in school and has not been able to attend several of their recent meetings. President Kashuba stated that all nine members of that Board are still members of that Board until the Governor has appointed a replacement, and asked if this is correct. Mr. J. Klykendall of Lahontan stated that when a member resigns, he is no longer a member of that Board, and this leaves a vacancy on that Board until it is filled, however, there have been some instances where a member~ill qo ahead and serve until he is replaced or until a reappointment is made. President Kashuba asked Mr. Klykendall when the next meeting is to be held in the South and he stated April 15th in the South, and then following will be the 2nd Thursday in May in this area. Councilman Terry Trupp stated that based on history, he cannot see any benefit in waiting for another Governor Brown appointment; it is reasonable to say, the appointment would be one that would reflect the Governor's view, and that individual's major purpose would be to stop development in the Tahoe Basin, and from his personal standpoint, speaking for himself, he would like to see the District proceed and meet the Lahontan Board head-on in April; he can see no point in delaying, as he did not feel we would get an appointment to benefit our point of view. Mayor Woods asked if we can get on the April Agenda and Mr. Klynendall stated that special hearings are called by the Chairman of the Board, or by two members of the Board. He also stated that Mr White (Lah. Board Member) did state that substantial new evidence would be required before an additional hearing was warranted and Mr. Klykendall stated he does not feel the District has that substantial new evidence at this time. Pegular ~eting -4- 3/].6/78 Manger Cofer stated we are looking at a major bond issue, however, we are hung up with E P A and the State on what is allowable growth. Assistant Manager D.W. Callahan stated that we could look at increases the next 5 years frc~ 5 to 10%, above and beyond the increases this year. President Kashuba stated she appreciated all comments made this evening by all present, and same will be taken into consideration. In reply to J. Hubbel's question - if Alpine were agreeable, the contract could always be amended. Attorney Weidman stated that what Lahontan presented at their hearing are things that have happened, and what the District presented, are things happening now. Al Kruse, ~nployee of the District, but appearing as a private property owner, stated that when a year ago he purchased the property at 1305 Meadowcrest Drive to build, he also purchased the lot next door, and feels as all the others here this evening - another $2,000 would be the straw that broke the camen's back. AL DEEDE - 2456 CONISTOGA STREET, CITY OF SOUTH LAKE TAHOE, CALIFORNIA, stated he prefer to pay added service charges. NORM NICKI.F.q, 1434 MATHESON, SOUTH LAKE TAHOE, CALIFORNIA - was in agreement with others to share expenses equally. David W. Callahan, Assistant Manager, stated the reasons for the basic increase of lighting in Pioneer Village is because of the Sierra Pacific Power Cc~pany increases, each property owner in Pioneer Village pays their cost per front footage; he also stated that the costs paid by the property owner is strictly for charges of Sierra Pacific Power Company and there are no profits for the Utility District in this at all, and since the Power Cc~pany has no way of billing, the District does this for them, a~d the monies collected by this District are sent to the Power Cc~pany... (Pioneer Village does have all under- ground utilities and metal poles, whereas, this is not so in other areas where lighting exists). Director Olson stated that the Board is striving to bring this plant to 7.5 mgd and when this is done, because we believe it will be done, that is a round figure of 1 mgd additional, and approximately additional 4,000 connections, and that would then be divided over a period of years to allow the expansion of this plant to go into effect. The reason that this Board went to Lahontan and asked for a modification, rather than a Cease and Desist re,oval, is because we have retained a Consulting Panel, who are most respected in the filed of wastewater in this State and in the USA, and we feel when they assess this plant, after we have a tract record, that we will then be able to go for a request to lift the Cease and Desist, and have a 7.5 mgd plant. Mrs. Deede thanked Mr. Olson for his explanation and stated more cc~ments such as this should be told to this cc~mmnity. Director Olson stated that by our best estimate, at this point, and by the words of the Consulting Panel, at the worst, we should be prepared in the month of September to go before the LR~QCB and ask for removal of Cease and Desist Order. Also we are trying to acquire money on the basis of $1,000 connection fees, and at the same tim~ levy a balance of the operating part of the plant on the entire cuL~c~unity who uses the system; we are looking ahead, and have spent money for EIR's, etc. , so this plant can be expanded, which allows us to look into the future to build to a 10 mgd plant, or whatever it might be, and this would take $22 million dollars; the logic of this Board in discussing this as to how should we acquire this after we reach 7.5 mgd is that the cure,unity has a share that they must ccme up with in this 22 million and by that time, maybe 30 million dollars, and by assessing a connection cb~%rge, we would be aoquiring the money in reserve for the cc~ty share for the growth of this plant; 7.5 mgd is an engineering figure that is a guess as to the capacity of this plant, Mr. Olson stated, and it is quite probable that this plant has a capacity greater than 7.5 mgd; the export pipeline is in thearea of 10 mgd , and as we are raising this this , and we could probably put 2 million dollars in the plant and get a greater capacity, and what conerns him more than anything else right now is getting the plant to 7.5 mgd, getting Lahontan off our back, and getting an orderly a~d stable grc~th; we believe we will be able to cc~ply with Lahontan, but to grow, we must have money and the costs are here with us now and forever more. Regular Meeting -5- 3/16/78 President Kashuba stated inview of the c~Lu~ents received tonight, and the majority opposed to the connection fees, and more in favor of spreading it out through the sewer service charges, and with this in mind, she felt she is not in a position to make a decision at this time, and with the input given this evening, it seems the Board needs to do some reccm~uting and return for another session. The Board agreed ~re time is needed to study this and another session called. Director Fieldcamp stated there are probably many here that are in the County and not on our Water System, and suggested that the sewer decision be post- ponedor this meetingbe adjourned, and another date set at this time. Manager Cofer stated we are meeting jointly with the City on Tuesday, and we have but one hour, and suggested perhaps the Board would prefer to set a date of 3/23/78, 7:30 P.M., and the Board agreed to this date and time. RECESS AT 9:50 P.M ....... Meeting Reconvened at 10:00 P.M. President Kashuba called the meeting to order at 10:00 A.M., and requested Manager Cofer give the presentation re the water system increases proposed. Manager Cofer stated that the proposed increase for water will be frc~ $78 to $110 for single family dwellingsper year, as follows: PRELTt~&INARY B~T - WATER DEPARTMENT Connection Charge - New Flat Rage and Meter: Service Size 1" and smaller $1,000.00 " " 1-1/2 inch $1,500.00 " " 2 inch $2,000.00 " " 3 inch $3,000.00 " " 4 inch $4,000.00 Water Service Charge Single Family Flat rate multiple 2, 3, 4 units/per unit Each additional unit ~¢inimummeter First 1,000 cf per month All excess of 1,000 cf Frem To $78.00 $73.00-67.00-61.00 40.00 $95.00-$900.00 $ 0.60 per 100 $ 0.40 per 100 $110.00 $105.00-95.00-90.00 60.00 $132.00-$1,260.00 $ 0.60 per 100 $ 0.60 per 100 There has not been a connection charge in the past for connecting to the water system of the South Tahoe Public Utility District. NAT SINCLAIR stated on the property he owns, the water lines heput in; have never been paid for that installation by anyone, and the District has acquired those lines; he feels the Board shouldbe looking at a minimum of $250.00 for hookup or water connection, nothing more, and as to the water rate increases - the balance of the load should be shared by the entire ccmmmnity. Mr. R. PLIMPTON stated he does not agree with the $250 connection charge; many of the lots already have the stub in; it is an unreasonable cost, he stated. Director Olson stated that this is the cost to the District of average connection to hook up, and other lots are considerably more - Mr. Callahan was in agreement with this statement. Mr. Plimpton stated he does not feel this is a fair charge; also - the increase in water rates should be spread over the entire cc~m~nity to pay their fair share. Director Fieldcamp stated he was here one day last sun~r and watched 5 men working, 4 pieces of equipment, drilled under the road through rocks to put water service in on ~n~tinAvenue; they had to make 4 shots to get through the rocks, which he estimated at approximately $500.00 %o install the wa%er connected, and this District charged nothing. We have also put fire hydrants in and cost no one anything for the installations; we have to get money to continue with this type of work. Regular Meeting -6- 3/16/78 Mr. Plimpton stated he could see raising the costs to everyone of perhaps $50.00a month, but to have all share equally for this type of expense. John Hubbel stated that he wanted to know what sewer funds assisted in the water system and he was told none of the sewer monies can be or were used for the water system. Water and Sewer Departments are handled entirely separately. He also stated he felt the Utility District should charge all equally for any water system charges in the area of a connection. He also stated he is confused as he thought Manager Cofer was working for the Sewer District, and President Kashuba clarified that Manager Cofer is working for the Public Utility District which covers water, sewer and scme street lighting. Vaughn Plimpton stated he went to obtain a permit today and was refused one and he does not have a dwelling on the property -and wants to know why he cannot obtain a water connection permit. Manager Cofer stated that he did instruct the staff not to issue any permits, as he felt there would be a run on the water cc~pany, since there is no cost to hookup now, and everyone would attempt to obtain a connection permit to eliminate the cost proposed, and he felt it was best to wait for our Board to take sc~e action before any further permits are issued. The District does have a responsibility for what the use will be to enable property owners to connect to the water system. Our inspectors have always inspected connections and we were aware of what the use of water was for and in the event a permit was issued to Mr. V. Plimpton, then we would have to have safety precautions - back flow preventer, etc., and it is up to this Board to decide regarding the connection of water, with no dwelling on the property. Assistant Manager D.W. Callahan stated the permit, Customer Relations Depart- ment, is located in the Coco-Cola Building, on Dunlap Street, for both the sewer and water departments. A~ministrative, etc., is shared equally and shown on the book as either water or sewer. He stated he would be happy to meet Mr. Hubbel and show him how the' costs are apportioned , if Mr. Hubbel would like to visit the office, aDz~ that we have an audit each year by an independent auditor, and thus far, has had no problems with our method of allocations. President Kashuba stated it is necessary that we bring this water system up to standards; we have applied for a State Loan, and sc~e of that loan would be to pay for fire hydrants, which the state has said is growth-inducing and they will not allow that; we think this unfair and the District has appealed this twice, and will continue to appeal, but in the meantime the plant has to be serviceable to protect the public health and safety, and we are under the State of California and the Federal Agencies, as far as public health and safety so that our water is pure; we cannot sit back and not plan for the future; these systems are old water systems, and when anY- thing wears out, it must be replaced. Manager Cofer stated with the proposed budget, we were planning to establish a reserve fund of almost $400,000, which we do no have now, and what we have now could be used up with any type of problem in the system · Grace Deede stated that she felt if the sewer/water District approaches it in any other manner than looking at it as a universal utility, we will be in the sam~ position we are right now; it must be considered as a City wide operation and she felt it must be handled as such. Director Fieldcamp thanked all those present tonight to help on sc~e guide- lines. President Kashuba stated she feels as she did with the sewer budget, and we have received additional input that will change our entire approach, and would like to defer this to 3/23/78 at 7:30 P.M., adjourned meeting. Director Olson moved, seconded by Director Cocking,unanimously carried, that action on the Sewer/Water Budgets be deferred to 3/23/78, 7:30 P.M. at the District Conference Room - Adjourned Meeting. NAT SINCLAIR thanked the Board for their patience and stated they certainly do not have an easy job. RECESS AT 10:55 P.M. - RECONVENED AT 11:05 P.M. -- ~ ~ Re~alar Meeting/Hearing -7- 3/16/78 ITt~iS FOR BOARD ACTION: (1) Proposal, Engineering Services, Fixing Floating Digester Roof: Manager Cofer reconmended that we authorize this work to ~ W C, not to exceed $1,000 and for construction drawings, not to exceed $2,000. Director Fieldcampmoved, seconded by Director Olson, unanimously carried. (2) Bids - GlenwoodWells Replacement. One bid was received from Nevada Pump and Drilling of $7,743.64, and Staff reco~n~nded award of this contract. Director Olsonmoved, seconded by Director Jones, unanimously carried. (3) Vehicles - Bids. Assistant Manager Callahan stated 3 bids were received, as follows: TAHOE FORD $7,330.31 (Bronco) $7,909,99 (4-wheel drive) VIC BATES $7,331.91 (Jimmy) $7,390.79 (4-wheel drive) Shehadi $7,208.00 (Blazer) $7,577.00 (3/4 ton truck) Because of the specifications being so poorly written regarding the utility boxes required on the pickups, it could be that the 3 dealers have bid differently on the utility boxes, and this could vary in the prices as bid. Assistant ~.~nnager Callahan recc~mended authorization to purchase the pickup bid by Vic Bates Motors in the amount of $7,390.79. Director Olson stated we can take some action on the -vehicle, however, he would suggest the pickup be rebid so all dealers bid on the same thing. Director Olsonmoved, seconded by Director Jones, unanimously carried, the bid for the BLAZER from Shehadi Motors, in the amount of $7,208 be awarded, and we go to rebid for the pickup. that (4) Authorization for Accountant to make information available to IRS. Director Olsonmoved, seconded by Director Fieldcamp, unanimously carried. (5) Authorization to hire a temporary lab assistant for washing glassware and at an hourly rate of $3.50, subject to agreesmnt with the Union. Director Olsonmoved, seconded by Director Fieldcamp, unanimously carried. WILL SERVE LETTERS: (Water-For Office Bldg. at Larch Ave for Jensen & DuFort). Water is available a site. Second request for Star Lake Inves~ents on Lodi and Hwy 50, and water available at this site. Director Olsonmoved, seconded by Director Cocking, unanimously carried, Will Serve Letters be issued to both. PAYMENT OF CLAI~: Director Olson moved, seconded by Director Fieldcamp, unanimously carried, claims in the amount of $299,546.42 be approved. ADJOURNMENT: 12:00 Midnight to 3/23/78, 7:30 PM, District Conference Room. I~Srrene L~/Kas~U~a, President South Tahoe Public Utility District clerk o~B~ard & Ex-Officio Secretary Soutt{T''~ -~hoe Public Utility District Adjourned Regular Meeting of the Board of Directors of the South Tahoe Public Utility District March 21, 1978 1:00 P.M. The Board of Directorsof the South Tahoe Public Utility District met in an adjourned session, and also as a Joint Meeting with the City of South Lake Tahoe to discuss the Lahontan Order Restricting Sewer Connections for 1978, Procedure to seek Modification, in the District Conference Room at 1:00 P.M. on 3/21/78. ROLL CALL: All City Council members were present, also present were L.L. Kashuba, Directors F.J. Cocking, W.N. Olson, J.R. Jones, R.A. Fieldcamp, General Manager J.R. Cofer, Asst. Manager D.W. Callahan, Clerk of Board, Attorney J.C.Weidman, E. Roberson, R. Abrams, D. Laine, T. Trupp, J. Hubbel, N. Woods, J. Cefalu, R. Milbrodt, and many interested visitors. Mr. J. Klykendall, Lahontan Regional Water Quality Control Board, was also present. Mayor Woods asked City Clerk E. Roberson for a councilmen roll call - all were present. President Kashuba called the meeting of the Adjourned Session of the South Tahoe Public Utility District to order restricting sewer connections for 1977-78. President Kashuba stated we thank the City for the opportunity to meet jointly today to discuss the problem of sewer connections for this building season. The purpose of the District's request is to get some feeling or determination from the City concerning additional requests for sewer connections for this year. We were given 200 single family dwellings by Lahontan, and if we are to go in again and apply for the additional 108 then this would satisfy those applications that are on file, and we would like to know whether or not the City would like for us to do that and this is the purpose of this meeting. President Kashuba opened the floor for comments from the City members on this matter. MAYOR N. WOODS stated the District does have the total backing of the City Council to go before Lahontan to request the 500 permits, or any additional permits beyond that; he stated that he does not know of any change of this Council now than before; he further stated it is the responsibility of the Sewer District to continue along the lines as before, and would hope the City Council would go in partners with the Utility District. He honestly feels it is the responsibility of the Utility District; the District is to tell how many permits will be available for both the City and the County, and the District is the one that must go before Lahontan, and not the city or county. Mr. Wood stated that he would assume we drop the 200 figure and concen- trate on the 500 connections; he also mentioned that he does not believe the City's attitude has changed one bit. The City would like to have enough permits to wipe out those that are now on file. President Kashuba stated that our concern now is that we need to know the time to go back to Lahontan; we feel justified that with in possibly within 3 months, 6 months or even 9 months we can go back and show the tract record that Lahontan requested. We did request 500 permits from them, and we have not changed that feeling, and we can handle that number without any particular damage to the plant and the water quality. President Kashuba requested our Manager, J.R.Cofer, to express his opinion based on the operation of the plant and what he believes we can conceivably do at this time. Manager Cofer stated that our Consulting Panel has refused to give us the capacity of the plant; at this time we cannot go back to Lahontan and give any statement as to additional connections we can make; this District did testify that we could and can: to the best of our knowledge, handle an additional 500 connections. Director Olson asked Mr. Cofer to explain to all present what the requirements are for us to return to Lahontan for any modifications. Adjourned Meeting Joint Meeting City & South Tahoe P.U.D. ~2- 3/21/78 Manager Cofer stated that after talking to the Lahontan Staff, they would entertain our returning if we had any new information to introduce for consideration. Lahontan has already put out their agenda for April, and have two Cease and Desist Hearings on the agenda already and would doubt they would be interested in having another hearing on us at the same time; however, if we do go back in May, we would have additional data and information for Lahontan. Mayor Woods asked when the next meeting in the South was and if at that time could ask for a full hearing of their Board. Manager Cofer stated that he did not know if we could ask for the full Board, but if there is not a full Board, we could then ask for the continuance of the hearing; the next meeting in the South is April 13th, and the 2nd Thursday in June following that (South). Lahontan did say they would meet with the District anytime at any place, and perhaps we could then request a Special Meeting. Councilman Cefalu asked Manager Cofer if he could explain why it is the feeling of the Consulting Panel that they cannot recognize the fact that there might be additional capacity for July or August. Manager Cofer stated the criteria the Consulting Panel has been working on is that when they do give us a capacity, their judgement will be defenseable should one challenge it; the Panel does want a tract record through summer high-flow periods. Manager Cofer stated we can handle additional permits this year without impairment of water quality, and still believes this to be true. Councilman Trupp asked Manager Cofer that when he went before the Lahontan Board last month, there were 3 votes for and 2 against; and does he have a reason to believe that there is an opportunity to blame the other two votes that were not present. Manager Cofer stated he talked with Mr. Hampson about that, and it was Mr. Hampson's opinion that the other members of the Board may not have been any more lenient than those that were present, yet Mr. Cofer stated if there had been a full Board he felt a better decision would have been reached. Councilman Trupp stated would it not be better to go to the area where the other two members live, present the same information, and hope to get their vote. Manager Cofer stated that there is very little additional evidence to produce from the last hearing. In answer to Mr. Trupp's question, Manager Cofer stated we have 6.9 pH the first day of the month. DEL LAINE stated the question of the tract record are words that are used a great deal on the part of the Lahontan Board, and they indicated that they were looking for some kind of a tract record over a peak period, and asked Manager Cofer if he agreed with that. Manager Cofer stated yes. Tract Record was used again in terms of the Panel and D. Laine asked what is the Panel's time frame for a tract record before they will come up with some indication. Manager Cofer stated the Panel gave us sometime possibly in September, and the Panel is having difficulty putting a time out because much depends on the carbon recover system - one cannot predict how fast the carbon will recover. Another area Ms. Laine asked about was that last year at the hearing when the allocation was made that we produce 500 permits, it was also indicated that there would be remaining to the equivalent of 600 permits for a 3-year period, and she supposed the reason the 200 became attractive is because it is 1/3rd of that remaining capacity. If the presentation that Mr. Cofer made were to persuade the members of the Lahontan Board to allow additional units, either 108 or others, she asked Manager Cofer if he was willing to speculate that a condition of that would be allowed this year, with the understanding it would be deducted from the remain- ing 400. Adjourned Meeting -7- 3/21/78 John Hubbel stated he would hope the Utility District Board would get on the agenda as soon as possible to get more permits. Mayor Woods stated that is the consensus of the City Council also. If it can be done in April, fine; the sooner the better. Director Jones stated he believes our swing vote is Mr. Caldwell of the Lahontan Board, we should talk with him to see if he would be receptive in calling a Public Hearing, and then a better chance would be had. He asked when would the City issue the 200 permits. When we go back to Lahontan and ask for a re- hearing, there is a possibility they may say a mistake has been made. Mayor Woods stated those 200 permits are going to be issued before we go back to Lahontan. Mayor Woods stated this subject will be discussed at the City meeting this evening, the Council will meet with the County Supervisors Friday this week, and hopefully, some action can be taken next Turesday at the City Council meeting. Director J. Jones moved that the Utility District approach the Chairman - Mr. Caldwell - and ask for a hearing at the earliest possible date, either at their regularly scheduled meeting, or to have a Special Meeting, for a modification of the Cease and Desist to allow an additional 108 permits. Seconded by Director Olson. Mayor Woods asked if that can be amended to request the 141 connections instead of the 108 connections. City Manager Milbrodt stated that the testimony that the City presented indicated that there was a waiting list of 308 residential applicants; we also proposed, he stated, by agree- ment with the County Board of Supervisors, that the City Council and the Board would set aside an approved allocation number of 10% for the prupose of commercial applications, so if we only ask for the 308, then we will erase the potential applications for the commercial allocations. He would urge the City Council and the Utility District Board in conducting this discussion with Mr. Caldwell to seek the 108 residential permits, plus the 30 commercial permits. Mr. Abrams stated we are talking about 308 residential and 10% above for Commercial. Director Jones amended the motion to request an additional minimum 141 permits, seconded by Director Olson. Roll call votes as follows: Directors Cocking, Olson, Fieldcamp Jones and Kashuba - AYE. Unanimously carried, to amend the motion to read: "Request an additional minimum of 141 permits." The motion: - To talk with Mr. Caldwell, President of the Lahontan Board, and request at the earliest possible time, a hearing before them for a modification of the Cease and Desist Order to allow this additional number of connections. Director Fieldcamp stated he does not believe we have a chance until June. President Kashuba asked the Secretary to restate the motion, and same is as follows: "That we instruct the Manager of the Utility District to contact the Chairman of the Lahontan Board, Mr. Caldwetl, for a modification to request 108 additional permits, at the earliest possible time. Moved by Director Jones, seconded by Director Olson, and roll call vote as follows: AYES: Directors Cocking,Olson, Jones and Kashuba. NOES: None. Abstained: Director Fieldcamp .... Carried. Director Fieldcamp stated he does not"even know what the Board is voting on." He stated that the fact is that "if you go to somebody and ask for enough time for something, and they just make up their mind and no - and that's it. Let's have something that we can present, we are not presenting anything, and- for that I will vote yes." President Kashuba asked Director Fieldcamp if he would like to make a separate motion and ask for a specific date, and Mr. Fieldcamp stated no. Adjourned Meeting -8- 3/21/78 President Kashuba stated that in regards to handling these problems in another matter - (1) we have a Facilities Planning Program going on right now, public hearings have been held on this, and there will be another public hearing on this. This is for the purpose of long range planning for more positive ways of handling the sewer situation at Lake Tahoe. We would appreciate everyone attending, their input, and they will be provided with any information on that; there are several alternatives of ways that this can be handled, and (2) the District has asked for Legislation to be introduced, and which has been introduced, that affects the Porter-Cologne Water Quality Act, there are two pieces of Legislation that will be introduced very shortly, which is called STPUD ~1 and STPUD ~2 (AB 2465 and AB 2838). Mayor Woods asked if it would be that perhaps we would be able to go to secondary treatment instead of tertiary treatment, which would allow a more substantial amount to go through this plant and asked if this was also in the discussion. President Kashuba stated yes, this is also in the Facilities Planning Program. Director Jones stated that it possibly would not allow much more water to go through the plant, but it would be a much cheaper operation, and it would be easier to control than the one more complicated tertiary. President Kashuba stated the Legislation we are asking for would allow the amendment of the Porter Cologne Act to allow the reclaimed water, and also the 60 day appeal process before the State Water Resources Control Board. She also stated we would like the support from the City through their legislative advocate, either by resolution or whatever in appeal for those reliefs. Terry Trupp stated that he would like to comment on the proposed rate increases for water and sewer. He does recognize there is a problem, and it will undoubtedly be necessary for the community to respond to that, and as a user of the sewer facility, he feels that he does have an obligation to pay his fair share, he recognizes Pioneer Rights, though he stated he does not be- lieve the law recognizes that, and he only recognizes equity, fairness and equal treatment, and those are the mandates as he sees as being fair. The proposal in charging $1,000 to connect sewer and $1,000 to connect water means asking $2,000 in the loan application, regardless of what the original down payment would be, it still is $2,000 added to the loan carrying package. This will impose a burden of almost $6,000 per family, or a burden on 200 families of $1,180,000.00. President Kashuba thanked Mr. Trupp for his comments and stated that she appreciates his concern. Also, that another public hearing will be on March 23rd, 1978, 7:30 P.M., District Conference Room, and the District has recomputed many of those figures, and asked Director Olson, Finance Chairman, to respond to Mr. Trupp's questions and/or comments. Director ©lson stated that as a result ~f the public hearing held last Thursday, we are having another one this Thursday, and as a result of the public input in regards to the sewer, we are not proposing a connection fee charge, which will be discussed in the first part of the hearing on 3/23/78. The second part of the hearing will be on the water district, we will impose a connection charge that will be in 3 different fashions - those that are stubbed to the lots, those that are not stubbed to the lots, and commercial, and we are going to have a charge of $200.00 where it stubs in, and starting at $400 there above, and this is for those that have not had and equity in the water system, for costs that are committed by the District. Mr. Olson stated that it is very unusual, in his years at a Public Hearing, to change a Board's mind; however, in this case, the public came in sufficient number, and the Board did reconsider the public's thoughts, and we will represent the proposals at Thursday nights meeting on 3/23/78 at 7:30 P.M., and hope this will meet with their satisfaction, and we are hoping for a crowd (none of these charges apply to those permits on file). -6- 3/21/78 Adjourned Meeting relate the evidence. She would hope that at this time the efforts of the Utility District would be supported at any time in full by the City, and she also hopes the City will have a representative in April from The City, with a representative from the Utility District to appear before Lahontan asking for a meeting at the earliest possible moment. Mr. J. Klykendall stated that the Regional Board calls the hearings; staff does not; the Chairman calls the last hearing. Also he is somewhat concerned that the District could actually get a hearing without substantial additional evidence. You would have, he stated, to obtain two Board members to request that another hearing be held. Mr. Klykendall stated there has already been one violation this month and Attorney Weidman asked him if he was saying that the one-day violation out of 31 days of 6.9 vs 7.0 pH is a substantial impairment of water quality over at Indian Cree, and Mr. Klykendall stated it is an impairment of water quality but did not specifically state how it affected water quality. Manager Cofer stated we do have some additional information that we did not have at the time of the hearing regarding hydraulic failure, spring run-off and fish kill, etc., these are new and significant , and he recommended this District appear before Lahontan in June. Mayor Woods suggested a personal contact might be the answer/ either call and/or speak with Mr. Caldwell, and advise him of what did take place at the last hearing, and request another hearing, or if he would call a special meeting; Manager Cofer agreed it would be helpful to talk with him, however, it would be preferred to meet with him rather than call him on the telephone to discuss this matter. John Hubbel asked=if the City issued the 200 permits now, would the District feel confident that with the condition those issued subject to no occupancy until the sewer connection and Manager Cofer stated he would rather there be no hookup until Lahontan approves the hookups. Mayor Woods stated we are here today to give testimony to the sewer Board; it will be the decision of the Utility District, based upon the fact of what the City has said today, and asked this Utility Board to consider. The City has not backed off, from the testimony given here today by the City Council Members, and will give support; however, the support may not be as adamant if this is postponed too long, do this as soon as possible, and if the Utility District can do this in April - fine, if they feel that is the right opportunity. However, he stated, it is the decision of the Utility District. Maurice Lodges stated he is one of the 108 permittees; he waited all through last summer to see what the City would do; he has a family that has now outgrown their apartment, and really does need the permit to build. Mr. Woods stated to Mr. Lodges the City and the Utility District have done everything they could to fulfill the obligation to him and to others, but they have been turned down; Mr. Lodges stated the Sewer District has done a tremendous job and supports the Utility District 100%. He also stated this is a unique opportunity having the City and Utility District together, and asked if they would broaden the area more by asking if it would be possible to take another approach to solve this problem. It appears that the Lahontan Board is difficult to get around, that there is not much that can be done re technological possibilities in this area, and asked if those that are knowledgeable re this area could perhaps talk about some of the other possibilities, such as other systems that could perhaps permit the local community to get around this order of Lahontan. Mr. B. Byrd stated he hopes the Utility District will take a very strong and positive stand and defend our rights. -2- 4~6/78 Regular Meeting Report on workshop sessions and other meetings: (1) 3/20/78 (2) 3/28/78 (3) 3/31/78 (4) 4/3/78 (5) 4/6/78 Review EIR Facilities Planning Studies Hearing on AB 2465 Assembly Water, Parks, and Wildlife Committee. Meeting to Review Status of Fallen Leaf Lake Sewer Project, (informal meeting). Agenda Items District Activities. MANAGER'S REPORT: Plant Operation During Absence of Manager of Wastewater Operations: During Mr. Bonnet's vacation absence, the plant operations are being directed by Acting Chief Operators from the Senior Operator Staff. Mr. V. Trujillo was in charge for the period March 25th through April 1st. Mr. Ed Schmidt is in charge this week until 4/9/78, and Mr. Steve Tyler will be in charge during the period 4/10-16/78. To date, Messrs. Trujillo and Schmidt have done an excellent job, and the plant has met all Lahontan requirements. We anticipate a continuation of the fine operating record. Assembly Bill 2465 - MODIFICATION OF PORTER-COLOGNE ACT The Assembly Water, Parks and Wildlife Committee considered the AB 2465 on March 28th. The Bill would amend the Porter-Cologne Act to allow for in-basin reuse of treated wastewater subject to controls of the Regional and State Water Resources Control Agencies and the State Health Department. Board President Kashuba testified in support of the Bill. The Lahontan Regional Water Quality Control Board and State Water Resources Control Board opposed the Bill. The Committee took no action, and the Bill will be reconsider- ed by the Committee on April llth. We would like to submit supplemental ~forma~ion regarding Lahontan testimony and proposed Bill amendments, and a draft letter has been provided each Director for review and comment. I would like to further discuss the Bill under the first Board Action Items on the agenda this evening. ATTORNEY'S REPORT: None SHOP STEWARD'S REPORT: None present. COMMENTS FROM THE AUDIENCE:ANN PETRI, Tahoe Paradise. Stated that she is here to discuss the article she read in the newspaper where the Manager is going to suggest to the Board that the sewer list will be dropped. She stated that her Father-in-Law has property and he is on the sewer list, has owned the property since 1964, has paid for 10 years on the sewer bond, and she feels he and all others on the list are going to be done an injustice, that the people have in good faith applied for sewer permits and does not feel the people should be cast aside. She wanted to know what the Board's feelings were about this and if it will be discussed this evening. President Kashuba stated we have this on the agenda for this evening under Board Action and with the agreement of the Board, this subject was moved to this point of the agenda. Mrs. Petri also stated the City of South Lake Tahoe has taken their list in good faith for those people on the list, and she feels the Utility District should do the same. Manager Cofer stated that the Utility District continued to take the names for the list because of the uncertainties as to what the City and County would do as to issuing the permits this last year; there was much discussion at that time that they might not get into the issuance of any permits, and they would turn it all over to the Utility District; we felt the only way, then, we could issue permits would be on a first-come and first-serve basis. We did issue applications for permits, contingent upon the people being able to obtain a building permit from the City. Subsequently the City did take over the allocation program, and the County took over, and they started to issue the permits, so the Utility District did take applications on a numerical sequence. Consequently, we have several lists, and the City and County have different lists, and he is be- coming concerned that the people are becoming confused as to the mean- ing of the list, therefore, the list that he is proposing the Board Adjourned Meeting -4- 3/21/78 Attorney Weidman stated that he does not feel we need new evidence to have a hearing; the Community was deprived of a hear- ing because there was not a full Board there, and we should present a transcript of this hearing today, and we should go back and present the evidence again, and we will also have additional evidence to present. We are making further reduction in the ammonia level in Indian Creek Reservoir. Mr Weidman stated we should get on the agenda when we can, and wherever we can, and state also that the point of the members that are on this Board deprived us of a total number to decide. Mayor Woods asked Attorney Weidman if he is requesting we go before Lahontan in April, and ask that we be heard at another date, based upon there was not a full Board present, when they require 5 members out of 9 to make a unanimous vote. Attorney Weidman stated that he feels we are entitled to all of the members of the Board to be present if at all possible. We are not going to ask to have the Cease and Desist lifted, but we are going to ask for a modificaltion, and there will not be an impairment of water quality by what we ask, which is the real purpose of that Board. Director Jones stated that he is not certain that he can support we can go to Lahontan at this time; we should go, of course, if we have a chance of winning, but we would have to pick up 2 more votes, which would have to be Mr. Hearne and Mr. Caldwell, and he does not feel we have that chance of picking up those 2 votes; he feels it is better to wait 2 more months when we will have the chance of having the cease and desist lifted, but at this point to go back for an appeal on the modificaltion he does not feel we have the chance, i.e., based upon what we have today. In answer to Mayor Woods question, he stated he did not feel it would harm us to go before Lahontan in April to request a hearing in June. Director Jones stated we have been going monthly to Lahontan to give Progress Reports, and we hope to go back at the earliest possible time to either ask for lifting of Cease and Desist or modifications. Mayor Woods stated that this is not a public hearing, but this is so important to all of us, and to the Community, and he would like to ask if there is any input from the audience on this subject. Mike Roudy stated he is one of the 108 permits that are waiting, and feels that if one wants something, and another is trying to stop it, it is going to have to be shown you will be persistent, and the more we appear before Lahonts~,the better the chances. Bob Byrd, President of the Committee to Restore the Constitution, 1108 4th Street, City of South Lake Tahoe stated he is opposed to Regional Government in every aspect, and asked Mayor Woods what his suspicions are regarding Lahontan Regional Water Quality Control Board. Mayor Woods stated that he suspects a lot of things; he was very disappointed for the community and that we didn't have a full Board there for our hearing as was mentioned by Attorney Weidman. Suspicions as to whether the full Board could or could not be there he has none in that respect, but we did not know at the time we attended the hearing it would require 5 unanimous votes. Mayor Woods stated, in response to Terry Trupps question, no- one knows how anyone is going to vote; we may think we have people on our side at times, but no one ever knows. Councilman Trupp stated we should become involved with members of that Board on a personal level, talk with them, and do what- ever we can, get on the agenda and be persistent; not wait 2 or 3 or 4 months; our building season is over; we have to get those permits out. Frank Bailey of David Bohannon Organization stated that he attended that 16 hour meeting last year with intense interest, and his recollection was that Mr. Caldwell came out with the statement that the resPonsibility of their Board was whether or not there was a violation of the law. -5- 3/23/78 Adjourned Meeting WILL SERVE LETTERS: Mr. D.W. Callahan, Assistant Manager, stated that in August of 1977 the Board approved a Will Serve Letter for water service at 2317 Lake Tahoe Blvd., Grand Auto Retail Store, and there is a 6-month expiration date stated in the letter, which has passed, and they are now requesting another letter for an additional six months period. Director Cocking moved, seconded by Director Jones, unanimously carried, the extension for the Will Serve Letter be approved, as so recommended by Assistant Manager Callahan. MISCELLANEOUS Manager Cofer stated that any of the Board Members that wish to go to Sacramento Tuesday for the A B 2465 Hearing, please let him know, so arrangements can be made. Also, on Friday, 3/31/78 at 1:30 P.M., people from Fallen Leaf Lake will be at the District to brief us by the Engineers for Fallen Leaf Lake Project, which is nearing completion of design, and invited the Board Members to attend. Manager Cofer stated he has not heard from Mr. R. Hampson on a time for himself and two Board Members to meet with him, and he has asked City Manager D. Milbrodt to go with him to meet with Chairman Caldwell of the Regional Board to see about scheduling a new hearing for the South Tahoe Public Utility District. MONDAY, 4/3/78 - 3:00 P.M. Agenda Meeting for this Board, and the next Regular Meeting of this Board will be 4/6/78, 8:00 PM in the District Conference Room Being no further business to come before the Board, President Kashuba adjourned the meeting at 10:00 P.M. L6~rene Li Kas-h~ba, 'Pr-~s~ident South Tahoe Public Utility District ATTEST: Adjourned Meeting -9- 3/21/78 Director Jones stated that elimination of garbage disposals could reduce the organic materials coming into the plant, and asked if the City could consider this on future permits issued. Mayor Woods stated he would look at that only as an appeal to the public to use the garbage disposals sparingly; he does not see that we can enforce or come across with a requirement that everyone would have to take out the disposal. Director Jones stated that it would be one way of significantly reducing the organic material coming to the plant. President Kashuba thanked the Mayor and the members of the ~Council for meeting with the Utility District, and expressed her appreciation for the support the District has received from the City to solve these problems; we feel more confident when we have everyone going in force to meet a situation together. She stated she hoped we could arrange jointly meetings often so we do not lose communication. Mayor Woods stated that on behalf of the Council - they, too appreciate this meeting, and they certainly appreciate and have more confidence in the direction by the Utility District Board and the way they are now going - we have come a long way, we are aware of the things that are going on, and very appreciative of this. When there is a problem - he felt it should be taken to the public. Director Fieldcamp stated we have had 2 or 3 public hearings, and the most present were about 7 or 8 people, yet when we published the hearing on the $1,000.00 connection fee, we had approximately 40 people show up. Mayor Woods stated the City Council Members had no further comments and they will adjourn. President Kashuba adjourned this meeting to Thursday, March 23, 1978 at 7:30 P.M., District Conference Room ..... (Adjourned time was 2:50 P.M.) ~e n~~ a~a~,~/P~rr~s id e n t South Tahoe Public Utility District ATTEST: C~le~k ~ Board - South ~ahoe Public Utility District 2~ 7~ Adjourned Meeting of the Board of Directors South Tahoe Public Utility District March 23, 1978 7:30 P.M. The Board of Directors of the South Tahoe Public Utility District met in an adjourned session on 3/23/78, 7:30 P.M., District Conference Room. ROLL CALL: Present were President L.L. Kashuba, Directors W.N. Olson, F.J. Cocking, R.A. Fieldcamp and J.R. Jones. Also present were General Manager/District Engineer J.R. Cofer, Assistant Manager D.W. Callahan, Clerk of Board, Attorney J.C.Weidman, R.L. Culp of CWC, W. Dunckhorst, J. Genzeli-Lake Tahoe News, B. Byrd, H. Butler, L. Smith, Paul Robinson, Betty Scribner and many other interested visitors. CORRECTIONS OR ADDITIONS TO AGENDA: Manager Cofer recommended three additions to the agenda, as follows: (1) Information Item Following Hearing so R.L. Culp can give a status report on Plant Operations. (2) Substitute C0nsel on Fallen Leaf Lake Project. Action Item. (3) Informational Items on Assembly Bill 2465. Director Jones moved, seconded by Director Cocking, unanimously carried that the additions be approved for this evening agenda. President Kashuba stated that this is the time for the Public Workshop on the revised budget for sewer and water service. A public hearing was held last week and as a result from the input received, the Board asked the Staff to recompute; copies of the revised budget were given to those present for their information also. Manager Cofer again presented charts and explained to all present the revised budget and the costs now computed by the Board: Sewer service increase per sewer unit from $38.40 to $41.40 per sewer unit, or single family dwelling from $79.20 (3 sewer units) to $124.40 annually; no changes in the street lighting charges proposed; no additional connection charges are proposed, though there is an existing $60-240.00 . President Kashuba opened the floor to any comments from the audience, and asked that they please state their name and place of residence for the records when they speak. PAUL ROBINSON, KUBEL STREET, City of South Lake Tahoe - Asked if the District has increased the number of employees and in what capacity. Manager Cofer stated there have been between 13 and 15 new employees this past 18 months; a Process Evaluation Engineer was hired, upon the recommendation of the Consulting Panel, and have also established two new Supervisory positions, and all other are maintenance positions. Mr. Robinson said he does not believe those property owners that have paid their assessment bond off, or those that are still paying on their bond, be required to pay to subsidize those builders that come along and tie into the line without any charges. Manager Cofer stated we have anticipated no income this next year for connection charges because Lahontan is not allowing any connections. Mr. Robinson stated that the burden of the increase would be on the property owners and not the builders, and asked why do it. Mr. Robinson also asked what was being done on going back on the contractor for the pipeline, and it was mentioned to him that a law suit has been filed. AL DEEDE, 2456 CONISTOGA STREET - City of South Lake Tahoe,stated he agrees with the Board's decision on the connection proposal tonight, and thanked the Board for their consideration regarding connection charges. Mr. B. Byrd stated that he realizes what the Board will do they must do, and he is more concerned that the Board will have to come back to the taxpayers and request more and more money; he stated he would like to be assured that the taxpayers will not be ripped off ~ 7g Adjourned Meeting -2- 3/23/78 anymore than they have been, and he stated he is not referring to the Utility District, and he does understand the problems; he mentioned plans sent out re the Forest Service Policy, and felt this could have much to do with our future. President Kashuba stated the Directors do have a copy of that. He stated this plan is an intrusion of government. JOHN HUBBEL, 2208 Moro Drive, City of South Lake Tahoe, complimented the Board for recomputing charges on an even scale. Mr. Robinson again stated the increase will benefit the builders only - and Mr. Hubbel asked him if he believes in the Consitution of the United states - everyone has that freedom to build on their property. President Kashuba stated that the cost of operation of this plant is not going to change, and will not decrease if we do not have one other house built at South Lake Tahoe. We are trying to build up a reserve, which is now depleted, because we had to bring the plant up to compliance to serve those now being served. Attorney J.C.Weidman stated that we cannot charge a connection fee on the 308 outstanding permits. Director Jones stated we have no assurance we will get more than the 200 connections, however, we have to have revenues for this year, and we should look at a sewer hook-up fee in the future. JERRY MARTIN stated he told a couple of people he was coming here tonight, and Mr. James Ward and a Mr. Reynolds Hansen, and they wanted to have their protest noted, however, Mr. Martin does not protest. Mr. Robinson stated that he would like to ask the Board to give the property owners consideration as they have the builders on the increase. Director Jones stated that every property owner is paying a tax on their property, and if they have a hook-up they are paying sewer service fees. We cannot go out and act as Police to see if people live in their homes or not. This increase is to keep this plant operational. We have spent $600,000 on the plant, and this increase will bring us only approximately $200,000, and this is only 4 - 7% of the Budget. John Hubbel stated he can see where this increase is fair. President Kashuba asked if there were any further comments - being none hearing was closed at 8:35 P.M. Director Olson stated that before any action is taken on the Sewer Enterprise, he would like to discuss the Water Budget, and take action following. RECESS AT 8:40 P.M. - - RECONVENED 8:45 P.M. President Kashuba requested Manager Cofer to explain the charges through the charts he prepared for the Water Enterprise Budget - as follows: Adjourned Meeting -3- March 23, 1978 WATER DEPARTMENT: Connection Charge Existing Proposed 3/16/78.i Proposed 3/23/78.. Service Size 1" None " 1-1/2" " $1,000.00 $1,500.00 $2,000.00 $3,000.00 $4,000.00 Single Family Unit: Service Installed by Subdivider All other Single Family Units All other connections per service inch $200.00 $400.o0 $400.00 plus meter cost if applicable. WATER SERVICE CHARGE Single Family 2-Unit Multiple per unit 3-Unit " " 4-Unit " " Ea. Addnl. Unit over 4 $78.00 $110.00 $110.00 73.00 105.00 105.00 67.00 95.00 95.00 61.00 90.00 90.00 40.00 60.00 60.00 Min. Meter First 1000 CF Ail excess of 1000 cf $0.60/100 cf $0.60/100 cf $0.60/100 cf $0.40/100 cf " " Meeting of Water Enterprise Fund (hearing) closed at 9:05 PM. Director Olson recommended and moved that approval of ORDINANCE NO. 275, as proposed at this meeting of 3/23/78, for sewer service charges be approved, Director Jones seconded. Director Jones stated he would like to see in the future a connection fee assessed to make up the discrepancy to people who have been paying on vacant lots, etc. Director Fieldcamp stated that he understands those who are on a fixed income, as he is on one too; however, he stated that we must meet our obligations in the plant, and as of right now, and next year, we probably will have to do the same thing as the costs continue to increase, and stated he has to go along the lines presented this evening, we need the money, we have to have it, and if we don't get it we will have to shut donw, so it is either now or never. ROLL CALL VOTES ON ORDINANCE NO. 275: AYES: Directors Olson, Cocking, Fieldcamp, Jones, Fieldcamp NOES: None ABSENT: None. Carried unanimously. Director Olson moved, seconded by Director Jones, unanimously carried, by a roll call vote as noted above, sewer enterprise budget be adopted and approved. Director Cocking moved, seconded by Director Olson, by a roll call vote, unanimously carried, that ORDINANCE NO. 276, be approved, and that the Water Enterprise Budet for 1978-79 be approved. Director Jones stated he does support this Ordinance and mentioned that in the future he would like for the Board to look into the need to build up a capitol replacement fund and reserve in the water budget. Adjourned Meeting -4- March 23, 1978 STATUS OF PLANT by Russell L. Culp: The plant is operating very well; there has been one change and all is going very well; CWC is here 2 days a week for Operator's Training Classes; we are meeting the standards, however with one exception - there was 1/10th of pH unit on one day that we failed to meet the standards, and that is a violation. Director Olson asked for an explanation from Mr. Culp regarding the violation of the pH standard. It is a technical violation in contrast to one which would cost actual damage. Director Olson stated he would like to clarify, or have the Attorney clarify, that there is some discrepancy of thoughts in the magnitude of violations; he asked Attorney Weidman to verify or clarify that we did violate 1/10th of 1% and that in the eyes of some is a violation that could be held against us in future hearings before the Lahontan Board. It is time, Mr. Olson stated, we have this on record, so the public will understand that we are supposed to be perfect. Mr. Weidman stated this was a violation of a minimum day and the pH standard that day was 6.9 pH units. Because of the great amount of water inme reservoir, the violation of 6.9 instead of 7.0 would not affect the water quality in any way by this 1/10th of 1% violation of pH. This is the opinion of our Consulting Engineer= R.L. Culp, of C W C, and not the opinion of Lahontan. Director Olson stated he just wanted the record to state clearly that this is an insignificant violation. Director Cocking asked R.L. Culp if it is possible for this plant to run at all hours, 365 days a year, at a perfect rate, without possibly running against discharge requirements, and Mr. Culp stated from 1968 through 1974 there were violations that occurred several times; the standards are more of a goal, and it should be placed more in terms of probability, however, 95 to 99% of the time, we should be able to meet the standards; EPA prepared a study of statistical analysis (probability analysis) of the performance of theplant, and it was cited in the National Technical Journals as an example of the performance of the plant; no plant ever performs 100% at any time. Mr. Cocking stated then there would be no flexibility to the Lahontan Code - we are either on or off. Mr. Culp stated we will be meeting the COD's. Ammonia at Indian Creek Reservoir is 4.8 and the average is 4, and the ammonia in Indian Creek is decreas- ing. The COD of 4.8 is better now than during the month of Feb. Mr. Culp stated that everything else will be in compliance. Regarding carbon - -we have good COD's values for the month; everyone is doing a good job in the plant, and he is very pleased with the plant performance. Director Cocking stated right now we are at 100% breakpoint chlorination and asked if there is a possibility we can get back to the 50%. Mr. Culp stated yes - perhaps this summer, and back to 100% next winter, perhaps always in Feb., March and April we would have 100%, which would be a declining cost for a few months. Mr. Culp also mentioned all coments have been received from the State and Federal Agencies, and Local Agencies, re t~ Facilities Planning Program, and copies from the printer of the report should be available within 10 days - the public hearing will be held in June. He also mentioned that he believes Jones and Stokes Associates, Inc., will be following the same schedule. President Kashuba invited everyone to attend that workshop in June which will be a very important meeting, as it offers alternate plans for sewage disposal, which would be a most cost-effective manner~than we are having right now. Adjourned Meeting -5- March 23, 1978 HEARING ON ASSEMBLY BILL NO. 2465: - Amendment of Porter Cologne Act to allow disposal In-Basin) .... Sacramento, Tuesday, 3/28/78 at 1:30 P.M., Room 2117 - Capitol Building, and Manager Cofer recommended that as many Board Members as can should try to attend. Also included in the Board Members packet this evening is a statement by President Kashuba to be presented at that hearing on behalf of this District, and asked for the Board's comments. (President Kashuba stated to those present that there is a section in the Porter Cologne Act that states all wastewater must be exported out of the Tahoe Basin, which will not allow a public entity to reuse the reclaimed water). This Board feels this is the first step to get a demonstration grant to prove this highly treated water can be used for reuse within the Tahoe Basin. Manager Cofer stated that to protect Lake Tahoe, and should in- basin reuse be approved, our Consultants feel they will have to go to the highest degree treatment known today, so there will be expenses. Attorney Weidman stated this Bill provides for under the existing reclamation plant reuse provisions, so it goes beyond demonstration program authority, however, our Facilities Planning is limited to a demonstration program. Another Bill - Assembly Bill No. 2838 This would require State Water Resources Control Board to hear ones appeal within a definite time period. AGREEMENT BETWEEN SOUTH TAHOE PUBLIC UTILITY DISTRICT AND STATE LOAN FOR THE REPAIR OF THE EXPORT PIPELINE: Approve authorizing execution of agreement, by ORDINANCE NO. 277. Attorney Weidman stated that he, Dave Callahan and Manager Cofer, reviewed this thoroughly, and they are satisfied with the draft as it reads now and recommended consideration and approval of Ord. No. 277. Director Olson moved, seconded by Director Jones, unanimously carried, ORDINANCE NO. 277 be approved as recommended by Attorney J.C.Weidman and staff. CHANGE IN SECTION 20 OF UNION MEMORANDUM OF UNDERSTANDING - Changing Veterans Day from the 4th Monday in October to be given the day following Thanksgiving .... Director Olson moved, seconded by Director Jones, unanimously carried, that instead of November llth as a holiday, and it was the wish of the majority of the employees, that the Veterans Day Holiday be changed to the day following Thanksgiving, i.e., The day Following Thanksgiving will be taken in lieu of Veterans Day...and subject to the approval of the Union. RESOLUTION NO. 2106, Authorizing Change in Memorandum of Understanding, to allow day after Thanksgiving be a holiday in lieu of Veterans Day. FALLEN LEAF LAKE PROJECT AND COUNSEL FOR SAME: Attorney Weidman stated that Ken Jones and Bob Hill have withdrawn from the Firm of Wilson, Jones, Morton and Lynch, and taking with the Andy Hall and Sharon White, and a Litigation Man - Mr. R. Aubrey, who will not be a partner in their firm, and a CPA Attorney - - the firm will be known as Jones, Hall, Hill and White, located at San Francisco, 50 California Street. Mr. Weidman stated we have a pending matter of the Fallen Leaf Lake Assessment District, and the people that have done the work for us are Ken Jones, Robert Hill and Sharon White, and on the pending matters that we have, he felt that they would be the proper ones to substitute in, and should have the substitution of Attorney's for these two pending matters - Jones, Hill, Hall and White in place of Wilson, Jones, Morton and Lynch. Since these people hau~worked on the matters, it is best to have them continue. Manager Cofer stated he did write Mr. Hill stating the Board did discuss the new firm, and expressed an interest in staying with those that did the work on the Assessment District, and they have contacted us in response to that letter - they did not solicit us, this was in reply to our letter to them. Director Cocking moved, seconded by Director Olson, unanimously carried, the firm of Jones, Hill, Hall and White be substituted in as our Bond Counsel. Regular Meeting -4- 4/6/78 The list we are discussing this evening are for those standing in line for a permit, and those have not paid any fees at all; they are on the list in the event sewer units would become available, and with no guarantee this list would be used, however, -- President Kashuba stated that if we did get sewer units, this list could, perhaps, be used on a fist-come, first-serve basis, in the event that the Sewer District could be the one to issue the sewer permits. Manager Cofer stated that the District is not anticipating issuing the permits on a first-come, first-serve basis, there is now an agreement between the City and County on the 308 permits, and we are uncertain as to what the City is going to do after that. It is our understand the City/County will establish the methods for issuing permits beyond the 308, so if they do that, the Utility District list has no meaning. Director Olson asked Attorney Weidman if this Board has the right to prempt what the City and/or the County will do in the issuance of permits. Attorney Weidman stated we have never come to grips with that legally, we have asked our Bond Counsel for some opinions on these matters, such as the right of this District to allocate permits, and the question Director Olson just raised, and we are expecting that opinion in two or three weeks, and Mr. Weidman stated he really is not prepared to answer that question at this time. Keith Klein stated that if the Utility District were to issue sewer permits, that would still not allow a person to build; the City and County states they will not issue a permit until one has a sewer permit, and with no permit; no more houses will'be built. The problem is the people, he stated, not the housing, people are still going to come to Lake Tahoe whether we build or not. One thing that the City Council is directing the Planning Commission to look at is the housing element and one concern is that there seems to be in the Planning Commission has to do with the different types of housing available and if it should come out in the future, the pressing need for apartments, as opposed to single family dwellings, then this creates some other problems. He further stated that his attitude is that people who have owned lots and intend to build, and want their home here, and have been working for that, should have the right to do that; but if there is a need for other types of housing in the community, then maybe we should think about that, so it can be included in the plans for the future, perhaps to the extent of even creating several catagories, as everyone cannot afford to live in a single family home, so the single family home people are not penalized. Neal Olson asked Keith Klein if he felt this Board has the authority to make that type of decision. Mr. Klein stated he did not know the answer to that, his comments were aimed at considering future sewer demands, and what type of housing and can that be supplied with sewer units. Director Jones asked if the City has stated if they would accept the 400 on our list and Manager Cofer and Assistant Manager Callahan both stated notthat they are aware of. Mr. Klein stated that there is no mandate to abandon the list the District has right now. Joe Wagner stated until one knows how the permits are going to go, he believes this Board should maintain that list. Stewart Spear stated the District already has taken the responsibility of having a list of applications after the City stopped their list; he stated he went to the Sewer Department,asked if they were still putting names on the list, was told yes, so he went out to have a set of plans drawn up, took those back to the Sewer Department and had those plans stamped, that gave him some type of hope he would get a permit for the future, and he does not feel he should be misled. Manager Cofer stated he received a call from Ms. Kay Sampson and she wanted it on record that she is also opposing abolishment of the list. ~0.~ Regular Meeting -5- 4/6/78 JOHN HUBBEL of 2208 Moro Drive, City of South Lake Tahoe stated the Utility District assumed the responsibility when the assess- ments were collected. The problem is here at this plant; when the City adopted the 200 permit system, it was to clear up what they could. The new list from the Utility District has not collected money, but numbers were issued; the District has an obligation to 11,000 + lots; he hopes the Board will return to Lahontan very soon and get the Cease and Desist lifted; also the District took that list in good faith, and until the District comes up with a solution, he felt the list should remain. He asked Mr. Weidman what the District's obligation is and Mr. Weidman replied by the 1st of May we should have some response from the bond counsel. Mr. Hubbel stated if the State wants to have the no-growth attitude, then let them come here and buy all the lots. Mr. Weidman stated that he hopes the Cease and Desist Order will be lifted, and if it is not liften, he is in hopes the lot owners will sue Lahontan and the State of California. Ray Fieldcamp, Director, stated he would like to make a few comments and stated to Mr. Hubbel that he is"getting to talk like all City Councilmen, standing up here this evening belly- aching about us - the District - that we are not doing what we are supposed to be doing -- we are doing exactly what we are supposed to be doing; we have done everything in our power; the plant was designed 10 years ago, and it is still functioning properly as it was then. Who set up these restrictions on us - don't blame us; it really burns me up, and another remark was made that after all the money we have spent here at the plant to get it in the order it is, and now they want or are going to change the restrictions at Indian Creek, and yet you stand in front of this Board and tell us let's do something." Mr. Hubbel stated he is standing here tonight to say let's do something, and that he has stated in the past and again this evening that as long as this District puts effluent on private land, Lahontan will choke us to death; we should purchase property for disposal of this effluent, raise alfalfa, sell it and put the money back into the plant, and that way we will have the effluent on our own land, not on other private land for public use and Lahontan can go paddle up the creek then, he stated. The State told this Board, Mr. Fieldcamp stated, that Lahontan will control the water whether it is on private or public land. Mr. J. Klykendall of Lahontan stated that yes, the Regional Board would establish waste discharge requirements on private land if the District went this route, as well as reclamation require- ments for any use of the water, however, the restrictions would not be as strict, provided reservoirs were built to contain the water in the winter months, and this is where the $22,000,000 would come in. Manager Cofer stated that this is the recommended project in our Facilities Planning Program now. Director Jones stated he is not certain at this time if the list of 600 means anything right now, especially to the City, since the City is the one to issue the permit before one builds, and he believes we should check with the City, and we should keep our list right now, and see if the City will recognize our list we have right now, and does not feel we should abolish the list at this time; we should not take any action until we have received the legal opinion from our Bond Counsel. Director Cocking stated that the reasons for Mr. Cofer wanting to abandon this list was so we would not give false hope to people, and he has no qualms of keeping the list, as long as those people that are now on that list understand that it is not an authorized list, as the City may not be in agreement with our list at all. Director Cocking moved, seconded by Director Olson, any action be deferred on abandoning the present list we have, and by a roll call vote of the Board, unanimously carried. RECESS 9:15 P.M. Meeting RECONVENED 9:25 P.M. Regular Meeting -3- 4/6/78 cancel this evening, has no meaning at all - it is contingent upon a building permit from the City, and it is only confusing people as the City has different numbers on their list. Lahontan is only allowing 200 connections and we are hoping to go back to ask for an additional 141, and that amount will only take care of those on the list that the City has for those with plan check numbers, and Manager Cofer stated it is his understanding that the City and County will clear the list they now have, then will start over on a new list, if there are any additional permits, and at the monent it does not appear this year that there will be any additional permits, and we are only causing confusion by our list which has no meaning - it gives no preferential standing for a building permit, and without a building permit we will not issue a sewer permit, therefore, recommended that our list be cancelled. David W. Callahan, Assistant Manager, stated that we have a list of approximately 600 names for application for a sewer permit; this number is over and above the 308 on file. JOE WAGNER stated that he feels there is some bearing on the list -- if there is going to be any first-come, first-serve basis, he believes it should start somewhere. He has no quarrel with those that have paid their fees to the Utility District and the City; there are builders and contractors who have purchased blocks of permits, had actually had the names of their relatives and friends so they could proceed and process and lie and deny to get a building permit, and also signed the declaration that the property would not be sold for a year, and proceeded with their building permit. Mr. Wagner stated he is not asking for a permit for speculation, he is asking for the right to build a house - his house - and he stated that he is paying taxes on the lot, he owns the lot, paying for the sewer bond, and does not feel the District has the right to throw the list out. KEITH KLEIN stated he is here representing E. Kuraisa - couple of things have come to his mind, and one is that just recently this Utility District Board has started to stand up and be counted, and he is very pleased to see this. Also, the suggestion of dropping the list, perhaps coming from the City or the County, because they have stated they will only issue permits that plan check numbers have been issued for, and the other list does not have plan check numbers issued. He asked what would be wrong with hanging onto this list for a while longer to see just what happens, as long as the District is willing to serve those that are standing in line, and that is being blocked by some other agency, that will not allow the District to issue those permits, it may possibly put the District on a better legal footing and it would appear that to eliminate this list, and create another list in the future, would merely change the numbers around to where perhaps the same people would not be in the front again, or even in the first 600. JOHN C. WEID~AN, ATTORNEY, stated that we did have a discussion about these applications. Manager Cofer wrote a letter to Lahontan (following the April Hearing) indicating that we would say we have 6.5 mgd capacity, and until we were certain of more, we would not say we had any more capacity, and that provided for approximately 1,074 houses of single family equivalent units, over and above the committed capacity to the U.S.F.S., the State Parks, and Fallen Leaf Lake, and when we reached the 1,074, we had a discussion with this Board regarding accepting further applications. David W. Callahan stated yes, we continued to take applications and actually issued sewer permits to the 1,074; these were issued subject to approval that building would commence and be approved by other governmental agencies; the 308 permits the City has are the last of 1074. The 600 on the list was started new on May 1st and that list simply are applications, submitting their names, lot and block that they wish to build on, no mones received for this 600 figure. The application list is merely a list, numerically numbered for those that wish to have a sewer permit. Shortly thereafter the 1074 were issued, the City also stopped giving plan check numbers and they then started a list, similar to ours, starting all over again with number one, and that is a slightly different list than ours, as many times people went to the building department directly, then to the sewer department, and the City stopped accepting any names on their new list long before we stopped our list. Regular Meeting -3- 5/'4/78 Finance Officer's Report: As reported by D. IN. Gallahan: D. %Ar. Callahanand A. Long attended a one-day seminar yesterday at San [ose on Senate Bill 1 and Proposition 8, and [arvis-Gann Initiative. The conference was put on by the Municipal Office of Finance Officers, and there were approximately 100 in attendance. MISCELLANEOUS: Attorney YVeidman stated that he:-met with our Counsel regarding the Export Pipeline Litigation, and they are now in the process of serving all of the depen- dents, including~e pipeline manufacturer, and answers will be due within 30 days of service. ITEMS FOR BOARD AC~I ON: Fallen Leaf Lake Sewer Project (1) ~oint Proposal for Phase III Construction and Resident Engineering Services - %Ar.F. Pillsbury, Inc., and CSO International, Inc. ($225,000). Manager Corer stated this is quite high, and he has worked very hard going over the contract and cannot see any- where that this figure can be reduced. The State has reviewed it and they are not pre- pared to suggest any reduction in the figure either. Manager Cofer recommended con- sideration of this subject be postponed at this time. (2) Mr. ~V. PillsbUry has proposed that Mr. ~Vamstad be the resident engineer/inspector on the Fallen Leaf Lake Project, and Mr. B. Etcheverry has had lunch with Mr. -Wamstad, and Manager Gofer sta~t he is satisfied that he is a very competent and capable man for this job, and would like to have him on the job prior to going out for bid. This will increase the Phase II contract by $2,500 and also recommended that we auff]orize an amendment to COS's contract for $5,000 to allow CSO to print the plans and specifications. Mr. %Ar. Pillsbury stated that from his last report to this Board, they have made some good progress; they have met with the State Board; have also obtained the approval of CTRPA and TRPA - and now have all the required governmental agency approvals. Mr; Etcheverry stated that he has been here all week. He met with Mr. ~. Corer and has been to W. Pillsubry's office going over the work they have done on p~ase II and he certainly does support the two recommendations of Manager Gofer as stated above. He stated also that the District is certainly fortunate to have a man such as ~im Corer. He also stated that Mr. Wamstad is very qualified for the position as resident/inspector for the Fallen Leaf P~oject, and Mr. Etcheverry stated it is again a pleasure to be with the Board this evening, and he stated that no matter what might happen, Fallen Leaf Lake is going ahead with the project. Mr. Pillsbury stated they have all of the easement descriptions completed and sent out, and many have been received back and signed; there is one potential problem on acquisi- tion, which is with a Mr. Taggart, and he and Mr. Corer have met with Mr. Taggart, and Mr. Pillsbury has met with Mr. Taggart's Attorney, as has Mr. Weidman and Mr. Corer. Manager Cofer stated that Attorney Hill did mention he felt we can sell bonds, whether or not the [arvis-Gann Bill passes or fails. Director Olson moved, seconded by Director Fieldcamp, that the two recommendations as described a,bove, and as recommended by Manager Corer, be approved. Assistant Manager Callahan stated this author ization will be in excess of the $150,000 of bonds sold. Unanimously carried by roll call vote. Manager Corer suggested a Field Trip by the Board to go over to Fallen Leaf and the plans on the iSth of May at 10:00 a.m. Agreed. (3) Condemnation Procedures - Taggart Properties . Condemnation Actions · Direct Counsel to Proceed with Manager Corer stated we do have one property owner that is not in total agreement with what we propose to do - easement concerning Mr. Taggart - and he is more concerned over the location of the lines and design, and Mr. Pillsbury and CSO have been working with him to try to satisfy that phase of it, but it does appear that to protect the time limit, we should preceed with condemnation procedures should we have to ~to this. Regular Meeting of the Board of Directors of the South Tahoe Public Utility District April 6, 1978 - - 8:00 PM The Board of Directors of the South Tahoe Public Utility District met in regular session 4/6/78, 8:00 P.M., District Conference Room. ROLL CALL: Present were President L.L. Kashuba, Directors W.N.Olson, F.J. Cocking, R.A. Fieldcamp and J.R. Jones. Also present were General Manager/District Engineer J.R. Cofer Assistant Manager D.W. Callahan, Clerk of Board, Attorney J.C.Weidman, G. Eppler, E. Schmidt, C. Ross, Mr. and Mrs. R. Baer, Mr. and Mrs. J. Hubbel, E. Kuraisa, K. Klein, Mr. and Mrs. J. Klykendall, Mr. and Mrs. D. Petri, Joe Wagner, J. Genzeli-Lake Tahoe News, and many other interested residents of this area. CORRECTIONS OR ADDITIONS TO THE AGENDA: Manager Cofer requested an addition of (a) Public Officials Liability Insurance, (b) Bid Proposal for Secondary Effluent Pump Motor, and (c) Assembly Bill No. 2465 ..... all items for Board consideration and/or action. Director Olson moved, seconded by Director Cocking, unanimously carried, the additions to the Agenda as requested by J.R. Cofer be approved. MINUTES: The following minutes were presented for approval: 2/22/78 - Adjourned Meeting - Director Olson moved, seconded by Director Fieldcamp, unanimously carried minutes be approved as changed. ' 3/2/78 - Regular Meeting: Director Olson moved, seconded by Director Fieldcamp, unanimously carried, minutes be approved as submitted. 3/10/78 - Adjourned Meeting - Director Fieldcamp moved, seconded by Director Olson, unanimously carried, minutes be approved as submitted. 3/16/78 : - Regular Meeting. Director Fieldcamp moved, seconded by Director Olson, unanimously carried, minutes be approved as submitted. 3/23/78 - Adjourned Meeting - Director Fieldcamp moved, seconded by Director Cocking, unanimously carried, minutes be approved as submitted. WORKSHOP: April 17, 1978, 3:00 P.M., District Conference Room regard- ing Minute Procedure, also, agenda meeting scheduled for same time. REPORT BY BOARD ~MBERS: Director Jones stated he attended a seminar put on by State Water Resources Control Board in Sacramento on Land Application of Secondary Effluent. It was very informative; they re- viewed the EPA Technology Transfer Publication, which was published about 2 months ago, and requested the Manager to obtain a copy. President Kashuba stated that Manager Cofer, Attorney Weidman, and she attended the Assembly Bill 2465 Water Committee Hearing, Sacramento. There was a full hearing, and they determined that more input would be accepted and deferred the hearing for another 2 weeks, so we have some amendments, which are listed for action on the agenda tonight) that we will consider and return there with the amendments. COMMITTEE REPORTS: Finance/Insurance: Met on Saturday, 3/18/78 , and the 3/23/78 hearing was discussed at that time. No other committee reports were given. Regular Meeting of the Board of Directors of the South Tahoe Public Utility District May 4, 1978 The Board of Directors of the STPUD met in regular session 5/4/78 at 8:00 p.m. in the District Conference Room. BOLL CALL: Present were President L. L. Kashuba, Directors W. N. Olson, F. J. Cocking, R. A.' Fieldcamp and J. R. Jones, General Manager/District Engineer J. R. Cofer, Assis- tant Manager D. W. Callahan, Clerk of Board, Attorney J. C. Weidman, G. Eppler, J. Bonnet, W. D unckhorst, Mr. and Mrs. B. Etcheverry of Fallen Leaf Lake. ADDITIONS OR CORRECTIONS TO THE AGENDA: Manager Cofer requested one additional item be added to the agenda: Items for Board Action ~9 - E1 Dorado County Water Agency, Water System Improvements Director Olsonmeved, seconded by Director Fieldcamp, unanimously carried, Item ~9 be approved and added to the agenda this evening. ~ OF 4/20/78 - Director Jones cc~nented that Senator Garamendi's nan~was incorrect- ly spelled in the minutes and requested that change be made. Director Olsonmoved, seconded by Director Fieldcamp, unanimously carried, minutes of 4/20/78 be approved as corrected. REPORPBYBOARDMEMBERS: None. ~TI~EREPO~: (1) Research, Conservation and Training - This cc~mittee did meetwith Jim Levitt, Dean of the Lake Tahoe Cu~u~0nity College, on Tuesday last and discussed withhim the possibi- lity of incorporating sc~e courses in their programandpossiblyhaving seme type of a curriculum that could be taken by operators and technical people at the District, and sc~ething that could be used by other technically oriented employees of other entities in the District - the Cc~mtnnity College is receptive to this, and hoepfully, Director Jones stated, we may be able to get some courses next fall. (2) Water Utility. No report. (3) Plant Operation: No report. (4) Finance/Insurance: No report. (5) Public information: No meeting and no report. Hc~ever, President Kashuba did state that the two Assembly Bills Nos. 2465 and 2838 did receive the due-pass to go to the Ways and Means on the !6th of May, 1978. WORKSHOP SESSIONS: Manager Cofer reported the following sessions: (1) 4/21/78 - Review Air Quality Section EIR (Kashuba/Fieldcamp attended). (2) 4/25/78 - Assembly Committee Water, Parks and Wildlife RE AB 2468 In- Basin Reuse and AB 2838 Set Time Limit for State Water Resources Control Board to Act on Appeals (Kashuba and Jones attended). (3) 4/27/78 - EPA Meeting on Federal EIS. (4) 5/1/78 - Workshop Agenda Items and Proposals for Construction Manage- ment - Fallen Leaf Lake Sewer Project. (5) 5/4/78 - Workshop on District's Programs. MANAGER'S REPORT: As presented byManager Cofer: EPA EIS OnApril 27, !978, the EPA held a Technical Advisory Co~nitteemeeting at the District's office. The purpose of the TACmeeting was to introduce the EPA's Consultant, who will be preparing the Federal Environmental Impact Statement. The selected Consultant is Sedway/Cooke, an urban and environmental planning firm from San Francisco. The work program schedule is as follows: 4 Public Workshops 4 Public Workshops Distribute Draft EIS Public Hearings Select Alternative Final EIS Cc~pleted October, 1978 January, 1979 August, 1979 October, 1979 October 1979 March, 1980 Regular Meeting -6- 4/6/78 DISCUSSION OF OPERATION OF WASTEWATER TREATMENT FACILITIES: (a) Ms. Linda Walker: ---President Kashuba stated that Linda Walker is not in the audience. We had a request from her that the Board hear a tape that was done approximately in June of 1977 concerning the operation of the plant, and it is a technical tape, which the Board requested be transcribed. President Kashuba asked Manager Cofer to make any comments on this tape. Manager Cofer stated that some of the points in the tape are well taken; points that the District had recognized and were correcting and did correct, and some of the items seem to be just plain misunderstand- ings as to what was going on in the plant, however, the best statement he can make on the tape at this time, is that the plant is perform- ing and is meeting the requirements - consistently meeting the requirements, and we went through a trying period of getting to this point. He feels the tape just pointed out some of the problems we did have. Director Olson stated that we have asked Ms. Walker to come before the Board twice to explain and give an explanation, and she has not appeared, and we feel that we have satisfied that public request. President Kashuba stated that Ms. Linda Walker was sent a letter notifying her of this meeting, and also requested the Manager to send her a copy of the Progress Report to Lahontan. Manager Cofer stated that in the Directors packet this evening is the progress report to Lahontan and stated the most important factor in this report is where it shows the historical ammonia level at Indian Creek and from 1973 to 1977 the ammonia has averaged 6 mg/1 and this month we were less than 4 mg/1, which is in compliance with requirements, and yesterday the ammonia level was 3.1 mg/1; we have also met the COD requirements for the past 4 months, so the plant is performing very well. Manager Cofer also stated they will be meeting with Lahontan next week and this report will also be mailed to the Lahontan Board members. A meeting is scheduled for 4/13/78 with the Chairman of the Board (Lahontan) Mr. Caldwell. MANAGER OF WATER SUPPLY SYSTEMS REPORT (4/6/78) : - The pump at the Keller Station that was giving us so many problems has now been repaired and running very smoothly. The problem was finally solved by putting a sleeve over the shaft at the base of the motor. This eliminated the whip action of the shaft which was continuously breaking the porcelain packing. This pump has now been on line about 3 weeks and is showing no signs of further problems. I am going to have the other pump pulled and sent to Sacramento to have the same repair done to it. By doing this, I should have two good pumps for the up- coming summer season. I have assigned two men to a meter repair program. This is a program that is in need of much attention, as we have many meters in need of repair, and much loss in revenue. Last week the District sent Virgil Schrauben and Jay Rymel to Hersey Meter Company in Los Angeles, to attend three days of instructional classes on meter repairing and testing. I plan to pair the schooled men with each of the other men to instruct them on how to best repair meters. With the possible drop in new water service applications this year, we should be able to have all meters repaired by the summer months of heavy usage. Regular Meeting -7- 4/6/78 Water Utility Committee Report (4/6/78) South Tahoe Public Utility District Water Production - March 78. Well Production (mg) Cold Creek Diversion(MG) Totals 1977 1978 % Change 32.7 39.3 +20.2 35.0 52.7 +50.6 67.7 92.0 +35.9 Calendar Year to Date: Well Production Cold Creek Diversion Totals 1977 1978 % Change 101.8 112.1 +10.1 110.9 155.3 +40.0 212.7 267.4 +25.7 REPORT FROM MANAGER OF ~INTENANCE DIVISION (Gene Eppler) 4/6/78 Repairs to the carbon furnace have once again been completed, and the furnace is now in operation. The three stripping tower pumps have been reinstalled after being re- built and the tower soon to be placed in operation. No other major maintenance problems have occurred in the plant for the past few weeks. In the collection system we have had a few stoppages with spills and none of which have entered any surface waters of the Tahoe Basin. The worst of these stoppages was located on an easement between Muskwaki and Washoan. Vandalism was the cause, and the Sheriff's Department was notified. The Maintenance Department is presently scheduling major plant shut-downs to repair items such as the stripping tower flights, valves and aeration facilities. We are in hopes of completing these repairs during force main shut- downs to eliminate unnecessary use of the emergency holding pond. Classes are being scheduled for all personnel on proper use of various operational and maintenance equipment through- out the plant such as furnaces and centrifuges. I would also like to inform the Board that Indian Creek Reservoir is now at a level of 54 feet and looking very good. Mr. E. Schmidt, Senior Operator, stated that the Plant is running very well right now; also he stated he is very favorably impressed with CWC, who will take the time to answer any questions or assist in any way they can when called upon; also complimented Mr. C. Ross' crew, who is always ready to assist when needed. FINANCE OFFICER'S REPORT (David W. Callahan) 4/6/78: The invoices for water service will be mailed on Monday, April 10th. Enclosed with each invoice will be a statement of the new rates. The invoices for the sewer service will not be mailed until June. I propose to include information as to why the rate was increased again. I would appreciate the Finance Committee's suggestions for review and approval of the informa- tion. The District has received permission to hire two (2) more CETA employees for cleanup and painting of the treatment plant. These employees are to be terminated at completion of the project along with the two (2) existing authorized employees. Regular Meeting -8- 4/6/78 ITEMS FOR BOARD ACTION: (1) Membership in Association of California Water Agencies - (ACWA). Manager Cofer recommended we participate in this association; Director Fieldcamp moved, seconded by Director Cocking, unanimously carried. (2) Vehicle: (a) (b) 3/4 ton pickup - Bids were opened today, as follows: Shehadi Motors $7,577.00 Tahoe Ford $7,839.48 Assistant Manager Callahan recommended authorization of purchase of one 3/4 ton pickup from Shehadi Motors for his bid price. Director N. Olson moved, seconded by Director R. Fieldcamp unanimously carried. ' (3) Public Official Liability: Assistant Manager Callahan recommended, and Manager Cofer concurred,that the Public Official Liability be continued, and same has increased $1,300 this year. Director Olson moved, seconded by Director Jones unanimously carried. ' (4) Bid Proposal, Secondary Effluent Pump Motor: - G. Eppler stated that we awarded a contract conditioned upon that the motor head would be interchangeable with our existing motor heard, and it is not; he, therefore, recommended this bid be non-responsive, and the bid rejected. Director Fieldcamp moved, seconded by Director Olson, unanimously carried. (5) A.B. 2465 - Manager Cofer stated that Directors Kashuba and Cocking, David Callahan, and Manager Cofer, had discussions with Assemblyman Waters this afternoon and the Staff man for the Assembly Committee on A B 2465, concerning possible amendments to the bill, and some language was suggested, and Mr. Waters asked that we get some expression from this Board as to the acceptability of it, which is as follows: "THE LAHONTAN REGIONAL WATER QUALITY CONTROL BOARD AND THE STATE WATER RESOURCES CONTROL BOARD MUST FIND THAT THERE WILL BE NO SIGNIFICANT NET INCREASE IN HARMFUL ~TERIALS ENTERING LAKE TAHOE AS A RESULT OF A PROJECT" Director Olson moved, seconded by Director Fieldcamp, unanimously carried, amendment as above be approved, as so recommended by Manager Cofer. WILL SERVE REQUESTS: None. PAYMENT OF CLAIMS: Director Olson moved, seconded by Director Fieldcamp, unanimously carried, claims in the amount of $253,017.35, as recommended by Assistant Manager Callahan, be approved. Attorney Weidman stated a claim has been received from Bohannon Organization, and City recieved a claim as well; and he requested authorization to refer this claim to Jones, Hall, Hayes, and White (Attorney) for the insufficiency of the claim and we will have information from them by the 20th of April to report to the Board - Board approved referral of this claim to attorney. ADJOURNMENT: 10:40 P.M. - ~orrene ~. Kashuba, Preszdent South Tahoe Public Utility District ATTEST: Cl~rk~'f Board ~ Ex-Officio Secretary South' Tahoe Public Utility District Regular Meeting of the Board of Directors of the South Tahoe Public Utility District April 20, 1978 The Board of Directors of the South Tahoe Public Utility District n~t in a regular session on 4/20/78, 8:00 P.M., District Conference Room. President Kashuba called the meeting to order at 8:00 P. M. ROLL CAI,I,: Present were President L.L. Kashuba, Directors W.N. Olson, F.J. Cocking, R.A. Fieldcamp, J.R. Jones. Also present were ~.~%nager J.R. Cofer, Assistant Manager D.W. Callahan, Clerk of Board, Attorney J.C.Weidman, Manager of Maintenance G. Eppler, Manager of Water Systems B. Dunckhorst, and ABSENT was the Manager of Operations - John Bonnet. CORRECTIONS OR ADDITIONS TO THE AGENDA: Manager Cofer reconmended that an item be added to the Items for Board Action - Authorization for the District Audit Firm - Ehlman and Calvert - to Assist in an I R S Audit of Water Company Purchase. Director Olson moved, seconded by Director Cocking, %unanimously carried. MINUTES: Director Fieldcamp moved, seconded by Director Olson, unanimously carried, minutes of 4/6/78 be approved as submitted - (Regular ~eting). CO~I~I%TEE REPORTS: (1) Research, Conservation and Training: - Director Jones stated that a meeting is scheduled on 5/2/78 with Mr. Jim Levitt at the Lake Tahoe Conmunity College to establish possible courses that would be helpful to the plant personnel. No other cc~nittee reports. REPOI~ ON WORKSHOP SESSIONS AND OTHER MJ~ETINGS: Manager Cofer stated that: 4/13/78 Meeting with Chairman Lahontan L~ Re: Consideration of Modifications to Cease and Desist Order to Allow 141 Additional Connections to the Sower System. 4/17/78 Workshop Agenda Items and Procedures for Recording Board Minutes. 4/20/78 Workshop District Programs. Executive Sessions - Litigation Bohannon Corpora- tion. President Kashuba stated that she and Manager Cofer met with Congressman McFall's aide, and asked for sc~e additional assistance on getting the EPA contract going; also to find out why the delay in getting the consultant or the contractor for the E I S, and other probl~ns were also discussed. MANAGER'S REPORT: Manager Cofer stated he did not have a written report this evening, however he did include in the Directors packet this evening a 3-page statement on scr~e of the District's problems, and estimated costs per day of operating the plant. A%TO~'S REPORT: Attorney J.C.Weidman stated that he wrote to Senator Garamendi, and Assemblyman N.Waters, regarding our Safe Water Bond Loan Application. Senator Garamendi's office has intervened with the Department of Water Resources concerning our petition for reviow, of which we ask for an Administrative Law Judgement Hearing, and this willbe denied, he stated, and there maybe some points clarified to re- presentatives of the Department of Water Resources, which may place the Loan Application in a better light, which is not to say the petition will receive favorable approval from the Director, but hopefully we will get sc~ of our points across to those processing the petition for review..specifically, they are concerned about the growth-inducing aspects of the project. Attorney Weidman suggested 2 or 3 of the Board Members and/or Staff go to visit and talk with the Department of Water Resources regarding this petition. Manager Cofer stated he would like to place a call first, talk with Senator Garan~ndi, to see if it would bebeneficial for us to visit him and discuss this matter, and he will report back to the Board on this matter. SHOP STE%KARD'S REPORT: J. Maxb_Lmer was present but had no report. COMMENTS FROM THE AUDIENCE: None. Regular Meeting -2- 4/20/78 REPORTS BY PROGRAM MANAGERS: (1) Water Supply - W. Dunckhorst: - The meter repair program is progressing very well. To date there has been 21 cc~mercial one-inch to two-inch meters re- paired. Sc~e have been repaired on line, and others been taken out and re- placed with new ones. The meters that have been removed will be repaired and tested at our shop as soon as parts arrive. The Water Department has now started the installation of new water services. These are services held since last fall, aD~ only those which fall into a certain zone category. Others cannot be installed until after May 1st. (2) Operations Report - John Bonnet: - The plant performed very well during his vacation. He credits this to the fine operation and direction of the three Senior Operators in charge.- Vern Trujillo, Ed Schmidt and Steve Tyler, who are to be cc~n~nded for their work. This proves, he stated, that the Operations Department has cc~e a long way during this past year in their ability to effectively operate this plant. The South Tahoe PUD met all discharge and receiving water requirements for them onth of March, with the exception of a pH violation of 6.9, on two consecutive days - March 9th and March 10th. The COD average was 17.0 mg/1 with a requirement of 20 mg/1. Mr. Bonnet also presented the Board Members with plant performance data as well as the requirements for March. The last sample frem Indian Creek indicated an ammonia level of 2.8 n~/1 This sample was taken Tuesday April 18th. ' Mr. Bonnet stated he plans to start the anm~nia stripping tower and the spray pond Monday, April 24th, and should then decrease our chlorine use. (3) ~mintenance Report - Gene Eppler stated he did not have a written report and mentioned that all is in good working order - no problems, and that he has been spending from 2 to 3 days a week at Indian Creek Reservoir and the surround- ing area. (4) Finance Report - D.W. Callahan stated the financial condition of the Water Department continues to improve, however,the cc~parative Statement of Revenue and Expenses shows how expenses have increased more than revenues have in- creased. The water service rate increase, effective 5/1/78, will provide the necessary revenues to continue making improvements to the system and to the financial condition of the Water Deparhnent. (Gave Financial Report to Board Members) He stated he does nothave a current typed report on the Sewer Department, however, a current estimate projecting the revenues and expenses through 6/30/78 indicate that the expenditure of funds will exceed the revenues by approximately $200,000 reducing the available reserve to about $80,000. Mr. Callahan stated he will be attending the CETA Supervisor's Workshop in Placerville tormorrowmorning, and he and A. Long will attend a one-day seminar in San Jose re the effects and implementation of SB 1 and Proposition 8 if they beccme effective 7/1/78. ' ITEMS FOR BOARD ACTION: (1) Claim of David D. Bohannon Organization - Tahoe Tyrol: - Development of 4/4/78. Attorney Weidman recc~mended the Board file a Notice of Insufficiency of Claim of Tahoe Tyrol and Bohannon, which should be filed within 20 days, or the District waives any insufficiency; we should know early the date of the occurrence which gave rise to the claim, which are not set forth; we should know the name or names of the public employee/employees causing the damage, and the loss, if they are known, and we should also know on both claims the basis of cc~putation of the claims for the amounts of money they are asking for. He has prepared a draft to be typed for the insufficiency of claim (for both Bohannon and Tahoe Tyrol), and Attorney Weidman suggested to the Board that action be taken on the claims on 5/15/78, but requested authorization to send a Notice of Insufficiency of Claim. Director Fieldcampmoved, seconded by Director Jones, unanimously carried, that a Notice of Insufficiency of Claim be sent to David D. Bohannon Organization, Tahoe Tyrol Development (4/4/78), and (2) Claim of David D. Bohannon Organization, Montgomery Estates Nos. 4, 5, 7 and 9, and Meadow Lakes No. 1 (4/7/78). (3) Initial Study - New Dc~estic Water Line to So. Tahoe PUD Plant: Aprove initial study, ~~z~~ledt?. Co.u~.~y Cl~rk the Declaration of Categorical Exemp- tion. ~ e~ r_nan mere is presently a 2 water line for the entire water supply to the plant and the water department has suggested extending this to a 6" line to the plant, and we would like to have this work done this sunmer and re- coranended approval of the Board to submit this initial study to the County Clerk for Categorical Exemption. Director Fieldcampmoved, seconded by Director Olson, and unanimously carried. Regular Meeting -3- April 20, 1 9 7 8 (4) Engineering Assistance, Culp/Wesner/Gulp for the following: (a) Plant operation assistance and operator training (Grade V Supervision - 16 hours per month) ($2,500) (b) General Consultation, District Matters ($2,000.00) (c) Lahontan RWQGB matters ($5,000) (d) Engineering assistance for Water Department ($2,000) Total authorization for budget amounts for above engineering assistance not to exceed $11,500. Director Fieldcamp moved, seconded by Director Olson, unanimously carried. (5) Proposal, tion System. We sner/Culp. carried. Study and Design of Telemetering System for Water Supply and Distribu- Manager Gofer recommended this work be authorized for $5,000 to Gulp/ Director Cocking moved, seconded by Director Olson, unanimously (6) GTRPA Permit - Fallen Leaf Lake Sewer System: Accept findings and conditions - - CTRPA Project No. 76-10-18, and Manager Gofer recommended acceptance of this Permit accepting findings and conditions. Director Olson moved, seconded by Director Field- camp, unanimously carried. (6) Purchase of Virgin Activated Carbon from Calgon Corporation in the amount of 80,000 pounds - the carbon would be to replace carbon losses during regeneration and will enable the District to test one carbon column with all new carbon (define furnace regeneration efficiency) the total cost would be $48,760, and Manager Gofer recommended authoriza- tion to purchase 80,000 pounds of virgin carbon. Director Olson moved, seconded by Director Fieldcamp, unanimously carried. Manager Gofer stated it should, however, be pointed out that with this purchase, and our anticipated expenditures, our audit report will showa balance of about $80,000, which [s frightening. (8) Authorization for the District's Audit Firm (Ehlman and Calvert) to assist in an I.R.S. Audit of Water Company Purchase. Assistant Manager Callahan stated that Alexander Grant was given Power of Attorney to discuss this matter with IRS, who has asked [f we would like to have another participant in the study and Assistant Manager Callahan recommended we approve our Auditors to participate. Director Olson move~l, seconded by Director Fieldcamp, unanimously carried. WILL SERVE REQUESTS: (1) 3689 Lake Tahoe Blvd., McDonald's Restaurant (near Ski Run) Lot 22 and Portion of Lot 21 - 4 rest rooms, 2 story building (1-1/2" meter) for water service, and Assistant Manager Gallahan recommended approval of this Will Serve Request for water service. (2) Expansion of Tahoe Steakery - we have sufficient water supply to serve and we will request 1" meter at the owner's expense. Assistant Manager Gallahan recommended approval for this Will Serve Request for water. Director Olson moved, seconded by Director Fieldcamp, unanimously carried the two Will Serve Requests for water service, as recommended by Assistant Manager Callahan be approved. PAYMENT OF CLAIMS: Director Olson moved, seconded by Director Fieldcamp, unani- mously carried, claims in the amount of $218,280.99, as recommended by Assistant Manager Gallahan, be approved for payment. The Directors will meet on 5/1/78 at 3:00 P.M., District Office, to discuss the pro- posal of Fallen Leaf Lake. ADJOURNMENT: 9:35 P.M. ATTEST: ~l~rk~[f Boar~' and ~Ex-'O'ft-i~cio Secretary Sou~fi-~ahoe Publ[ic Utility District ~Jorrene L. Kdshub~a,President South Tahoe Public Utility District Regular Meeting of the Board of Directors of the South Tahoe Public Utility District May 4, 1978 The Board of Directors of the STPUD n~t in regular session 5/4/78 at 8:00 p.m. in the District Conference Room. ROLL CAll.: Present were President L. L. Kashuba, Directors W. N. Olson, F. J. Cocking, R. A.' Fieldcamp and J. R. Jones, General Manager/DistrictEngineer j. R. Cofer, Assis- tantManager D. W. Callahan, Clerk of Board, Attorney J. C. Weidman, G. Eppler, J. Bonnet, W. D unckhorst, Mr. and Mrs. B. Etcheverryof Fallen LeafLake. ADDITIONS OR CORRECTIONS TO THE AGENDA: Manager Cofer requested one additional item be added to the agenda: Items for Board Action #9 - E1 Dorado County WaterAgency, Water System Improvements Director Olsonmoved, seconded by Director Fieldcamp, unanimously carried, Item #9 be approved and added to the agenda this evening. MINUTES OF 4/20/78 - Director Jones commented that Senator Garamendi's name was incorrect- ly spelled in the minutes and requested that change be made. Director Olsonmoved, seconded by Director Fieldcamp, unanimously carried, minutes of 4/20/78 be approved as corrected. REPORPBYBOARDMEMBERS: None. O2~4ITIIKEREPOR~S: (1) Research, Conservation and Training - This cc~mittee did meet with Jim Levitt, Dean of the Lake Tahoe Ccmmunity College, on Tuesday last and discussed withhimthe possibi- lity of incorporating some courses in their program and possibly having seme type of a curriculum that could be taken by operators and technical people at the District, and something that could be used by other technically oriented employees of other entities in the District - the Cc~munity College is receptive to this, and hoepfully, Director Jones stated, we may be able to get sc~e courses next fall. (2) Water Utility. No report. (3) Plant Operation: No report. (4) Finance/Insurance: No report. (5) Public information: No meeting and no report. However, President Kashuba did state that the two Assembly Bills Nos. 2465 and 2838 did receive the due-pass to go to the Ways and ~ans on the !6th of May, 1978. WORKSHOP SESSIONS: Manager Cofer reported the following sessions: (1) 4/21/78 - Review Air Quality Section EIR (Kashuba/Fieldcamp attended). (2) 4/25/78 - Assembly Cc~mittee Water, Parks and Wildlife RE AB 2468 In- Basin Reuse and AB 2838 Set Time Limit for State Water Resources Control Board to Act on Appeals (Kashuba and Jones attended). (3) 4/27/78 - EPA Meeting on Federal EIS. (4) 5/1/78 - Workshop Agenda Items and Proposals for ConstructionManage- ment - Fallen Leaf Lake Sewer Project. (5) 5/4/78 - Workshop on District's Programs. MANAGER'S REPORt: As presented by Manager Cofer: EPA EIS On April 27, !978, the EPA held a Technical Advisory Cc~mittee n~eting at the District's office. The purpose of the TACmeeting was to introduce the EPA's Consultant, who will be preparing the Federal Environmental Impact Statement. The selected Consultant is Sedway/Cooke, an urban and envirorm~entat planning firm from San Francisco. The work program schedule is as follows: 4 Public Workshops 4 Public Workshops Distribute Draft EIS Public Hearings Select Alternative Final EIS Cc~pleted October, 1978 January, 1979 August, 1979 October, 1979 October 1979 March, 1980 ~oql Regular Meeting -2- 5/4/78 PROGRESS REPORT TO LAHONTAN: Manager Cofer Presented copies to the Board Members of Progress Report to Lahontan regarding cc~pliance with the Cease and Desist Order. ATI~RNEY'S REPORT: Attorney J. C. Weidman stated that Ordinance No. 277 was adopted by this Board on March 23, 1978, and we neglected to post this Ordinance, and recc~- mended that the Board nc~ take action to rescind Ordinance No. 277, and consider adoption of Ordinance No. 278 as follc~s: ORDINANCE NO. 278 - An Ordinance Pescinding Ordinance No. 277, and Authorizing the President to Execute a Contract Between the STATE WATER RESOURCES CONTROL BOARD and STPUD .... Director Olson moved, seconded by Director Cocking, unanimously carried, Ordinance No. 278 be approved and adopted, as so recc~- mended by Attorney J. C. Weidman. Attorney Weidman also breiefly discussed AB #2838 and AB ~2455 with the Board. SHOP STEWARD' S REPORT: None Present. FROM ADUIENCE: None. PROJECT MANAGER'S REPORT: Water System, W. Dunckhorst as follows: Last week the second pump at the keller Station was repaired and put back on line. Both of these pumps are now running smoothly. The City Fire Department is presently flushing hydrants throughout the City. This is creating quite a few ccmplaints on turbidity, but it is scmething that must be done. There was no flushing of the mains last year because of the drought conditions, so consequently the mains are in need of flushing. I have received approval frem CTRPA to go ahead with the installation of the new water main to the District Plant. Pipe and other material are on order for this project and plans are to start in the next couple of weeks. Manager of Operations, as reported by John Bonnet: "On April 19, 20, 21, eight employees of the District attended the CWPCA Conference in Sacramento. This conference was one of the most informative I have attended, he stated. On Tuesday, April 18 the spray pond and stripping tower were placed on the line to reduce the anm~nia by air stripping. This allows us to use less chlorine for breakpoint and achieve the same results. The tower had to be pumped down last Tuesday to enable maintenance to repair a large sprocket that was causing us to break the shear pins in the drive unit. The tc~er and spray pond were again placed in service the same day. Also on~ Tuesday, a representative frcm Bird Machine Ccmpany gave a class on our centrifuges. The Digester covers are not as iow as I would like them to be, but this was caused by wasting lime in an attempt to raise the CAO in our recalcined lime. The plant performance for April was good. All of the data is not available yet but our average COD was 12.6 rog/l, average pH was 7.2, average an~nonia was 0.5 rog/1. The average an~nonia at Indian Creek was 2.9, and the average pH was 7.9. The carbon column #2 has eight new screens in the bottem and the top screens were reinspected and found to be in good shape. Therefore, this column will be used for the virgin carbon when it arrives. Column #1 was also inspected and the bottem screens are such that they have to be replaced, same as column #2. These two are the original columns built in 1963 or 1964. Therefore, we know of eleven screens that have to be replaced in three columns. We don't know about the rest, but suspect there are many." Maintenance Report = Gene Epper, as follows: "A few major maintenance items were encountered in the last two weeks. Outside the plant we had several stoppages, one with minor property damage. We found a portion of the export line washed out by the heavy rains. No damage done to the pipe. Equipment and underground repairn~n corrected the problem. As Mr. Bonnet mentioned, we experienced problems with stripping tower, this has also been corrected. The last of the major problems was on carbon column #2, in the tertiary building; it was necessary to replace eight lower screens because of the pitting, holes and cracked welds found after cleaning the screens. Two of these are present for your examination, one before cleaning and one after. (Mr. Eppler presented sam~ to the Board for their information). I have scheduled a cc~plete cleanup of Plant Grounds prior to CASA Tours of this plant, and I apologize that the tertiary is still being painted and not a very attractive sight." Regular Meeting -3- 5/4/78 Finance Officer's Report: As reported by D. %Ar. Callahan: D. IM. Callahan and A. Long attended a one-day seminar yesterday at San ~ose on Senate Bill 1 and Proposition 8, and ~arvis-Gann Initiative. The conference was put on by the Municipal Office of Finance Officers, and there were approximately 100 in attendance. MISCELLANEOUS: Attorney Weidman stated that he'-met with our Counsel regarding the Export Pipeline Litigation, and they are now in the process of serving all of the depen- dents, including~%e pipeline manufacturer, and answers will be due within 30 days of service. ITEMS FOR BOARD AC[II ON: Fallen Leaf Lake Sewer Project (1) Joint Proposal for Phase III Construction and Resident Engineering Services - W.F. Pillsbury, Inc., and CSO International, Inc. ($225,000). Manager Gofer stated this is quite high, and he has worked very hard going over the contract and cannot see any- where that this figure can be reduced. The State has reviewed it and they are not pre- pared to suggest any reduction in the figure either. Manager Corer recommended con- sideration of this subject be postponed at this time. (2) Mr. W. PillsbUry has proposed that Mr. Wamstad be the resident engineer/inspector on the Fallen Leaf Lake Project, and Mr. B. Etcheverry has had lunch with Mr. Wamstad, and Manager Gofer sta~d he is satisfied that he is a very competent and capable man for this job, and would like to have him on the job prior to going out for bid. This will increase the Phase II contract by $2,500 and also recommended that we authorize an amendment to COS's contract for $5,000 to allow CSO to print the plans and specifications. Mr. IA;. Pillsbury stated that from his last report to this Board, they have made some good progress; they have met with the State Board; have also obtained the approval of CTRPA and TRPA - and now have all the required governmental agency approvals. Mrl Etcheverry stated that he has been here all week. He met with Mr. J. Gofer and has been to W. Pillsubry's office going over the work they have done on phase II and he certainly does support the two recommendations of Manager Gofer as stated above. He stated also that the District is certainly fortunate to have a man such as Jim Gofer. He also stated that Mr. Wamstad is very qualified for the position as resident/inspector for the Fallen Leaf P~oject, and Mr. Etcheverry stated it is again a pleasure to be with the Board this evening, and he stated that no matter what might happen, Fallen Leaf Lake is going ahead with the project. Mr. Pillsbury stated they have all of the easement descriptions completed and sent out, and many have been received back and signed; there is one potential problem on acq uisi- tion, which is with a Mr. Taggart, and he and Mr. Gofer have met with Mr. Taggart, and Mr. Pillsbury has met with Mr. Taggart's Attorney, as has Mr. Weidman and Mr. Corer. Manager Gofer stated that Attorney Hill did mention he felt we can sell bonds, whether or not the Jarvis-Gann Bill passes or fails. Director Olson moved, seconded by Director Fieldcamp, that the two recommendations as described above, and as recommended by Manager Gofer, be approved. Assistant Manager Callahan stated this author ization will be in excess of the $150,000 of bonds sold. Unanimously carried by roll call vote. Manager Gofer suggested a Field Trip by the Board to go over to Fallen Leaf and the plans on the iSth of May at 10:00 a.m. Agreed. (3) Condemnation Procedures - Taggart Properties . Condemnation Actions . · Direct Counsel to Proceed with Manager Gofer stated we do have one property owner that is not in total agreement with what we propose to do - easement concerning Mr. Taggart - and he is more concerned over the location of the lines and design, and Mr. Pillsbury and GSO have been working with him to try to satisfy that phase of it, but it does appear that to protect the time limit, we should preceed with condemnation procedures should we have to ~lo this. ~3'~ Regular Meeting -4- 5/4/78 Attorney YVeidman stated that before Condemnation Proceedings can be filed, the District must have a Resolution of Necessity to Acquire the Property. Get a Notice of Hearing 15 days in advance to the people whose property is to be acquired; that the property is necessary for the project; whether the public interest and necessity required for the pro- ject. Mr. YVeidman suggested the Board send a Notice of Hearing for June 1st, 1978, to Mr. 'and Mrs. Taggart, for 8:00 p.m., District Conference Room. Director Olson moved, seconded by Director [oneS, unanimously carried, that Mr. lAZeidman's recom- mendation be accepted and Notice of Hearing be sent fo tune 1, 1978, at 8:00 p.m., District Conference Room. Mr. ~Veidman mentioned that there will be one pump station on the property and the sewer line goes very close to their house. Mr. Pillsubry pointed out the location of the property on the map for the Board. Director Olson moved, seconded by Director [ones, and by roll call vote, unanimously carried, that Notice of Hearing be sent to Mr. and Mrs. Taggart and the hearing be set for June 1, 1978, District Conference Room 8:00 p.m. Manager Corer stated that Mr. Taggart certainly does want to be sewered, and by this action of Condmenation, we are protecting ourselves in the event we run out of time. His problem is the type of system, where it corsses his property, and the location of this. Manager Gofer stated he is hopeful we will solve this matter, but we have to protect ourselves against the time period we have. REPORT OF EXPORT PIPELINE: (1) Status Report on State Loan - D. YV. Callahan stated that on April 4, 1978, the con- tract signed by the District was sent to the appropriate department of the State. On April 24, 1978, it was moved out of that department to be signed by the Department of Finance, and he had been advised that it would take two weeks in each Department for signatures, etc. He called today to check to see if the report is moving right along. He was assured this would be checked into, and Mr. Callahan stated he does not be- lieve we will have a fully executed contract before the end of May. (2) Manager Corer recommended the Board authorize filing c/ the Negative Declarations with the County Clerk for Surge Protection Low Lift Discharge Pipeline, Pressure Access Manholes, Luther Pass Pump Station Surge Protection. Director Fieldcamp moved, se- conded by Director Cocking, unanimously carried. (3) Replacement of carbon screens plans and specifications for 32 well screens. Authrorize Advertisement for Bids. It was mentioned that the only firm that can supply the above would Johnson Screen, however, bid documents will be mailed to them, and this will also be published in the newspaper (Tahoe Daily Tribune, two times). Director Jones moved, seconded by Director Cocking, unanimously carried. (4) Facilities Planning: (a) Request for contract augmentation, Jones and Stokes Associates, Inc., E I R ($11,951.87). Manager Gofer recommended approval of same. Director Olson moved, seconded by Director Jones, unanimously carried. (b) Public Hearings on Facilities Plan, E I R, Financing Plan and Revenue Program. Set hearing time and date - 7:30 p.m., Thursday, tune 15, 1978, District Office. Director Olson moved, seconded by Director [ones, unanimously carried, that hearing be held June 15, 1978, 7:30 p.m. at the District Office. (s) Water Supply System: (a) Proposal for preparation of Master Plan, Water System. ($36,125) (b) Proposal for Preliminary Engineering Study Coagulation System at Cold Greek Filter Plant and Filters at Martin Avenue Well. Authorize Work as recommended by Manager Gofer. ($2, (c) Proposal for Preparation of Construction Plans and Specifications - Water Improvements. ($14,000) ( 1. Water Storage Tank 2. Standby Chlorinators Letter from Culp/Wesner/Culp of 4/27/78 have the above costs l~oken down. Director Fieldcamp moved, seconded by Director Olson, unanimously carried, that the Regular Meeting -5- 5/4/78 ~ ~ ~ f Water Supply System Improvements as recor~nended by Manager Cofer be approved for the total amount of $36,125.00. RECESS: 9:15 P.M. - Meeting Reconvened at 9:25 P.M. (d) AIRPORt WELL SITE, AGPE~MTS: = Manager Cofer recc~nended that our Attorney be authorized to finalize agreements. Director Fieldcamp moved,seconded by Director Ols0n, unanimously carried. (e) COUNTER OFFER ON HIGH MEADOWS TRAIL LOT FOR TANK SITE: - Assistant Manager Callahan stated that he has negotiated with the property owner, who is requesting an amount of $10,500.00, and Mr. Callahan stated he would like authority to make a counter offer of $10,000.00, and this would prevent eminent domain proceedings being filed against the property owner. Director Olson moved, seconded by Director Fieldcamp, unanimously carried, authorization be given to D. W. Callahan to make a counter offer of $10,000.00 to the property owner for tank site. (6) AUDIT FISCAL YEAR 1977-78: - Assistant Manager Callahan requested that the reco£N~endation of the Finance Committee, to authorize Ehlman & Calvert to do the annual audit, not to exceed $8,500.00 to be approved. Director Olson moved, seconded by Director Fieldcamp, unanhnously carried. (7) GRANT FUNDS ADMINISTRATION: Director Olson moved, seconded by Director Fieldcamp, unanimously carried, that the President and the Finance Officer request payment of grant funds. (8) SENATE BILLNO. 2163 - M~inicipal Services and Functions: - - Notify California Association of Sanitation Agencies (CASA) of District's position on Bill. This matter tabled until after the Casa Meeting/Seminar on 5/12/78. (9) EL DORADO COUNTY WATER AGENCY, REGARDING WATER IMPROVEMENTS: - Manager Cofer stated that each Director has a copy of the letter to Mr. W. P. Walker of the E1 Dorado County Water Agency, where the District is requesting authorization of project and transfer funds for development of South Tahoe Public Utility District Water Supply and Distribution System. Manager Cofer recc~m~nded that authorization be given tomail this letter to Mr. Walker and in the event that Mr. W. Johnson cannot be there for this coming ~eeting of E1 Dorado County Water Agency, that we request time on their next agenda. Director Olsonmoved, seconded by Director Jones, unanimously carried. WILL SERVE LETTERS: (1) Amusement Pond on Highway 50: --- ~anager Cofer recon~nended approval of this for water supply (60,000 - 100,000 gallons annually). Director Olson moved, seconded by Director Cocking, unanimously carried, this Will Serve Letter for Water be approved with the notation that we reserve the right to withhold if we are in any drought condition, at any time. (2) We~ndy's Hamburger Restaurant: - Will Serve for a 2" water meter. Director Olsonmoved, seconded by Director Cocking, unanimously carried, that this Will Serve Letter for Wendy's Hamburger Restaurant be approved. PAYMENT OF CLAIMS: Director Olsonmoved, seconded by Director Fieldcamp, unanimously carried, claims in the amount of $150,520.26, as reca~nded by Assistant Manager Callahan, be approved for payment. 10:45 P.M. to 5/15/78 at 3:00 P.M., District Conference Room. L. Kashuba, President South Tahoe Public Utility District AT1NEST: Clerk ~-Bo~rd an~-Ex-officio Se~~ Sou~ ~ ~lic Utility Dis~ict ADJOURNED MEETING OF THE BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT - 3:00 P. May 15, 1978 The Board of Directors met in an Adjourned SessionMay 15, 1978 at 3:00 PM, District Conference Room. t%OLLCATI.: Present were President L.L. Kashuba, Directors W. N. Olson, R. A. Fieldcamp, Manager J.R. Cofer, Assistant Manager D.W. Callahan, and Clerk of Board. Director Cocking arrived at 3:15 P.M. - Director Jones and Attorney J.C. Weidmanwere absent. PURPOSE OF ADJOURNED MEETING: (1) Claim of David D. Bohannon Organization, Tahoe Tyrol, and (2) Claim of David D. Bohannon Organization - MontgcmeryEstates, Nos. 5, 7, 9 and Meadow Estates No. 1. Manager Cofer stated that he just spoke with Attorney J.C. Weidman, who is unable to be present for this meeting, and he will be here tomorrow with the formal docur~ents for us to send out to Bohannon and he reconmended that the Board take each item as a separate item for Board Action and that the claims be rejected in whole. Director Olsonmoved, seconded by Director Fieldcamp, unanimously carried, t_hat the claim of David D. Bohannon Organization, and Tahoe Tyrol, be rejected in whole. Director Fieldcampmoved, seconded by Director Olson, unanimously carried, that the claim of David D. Bohannon Organization, Montgomery Estates Nos. 5, 7, 9, and MeadowEstates No. 1 be rejected in whole. Being no further business to com~ before the Board for this Adjourned Meeting -- same was adjourned by President L. L. Kashuba at 3:20 P.M. For informational purposes, Manager Cofer stated that action canbe taken on May 18, 1978 at 3:00 P.M., Hearing Date of Mr. Richard Taggart for condemnation of his property at Fallen Leaf Lake. Lorrene L.~ Kash~b~-, President South Tahoe Public Utility District ATI~ST: Cter_k/~f Board & Ex-Of-ficio Secretary Sout~/Tahee Public Utility District Regular Meeting of the Board of Directors South Tahoe Public Utility District - May 18, 1978, 8:00 P.M. The Board of Directors of the South Tahoe Public Utility District met in regular session 5/18/78 at 8:00 P.M. in the District Conference Room. ROLL CAII.: Present were President L.L. Kashuba, Directors F. J. Cocking, R.A. Fieldcamp, J.R. Jones, W.N. Olson, Manager J.R. Cofer, Assistant Manager D.W. Callahan, Clerk of Board, Gene Eppler, J. Bonnet, W. Dunckhorst, Mr. and Mrs. R. Baer. ABSENT: Attorney J.C. Weidman. Corrections or Additions to the Agenda: (1) Add letter received frc~ the Voluntary Action Group; (2) Director Jones requested addition of "Staff Evaluation of Chang- ing Plant Operation." Regular Meeting -2- 5/18/78 MINUTES OF 5/4/78: - Director Fieldcamp moved, seconded by Director Olson, unanimously carried, the minutes be approved with the addition of Assembly Bills added under the Public Information Co~nittee Reports...as it now stands, it is stated only BILLS 2465 and 2838, and same to be changed to read Assembly Bills 2465 and 2838. Director Fieldcamp moved, seconded by Director Olson, unanimosuly carried, that the minutes of 5/15/78 be approved as presented for that adjourned meeting. REPORP BY BOARD ~MBERS: Director Jones stated that he and W. Dunckhorst attended the Association of Water Agencies, and he stated that it was a very information meeting, and that he received much knowledge from that meeting; he also stated that the District should continue to be involved. He mentioned, too, that there are tapes of that meeting that were brought back for any one that is interested in hearing the tapes President Kashuba also reported that CASA meeting held at Lake Tahoe was very successful, and the organization did endorse Proposition 2 - Clean Water Bond Act, and that 54 people toured the plant. Director Olson stated that scme of those on the tour had commented on how clean our plant is. COMMI%TEE REPORTS - (1) Plant Operations Report: - Director Fieldcamp stated he would like his comnents noted in this set of ~minutes this evening...-"In regards to the tour of the plant with CASA, and also to Mr. Cofer, Bob Baer and John Bonnet - I want to personally thank every man in this plant for the amount of work that they did in getting ready for CASA, and the people in the lab - we took CASA through a tour of the lab, and the people were very surprised to see everything as nice as it was, and it just tickled me to death. I didn't get a chance to drink the water - only one person was there when I drank it, and he was not withCASA . I want to personally thank each and everyone of you, because after we got out of the t.ou~, a~..d after we gout out of the bus at the Timbercove, so many came up to me, especla±±y the won~n, and thanked me, and wanted to thank you beys for the wonderful tour given, and it made me feel real good, and I am real proud of each and everyone of you, and also to Jim for the talk he gave, which was very informational." FINANCE AND INSURANCE COMMI~: (2) Director Olson stated a meeting was held this afternoon and Assistant Manager Callahan will report on this. Assistant Manager Callahan stated that he requested 2 weeks ago from this Board - approval that an insert be included with the annual billing regarding the increase in sewmr service fees, and presented copies of same to the Board for their considera- tion. No other cc~n%ittee reports. REPORT ON WORKSHOP SESSIONS: As mentioned by J.R. Cofer, General Manager/District Engineer: (1) 5/8/78 Meeting with Bond Counsel re District's Obligations and Fallen Leaf Lake Sewer Project Financing. (2) 5/11/78 Lahontan R W Q C B Meeting. (3) 5/11/78 and 5/12/78 - Association of California Water Agency Meeting. (4) 5/12/78 and 5/13/78 - California Association of Sanitary Agency Meeting. (5) 5/18/78 Workshop - District's Programs - Regular Meeting. MANAGER'S REPORT: Manager J.R. Cofer stated he did not have a written report this evening, however, he did announce that our two bills are scheduled to be heard before the Ways and Means Conmittee on June 9, 1978, Friday, 8:00 A.M. A%TORNEY'S REPORT: Not present. SHOP STESqtRD'S REPORT: Not present. ~S FROM AUDIENCE: None. Regular Meeting -3- 5/18/78 REPORPS BY PROGRAM MANAGER'S (1) Water System W. Dunckhorst: --- "Installation of the two new submersible pumps at Glenwoodhas begun. The number one pump has been pulled and the new 30 hppumphas been installed. Modification work will have to be done to make the tie-in to the submersible. The installation of both pumps should be completed in the next week or so, this is being done in stages so that only one pump is down and off line at a time. This past week Mr. Jones and myself attended the Monterey Conference of of the Association of California Water Agencies. In my opinion the speakers, Senator Alquist, Senator Nejedly, retired former Legislative Analysis, A. Alan Post, and Assemblyman Kapiloff were outstanding and very informative. The Water Department maintenance crews are presently quite busy. We are having a rash of water leaks, trying to repair and install meters, installing new services, and any other emergencies that may arise, - all of a sudden, we are falling behind on scheduled W~k," (2) _Operaticn Division, J. Bonnet: -- ''Last week our Instrument Tec~hnician completed the installation of two dissolved oxygen probes in ~5 aeration basin. This was done in an effort to obtain amore constant dissolved oxygen concentration by giving the operators a constant reading. If these probesworkwell, we will install two mere in basin ~5; so far they appear to be alright. ~nday of this week we started dewatering the lower end of the plant, everything downstream of the secor~ary clarifiers. This was done to allow maintenance to replace a value in pond #2; inspect another valve from chemical clarifier #1 as well as rake arms in both chemical clarifiers, clean the lime from the floc basin to chemical clarifier 92 and clean the floc basin. Tuesday and Wednesday we received the virgin carbon that will be placed into carbon column ~2. As you recall, this column has eight new screens in the bottom. We will run this column and column #3 at maximum design flow of 700 gpm. This will help determine where our problems are and if it is our regeneration or old carbon. We are still having problems with the carbon furnace scrubber and gas pressure regulator. The scrubber and ductworkwill have to be re- placed soon and the gas pressure regulator should be here next wmek. So far this menthwe have met all discharge and receiving water requirements; the ansonia at Indian Creek is 2.5 mg/1. Our effluent COD average is 12.0 mg/1, average pH 7.3, average ~nia 0.84 mg/1, and the average phosphorus is 0.81mg/1." (3) Maintenance Division - Gene Eppler: Mr. Eppler stated he has no written report for this meeting, however,he has been ~ite busy and the Maintenance Depar~nent, as indicated by the Manager of Operations, has been very busy. ~. Eppler has been meeting with many regulatory agencies and Fallen Leaf Lake representatives, and with Mr. Taggart of Fallen Leaf Lake, and has been at Indian Creek Reservoir spending much of his time there. (4) Finance Officer's Report: AS reporte~l by D.W. Callahan: "WHAT EFFECT WILL THE ~JkRVIS-GAAIN INITIATIVE HAVE ON THE DISTRICT IF APPtlOVED BY THE VOTE~ ON JUNE 6, 1978" The staff of the City of South Lake Tahoe stated in their report of May 2, 1978 that the "Jarvis-Gann Initiative bases tax on the 1975-76 assessed valuation..., with adjustments for properties undervalued at that date or for properties constructed or sold since that time. AS a result, the assessed valuation of the City could be as much as 5 to 10 percent higher than the City's 1977-78 assessed valuation. This results because of the...rate of turnover of properties within the City and because the Assessor's valuation schedule was such that much of the tax roll was not assessed at current market value in 1975-76. Jarvis-Gannwill lower the tax rate within the city limits to $4.56 per $100 of assessed valuation from $9.563 per $100, a decrease of 52 percent. If we exclude taxes collected to retire bonds, total property tax collections within the city limits will decrease 53 percent." Regular Meeting -4- 5/18/78 Dependent upon how the tax revenues are apportioned to the various gove~tal agencies, the District's tax revenues for maintenance and opera- tion could be expected to be reduced 50 to 100 percent. Tax revenues for re- payment of existing general obligation debt would not be affected. The District's budget for fiscal year 1978-79 includes $2,001,000.00 revenues frc~ the tax levy for payment of maintenance and operation expense. Sewer service charges could be increased to provide the revenues lost from reduction of tax revenues. The following table shows what increases in the service charge would be required to offset various amounts of tax revenue reductions. TAX REVENUE LOSS SEWER SERVICE CHARGE INCREASE Single Family Dwelling 3-Sewer Units Percent Amount Percent Rate 7/1/78 New Rate 50% $1,000,000 36% $ 124.20 $169.20 75% 1,501,000 54% 124.20 190.80 100% 2,001,000 72% 124.20 214.20 Multi-residential and conr~rcial would increase by the sa~ percentage, e.g., motel (30 sewer units), 75% increase from $1,242.00 to $1,908.00. Reduction of operating expenses to offset lost revenues would affect the District's li~ability.~o conti~u.e ~eting the waste discharge standards. The curren~ use os operatzng supplzes and utilities cannot be significantly reduced without substantial reduction in the quality of the effluent. Wages and employee benefits are budgeted for fiscal year 1978-79 at $1,518,000.00. However the Comprehensive ~nployment Training Act provides that there cannot be a reduction in locally funded positions while receiving funds under the program. The District currently has 13 e~ployees funded by CETA. Therefore, a major reduction of the work force would be required before any reduction of cost to the local community. SUMMARY Assessed value would be approximately the same for 1978-79 as for 1977-78. Tax revenues would be reduced 50 to 100 percent dependent upon how they are apportioned to the governmental agencies. Significant reduction of operating expenses would prevent the District from carrying out its responsibilities. Replacement of lost tax revenues with service charges would increase annual service charges to an area of $170.00 to $214.00 for a single family dwelling unit." ITEMS FOR BOARD ACTION: (1) Purchase of thirty-two (32) Stainless Steel Carbon Column Screens. Director Olsonmoved, seconded by Director Fieldcamp, unanimously carried, that the contract be awarded to Johnson Screens, as recommended by G. Eppler and Manager J.R. Cofer, for 32 screens, total amount of $24,255.36, and delivery robe 10-12 weeks. Regular Meeting -5- 5/18/78 (2) Facilities Planning Program, EIR Hearing, 6/15/78~ Authorize Assistance by Mr. Larry Buxton. President Kashuba stated that she does have s~ concern of expending this amount of mney for the Public Hearing, particularly since we are 2 years away from the EIS; she suggested that perhaps we can include a notice of the public hearing in our sewer and water bills that are being mailed out. Director Fieldcamp recu~tended that the staff take care of this matter. Board members agreed that staff should handle this and include notices of the public hearing along with the sower and water bills. Director Olsonmoved, seconded by Director Jones, unanimously carried, staff handle this matter, at the discretion of the Manager, and include a mailer in the billing. (Facilities Planning Program Notice of Hearing). Amount of money that would be involved will be at the discretion of the Manager and Staff). (3) Airport Well - Environmental Documents. Approve initial study and authorize Notice of Intent to Issue Negative Declaration. Assistant Manager Callahan stated that he and W. Dunckhorst have reviewed the documents and what is required to file a Negative Declaration for the AirportWell, and recon~nended approval of same. Director Olsonmoved, seconded by Director Fieldcamp, unanimously carried, Initial Study and Notice of Intent to Issue Negative Declaration be approved. (4) Affirmative Action Program. - Manager Cofer reconmended consideration of the adoption of the Affirmative Action Program, RESOI/3TION NO. 2107 - Director Olson moved, seconded by Director Cocking, unanimously carried, Affirmative A~tion Program, RESOLUTION NO. 2107, (which will also include contract documents for Fallen Leaf Lake) be approved as recc~mended by Manager Cofer. (5) Water System Improvement Project, EIR, Certification of Final EIR and Approve Project. Before State can approve the $800,000 Loan, Manager Cofer stated wemust certify that the E I R is final. Director Olson moved, seconded by Director Fieldcamp, unanimously carried, that Certification of Final EIRandApproval of Project be accepted. (6) Letter frem Sharon Hanmon of Voluntary Action - (Meals on Wheels, which assists the elderly and the ill).- It was requested that a Notice fremVoluntary Action be included in the Utility District's mailing, which invoices for the year. Director Olsonmoved, seconded by Director Cocking, that this request be denied becausemailing of materials under the South Tahoe PUD is restricted to District material only, however, Mr. Olson stated this is a very worthy cause, yet our mail should be restricted to District only. (7) Evaluation of Changing Plant Operations - Director Jones asked the staff to prepare some information for the Board of the advantages and disadvantages of going to secondary treatment here at the plant. The response we are getting frem Jarvis-Gann - the public is very much interested in saving money, cutting down on governmental expenses. Mr. Jones stated that he feels the public should knowevery area of cutting expenses. Manager Cofer stated that most of this information is readily available frc~ the Facilities Planning Program, and same can be presented to the Board in a workshop session - ~y 31, 1978 at 3:00 P.M., District Office. WILL SERVE LEI'rEP, S: None. Regular ~eting -6- May 18 o! 1978 POLICY FOR ISSUANCE OF SEWER PERi,IT: Assistant Manager Callahan recon~ended the following policy for issuing sewer permits: (1) If the City states project is included in the allocation. (2) If Lahontan states exempt from allocation and a sewer connection is o.k. (3) If permit does not add additional sewer units. Manager Cofer stated that Mr. Callahan will be giving a status report on sewer units at each meeting from now on. Director Jones suggested that we should get together with the City and the County to work sc~thing out on permits; we must finalize something, he stated. Manager Cofer stated that his understanding is if Lahontan clears the remaining 121 permits that will clear the list, and there will be no new building permits until the Growth ~nagement Program is presented by the City. Director Olson moved, seconded by Director Jones, unanimously carried, that the recc~nendation of Assistant Manager Callahan - Policy for Issuance of Sewer Permits, as so stated above, be approved, and that the Board be apprised at bi-monthly meetings of the status of same. PAYMENT OF CLA/~4S: Director Fieldcamp moved, seconded by Director Jones, unanimously carried, claims in the amount of $235,253.42, as recc~m~nded by Assistant Manager Callahan be approved for payment. ADJ--: 9:10 P.M. to May 24, 1978 at 3:00 P.M., District Conference Rock. (Hearing for Mr. and Mrs. Richard Taggart of Fallen Leaf Lake). ~rrene L. Kashub~, P~sident South Tahoe Public Utility District A~fEST: C~ ~/ Board and Ex-O-f-f ici6 secretary s°Uth~ahoe Public Utility District ADJOURNED REGULAR MEETING OF THE BOAlqD OF DIRECI~RS SOUTH TAHOE PUBLIC UTILITY DISTRIC~f MAY 24, 1978 -Hearing Richard T. Taggart and Carmen de Lara Taggart of the Fallen Leaf Lake System 3:00 P. M.. President Kashuba called the meeting to order at 3:00 P.M., which is the hearing of Richard T. Taggart and Carm~n de Lara Taggart. ROLL CAT~.: Present were President L.L. Kashuba, Directors W.N. Olson, F.J. Cocking, R.A. Fieldcamp, J.R. Jones, Manager/District Engineer J.R. Cofer, Assistant Manager D.W.Callahan, Clerk of Board, Attorney J.C.Weidman, Attorney Lester H. Berkson, Richard T. Taggart, Gene Eppler and Engineer W.F.Pillsbury. ADDITIONS OR CORRECTIONS TO AG~DA: Manager Cofer stated that he has a couple of items he would like to discuss in a workshop session following this hearing. Agenda stands as approved. President Kashuba stated this is the time and place for the public hearing on Parcel No. 02401, Fallen Leaf Lake Assessment District No. 1971-1, Richard T. Taggart and Carmen de Lara Taggart, and she opened the hearing at 3.:10 P.M. This hearing was publicly noticed for June 1, 1978, and changed(as Mr. Taggart is leaving for England for 3 weeks)- so Mr. Taggart could be present - - - Attorney Weidman stated that the Notice of Hearing was mailed 15 days prior to June 1st, 1978. Mr. Weidman also asked for agre~nent fremMr. Richard T. Taggart and his Attorney Lester H. Berkson, and the District, that the Hearing can be held today rather than on June 1, 1978, and asked for their cc~a~nts as to if this is agreeable with them. Mr. Berkson and Mr. Taggart stated that it is agreeable for this date for the hearing instead of June 1, 1978. Attorney Weidman stated the subject of the Hearing we have here, and to establish, (1) That the public interest and necessity requires the project. Mr. Weidman asked if there was any question regarding #1. Attorney L. Berkson stated the only question would be as to the nature of the project, however, hea requested to reserve cutuents until later in the Hearing. (2) Mr. Weidman asked Manager Cofer to state why the public interest and necessity requires the project. Manager Cofer stated that the Fallen Leaf Lake area is presentlyunder a Cease and Desist Order from the Lahontan Regional Water Quality Control Board, requiring that they sewer, connect to our sewer system, prior to October of 1978, sowemust proceed in order to cc~plywith that order. Attorney Weidman asked ~nager Cofer just what the project is. Manager Cofer stated that the project is a collection system for Fallen Leaf Lake area to collect and transport wastewater to our main manhole and the Forest Service campground and then to bring that waste to the plant for treatment and export out of the basin. Attorney Weidman stated - is the project planned or located in a manner that will be ~ost cempatiblewith the greatest public good and the least private injury, and that goes into the manner of planning this project and type of project that we have. Manager Cofer stated thatMr. W. F. Pillsbury, Engineer, will be presenting a statement to cover that. Attorney Weidman stated that the property from Mr. R. Taggart, which we are seeking to acquire, is necessary for theproject. ~. Pillsbury will also make a statement regarding this point. W.F. Pillsbury, Engineer, stated that he is President of the W. F. Pillsbury, Inc., retained by the District to review the project design, concepts, plans and specifications, and other miscellaneous items regarding the project. He stated that specifically, the items today, he has been involved from the District's standpoint of looking at both the proposed route that the project has been designed on, (CSO's design); also, to look at several alternate routes that Mr. Taggart proposed, and have also spent some time. in the fieldwith ~. Cofer, ~.~. Eppler and Mr. R. Ta~art. lookin~ at the pros and cons of the proposed aIignme~lt, Adjourned Meeting/Hearing -2- 5/ 24/78 which is the suggested alternates by Mr. Taggart. The proposed alignment is one that does follow an existing "old time wagon trail"-- and that route was followed and covered in the environmental assessment prepared by CSO for the project, was reviewed by all the various agencies, and was felt to be the appropriate alignment. The improvements will be a 4" force main, which originates down by Craven's Resort - the main pumping facility, and then pumps under pressure roughly 1,000 ft, beyond Mr. Taggart's property, which goes back into a gravity sewer line. The current ali~nt, not only from an environmental standpoint, a better routing, and better too from a cost stand- point; if wewere to change this routing we wouldhaven~re of abench to be created, there would be n~Dre clearing to do, whereas the present alignment is fairly well cleared. The USFS has reviewed the other alternate routes that wore proposed, and they have indicated to Mr. Epper that there wore not in favor of changing the proposed alignment, and this would be necessary to have the USFS concurrence. Also, Mr. Weidman asked Mr. Pillsbury to showthe area involved on the plans for the Board's information, where the line is presently located, where the stations will be, where Mr. Taggart's house is, and explain why we need to go tb~t route. Attorney Weidman asked if everything that Mr. Taggart proposed was discussed and reviewed and Mr. Pillsbury and Mr. Eppler stated they did. Also, Mr. Eppler stated that he did take President Kashuba to the area this m~rning to show her what we are proposing for this area. Mr. Berkson asked Mr. Pillsbury if the easement across Mr. Taggart's property was 10 or 15 feet, and Mr. Pillsbury stated it is 15' and a 5' working easement during construction. Mr. Berkson also asked if it is possible to jog the line so it will not cc~e between the main house and Mr. Taggart's guest house. Manager Cofer stated if we try to go around the guest house - it would require a deep embankment; this would also raise the questionas to whether the agencies would consider this a major change or not, ~. Pillsbury stated. Mr. Weidman asked Mr. Pillsbury - assuming this was not a major change, what would the approximate cost be to accommodate Mr. Taggart's wishes - Mr. P~ll~ stated approximately between $5,000 and $8,000. Manager Cofer stated ~hat without specific proposals, it is difficult to give an estimate as to the costs. Attorney Weidman stated that he does not feel this is a substantial change that Mr. Taggart is requesting, and Manager Cofer stated that the Staff is willing to work with Mr. Taggart on this. Mr. Berkson also stated that in talking withMr. Bracewell he stated no trees would be removed - he would like to have put in the agreement that no virgin trees wouldbe removed. Manager Cofer stated that without a detailed survey, wo are not in a position right now to say what we can or cannot do regarding this request. Mr. L. Berkson's presentation is a part of record of District's files - Mr. and Mrs. R. Taggart's testimony is also a part of the District records and filed at the office. Attorney L. Berkson and Mr. R. Taggert read their testimonies in full to the Board for the Board's consideration. Also that of their consultant Mr. W. White. Manager Cofer stated that he has just received the plans and specifications and read the section involving remDval of trees - that none shall be r~oved without the express consent of the engineer and that all trees shall be protected from damage, and if a tree is damaged, the district will retain a qualified treee surgeon to treat and preserve the trees, etc. Manager Cofer stated it goes on to state that the contractor is very restricted as to cutting trees. Attorney Weidman asked Manager Coferwhy the District changed from CH2M Hill to CSO system. Manager Cofer replied because of the unacceptability of the standard sewer system as proposed by CSO, from an envirc~ntal standpoint - it was felt that CH2M Hill system, and it is the belief of the regulatory agency, as well as the Manager of this District, that the proposed CSO is a better environmental project than the CH2M Hill design, and the reason the District has agree to the change in concept is because of environmental reasons. Mr. Weidman asked Mr. Taggart if hewould consider granting an easement around the arch - and he stated yes, but he is not at all sure that this would be practical because the point of where the bank builds up quite steeply. Adjourned Meeting/Hearing -3- 5/24/78 President Kashuba asked if the pump station w~uld be underground; it was stated yes, and in answer to Attorney Berkson's question - a concrete box would only be visible. Mr. Taggart also presented some photographs showing the location of the guest house and the garage and the main house to the Board members. A short recess was taken, and reconvened at 4:30 P.M. (5 minutes recess). Attorney Berkson stated that on behalf of Mr. Taggart he is requesting that this hearing be continued for one or two days, so that he and Mr. Taggart can consult with Mr. White, since he was unable to be here today, to work out the details of the eas~nent. President Kashuba adjourned this meeting to 5/25/78 at 4:00 P.M., District Conference Room. -L~r~ne L~ ~a~shuba, ~P-resid~2n~-- South Tahoe Public Utility District ATI~ST: Ma~ ~Ambrose, Clerk of the Board South~ahoe Public Utility District ADJOURNED HEARING ~Taggart) 5/25/78 - 4:00 P.M. SOUTH TAHOE PUBLIC UTILITY DISTRICT The Board of Directors of the South Tahoe Public Utility District met in an adjourned session on 5/25/78 at 4 P.M. at the District Conference Room. ROLL CALL: Present were President L.L. Kashuba, Directors F.J. Cocking, W.N. Olson, R. A. Fieldcamp, J.R. :Jones, General Manager J.R. Cofer, Assistant Manager D.W. Callaha~, Clerk of the Board, G. Eppler, W.F. Pillsbury, Attorney L. Berkson, Mr. R. Taggart, Attorney J.C. Weidman. President Kashuba called the Adjourned Meeting to order at 4:00 P.M. President Kashuba stated that Mr. Berkson and Mr. Taggart were to review the Plans and Specifications (Fallen Leaf Lake Project) and discuss with our staff. She stated that an understanding has been reached - agreeable to all concerned. Attorney Weidman asked Attorney Berkson what is the consideration for the easement. Mr. Berkson stated that Mr. Taggart is not considering money for the easement - in consideration of is the amount of approximately $1,100 for Mr. Berkson's fee, plus other costs involved, and the consideration would be not to exceed an amount of $1,500,00. Attorney Weidman recommended the Board set that provision that the amount not to exceed $1,500.00; Mr. Weidman stated that there could be some severance damage for that easement if we were to pay in the fair market value of it, Mr. Weidman stated, and there could be some value for the easement itself - so, again, Attorney Weidman recommended consideration of $1,500.00 for the easement, and not to exceed the $1,500.00 figure and this would eliminate the Attorney fees and those of Mr. White. Adjourned Hearing (Taggart) -2- 5/25/78 Manager Cofer stated that just to make certain the clarification is correct, he requested the Board to look at Item #2 (consider- ation of the easement) and mentioned that the footage has been changed from 5 feet to 7-1/2 feet. Also, this matter was discussed today, and the staff is in concurrence with the proposed. About everything that is listed in conditions - is legally covered in the specs also Mr. Pillsbury stated. Attorney Weidman recommended action be taken to have the President of the Board sign the agreement, and then an easement will be drafted to submit to Mr. Taggart. Director Olson moved, seconded by Director Jones, and by a roll call vote - unanimously carried, the agreement with the corrections (5 feet to 7-1/2 feet, and not to exceed 1500.00) be approved, as so recommended by Attorney J.C. Weidman. W.F. Pillsbury stated that it has been a pleasure to work with Mr. Taggart, he could understand his concerns, and it has become a successful conclusion for both parties. Mr. Taggart also stated that he has enjoyed working with everyone regarding this matter. President Kashuba thanked Mr. Taggart for delaying his trip to England to conclude this matter of the easement. ADJOURNmeNT: 4:25 P .M. · ~' KaShU5a ,- President South Tahoe Public Utility District ATTEST: Clerk//6f 'BOard & Ex--OffiCi6-'S~retary Sout~ Tahoe Public Utility District ' Regular Meeting of the Board of Directors South Tahoe Public Utility District 6/1/78 8:00 P.M. The Board of Directors of the South Tahoe Public Utility District met in regular session June 1, 1978, District Conference Room. Roll Call: President Kashuba, Directors Olson, Cocking, Fieldcamp and Jones, General Manager J.R. Cofer, Assistant Manager D.W. Callahan, Clerk of Board, Attorney J.C. Weidman, Program Managers - G.Eppler, W. Dunckhorst, J. Bonnet, and Process Eval. Engineer R. Baer, and R.J. Hill, Attorney. CORRECTIONS OR ADDITIONS TO THE AGENDA: Manager Cofer requested that the request for sewer service determination of Mr. A. Edgin, and the request of Mrs. Margaret J. Ehmke regarding water charges, be moved to the point of the a~enda, following consideration of the minutes. Regular Meeting -2- ~11178 Director Fieldcamp moved, seconded by Director Jones, unanimously carried, that the minutes of 5/18/78, 5/24/78 and 5/25/78, be approved as corrected--the correction was to the 5/24/78 minutes where a letter from Mr. W. ¥~ite is to be acknowledged into these minutes. Also, Mr. Cofer stated that he would like to request a 5 minute recess following the matters of Mr. Edgin and Mrs. Ehmke, as he and Attorney Weidman have a matter to discuss with Mr Klykendall of Lahontan. · REPORTS BY BOARD MEMBERS: None. MRS. MARGARET EHMKE - Mrs. Ehmke stated that she is a senior citizen, widow, never uses the cabin in the winter time, and when the cabin is occupied, it is a minimum water usage, and she is requesting the Board to waive the water usage charge for winter service. (Mrs. Ehmke's property is located at 1~ 7 Margaret Avenue). Manager Cofer stated that we did discuss this in the hearings when we discussed the water rates, and the District does have the problem of how we would enforce at any time in a uniform matter a seasonal water rate unless we physically inspect the facilities and make certain those were not being occupied, which would cost us more than we would save as far as the water use, and the staff felt we could not function the water utility based on a seasonal water rate as this would put us in a position of being a police- man for use; and as it is now - they can use the water at any time, and we felt it was a reasonable charge to go to the annual charge. Director Cocking stated that he feels any rule or regulation of the law should have some flexibility, and he believes we were right in going to the annual water charge, but he believes that if anyone can take the time to come before this Board, and present evidence that the charge will be unreasonable for them - that we should listen to them, and he stated that he is moved and/or swayed to some type of relief for Mrs. Ehmke, as he believes she has a very good case, and he does not feel we would have to use any police or inspection power to make certain that the dwelling is not being used, and he again mentioned that it all would revolve around a person that is willing to come before the Board to state their problem and/or requests. Director Olson stated that he does agree with Director Cocking, however, to have the privilege of a summer home, one is subject to fire protection, property taxes, etc., equally with everyone else, and he does not see how it can be possible to alleviate this charge, without equally alleviating all charges by owning a second home. Director Jones stated that he can certainly appreciate Mrs. Ehmke's concern, and wondered how many other people are in the same situation of having used just summer water, and we would be settin~ a precedence, which would concern him - as well as - he stated, this might be a good place for the water meters. Director Fieldcamp stated to Mrs. Ehmke that he is also in the same position as she is - retired, and under the private water company, before the District acquired the company, this was done - to charge as used. However, he stated that he cannot see where we can eliminate this charge on an annual basis. Mrs. Ehmke stated that she did notify the Electric Company - power is turned off, the meter is sealed, and will be turned on again in the spring, and also she is charged for garbage while the power is turned on. Also she stated that as far as the utility or facility being used, she stated anyone can come to check this, as she does drain the entire water system and puts freon in the traps, and not opened up again until spring. Regular Meeting -3- 6/1/78 President Kashuba asked Mrs. Ehmke if she would be receptive to a water meter - and she stated that it would seem she would be charged quite equitably for whatever I am using. Assistant Manager Callahan stated that the District does now have a rate for water meters and does not believe this would reduce the rates for saving to Mrs. Ehmke, and also - she would have to pay for the installation for the meter which would be approximately $150.00. ' Mrs. Ehmke stated that this cabin has never been used in the winter; it is not insulated; anyone is welcome to go back on the records, if they wish, as she is certain the power company would have the records showing they turned off power during the winter months, and the meter was always sealed, and not opened until she wrote them a letter in the spring requesting the power be turned on. Mrs. Ehmke has owned the property close to 20 years, she stated. Attorney Weidman stated the Board can grant relief under the Ordinance of Charges. Director Cocking stated that we can face any other requests on a case to case basis. Director Jones stated that perhaps some thought should be given to the properties that are in this situation now, and as they change hands, we should then give notice they will be charged on an annual basis .... there are approximately 50 properties charges as Mrs. Ehmke is being charged. Assistant Manager Callahan stated that this is a change in policy, and he would see no problem administratively to grant Mrs. Ehmke relief. In reply to Mr. Cofer's question, Mr. Dunckhorst stated that there is no way a seal can be put on at the property - and Mr. Weidman stated if the power is turned off - she certainly won't be using the dwelling ..... Attorney Weidman stated that such as this request would have to be taken case by case, and if the Board desires to give Mrs. Ehmke relief from this charge, then a motion should be made to grant her relief under the Ordinance of Water Charges, providing the power is shut-off, and proof given to the District that it is shut off during the winter season, and that relief be granted, also that there is no garbage service during the winter at the property - and the rate would be reduced by 1/2. Director Olson moved, seconded by Director Cocking. In reply to Director Fieldcamp's question as to whether Mrs. Ehmke would be willing to install a water meter - she stated that if this would be such an additional cost, she wondered if there would be anything to be gained; and if the Board desires, she can furnish an affidavit that service of power and garbage is shut off. Director Fieldcamp asked Mrs. Ehmke if she would consider installing the water meter - he stated he is quite interested in this due to the fire protection - and Mrs. Ehmke asked what would the cost be. Manager Cofer recommended that this not be discussed at this time, as our costs would go up. Attorney Weidman stated that it should be noted - that Mrs. Ehmke does have a minimum use of water, and that this is only for so long as her use of water is minimal, and that she is a widow, and there is some hardship, and she is a senior citizen, and the sole user of the property, and this request would be until the property changes hands only. Director Olson moved to amend the motion, as suggested and recommended by Attorney Weidman, and Director Cocking seconded. Regular Meeting -4- 6/1/78 Roll Call Vote - Motion - unanimously carried, Roll Call Vote - Amended Motion - unanimously carried. Mrs. Ehmke thanked the Board for their approval to her request. REQUEST FOR SEWER UNiT DETERMINATION FOR MR. ALLIE EDGIN: - Manager Cofer stated that Mr. Edgin is proposing to expand their car wash facilities located on Highway 50 near Tahoe Keys Blvd. - Mr. Edgin is proposing to install a recycling unit which will greatly reduce the amount of water that is discharged to the sewer. Manager Cofer stated that a staff estimate has been made regarding this request, which is 1/4 of the sewer determination to be based on flow, 1/4 based on the BOD that we anticipate would be discharged from the sewer, 1/4 based on the amount of COD discharged to the sewer, and 1/4 based on the suspended solids that would be dis- charged to the sewer, and we come up with an estimate of 6 sewer units for the car wash with the recycling unit, and Manager Cofer stated the staff does recommend the Board make a determination of 6 sewer units, and that a meter be installed to record the water supply, so adjustments can be made for the usage for the future. Mr. Edgin is on the list with the city for the commercial units and the City is waiting for a determination by this Board. Mr. Cofer mentioned to Mr. Edgin that they would want the three new bays metered, and we would be able to get a good estimate as to how much water is going into the sewer and how much the makeup water is. Attorney Weidman stated that the Board should approve 6 sewer units for the City information and records and then without the qualification that we have, and then as far as Mr. Edgin is concerned, and his wife, they should be told that this is subject to review, based upon the amount of water, and the strength of the waste - to let the City know that this Board has determined 6 sewer units. Manager Cofer stated that it is his understanding that these recycle units are capable of total recycle, and there is the possibility that there would be no discharge to the sewer system, and that there is the possibility that we could reduce the units to zero if it is total recycling. Mr. Edgin stated he does not plan to ever release his sewer units. (Mrs. A. Edgin wanted to clarify that he will be now paying a total of 67 units (sewer units). Attorney Weidman recommended the Board approve the determination of six sewer units for the Car Wash, as described by Manager Cofer .... Director Olson moved, seconded by Director Jones, that three sewer units by authorized for the car wash (3 bays), unanimously carried .... by roll call vote of the Board. The third item moved forward on this agenda is that of the Fallen Leaf Lake Sewer System Project. Manager Cofer requested W. F. Pillsbury be allowed to report to the Board re: the Plans Specifications of this project. W. F. Pillsbury, Engineer, stated that his firm has been working quite diligently with CSO and the District Staff to review the Plans and Specifications, and the key point now is whether we are ready to go to advertise for bids, when the plans are considered to be biddable form.. Mr. Pillsbury stated that he does feel the plans and specs are ready to go for bid, however, he does have his reservations about some of the details in the specifications; between now and Monday some changes in the plans will be worked out; will request CSO International to issue several addendums between now and the time bids are received. Regular Meeting -5- 6/1/78 Manager Cofer stated that Pillsbury Engineering received the final set of plants Tuesday and has had a very short time to review the final set and he has not made an independent review of the structural analysis, electrical system, or the hydraulic system, therefore his report tonight must be qualified by those three considerations, as it is not fair to ask us to have Mr. Pillsbury to sign those types of engineering calculations when he has not had the chance to review. Manager Cofer also stated a letter has been received by us from the State Water Resources Control Board, Division of Water Quality, today - entitled plans and specifications approval project number C06-1581, stating the project is approved, how- ever, they did list the eligible and those not eligible, as follows: Schedule A - not eligible, and for Schedule B - 52.53% eligible; total grant approximately $577,000 instead of the $600,000. Attorney Hill stated that there has been filed the second revised cost estimate with the District - $1,855,870.32 to be assessed. Manager Cofer stated that Mr. B. Etcheverry did write to all owners of Fallen Leaf Lake Area that the costs would be increas- ing for their assessments. Attorney Hill explained the costs, and the following resolutions to be considered for the Board's action. Manager Cofer stated he has struggled studying the costs, etc., and he would like to suggest that he feels the 40% increase is adequate assessment, and if the bids should come in that much higher than the Engineer's estimate - then the engineers didn't do a good job estimating, or we have something wrong somewhere, or the contractor's have a fear of bidding on it, and he would the prefer to send it back to the engineer's for redesigning, straighten it out, or whatever the problem is, and if it is going to take more than the 40% we have added to this, then he feels it is time to step back and re-evaluate the entire project, and Manager Cofer recommended the Board go on this basis. Manager Cofer also mentioned that the State approval also authorized this Board to advertise for bids. Attorney Weidman recommended the following motion be considered regarding W.F. Pillsbury, Inc. -" The scope of work and plans and specifications does not include hydraulic, electrical, or structual analyses, and request upon further review of the plans and specifications to recommend ad. dendum, and this would be in regard to Mr. Pillsbury's signa- ture on the plans and specifications. Attorney Weidman stated that Mr. Pillsbury will need several weeks to review all phases of this - and with this motion it will protect him regarding the above analyses, and we can go to bid on the scheduled time. Mr. Pillsbury stated that which concerns him is regarding comments made by Neal Olson and some other Board Members - but that his role is to look out and/or protect the District's interest, and it is not his intention to shirk that responsibility, however, there are certain liability aspects that do concern him greatly, and to come before this Board, sign off the set of plans would indicate that he did review the plans and specifications, and someone would then perhaps interpret he is taking on responsibilities that are CSO's responsibilities as design engineer; however, when it comes down to the structual details and the electrical details, CSO did go to an outside firm for this, and that or any other firm would normally stand behind their analysis; they have looked at the hydraulic analysis and have also looked at the preliminary design and some of the finals, but they have not been able to take the whole package and go through the calculations to state they entirely agree Manager Cofer stated to the Board that CSO was hired to design the project, and W. F. Pillsbury, Inc. to review the project on behalf of the District and not to guarantee the design computations. To Regular Meetino -6- 6/1/78 protect Mr. Pillsbury, Manager Cofer recommended that the Board should take the action as stated by Attorney Weidman. Included in the above motion is that Mr. Phillsbury put out clarifying addendums to the contract documents as his review continues. Moved by Director Olson, seconded by Director Jones, unanimously carried. RESOLUTION NO. ~08, A Resolution Approving Plans and Specifica- tions, ~-a~-~g for Sealed Proposals and fixing Liquidated Damages for Failure to Complete the Work Within Time SDecified. Director Jones moved, seconded by Director Olson, unanimously carried, RES.NO.2108, as recommended by Attorney R. Hill be approved. (7/13-bid opening and 7/14 hearing) at 7:30 P.M.- District Conference Room ..... - RESOLUTION NO. 2109, A Resolution of Intention to Make Changes and Modifications After Confirmation of Assessment. Director Fieldcamp moved, seconded by Director Olson, unanimously carried. RESOLUTION NO. 2110, Setting Hearing re: Public Necessity to Condemn. DATE: July 7, 1978 at 7:30 P.M. District Conference Room, Director Olson moved, seconded by Director Jones, unanimously carried, RES.NO. 2110 be approved. Committee Reports: PLANT OPERATION: Director Fieldcamp stated that on 5/22/78 a Water committee Meeting was held - and that morning he met with J. Cofer, T. Stewart, W. Johnson and discussed the Resolution re: the money that is allocated from the Water Agency, and that evening he and J.C. Weidman attended the regular meeting in Placerville, and the water committee passed unanimously to the Water Agency $226,225 to be allocated to this District; the Water Agency will meet on the 14th of June and he will try to be in attendance at that meeting also. Also discussed were terms and conditions for the Airport Well Site. Also, Director Fieldcamp asked if the Contract with the Water Agency and the District has been reviewed - and Attorney Weidman stated we should take action on adopting a Resolution to renew the Contract on the 15th of June, or renew the Resolution at this time ..... RESOLUTION NO. 2111 renewing contract with E1 Dorado County Water Agency - D~i~ctor Olson moved, seconded by Director Fieldcamp, unanimously carried. Manager Cofer mentioned that the Plant met all waste discharge standards and/or requirements, throughout the Memorial Day Weekend. -~ MANAGER'S REPORT: None REPORTS BY PROGRAM MANAGERS: WATER SUPPLY SYSTEM - Bill Dunckhorst - Manager The Memorial Day weekend was passed with no major problems in the water department. We were anticipating major problems, as on Friday of last week a restriction developed at the filtration plant that would allow us to use only one Dump. As of the writing of this report we still have not been able to locate the cause of the restriction. Also, late Friday afternoon a packing nut on Pump #4 at the Glenwood Well worked loose and twisted the coDper oil line around the shaft of the pump. The lack of oil in the bearings on the shaft caused a ba~ vibration. The oil line was repaired Friday evening, but on Saturday the vibration was so bad we had to take this well. off line, and go on the bypass from the 19 inch main as we started losing the storage on the RalDh Tank. Fortunately the demand for water was not too great, and we were able to get by with no further problems developing. Regular Meeting -7- 6/1/78 Both regulatory agencies T.R.P.A. and C.T.R.P.A. have approved us going ahead with the installation of the water main in front of the plant. The pressure mains are now beinc located and hopefully we plan on starting next week if we can. MAINTENANCE DIVISION - Gene Eppler The Maintenance Division has been extremely busy again this year. Some of the items undertaken and completed in the last few weeks are as follows: Bead blasters for the water department and the maintenance department, and the tank truck. These two items were a saving of $35,000 as the District personnel manufactured same. Repair and installation of our 200 h.p. blower motor. Checking of our top carbon column screens - 21 screens are know to be bad at this time. Repair of valves and cleaning of rapid mix has been completed. Items being worked on but not yet completed are: Grit removal system on our lime system. Return line from emergency holding pond, which will allow us to remove the rubber hoses from driveways. Manufacturing of a third de-watering tank in the Tertiary Building. Repairs are being made on a 210' wash out over and around our export line at station marker 53 + 00, located on Old Highway 89. This was caused by two 36" CMP culvert pipes being partially blocked and allowing the exceptionally high water flow to wash out our line and the road(there were no spills). In addition to this maintenance report, I would like to inform the Board that all of the facilities at Indian Creek Reservoir were full over the Memorial Day Weekend, and the Lake is in excellent shape. Also, the Johnson Intercepter line is progressing. ASSISTANT MANAGER'S REPORT - David W. Callahan Below is shown the present status of sewer units: 1977 Allocation Permits Issued Balance of Allocation-1977 1978 Allocation Permits Issued Balance of allocation-1978 Sewer Units 1,500 1,460 40 600 540 60 Regular Meeting -8- 6/1/78 Total remaining allocation Connected 5/31/78 Permits to connect Total: Committed and Reserve Allocation Gallons Per Sewer Unit Gallons Reserve for USFS, State and Fallen Leaf 100 65,920 1,251 67,271 67,271 X 90 6,054,390 360,000 If capacity is Then remaining capacity is Gallons per House Remaining E.S.F.D OPERATIONS 5~NAGER - John Bonnet 6,414,390 6,500,000 85,610 270 317 The Maintenance Department is in the process of installing a permanent line for the return from the emergency holding pond. This will let us return from the pond without interruption and also will no longer have the 6" hose across the driveway. They have also started work on the lime grit removal system; this should help reduce the plugging problems in the lime pull boxes as well as cleaning the floc basin, which requires complete shut-down of all processes downstream of the secondary system. We have had a problem with filamentous for several months, but have managed to keep it under control with chlorine and hydrogen proxide. However, it has increased over the last week. We have increased the chlorine dosage as high as 18mg/1; at this dosage, the slude is oxidized to the point that it will not settle, and the secondary clarifiers will bulk. Even though we have this bulking situation now, I feel that we are in a much better condition than we were this time last year. The bulking is not as severe and was expected. I think this had to be done in an effort to regain control of these organisms. We have investi- gated possible causes and found, that the dissolved oxygen content in the bottom of the secondaries was less than 0.1 mg/1. This is not enough to maintain aerobic conditions and caused the sludge to go septic. The lack of oxygen is a major cause of filamentous problems. Therefore, it is possible that our problems are in the secondaries and not in the aeration basins. It may be necessary to maintain a higher return rate during periods of low flows and add chlorine to the mixed liquor prior to the secondaries. Since we started wasting lime sludge directly to the sludge furnace, instead of the digesters, we have had no problem keeping the digester levels down. In fact we were able to stop burning sludge for the first time in over two years. The holiday flows were not as high as we expected. The highest flow was 4.3 mgd. Even with the filamentous problem, we had no trouble meeting our requirements. The average COD was 13.0 mg/1, pH was 7.2, and ammonia 1.2 mg/1. Indian Creek pH 7.71; ammonia 2.1 mg/1 and the dissolved oxygen was 5.5 mg/1. ' Regular Meeting -9- 6/1/78 ATTORNEY'S REPORT: None SHOP STEWARD'S REPORT: None Present. Director Cocking commended the maintenance crew on the job they are doing and especially the saving of the $35,000 - as so stated in Mr. Eppler's report - All Board Members thanked the maintenance staff for their excellent work and interest. PLANS AND SPECIFICATIONS FOR LUTHER PASS SURGE VALVES. (a) Approve Plans and Specifications and Authorize Advertisement for Bids for opening on July 5th 1978 at 3:00 P.M., District Office. Director Olson moved, seconded by Director Jones, unanimously carried. MR. DENTON BATES of Resources Engineering Management stated that the action just taken by the Board is to correct the problem that presently exists for the discharge to the storm drain system at Luther Pass and the Engineers Estimate is $33,000; bids will be opened on 7/5/78 and ready for Board'~s consideration on 7/6/78, regular meeting, and would allow construction to start on 7/10/78 and construction finished on 10/15/78. Ail permits have been obtained with the exception of CTRPA, Manager Cofer stated, and he spoke with John Vostrez (stated he will have this on CTRPA agenda 6/2/78 - and sees no problem in obtaining the needed permit). Mr. Bates also stated that Johnson Blvd. System is approximately 50% completed and hopefully by July 2nd it will be completed. AUDIT - JOHNSON BLVD. SEWER PROJECT: Authorize Audit - Assistant Manager Callahan stated that EDA requires a special audit and we requested that Ehlman, Calvert and Dixon do the audit. Ehlman, Calvert and Dixon have submitted a proposal for this audit to begin on 8/1/78, completed and delivered by 8/31/78 for an amount not to exceed $475.00 and Mr. Callahan recommended the Board approve this recommendation. Director Fieldcamp moved, seconded by Director Olson, unanimously carried. NOTICE OF INTENT TO CONSTRUCT WATER SYSTEM IMPROVEMENTS UTILIZING STATE LOAN FUNDS: Authorize Sending Notice to Water Customers .... The State has already received a copy of this Notice, "Notice of Determination" which was sent to the Secretary of Resources, and the Negative Declaration, and they also asked that we notify our customers of the intent to make the loan, which would cost the customers $3.90 semi-annually, for repayment of this loan, and Mr. Callahan recommended approval of the Notices to be sent to the Water Customers. Moved by Director Olson, seconded by Director Fieldcamp, unanimously carried. WASTE DISCHARGE REQUIREMENTS FOR FALLEN LEAF LAKE SEWERAGE SYSTEM: Manager Cofer recommended authorization of Acceptance of Discharge Requirements, this will be considered at Lahontan's 6/8/78 meeting. Manager Cofer stated that there are some additions to these requirements that we do not have in our previous requirements, and Manager Cofer recommended that the Board accept this, with the provision that we can bring this to the Lahontan's Board attention, and that they make this consistent, since he does not feel Fallen Leaf Project should be any different from our Maintenance Requirements. Director Olson moved,seconded by Director Jones, unanimously carried, Manager Cofer'~s recommendation be approved, - to authorize staff to request Lahontan to make the discharge requirements consistent with our maintenance requirements. RECESS AT 10:50 P.M. -- RECONVENED at 10:55 P.M.) RESOLUTION: "Tahoe Regional Planning Compact"-- Director Olson moved, seconded by Director Fieldcamp, that THE RESOLUTION FROM LAKE TAHOE RESOURCE, CONSERVATION AND DEVELOPMENT COUNCIL MEMBERS REGARDING PUBLIC LAW 91-148 be supported by this Board... and Regular Meeting -10- 6/1/78 RESOLUTION NO. 2112 approving same (District supporting resolution from Lake Tahoe Resources, Conservation and Development Council Resolution) be approved - BY ROLL CALL VOTE: Ayes: Noes: Directors Olson, Cocking, Fieldcamp, Kashuba Director Jones. Carried ....... ANNUAL SALARY ADJUSTMENT: Adopt approval for annual salary resolution for a 6.5% increase in salary, and the Memo of Under- standing with the Local 39 Union requires ...... Director Jones requested that this be referred to the Finance Committee for review and recommendation to the Board at the next regular Board meeting - Same referred to the Finance Committee. CTRPA PERMIT - Export Pipeline Repairs: Luther Pass Pump Station Surge Protection; Pipeline Access Manholes; Low Pressure Surge/Vacuum Release Valves - Manager Cofer recommended the Board authorize acceptance of Permit Conditions - Director Olson moved, seconded by Director Fieldcamp, unanimously carried. WILL SERVE LETTERS: None. PAYMENT OF CLAIMS: Assistant Manager Callahan recommended approval of claims in the amount of $250,180.03 - Director Olson moved, seconded by Director Fieldcamp, unanimously carried. ADJOURNMENT: 11:20 P.M. L/o~rene L. K~shuba,-J ~P-resi-d[en~ South Tahoe Public Utility District ATTEST: 'Ma~y ~/Ambrose, ClerK-of the' Board South~Tahoe Public Utility District Regular Meeting of the Board of Directors of South Tahoe Public Utility District June 15, 1978 The Board of Directors of the South Tahoe Public Utility District mot in regular session June 15, 1978 at 7:30 P.M., District Conference Room. ROIL CALL: Present were President L.L. Kashuba, Directors W.N. Olson, F.J.Cocking, R.A.Fieldcamp, J.R. Jones, General Manager/District Engineer J.R. Cofer, Assistant Manager D.W. Callahan, Clerk of Board, Attorney J.C. Weidman, Gordon Culp of ~4C, Robert Jones, Mike R~shton and Bob Scully - representing Jones and Stokes Associates, Inc., of Sacramento. President Kashuba wmlcc~ed the guests this evening. Corrections or additions to. agenda -None, and Agenda approved. MINUTES OF 6/1/78~' - Director Olson moved, seconded by Director Fieldcamp, unanimously carried, minutes be approved as submitted. Report byBoard Members: None. PUBLIC HEARING, FACILITIES PLANNING PROGRAM: Introduction by President Kashuba: "This is the tin, and place for thePublic Hearing onthe Facilities Planning for Sewerage Service to the South Shore of Lake Tahoe forthe next 10-15 years. Prior to presentations from those noted on your agenda, I would like to provide the audience with a little background informa- tion. For the past two years work has been going on by the Board and the Staff toward long range planning of sewage treatment facilities that would comply with health and welfare standards, and at the same time would ultimately reduce the cost of sewer service to the taxpayers of those within the South Tahoe Public Utility District. The cost of the advanced wastewater system, cost of export of this highly treated effluent 27 miles out of the Tahoe Basin, and the cost of meeting the wastewater discharge standards required by State and Federal law imposed by the Lahontan R~gional Water Quality Control Board, has been monumental. This cost, we believe, cannot continue to be imposed upon the taxpayers of this area. With this in mind, a Public Facilities Plan has been developed which offers alternative methods of sewage treatment and disposal which could effectively reduce the cost to the tax- payers. This is the purpose of this hearing, so that you can provide this Board with direction on which of the alternatives proposed you would agree would serve you best. However, before we hear from our consultants on the alternatives, I know there are those here tonight who are deeply concerned, if not a little upset at the sewer bills just received. Let's not confuse those sewer bills with what we are discussing tonight, except that in the future these costs could be alleviated. The sewer bills which you have just received in the mail were determin- ed after many hours of study' by the Board and two very long public hearings on March 23rd and March 28th, after which the rates were adopted. The rates reflected in those bills are the result of plant modifications in the amount of $600,000 to bring the plant into compliance for performance and dependability, and to cover the increased costs of operation because of the waste discharge require- ments of the Lahontan Regional Water Quality Control Board under State and Federal Water Quality Standards. The costs cover not only the increases in cost of electricity, gas, but the chemicals necessary for treatment, chlorine, carbon, etc., to the total cost of approximately $10,000 per day just for plant operation, and not to include any reserve for emergency repairs or future expansion or reserves. Regular Meeting -2- 6/15/78 These modifications and high costs of operation have brought the plant into cc[nplaince and reliability. They have made it possible for the District to shc~ a track record of no violations, resulting in issuance of 321 building permits for this year's construction season. A report frc~ our expert panel of water quality consultants in October will determine if the plant has the capacity for 7.5 mgd, at the same time meeting the strict waste discharge requirements. At that time we are hoping that the Cease and Desist Order will be lifted, giving approximately 6,000 single family permits over a six-year period until the ex- panded plant is being built. May I remind you again, that the se~er bills you have just received do not reflect at all upon the expansion of the plant. With that in mind, knowing that this public hearing is for the purpose of future planning, and wervice which will effectively reduce the cost of plant operations and ultimately your costs, I'd like to call on Mr. Gordon Culp, of Culp, Wesner, Culp, who will give you a sunm~_ry of the Draft Engineering Facilities Plan." President Kashuba stated that after co, t,t~nts have been made by the Board Members and the consultants, the audience will then have their opportunity to make their cc~m~=~nts and/or ask their questions re the Facilities Planning only. President Kashuba asked Gordon Culp of Culp/Wesner/Culp, to give a sunmmmry of the Draft Engineering of the Facilities Plan. Gordon Culp gave an explanation on the Sunm~nry for the Facilities Planning, which covered the technical phase and provides the econcmic and engineering considera- tions of several wastewater management plans and most cost-effective plan. President Kashuba thanked Mr. Gordon Culp for his presentation and asked Mr. Robert Jones of Jones and Stokes to sm~¥~rize the Environmental Impact Report phase of the Facilities Plan, along with Mike Rnshton and Bob Scully from the same firm of Jones and Stokes (direct impacts and air quality impacts). David W. Callahan, Assistant Manager and Finance Office for STPUD, gave a sun, rotary regarding the financial Plan and Revenue Program. Manager Gofer stated the cost of this study has been about $250,000, and most of this amount has been paid by State and Federal Grant monies, and the local cost has been $30,000.00. Manager Cofer stated we are looking for 3 things: (1) what are the requirements for the next 10 years for sewer service; (2) is the treatment method we have here the best method, and (3) can we get Federal Grants for expanding the plant. Almost any expansion to this plant would be in the multi-million dollar range, and if we can get about 87-1/2% grant money, then the local cost would be approximately 3 million dollars. If we can finance this a~ount of money (3 million dollars).through bonds, the annual payment would be about 10%). This would be approximately $300,000 per year, however, if we can reduce our operating costs by one-million a year, then the $300,000 would be a good investment. If we cannot get grants, we would have to put out the full twenty-two million dollars on our own, and we would then have to put out over $2 million dollars a year to repay the bonds for that expansion. We have to make every effort to get grants, Manager Cofer stated. The study is still going on and EPA is going to spend $300,000 on their study, and we hope it will come up with the conclusion that this District can expand. President Kashuba again mentioned to all present that this is a public hearing on the Facilities Planning Program, and the sewer bills and water bills do not reflect on this. She asked that all cc~ments be confined to the Facilities Planning Program only. President Kashuba stated she would like to hear the conments frc~ those present regarding the alternatives, cost-wise, and health and welfare of the area - re their thoughts on this Facilities Planning Program. After the public hearing on the facilities plan, any cut,~ents that one might have regarding another matter, will also be given an opportunity to then be heard. President Kashuba also requested of those that wish to be heard - state their name and place of residence, and make their cc~ments brief. Regular Meeting -3- June 15~ 1978 FRANK KROZAK, Senior Citizen and property owner at South Lake Tahoe .......... he stated that his opinion is that Alternative 3 is the better route, however he has not heard anyone n~ntion whether this alternative is going to increase the capacity of the plant or not; when the plant was designed, he stated, it was for 7-1/2 mgd, and it rarely has gone over 4 n~d, and wanted to know if Alternative 3 will increase the capacity up to the 10 mgd, which the Board is proposing by the year 1982, and if so - why is it necessary to upgrade this plant, which we understand to be the very best in the world -- the tube over Luther Pass, it was understood, was giving nothing but trouble, and asked if the original contractor on that pipeline been forgiven for the poor construction of installation, and will that pipeline handle the future 10 mgd. How will this expansion - alternate 3 take care of the necessary expansion of 10 mgd. Manager Cofer stated that the engineers estimate the capacity of the export pipeline has a capacity of 9 n~d, and if we expand the plant to 10 mgd, there might be a question on the pipeline; and it was suggested further analysis be deferred on the pipeline until they get into further design of the plant capacity to determine whether it is 9 or 10 mgd. This Board of Directors has been attempting to get a Bill into the Legislature to allow sc~e in-basin reuse, rather than building an expense parallel pipeline, as we would like tobe able to use the peak flow in the sur~rmonths, and not have to pump it over the n~untain. As to whether the contractor has been forgiven, Manager Cofer stated the District is filing a 3 million dollar law suit against the contractor, the contractor's bonding cc~pany, the engineer, pipe manufacturer, and some John Does ..... we are making every effort to attempt to cover the costs. The pipeline has not been repaired - there is a request for a loan frem the State, which the State has not yet approved, and without the loan -we cannot repair the export pipeline. Regarding the capacity of the plant -Manager Cofer stated that we believe the capacity of this plant is greater than 6.5 mgd; however, we do not know what the capacity of the plant is until the consultants meet in October, and if they find that this plant does have the 7.5 mgd capacity, we will be able to make additional 3000 connections. KEN HOFFMAN, lot 169, Tahoe Paradise ~- Mr. Hoffman asked a fewquestions as follows: Now that the ppm for smog control is .1 vs .08, will that change our problem here. ( He asked this of Mr. Bob Scully). Also, re ozone, (Smog), is it possible that the experts still do notknowhowmuch smog is coming into this basin. Also, why is alternate 4 even being considered, as it would not handle any significant amount of capacity, but r~Dre of a demonstration process ..... Also, cc~nitments on land in Alpine County .... are there any negotiations regarding land. Also, is the sam~ pipe going to be used going over the hill. Also, the number of 10 mgdhas been stated, and he was of the impression we needed 15 mgd. If we have to go 15 mgd at-some future date - would that not cost more then, and would it not be best to think about that at this time. Mr. Hoffman stated that Proposition 13 was on the ballot and the voters had their choice; but asked the Board to consider what could have happened had the sewer board had a proposition on the ballot that day - cut yourself, cut what you can in the inefficiences, before you lop off the little guy - he stated he is surprised scme of the top brass has not cut their own salaries. ~. Hoffman stated that sower plant expansion should be an obligation of all citizens, present and future; it is not what one can afford, but what is right - and the 11,000 plus lots should have the same consideration as those in the past - when they came here - all was paid for and the way was paved, and we should do the same for those existing lots. Mr. BOb Schully stated that there has been an article in the paper just recently about EPA changing the terminology - the number for the Federal ozone standard; the standard has not been changed, but what has happened is that E~A has published a notice in the Federal Register (a theory for rule making) to change the present ozone standards frem .08 p~mto .1 ppm, and this will now be subject to a conm~n~t period before the EPA Administratormakes his decision~ Regular Meeting -4- 6/15/78 President Kashuba stated that regarding Alternate 4 - yes, this is an expense - last summer we were very short of water in this area, our wells were running dry, and there was no opportunity to reuse the water in the Tahoe Basin, as it was against state law. The State legislature and the assembly have been responsive to our request to change that state regulation to appr6ve a demonstration project, and this is looking to the future that someday we might have to call on that water to be used in the basin - as it is now, it will never be; we will have to pay for that export from here on out, unless the law is changed that, and unless we have scientific proff that the water treated and disposed of in the basin would not harm Lake Tahoe. Manager Cofer stated our consultants have had a number of discussions with Alpine County irrigators~~ and it is on their land that the reservoir sites are located; the Board of Directors have met many times now with the Alpine County Board of Supervisors in discussing the changes and the contract and the concept, and we are still waiting for some indication from Alpine County as to whether or not they would accept secondary treated effluent. Also, Manager Cofer stated we are activily working on the water rights exchange with both irrigators and water attorneys; we do propose to use the present pipeline into Alpine County for the secondary treatment, and this is why it is important we repair the pipeline so it won'~t leak; if it leaks now it is highly treated effluent and no health threat; but if we go to secondary treatment and the pipeline leaked, it could be a serious health threat. These complicated mechanical plants, such as we have here, only have an expected life of 10 years; this plant was built in 1968 and it is quite close to its expected life; equ±pment is failing and requiring total replacement. MR. WILDER of South Lake Tahoe ~ The overall picture that faces the taxpayers in California is that they have been upset with the money and expansion of bureaucracy. We should be concerned about the quality for the people that live here now; he feels that with more expansion this will create more problems. MR. NUKON REPRESENTING RAINBOW TRACT, INC., felt all reports are outdated - he stated we have to find out where the withdrawal comes from, and we don't know. ARNI SARI, 956 Tallac, South Lake Tahoe -- Assuming this Board adopts Alternative 3 - if we had the same summers as we had in 1976 and 1977 where will the water come from; also, these people that have the benefit of the irrigation, as a result of shipping the water over to Alpine, what happens if the water has to be sent into the reservoir, instead of the other way around - their plans are based on receiving a certain amount of irrigation - and supposing their crops fail as a result of not getting the water; is this Board subject to a law suit from the farmers that might suffer a crop failure because of a lack of irrigation. NORMAN PRETISS, 566 Anita Dr., South Lake Tahoe, Senior Citizen -- he had with him a copy of the proposed budget, and one of the adopted budget -- President Kashuba asked him to please wait until after the public hearing to speak on this subject, as the comments requested now are those for the Facilities Plan only ...... BRUCE TRUILA, Tahoe Paradise, South Lake Tahoe - how long will the agreement with Alpine County be available; will we have to supply them with 1000 acre ft of water on a one-sided agreementr and the perhaps a contractor, such as David D. Bohannon would come in and offer an enormous amount of money per acre for development - what happens with the water then - can it go across the stateline into the Carson Valley. Also, what assurance do we have that we won't have 1986 standards, or that we won't have to go to tertiary treatment (or stay with) for land disposal. He also asked how does our sewer rate here for the average landowner compare star,wide with an average tertiary plant -- Regular Meeting -5- 6/15/78 ~nager Cofer stated that our agreements are not with the farmers, but with the Alpine County Board of Supervisors, and Alpine County has agreed to take the water, and dispose of it, up to 8000 acre feet per year; we may have to negotiate with one individual on the exchange of water rights and we will have to protect ourselves against him going out of business or changing. Attorney Weidman stated also that we are interested in the contract Alpine County has with the irrigation users, and we would certainly insist that there be a covenant run with the land to have the land remain in an agricultural state, so long as the contract is in existance which would then prevent a subdivider going over and doing as was mentioned earlier. Regarding changing the standards -- Manager Cofer stated our experience is that the standards will be changed; they have been changed on us every time and one of the reasons is to get away from Indian Creek with tertiary, so that we can get away from those standards imposed on us. We feel we have a better chance of standards not adversely affecting us if we have secondary treatment. Assistant Manager Callahan stated that rates are comparable to the North Shore, Truckee, and EPA has stated rates are comparable to National average, and Mr. G. Culp concurred with this. Manager Cofer did add, however, we cannot find anyone else that has to pump 1500 feet up over a mountain, and 27 miles over to another reservoir for disposal, so we have all the burdens of a very difficult situation, and our costs are high. RE User Tax - Manager Cofer stated that the revenue program that was discussed here - is a requirement, if the grant is accepted, that makes the user pay his fair share of the facilities, and it will be found that our estimate of what the new revenue rates would be ....... restaurants rates will go up, because we are passing on the cost of operating the plant based on the flow and quality that comes from a single family restaurant, which is much higher than what comes from a single family home, and they will pay an increasing portion of the cost, and the same will go for laundromats, gas stations, car washes - anything that puts a heavy load on the plant. In reply to a question re Motel taxes - Manager Cofer stated we do not have the authority to impose a Motel Tax - all we can do is charge for the water and sewer. MR. MORRIS - Emerald Drive, South Lake Tahoe ---He asked perhaps a dual export line, or alternate escape route, and if a situation would arise where you need storage, a dual line would help take care of the situation. Manager Cofer agreed that we are probably the only plant in the world that does not have a valve we can turn on to discharge the water to a creek; we only have a small emergency pond, and it is primarily a cost problem to parallel the line to the existing pipeline, and would cost approximately 7 to 8 million dollars; the cost would be prohibitive. He also mentioned that there is no problem with the smog in this area, we have good air here, and that he just returned from an overseas trip, and that there is no place like Tahoe. MR. JOHN RILEY stated he is not a resident of this area; however, he is a voter and property owner in Placer County, and wanted to make the comment that he is in favor of any plan that produces the most ability to serve the public; he stated that this Board is better qualified than Lahontan, CTRPA, TRPA, etc. - they are only making money for these consultant who have to write reports. Manager Cofer stated that the cost of this Facilities plan study has been about $250,000.00, most paid by federal and state grant monies, the local cost has been $30,000.00; we were looking for three things (1) we were trying to define what are the requirements for the next 10 year period for sewer service; (2) is the treatment method we now have the best method or is there a better method to go to which is less costly; (3) could we get federal grants for expanding the plant ..... the grants are very important to us as to Regular Meeting -6- 6/15/78 expand any portion of the plant is in the multi-million dollar range; if we can get 87-1/2% grants for this project, the local costs will be about 3 million dollars, which can be financed through bonds, and the annual cost to repay those bonds would be about 10%, or $300,000.00 a year, and if we are able to decrease our operating cost by over one-million dollars a year, then that $300,000.00 a year is a good investment; if we cannot get the grants, then we would have to put out over two-million dollars a year just to repay the bonds for that expansion .... so we must make every effort to get grants, and that is why we have gone through the expensive process .... the study is still going on, and EPA is going to spend $300,000.00 on their study and we hope it comes up with the conclusion that we can expand ..... Again, President Kashuba stated the sewer and water bills received by the property owners do not in any way reflect on this facility expansion plan and asked for comments on the alternatives presented to those present by the consultants. President Kashuba stated that this Board will be making the decision when all facts are available and assured all present that the decision will not be made by a regional agency - this Board has never shirked their responsbility, and have no intention of doing so now. President Kashuba stated if Lahontan were willing to accept lower waste-discharge requirements the residents costs would be considerably reduced. We are under a mandate by State and Federal law and enforced by the Lahontan Regional Water Quality Control Board - we have no control over that, and in order to provide sewer service, we must abide by those laws. ARNI SARI, 956 Tallac, South Lake Tahoe, California -- he stated that the Lahontan Water Quality Control Act has been in effect more than just these past years, and these increased rates have come about in the last 2 years - he asked the Board if we were not abiding by the law a few years ago. President Kashuba stated it is a matter of inflation as she sees it. Manager Cofer stated the day we finished construction at Indian Creek Reservoir, we knew there would be problems there - the State loaned the money, gave us grants, and stated there would be water quality standards and/or problems at Indian Creek Reservoir; for a number of years this was operated there were a number of fish kills, and the people accepted that, however, Lahontan has now chosen to take those violations literally and use their power with the law to shut us down with a Cease and Desist until we cease all violations, no matter how trivial - and this has forced us into a more expensive operation, attempting to meet every standard without exception; we have no choice but to use 5 tons of chlorine a day to remove ammonia to not kill fish in Indian Creek. Director Fieldcamp stated that he receives $349.00 per month from Social Security - and $25.00 a meeting for this Board meeting - so "I am paying just as anyone else is paying" and he, too, is on a fixed income. FRANK SOUZA stated that he lives at 1084 Fairway, South Lake Tahoe -- there is a large turnout here this evening because people did receive their annual bills for sewer service charges, and because of their expression throughout the state for assistance and consideration of what they pay - and perhaps they did not come to express their comments on the decision asked for - Facilities Planning - because this Board has worked so hard over the years, and have come up with some of the best treatment throughout the world, without any recognition from Lahontan, State or other governmental agencies, would it be fair now to ask these agencies for some consideration in view of waht has already been expressed throughout the state on this Proposition 13, that we would be able to handle the effluent a little different than the kind of laws that have been written in by the legislatures of this State who do not live here and do not know what is going on, so we can have an operation that won't cost Regular Meeting -7- 6/15/78 as much; we have had treated effluent that is some of the best, and yet we have received no credit for it, now they are coming in to make certain we adhere to all of the laws right to the last degree; we need some consideration and to show that the people have purchased themselved that would not degrade anything or anywhere; there can be a request, now, to take that effluent and dispose of it within this basin - and request of the State we do this. President Kashuba stated that this Board has appeared a number of times in Sacramento regarding inbasin disposal; we have introduced legislation through our Assemblyman N. Waters and Assemblyman Chappie for reuse of that water within the Basin and it has gone through the resources committee and ways and means; we have received a great deal of support, as well as a great deal of opposition; we intend to follow other procedures to get reduced standards. Director Fieldcamp asked those present to please write to their Assemblyman or and Senator to assist by requesting this in-basin disposal. Other comments have been made regarding costs, planning, etc., and perhaps one consideration of obtaining a Management Consultant. Manager Cofer stated we have not hired a Management Consultant to come in, which he agrees is a very good suggestion, however, we did hire Mr. Harvey Banks who is the chief person on the consultant review panel, and he is also noted as a management consultant; we have made at least 3 organizational changes as a recommendation of those consultant panel review, in an attempt to get a more efficient operation. JOHN KEMP, Lot 15, Thunderbird, Tahoe Paradise, Ca. - stated they own two laudromats in town - Alpine Wash-tub and Hill Center Laundromat, and complained to the Board of the increase in his sewer service charges. KEN HOFFMAN stated he feels it is ridiculous an average man has to come and ask questions regarding the Budget of this District - not easily understood by an average man. Manager Cofer stated the proposed increase is for the revenues lost from taxes; we have increased staff, increased the budget, increased the costs, we cannot find where we can cut the budget; we hope to request of Lahontan to reduce the requirement of COD's which could save us $100,000.00 per year - but as long as Lahontan requests that we have a perfect record, without minor violations, we do not know where else we can cut. Mr. Ken Hoffman asked if there is some consideration given to cutting salaries - Manager Cofer stated our salaries are established by the Union Contract, and we are in comparison with all other wastewater plants in operation. Assistant Manager Callahan responded to Mr. Hoffman's comment regarding report given tonight was pre Jarvis-Gann, and not a true report - and Mr. Callahan assured him it is a valid report. Another visitor stated she is not a resident here, however, a homeowner, and stated how they were limited to water supply in the bay area, using more than allowed - additional charge - and even though there is now no limit, the charge remains the same - no reduction for them in their water service bill. President Kashuba asked Gordon Culp to give a brief summary of the alternatives, which he did do. #1 Alternative: -Upgrade treatment at plant. #2 Alternative: -Upgrading and removing the nitrogen completely before discharging to Indian Creek (10% higher than #1). Regular Meeting 8 6/15/78 #3 Alternative: -Reduce the treatment at the plant, and export secondary effluent, store in a new reservoir, discharge for irrigation use by the farmers in Alpine County. (65% of what is now being paid) #4 Alternative: -Add 1 mgd plant to demonstrate that the water can be reused beneficially without any harm. (Less than the costs now being paid). Those in favor of Alternative #1 in the audience totalled 1. Those in favor of Alternative #2 in the audience totalled 1. Those in favor of Alternative #3a in the audience totalled 0. Those in favor of Alternative ~3b in the audience totalled 24 approx- imately. Those in favor of Alternative 4 totalled approximately 8. President Kashuba stated we will continue to receive comments until 7/1/78. It was requested by a visitor that notices be mailed when meetings such as this are scheduled. RECESS AT 9:30 P.M. RECONVENED AT 10:10 P.M. NORMAN PRENTICE, 556 Anita Drive, South Lake Tahoe, Ca. - stated that he was reviewing the budget and asked questions regarding same, specifically membership, office expense, etc. - these include postage, etc. Professional services - budget reads $100,000.00 -- engineering legal, environmental services, etc., and the $250,000.00 referred to in the budget is for special construction projects. Mr. Callahan explained all questions Mr. Prentice asked regarding the budget figures. Manager Cofer invited everyone to come to the office, at any time, tour the plant, and watch what the employees do here at this plant. BOB GUCK, 1314 Mt. Diablo Circle, South Lake Tahoe, California, wanted an answer as to why our charges in the past 3 years for sewer service has gone up 306% .... Assistant Manager Callahan stated that the sewer service charges are only a small percent of the revenues, and explained to Mr. Guck the reason for the increases. Mr. Guck believes the increase in sewer service charges is much too high. GARY SEROLES, resident of Christmas Valley, South Lake Tahoe, California ..... complained also the increased rates for sewer service. He stated he has written to the Attorney General's Office for an opinion regarding these charges; he is not opposed to the charge of service, but to the monies to run the plant. President Kashuba stated we have always given the opportunity for anyone to check into our records in the past, and the same applies right now. The sewer bill these people have recently received and the rates for same was established last 3/28/78, and adopted at a public hearing. The costs are here, President Kashuba stated, and must be met - there are no State or Federal Funds to assist. In response to a question, Attorney Weidman stated if the bills are not paid by the due date, the charges are then transferred to the tax roll--this is law, and Mr. Weidman stated he checked with the County Council, and President Kashuba checked with the County Auditor, and the procedure will be the same even with the Jarvis- Gann bill. Attorney Weidman also mentioned to Mr. Souza that he had a very good point, however, he felt that it is up to the people to approach the Regular Meeting -9- 6/15/78 Sacramento people now - and Mr. Souza stated we would nned all the facts, to which Mr. Weidman replied this could be provided. KAREN WENK, 1162 Fairway, South Lake Tahoe, California -- regarding allocation of permits, stated she would like to suggest that people who have never applied for a permit be given the 1st consideration. President Kashuba thanked everyone for attending this hearing tonight and telling the Board their concerns. PAYMENT OF CLAIMS: Director Olson moved, seconded by Director Fieldcamp, unanimously carried, claims in the amount of $341,170.43 as recommended by Assistant Manager D.W. Callahan, be approved for payment. President Kashuba adjourned this meeting at 11:00 P.M. to 3:00 P.M. Friday, District Conference Room, to continue with the items on this agenda. Lo-r~eh~ Z[ Kashuba, President South Tahoe Public Utility District ATTEST: Ma~y ~. Ambrose, Clerk of the Board South/Tahoe Public Utility District ADJOURNED MEETING OF THE SOUTH TAHOE PUBLIC UTILITY DISTRICT 6/16/78 3:00 P.M. The Board of Directors met in an adjourned session on 6/16/78 at 3:00 P.M. in the District Conference Room - South Tahoe Public Utility District. ROLL CALL: Present were President L.L. Kashuba, Directors W.N. Olson, and F.J. Cocking, R.A. Fieldcamp and J.R.Jones. Also present were Manager/District Engineer J.R. Cofer and Attorney J.C. Weidman. COMMITTEE REPORTS: (Plant Operations:) - Director Fieldcamp stated he attended the H20 Care Meeting held in San Diego on June 8th, 9th and 10th; Mr. L. Fowler was absent for this meeting as he was in Europe comparing other water companies and plants. There were 10 speakers on Thursday and a tour of the Wild Animal Park, where the water is being recycled - there were 52 people in attendance, many of State, City, EnGineers, etc. On Friday, 6/9/78, there were 12 guest speakers and another tour of the Reverse Osmosis System; Saturday was an H20 Care annual meeting and iscussion was held on Proposition 13 and aGvantages and disadvantages of same. (Finance/Insurance) Director Olson stated a meeting was held with Mr. Cofer and Mr. Callahan regarding increases in salary for employees, and the Union Contract of 6 1/2% cost of living increase; all raises in any catagory will be checked through the Finance Committee in the future through the General Manager; other personnel and operational of plant/personnel was also discussed. Director Olson also stated that regarding comments made last evening re the Management Consultant - he personally does not feel this is warranted; if the General Manager cannot handle this portion of the job, then he should not be in the position, and he does not feel there is a necessity of that or for that - he feels our Manager is very capable. No other committee reports were given. REPORT ON WORKSHOP SESSIONS & MEETINGS (1) Lahontan RWQCB Meeting (2) Assembly Ways & Means Committee 6/8/78 - Modification to Cease and Desist Order 6/9/78 - AB 2465 (3) County Water Agency Meeting (4) Workshop - Agenda Items 6/12/78 - Transfer of Funds 6/13/78 (5) Workshop - District's Programs 6/15/78 A visitor stated he was quite concerned over the service charges increasing so much over the past two years. He also stated that he is quite concerned re the new facilities in Montgomery No. 4 for a site of a reservoir for more water in that area and if that will in any way affect the property, he felt he should know about it. Manager Cofer stated that if this gentleman is referring to the water tank on High Meadows Trail, we are negotiating with the property owner, the last parcel on the northwest side, and we do propose to build a surface tank on that parcel. Director Olson explained why the high costs of the sewer service fees to our visitor; and explained, too, the strict requirements set forth by the Lahontan Quality Control Board, which this District must meet, and the costs are extremely high. The gentleman was assured that Jarvis-Gann had no reflection on the increase in the sewer service invoices. Adjourned Meeting -2- 6/16/78 ITEMS FOR BOARD ACTION: (1) Annual Salary Adjustment Union Employees: Consideration of Adoption of RESOLUTION NO. 2113, superseding Resolution No. 2073 and Providing for the Annual Salary Resolution. Manager Cofer recommended approval of same, and this Resolution is in accordance with the Union Contract. Director Olson moved, seconded by Director Jones unanimously carried. ' (2) Authorization for Manager to make adjustments in salaries of Classified Positions. Director Olson moved, seconded by Director Cocking, unanimously carried, RESOLUTION NO. 2114 be approved. (3) Draft Environmental Impact Report Repair of Export Pipeline. Receive Report and Set Date for Hearing on 7/20/78 at 8:30 P.M. Director Fieldcamp moved, seconded by Director Jones, unanimously carried, the Draft Environmental Impact Report be received and hearing scheduled for July 20, 1978 at 8:30 P.M. District Conference Room. ' (4) Contract for Fencing Upper Cold Creek Reservoir - Approve Plans and Specifications and Authorize Advertisement for Bids (this is a budgeted item). (Approximately 4-5,000 dollars). Director Jones moved, seconded by Director Cocking unanimously carried. ' MISCELLANEOUS: - Director Olson requested that the General Manager go before Lahontan for relief of the COD standards.Board agreed that Lahontan be asked to change the NPDES). WILL SERVE LETTERS: -None ADJOURMENT: 5:00 P.M. Eor~/ ..... ene L.-~ashuba-,' President South Tahoe Public Utility District ATTEST: ~ry_/p'. Am~ffose~ clerk o~f the Board Sout~Tahoe Public Utility District REGULAR MEETING OF THE BOARD OF DIRECTORS OF THE SOUTH TAHOE PUBLIC UTILITY DISTRICT 7/6/78 -- 8:00 P.M. Board of Directors of the South Tahoe Public Utility District met in a regular session on 7/6/78 at 8:00 P.M., District Conference Room. ROLL CALL: Present were President L.L. Kashuba, Directors Olson, Cocking, Fieldcamp, Jones, Manager Cofer, Assistant Manager Callahan, Clerk of Board, Attorney J.C. Weidman. CORRECTIONS OR ADDITIONS TO AGENDA: Manager Cofer requested that one more action item ~11 be considered this evening for Authorization of Substitute Attorney for Assessment Districts. MINUTES: NONE SUBMITTED FOR ACTION THIS EVENING. COMMITTEE REPORTS: None, however, Director Olson stated there is an item on the agenda this evening - recommendation from the Finance Committee. REPORT ON WORKSHOP SESSIONS AND/OR MEETINGS: Manager Cofer reported 2 meetings: (1) Alpine County Board of Supervisors on 7/5/78 and Agenda Workshop on 7/5/78. MANAGER'S REPORT: evening. NO WRITTEN REPORT; all items on agenda this ATTORNEY'S REPORT: Attorney J.C. Weidman stated that the Court Judge - H. Cook gave a judgement in the Bohannon Case involving Tahoe Tyrol,and that the Bohannon, Tahoe-Tyrol is an on-going project, therefore, the Judges decision is that Bohannon is exempt under the Lahontan 1977 order, and will be entitled to all of their connections for Tahoe Tyrol. If this judgement is carried out, and survives an appeal that perhaps might be made by Lahontan and the State, then he stated we will not be subject to claim, or if we are subject to claim by Bohannon on Tahoe-Tyrol it would be a very nominal amount; if we are subject to uit on Tahoe-Tyrol, they might desire not to serve the suit in the outcome of the appeal. Attorney Weidman also attended the Jarvis-Gann Committee Meeting (CASA) at the Attorney's Session, a week ago Monday, and will attend another meeting one week from tomorrow. SHOP STEWARD'S REPORT: Mone present. COMMENTS FROM AUDIENCE: Mr. V.A.Villalta is listed on the agenda. REPORTS BY PROGRAM MANAGER'S AS FOLLOWS: MANAGER OF WATER SUPPLY SYSTEM - Bill Dunckhorst, Manager After the gloomy reports I gave to this Board the past two meetings, I'm happy to say that all is going smoothly now in the Water Depart- ment. Considering that half of the filter plant was shut-down for two weeks, we did not experience any major flow problems, other than what we were prepared for and watching. Tom Rouch and other members of the Water Department are to be complimented on the work they did getting the old media out of the tank, and making the repair and replacement of the new filter media. Regular Meeting -2- 7/6/78 The filter plant was put back into full operation Wednesday of last week. Also last week all the Glenwood wells were back in full operation. Cold Creek in the past month or two has been running at a very high rate of turbidity, which was giving us a high influent average at the filter plant of 5.0 J.T.U.'s. The effluent leaving the filter plant was 1.0 J.T.U. and lower, which shows the filter plant is giving our consumers a very clear potable water. The July 4th holiday weekend was handled with no major problems, even though the flow was fairly heavy. WATER UTILITY COMMITTEE REPORT July 6, 1978 SOUTH TAHOE PUBLIC UTILITY DISTRICT WATER PRODUCTION FOR June 1978 June (M.G.) 1977 1978 % Change Well Production Cold Crek Diversion Totals 79.2 103.4 + 30.6 40.5 37.2 - 8.1 119.7 140.6 + 17.5 Calendar Year to Date Well Production Cold Creek Diversion Totals 1977 1978 % Change 293.4 362.8 + 23.7 209.0 240.6 + 15.1 502.4 603.4 + 20.1 MANAGER OF OPERATIONS: John Bonnet - Manager: "We received approximately 20,000 lbs of reactivated carbon on June 29th. The transfer went very well - took only 7 hours. The mechanical aerators in ~5 aeration basin have been raised and the PVC air headers installed. All appearances indicate that this has improved the operation of this basin. We should have the data from CWC by the end of this week. We lost #3 secondary effluent pump Staturday 7/1/78; the top bearing froze and burned up the motor. The maintenance and electrical departments came in and replaced the motor with standby in about one- half day. The plant has been operating well; the filimentous is under control, but we are not rid of it yet; the highest flow over the holidays was 5.2 mgd, the highest COD during this period was 17.0 mg/1. The data for the month of June is not complete yet, how- ever, the average COD was 16.2 mg/1 and the average pH was 7.2. At Indian Creek the average ammonia is 0.7mg/1, but we are in violation of pH at Indian Creek of 8.8, however, we cannot control this pH." MANAGER OF ~INTENANCE, GENE EPPLER -Manager: "On 6/30/78 the Johnson Intersector Line was put into servi~ and is working well; the repaving still remains to be completed. Line Maintenance Department has had numerous stoppages in the past few weeks; even with these stoppages,assisting with the work inside the plant, they have amnaged to clean approximately 40,000feet of main line. At the plant, the return line from the 60 mg holding pond has been completed, as well as the ~5 aeration basin facilities. The construction of the third de-watering bin is well underway; for any interested, the tank truck that was constructed by maintenance personnel is outside for inspection. Regular Meeting -3- 7/6/78 ASSISTANT MANAGER'S REPORT ( David W. Callahan).. "Below is shown the~present status of sewer units: Balance of allocation - 1977 Balance of allocation - 1978 Total remaining allocation Connected 6/30/78 Permits to connect Sewer Units 16 59 75 66,100 1,488 67,663 Gallons per Sewer Unit Gallons 67,773 X 90 6,089,670 Reserve for USFS, State and Fallen Leaf If capacity is Then remaining capacity is Gallons per House Remaining E.S.F.D. 360,000 6,449,670 6,500,000 50,330 ~ 270 186 ITEMS FOR BOARD ACTION: (1) Review of Water Connection Charge for Mr. V.A. Villata ...... Mr. Villalta set a letter to the District, and each Director had a copy of same, ccmplaining of the charge to connect to the water system, and appeared this evening to see what the Board's decision wouldbe. The Assistant Manager explained hc~ the charges were reached and why, and Manager Cofermade the recomendation to the Board that no adjustment be considered, and Mr. Dunckhorst explained why the charge of his connection was so high. Manager Cofer stated we did cc~pute an average cost to put a service in which is approximately 250.00, plus the cost of the equity he would have into the water system. (2) Guidelines Implementing California Envirorm~antal Quality Act and Rescinding Guidelines Heretofore Adopted. Adopt RESOLUTIONNO. 2115. Director Olsonmoved, unanimously carried, RESOI33rION NO. 2115 be adopted. (3) Water Syste~ Improvements (a) Contract Between State Department of Water Resources and STPUD $800,000.00 Loan for Water System Improvements. Manager Cofer recca~nended adoption of ORDINANCE No. 279 an Ordinance Authorizing Loan Contract and Designation of Finance Officer and Board President to Execute Contract. Director Cocking moved, seconded by Director Olson, unanimously carried. (b) Plans and Specification Modification of A1 Tahoe Water Well. Authorize Advertisement for Bids. Director Fieldcampmoved, seconded by Director Cocking, unanimously carried. (c) Contract for Fencing Upper Reservoir ..... Authorize Award of Contract. Three bids were received, as follows: (1) All County Fency Ccmpany $5,512.00 (2) Tholl Fence, Sparks, Nevada 5,919.00 (3) Tahoe Fence Co., Carson City, Nv. 4,900.00 Director Fieldcampmoved, seconded by Director Olson, unanimously carried contract be awarded to Tahoe Fence Cc~pany of Carson City, Nevada in their bid amount of $4,900.00. -4- 7/6/78 (d) AIRPORfWELL: (1) Contract between County and South Tahoe Public Utility District Well Site - Authorize Execution of Contract - RESOLUTION NO. 2116 - (This contract provides for permission to drill, construct and operate a well on about 1.10 acres of airport property). Attorney Weidman explained in detail the contract to the Board. Director Jones moved, seconded by Director Fieldcamp, unanimously carried RESOLUTION NO. 2116 be approved as explained by Attorney J.C.Weidman and recc~n~nded by Attorney Weidman and Manager Cofer. (2) Negative Declaration - AJopt Final Negative Declaration and Authorize Assistant Manager to File with County Clerk - for (Airport Well) - Director Fieldcampmoved, seconded by Director Cocking, unanimously carried. (3) Plans and Specifications - Authorize Culp/Wesner/Culp to complete Plans and Specification (above ground construction items - - - District staff and personnel will do the inspection) subject to approval by the attorney and not to exceed $9,800.00) Director Fieldcampmoved, seconded by Director Cocking, unanimously carried. (4) Wastewater Systems Improvements (a) Contract, Modification of Luther Pass Pump Station Surge Valves ..... Authorize Execution of Contract by RESOLUTION NO. 2117 - two bids were received - one from D. Bears of Rocklin, Ca., in the amount of $56,600.00 and from Thomas Haen in the amount of $39,100. Director Fieldcampmoved, seconded by Director Cocking, unanimously carried that Thomas Haenbe awarded the contract in the arapunt of his bid $39,100. (b) Contract for cleaning Luther Pass Holding Tank. Postponed to 7/14/78. (c) Notice of Categorical Exemption, R~al of Existing Floating Covers Sludge Tanks and Placement of Fixed Covers, Odor Control Equipment ..... Authorize Assistant Manager to File Notice. Director Olsonmoved, seconded by Director Fieldcamp, unanimously carried. (5) Facilities Planning: (a) Determination and Evaluation of Indian Creek Water Rights Exchange - Defer. (6) NPDES Discharge Permit - Authorize Request for New Permit ...... Manager Cofer stated that ~. Weidmanwanted to include in our letter for the NPDES Discharge Permit - to inquire if the permit is even necessary, and Manager Cofer requested authorization to request the additional statement as to whether an NPDES is necessary whenhe requests renewal. Director Olsonmoved, seconded by Director Jones, unanimously carried. (7) Personnel Matters: Authorize Retention Pay Allowance Electrical and Pneumatic Instrument Technician. Mr. Thcmas McGhee, Instrument and Pneumatic Technician for the District has received his California registration, which gives him additional qualifications and there was a considerable effort on Mr. McGhee's part to obtain this registration. Also, in reviewing this position with other position of the same classification, Mr. McGhee is being paid less than those we have cempared. Our contract with the Union does provide for en~rgency salary adjustmant for retention purposes, and the Board to make the decision. Manager Cofer re~nded approval of this. Director Olsonmoved, seconded by Director Fieldcamp, Manager Cofer's reccrmnandation be approved. Mr. Olson stated that he firmly believes that employees that spend their time to advance in their job is most certainly entitled to pay raise consideration (n~arit raises), and moved that this be granted subject to this will not jeopardize State Surplus Funds or t~%ergency Loan Funds if we are entitled to those. Unanimously carried. (8) Insurance, Non-Owned Aircraft. Assistant Manager Callahan and the Finance Con~mittee reconm~nded that the policy for non-owned aircraft not be rena~ed .... Director Olsonmoved, seconded by Director Jones and unanimously carried. (9) Request for Extension of Time - Johnson Blvd. Sewer Project - - - Director Fieldcampmoved, seconded by Director Olson, unanimously carried, a 30-day extension be granted. (10) Application for Step 3 Grant Fallen Leaf Lake Sewer Project; (a) Federal Application - approve application, and (b) authorize Finance Officer to File Application, RESOLUTION NO. 2118 - Director Olson Regular Meeting -5- 7/6/78 moved, seconded by Director Fieldcamp, unanimously carried. (11) Authorization of Substitute Attorney for Assessment Districts: The firm of Jones, Hall, Hill and White, as reco~nendedbyAssistantManager Callahan. Director Fieldcampmoved, seconded by Director Cocking, and unanimously carried, the firm of Jones, Hall, Hill and White be approved and authorized as the substitute attorney. WILL SE/ArE LETTERS: Assistant Manager Callahan stated there are 3 requests - (1) 4046 Lake Tahoe Blvd., 1-1/2" meter, Minature Golf Course, Bob Davis. (2) Office building, 2516 Lake Tahoe Blvd., 1" service. (3) has for Extension of Will Serve Letter given on 7/8/77 and expired (Trout Creek Tract across from Denny's Restaurant - a Mr. Mike Davin). Water. Director Fieldcampmoved, seconded by Director Olson, unanimously carried, all 3 requests be approved. PAYMENT OF CLAIMS: Director Olson moved, seconded by Director Fieldcamp, unanimously carried, claims as recc~mendedbyAssistantManager Callahan, amount of $290,539.27 be approved for payment. in the ADJ--: 10:00 P.M. to July 7, 1977 at 7:30 P.M. L~rrene L. ~a§hub~,JP-fe~ident South Tahoe Public Utility District ASTEST: Mar~ D. ~rose, Clerk of the Board South Tahoe Public Utility District Board of Directors of the South Tahoe Public Utility District A~journed Regular Meeting 7/7/78 The Board of Directors met in an adjourned regular session on 7/7/78 at 7:30 P.M., District Conference Room. ROLL CALL: President Kashuba, Directors Olson, Cocking, Fieldcamp, and Jones all present; General Manager J.R. Cofer, Assistant Manager D.W. Callahan, Aciting Clerk of Board, Attorney J.C. Weidman. President Kashuba asked all present to please sign the "sign-up" sheet. This is the time and place for the Public Hearing for Fallen Leaf Lake Assessment District 1971-1, to adopt a Resolution of Necssity Authorizing the Filing of Eminent D~mainProceedings Against the following owners of parcels: A~journed Regular Meeting -2- 7~7/78 Easements: William Price Craven, et al Robert Blanchard Jones Gartley Grant George Alger Suzanne Turley Pobert Haumett, et ux Maureen D. and George Bourne (2) Donna C. and Lowell Oxtoby Laurie and Stephen Malley Saul and Ursula Sherman Lois R. and David Hadden Mary E. and John S tumbos Barbara Alden Jenny and William Maderious Mr. and ~s. Duncan McLeod Charles and Anne McCloskey Jacquelyn Dorrance Stanford Alu~mi Cynthia and Dean Learned Claire Low George and Beatrice Alger Betty and James Cramblit Mary Margaret Wilson Mr. and Mrs. Dan Gilson Claire H. and James Brett Mansfield Smith, etux Barbara Callander Norman Miller "P" Squared EugeniaMcClay Sheldon Cook and Carolyn Kennedy Jane Dingle Reed William and Rita Rogers Alexander and Maria T. Ganza Mr. & Mrs. Earl Garthwar(it) Joseph Cline EJECI~R STATIONS: Stanford Sierra Camp William Price Craven, et al. Ruth S. Larsen and John C. Silliman Phyllis McCallum, et al. David L. Reid, et al. Norman HawleyMiller Mansfield and Charlotte Smith Vacuum Valve Stations: Stanford Sierra Camp Protestant Episcopal Bishop William Price Craven, et al. William and Jennie Maderious Lucille E. Bassett Ursula and Saul Sherman Matters to be considered by the Board of Directors: (a) The public interest and necessity require the project. (b) The project is planned or located in the manner that will be most cc~patible with the greatest public good and the least private injury. (c) The property sought tobe acquired is necessary for the project. Manager Cofer stated that the Fallen Leaf Lake Sewer Project is mandated by the Porter-Cologne Act requiring all wastewater within the Tahoe Basin to be exported out of the Basin, and is responsive to a Cease and Desist Order by the Lahontan Regional Water Quality Control Board, requiring the construction of a collection system for treatment by this plant and export out of the basin. Mr. Lloyd Bracewall of CSO International, Inc., stated tb~t the project is planned and/or located in the manner that will be most compatible with the greatest public good and the least private injury, and described the project in detail to all present. President Kashuba opened the hearing for comments from the audience. MR. W. CRAVEN OF FAII.EN LEAF LAKE LODGE stated that parcels 21 410 11, 55L, 21 09 54, etc., and stated this can go on, as he has several notices with him this evening, and he stated his purpose for appearing this evening is to appeal first for clarification, as he felt the engineering data presented can be termed very preliminary, and suggested the residents should be able to go to the area andbe shown~where all will be located for this project. He also stated that he felt it robe essential that all the private gas and oil lines, water lines, be identified for the contractor. He is especially concerned about the major pump station located on the Fallen Leaf Lodge property, which he feels will either limit or eliminate access for visitors and residents. It was mentioned that there will undoubtedly be some field adjustments and some final changes, perhaps, when it is going into construction; also, as to the access of the property, those will be able to utilize the same area they now do for making turnarounds, and for trucks, campers, etc. Adjourned Regular Meeting -3- 7/7/78 M~ntion was made that there undoubtedly will be sc~ field adjustments and Attorney Weidman responded that the State and Federal Grant requirements might require that this District own thepropertywhere the pump stations and appurtenances are located, and if we do not have to own that to satisfy those grant requirements, then Mr. Weidmanwould recut~L~nd to the Board that we have an easement. RDbertJones stated that he is very much interested in that ownership of his property is not taken as he does have future plans for building and would be content giving an easement to the District. Mr. Craven asked hc~ the value of the property would be arrived at, and especially the pump station that is located on his property at Fallen Leaf Lake, the Lodge. Attorney Weidman explained to him the method in which they value the property - the part taken as part of the whole, and then determine whether there is scme severance damage to the remaining piece of property, and it would be appraised on the fair market value as of today- this sum~er o M~rle Jorgenson, speaking for her sister - Phyllis McCallen, 21 331 061, and her concern was that Ejector Station No. 6, and the location of same on the property - and suggested if the Station were to be located further North on the property there would not be any damage to anything, but as it is proposed now, the concern of the driveway, stone wall, etc., could possibly be damaged. She also stated they do not oppose the system, only the position of the station to be in a favorable place. The engineer assured Ms. Jorgenson that the grading will not al all be changed, and sees no problem re the rock walls on either side of the driveway. FRANK HILDRETH, DIRECtOR OF STANFORD CAMP, ~PRESENTING PARCELS NOS. 21 150 03 and 21 190 07 and stated a letter was written, andMr. Weidman stated we do have the letter, but he stated under advis~_nt frcm their Attorney a revised eas~nent was mailed to the District, and this mainly assures themwhat the District states they will do - will be done. Also there is an existing part of our collection system from P/Sta 1 which is right in the middle of the road and cannot beusedwith this system, and wanted assurance that would be torn out. The Engineer stated it is his hope that stretch of line will be taken over by the District. Mr. Hildrethalso stated they do not own the parcel 121 261 19. Manager Cofer stated it is his understanding the vac~Nnvalve station will have a small vent pipe above ground, but everything else is under- ground. Attorney Weidman stated he does not have any objection to Stanford's proposal except their item No. 4 - it is our intention to keep the lines and station underground; however ~4 is in regards to the trenching and excavation and the trenches being left open - - the engineer stated that in scmeportions of the law the trenches mustbe covered eachday, and others can be left open - and Mr. Hildreth stated their concern is that there are guests in and out at all times, and the engineer stated that the contractor is tomaintain a safe area at all times; the pump stations will not be able to be covered, though the area will be made a safe area and barricades will be put up. (Mr. Frank Hildreth also agreed his letter did not have to be read this evening). FATHER CROSS representing Mrs. Patten and St. Francis Mt. Chapel ..... he understands the only thing showing above ground would be a manhole cover, and solid concrete would be underground, and the land will be available for parking use, etc. and stated that his Bishop would like to have sc~e- thing in writing regarding this, and also of the location; he stated that the attitude they have is trying to conserve for the future and for the public - it is a land for trust and he is concerned that the use of the land be continued and not a little more specific in read the paper requesting giving the District to do be impaired; he stated that the District should be what they~are asking of the people, because he the easement, asking for the owners signature, anything they wish to do over or on that specific piece of property, and he stated that he didn't feel anyone would really want to sign a paper such as that, and asked if he could obtain information such as this, so he can ask their Bishop for his cooperation. Adjourned Regular Meeting -4- 7/7/78 Manager Cofer stated we have never operated a vacun~n station; we have no idea how oftenwe will have to service the station, but if the property turns into a parking place, where there is no access for that manhole, he then would consider this a problem; there docs not have to be a large area reserved and he believes the manhole should be accessible to us, as we only have one day storage. Perhaps there is a way we can define this to wherewe can restrict the manhole for access, Manager Cofer stated. Mr. B. Etcheverry stated that he would like to knc~when he is asked questions frc~ the people in the Fallen Leaf Lake area - what is the recon~nended procedure to satisfy their questions. Manager Cofer stated if the questions are regarding the plans and specifications, then Lloyd Bracewall would be the one to contact; if it is the language on the eas~nent, then Manager Cofer can be contacted. WRI~fEN COP~4ENTS: Attorney read in full the written co~ents received. (1) R. Jones (Will meet with the Engineers re location of lines, etc., as the Engineers stated there is a misunderstanding by Mr. Jones as to where the locations will be). (~) Norman H. Miller - (Mr. Bracewall stated he spoke with ~. ~-~ller and asked him to come into their office to discuss the location, etc.) (Mr. Etcheverrywill see that Mr. Miller contact Mr. Brace~all). (3) Lucille F. Bassett - re Vacu~nValult ~7 - - (Mr. Bracewall stated a new description was prepared and moved the original location and the property owner is in favor new of this location). (4) Carolyn C. and L.J. Kennedy, Parcel 21 311 01 - - not in agreement with the location. (5) Ruth L. Larsen and John Larsen Parcel - Ejector Station - - ES-5.. Also, Attorney Weidman stated that the notices sent to Alexander ~handis and Lauri and Steven Malli were returned ...... Mr. Bracewall stated that Alexander ~handis's notice was received, signed .... All of the above letters were received, read in full, and same on file at the District Office. Another letter turned over to Attorney Weidman from Mr. L. Bracewall - frc~E.H. Crassey for Mrs. Eugenia McClay. (Mr. Bracewall stated they will again survey this parcel to make certain the trees are not in danger). This letter is also on file at the District Office. There are approximately 25 eas~ents not yet received. Attorney Weidman suggested that we continue this hearing on July 14, 1978 at 8:00 P.M., District Conference Rc~m; and secondly, try to qualify that the underground stations could be eas~nents and we can still qualify for the grant monies; third - the engineers take a look at the language in the Stanford-Sierra proposed grant of easement, and we can reword clause number 4, or any others we may be able to redraft and resubmit promptly - the station easements, whichmay solve the majority of the problems. Also, suggested that David Callahan contact an appraiser, not have him out on the ground, but to have one ready, we do not want to jeopardize the grant. Mr. Etcheverry suggested that perhaps a letter could be sent out to those that eas~nents havebeenrequested of, and have sent in signed, changing the error (clerical) fromtheword "water" to "sewer", and requesting that they approve of that one change ...... Mr. Weidmanmentioned that we can again decide after Monday, and hopefully Adjourned Regular Meeting -5- 7/7/78 more easements will have been received and accepted by then. ADJOURNMENT: 9:15 P.M. to and Executive Session re litigation. President Kashuba called the meeting back to order and Adjourned at 9:25 P.M. to July 14, 1978 at 8:00 P.M., District Conference Rock. r~ene L. kashuba,' ~re~ideht South Tahoe Public Utility District AT~EST: Mary D. rose, ~lerk of the Board South T~'' Public Utility District ADJOURNED MEETING/HEARING FALLEN LEAF LAKE SOUTH TAHOE PUBLIC UTILITY DISTRICT JULY 14, 1978 8:00 PM The Board of Directors of the South Tahoe Public Utility District met in an adjourned session on 7/14/78 at 8:00 P.M., District Conference Room. ROLL CALL: President L.L. Kashuba, Directors W.N.Olson, F.J. Cocking, R.A. Fieldcamp, J.R. Jones, Manager/District Engineer J.R. Cofer, Assistant Manager D.W. Callahan, Attorney J.C.Weidman, Clerk of the Board, W.P. Craven and Mrs. W. P. Craven, Phyllis McCollum, Myrl Jorgensen Norttway, G.A. McCollum, B.E.Etcheverry and Frank Hildrith - Fallen Leaf Lake representatives and Stanford Sierra Camp. Also present was Mr. Loren Swanson of the SCO International, Inc., and R.J. Hill, Attorney, of Jones, Hall, Hill and White, San Francisco, California - Bonding Attorney. President Kashuba stated that before going into the PublJc Hearing she would like to mention that the bid opening for the Fallen Leaf Lake has been extended to 8/3/78 and an addendum to the bids will be sent out. Manager Cofer stated there was only one bidder that did submit a bid and this concerned him; we also had some more problems with the easements that did take more time than anticipated. Adjourned Meeting/Hearing 2 7/14/78 Mr. Loren Swanson, President of CSO International, Inc., stated he contacted several of the contractors and they stated to him that they would, perhaps, submit a bid if this went into early next year, but they cannot submit a bid at this time. (Those contacted were Hood Corporation, Byars Construction, Henderson Construction, CFB, McGuire & Hester, Valley Engineers). Manager Cofer requested action by the Board to ratify the action the District Engzneers took extending the bid time to 8/3/73, and also to authorize the Engineers to prepare Addendum #4 for redescrip- tion of the schedule, and the Contractor's bid would be bid for a period of 90 days. Director Olson moved, seconded by Director Jones, unanimously carried. President Kashuba welcomed all present to this hearing for Fallen Leaf Lake - opened the Hearing at 8:15 P.M. for oral commen ts; (1) FRANK HILDRETH, STANDFORD SIERRA CAMP, ASKED WHAT IS IN THE ADDENDUM - does that put construction off until next year, and Manager Cofer stated yes. Mr. Hildreth also asked Mr. R.J. Hill to explain the reason for the 90 days. Attorney Hill stated we are not going to receive any bids, under any circumstances, until 8/3/78, and that decision was made this evening. If we are going to go through the winter, the recommenda- tion - eliminating the necessity for any completion in 1978 is simply that with the bids being received on August 3, 1978, it would perhaps mean the contractor could only get in for perhaps a month or less to get in to work, and that would be discouraging for the contractor to bid on 8/3/78, if something had to be completed this year, and if that is not true then we can stick with something less than 90 days; but if they do not have to do any work, he would like to have ample time, after the bids are received to bring the validation action with respect to the assessments, we think in view of Jarvis-Gann, is the wise thing to do. Mr. Hildreth stated if by pushing the bid opening closer to the 1st of the year, it could bring more competition and could be the wiser move. He stated re Jarvis-Gann - there must be some public projects that will be abandoned, which would mean more contractors would be available for work which also would indicate early next year would be more beneficial; he stated all residents are very concerned wzth the increase costs in the project. The increase in the assessments will be 139% from what they were under the change and modifications made in 1977, Mr. Hill stated. It is the same assessment spread, simply raising each assessment charge. Mr. Hildreth also stated he is quite concerned about inspection fees on this project. Manager Cofer explained that we have not awarded any contracts for step 3 construction engineering, however, we would have to award a contract if we let the bid - Mr. Wamstad will be paid for the time he is actually on the job during construction, and not any other time. Mr. Hildreth stated he was at the Property Owners Association Meeting at Fallen Leaf - Manager Cofer stated that was a charge, as he did put out 3 addendum's. Manager Cofer stated that it has been suggested that perhaps we should have CSO make an analysis of why the cost changes have increased. It is obvious, Manager Cofer stated, that the costs have increased because the estimate was incorrect in the design criteria report, the scope of the project may have expanded because of the grant program; We have impacted some of the pump stations that it be required it be bid in alternatives, and that has required a more complex system; the control system has been a major increase in cost; standby power is a major item. Manager Cofer stated we should go ahead with bid openings, and if then Adjourned Meeting/Hearing -3- 7/14/78 it is still high, then perhaps we can have the engineers make an analysis, or if they are going to wait until next year, then come back next year and get a new estimate. Manager Cofer stated that the health and~safety is our main interest, and a system that works. If this project does not work, it will spill sewage into Fallen Leaf Lake - it is difficult to say what is enough and what isn't enough, and he does feel the design CSO has submitted is adequate - it does provide us with the storage needed, standby power we need, and he cannot, at this time, recommend any deletion from the project; we are satisfied with the design of CSO, and can see very little opportunity to cut costs down. Mr. Swanson stated the project was redesigned once, after March 1978. We did, he stated, receive many comments from the State, as to what they were going to fund and it was then from 1/2 million to one- million dollars, and after their several meetings, etc., they came up with the $600,000.00. Manager Cofer stated that he has yet to receive a definitive statement from the State as to what will be funded. Manager Cofer stated that the District Board is not going to put up any more front money; he stated he has a serious problem of cutting everything in this year of the Jarvis-Gann -- Manager Cofer also mentioned that the state will not allow us to award a contract, until we have a grant contract. Mrs. B. Etcheverry stated that it seems to him, after the discussions this evening, that under no circumstances will construction start before May lst; plus he has the feeling there will be less projects competing with this project next year, and that the second half of the calendar year, is a poor time to get bids. There was an interest on the part of those that Loren Swanson talked with regarding bidding on the project next year. Mr. Etcheverry also stated that he could give a figure of 5-10% as an inflation figure for next year -- Mr. Etcheverry stated the only thing that he has heard so far to indicate we should not defer the bid opening until early next is that Bob Hill has been assured that he can place the bonds if it is done now and he has a maximum interest rate if placed now or within the next few months, and he thinks this puts us in a gambling situation - - are we apt to save more on the construction costs if we wait until next year and he feels that we would, against increased ifficulty and perhaps higher costs on placing bonds, and Mr. Etcheverry stated this is basically the decision that has to be made here. If the bid opening is deferred until next year, CSO would place a few telephone calls to prespective bidders for the project, and if additional engineering is required for some minor changes - and the District cannot come up with the money, Mr. Etcheverrry feels the Fallen Leaf Lake Residents would perhaps do so. Mr. Etcheverry also stated that he feels very serious consideration should be given to this opening of bids, and that it would be a tragedy if we went ahead, placed the bid at some very extremely high figure, without any ceiling on what that figure can be, by holding the 8/3/78 deadline. MR. MC COLLUM OF FALLEN LEAF LAKE STATED that he would like to ask Mr. Cofer if the bidding date/time is put off, what effect will this have on the California Grant, and Manager Cofer stated probably none. Mr. Loren Swanson stated he was at Sacramento today on another matter but he talked with Larry Jellison and Anders, and they felt it would have no effect on the grant, except that the grant would be inflated to cover the inflated costs. Manager Cofer also stated with the passage o~ the bond issue - it would have no effect, but had the bond i~sue failed, it could have had a terrible effect and perhaps there would be no funds. Adjourned Meeting/Hearing -4- 7/14/78 Mr. Mc Collum also stated that he would like to have the Board Members, who are in business, try to estimate what the cost of their business will be next summer - how much will they have to add if a commitment was made right now; 5% - 10%, or play it safe and make it 30%, because he stated that is what the contractors are going to do, they would have to make a guess, and if he is any good - he will not lose money on the job; they will make it safe - everyone will try to make it safe, whezeas if the bids come in closer to the time they have to go to work, the contractors would make a better estimate. Manager Cofer stated that he does believe January is a good time to open bids - theze are too many vacations, holidays and problems in January; perhaps it would be best to move to December - an alteznative would be to open bids on December 14th, and would give us a week to open bids before the regular meeting of December 21st, so we are now talking about a 4 month extension. Mr. Etcheverry stated that assuming that ~he project is not going to start before next May 1st, actual wage and material costs a year from now are going to be the same, regardless of when the bids are opened. Mr. Craven stated he would like to call attention to the fact that the snow usually fails out at Fallen Leaf in November, and mentioned, too, in 1975 there was 6~ of snow plowed off the road the 9th of May. So if the inspectors will have to look at the jobs, it would most likely have to be done in October. Attorney Weidman stated that the Hood Corporation bid a project for the pipeline, Luther Pass/Indian Creek Reservoir, and the project was covered with snow, and they refused to take the bid, and there was a long law suit with them by this District, which we won by 90% of their bid and the next bid. Manager Cofer stated that is a very good point, and perhaps we should give but a 3 month extension. Attorney Weidman asked Mr. Loren Swanson if it is set out in the contract that if the Contractor buys materials, puts it on the site, he can claim some payments, even though he has not put materials into the ground - and Mr. Swanson stated yes - that is correct, and set forth in the contract. So, Mr. Weidman stated, the contractor could (if he bid in November), and give him a chance to complete some of their work and know where they are, he could bid on some firm material prices (90 days after Nov- ember, put the material someplace where he could then get paid for it, and get the advantage of perhaps lower material costs. No other comments from the audience were made. asked Mr. Hill if he had any comments. President Kashuba Attorney Hill asked Mr. Loren Swanson that he, in his experience, has dealt with sewer systems, in particular, under Public Utilities, which benefit properties that are going to be served, and based on that asked Mr. Swanson if he has had the occasion to serve re the values of properties, and asked if Mr. Swanson had an opinion with respect to the increased values of these properties in relation to the assessment, and if he feels the increased value in this area being sewered will be at least as much as the increased assessments, and Mr. Swanson stated yes. Mr. W. Craven stated he would like to make a comment take Fallen Leaf Lodge, at 139% of the original assessment,approximately $181,000 for assessment, which does not include any hookup costs, 76 acres, and TRPA and CTRPA will not permit any subdivisions - and there are only approximately 30 acres that are developable - the rest of the acreage is so steep it cannot be used under the land zoning of TRPA, which means he is looking at approximately 5600.00 per developable acrea; he has looked everywhere, talked to many, to try to find out what good use that property can be put to that will generate sufficient revenues to make this assessment, and he is curious to know who is going to bond it. Adjourned Meeting/Hearing -5- 7/14/78 Frank Hildreth uf Stanford Sierra bank assessment is about $800,000.00, and if this $300,000.00 is added, ne cannot guarantee Wells ~'argo Bank to allow us an additional $300,00 for loan purposes. President Kashuba stated that the Public Hearing is now closed, and asked Attorney Hill if he has a recommendation to make to the Board. Attorney Hill recommended adoption of RESOLUTION NO. 2119, A Resolution Ordering Changes and Modifications, Assmt. Dist. 1971-1, Fallen Leaf Lake Area. Mr. Hill explained this Resolution in detail for those present and the Board Members and requested consideration of same. By Roll call Vote .... Director Olson moved, seconded by Director Cocking, unanimously carried, RESOLUTION NO. 2119, as recommended by Attorney Hill be approved, and by roll call vote - carried unanimously. ALSO, Attorney Hill recommended adoption of RESOLUTION NO. 2120, A Resolution Authorizing in REM Validating Proceedings,Assessment District No. 1971-1, Fallen Leaf Lake Area. Director Olson moved, seconded by Director Jones, unanimously carried by roll call vote. Mr. Hill also explained this resolution in detail to members of this Board and those present. Manager Cofer stated he would like to have some comments from Mr. Hill whether we should continue with the bidding. Attorney Hill stated that he has been living with this project since 1969, the re have been many delays, many meetings of and with the property owners, many changes have taken place, there were delays because of an attempt to get Federal monies for the project; every effort was made to make the people at Fallen Leaf Lake happy. . Manager Cofer stated he has prepared the following schedule: 08/31/78 09/14/78 10/26/78 01/18/79 05/01/79 10/15/80 Award Contract Phase III Engineering Advertisement for Bids Open Bids Award Contract Start Construction Completion of Construction Manager Cofer recommended authorization for him 'to. direct the Engineers to send out Notice of Cancellation of bid opening, and direct Manager to stop all engineering work on project with the exception of work related to acquisition of Rights-of-Way, and that on 8/31/78 a special board meeting be held to award Phase III Contracts to reinstitute the project. Director Olson moved, seconded by Director Jones, unanimously carried (Engineer will send out notice of cancellation of bid opening also) by a roll call vote. Attorney Weidman stated we should take no Action on the Resolution of Necessity at this time; he has confirmed, and so has Manager Cofer, that we can have access to the pump stations at this time, and the only questionable one is Craven, and we can use the Stanford Camp form with the condition number 4, and we can get out these pump station easements through Mr. Etcheverry, and that we will have an excellent chance of negotiations on most of the pump stations, and Mr. Weidman stated he does not feel there is any need now for continuation of the hearing - there may be one, two or three stations that we may need to condemn, and perhaps 1,2, or 3 easements in the road that we need to condemn - and requested a Resolution of Necessity and Convenience of hearing renoticed again when we get closer - there is much time between the bid opening and contract award to acquire these easements, and it is only fair to negotiate as far as we can with the Adjourned Meeting/Hearing -6- 7/14/78 people until we have to condemn. Attorney Weidman recommended the hearing be adjourned and no action be taken. Mr. Etcheverry stated that he and Mr. Weidman did discuss this and he thoroughly concurs with Mr. Weidman, and Mr. Etcheverry will assist in the easement negotiations. A visitor asked if the taxes on their properties were going to increase - regular property taxes, and Mr. Hill a~swered that 1975-76 taxes should be increased by 2%, and this is undoubtedly what the assessors will follow on property charges/ taxes. Mr. Czaven asked that under the present schedule, assuming the bonds are sold, when would they receive the first increase in their taxes, and Mr. Hill stated it would be December of this year, which will be the proportionate share of the amount that has to go on this year for the $150,000.00 amount for bonds. Also, Mr. Hill stated that anyone that has not paid in cash what was assessed last summer, they can no longer pay that; they can now pay the increase in their assessment, but they cannot pay the amount assessed in their last notice they received. Director Jones stated we should send a letter to the residents of Fallen Leaf (both to addresses they might have outside of the area, and those within the area) stating what action we have taken regarding this project, and Mr. Etcheverry stated that it is understood that he, as President of the Association, will handle all information for the residents and the Association, but any legal information would, of course be sent the owners. If Mr. Cofer or anyone would prefer to draft any information, then he will incorporate that into a letter, however, he feels duty bound to communicate with everyone following this meeting to give them a bit of interpretation of what has taken place, and the owners do receive communications every two months to keep those owners advised and informed as to what is taking place re this project. President Kashuba thanked everyone for attending this meeting. She called a recess at 9:55 P.M. MEETING RECONVENED AT 10:00 P.M. President Kashuba asked Attorney Hill for some information on U-1 Bonds: He stated that U-1 Bonds were issued pursuant to the law that existed at that time; they contain the obligation for this District to levy such taxes on all taxable real property within the U-1 Improvement District, the amount necessary to pay the principal and interest due the next fiscal year. The United States Constitution has what congress refers to as the "Contract Clause", that no State shall enact any law that is not exact or reasonably close, which will impair the obligation of contracts (with people, not district's). It has been applied very uniformly to all contracts; in the case of public bodies bonds, they have, with very few exceptions, held that any failure of public entity to do what it agree to do in bond proceedings - would be a violation of this clause; therefore, the law didn't apply. The exception, back in the depression days, they did delay public entities from exercising remedies that they were supposed to exercise on behalf of the bond holders, in collecting taxes or special assessments. Attorney Weidman stated that we felt that the County Auditor, who is charged with adding what we levy to the tax roll, and and the tax collector to collect them, we wanted to find out whether A. McAnnally and her Assistant, Mr. Ames, would be of the opinion that they would levy this non-voted G.O. Bonds tax, that we fix sometime around the end of August or September, and Mrs. McAnnally indicated to Mr. Weidman that because of the language of Jarvis-Gann, because of the clear language of SB 154, and because of the clear language of SB 2212, and because of the Adjourned Meeting/Hearing -7- 7/14/78 guidelines, from the State Controller, she didn't think she would levy this tax and this was her opinion as of yesterday morning, and Mr. Hill is suggesting we get an opinion from Jones, Hall, Hill and White that it is legal to levy it. Director Olson moved, seconded by Director Jones, unanimously carried, that the District get an opinion from Jones, Hall, Hill and White, Attorneys, and transmit to the County Council and County Auditor and have supporting backups from other agencies. (Cost of this work will not exceed $1,000.00). The Board of Directors agreed to hold a workshop session Monday at 10:00 A.M. re Cost of Living for Employees. Board Adjourned this Meeting at 10:45 P.M. Lorrene L.' Kashuba, Preszdent South Tahoe Public Utility District ATTEST: M~r~ D.//~mbrose, Clerk of the B-~ South ~rahoe Public Utility District ADJOURNED MEETING OF THE BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT July 19, 1978 10:30 A.M. The Board of Directors held an adjourned session on 7/19/78 at 10:30 A.M. with the employees of the South Tahoe Public Utility District. ROLL CALL: President L.L. Kashuba, Directors W.N. Olson, F.J. Cocking, R.A. Fieldcamp, J.R.Jones, Attorney J.C. Weidman, General Manager and District Engineer J. R. Cofer, Assistant Manager D.W. Callahan, and Clerk of the Board. President Kashuba sta%ed that this meeting has been called to provide the employees with information as to what the District is being faced with, and the problems have been many. She mentioned also, that the District has been issued a Cease and Desist, and the District asked for the assistance from all employees, in which all responded in helping with modifications to the plant, to help meet discharge requirements, and as a result of the assistance - the District has operated without violation for six months approximately; the Board recognizes that this all came about because the employees do care, they are proud of their work, and in turn the Board of Directors and Management are proud of the employees. President Kashuba stated that we have had to face many crisis - one of which we had to increase the service charges, which the Adjourned Meeting -2- 7/19/78 taxpayers have objected to very strenously, however, this is but one of our many problems, and the one that the Board wishes to discuss with the employees today is the just recently passed Jarvis-Gann Proposition 13. Among the many regulations that are being imposed by that legislation, the proposition states there shall be no increase in employees salaries. This District has a contract with Stationary Engineers, Local #39, which states we will give a 6.5% cost-of-living increase; the District has agreed to this contract and we have no intention of violating it. ' President Kashuba asked J.C. Weidman, Attorney, to explain the legalities we are faced with. Mr. Weidman stated he feels the Memorandum of Understanding the District has with the Union is a contract; the State Legislature in Sacramento does not consider this a contract, he stated. He also stated that he considers the legislature implementing Jarvis-Gann which was first called Senate Bill 154, which provided that any contract between a local public agency and an employees organization which provides for a cost-of-living salary increase, the local public agency employees in excess o~ such increase provided for State employees is null and void, and such contract is hereby declared to reopened and subject to new negotiations; this was in the first implementing bill signed by the governor. The second bill SB 2212 said exactly the same thing, only --added the words 'Memorandum of Understanding, in addition to contract and agree- ments. Mr. Wiedman stated he considers the statute SB 154 and SB 2212 implementing Jarvis-Gann impairs the right of the contract between this District and our Employee Organization, and this is legally'how he feels, however, he stated legal opinions differ and legal opinions can be wrong. Our labor consultant lawyer - Mr. L. Schuering of Sacramento - also agrees with what Mr. Weidman has stated, but there had to be some legal basis for the legislature enacting this statute, unless, of course, their legal basis was just to penalize public employees, and he stated we have tried to find out what the legal basis was, by asking our Assemblyman to give us the legislative counsel opinion. That information is unavailable to us at this time. Mr. Weidman also stated that before the cost-of-living increase can be given we must have some legal opinion. The deputy sheriffs organization in San Francisco has filed in the State Supreme Court on a similar situation we are now facing, and they are asking the court to declare illegal and unconstitutional as applies to their contract,which is similar to our contract; if Mr. Weidman had that decision, then he could make a recommendation to this Board re the cost-of-living; there is also another case...-the Los Angeles Fire Fighters Association filing - and they are seeking determination of the same question. Until we receive some kind of a decision, which tells us that our contract is not void, from the court, as the legislature is trying to say it is, that his recommendation to this Board is they not implement at this pay period, at least, the cost of living increase, but that they keep it in the budget, and that when we do get a decision, then the cost-of-living be paid retroactive to the employees. Mr. Weidman has also discussed this with Mr. R. Wood and Mr. H. Hanson, and told them of the recommendation he is making to this board. Manager Cofer stated that for those non-union employees, we will treat them the same way - all employees of this District will be handled the same way re the cost-of-living increase. Proposition 13 will have many impacts on this District - the Board Room will be turned into an Office, and we will not renew the lease on Dunlap Street, where our Customer Service office is now located, and as we now stand - between now and April of next year, we will run out of money; we have a serious problem with financing, and we feel we must honor our contract with the union. As requested~by Director W.N. Olson, Manager Cofer stated that we are going to lose approximately $1.2 million dollars in tax revenues because of Proposition 13; the State does have a special Adjourned Meeting -3- 7119178 fund for special districts, which is $125,000,000 plus, which is being distributed to special districts throughout the State, and the Board of Supervisors will be the ones to distribute those funds, and, unfortunately, they put a little blackmail into it - that if any District grants a cost-of-living increase greater than that received, then we would not be eligible for any of these bail-out funds from the state; any district that has a reserve greater than 5% will be given a low priority. Mr. Cofer mentioned, too, that we are cutting wherever we can; releasing Customer Service Office; not purchase vehicles needed this year, not purchase snow-blower, etc., we are not proposing that any permanent employee be laid off - we need everyone we have right now. President Kashuba opened the meeting for comments from those present - questions and answers session held, many suggestions made by employees as to how to cut expenses. Director Fieldcamp suggested the cost-of-living increase be set aside, and let it draw interest for the employees, until such time that we receive word our Memorandum of Understanding is valid, turn the money over - pay the employees plus the interest. Director Jones stated the Board did approve the rate increase, but it was because of Jarvis-Gann we have been held up on releasing the money, and when the opinion is received, and it is favorable, it has already been voted the increase will be given. Director Olson stated that we are going to have to levy a charge on the sewer service fees to make up the difference on monies to maintain and run this plant - how'much more the taxpayers will be charged is not known at this time - how much more is needed - is not known now, but we will have to increase the rates. Manager Cofer stated that a $150 million dollar suit is about to be served on this District for failure to serve the vacant lots, so we are going to do everything that we can to serve those vacant lots; we don't have an option - we are going to have to get this plant in complaince, the plant must be expanded, and Jarvis-Gann will seem pretty minor to us. Assistant Manager Callahan stated that in answer to a question re CETA employees .... CETA reimburses the District up to $10,000 annually, or $833 per month; the District picks up any amount over that; CETA does pay the fringe benefits for the CETA employees also. Manager Cofer also stated that the District also has the obligation to eventually employ that CETA employee. Director Fieldcamp stated many people have mentioned to him that they will not pay their sewer service fees - and wanted to know how long we would have to wait before the District can foreclose on those properties. Attorney J.C. Weidman stated that apparently Jarvis-Gann Bill has not changed the method of changing the collection of sewer service charges. We levy an annual sewer service charge on July 1st, which becomes delinquent the 5th of August, and we are then permitted to add that charge to the tax roll and collect it on the payment of taxes ---as far as the charges levied for this year in advance so far, if not paid by the delinquent date, those are added to the tax roll; we get paid our charges and taxes from the County regardless of whether the County collected from the property owners or not, and in return for that the county got the benefit of the interest and penalties. President Kashuba stated that she would like to have the employees urge people to attend our regular meetings so that they, too, can learn what we are up against ..... whatever happens is not the fault ofthe employee, and if they can attend our regular board meetings, they will see what our problems are. Adjourned Meeting -4- 7/19/78 Gregg James, Union Steward, stated the Union has discussed this with him, and they are waiting to see what this Board does regarding the cost-of-living .... the union is aware of what has happened, he stated. Attorney Weidman suggested a motion be made that we delay the implementation of the cost-of-living increase in light of SB 154 and SB 2212 until there is legal clarification that the Memorandum of Understanding is a valid contract, and in the interim, that the monies for the cost of living increase be set aside for retroactive payment to July 6, 1978 when there is legal clarification authorizing the payment, and also that the time for the Union and any individual employee to file a grievance is waived until further action by the Board after notification to the Union and the employees. Director Olson moved, seconded by Director Fieldcamp, and by a roll call vote - carried unanimously. Manager Cofer stated we should have more meetings with the employ- ees such as we have had today. President Kashuba thanked the employees for their suggestions and their comments at this adjourned meeting; invited the employees to attend the regular Board meetings, and welcomed any and all suggestions they may have to offer. Dav Huber asked if it is permissable to attend the adjourned meetings when same is at a time the employee is working, and Manager Cofer stated this would have to be approved from the employees supervisor, however, we cannot jeopardize the performance of the District to attend meetings, however, we will be pleased to have any employee attend the evening meetings. ADJOURNMENT: 12:10 P.M. Lorrene L. Kashuba, President South Tahoe Public Utility District ATTEST: y D//A~b~-ose~-Clerk of the Board South ~ahoe Public Utility District REGULAR MEETING OF THE BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT July 20, 1978 8:00 P.M. The Board of Directors of the South Tahoe Public Utility District met in regular session on 7/20/78 at 8 P.M. in the Conference Room - District Offices. ROLL CALL: Present were President L.L. Kashuba, Directors W.N. Olson, F.F. Cocking, R.A. Fieldcamp, J.R. Jones, Manager J.R. Cofer, Assistant Manager D.W. Callahan, Clerk of the Board, Attorney J.C. Weidman, R. Jones, T. Moehler of Jones and Stokes, R. Bates and A. Anooshian of Resources Engineering Management, Marge Springmeyer. CORRECTIONS OR ADDITIONS TO AGENDA: Manager Cofer requested addition to agenda following Public Hearing Items: Emergency Declaration for Plant Modifications Purchase and another item for Board Action: Notice to State Water Resources Control Board regarding revenue programs. Also, for clarification - under items for Board Actions also is a change order for extension of time - Johnson Blvd.Sewer Project. Director Olson moved, seconded by Director Fieldcamp, unanimously carried, agenda be approved as changed. MINUTES: June 15, 1978 June 16, 1978 July 6, 1978 July 7, 1978 July 14, 1978 Regular Meeting Adjourned Meeting Regular Meeting Adjourned Meeting Adjourned Meeting Director Olson moved, seconded by Director Jones, unanimously carried, minutes as mentioned above - be approved as submitted. REPORT BY BOARD MEMBERS: None PUBLIC HEARING: - Environmental Impact Report - Repair Export Pipeline. President Kashuba opened the Public Hearing at 8:10 P.M., and turned same over to Robert Jones of Jones and Stokes Associates, Inc.--- Mr. Jones stated that this EIR was distributed the middle of June by the District to various interested parties in this area, and the State Clearinghouse. Following this hearing tonight, the District will continue to receive any comments until the 1st of August. Denton Bates of Resources Engineering Management briefly summarized the project and gave a report on the environmental aspects of same, covering also the surge discharge facilities at Luther Pass Pump Station, Air inlet valves, Access to manholes for the pipeline inspection crew; negative declaration filed on all 3 mentioned above. Tim Moehler of Jones and Stokes, Inc., is the one that has done most all of the work on the draft report and mentioned the beneficial impacts of this project, and he mentioned and described the alternatives discussed in the past and the present one chosen by the Engineers (final alternative is to place the pipeline in a trench adjacent to the present pipeline, on the North Side of the Highway, Under the North Lane) ...... Regular Meeting -2- 7/20/78 The hearing was closed at 8:35 P.M. and the representatives from Jones and Stokes Associates were excused from this meeting as they had a long way to drive home. EMERGENCY DECLARATION FOR PLANT MODIFICATION: Engineer R.L. Culp of CWC stated we have had a corrosion problem at the plant, and this is a chlorination problem, as we did call in a top consultant in the country for his opinion. Mr. Culp explained in detail the problems re this corrosion, and recommended to management consideration of this emergency purchase. This expenditure will be approximately $30,000.00 and Manager Cofer recommended purchase of this equipment. Manager Cofer recommended the Board to declare this an emergency and to make a finding of great emergency and that this equipment be purchased. Director Fieldcamp moved, seconded by Director Jones. Vote was 4 ayes and one abstained. CARRIED ....... COMMITTEE REPORTS: None. Director Olson stated the Finance Committee did have a meeting and same on the agenda for consideration this evening. WORKSHOP SESSIONS: Manager Cofer reported that the following workshop sessions were held: a. Review the Budget b. Agenda Workshop c. And District Programs MANAGER'S REPORT: evening. Ail items on agenda - no written report this ATTORNEY'S REPORT: Attorney J.C. Weidman stated he has been involved with the Attorney's Committee re Jarvis-Gann; primary problem is Union Memorandum of Understanding, the Non-Voted G.O. Bonds handling - U.-1 Improvement District. Also, Mr. Weidman and Bill Dunckhorst met with the Board of Supervisors re the Airport Well. Will be on the agenda for August 1st with the County. REPORT BY PROGRAM MANAGERS: Water Supply System -- B. Dunckhorst: Two weeks ago the water department started a test program of intertieing the entire water system together. In the past because of hav~n~ two separate water systems, we did have a few different pressure zones, and because of this, some areas had a low pressure, for example the Hospital reported numerous times las week they had pressure of only 10 pounds. What we are doing has been in stages for evaluation. First, we. opened the 8 inch tie-in valve at Keller Road and the two 2 inch valves on Glenwood and Pioneer. We then put the wells at Glenwood and Blackrock on a hand position. This, we noted, balanced the pressure in the eastern portion of the City. This also in the night hours filled the stateline reservoir to the extent, it shut down one pump at the filter plant at night, the A1 Tahoe well, and the Martin well off for a while. A few days later we opened the bypass at Martin Avenue, opened a valve at Fountain and Martin, and a valve at Armstrong and Sierra. One well at Helen, the Chris well and Fountain wells were put on hand operated. We are now showing a more equal pressure from 4th Street, including the Hospital, all the way to Stateline. By doing this, we have found that all surplus water that is being pumped will go to the stateline reservoir and when full, will shut down the large pumps of the Globin system and on further study may save on electric consumption. Regular Meeting -3- 7/20/78 Manager Cofer stated he spoke with E. Cooper of Sierra Pacific Power Company and the power company is running a series of conservation programs on Channel 2 at 7:30 P.M. tonight and KOLO, Sunday at 6:30 P.M. re water saving devices. MANAGER OF OPERATIONS: John Bonnet John Bonnet had no written report this evening - however, he did mention that E. Schmidt did resign and Mike Heyer has re- placed him as Senior Operator; have attended training classes at TTSA (San Marcos Training Courses). MA~qAGER OF M~AINTENANCE: Cofer) Gene Eppler (as reported by Manager On July 10, 1978, I opened the valve at Indian Creek Reservoir, releasing 5 MGD through the diamond ditch to the ranches below Indian Creek Reservoir. The water was w~thin two inches of going over the spillway. On July 13, 1978, two manholes were vandalized on an easement next to Mandan Street (Meyers Area). District crews removed rocks, logs, and a chair from the manholes. The sewerage spill did enter the creek at that location. The Sheriff's Office, Lahontan, and Health Department was notified and all responded. At the Plant we removed and sent the #2 secondary effluent and #2 final effluent pumps and motors to Sacramento to be rebuilt. We had approximately a 30% loss in efficiency on each of these units. Our standby pumps and motors were installed and no Plant shut-down was required. ASSISTANT MANAGER'S REPORT: David W. Callahan The average ending monthly balance of the sewer enterprise, U-1 connection charge, and assessment district construction funds was $1,084,600.00 for the fiscal year 1977-78. These funds earned $68,263.00 or a 6.3% annual average on the average ending month balance. I have not yet completed the accounting for the year ended June 30, however I estimate that the available balance for the Sewer Enterprise fund was about $60,000.00. ~en the budget for the fiscal year 1978-79 was approved in March we included $169,000.00. Therefore, we started this fiscal year with approximately $110,000.00 less than budgeted. ITEMS FOR BOARD ACTION: of: Manager Cofer recommended consideration (1) FACILITIES PLANNING (a) Determination and Evaluation of Indian Creek Water Rights Exchange - Proposed Change in Indian Creek Reservoir Water Supply -- Requested consideration to authorize Kronick, Moskovitz, Tiedemann and Girard to conduct investigation. The Board discussed this request in detail and it was agreed that this matter be postponed, as there are many areas that must be looked into prior to any final decision being made .... Also, Director Jones and Manager Cofer will also contact Douglas County regarding their feeling on receiving secondary effluent from this District .... Reports will be brought back before the Board. (2~/1978-79 Budget Revisions: (a) Reduction of Equipment Items in the amount of $182,000 - approve budget. Regular Meeting -4- 7/20/78 (b) Reduction of Operating Expenses in the amount of $50,000, and (c) Transfer Customer Service Office to District's Main Office -- Request Revisions and Transfer of Offices. Director Olson moved, seconded by Director Cockings, and by a roll call vote was unanimously carried. MISCELLANEOUS: LAHONTAN MEETING Manager Cofer stated that Lahontan does have their agenda out for the 8/3/78 meeting, however, their next regularly scheduled meeting is 9/14/78 at the North Shore, and Manager Cofer stated he will be giving a progress report on 8/3/78 and doubts we will get on the agenda until 9/14/78. He will report back to the Board. (3) Contract for Modification of Luther Pass Surge Valves; Cancel Contract - Authorize Revised Corrective Program .... Item #3 postponed. (4) Contract Change Order - Johnson Blvd. Sewer Project. (a) Authorize Change Order (b) Progress Payment ($63,293.85) Mr. Denton Bates, Engineer from Resources Engineering Manage- ment stated that the contractor for Johnson Blvd. Sewer Project has submitted progress payment #3, in the amount of $63,293.85, and REM did review the request, and did submit a certification to the Utility District. In addition to the progress payment, he stated there is a request for a time extension requested by the Contractor. We are holding approximately 35% retention, and the contractor has requested that we reduce this retention and make it 100%, which amounts to $32,174.00, and REM did submit a letter to the staff requesting payment be made, based on the fact that the contractor has completed all of the work, except for surface restoration; the contract change order requires additional work that the City required. The change order amounts to approximate- ly $8,700.00. Manager Cofer agreed with REM recommendations. Director Olson moved, seconded by Director Jones, unanimously carried, by roll call vote. Manager Cofer agreed with REM recommendations. Director Olson moved, seconded by Director Jones, unanimously carried, by roll call vote. (5) Annual Dues H20 Care Dues - Manager Cofer stated we have received an invoice for $500.00 annual dues; our prime interest in belonging to H20 Care (used to be Water Care) has been the technical information collection re wastewater reclamation; Manager Cofer stated he has not Oeen able to attend any of their meetings, and Director Fieldcamp did attend some of their meet- ings this last year, and Manager Co£er stated that he feels $500.00 is in excess of the benefit we receive, and stated that we can join as associate memebers at $15.00 and still receive the technical information, and recommended that we not renew our membership this year and that Director Fieldcamp and Manager Corer joining as Associate Members. Director Olson moved, seconded by Director Cocking, unanimously carried, Manager Cofer's recommendation be approved. (6) Electrical Analysis - Approve Work ..... Manager Cofer requested this item be postponed to a later date .... (a) Ingalls Association - Postponed. (7) Manager Cofer stated he was contacted by the State Water Resources Board today stating that the Environmental Protection Agency is proposing to modify its position on the use of ad valorem tax in the revenue programs required by the grant Regular Meeting -5- 7/20/78 program; they need a notice from this District by tomorrow, stating that it would be our intent as part of our revenue program to include ad valorem tax as a source of revenue. Manager Cofer recommened authorization for Mr. D.W. Callahan, Finance Officer, to communicate with Sacramento, and we do hope what ad valorem tax we do get will be going towards M & O for the District, and notify the state this would be our intent to the extent available. Director Olson moved, seconded by Director Jones, unanimously carried. (8) Plans and Specifications for design, construction, and guarantee of a carbon regeneration furnace exhaust gas scrubber and fan, and authorize for bids. Director Olson moved, seconded by Director Fieldcamp, unanimously ~arried. WILL SERVE LETTERS: None. PAYMENT OF CLAIMS: $322,577.43 - Assistant Manager Callahan recommended payment of this amount, Director Olson moved, seconded by Director Fieldcamp, unanimously carried. ADJOU~4ENT: 9:40 P.M. orrene L. Kashuba, President South Tahoe Public Utility District ATTEST: r~' ./ - -se, clerk of the Board South Tahoe Public Utility District REGULAR MEETING OF THE BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT August 3, 1.978 8:00 P.M. The Board of Directors of the South Tahoe Public Utility District met in regular session on 8/3/78, 8:00 P.M., District Conference Room. ROLL CALL: Present were President L.L. Kashuba, Directors W.N. Olson, F.J. Cocking, R.A. Fieldcamp, J.R.Jones; General Manager J.R. Cofer, Asst. Mgr. D.W.Callahan, Clerk of Board, J.C.Weidman, Attorney,Bob Baer, J. Bonnet, C. Ross, D.Huber, A. Kruse, Mike McNamara-Tribune. President Kashuba welcomed all present to this meeting tonight. CORRECTIONS OR ADDITIONS TO AGENDA: Manager Cofer stated that he would like to add one item to Items for Board Action VIII (6) - Hot Tubs. Director Olson moved, seconded by Director Fieldcamp, unanimously carried, that the agenda be approved as changed. Regular Meeting -2- 8/3/78 MINUTES: Adjourned meeting of 7/19/78 and Regular Meeting of 7/20/78. Director Olson moved, seconded by Director Jones, unanimously carried, the minutes be approved as submitted. REPORT BY BOARD MEMBERS: None. COMMITTEE REPORTS: None REPORT ON WORKSHOP SESSIONS AND MEETINGS: Manager Cofer mentioned the the following meetings held by the Board Members: (1) Review Budget; Programs. (2) Agenda Workshop and (3) District MANAGER'S REPORT: As reported by J.R. Cofer: EPA ENVIRONMENTAL IMPACT STATEMENT A Technical Advisory Meeting was held on July 28th to review the status of the preparation of the EIS. Although the 22-month overall schedule has not been changed, there has been some slippage in the schedule for completion of many of the investigation tasks. The First series of four (4) public workshops has been rescheduled from October to November of this year. Completion of the review draft EIS has been rescheduled from December 1978 to February 1979. The final draft EIS is not scheduled for September 1979 and the Final EIS Report is scheduled for completion in February 1980. The EIS Consultants reported that the Facilities Plan prepared by Culp/Wesner/Culp is very thorough and the evaluation of alternatives comprehensive. The EIS Consultant will expand on the alternative os the South Tahoe Public Utility District disposal of secondary effluent in the Carson Valley. We will be meeting with EPA and the State on August 15th to discuss the proposed "Head-Start" program for the Utility District proceeding with design of non-capacity plant reliability features which were recommended by Culp/Wesner/Culp. Manager Cofer stated that SB 2465 is to be heard before the Agriculture and Water Conservation Committee on 8/8/78 at 8:00 A.M in Sacramento. · ATTORNEY'S REPORT: None. SHOP STEWARD'S REPORT: None. COMMENTS FROM AUDIENCE: None. REPORT BY PROGRAM MANAGERS: - (1) Water Supply, Bill Dunckhorst recooperating from surgery - no report this evening, however, Manager Cofer stated that there has been some problems at the Cold Creek Filter Plant with the filters, however, we hope to have everything back on line Monday, and the problems taken care of. MANAGER OF OPERATIONS: as presented by John Bonnet: We are now feeding peroxide to the head works of the plant for odor control and the elimination of sulfides. Sulfides are a food or energy source for certain types of filimentous organisms. We have also stated using polymer in the secondary system to aid the floculation and sedimentation in the secondary clarifiers to keep them from bulking. This is not a cure for our filimentous problems but will allow us to live with it until we do have it under control. We have met our discharge requirements for pH and COD. The COD average for July was 17.3 mg/1 and the average pH was 7.2. We did not meet standards at Indian Creek. The pH was 8.4 and our requirement is 8.3. The dissolved oxygen from our sampling point is far below our requirement of a minimum of 5.0 mg/1 our reading has been down to 1.7 mg/1.However we ran two dissolved oxygen profiles and found the results to be good Regular Meeting -3- 8/3/78 with the exception of the one point that we take our samples. The results of those profiles are included in my report for your information. We have started transfering virgin carbon into column #5. The bottom screens have been replaced and as soon as the rest of the screens arrive we will replace the top ones and get this column on the line. We have 35,000 pounds of virgin carbon ordered and should be in this week. We have two loads of reactivated carbon coming, one load Monday and the other load Tuesday. This should put us in pretty good shape for a while. We had to divert to the emergency holding pond for a few days. We lost one of our final effluent pumps. The pumps at Luther Pass were overheating and maintenance installed a pressure guage in the export line. The compressor for the CO2 burner should be air freighted from back east Friday. The new air lines at Indian Creek are being installed now. Line maintenance had a few stoppages with one resulting in some property damage. The insurance agent, Jim Lear was notified. This occurred at 1077 Pine Grove, Mr. Dunn. The sewage backed up into his house. I do not know the extent of the damage to his property. The line maintenance crew has also performed the normal work schedule of cleaning trouble spots, patching manholes that are low, as well as working within the plant. Mr. Bonnet also mentioned there was a fire here today (chemical fire) and the Fire Department was notified, and arrived, no damage and no one was hurt, he stated. MANAGER OF MAINTENANCE: Gene Eppler is on Vacation---Mr. Connie Ross, Assistant Manager of Maintenance reported that everything is going well, and what difficulties they are having are being taken care of by the Maintenance Crew. Director Fieldcamp commended Connie Ross and the Maintenance Crew for the excellent job they are doing for this District. Also, Mr. Ross stated a Maintenance Mechanic has been ired to fill one vacancy and another will soon be interviewed for the Maintenance Department. FINANCE OFFICERS REPORT: D.W. Callahan stated he had no written report but did present a report of sewer units connected as of 7/31/78, as follows: Sewer Units Connected as of July 31, 1978 66,308 Premits Issued to connect 1,335 Reserves: 1977 Allocation - See Note 16 1978 Allocation - See Note 47 U.S.F.S., State and Fallen Leaf 4,000 Total Sewer Units Committed and held in reserve Capacity of 6,500,000 gallons equals (6,500,000 ~ 90) 71,706 72,222 Balance of sewer units 516 Connections available at 6.5 MGD capacity 516 3 172 Note: A recent report prepared by City's Plans and Permits indicate that they have 115 sewer units available. Regular Meeting -4- 8/3/78 (1) Revised Contract Airport Well .... Approve Revised Contract - Licensed Agreement. This was explained in detaill.by Attorney Weidman to the Board Members. Director Fieldcamp moved, seconded by Director unanimously carried the Licensed Agreement for the Airport Well be approved. (2) Airport Well - CTRPA Permit Conditions - Request acceptance of Conditions. Manager Cofer read the letter in full written to CTRPA to present to the meeting tomorrow morning (8/4/78) - Director Olson moved, seconded by Director Fieldcamp, unanimously carried, that the letter/report be presented by Manager Cofer at Friday morning meeting (8/4/78) with the suggested changes made by the Board Members. (3) Contract for Carbon Furnace Scrubber and Exhaust Fan. Robert Baer stated that 2 bids were received and there was quite a difference in the bids - one for $15,000 and one for $30,000, and requested this matter be deferred to the next regular meeting. Board agreed to defer action. (4) ordinance re Issurance of Sewer Permits Should County of E1 Dorado and City of South Lake Tahoe Issue Building Permits Subject to Sewer Permit. This draft Ordinance was discussed in detail by the Board Members and Staff, and it was agreed that same will be redrafted, with the agreed changes by the Board Members and brought back before the Board for consideration. President Kashuba stated we have a visitor in the audience this evening and he is on one of the many lists for a sewer permit and would like to discuss his problem with the Board of Directors. The visitor stated that he was going to build last year, had their plans drawn and the contractor had these plans, which were used to build another home by one of the contractor's clients; he did not have a sewer permit to build at that time - but when he went to request the plans, no one had them. The gentleman stated that the contractor had taken his plans, used to build another home for another client. He stated that he is, however, on the list where no monies were collected. Manager Cofer mentioned to the gentleman that the utility District does not have a list for priorities - it is just a list; the purpose of the ordinance being discussed by the Board this evening is that if the City and the County start issuing building permits, they will have to decide whether or not they will have to use that list or not, and this Ordinance is for only if the City and County start issuing building permits, subject to sewer permits. The gentleman stated that to be on the list is like a promise that he will be called for his permit from that list; furthermore, he stated that if he cannot build, why should he have to pay for the sewer assessment. President Kashuba stated that many people are feeling this way too. Director Fieldcamp stated, too, that there are 11,000 plus lots that feel the same way - if they cannot get a permit to build,why pay for their assessment -- there are many problems for the property owners due to the many agencies that have caused this moratorium. President Kashuba also mentioned that if this gentle- man would like to leave his name and address, any information regarding connections, building, etc., that we will have, will be sent to him. (5) Street Lights - Rancho Bijou Subdivision. Assistant Manager Callahan stated that a request from Mr. Lidueno Pereira was received requesting additional street lighting at 3530 Cloverdale Avenue. Mr. Callahan stated this would be a cost of approximately $10.00 a month for the District. After much discussion, Director Fieldcamp moved, seconded by Director Olson, unanimously carried, that the recommendation of Manager Cofer that this request be denied, be approved. Regular Meeting -5- 8/3/78 (6) Hot Tubes; Assistant Manager Callahan stated over the past months many inquires have been received regarding charge and/or sewer units for installation of hot tubs. The Staff requested policy be established that no sewer units be assigned for installation of hot tubs; the hot tubs are normally not drained and the water is recycled with a cartridge filter. Director Fieldcamp moved that we do not allow any hot tubes hooked-up to the sewer in any manner or fashion - no second - motion died. Director Jones moved, seconded by Director Olson, that we do not charge a sewer unit fee for hot tubs as long as they have an acceptable or cartridge filter on a recirculating system. Roll call vote, as follows: AYES: Directors Olson and Jones NOES: Directors Cocking, Fieldcamp and Kashuba Not Carried. No action will be taken regarding Hot Tubs until some information is received from the Health Department. .0,/5'/ WILL SERVE LETTERS: (Water - for 2143 Ruth 3" line and for 2109 Eloise for a 1" line - Director Olson moved, seconded by Director Cocking. Roll call vote as follows: AYES: Directors Olson, Cocking and Kashuba ABSTAINED: Directors Fieldcamp and Jones Carried-approved. PAYMENT OF CLAIMS: Director Olson moved, seconded by Director Jones, unanimously carried, claims as recommended by Assistant Manager Callahan, in the amount of $301,164.15 be approved for payment. MEMO FOR FUTURE MEETINGS: CTRPA at 9 A.M. on 8/4/78. SB 2465 Hearing in Sacramento at 8 A.M. on 8/8/78 (Water Reuse Bill). Air Quality Conference on 8/11/78 at 9 A.M. Fallen Leaf Social Hour on Saturday 8/5/78 at 4:30 P.M. at Fallen Leaf Lake. Agenda Meeting at 3 P.M. on 8/14/78. EPA Meeting 8/15/78. Regular Board Meeting on 8/16/78 ........ ADJOURNMENT: 10:30 P.M. Lorrene L.-Kashuba, President South Tahoe Public Utility District ATTEST: ~A~y D/~JAmbrose, Clerk of the Board South~ahoe Public Utility District REGULAR MEETING OF THE BOARD OF DIRECTORS OF THE SOUTH TAHOE PUBLIC UTILITY DISTRICT August 17, 1978 8:00 P.M. The Board of Directors of the South Tahoe Public Utility District met in regular session on 8/17/78 at 8:00 P.M., District Office. ROLL CALL: Present were Chairman F.J. Cocking, Directors W.N. Olson, R.E.Fieldcamp and J.R.Jones, D. Huber, J. Bonnet, A. Kruse, Mr. and Mrs. D. Reed, R. Hampson and M. McNamara, and Clerk of Board for South Tahoe Public Utility District. ABSENT: Manager J.R.Cofer, Assistant Manager D.W. Callahan, President L.L. Kashuba and Attorney J.C. Weidman. CORRECTIONS OR ADDITIONS TO AGENDA: None. MINUTES OF 8/3/78 - Director Olson moved, seconded by Director Fieldcamp, unanimously carried, minutes be approved as submitted. REPORT BY BOARD MEMBERS: None. COMMITTEE REPORTS: None. REPORT ON WORKSHOP SESSIONS: The following workshop sessions and/or meeting were held: 8/8/78 and 8/10/78: Senate Committee on Agriculture and Water Resources (AB2465) Pilot Reclamation Projects, Lake Tahoe Basin. 8114/78 8/15/78 Agenda Items Meeting with EPA re: Start Program" "Head 8/17/78 District Programs MANAGER'S REPORT: As reported by Bob Baer for Manager J.R.Cofer: AB 2465 The existing state law prohibits the use of reclaimed wastewater within the Tahoe Basin. AB 2465 would permit the reclamation of wastewater in a pilot scale project to demonstrate the technolog- ical and environmental feasibility of using such water for beneficial purposes within the Tahoe Basin. The Bill which has been carried by Assemblyman Norman Waters has been approved by the Assembly on June 15th and passed to the Senate. The Senate Committee on Agricultural and Water passed out the Bill and the Bill is to be considered by the Senate Finance Committee on August 17th. PROPOSED SEWER PERMITS ORDINANCE Attached is a revision to the proposed ordinance for issuance of sewer permits should the City of South Lake Tahoe and the County of E1 Dorado issue building permits subject to the applicant obtaining a sewer permit. The draft revisions were prepared by staff and have not been reviewed by our Attorneys. The changes made include (1) deletion of the requirement in Section 5 for the applicant to receive all necessary permits prior to the District accepting an application for sewer permit, (2) Section 6 was modified to limit the number of applications Regular Meeting -2- 8/17/78 drawn from the total applications accepted to only as many applications needed to utilize the available sewer capacity. Applications not drawn would remain on file, unless with- drawn by the applicant, until additional sewer capacity was available. If the moritorium was still in effect at the time additional sewer capacity was available there would then be an additional period for acceptance of applications and a new drawing. HEADSTART PROGRAM, FACILITIES PLANNING Directors Kashuba and Jones and the District's Consultants met with representatives of the Environmental Protection Agency and the State to discuss a program to allow the District to proceed with design of plant improvements which would not increase the plant capacity and are not dependent upon the final selection of treatment and disposal alternative. The State and EPA both expressed interest in the District moving ahead with the plant reliability improvements. EPA Staff in- dicated that a decision will be reached in about one week on improvements that the District would be authorized to proceed with design. CONNECTION CHARGES In response to the request by Director Jones, attached for the Directors review is a preliminary staff report on connection charges. The District's Financial Consultant has recommended that the implementation of a Revenue Program for the plant improve- ments include a connection charge feature. Connection charges would be a possible source of revenue for the recovery of a reserve fund which was depleted by the interim plant improve- ments. The connection charge could also assist in the financing of the local share of the headstart program. The staff request that the Board set a time for a workshop to discuss the alternative financing methods. ATTOPdqEY ' S REPORT: None. SHOP STEWARD'S REPORT: None. COMMENTS FROM THE AUDIENCE: (1) Mr. Douglas Reed - Property Owner in the Spring Creek Tract ....and stated that he and his wife became very concerned with the annual sewer service fee useage bill for this year .... He stated he did receive an answer to his letter to the District regarding the charges from Manager J.R. Cofer; he also stated as a permittee with the USFS, he is not permitted to use this home as a year around residence; he stated there are a great number of restrictions imposed on him as to the use of the property and his summer home; he cannot sublet the house/property either, and this is something others within the District can do - they have no such restrictions. He stated the use of his summer cabin is between 30 and 40 days per year only. He felt there should be some relief on the sewer service charges for residences in this area that utilize their property as little as he does. Director Fieldcamp stated if we were to give relief on the charges as Mr. Reed requested - we would have everyone coming to us. Director Jones stated that if the USFS limits the use of the properties in the Spring Creek Tract, then perhaps we can look into this request, such as a limit of 6 months restriction, if, in the event, the USFS were to restrict the use of the property for a certain number of months. Director Jones stated to Mr. Reed if he could come up with some idea of how we might start on something in the way of reducing the Regular Meeting -3- 8/17/78 charges, in the way of an ordinance, etc., then we would have our General Manager take another look at this charge for that specific area. Chairman Cocking thanked Mr. Reed for appearing before the Board this evening and mentioned this request would be taken under submission. DAVE HUBER, employee of the Water Department, inquired as to the possibility of receiving the cost of living increase, and that it is his understanding the 6.5% cost of living increase would be put into a fund for the employees to draw the interest on this. Chairman Cocking stated he cannot enlighten Mr. Huber on this subject this evening. Mr. Bob Baer stated that Manager Cofer plans to have a meeting with all employees regarding these comments Mr. Huber inquired about .... Mr. Huber also mentioned that the Board directed the Finance Committee to set up the procedure for receiving merit increases and wanted to know if that has been done.Director Olson stated the Finance Committee did recommend this and it will be done. Director Olson also suggested that Mr. Huber brinq these questions up when the Manager is present at the meeting as ~e is the one working on this matter. ROY HAMPSON stated he had nothing in particular to bring before the Board but if there are any questions, he would be happy to answer. Director Olson stated that Manager Cofer made a request regarding COD standards and asked if that is under some immediate consider- ation. Mr. Hampson stated they are willing to consider this request and will not be unreasonable; they are going to do something that is in the best interest of the public and that of water quality. MANAGERS REPORT: WATER SUPPLY SYSTEM - Bill Dunckhorst Because of the many consumer complaints of filter media still plugging faucets and home utilities the water department shut down a portion of the filter plant approximately two weeks ago to see if we had another failure. A failure did show and this was repaired and the plant is back in full operation again. During the time the plant was partia-ly down, no water shortage was experienced. I believe this was due to two factors. We had several days of rainfall and also having the entire system interconnected. To eliminate any further filter problmes early this fall the two remaining filter sections are going to be checked and reinforced and new filter media installed. The fencing of the Upper ~eservoir has been completed and it looks real nice. Regular Meeting -4- 8/17/78 WATER PRODUCTION FOR JULY 1978 July (M.G.) Well Production Cold Creek Diversion Totals 1977 1978 % Change 99.6 110.9 + 11.3 56.1 55.7 - .7 155.7 166.6 + 7.0 Calendar Year to Date Well Production Cold Creek Diversion Totals 1977 1978 % Change 393.0 473.7 + 20.5 265.1 296.3 + 11.8 658.1 770.0 + 17.0 MANAGER OF OPERATIONS - John Bonnet We have been trying a new approach for controlling the filimentous for the past two weeks. That is to chlorinate the return activated sludge with 25 mg/1 for 8 hours on day shift, then reducing the dose to 12 mg/1 on swing and graveyard shifts. This has worked quite well. The filiments are much shorter and our SVI has dropped from 800 to below 300 in the last few days. We have two loads of reactived carbon coming in this week and the screens for column ~5 are being installed; with any luck at all, we should have it in operation by Monday. We have been operating #4 aeration basin with only two mechanical aerators all this week. We should have the third one back in service tomorrow. I have ordered a standby motor for these aerators. The motor cost $1,350.00, with a 12-week delivery. Our COD for the month is high with an average of 23.0 mg/1. With #5 column on the line and with virgin carbon we should be able to bring it down to meet our requirements. The average flow is 5.0 this month bringing water back from the holding pond on top of the high flows, I feel that we are doing quite well. ITEMS FOR BOARD ACTION: (1) Airport Well - CTRPA Permit Conditions -- Direct Staff on Acceptance of Conditions. Director Olson moved, seconded by Director Jones, unanimously carried = Staff accept conditions. (2) Plans and Specifications - Airport Well...Approve Plans and Specifications, Authorize Advertisement for Bid (Bid opening 9/20/78). Director Olson moved, seconded by Director Jones, unanimously carried. (3) Contract for Carbon Furnace Scrubber and Exhaust Fan~ Award Contract - California Clean Air for $12,843.00. Director Olson moved, seconded by Director Fieldcamp, unanimously carried. (4) High Meadow Trail Storage Tank Site. Authorize execution- pay fees, and Clerk to accept deed. Director Olson moved, seconded by Director Fieldcamp, unanimously carried. (5) Contract for Modifications - A1 Tahoe Well. Defer until further Discussion can be held with E.E.Leudorf Company of Woodland, California. (6) Request for Meeting with Special Counsel re Export Pipeline Law Suit. Postpone. Regular Meeting -5- 8/17/78 WILL SERVE LETTERS: None. PAYMENT OF CLAIMS: Director Olson moved, seconded by Director Fieldcamp, unanimously carried, claims in the amount of $290,230.58 be approved for payment. ADJOURNMENT: Office. 10:30 P.M. to 8/31/78 at 3:00 P.M., District Fran Cocking, Vice Chairman South Tahoe Public_LLt/ility District ATTEST: 9~Y_~/ ~nb~o~,~ Clerk of the Board S~ut~Tahoe Public Utility District ADJOURNED BOARD MEETING of the BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT 8/31/78-3:00 P.M. The Board of Directors of the South Tahoe Public Utility District met in an adjourned session 8/31/78 at 3:00 P.M District Conference Room. ' ROLL CALL: Present were President L.L. Kashuba, W.N. Olson, Director;Directors R.A.Fieldcamp and J.R.Jones, Manager J.R. Cofer, Attorney J.C.Weidman; Frank Eickhoff - Tahoe Keys Water Company, Charles Salgado - Tahoe Paradise Water Company, Stan Martin - Angora Water Company, and Mike McNamara - Tahoe Tribune Reporter. CORRECTIONS OR ADDITIONS TO AGENDA: None. REPORT ON WATER USE AND WATER RIGHTS INVENTORY STUDY, MR. CHUCK WHITE, SENIOR WATER RESOURCES CONTROL ENGINEER, STATE WATER RESOURCES CONTROL BOARD. Mr. White stated that the SWRCB authorized this report last December 1977 to conduct a one year study on water use and water rights in the Tahoe Basin. Mr. White discussed the Bi-State Compact with the Board; 23,000 acre feet is for the California portion of the Lake Tahoe Basin and 11,000 acre feet for the Nevada portion. Mr. White presented charts showing the designation of the water sheds within the basin, both California and Nevada, showing the service areas within the south shore side of the Lake (California) and showing the past use of the water (4 past years); also stated that they studied the infiltration coming into the sewer plant; plus study was being made on future development within the South Shore Area. Adjourned Meeting -2- 8/31/78 Mr. White stated that this report is a technical report describing the present levels of water use around the Lake Tahoe Basin; the draft report will be out by the end of February 1979. Manager Cofer stated that the Water people in our area would be happy to have input into your study before it is a printed document and asked Mr. White if that could be possible. Mr. White stated he didn't see why this could not be possible; the statistics are going to be somewhat difficult, and his Board is pressuring to get this report out as soon as possible. He stated that he hopes to visit each water company, make a report, and return for the company approval or disapproval of his report on their company. MISCELLANEOUS: Manager Cofer stated he just received a telephone call that the Governor's office is reviewing AB 2465 and he does have a recommendation from the State Board and Department of Water Resources to sign the bill. Attorney Weidman stated also that the venue of CH2M Hill on the export pipeline was denied. ITEMS FOR BOARD ACTION: (1) Surge Discharge Facilities, Contract Change Order No. 1 - Approve Change Order - Authorize to Proceed - $782.00 and completion date of project changed to June 1, 1979. Director Olson moved, seconded by Director Fieldcamp, unanimously carried. (2) Modification to A1 Tahoe Well: A. Contract - Authorize Award of Contract B. Appoint Mr. Robert Baer as District's Engineer for Contract Work. Director Olson moved, seconded by Director Jones, unanimously carried, the contract be awarded to E. Leudorf Company in the amount of $13,731.20. Director Olson moved, seconded by Director Jones, unanimously carried, Robert Baer be appointed as District Engineer for the contract work. (3) State Loan for Water System Improvements: Authorize Execution of Loan Agreement. Director Olson moved, seconded by Director Fieldcamp, unanimously carried. (4) Set Tax Rate 1978-79 Fiscal Year (a) District General Obligation Debt: Approve Ordinance No. 280, An Ordinance of the South Tahoe Public Utility District, Stating the Purpose for Which Taxes are Necessary, Fixing the Amount of Money Necessary to be Raised by Taxation, Fixing the Rate of Taxes, 1978-79 Fiscal Year. (Increase of .0086) (2) Ordinance No. 281, An Ordinance for Improvement District No. U-1 of the South Tahoe Public Utility District Estimating the Minimum Amount of Money to be Raised by Taxation for Said District and Fixing the Rate of Taxes, 1978-79 Fiscal Year (increase .40¢) (3) RESOLUTION NO. 2121 - A Resolution Adding to and Making a Part of the Annual Assessment Levied Upon the Land Upon Which Sewer and Water Service and/or Street Lighting was Used and Charges Therefore Unpaid at the Time of Fixing the Rate of Taxes 1978-79 Fiscal Year ($928,251.00) Director Olson moved, seconded by Director Jones, unanimously carried, that ORDINANCE NO. 280, ORDINANCE NO. 281 and RESOLUTION NO. 2121 be approved. Adjourned Meeting -3- 8/31/78 PAYMENT OF CLAIMS: Assistant Manager Callahan requested approval for payment of $18,683.00 to Gerhart and Barry, less 10%, will be full payment for the contract. Director Olson moved, seconded by Director Fieldcamp, unanimously carried. ADJOURMENT: 4:30 P.M. L~rrene L. kash~ba, President South Tahoe Public Utility District ATTEST: Fy D~/kn~brose, Clerk~Uf the Board SoUth ~ahoe Public Utility District REGULAR BOARD MEETING BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT September 7,1978 The Board of Directors met in a regular session 9/7/78, 8:00 P.M., District Conference Room. ROLL CALL: Present were President L.L. Kashuba, Directors W.N. Olson, R.A.Fieldcamp, Attorney J.C. Weidman, Manager/District Engineer J.R.Cofer, Assistant Manager D.W.Callahan, J. Bonnet, B. Dunckhorst, G.Eppler, D. Huber, M.McNamara - Tribune, B. Baer, R. Hampson - LRWQB. ABSENT: Director F.J. Cocking, Director J.R.Jones. CORRECTIONS OR ADDITIONS TO AGENDA: (3) additions: Manager Cofer recommended three ACTION ITEMS (1) Fallen Leaf Lake Sewer Project (d) A Resolution Rescinding ~2108 (e) Approval of Plans and Specs. (F.L.L.) (7) Clarification of District Action re Employees Cost-of-Living Increase. MINUTES: Director Fieldcamp moved, seconded by Director Olson, unanimously carried, that the minutes of 8/17/78 and 8/31/78 be approved as submitted. REPORT BY BOARD MEMBERS: None. Regular Meeting -2- 9/7/78 CO~MITTEE REPORTS: (4) Finance/Insurance - Director Olson stated that thiS committee met with Mr. John Gionatti of Harrah's Club regarding~ renegotiation of the water contract - and Mr. Gionatti will be back with some information within 2 weeks for this Board. Also met on 9/1/78 with Jim Norton, District's Insurance Agent, and Mr. Callahan will report on this tonight. No other committee reports: REPORT ON WORKSHOP SESSIONS AND MEETING, BY MANAGER J.R. Cofer: (1) 8/23 - 8/25 California Association of Sanitation Districts (2) 8/29 Meeting with Attorney re: Pipeline Suit. Export (3) 8/30 (4) 8/31 (5) 9/6 Water Rights Symposium Adjourned Board Meeting Employee Session - at plant - Kashuba and Jones were also present. (6) 9/7 District's Programs MANAGER'S REPORT: Ail Items on Agenda. ATTORNEY'S REPORT: None SHOP STEWARD'S REPORT: None present. COMMENTS FROM AUDIENCE: None. WATER SUPPLY - Bill Dunckhorst, Water Manager The Labor Day weekend passed without problems for the water depart- ment. It was quite unusual on this holiday not to have our standby man go out on numerous calls for the public. For the three days there were only two calls and these calls were to inform us of two leaks which have been repaired. In past years, on this holiday, there have been numerous calls from the public to come out to shut off our street valve as their house was being closed for the winter. This type of call is gradually being eliminated by having a $20.00 service charge and our insistence of having these people install a valve of their own. August (M.G.) Well Production Cold Creek Diversion Totals WATER PRODUCTION FOR AUGUST 1978 1977 1978 117.4 127.1 54.1 44.3 171.5 171.4 Percent Change + 8.3 - 18.1 -- .1 Calendar Year to Date Well Production Cold Creek Diversion Totals 1977 1978 510.3 600.9 319.0 340.6 829.3 941.5 ~ercent nange + 17.8 + 6.8 + 13.5 Regular Meeting -3- 9/7/78 MANAGER OF OPERATION: John Bonnet stated he did not have a written report this evening. He did report to the Board that over the Labor Day holiday all went well, with the exception of last Tuesday on the graveyard shift, where everything seemed to give a few problems. - MANAGER - MAINTENANCE, Gene A. Eppler stated he had no written report to present to the Board this evening. He mentioned there were three (3) ruptures in the pipeline, again due to massive corrosion/ because of external corrosion and pitting - 58' of the pipe was replaced; estimated repairs for these 3 leaks = $30,500.00, approximately 5,800.00 for labor, $1,000.00 for rental of equipment, pipe was 58.00 a foot = $3,364.00, couplings at $235.00 each and 5 were required = $1,135.00, plus 50 tons of rock = $262.00, paving was $850.00, and reprocessing of the effluent was $18,000.00. Then we had a breakdown of the sludge conveyor system, and Sacramento Industrial Company worked all night to repair this system. Mr. Eppler stated the meeting held with Manager Cofer and the employees on 9/6/78 was an excellent meeting and feels the understanding between the maintenance and operation employees and vice-versa is excellent. President Kashuba stated she sat in one session with the employees and management and her feelings are the same as Mr. Eppler's. Manager Cofer stated the most gratifying was to hear operation personnel offer their assistance to maintenance division whenever needed. FINANCE OFFICER'S REPORT - Mr. David W. Callahan Attached is Summary Report of Revenues, Expenditures and Reserves for Fiscal Year Ended June 30, 1977 and 1978. I have been informed by the County Auditor that the District will receive approximately $1,090,000.00 of property tax and state funds this year for the operation of the sewer department (this amount does not include general obligation debt funds). As of now the District must raise approximately $800,000.00 of additional revenue to meet the expenditure this year and leave a reserve as budgeted. This amounts to a minimum sewer service increase of $36.00 per dwelling unit. We have received only two applications for the accountants position, therefore we have readvertised and extended the date of application to September 15, 1978. Also, Mr. Callahan stated that we have received a quote from an Insurance Broker for providing us with our liability and fire insurance, and we will go over this in detrail after we receive the quote from our present insurance carrier. Regular Meeting -4- 9/7/78 S~4MARYCO~ARATIVE STATEMENT OF REVENUES, EXPL~D~--TURES AND RESERVES Total Revenues Expenditures Water Department Sewer Department 1977 1978 1977 1978 1,038,735 $ 1,110,511 $ 3,741,026 $ 4,820,558 Operating Expenditures Long Term Debt Service Property, Plant & Equip. Other Total Expenditures - Note A Net Revenues (Expenditures) Reserves - July 1 - Note B Reserves, June 30 for Construction & Operation 355,318 $ 494,863 $ 2,668,214 $ 3,587,357 441,301 212,950 604,416 632,236 177,908 112,853 277,039 1,028,092 541 23,191 229,980 13,774 $ 975,068 $ 843,857 $ 63,667 $ 266,564 14,268 77,935 $ 3,779,649 $ 5,261,459 $( 38,623) $(440,901) 582,239 543,616 $ 77,935 $ 344,589 $ 543,616 $ 102,715 Note A - Total expenditures does not include depreciation or amortization of intangible plant. Note B - Sewer Department reserves have been restated (increased) by $258,618 over previous reports for the years beginning July 1. ITEMS FOR BOARD ACTION: Manager Cofer stated a family emergency has just been told to him and he requested the Board to take matters he must be present for so that he may leave early. Board agreed to this request. ~ (1) Fallen Leaf Lake Sewer Project: RES.NO. 2122 (a) EPA Grant Offer of $556,500. Authorize Acceptance of Grant and Execution of Contract. RES. NO. 2123 (b) State Grant Offer $92,750 - Authorize Acceptance of Grant and Execution of Contract. Director Olson moved, seconded by Director Fieldcamp, unanimously carried, (a) and (b) above, as recommended by Manager Cofer be approved, and (a) RES.NO. 2122, and (b) RES.NO. 2123 be approved for same. (c) Modification of Phase II Contracts - Approve Contract Modification in the amount of $10,000 for the Engineer (SCO) and for W.F. Pillsbury in the amount of $10,000. Director Olson moved, seconded by Director Fieldcamp, unanimously carried - modification of contract PHASE II be approved as recommended by Manager Cofer. ' (2) Phase III Contracts - Postpone as recommended by Manager Cofer. Attorney Hill called today and requested the Board to take action and consider adoption of a resolutiOn rescinding RESOLUTION NO. 2108, and call for sealed proposals, fixing liquidated damages for failure to complete the work on time. RESOLTUION NO. 2124, Rescinding Resolution No. 2108 (this resolution will be the same, except for the dates of scheduling being changed). Director Olson moved, seconded by Director Fieldcamp, unanimously carried, RESOLUTION NO. 2124 be adopted. Regular Meeting -5- 9/7/78 Manager cofer stated that on July 20, 1978, the Board authorized a Great Emergency for the Purchase of S02 Dechlorination System in the amount of $30,000. However, since then we have learned other equipment necessary must be purchased for this sytem, and now the cost totals $53,000, and this does not include the District labor crew. Manager cofer recommended the Board take action on finding this to be of great emergency, and authorize the purchase of $53,000 for the SO2 Dechlorination System. Director Fieldcamp moved, seconded by Director Olson. Attorney weidman stated that there is not a majority present for this meeting and therefore action cannot be taken at this time. ORDINANCE to Authorize Sewer Connection Transfers Between Lots in the Same Ownership - Property Owner Flexibility in the utilization of Property - Manager Cofer recommended no action be taken at this time. COST OF LIVING RAISE FOR EMPLOYEES: - Manager cofer stated the Board did vote to set aside the cost-of-living increase for all employees and when the proper authorities have ruled to pay - we would then pay, however, the question from the employees is if we will pay them interest on the money and Manager cofer recommended the average interest be paid at the time the courts find we will be allowed to give the cost of living increase. Director Olson moved, seconded by Director Fieldcamp, unanimously carried. JOHNSON BOULEVARD iNTERCEPTOR SEWER -- RESOLUTION NO. 2125, Accepting Completion of work and Authorizing Recording of Notice of Completion. Director Olson moved, seconded by Director Fieldcamp, unanimously carried. REQUEST BY ASSOCIATION OF CALIFORNIA WATER AGENCIES FOR PARTICIPATION IN FUNDING OF LOCAL GOVERNMENT REFORM PROJECT BUDGET ($333.00) ....... President Kashuba stated this was discussed at great length at at the CASA conference, and the commission on Government reform appointed by Governor Brown will be having some very important hearings; this commission was established to assist in what local districts were doing; there is much talk about consolidating special districts too. Attorney weidman stated the danger would be of the special districts being under the control of the County. Director Olson moved, seconded by Director Fieldcamp, unanimously carried, dues in the amount of $333.00 be paid. LETTER FROM LAHONTAN RE EXEMPTION FROM CONNECTION BAN, HEAVENLY VALLEY TOP OF THE TRAM RESTAURANT, and President Kashuba stated our Manager requested a letter to Lahontan be sent rejection request and notify that that the facility is outside of utility District Boundaries. President Kashuba asked Mr. R. Hampson if there is a reason that the United States Forest Service could not include this in their annexation. Mr. Hampson stated he did not know, however, it would be worth exploring this, and see if the USFS could give this project some of their capacity. Director Olson stated that he is for assisting, if at all possible, Heavenly Valley, however, the property/dwelling is on USFS land and feels that the USFS should give Heavenly Valley the capacity they have in reserve. Mr. t{ampson stated that Lahontan would perfer Heavenly Valley eventually become a part of this District. Director Olson recommended that we, in answer to this letter, in the thought that they approach through the USFS end, since the entity that is being constructed in on USFS property, and that the USFS use some of their reserve capacity for servicing Heavenly Valley. Regular Meeting -6- 9/7/78 Mr. S. Hansen of Heavenly Valley stated they did want to be annexed at one time and the District would not annex them. Attorney Weidman stated that he feels the Board or some members of the Board, should meet with Mr. S.Hansen and Mr. B. Killebrew about this and get their thoughts before discussing with the U.S.F.S. Mr. S. Hansen stated if this property was within the District boundaries, they would then be able to apply for some State funding. Mr. Hansen stated this matter will be properly addressed, and Heavenly Valley will get their fair shake from all of us. WILL SERVE LETTERS: None. PAYMENT OF CLAIMS: Director Olson moved, seconded by Director Fieldcamp and unanimouly carried, claims as recommended by Assistant Manager Callahan, in the amount of $282,677.11 be approved for payment. ADJOURNMENT: 9:30 P.M. to September 11, 1978 at 3:00 P.M. District Offices. ne L. Kashu~ba~ Presideht South Tahoe Public Utility District ATTEST: Ma*~ D./~mb~ose, Clerk of the Board South T~hoepublic Utility District ADJOURNED MEETING OF THE BOARD OF THE DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT SEPTEMBER 11, 1978 The Board of Directors of the South Tahoe Public Utility District met in an adjourned session September 11, 1978 at 3:00 P.M., District Conference Room. ROLL CALL: Present were Directors Kashuba~ ~Olson, Cocking, and Fieldcamp; General Manager J.R.Cofer, Assistant Manager D.W. Callahan, Clerk of the Board, Engineer B.Baer. ABSENT: Director J.R.Jones and Attorney J.C.Weidman. One item of business that was not acted on at the 9/7/78 regular meeting of the Board has been postponed to this afternoon regarding the revision in estimated cost on the SO2 Dechlorination System. Manager Cofer stated that on July 20, 1978, the Board took action to declare a great emergency and at that time the cost was $30,000, however it has proven now to be almost two times that amoun%; now an additional $18,000.00 for additional items; $6,000 for evaporator and $7,000.00 for bulk storage tank. Manager Cofer recommended that the Board modify that declaration, and the cost will be approximately now $55,000.00, and authorize continuation of the installation of this system. Adjourned Meeting Director Fieldcamp moved, seconded by Director Olson, unanimously carried that we modify the amendment, of great emergency, and authorize installation of the facilities, as so recommended by Manager Cofer. Being no further business to come before the Board, the adjourned meeting was adjourned at 3:20 P.M. Lorrene ~: Kashuba, President South Tahoe ~Public Utility District ATTEST: Ma~f D.//Ar~brose, Clerk of the .~oa.r. South ~hoe Public Utility Disnrlcn. REGULAR MEETING OF THE BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT SEPTEMBER 21, 1978 The Board of Directors of the South Tahoe Public Utility District met in a regular session on 9/21/78 at 8:00 P.M., District Conference Room. ROLL CALL: Present were President L.L. Kashuba, Directors W.N.Olson, F.J.Cocking, R.A.Fieldcamp and J.R.Jones. Also present were Manager J.R.Cofer, Assistant Manager D.W.Callahan, Attorney J.C. Weidman, Terry Tr~-p - City Councilman, E.McCathey, J.Bonnet, G.Eppler, B.Baer, W. Dunckhorst, Clerk of the Board. CORRECTIONS OR ADDITIONS TO AGENDA; None. Director Olson moved, seconded by DirectOr Jones, unanimously carried, agenda be approved as presented. MINUTES: Director Cocking moved, seconded by Director Olson, unanimously carried, minutes of 9/11/78 regular meeting, and 9/11/78 adjourned meeting, be approved as submitted. REPORT BY BOARD MEMBERS: None COMMITTEE REPORTS: None RE~ORT ON WORKSHOP SESSIONS AND MEETING: (J. R. Cofer); 1. 9/11/78 Workshop District Programs 2. 9/14/78 3. 9/15/78 Lahontan Regional WQCB U.S.F.S. - Repairs to Export Pipeline 4. 9/19/78 5. 9/21/78 Workshop Agenda Items Workshop District Programs MANAGER'S REPORT: J.R. Cofer, Manager: "On September 14, 1978 I presented to the Lahontan Regional Water Quality Control Board a report on the status of compliance with Cease and Desist Order 6-76-58 (Export Pipeline Breaks) and 6-77-51 Regular Meeting -2- 9/21/78 (Violations in Effluent and Receiving Water Standards). On the export pipeline repair program, I advised the Lahontan Board of the potential delays in obtaining permits for construction of the Surge Pipeline due to the United States Forest Service Rare II studies. Regarding the treatment plant modifications and compliance with the discharge and effluent water quality standards, I advised the Lahontan Board of the District's financial problem as well as problems as well as problems related to accelerated corrosion of the wastewater treatment facilities. On behalf of the Utility District I asked that the Lahontan Board join with t.he District in resolving some of the serious financial and water quality problems. Specifically, I ask for Lahontan'~ help in four areas, as follows: ~ (1)Modification of the export pipeline agreement. We requested that the Lahontan Board suppgrt the District in its efforts to obtain modification of the pipeline loan contract to allow the District to utilize loan funds to pay for Special Counsel in pursuit of the law suit for recovery of damages for failure of the pipeline. ~ (2)Fish Management Plan for Indian Creek Reservoir: - We request that Lahontan, the State Department of Fish and Game, and the Utility District joiD together to develop a fish management plan for Indian Creek Reservoir that will recognize the interim problems of wastewater ~reatment. This management plan would be practiced until such time as the District's Facilities Plan is implemented. (3)Modification of NPDES Permit. We request that the Lahontan Board immediately schedule a hearing for the modification of the NPDES Permit and that the Lahontan Board consier granting relief from what we believe to be unrealistic wastewater requir- ments. We would request relief in the requirement: for COD level of 20 mg/1; for a final effluent pH range of 7.0 to 7.5; and for control of ammonia and pH levels in Indian Creek Reservoir. We believe that these standards can be relaxed, and through the implementation of a fish management program, the beneficiary uses of Indian Creek Reservoir can be protected. (4)Relief from Cease and Desist Order: We request that the Lahontan Board schedule a hearing on 10/12/78 for the consideration of relief from the Cease and Desist Order requirements. The Utility District plans to have its Engineering Consulting Panel meet on 10/9 and 10/78 for its final assessment of the wastewater treatment capacity. The Utility District will be prepared to present to Lahontan the Consultant Panels Assessment. Mr. Cofer stated that Lahontan took no action; they did indicate they would consider the request; Mr. Hampson stated that LRWQCB will hold a special hearing for us either in October or November - and it seems the best chance will be November. (The October hearing or meeting will be held in Victorville and the November one will be held at South Tahoe area). ATTORNEY'S REPORT: Attorney Weidman~ stated that he was pressed to answer a case involving the water system, regarding a $10,000 fee when Hoffman owned the water company, and his CPA's indicated that this amount was due and owing, and when we purchased the water company, we agreed to assume that obligation, however, it appears to Attorney Weidman that there might be a technical statute of limitations defense to this claim, and that statute may have run before he issued the first written acknowledgement that the $10~000 was due; he stated that he believes that there might be a defense; this goes back to the Pinewood water days, and Mr. Hoffman may have had an offset of around $9,400.00 through Pinewood Water against Sherman Bliss and Heavenly Valley Homes. This is a law suit that will probably be carried through, and Mr. Wiedman wanted to advise Regular Meeting -3- 9/21/78 the Board that they do have some liability contingent. We may have two defenses and it is in E1 Dorado County. Mr. Weidman stated this was talked about with Mr. Hoffman prior to purchasing the water company. Mr. D. Callahan stated he does not recall that this claim was specifically talked about. SHOP STEWARD'S REPORT: None present. COMMENTS FROM AUDIENCE .... Terry Trupp stated there are certain realities we are going to have to face - he stated he does not feel the District can continue to operate full blast without an ultimate breakdown. He stated that in European Countries, and here, there have been systems that can take care of portions of waste disposal, and the argument always raised when one talks about recirculatinq systems for toilet wastes, that there is no appropriate way to deal with gray water - and he believes that this plant is very capable of dealing with gray water. If flows of gray water can be increased, by compelling people, through incentive to construct systems, which do not put out black wastes. Each one who adds, will help reduce your loading factors; some of these systems do consume energy, others consume none. Mr. Trupp asked the Board to consider - if we can make a plan work here, and according to Dr. Weidner, County Health Officer, there are 5 systems, which he feels is completely safe of those 5, there are 2 which are functioning without problems, however, they do cost money, and the individual builder must absorb that cost. He stated that there are approximately 10,000 people who cannot build right now; would they be allowed to build if they would only discharge gray water, and Mr.Trupp stated he does not think so .... he stated that at this point and time, with no buildinq to take place in the foreseeable future, this should be looked into and not forgotten. Mr. Trupp stated, perhaps, what we could do - if a system is installed that would reduce the Utility District loading, stop the need of increase in the way of the facilities at the plant, let this existing facility accommodate these waters, and the people treat their own; could there be a split-bill to the people? - He stated presently all that we can now offer to the user is a connection today, and a larger bill tomorrow. These proposed sys[ems do not discharge anything, therefore, would not be in violation of the Porter-Cologne Act - they are fully self- contained. Mr.. Trupp stated we are now at a point and time where we not only look at new solutions, but to consider some things already provided by nature, such as the automatic destruction of waste material by virtue of its bacterial nature, in closed containers which cannot get out. He further stated he would hope that the Manager would be authorized to put this idea/ideas into the plans, consider what reduction in loading factors would do to the plant, and the District might well ask Washington for money to assist on the grounds that what you would be doing is revolution- ary and new. Director Jones stated he is familiar with many of the systems that Mr. Trupp was mentioning, however, he stated he knows of none that went for more than a year~ and that he also attended the meeting that Mr. Weidmer attended, and stated that Dr. Weidmer stated he would recommend against because those would not pass because of public health. Mr. Trupp stated Dr. Wiedmer was opposed to any system that used a holding tank because he was afraid of boot-legging and transport.. Manager Cofer stated we have always thought about putting the gray water on the lawns and the blackwaters in the sewer plant, which would not help us out at all, however, if we reverse that - and only handle the gray water, there are some advantages to the plant: perhaps the first thing we should do is to assess what the advantages to the plant might be. He also stated we have about 13,000 or 14,000 customers that will not convert over as that would be twenty-or thirty million dollars of their money to convert, but Regular Meeting -4- 9/21/78 we have a potential of another 10,000 customers that could put that in without near the problem. Manager Cofer recommended to the Board that they let him figure oDt what this could mean to the plant, as far as treatment costs and capacity and see if it would be an advantage to us, and how we could get people to install such a system if this would be an advantage to the plant. President Kashuba thanked Terry Trupp for taking the time to appear before the Board this evening with his ideas. PROGRAM ~ANAGERS REPORTS: WATER DEPARTMENT - W. Dunckhorst: Filter Section #3 has been cleaned out and inspected. We found this filter had also lost much of the side grouting. It has been repaired and reinforced with steel the same as the other two have been done. It is back on line. We now have only (1) one more sectioD to repair, and possibly, we can go into this one next week. I have contacted a local sheet metal shop regarding installation of a permanent roof hatch at the A1 Tahoe well. The well people who are putting in th~ A1 Tahoe Well improvements quoted a cost of $2,000.00 for removing a portion of this roof for the pump installation, and I will have a permanent hatch installed for $600.00. I am planning on proceeding with the heating of the Stateline reservoir. I have had a representative of Petrolane, Inc., at the reservoir. Mr. Baer has figured the square footage in relation to the B.T.U.'s and both of these gentlemen have said the four (4) planned heaters are sufficient to handle the job that will be required. Mr. Dunckhorst stated he has contacted Slakey Brothers and Echo Plumbing, and Petrolane, Inc., to obtain a price on the heaters which will be 300,000 BTU's. Slakey Dros. Petrolane,Inc. Echo ~lumbing $2,213.40 $2,072.,00 $2,400.00 Manager Cofer stated that this is an interim,~ recautionary measure; the roof has collapsed twice on that reservoir, it is structurally inadequate, and we are going to have to structuarally repair it, but we want to wait until the master plan comes out to try to get everything in priorities, and this is to help get us by this interim period until someday we can get the money to structurally modify that reservoir. This is a budgeted item. OPERATIONS - John Bonnet I am very pleased to report to the Board that the operators are cooperating 100% with the Maintenance Department in an effort to help out. They have replaced polymer pumps, helped replace a couple of .staters in the monyo type pumps and changed a large water valve on the carbon furnace, as well as some plumbing.. I think this is great and I certainly appreciate their effort The Number Four Aeration Basin has been out of service since the llth of this month. This basin was removed from service to allow maintenance to make the modifications to the Mechical Aerators and to add air headers. We hope to place it back in service by the 29th of this month. Chemical Clarifier #1 has been out of service since Monday. The torque on the rake arm went too high and shut it off. We have to pump it down to clear the problem., We are in violation of our requirements for suspended solids. The requirement for maximum suspended solids is 4.0 mg/1 and we have had a reading of 8.0 mg/1. The average COD is close, average of Regular Meetinq -5- 9/21/78 21.0 mg/1. Our lime Supplier could not supply lime to us for about a week and a half due to problems at their ~lant, which accounts for these violations. All things considered, we have done pretty well. ~ I feel ~INTENANCE _ Gene Eppler "The modification to #4 Aeratio · · the completion of thi~ - . · n Basmn ms well unde w modific~t~-- ~ pro3ect is ex~e~-~ - - ~ _ay; · ~u~ consisted of rai ' .~ ~=~ next wee~. These ~~ ~ew and more air li~g~ ~ ~%1~t of paddles, otors. ~ng the three The installation of a new grit removal system on our lime line is now 50% complete with most of the remainin~ work to be done in the Furnace Building. The construction of a third dewatering bin in the Tertiary is also under way, although the completion of this project is still unkown. The SO2 system has also been started; this project will be completed in the Spring of 1979. The surge discharge facilities at Luther Pass Pump Station has also started, with completion expected in the spring of 1979. And - as you can see, the Board room modifications have commenced.. We hope to complete this room before the next Board meeting.,, Manager Cofer mentioned that there will be a meeting with A1 ine County tomorrow; Fish and Game are planning on trying to k~ the rough fish in Indian Creek Reservoir this year,'they wa~!lthe District to pull the reservoir down as low as we can, maintain it for one or two weeks, so they can kill the rough fish, and that will also give us an opportunity to work on that valve that leaks at the reservoir, put the r cleaning up of algae -- ~ ema~ining air line i- - - ~ ~roun~ the e a an~ do som the recreational facility-- _ dges. BLM will be sh,~ .... e · ~ on October 16th_ an~ ~ ~?~.~own would hope to move mn right after that date, pull the reservoir · ~ ~ UlStrlct down - assuming Alpine County will take the water, and start our work. Director Jones asked if the tools and tool boxes have been ordered;- Mr. Bonnet stated that they have.. Mr. Bonnet and Mr. Eppler stated they are overly pleased with the cooperation received from the men in both department in assisting one another. RECESS AT 9:35 P.M. - Meeting reconvened at 9:45 P.M. FINANCE OFFICERS REPORT: David W. Callahan, Assistant Manager, stated that he had no written report this evening, however, he did report that interviews will be held tomorrow for the position of accountant. Only 3 applicants have applied. Director Olson asked if the salary was interesting enough to these people to make them want to apply for the position. Mr. Callahan stated that he believes the salary is on the Iow side; County is currently advertising for an accountant for a salary range of $15,000 - $17,000; we pay our accountant approximately $14,000. Director Olson stated that if we don't pay the money, we won't get a good response, and we won't get anyone that is capable to take the position of an accountant. Manager Cofer stated we had 2 applicants last time, and decided not to hire either one, and if we cannot get anyone this time, then we would have to ~tu~n to' the Board ~d request an increase in the salary for an accountant. Regular Meeting -6- 9/21/78 Director Jones asked Mr. Callahan if he had any further information on the City program re issuance of sewer permits. Mr. Callahan stated he had no further information. ITEMS FOR BOARD ACTION: (1) Contract for Construction of Airport Well - Mr. Dunckhorst stated that two (2)bids were received: (a) Well Development Company in the amount of $45,859.00 (and Mr. Dunckhorst stated there was an addition error in the amount of $10.00, which should bring the total bid to $45,849.00), ~2) from Ludorf Company, in the amount of $88,600.00 Mr. Dunckhorst stated there is a marked difference in the bids, and because of that it was thought these should be checked. Mr. Dunckhorst stated he spoke with Joe Scalamini from the University at Davis, who did have some dealings with this firm of Well Development Company, and they were pleased with the work they did for U C Davis. Mr. Dunckhorst recommended the contract for construction of the Airport Well be given to Well Development Company in the amount of their bid, and that the contract be executed. Director Olson moved, seconded by Director Cocking, unanimously carried, that the bid be awarded to Well Development Company, in the amount of their bid, subject to the County receiving the letter from the F A A stating there is no objection to the project. Also, Manager Cofer requested authorization to notify the contractor to get his bonds in and to mobilize his equipment. Agreed by the Board. Manager Cofer recommended that the District's Engineer, Robert Baer, be appointed for Engineer for the Work. Director Olson moved, seconded by Director Jones, unanimously carried. (2) A RESOLUTION ORDERING CANCELLATION OF ASSESSMENT NO. 45 Transfer of Funds to the Bond Redemption Fund, Assessment District 1970-1 ..... In the amount of $427.33 .... Assistant Manager Callahan recommended adoption of RESOLUTION NO. 2126. Director Olson moved, seconded by Director Jones, unanimously carried, RES.NO. 2126 be approved, as so recommended by Assistant Manager Callahan. (3) Modification of LUTHER PASS PUMP STATION SURGE VALVES, Construction and Administration and Field Engineering Service Agreement, RESOURCES ENGINEERING MANAGEMENT. Manager Cofer stated a proposal was received from Resources Engineering Management and their original cost quoted was between $6,000 - $8,500.00. tIowever, he spoke with the firm today, and they agreed they would change their proposal to read not to exceed $5,000.00 for this project. There- fore, Manager Cofer recommended the agreement be ap roved, and the agreement be executed. Director Jones moved, seconded by Director Olson, unanimously carried, LUTHER PASS PUM~ STATION SURGE VALVES contract be approved and executed. (4) Improvement District U-1 Letter of E1 Dorado County Auditor regarding tax rate: Letter reads as follows: David Callahan, Assistant Manager South Tahoe Public Utility District P.O. Box AU South Lake Tahoe, Ca. 95705 Dear Mr. Callahan: Under Proposition 13, subsequent Senate Bills 154 and 2212, and the current interpretation of them we are only Regular Meeting -7- 9/21/78 able to levy separate ad valorem property tax rates for voter approved bonded indebtedness. Consequently we are not levying the $.40 rate per $100.00 assessed valuation requested September 1, 1978 for the South Tahoe Public Utility District Improvement District U-1. Instead the districts' taxes will be a share of the Countywide levy based upon the average of pro{~erty tax revenues over the past three years in relation to the total tax revenues. Thank you for your consideration of my position in this matter. Letter was signed by Amelia McAnnally, Auditor-Controller. Attorney Weidman stated that we have ridden the coat-tails of an action regarding involving certain employee organizations, re cost-of-living problem, and 5 of the cases did get in the Supreme Court, and we will not have to pay any legal fees, and we should have an answer as to what we can do about our employee contract; he stated he was hopeful that the same situation would apply on non-voted general obligation bonds, such as the U-1 bonds. If the District went after this, it could cost a fair amount of money, as his costs alone would be from $5,000-$15,000.00. No action taken re County letter this evening. (5) Export Pipeline Loan Cost Incurred to date = $160,000.00. Assistant Manager Callahan stated a request should be made for the first loan disbursement in the amount of $160,000.00 already expended for the export pipeline. Director Fieldcamp moved, seconded by Director Olson, unanimously carried. (6) Amended Assessments: Assistant Manager Callahan recommended the following resolutions and time of hearing for same (10/19/78 at 8:00 P.M.) be approved: #2127 (a) Resolution Directing Making of Amended Assessments 1964-1 #2128 (b) Resolution Directing Making of Amended Assessments 1967-1 #2129 (c) Resolution Directing Making of Amended Assessments 1967-2 #2130 (d) Resolution Directing Making of Amended Assessments 1970-1 Director Cocking moved, seconded by Director Olson, unanimously carried, that (a) through (d) RESOLUTION NOS. 2127 through 2130 be approved. FALLEN LEAF LAKE ASSESSMENT DISTRICT: (8) A Resolution Determining that the Issuance of District Bonds is not Subject to Prior Investigation. Report and Approval by the Office of the State Treasurer, District Securities Division. Director Olson moved, seconded by Director Fieldcamp, unanimously carried, that RESOLUTION NO. 2131, as recommended by Assistant Manager Callahan, re Fallen Leaf Lake Assessment District be approved. (8) LETTER FROM STATE WATER RESOURCES CONTROL BOARD REGARDING HEAD START PROGRAM APPROVAL. Manager Cofer stated we received a letter from Division of Water Quality, State Water Resources Control Board, State of California, in which they mentioned the meeting with EPA, and the SWRCB, and the Lahontan Regional Water Quality Control Board, regarding the Head Start Program, and the items that were approved: 1. Grit Chamber and Odor Control; (2) Screening and Flow Measurement; (3) Digester Modifications; (4) Chlorination System Modifications; (5) Electrical Distribution System, Standby Diesel Engine Generator, Diesel Engine Driven Pump; (6)Laboratory, Shop, Offices, Garage, and Storage Areas; (7) Surge Protection for the Effluent Pump Station and for the Luther Pass Pump Station. Regular Meeting -8- 9/21/78 Manager Cofer stated we request that an 8th pump be added at Luther Pass since if we lost any function of one of the three existing pumps we could not have the capacity to pump normal flows to this plant, and he spoke with the State today and EPA has approved adding this item, Roy Ha~son of LRWQCB has also recommended approval of this item, Roy Hampson of LRWQCB has also recommended approval of this; we are talking about a five-million dollar ~roject. This will not give us additional capacity, but it will solve some reliability problems at the plant. Manager Cofer recommended to the Board that he be authorized to notify EPA that the District intends to proceed with these items. Manager Cofer stated we would have to ask our consultant for proposals to complete the facilities plan, and an EIR addressing these 8 projects. EPA will then do a Negative Declaration saying that we can proceed with the projects without an EIS, and they will authorize starting design. This is 89-1/2% fundable and the local share would be approximately $600,000.00. The contract could be awarded in March of 1980. Director Olson moved, seconded by Director Jones, unanimously carried, that the Manager notify the State we intend to proceed and that they include Item #8 - Luther Pass Pump Station in their authorization. WILL SERVE LETTERS: Assistant Manager Callahan stated we have a request for a main line extension of 160 feet and installation of a 1-1/2" meter for the commercial facility. Mr. Callahan recommended approval of a Will Serve Letter. Director Jones stated that he would like to have this ~ostponed to the October 19, 1978 regular Board meeting until we get a better picture or idea of where we stand on the Water System, and Manager Cofer recommended we can hold this over for the October 19th meeting. Director Olson moved, seconded by Director Jones, unanimously carried, this Will Serve Request be postponed until 10/19/78 regular meeting of this Board. PAYMENT OF CLAIMS: Director Olson moved, seconded by Director Fieldcamp, unanimously carried, the claims in the amount of $287,976~.08, as recommended by Assistant Manager Callahan be approved for payment. ' Terry Trupp stated we are presently involed in the establishment of an Ad Hoc Committee foz the issuance of permits. This meeting of the Ad Hoc Committee will be held perhaps on the 26th or 28th of October, he stated. ADJOURNMENT: 11:20 P.M. orrene L': Kash~ba,- ~-r~-i-d~nt South Tahoe Public Utility District ATTEST: Mar~ D'[~A~nD~, ~le~-~ o~---~%rd South/~ahoe Public Utility District REGULAR MEETING OF THE BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT October 5, 1978 The Board of Directors of the South Tahoe Public Utility District met in a regular session on 10/5/78 at 8:00 P.M. District Conference Room. ' Present were: President L.L. Kashuba, Directors W.M. Olson, F.J.Cocking, R.A.Fi.eldcamp, W.R.Jones, Attorney J.C.Weidman, Manager/District Engineer J.R.Cofer, Assistant Manager D.W. Callahan, Clerk of Board, C.~ Ross,Larry Smith, Mike Heyer, George Calvert, Dave Huber, Ed Moore - Tribune. President Kashuba, Director Olson, Director Cocking and Manager J.R. Cofer attended the ACWA Conference at the Sahara Tahoe. President Kashuba reported that the meetings were very ' = ' . Informative Those things which were e~-hasized most and of greatest concern to the 1,000 delegates were: The Governor's Commission on Local Government Reform and the Governor's Commission on California Water Rights Law. The Commission on Local Government Reform was appointed right after the passage of Proposition 13. Governor Brown, on national television, pointed to a chart which showed 5,000 special districts. He stated "we have to eliminate those districts." He was referring to all districts. The Governor's Commission know as the Post Commission, chairmanned by A. Alan Post has to have a report by January 1, 1979 on how to simplify government by eliminating special districts. President Lorrene stated that she wanted it part of the record to note that this is what happened to Lake Tahoe abcut ten years ago. There were 51 special districts in the Tahoe Basin. With the thought in mind that creating a bi-state planning agency, government would be simplified and cost less, the TRPA was created by la%~'. As a result, rather than bi-state planning, we now have regional government. The records will show what happened after that. Local government still had to do the work, the taxpayers still had to pay the money, and in addition had to pay money so that a super government could approve or disapprove what needed to be done. That additional layer of government was increased by yet another, called the California Tahoe Regional Planning Agency. "I hope the word gets out, and people realize what can happen to them when government gets out of local elected control." "The Governor's Commission on California Water Rights Law. This Commission will complete their report in November and it will put into legislation at the next session. The report of the Commission states that there will be a local management agency for ground water. As the Board knows, the State Eoard is doing a ground water and surface water survey of water at Lake Tahoe. This is extremely important to us. The State is prepared to take over the management of ground water. COMMITTEE REPORTS - None. Workshop Sessions: Manager Cofer reported 2 workshop sessions held: (1) 9/22/78 District's Programs, and (2) Agenda Items. MANAGERS REPORT: Manager Cofer stated there is no written report this evening; he has been working on Councilman Trupps report. ATTORNEY'S REPORT: Attorney J.C.Weidman requested an executive session following the meeting regarding a claim filed against the Regular Meeting -2- 10/5/78 District. Also that on the export pipeline been filed. All other items on agenda. an amended complaint has SHOP STEWARD'S REPORT: None COMMENTS FROM AUDIENCE: None PROGRAM MANAGER'S REPORT: WATER UTILITY COMMITTEE REPORT October 5, 1978 South Tahoe Public Utility District Water Production for September 1978 _S_e. pt. (M.G.) 1977 1978 % Change_ Well Production 86.1 Cold Creek Diversion 43.0 Tetals 129.1 Calendar Year to Date 1977 76.4. - ll.3 40.0 - 7.0 116.4 - 9.8 1978 % Chang_e- Well Production 596.4 677.3 + 13.6 Cold Creek Diversion 362.0 380.6 + 5.1 Tetals 958,4 1,057.9 + 10.4 OPERATIONS REPCRT MIKE HEYER OCTOBER 5, 1978 During the past two weeks some changes at the plant have been made in order to make operation more efficient. The first of these changes was to take aeration basins #2 and #3 off line. With lower flows these two basins are not needed. The second and third changes were the start up of the lime grit removal system and the cleaning of the floc basin. In September the effluent of the plant did not meet requirements for suspended solids and the Indian Creek Reservoir pH. The sixty million gallon holding pond has been lowered to where it now holds three million gallons of water. MAINTENANCE DIVISION: Connie Ross, Assistant Manager of I'lain'tenance stated all systems are working well and no problems' FINANCIAL REPORT: As presented by D. W. Callahan: SEWER UNITS AND FLOWS as of September 30, 1978 Connected as of September 30, 1978 Permits issued to connect Sewer Units 66,747 870 Flow @ 90 per Sewer Unit 6,007,230 78,300 Regular Meeting -3- 10/5/78 Sewer Units Flow @ 90 per Sewer Unit Reserves: Bohannon Suit 1977 Allocation 1978 A1 iocati oq U.S.F.S., State and Fallen Leaf Total Sewer Units Committed and held in reserve 93 8,370 15 1,350 45 4,050 .4 ~000 360 ]000 71 ~770 6~459 ~300 D. W. Callahan stated that we have hired a new Accountant - Barrie Fisher - and stated he feels that Barrie will do an excellent job for the District. ITEMS FOR BOARD ACTION: (1} WAIER SYSTEM: (a) Specifications for Dump Truck - Budgeted Item. Director Cocking moved, seconded by Director Jones, unanimously carried, the Dump Truck be approved for requesting for bids. (Approximate cost to be $25,000.00). (b) AMENDMENT TO AIRPORT WELL, LICENSE AGREEMENT. RESOLUTION NO. 2132 A Resolution Authorizing Execution of Amendment to Agreement for Airport Well Site between the County of E1 Dorado and the South Tahoe PUD. Attorney Weidman recommended adoption of RESOLUTION NO. 2132. Director Olson moved, seconded by Director Cocking, unanimously carried, RESOLUTION NO. 2132 be approved. (1) Manager Cofer stated that we were having difficulty getting the Contractor to drill the airport well and to move onto the site; he was changing bonding companies, and the new bonding company was taking time in issuing bonds or deciding whether to cover him, and we are under an October 15th deadline; we directed the contractor to move on the site, without the bonds, and Manager Cofer recommended the Board waive the requirement of the bond on the project; we will pay a progress payment - and the contractor will not be paid unless the work has commenced. Director Olson moved, seconded by Director Jones, unanimously carried, that the Manager's actions be approved. (c) REQUEST FOR RENTAL OF BARN: Manager Cofer stated that a Mr. Ray Varela has requested to rent on a month to month basis on Cold Creek which we acquired with the water system acquisition. Following much discussion on this subject, the Board members stated that there is to be included in the month to month agreement a hold-harmless clause regarding the rental of the Barn in the amount of $40.00 per month. Director Olson moved, seconded by Director Fieldcamm, unanimously carried. (d) I R S REPORT RE ACQUISITION OF TAHOE SIERRA WATER COMPANY: Mr. George Calvert (Auditor) was present this evening to explain the IRS Report to the Board Members. Mr. Calvert stated that the Accountants claimed that there was goodwill of $276,000 and at the time of the dissolution of the company, the books showed approximately $780,000 in assets; and in the dissolution we reported to the IRS we were paying only $750,000 for the assets; the excess over the $750,000.00, and what was finally paid was called goodwill... The IRS disagreed with the setting up of goodwill monies. Mr. Calvert and two members of Alexander Grant Company met with the IRS in Sacramento, and left that meeting with an oral agreement that the assessment due IRS would be approximately $6,000 or $7,000.00. Mr. Calvert stated that the IRS does not have a good case, and he believes this case can be won in Court, except for the fact that there is an existence regarding the appraisal of the property, which shows that it is worth $900,000.00 and we claim we have paid $750,000.00 for this, and that is the only thing IRS has to go on. Regular Heeting -4- 10/5/78 Director Olson moved, seconded by Director Fieldcamp, unanimously carried, the District pay the sum of $6721.00, approve the execution of necessary forms and pay what is due to IRS. (2) WASTEWATER SYSTEM: (a) Repair of Export Pipeline. Request Authori- zation for Resources Engineering r.lanagement to Assist with Forest Service Permit and California Department of Transportation - Utility Encroachment Permit. Manager Cofer recommended authorization of the work up to $5,000.00. Director Olson moved, seconded by Director Jones, unanimously carried that the Manager's Recommendation be approved. ' (b) Request for Driveway Easement: - Mr. Robert Sims requests this driveway easement, which is located over one of our force mains areas, located on Lodi between Barbara and Fountain. Following a lengthy dis- cussion, Director Olson moved, seconded by Director Fieldcamp, unanimously carried that Mr. Sims request be granted, and that should the District at a future date not want to honor this request - then a year before the 5 year time is up for renegotiations, the District will give a warning that such will not longer be permitted; that the District will be held harmless at all times; should this property be sold, the new owner will then have to come to the District to renegotiate this request for con- tinuance of this action taken tonight. FACILITIES PLANNING, HEAD-START PROGRAM: (a) Proposal by CWC - (1) to complete the EIR and Facilities Plan w/o considering secondary effluent into Nevada. To include the new alternative (secondary disposal in Nevada) from CWC would be in the amount of $11,179.90, Or $5,055.89 without the new alternative. (b) From Jones and Stokes - their cost would be $11,700.00 to respond to all questions received on the EIR, including the evaluation of the new alternative ($3,000.00 of that amount). Manager Cofer recommended the Board authorize these proposals be sent to the State for their approval, under both options, and let EPA decide whether they will require further evaluation of the alternative; these costs would be approximately $1,700.00. Following a lengthy discussion, Director Olson moved, seconded by Director Jones that the proposals, without the new alternative, be submitted to EPA. (c) Letter to EPA re Luther Pass Pump and Surge Protection: (4th pump at Luther Pass, which is a portion of the Head-Start Program..o. this pump would be used for standby purposes only, and would not utilize the system for expansion of sewer service commitments. Director Olson moved, seconded by Director Fieldcamp, unanimously carried, letter to EPA be approved for mailing. (d) Declaration of Emergency Condition at Indian Creek Reservoir. Manager Cofer recommended no action be taken on this subject tonight. Alpine County Board of Supervisors stated that they would like to have us not draw the reservoir down at this time, and that also the public should be notified prior to doing so .... Manager Cofer stated perhaps next year we will draw the reservoir down. Director Olson stated that he attended the Cease and Desist Hearing and Mr. Hampson did state that he will not consider changing the Waste Discharge Requirements, and that he is not certain that there will be a hearing for us in November. Manager Cofer stated we have had no relief from Lahontan, we must continue to maintain the standards, and we are still spe~ding money on the chlorine and carbon to maintain the required standards. Director Olson stated that we want the people to know that it is not this Board of Directors that is going to assess but the Regional Board will cause us to increase the sewer service charges, and Assistant Manager Callahan agreed with this statement by Director Olson. Regular Meeting -5- 10-5-78 WILL SERVE LETTERS: None Director Jones stated that at our last meeting we put off action on will serve letters for water until the 19th of October, and he requested that in the future we ask how much water they intend to use. PAYMENT OF CLAIHS: Director Olson moved, seconded by Director Jones, unanimously carried, claims in the amount of $178,005.66, as recommended by D. W. Callahan, be approved for payment. ADJOURNED to Executive Session at lO:O0 P.M. --- Meeting reconvened at lO:15 P.M. and following the Executive Session, President Kashuba requested that should the Bohannon Organization request issuance of sewer permits because of recent court actions related to the Tahoe Tyrol Development that the staff take no action on thie request until after the Board of Directors had considered the request at its next scheduled meeting. Board agreed and approved this request. ADJOURNMENT at 10:30 P.H. to October 13, 1978, 3:00 P.M., District Of fi ce. Lorrene L. as u a, ' t South Tahoe Public Utility District ATTEST: lqai"y D~//An~brosej~Clerk~ of the Boa South ~ahoe Public Utility District ADJOURNED MEETING OF THE BOARD OF DIRECTORS - SOUTH TAHOE PUBLIC UTILITY DISTRICT OCTOBER 13, 1978 3:00 P.M. The Board of Directors of the South Tahoe Public Utility District met in an adjourned regular session on 10/13/78, 3:00 P.M., District Conference Ro om. ROLL CALL - Present were President L. L. Kashuba, Directors R. A. Fieldcamp, J. R. Jones, F. J. Cocking, W. J. Olson; also present were General Manager/ District Engineer James R. Cofer, Assistant Manager D. W. Callahan, and Process Evaluation Engineer R. Baer, and Clerk of Board. President Lorrene opened the meeting at 3:00 P.M., and stated we have one item of business on the agenda, and turned the meeting over to Manager Cofer. Manager Cofer stated we received a copy of a letter from our Attorney - John C. Weidman to Michael J. Lawson, Attorney at Law, Dinkelspiel, Pelavin, Steefel and Levitt, San Francisco, California re: Bohannon vs State Water Resources - South Tahoe Public Utility District Sewer Permits .... and read the following paragraph: "In view of the fact that there is a controversy as to the effect of your judgment against th~'St~te Adjourned Regular Meeting -2- 10/13/78 Board and the LahontanBoard, and in vie~of the fact that Mr. Abrams told me his position, which was contrary to your representation, I will not recc~nend to the Board of the District the issuance of the permits until such time as I have thoroughly reviewed personally the legal effect of your judg- ment and the pending appeal. I have so advised the Board of the District." Manager Cofer recc~nended this Board adjourn this meeting and go into a Workshop to discuss the Lahontanmeeting at Victorville on 10/12/78. President Lorrene Kashuba adjourned the meeting at 3:05 P.M. AYTEST: Lorrene L. Kashuba, President' - South Tahoe Public Utility District ~'~3 ~ AJ~D!ose, Clerk of t~' B~ard South Tahoe Public Utility District Regular Meeting of the Board of Directors South Tahoe Public Utility District October 19, 1978 The Board of Directors of the South Tahoe P.U.D. met in regular session on 10/19/78, 8:00 P.M., District Conference Rocm. BOLL CALL: Present were President L.L. Kashuba, Directors W.N. Olson, F.J. Cocking, R.A. Fieldcamp, J.R. Jones, General Manager J.R. Cofer, Assistant Manager D.W. Callahan, Attorney J.C. Weidman, Engineer R. Baer, Mike ~bNamara - Tahoe Tribune, John Genzele - Lake Tahoe News, and many visitors - plus City Council members - D. Laine, J. Hubbell. CORREC~fIONS ON ADDITIONS TO AGENDA: None MI~: 9/11/78, 9/21/78, 10/5/78 and 10/13/78. Director Fieldcamp moved, seconded by Director Olson, that the 9/11, 9/21, 10/5 and 10/13 minutes be approved as presented. VOTES AS FOLLOWS: Ayes: Directors Olson, Cocking, Fieldcamp and Kashuba; Noes: None - - Abstained: One - Director J.R. Jones. REPORPBY BOARD MENBERS: None (1) Research, Conservation and Training. No report. (2) Water Utility: Director Cocking stated that he and Director Fieldcamp met today and went to the Airport Well Site. He stated we have a 6" and an 8" line in that area, and suggested a "T" be put on the line cc~ming out of the pump. Manager Cofer stated that W. Dunckhorst -Manager of Water Systems, is considering 2 lines to make that loop. Following their Airport Well tour, they drove to Pioneer Village, the Johnson site, and looking into the future, perhaps the County WaterAgencywould allow us to put in another well, to give us additional water for the future. Regular Meeting -2- 10/19/78 (3) Plant Operation. None (4) Finance/Insurance: None (5) Public Information: President Kashuba reported that she and Manager Cofer and Director Olson met with Ernie Gregory, Director of the Nevada Environmental Protection Service in Carson City. Discussion of feasibility of disposing of secondary wastewater into the Carson Valley by land dis- posal. Further research will be made at an appropriate time. WORKSHOP SESSIONS: Manager Cofer stated workshop sessions were held on 10/10/78 - Consulting Panel Report received; 10/13/78 District Programs and 10/16/78 Agenda Items. Also, Manager Cofer stated included in the packet for the Board Members is a memo prepared by D.W. Callahan and J.R. Cofer re financing for the "Head-Start" program and requested a workshop session to study same. Workshop session scheduled for 10/24/78, Tuesday, 3:00 P.M., District Office. ATTORNEY'S REPORT: (1) Airport Amended Agreement will be before the Board of Supervisors Tuesday, and (2) other information would be to discuss and/or have action taken this evening regarding Bohannon Organi- zation, and requested same be added to the agenda, Will be taken under Item XIII (l-B). Attorney Weidman also reported that he will not be present for the next regular meeting of this Board - he is going on vacation. SHOP STEWARD'S REPORT: None present, COMMENTS FROM AUDIENCE: A visitor asked how the Utility District was going to be handling permits, President Kashuba stated that this is to be discussed this evening, and it is the next order of business to be brought before this Board, following the reports by our program managers. REPORT BY MANAGER OF WATER SUPPLY SYSTEM - W, Dunckhorst I am very pleased with the progress of the Airport Well. Work on the well commenced on Thursday (October 5th) and the crews worked on a 24-hour basis, The hole was drilled and the casing, screens, and gravel pack was completed by Monday the 9th, Monday of this week (October 16th) another crew moved in for the de- velopment of the well. This work consisted of high pressure air and water jetting of the 3 screens in the well; this development took approximately 16 hours, On Monday (October 23rd) another crew will move in and pump test the well. This work wil! take approximately 3 days, After the pump test is completed, this will give us data that will be needed for Phase III and specifications will be ready in time to have Phase III go to bid - possibly in December, We are looking at the month of December for opening of bids because this would give the contractor on this phase time to order the speci- fied equipment so he will be ready for the coming May 1st construction period, REPORT FROM MANAGER OF OPERATIONS: John Bonnet From September 27th through the 29th, I took two operators to the CWPCA Conference in Visalia, This was the Southern Regional Conference and i Feel that it was very well done, We were able to take an examination, which consisted of questions taken from the State certification exams and discussed them afterward. Mr. Bob Daigh and Mr, Ellis,Hirst of the State Certification Board conducted the test and the discussion. From October 1st through the 6th, I attended the convention for the National Water Pollution Control Federation in Anaheim, along with Bob Baer, I understand that there were about 15,000 people that attended, The equipment displays were outstanding, as well as the papers that were presented, Regular Meeting -3- 10/19/78 During my absence, Mike Heyer (swing-shift Operator) was in cnarge of plant operations. This was the first time that Mike has had this re- sponsibility and i feel that he did a very fine job. We had two violations last month - the suspended sol ids and the pH at Indian Creek. The suspended sol ids violation was a result of the lack of lime. Our lime supplier was unable to supply us due to problems at their plant. This resulted in having to run secondary effluent through the breakpoint chlorination and directly through the tertiary plant. Not having run in this mode for quite sometime, we failed to use enough alum to compensate and keep the turbidity down. We also had to rebuild the surface wash arms in the first set of separation beds. We will re- build the other arms as soon as we get the necessary parts. To do this, the plant will be shut down, and we will be going to the emergency holding pond. At this time we will replace four valves on columns #1 and #2, as we/1 as repack some of the other valves on the other columns. The pH at Indian Creek was in violation but has come down so we should be o.k. for this months, however, the ammonia in Indian Creek is coming up, We have started to breakpoint to reduce the amount of ammonia leaving the plant to compensate. The spray pond pumps are off' for the winter because we are getting very little removal - about 1 5% - now that the cold weather is here. ' lhe plant is performing weli this month, with a COD average of 13.0 rog/1 and a pH of 7.3. The turbidity is down to about six-tenths, so we should not have any problems with the suspended solids. MAINTENANCE REPORT: Mr. Eppler is absent this evening, however, Bob Baer, Process Evaluation Engineer, stated that the Maintenance crew have been working at Indian Creek this week raking weeds. The Pump crew started work on replacing the valves at the reservoir, and Mr, R Vonderscher's report as follows: ' SUBJECT: 24" BUTTERFLY OUTLET VALVE AT INDIAN CREEK RESERVOIR On October 16, 1978, while in tile process of replacing the valve seat in the 24" butterfly valve at indian Creek, it was noted that both the valve body and the valve disc had an excessive amount of erosion in critical areas. The new valve seat was installed, but due to the valve wear the ieaking condition was not cured. On October 19, 1978, I contacted Allis Chalmers, the valve manufacturer, and after explaining the situation their recommendation is to replace this valve. The cost of a new valve is $1,887.00 plus tax and freight. Delivery of this valve will be approximately four Weeks. This new valve was ordered on purchase order No. 11094 on October 19, 1978. Manager Corer stated that the District is having difficulties with our blower tonight, and the emergency power will probably go on and off throughout the night, FINANCE OFFICER'S REPORT - None. ITEMS FOR BOARD ACTION (1) Wastewater Systeln (a) Capacity of Wastewater Treatment System - (Establish Effective Remaining Capacity at 0.5 MGD).,. Manager Cofer sta~ed a report from the Consulting Panel is included in the Directors packets, whereby they suggest the capacity of this plant be set at 7.0 MGD, spread the remaining available capacity over a period of not less than 5 years We are attempting to proceed with our Head-Start' Program, and we are starting construction on those facilities, and at the same time we are attempting to operate the existing plant, and make the switch-over, and we must be very cautious as to the additional capacity the District would commit itself. Regular Heeting -4- ] O/1 9/78 We are proceeding on the Facilities Plan; EPA is doing a Federal Environ- mental Impact Statement, which brings completion to January of 1980, therefore, the plant would not be operational prior to October of 1982, and because of the construction seasons, and any delay by EPA Could push that schedule off to perhaps -1983 or even 1984, therefore, it could be a number of years before the major operation of this plant could be comp l eted. Manager Cofer also stated that we have looked at the report from the City and the County regarding permit allocations, and their recommendations- I0% reserved for commercial; 2% reserved for public services; 44% re- served for residential construction in the City; 44% reserved for resi- dentiai construction in the unincorporated areas. Dave Ca/lahan has prepared a summary (final) as of September 30, 1978 re our pr-esent sewer commitments, and I,ianager Corer asked Attorney W~idman ~o comment on this. r,lanager Cofer stated we have reserved 33 sewer units for the Bohannon Organization - and Mr Weidman stated we need to reserve only 27, Tile 27 permits will total 81 sewer units for Bohannon -~ Ta'hoe Tyrol, Mr. Weidman stated the way he understood this was that the State appeal would be dismissed when we agree to issue the 27 sewer permits - 81 sewer units, and as Mr. Weidman understands it these would be in the exempt catagory. R. Hampson, LRWQCB, stated that in his estimation perhaps at the 12/7/78 regional meeting the Board (LRWQCB) would reconsider this, and Mr. Hampson also stated that one thing that came out of all of this (permits issued to Bohannon) was that each one of the permits are worth $50,000 - and he felt that would be of some interest to the Board. Hr. Hampson also stated the District is going to have to establish a financial revenue program, and the District "cannot be overly sympathetic when the people come in and you let them know you are going to raise their sewer charges." Attorney Weidman stated that the Bohannon Attorney told him that Roy Abrams told him that when we agree to issue the permits he will cause the City to issue the permits - however, ~.Ir. Weidman was not able to check that today; Mr. Weidman stated the Bohannon Attorney also advised him that if we agree to 'issue the permits or actually issue the permits, Bohannon will not file within the Six-month time limit period - their legal action against the District on their Tahoe-Tyrol claim that came up in May, and this District rejected that claim, and they had from that date of re- jection - six months to file their action, which will be expired (the six months time limit) in about 1 and 1/2 weeks. ~.Ir. Weidman stated he told Bohannon representatives that he would bring this matter before the Board this evening for discussion and/or a decision - he also stated this is the first indication he had that Tahoe-Tyrol would be dismissed. President Kashuba stated to Mr. Weidman - "You mentioned in the motion, the representation made by I.lr. Hampson that Tahoe Tyrol permits were exempt from tile allocation system." Attorney Weidman stated "I thought they were under the exempt status of the order of April 1977." Mr. R. Hampson stated "Yes, that is the way it will go John." He further stated "They were originally part of the 500 which were given the first year. Attorney Weidman recommended: the District authorize staff to issue 27 sewer permits, totaling 81 sewer units, to the David D. Bohannon Organization for the Tahoe Tyrol Project, based upon the representation of the Deputy Attorney General that the State appeal will be dismissed after we authorize the issuance of these permits, based upon Mr. Hampson's representation tonight that the permits can be issued, based upon the representation of the Bohannon Attorney - Mr. Zeldin - that when we agree to issue the permits, Bohannon will not pursue an action on the Tahoe Tyrol claim against the District, and that the staff issue these permits when Bohannon has complied with our regulations for presentation of plans and after the City has agreed to issue these permits; and, Regular Fleeting -5- 10/19/78 These permits are exempt from the allocation system, and under the order of the Cease and Desist Order of April 1977. Director Olson moved, seconded by Director Jones. ROLL CALL VOTE AS FOLLOWS- AYES: HOES: ABSENT: Director Olson, Fieldcamp, Jones and Kashuba Director Cocking None. MOTION CARRIED. ~lr. R. Hampson, Executive Officer of the Lahontan Regional Water Quality Control Board, stated that as he understands it, it was never the intent to exempt this planned unit development, by the Regional Board, originally from the Cease and Desist Order. The Regional Board, and the State ~'~ater Resources Control Board, will take appropriate action; the State Board has amended its regulations, and it is very very clear that these projects are not exempt from the Cease and Desist Order. When Lahontan goes for the hearing in December, it will also be made equally clear that these type projects are not going to be given special consideration; the Lahontan Board never intended that Bohannon be exempt, the argument in the courts was one of vagueness, and in the future if requests for the same type projects are requested - the answer is no, Manager Cofer and the Board discussed the Manager's report regarding the Determination of the Number of Sewer Connections to be allowed by the South Tahoe Public Utility District in 1979~ Manager Cofer recommended the following be considered: RE COMMEN DAT I ON S: The staff makes the following recommendations: (1) That the South Tahoe Public Utility District Board of Directors set the available plant capacity at 0.54 I~IGD or 6,020 sewer units, based upon present circumstances, and the Panel of Experts Summary Report.. (2) That the Board of Directors take a cautious approach and assume that it might take seven years to complete the plant modification/ expansion. (3) That the Board of Directors establish the available plant connec- tions for the calendar year 1979 at 861 sewer units or 287 equivalent single family dwelling units, (4) That in November 1979 the Board of Directors re-evaluate: the condition of the plant equipment; status of implementation of "Head-Start" plant improvements; status of the Facilities Planning Program; character- istics of the wastewater flows and strength as it is accepted at the plant; and, the plant performance record. The Board of Directors could then establish the number of connections to be permitted during 1980. Director Fieldcamp moved, seconded by Director Jones unanimously carried by a roll call vote. ' President Kashuba stated that there are some matters still pending, and the City and County will also meet again to make their determination on the allocation program. President Kashuba also stated that she asked each Director be given a copy of the April 6, 1978, regarding a Public Hearing on a list re sewer permits, and the minutes are noted that the list has no validity with the Utility District. John Cefalu stated that the discussion did come up regarding a list for permits - and it was the opinion of the Ad Hoc Committee that in view of the fact that money had not changed hands, and plans had not changed Regular Meeting - 6- 1 O/19/78 hands, it was merely an opportunity for somebody to get information, and it was the recommendation of the Ad Hoc Committee that list not be recog- nized. Del Laine stated also that it is the recommendation of the Ad Hoc Committee, that each property owner as of March l, 1979, will be informed of the allocation system to be followed. Manager Cofer stated the two recommendations requested the Board consider does not have anything to do with the list or the allocation system, it is just the District stating what it feels is the effective capacity of the plant and how many connections this District would allow. Lahontan may or may not agree with what this Board decides or approves, but this is the District's opinion as to what should be allowed and this is what we are requesting this Board take action on tonight. JOHN HUBBELL - South Lake Tahoe Resident/Contractor stated that he really hates to see the Board take action on this as he believes the lead agency is the City of South Lake Tahoe for issuing permits; we do not know what plan the city is going to come up with. He also stated that he received his copy of the Ad Hoc Committee's recommendation, had 6 copies run, dis- tributed to some in the community - those people were upset, it was an understanding that no public input at these 4 meetings that were held, and he does not know if the meeting with the Board of Supervisors is going to be an official meeting/public hearing; and asked if it is going to be a public hearing with the County/City or just a joint meeting with the Board officials, Del Laine stated that it is publicized as a joint meeting. Mr. Hubbell stated he thought there were 4,000 permits left, and he sees now there are only 2,000 permits left. Where would this leave us if the action tonight is taken for the 287 permits, and then the city would come up with say 387? Manager Cofer stated that no one knows the problems of this plant better than we do; we have had to live with this and we understand its capabilities and its limitations, and this Board is the only one qualified to say what the plant can h'andle as far as wastewater flows, and this may not be what the City or anyone else would like to have, but that is what we feel this plant can handle, and if we continue to make connections beyond the capa- bility of the plant, we are going to be in violation of discharge standards, will have no connections because of repeated violations. Manager Cofer stated these recommendations are what we feel this plant can handle. Attorney Weidman stated that back sometime he stated the District should try to serve every single lot that it can serve, and it is up to those people with planning powers to determine if those permits should be issued all at one time or spread out over a period of time. Also, Iqr~ Weidman has told this Board and the Engineers that if for any reason there is increased capacity, that the only basis by which they could spread that capacity out over a period of years was an engineering basis. We have hired a Panel of Experts to come here many, many times, they worked many hours, and they are all very qualified - and does not believe anyone can dispute that Panel of Experts in the State, and they have said that under present circumstances we would have a present capacity of 7.0 mgd, 1850 single family unit equivalent dwelling connections, and they recommended this be spread over 5 years. This Board should follow the Panel's recommendation, unless there is additional engineering justifi- cation There has been some additional engineering, on the part of Jim Coiner, Manager, and the staff, which would state that there were factors that the Panel did not consider in determining how the capacity should be approached. This is the way that Attorney Weidman has advised this Board legally, publicly, study sessions, etc. Mr. Cofer has pro- vided additional engineering basis for spreading out longer than 5 years the number of connections per year, and this number picked this year, is subject to review each year, to see how this plant performs. Attorney Weidman also stated he does not feel Lahontan fs entitled to keep on the Cease & Desist, we are in substantial requirement for the wast discharge requirement, and their legal right is to establish a time schedule as we approach capacity under the water code; however, assuming Lahontan lets go of the Cease & Desist, we now have a Panel of experts that tell us, at least under present circumstances, what our effective capacity is, and we cannot dispute this Panel of experts. Regular Meeting -7- ~ ?o°~_~ 1 O/19178 John Hubbell asked if this Board accepts the figure tonight of the 287, and after the Public Input/Hearing the City accepted even l0 more than that figure, when the first permit over 287 is issued - will the District have to serve that permit? Attorney Weidman stated the District could refuse to serve and that does not mean their position would be upheld in the court, however, all that he is stating now is that based upon the Panel of experts, the permits that we can issue would be 5 into 2,006 maximum, and the Board has their additional information on an engineering basis to reduce that number or if they determine some engineering basis for increasing, they can do so, but there is no engineering basis to increase. There has been staff engineering basis to decrease. Mr, Weidman stated he cannot argue in the engineering field with J R. Cofer and the Consul ting Panel. · John Hubbell asked if the City has the right to be the lead agency or is it the District? Mr. Weidman stated we issue only sewer permits, and the Board stands prepared to state they will issue a certain number of permits. Director Olson stated that the Board will issue the number of sewer permits that can be allocated by the City and the County, and no more. Therefore, the City can issue any number of building permits they so desire, but the District is the lead agency as' far as server permits are concerned. , John Cefalu stated that the Ad I~oc Committee, in their meeting, never once addressed numbers; the system that was developed, advantages, etc., did not address ri'tubers ~t was the acceptance of that committee that the numbers would come from this Utility District Board. Director Olson also stated that when we do pick a number, that it is predicated, further and above us, by the acceptance of that number by the Lahontan Regional Water Quality Control Board, therefore, what- ever number we pick will require approval above and beyond us. ~qanager Cofer stated that the 5 year figure was an absolute minimum, and one of the experts on the Panel cautioned the Board that he has an EPA-EIS that is 18 months behind schedule, and that could very well happen to us, so the Panel accepted that it may take more than 5 years to expand this plant. We have done a cash flow analyses on the "Head- Start" program amd the earliest this could be completed and operational is October of 1981, and even a one month delay by EPA could make the completion date in 1982, and the major expansion of the plant would be likewise pushed off at least a year. The staff also looked at the problem of making the modifications to the plant, transferring the standby power from here to some other location, breaking into all the lines, so we can make those modifications without serious upset to the plant. Director Jones stated that he feels we do have to take a.period much longer than 5 wears and does not feel 7 years is enough, and he person- ally feels it is going to take much longer to get with the modifications and/or extensions, etc. Mr. Jones stated he can accept this if the Board does take the recommendation from the staff, #4. Director Olson asked John Hubbell if he felt the 287 per year are too many permits, too little permits - or what? John Hubbell stated that in answer to Director Olson's questions, he stated today he received his copy of the proposed allocation plan from the City of South Lake Tahoe and it states that in 1977 and 1978 some exemptions were granted by the Regional Board to meet the economic and social needs and in 1977 it was a total of 500 permits; 1978 = 300 +, and they didn't meet any needs; he stated we have more problems right now than we have ever had, and we are almost 2 years down the road, Mr. Hubbell stated. In 1977, he stated, we heard we were going to spend $600,000 to get this plant in shape, and he stated he cannot stand by this, as he feels the City has a responsibility to the lot owner, and he has that right to develop his property, and stated there is no justification to this whatsoever, and he stated the District has a bigger problem now - more so than 2 years ago, Mr. Ilubbell stated. Regular Meeting -8- 10/1 9/78 Director Olson stated that the Consulting Panel did assess the capacity of this plant, in their best judgment, and in all phases but one, they said this plant was capable of 7.5 mgd, which would have been 3,700 connections, however, they limited the capacity of this plant, in their best judgment, to 7.0 mgd, because of an emergency power situation and they also based their judgment on the lack of adequate facilities to treat; and when everything works - the capacity is 7.5 mgd. Director Olson stated the information given to us by the Consultants we must accept, that is why we hired them, and many of us are as disappointed as any other one John Hubbell stated that he feels the need of the community is far more than 287 permits, and the 287 sewer permits for this year will not work, this is a real slap in the face, a kick in the teeth. President Kashuba stated we are saying that everyone cannot build the first year - Director Fieldcamp stated if we let all of the 2,000 connections go right now - Lahontan will come in and slap a $10,000 fine on us, then EPA comes in and tells us we cannot run this plant and it would then be run by the Federal or State Government - would you want this. Mr. Hubbell stated that he would not like it to be that way, and he felt there should haYe been some long-range planning 4 or 5 years ago - and now this District is slapping us in tile face at the last minute. He said he does not know if 287 is the answer or not, and asked Mr. Fieldcamp if the needs of the people were met with the 500 one year, the 300+, etc., and ~lr. Fieldcamp stated no, as there were contractors from all over the western United States, and they did a very poor job -- everyone knows that -- isn't it better, Director Fieldcamp asked, to create the work for the local people here ...... Mr. Hubbell again stated 2 years have gone by and nothing has been solved, and he felt with the expenditure of $600,000, or more, we were going to come up with at least 4,000 connections to spread over a maximum of 5 years. President Kashuba asked Iir, Hubbell to please take the opportunity to read the report that the Consultants prepared. Director Jones stated that in response to Mr, Hubbell's comments that nothing has been done .... Mr. Jones stated we have taken some steps to get EPA funds to improve this plant; we now have a "Head-Start" Program which is $5 million, and can be up to $8 or $9 million when finished, and we are part way down the line on this Facilities Planning Program. Mr, Hubbell stated he is speaking re the economics and needs of the Community - we have a problem in this community, and he stated that problem comes directly from what has happened here at this plant - and he felt the public was of the opinion, after the funds were spent and the charges raised, that we would come up with something positive, He again stated he looks at this as just a slap in the face, and when he read in the newspaper that the District is planning to increase their service charges again, and after checking with some legislators in Sacramento, that may be a real thin line the District is treading on, and there has been no decision in the courts as to whether anyone can raise the assessments, or the taxes, or whatever they wish to do. Manager Cofer stated that if he felt we could not meet the charges to buy the chemicals, to meet the standards, then he would recommend no connections. We have to have the chemicals to meet the standards, or we cannot accept any flow, Attorney Weidman stated that we have the right to refuse, based upon the engineering evidence we have, and we do have the right to increase service fees. Mr, Weidman stated that those points raised by John Hubbell was brought up at the Attorney's convention at CASA and the Regular Meeting 9- 1 O/19/78 attorneys there did not feel there was a valid argument on this matter. We can increase service charges, and same will not be construed as taxes within this Proposition 13 limit, A visitor asked then what is wrong with the list the District has. President Kashuba replied that the list was established to assure that in the event the City asked the South Tahoe Public Utility District to issue the building permits, that there would be a means by which it could be done, The South Tahoe Public Utility District has no planning authority for building permit criteria, and would have to issue them on a first come first served basis. A public meeting was held on the va- lidity of the list on April 6, 1978. At that time the persons appearing were advised that the list had no validity -- it was only a list of people interested in obtaining sewer permits when and if available. Mr. Hampson stated that he can sincerely state that this Board and this Staff has an excellent image with the State - they will definitely listen to you, and they have said this, The report from the Consultants will be reviewed carefully, Mr. Hampson stated and we hope we will all be in agreement. ' Manager Cofer stated two members of the Consulting Panel will be here November 3rd to meet with members of Lahontan, and we hope to also invite somebody from the State Board and EPA, since they have also attempted to make judgment on our capacity, (c) HEARING ON AMENDED ASSESSMENTS, PROJECTS 1964-1, 1967-1, 1967-2 and 1970-1. Assistant Manager Callahan stated we have not received written comments, nor do we have any oral comments to present at this hearing, and recommended that the hearing be opened. President Kashuba stated that the Hearing on Amended Assessments is now open (9:50 P.M.) and being that there were no comments, either written or verbal, she closed the hearing at 9:55 P.M,. and the following resolutions were presented for approval and/or consideration: RESOLUTION NO. 2133, Project 1964-1. Director Olson moved, seconded by Director Fieldcamp, unanimously carried, RESOLUTION NO. 2134, Project 1967-1. Director Olson moved, seconded by Director Jones, unanimously carried. RESOLUTION NO. 2135, Project No. 1967-2. Director Olson moved, seconded by Director Jones, unanimously carried. RESOLUTION NO. 2136, Project 1970-1. Director Olson moved, seconded by Director Jones, unanimously carried. (d) EXTENSION OF TIME TO SUBMIT BIDS FOR FALLEN LEAF LAKE SEWER PROJECT EXTEND BID OPENING TO NOVEMBER 9, 1978 --- ' Manager Cofer stated we were scheduled to open bids 10/26/78, and to the best of our knowledge there are presently 3 contractors submitting bids, (Byars, Hood and Kirkwood-Bly), and we did hear there is another con- tractor that would like to make a bid, although he did not guarantee that he will, and he did request additional time to make that bid - J,C, Plumbing of San Francisco, and we have also been contacted by Valley Engineers of Fresno, who did not make a commitment they would bid, but they would need the additional time should they choose to submit a bid. Director Olson moved, seconded by Director Jones, unanimously carried, the bid opening on Fallen Leaf Lake Sewer System be extended to 11/9/78 as requested by Manager J.R. Cofer~ WILL SERVE LETTERS: None. Regular Meeting -6- 11/16/78 the hearing be set at 8:00 P.M. on December 8, 1978, at the Lake Tahoe Unified School District Board Room on A1 Tahoe Blvd., and unanimously carried. (3) Participation in State Disability Insurance: The employees were given the opportunity to cast their vote as to whether we should continue this insurance or delete it. The employees prefer to retain the State Disability Insurance and Director Olson moved, seconded by Director Fieldcamp, unanimously carried, the State Disability Insurance be continued and coverage be approved.(Resoluticn 2137A) (4) Policy on Meals and Travel Expenses - request policy be approved. POLICY ON MEALS AND TRAVEL EXPENSES Whenever an employee is required to work ten (10) consecutive hours or more the District shall pay the employee $5.00 for a meal. When an employee is required to work a straight 16 hours he will be paid $10.00 for meals. No receipt will be required, however, the employee's department manager must approve the payment (Bonnet, Eppler, Dunckhorst and Callahan). Time off (without pay) shall be pursuant to Section 19 of the M.O.U. for eating the meal. When a plant operator has the meal brought to him then no time is deducted. Expenses incurred when traveling out of town and overnight shall be reimbursed at actual cost. However, reimbursement shall be limited to reasonable amounts and receipts must be submitted. The method of transportation must be approved in advance by the de- partment manager. A travel expense advance can be given. However, only if the de- partment manager requests the advance prior to the Board of Di- rector's meeting preceding the time of travel. Receipts of all money expended must be turned in with the excess cash and/or request for reimbursement. Director Olson moved, seconded by Director Cocking, unanimously carried, the Policy on Meals and Travel Expenses be approved, as so stated above. (5) Water Charges for St. Theresa's Church and School ~4r. W. Dunckhorst stated that: SUBJECT: Metering - St. Theresa Church and School "On Tuesday, November 7, 1978, I met with Father Grace of St. Theresa's Church and we discussed the probability of the District metering both the Church and the School. Father Grace is emphatically against metering any of these places as he claims part of the church is also a residence. The estimated cost to install a meter on the Church and a meter on the School would be $928.76. It would be my recommendation to charge the Church a flat annual rate of $950.00. I base this figure on the annual rate of a 2" meter on the School and a 2" meter on the Church which would be $840.00 annually, also an annual residential rate of $110.00 - totaling $950.00. With a rate structure as above, I feel this would give us a base to go by if we should have a rate increase in the future." Director Olson moved, seconded by Director Jones, unanimously carried, the charge of $950.00, as mentioned above, be approved, per Manager Cofer's recommendation. (6) Stocking Trout at Indian Creek Reservoir: Approve Plans and Specifications and Advertise for Bids for Bid Opening on 12/8/78. Regular Meeting -2- 11/2/78 President Kashuba stated we are laving our Public ttearing next Wednesday, 11/8/78 at 1:00 P.M.; and at 7:00 P.M. a workshop on the EIS at the School District at Tst~oe; and the following evening at ~arkleeville at 7:00 P.M. and November 10th the Board Mem%bers and ~nagerwill be attending the CASA convention. Lahontan will not meet on the 9th of November - they will be meeting on 12-7-78. Director Cocking stated that he attended the joint meeting of the City Council and the Board of Supervisors Monday. They went into a full discussion, and Councilman Hubbel was trying to get action delayed, but they decided they had been working for two years on an allocation system and decided it was time to make a decision. They polled the members and decided to adopt the random sampling (Lottery) system for the 287 single family dwelling units (861 sewer units) for the coming year. C0~{ITTEE REPORTS: None WORKSHOP SESSIONS: P~nager Cofer stated workshop sessions were held on 10/24/78 -Alternative Financing "Head-Start" Program; 10/26/78 - Water Systems; 10/30/78 - Agenda Items. MJ~NAGER'S REPORT: The Environmental Protection Agency (EPA) held a Technical Advisory Meeting on October 27th to review the status of the preparation of the Federal Environmental Impact Statement on the South Ta~me PUD and Douglas County Sewer Improvement District projects. EPA reported that they had identified 11,297 subdivided vacant lots within the boundaries of the South Tahoe Public Utility District of which 4,132 lots were located in "Stream Environment Zones". The next Technical Advisory Meeting will be held on December 8th. The District Staff and Consultant Russell Culp met with representatives from the State Water Resources Control Board to discuss the Head Start plant reliability improvements. The State Representatives asked for pump operating data at the Luther Pass and plant final effluent stations to support the need for the addition of standby pumps. The State is considering the approval of the standby pumps for inclusion in the Head Start Program. The District Staff has also requested the State reconsider the inclusion of the emergency holding pond pump station as part of the Head Start Program. This pump station would allow the District to empty the emer- gency holding pond much faster than the present gravity return system and therefore increase the availability of the emergency storage. Although not hopeful that the feature would be approved, the State agreed to re- consider our request. ~mnager Cofer mentioned to the Board that he talked with the State today who told him letters are go~]g out tomorrow authorizing Culp/Wesner/Culp and Jones and Stokes Associates, Inc. to proceed with the Mini Facilities Plan Report; they are going to also approve Culp/Wesner/Culp proceeding with the evaluation of tim Nevada Disposal, but not Jones and Stokes as they want that handled by the EIS. ATTORNEY'S REPORT: Attorney Weidman absent. ~{0P STEWARD'S REPORT: None present. C0~'~TS FROM AUDIF~CE: None EXECUTIVE SESSION FOLLOWING November 16, 1978 Regular Meeting Executive Session following the 11/16/78 Regular Board Meeting and Manager Cofer's con~nents are as follows: The Board of Directors directed the Manager to notify the Union that the matter regarding the proposed rotation of Senior Operators shifts would be placed on the November 22, 1978 agenda for consideration by the Board of Directors. On the matter of a legal action filed by the Bohannon Corporation against the District/Board of Directors, the Board of Directors authorized the Attorney (J.C. Weidman) to accept service of the action and review that matter to see if place of trial can be changed from San Mateo County to E1 Dorado County. The Board of Directors expressed concern at what appeared to be incorrect statements regarding the South Tahoe Public Utility District by the State and Lahontan Water Quality Control Board Staff at the recent Senate Water C~,,~,~ttee Hearings and the Board directed the Manager to attend the next hearing to be held in San Bernardino County on November 21, 1978 for the purpose of correcting the Senate Committee record. Executive Meeting was adjourned at 11:08 P.M. ATTEST: · Kashuba, President South Tahoe Public Utility District South T~hoe Public Utility District ADffOURNED MEETING OF THE BOARD OF DIRECTORS OF SOUTH TAHOE PUBLIC UTILIYY DISTRICT FALLEN LEAF LAKE SEWER PROJECT NOVt~BER 22, 1978 7:00 P.M. (B 0 N D S) The Board of Directors of the South Tahoe Public Utility District met in an adjourned session on 11/22/78 at 7:00 P.M., District Conference Room. ROLL CALL: Present were President L.L. Kashuba, Directors R.A. Fieldcamp, J.R. Jones, F.J. Cocking and W.N. 01son; Attorney J.C. Weidman~ J.R. Cofer, Manager, D.W. Callahan, Assistant ~mnager, Clerk of Board, Randy Johnson, Peter Pischel, Jackie Flanders and Mark Houston, and Attorney R. Hill. President Kashuba welcomed all visitors, and also our bonding Attorney, R. Hill. CORRECTIONS OR ADDITI~4S TOAGENDA: Manager Cofer requested two items to be added to the agenda: (3) Sewerage Spill, and (4) Lahontan Hearing. President Kashuba stated the agenda will stand approved as corrected. REPORT BY BOARDMt~.~ERS: None. Regular Meeting -4- 11/2/78 line for the SO? system. In doing so, we lost our pH. Our COD average for the month oF October was 11.8 mg/1 and the average pH was ? .2. We are in compliance at Indian Creek; also - ammonia is down to 3.2 mg/1 and the pH is 8.0. [ir. Bonnet also stated that in regards to the rotation of the shifts - he will report back to the Board after discussing same with the Union. I'i~II~fENANCE DIVISION - Gene Eppler The raking of weeds, painting of the pump building and cleaning of the leach drains at Indian Creek Reservoir has once again been com- pleted by our maintenance crew. The replacement of the 24 inch discharge valve at the base of the dam will be done on arrival of the new valve, as the old valve was beyond repair. The only major breakdown at the plant during the last two weeks was the 150 hp #3 secondary effluent pump motor. The oil seals went out, requiring us to remove and send this unit to Sacramento for repairs. All the outside piping and plumbing for the SO2 system has been completed. Pie are now waiting for the SOo e~ui~me · · ~ _ ~ nt to be de- livered and at t~mt time we will continue this project. FI~AWCIAL REPORT: ~. D. W. Callal~mn stated that the District Auditors - Ehlman, Calvert and Dixon - ]~ave completed the audit for the fiscal year June 30, 1978. A copy was given to each Director. The District Accountant - Barrie Fisher - has completed the financial statement for t~ water department, endi~g September 30, 1978, and copies were also given to the Directors. ~'~. Callahan stated the financial con- ditions of the water department continues to improve. The Board of Directors scheduled a workshop session November 15, 1978 at $:00 P.M. to review the financial statements. ITEMS FOR BOARD ACTION: (1) WATER SYSTEM (A) BIDS FOR Dbl~ TRUCK P~. B. Dunckhorst stated that 2 bids were received, as follows: Shehadi Motors $17,702.00 Tahoe Ford $18,206. $ ?. Both bids met specifications required. Mr. Dunckhorst recommended purchase of a dump truck from Shehadi Motors, South Lake Tahoe, California, in the amount of $17,702.00. Director Fieldcamp moved, seconded by Director Jones, unanimously carried. (2) PROPOSAL FOR ENGZ{EERING ASSISTT~'~CE, COLD CREEK TREATMENT WORK. 1. C~nplete work on backwash waste return system. This is underway, but there is no established engineering budget. 2. Correct problems in pumping station related to control and wiring and add a description to existing plant O&M manual. 3. Install permanent alum system and storage room. 4. Install automatic screen on raw water intake. $. Correct flow pacing problems on chlorinators. 6. Install grating over pipe gallery rather than solid sheets of ply~ood. 7. Reroute interior plant drainage water to sewer. Adjourned Meeting -3- 11/22/78 TABLE I (continued) ITEM ESTIMATED ESTII, iATED NET COST GRA~Ff COST USFS PERMIZTEE ' S S}-LARE 6. Legal (a) Bond Counsel (2 1/2%) $ (b) Mod. AD (CSO) (c) Other 7. Bond Discounts (2%) 8. Bond Printing 47 $ 47 10 10 29 29 38 38 TOTALS ASSESSMenT FUND: $2,813 $753 $2,060 Total Project Cost Less Grants Less USFS Permittee ' s $127 $2,813,000 ( 753,000) ( 127,000) Net Cost Authorized Assessments $1,933,000 1,886,000 Fund Balance (47,000) TABLE II COST SUMMARY FALl.EM LEAF LAKE SEWER PROJECT WITH 97 1/2% GRANT FUNDING ON 40% OF PROJECT ITEM (Values in $1~000's) ESTImaTED ESTI~iATED NET COST GRANT COST USFS PERMITTEE ' S SHARE 1. Construction $1,887 2. Const. Cont. (10%) 189 3. Right of Service 100 4. Sites & Easements 30 5. Engineering (a) Design Criteria 26 (b) Final Design 132 (c) Const. Survey 39 (d) Soils 8 (e) Prints, Plans g Specs. 5 (f) Re Bid Proj. 20 (g) Inspection 155 (h) Overruns 60 (i) Revenue Program 15 (j) 0 & M Manual 13 (k) Const. Mgmt. Prog. 5 6. Legal (a) Bond Counsel (2 1/2%) 47 (b) Mod. AD (CSO) 10 (c) Other 29 7. Bond Discounts (2%) 38 8. Bond Printing 5 $736 $1,151 37 152 100 30 15 3 48 26 132 24 5 5 20 107 60 15 13 5 47 10 29 38 5 $ 81 11 2 2 9 2 1 7 4 1' 1 ASSESS~T FUND: Total Project Cost Less Grants Less USFS Permittee's Net Cost Authorized Assessments $2,813,000 ( 839,000) ( 121,000) $1,853,000 1,886,000 Fund Balance + $ 33,000 Regular Meeting -5- 11/2/78 The estimated costs for the items are summarized in the following table. ~terials cost includes estimated purchase cost of materials needed, assuming the District will install. Item # Engineering, $ ~terials, $ --1'--- 1,200 2,000 2 3,500 1,000 3 800 7,000 4 1,600 6,000* 5 800 2,000 6 800 3,000 7 800 1~000 T~fAL ~ 22,000 Manager Cofer stated that in the design of the chlorination system for the water system improvement loan, we budgeted $14,000 assuming we would go to bottle chlorinators, and he is proposing we go to hydrochloride systems which ~uld require much less engineering to prepare the plans and specifications, therefore, the $14,000 authorized would amount to only about $8,000 and we recommend the Board authorize the engineering work on the above and transfer $6,000 of the engineering work from the standby chlorination unit plus an additional $3,500, to cover the engineering work on the filter plant. Director Olson moved, seconded by Director Fieldcamp, unanimously carried. (3) REQUEST FOR ADJUST~Ff OF WATER QiAR-GES Letters received from }~. George Hollfelder and }irs. Herman Miller. Hollfelder is a summer resident only and I'lrs. Miller uses her cabin about 6 months out of the year. Director Olson moved, seconded by Director Fieldcamp, both requests be denied. Director Jones stated that we have given relief in the past, and to his recollection the only ones that we were going to accept were those people who had been on before and if the property were to change hands, then the special conditions would not apply, but those that have had relief under the old system were the ones we would consider and Director Jones stated if others had been given relief he feels we should then give these two requests relief. Roll Call Votes: Ayes: to deny requests: D'?ectors Olson, Fieldcamp, and President Kashuba. Noes: Directors F.J. Cocking and J.R. Jones. Pbtion carried, the requests are denied. [ianager Cofer stated that if these exemptions were granted, we w~uld be obligated to make a survey each year to make certain the same people are owners of that particular proper~y and it would require many manhours. Letters will be mailed to those that requested relief with an explanation. Director Olson stated all should be treated equally. REPORT ON CUSTOMER SURVEY (WATER SYSTEM) As reported by D.W. Callahan: At the request of ACWA, the District has completed the survey of water customers regarding their water service. Customers contacted were 2.6%. Four questions were asked, as follows: (1) Who supplies your water? - 32% gave correct answers; 23% stated the City; 21% stated Private Water Companies, and the remainder stated they did not know. (2) (3) How ~ould the job be rated the water supplier did/does in servicing their water needs? - 94% stated excellent to good and the remaining 6% stated the cost was too high. Which news media/etc .... , etc., would the customer rely on to obtain information on an issue such as water? - 56% stated the newspaper, and the remainder percentage stated TV and radio. Adjourned ~eting -2- 11/22/78 ITEMS FOR BOARD ACTION: (1) Fallen Leaf Lake Sewer Project (a) Staff Report: Attached are two analysis of the estimated cost of the Fallen Leaf Lake Sewer Project. In Table I the costs are computed assuming that the grant funds will be limited to the present authorization of 87 1/2% grants on 40% of construction project. In Table II the costs are computed on the basis ~t an additional 10% grant funding will be approved. In both tables the USFS permittee's share is based upon the assumption that the permittee's will contribute 10% of the flow volume. We t~ve been conservative in the estimates with $189,000 in contingencies and assuming that if all of the contingencies are used only 50% of the costs would be eligible for grants. The computations indicate that the authorized assessment funds might be $47,000 short with the present grant funding and would t~ve a $33,000 surplus if the additional grant funding is approved. Factors that misht increase costs (1) Construction problems (2) Construction damages resulting in costs to district (3) Reductions in grants due to audit review (4) Increased engineering costs due to grant program and construction difficulties (5) Failure of USFS permittee's to proceed with project (6) Delay of the project Fac%ors that misht reduce costs (1) Contractor complete project in one year would reduce inspection cost and minimize risk of construction interference damages. Recommendation We believe that the authorized assessnmnt funds will be adequate to meet the project costs. Delay of the project would only result in further increased costs and we may lose the ability to sell bonds. We recommend that the South Tahoe Public Utility District proceed with the project. COST SU~Y FALLEN LEAF LAKE SEWER PROJECT WITH 87 1/2% GRANT FUNDING '0N 40% OF PROJECT (Values in $1~000's) ITEM ESTImaTED ESTIMATED NET COST GRANT COST USFS PERMITI~'S SHARE 1. Construction $1,887 $660 $1,227 2. Const. Cont. (10%) 189 33 156 3. Right of Service 100 100 4. Sites & Easements 30 30 5. Engineering (a) Design Criteria 26 26 (b) Final Design 132 132 (c) Cons. Survey 39 14 25 (d) Soils 8 3 5 (e) Prints, Plans & Specs. 5 5 (f) Re Bid Proj. 20 20 (g) Inspection 155 43 112 (h) Overruns 60 60 (i) Revenue Program 15 15 (j) 0 g M Manual 13 13 (k) Const. Mgmt. Prog. 5 $ 86 11 2 2 9 2 1 8 4 1 1 Regular Meet ing - 3- 11 / 2 / 78 By Bill Dunckhorst: (Water Systems Manager) WATER U ILITY C0~@~TTEE REPORT November 2, 1978 FOR SOU~Tt TA~t0E PUBLIC UTILITY DISTRICT ~qTER P?0DUCTION ,FOR 0CTOBE?. 1978 Percent OCTOBER (M.G.) 1977 1978 Change Well Production 84.1 82.5 - 1.9 Cold Creek Diversion 15.9 36.5 +129.6 Totals ~ ~ + 19.0 Calendar Year to Date 1977 1978 Percent Change Well Production 680.5 759.8 + 11.7 Cold Creek Diversion 377.9 417.1 + 10.4 Totals 1,~.4 1,1-~ + 11.2 REPORT BY PROG?V~M~NAGERS: ~u~ager Cofer stated that he has asked the staff to present some slides (Water Supply and ~hintenance Division). Bill Dunckhorst showed slides that were taken last week during the pump test at the Airport Well - showed materials that were used and where the water ~s going. The Maint:enance Division also trod slides to show the Board Members of the recent spill the District encountered, and 1.~. M. Fagot had stated this particular manhole was also tt~ same one that was vandalized some months back, which could possibly be tt~ cause of this spill if some rocks had been not cleared from the vandalism a few months back. These manholes have bolt down covers and the seeping would be from the barrel and not the manhole covers. [~bmager Cofer stated that within an hour and fifteen minutes from the time our crews learned of the overflow, they had it broken and took corrective action. No one knew the exact location of this stoppage. The crew went across from the runway and hunted for it, and we did everything humanly possible to get this corrected as quickly as possible. Mel Fagot does carry a camera with him at all times, and will always be taking our own slides. Regarding this spill - a visitor tmd notified Mr. Bruner who notified the District a day following, after he returned to the Bay Area, to the best of our knowledge. ~AGER OF OPERATIONS: By John Bonnet OPERATIONS REPORT - JOHN BO~8fET. - 11-2-78 For the past two months we have had problems with the sludge in the digesters. We have not been able to centrifuge enough sludge to load the furnace without creating a dirty centrate, which goes back into the system to create another problem. We have changed the polymer used in the centrifuge. This helped a great deal, but we were still unable to keep up. Connie Ross suggested that we increase the speed of the centrifuge, by changing the shives. This was done to Combo #1 and b~s also helped a great deal. The speed was also in- creased on the sludge centrifuge after seeing the improvement from Combo #1. We are now holding our own and can in fact overload the furnace. Even though we are able to do this, it will be some time before we are able to lower the digesters. The reason it will take some time is because we have to get rid of these very fine solids that were created by running a dirty centrate for so long. Once this is done it should not be too much of a problem to lower the digesters and get back to a normal operation. The rest of the plant continues to perfom verv well. We have one pit violation of 6.9 for disct~urge requirements.~ We had to pump #1 pond down as low as possible so maintenance could install a Regular Meeting -7- 11/16/78 We are asking Lahontan to release the standard of ammonia at Indian Creek Reservoir - and hopefully, not have to maintain an all-year fishery. If this is done, we can then stock fish before the Memorial Day Holiday, delivery not prior to 5/12/78 and no later than 5/25/78. Manager Cofer recommended the Plans and Sepcifications and Advertise- ment for Bids be approved. There is no guarantee from the supplier on whether or not the fish will survive. Director Jones moved, seconded by Director Fieldcamp, unanimously carried. (7) Contract for Carbon Furnace Scrubber Duct Work, and Authorize Award of Contract. Manager Cofer stated three bids were received and low bidder was Hickenbotham Bros. for $5,943, and requested awarding contract to Hickenbotham. Director Fieldcamp moved, seconded by Director Jones, unanimously carried. (8) Clarification Policy of Withholding Cost of Living Increase Manager Cofer stated that this was discussed at our meeting with the Union Representatives today, and we are not paying the Cost- of-Living Increase until some judgment is made by the Courts. One of our employees - E. Metheney - is resigning and the question came up if he is leaving, will he be eligible for the cost of living in- crease; there are some cities that are holding up the increase, but they did give an indication they would pay to the employee that would be leaving employment. Manager Cofer recommended that we not pay Mr. Metheny now, but at such time that the Board approves the Cost of Living Increase for employees, we would pay him for the time he worked. Director Olson moved, seconded by Director Cocking, unanimously carried, the Manager's recommendation be approved, as so stated~above. Attorney Weidman stated that perhaps we are not going to get the help from the Supreme Court that we thought we might get, and if that proves to be the case, we should move this issue perhaps next month, before the 1st of the year. The situation might change that perhaps we might want to make the decision ourselves. Attorney Weidman stated that he perhaps will recommend to the Board to approve the Cost of Living Increase in the near future. Manager Cofer stated that he would agree with Mr. Weidman, and that we should consider this very seriously next month, as it is creating a serious moral problem at the Utility District. WILL SERVE LETTERS: Proposed museum and library at the corner of Rufus Allen and Highway 50 for water supply; and Mr. Callahan stated we do have sufficient water supply to serve. This is a request from the architect and a proposal by the County of E1 Dorado. Director Cocking moved, seconded by Director Jones, unanimously carried, the Will Serve Letter be approved to mail to CTRPA. PAYMENT OF CLAIMS: Director Olson moved, seconded by Director F~eldcamp, unanimously carried, claims in the amount of $171,692.03, as recommended by Assistant Manager Callahan, be approved for payment. ADJOURNMENT: The Board of Directors went into Executive Session at 10:10 P.M. and this meeting of the Board (Regular Meeting) was ad- journed to November 22, 1978, 7:00 P.M., District Offices, to dis- cuss the purpose of considering Bond Sale, Fallen Leaf Lake Sewer Project. ne L-.- K~s~uba, President South Tahoe Public Utility District ATTEST: Ci~K ~f kBoard,- Mary D. Ambr~s~- South/Tahoe Public Utility District Regular Meeting -10- 1 o/19/78 PAYMENT OF CLAIMS: Assistant Manager Callahan recommended approval of $307,412.75; Director Olson moved, seconded by Director Fieldcamp, unanimously carried, claims be paid as recommended by Mr. Callahan, Workshop Sessions Scheduled: 10/26/78 Water Committee; 10/30 Agenda. ADJOURNMENT: 10:30 shuba, P~ident South Tahoe Public Utility District ATTEST: /' ,~ ~ /~" ~ ,~ ?. ~ ~ ~ , u,1 ooard, Mary D. ~bro~e- ~outh I/ahoe Public Utility O~str~ct REGULAR ~rTING OF THE BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT November 2, 1978 The Board of Directors of the South Tahoe Public Utility District met in a regular session on 11/2/78 at 8:00 P.M., District Conference Room. ROLL CALL: Present were President L.L. Kashuba, Directors W.N. 01son, F.J. Cocking, R.A. Fieldcamp, J.R. Jones, Manager/District Engineer James R. Cofer, Assistant Manager/Finance Officer David W. Callahan, Clerk of Board, G. Eppler, J. Bonnet, W. Dunckhorst, B. Baer, M. Fagot, C. Ross, Mrs. J.R. Cofer. ABSENT: Attorney J.C. Weidman. CORRECTIONS 0RADDITIONS TO AGENDA: ~mnager Coferrecommendedand requested an addition to the agenda: XIII-(5) Power Usage Study - Ingalls. Approved for addition. ~.SNUTES: Director Olson moved, seconded by Director Fieldcamp, unanimously carried, that the minutes of 10/19/78 be approved as changed. (Certain statements made by Board and ~r. Hampson that President Kashuba felt should be included re Tahoe Tyrol.) REPORT BY BOARDMEMBERS: Director Fieldcamp stated that while he %,~s at Placerville he talked with the E1 Dorado County Water Agency Committee Members and came away with the feeling that we have 100% backing if we want to go to another well. Mm. W. Johnson also suggested that we talk with Knox Johnson and Marjorie Springmeyer - and requested another member of this Board go with him to talk with ~'Ir. Johnson and ~rs. Springmeyer, and Director Jones will go along with Mr. Fieldcamp for this meeting. Director Jones stated that on Friday, October 27th, EPA held their Technical Advisory Committee Meeting regarding the EIS being prepared by Sedway/Cooke of San Francisco. Lorrene Kashuba, J.R. Cofer and J.R. Jones did attend this meeting. The Committee presented their list of items that they felt were concerns that should be addressed in the Environmental Impact State- ment. There were very few con~nents from the people there. Ail was directly related to the TRPA Planning Project. They will have another meeting on December 8th, 1978. Regular Meeting -5- 11/16/78 While replacing the 10" control valve on the #3 pump, the #1 pump impeller went out, requiring the complete dismantling of this unit before the standby impeller could be installed. The impeller unit will have to be sent to Los Angeles for repair. We called Mr. Rolls, District Manager for Byron Jackson, and had him come up to look at this unit; it had only 1,208 hours running time on it. His staff will inform us by letter as to the cause of the damage, etc. On the force main repair and corrections, Resources Engineering and Management has been meeting with the Forest Service regarding the surge protection on Luther Pass. The Department of Forestry has indicated they like the new alignment which is 45 feet higher than before. REM will be submitting the final plans to Cal-Trans for their final approval shortly regarding the pipe replacement and alignment. Work is well underway on the surge discharge facilities at Luther Pass Pump Station. I will keep you posted on the progress pertaining to the force main facilities. FINANCE OFFICER'S REPORT: Mr. D. W. Callahan stated that the report on the Sewer Enterprise Fund has been given to each Director for their review and stated that our expenditures exceeded revenues by $100,000.00. The Finance Committee will review and discuss this report and report back to the Board Members. ITEMS FOR BOARD ACTION: (1) Bids Received on Fallen Leaf Lake Sewer Project. (1) Themesen Inc ................. Martinez: Schedule "A" $ 662,995 (2) (3) Schedule "B" 1,698,004 $2,360,999 Kirkwood-Bly Schedule "A" $ 667,285 Schedule "B" 1,448,604 H.M. Byars Cons. Co. Schedule "A" Schedule "B: $2,115,889 $ 408,579 1,478,766 $1,887,345 (4) Hood Construction Co. Schedule "A" $ 709,043 Schedule "B" 2,255,388 $2,964,431 (5) Valley Engineers, Fresno Schedule "A" $ 874,312 Schedule "B" 1,826,705 $2,701,017 Manager Cofer stated that we are in the process of reviewing the bids, and the assessment budget, and requested the Board adjourn this meeting to a meeting to be held on the 22nd of November at 7:00 P.M. for the purpose of considering the sale of bonds for the Assessment District; he further stated that we are advised that the bond market is deteriorating at a very rapid rate, and if we are going to sell bonds, we are going to need to sell bonds as quickly as we can. Attorney Hill will be present on the 22nd with a firm offer re purchase of the bonds. (2) Staff Report - Sewer Connection Charges; Receive Report Set Hearing and Authorize Notice. ' Manager Cofer stated that the Staff is recommending the Board increase the connection charge by $500 per sewer unit, or $1,500 per single family dwelling unit, and these funds would be used to fund the local share of the Head Start Program. Mr. Callahan had prepared two draft ordinances, and the Board was requested to review same, set a hearing date also. It was discussed that because of a Lahontan meeting on December 7th, which is the Board of Directors Regular Meet- ing Night, the meeting will be changed to December 8th, Friday evening, 8:00 P.M., at the Lake Tahoe Unified School District Board Room, A1 Tahoe Blvd. Director Olson moved, seconded by Director Jones, that Regular ~eting -6- 11/2/78 (4) Which organization would they rely on to obtain their information? Only 34% stated the water supplier; the remainder percentage spread amongst several other agencies. Manager Cofer stated that ACP~ will request another survey six months from now. Assistant ~.~mnager Callahan stated that this survey involved two girls at 16 straight time hours and 16 overtime hours. (4) ACCEFTANCE 0FAIRPORT WATER ~LL PROJECT: Manager Cofer stated this project is completed and recommended acceptance of same by the Board. Director 01son moved, seconded by Director Fieldcamp, unanimously carried. ($) .q°PLICATION FOR ELIGIBILITY SURPLUS PERSONAL PROPERTY PROGR~I. Consider Adoption of RESOLUTION NO. 2137, allowing representatives Kenneth Schroeder, Maintenance Supervisor, Claude Gunsch, Maintenance ~cb=nnic and Richard Christianson, Electrical Supervisor, to acquire the federal surplus property for the State of Califoz~ia. Director 01son moved, seconded by Director Jones, =~animously carried, RESOLUTION NO. 2137 be approved, as recommended by Assistant Manager D.W.' Callahan. (6) ORDL-WANCE NO. 282, AN ORDZqANCE AM~DING ORDinANCE NO. 208 and providing for Expenses of Directors and Officers (20 cents per mile for tlm first 1,000 miles per trip and then 8 cents per mile for any excess. Director Olson moved, seconded by Director Jones, unanimously carried, 0RDIN~qCE NO. 282 be approved. (This will apply to also the employees that are on Company/District business.) (?) POWER USAGE STUDY (INGALLS ASSOCIATES OF EMERYVILLE, CALIFORNIA) Sixty days of historical data will be analyzed as follows: (1) A demand versus frequency of occurrence table and histogram will be provided. (High demands occurring infrequently offer great opportunities for savings.) (2) A histogram showing number of control actions each day to meet different demand limits wJ_ll be provided. ($)~ An average weekday profile will be provided. (4) An average weekend day profile will be provided. (5) The profile of the three worst demand days will be provided. (6) A breakdown of consumption and demand of up to five time periods will be provided. (This permits you to evaluate what your billing might be under proposed time of day rate schedules. ) In addition, a study of your sewage treatment facility will be made to determine mutually which loads could be deferred. A load control table showing load priorities, minimum~ off time for each control action, minimum on time after each deferral, probability of being available for deferral during peak consumption periods and potential savings from implementing such control. To conduct this survey we will need the help of personnel familiar with the electrical systems as ~11 as the plant process oper- ations. Also, a study of your system storage capabilities will be made to determine what long term pumping deferrals and time of day control strategies might be appropriate. The price for the overall analysis of the treatment plant is $2,400.00. If you wish to include the computer analysis only of the Lut~mr Pass Pumping Station the combined price would be $3,000.00. The complete study w~ll be available within 30 days of our receipt of your historical data. Regular -7- 11/2/78 ~gmnager Cofer recommended $3,000 be authorized for the above mentioned study by Ingalls. Director Cocking moved, seconded by Director Jones, unanimously carried. President Kashuba requested the Ibmager to have reports on any problems as the study is progressing. WILL SERVE LETTERS: (1) Proposed Office Building - 3380 Lake Tahoe Blvd. -- This proposed facility would have 5 sewer units and can be served with the existing 1" water service. (2) Proposed Office Building, Lot 1, Block 3, W.D. Barton Tract - 17~is building ~uld be served from the existing 8" water main on Kyburz Avenue; a 1" metered service will be installed. Director J.R, Jones stated tlmt he is still concerned about the water supply until we get the report from Culp/Wesner/Culp; we have this new well in and we have a good supply of water, but he does not feel we should be pushing the full limit on that. Mr. Dunckhorst stated that at this time there is no problem, we are not adding, we would be reinstating service that is already there. Director Jones stated how much of an impact on the existing system will the new homes have that are not yet finished. }~. Dunckhorst stated the one area he is concerned about is the Tahoe Tyrol - the above two requests received this evening does not pose a problem for us. Manager Cofer stated that we are going to have time in the water system to complete that report and the water system is not in bad shape and these few requests that are coming in now will not jeopardize us in any way. Director Fieldcamp asked if we didn't defer some action on a Will Serve Request until the Airport Well was completed. Assistant Manager Callahan stated we did w~iteato the person that requested the Will Serve, stating t]~t, and we have not received furt]~r communication. Director Olson moved, seconded by Director Fieldcamp, unanimously carried, the above two requests for Will Serve Letters be approved. PAYMENT OF CLAIlqS: Director Olson moved, seconded by Director Fieldcamp, unanimously carried, claims in the amount of $252,499.59, as recommended by D.W. Callahan, be approved for payment. ADJOURN7~: 10:00 P.M. ATTEST: Clebk o~/Bo~rd,~,~ry D. Ambrose South T~hoe Public Utility District 'Dorrene L. Kashuba, Preszdent South Tahoe Public Utility District REGULAR MEETI~G OF rIHE BOARD OF DIRECTORS South Tahoe Public Utility District November 16, 1978 The Board of Directors of the South Tahoe Public Utility District met in regular session at 8:00 P.M., 11/16/78, District Conference Room. ROLL CALL: Present were President L.L. Kashuba, Directors W.N. 01son, F.J. Cocking, R.A. Fieldcamp, J.R. Jones, General Manager/District Engineer J.R. Cofer, Assistant ~L~nager D.W. Callahan, Clerk of Board, Attorney J.C. Weidman, G. Eppler, D. Huber, C. Ross, Larry Smith, R. Williams, D. Henricks, Mr. Heise, Mr. Dunckhorst, Mike McNamara and ~ir. Julian Smith, Attorney. CORRECTIONS OR ADDITIONS TO AGENDA: Manager Cofer requested an additional item be added to the agenda - Clarification Policy of Withholding Cost of Living Increase; Director Olson moved, seconded by Director Jones, unani- mously carried, agenda be approved as amended. ~NUTES: November 2, 1978 - Regular Meeting of the Board. President Kashuba stated she has been out of the area, and has not had the opportunity to review the minutes. Requested same be postponed to the next regular meeting of the Board of Directors on 12/7/78; the members of the Board agreed to postpone action until 12/?/78. PgPORT BY BOARD MEMBERS: ~ Director Fieldcamp stated that regarding the CASA meeting - our President did a beautiful job on the meetings she put on at CASA - great responses. President Kashuba stated that as a result of the presentation and discussion in the Local Agency Directors' meeting, the Executive Board of CASA voted to provide as much information to the task forces as possible on financing of local districts and functions of sanitation agencies. The Executive Director, and Lobbyist, Mike Dillon will follow the legislation which will be introduced following the Post Con~nission report. It was suggested that the new Chairman Elect of the Local Government Committee in Sacramento be present at our next meeting. She briefly reviewed what the Post Commission zs supposed to do, study local government and efficiency in government. However, the Governor in his Executive Order and other statements has said that all local districts should be eliminated (under the guise of efficiency in government). President Kashuba noted that reform of local government, consolidation and elimination of special districts was also the action considered when the Tahoe Regional Planning Agency was formed. It was supposed to be more efficient. COMMITTEE REPORTS: None REPORT ON WORKSHOP SESSIONS AND MEETINGS: (1) 11/6/78 (2) 11/8/78 (3) 11/10-11/78 (4) 11/15/78 Sewer Service Charges EPA Workshop Facilities Planning California Association of Sanitation Agencies Agenda Items ~IANAGER'S REPORT: Manager Cofer stated he had no written report to present to the Board, however, he did receive a letter from the State Water Resources Control Board re South Tahoe Public Utility District, C-06-1410-010, Head Start Program, Approval, as follows: SOUTH TAHOE PUBLIC UTILITY DISTRICT, C-06-1414-010 IbRD START PROGRD2-~, APPROVAL ' This office has received and reviewed the scope of work submittal accompanying your transmittal letter of October 26, 1978. The scope of work proposed by your consultants in the submittal on the Head Start Program is eligible for grant participation. Our office b~s not reviewed the amended subagreements for procedural conformance. However, prior approval will not be required; therefore, you are authorized to commence work on the completion of the Facility Plan for the Head Start Program. Work performed prior to a signed engineering agreement will not be an eligible cost. Regular l~eet ing -2- 11/16/78 The estimated eligible costs are as follows: Head Start Program 1) Final Project Report $9,000.00 2) Final EIR $10,000.00 With the concurrence of the EPA and the Lahontan Regional Water Quality Control Board, the Division of Water Quality has determined that the proposed standby pumps for the treatment plant effluent pump station and for the Luther Pass pump station are independent of capcaity or project alternative which will be ultimately selected and will not prejudice the completion of the EIS. These pumps will be eligible for funding only if the District agrees that the pumps will be used for emergency standby purposes only. The staff of the Division of Water Quality has reevaluated the propos~~ emergency pond pumping station for possible incorporation into the Head Start Program. Because the emergency pond, with the proposed pump station, could function as a flow equalization basin for the treatment processes, this item is not independent of capacity and is not approved for inclusion in the Head Start.Program. An item you need to be aware of, explained in Clean Water Grant Bulletin No. 68, is the requirement that a final Revenue Program must be approved before a Step 3 grant can be issued, for all projects expecting Step 3 grants after June 30, 1979. ATrORNEY' S REPORT: Attorney J. C. Weidman stated we have not been sued on Tahoe Tyrol, but we have been sued in San Mateo County by Bohannon re Montg~nery Estates, and requested discussion of this litigation in an Executive Session this evening. At the CASA Attorney Meeting, ~ir. Weidman learned that we may not have much help from the Supreme Court re the Cost of Living Increase for the Employees, and that as near as he can find out, no entity has filed an action on the U-1 type of bonds that we have, and suggested that we add this to the agenda when Attorney Bob Hill is present to discuss. Mr. Weidman also stated that he attended two EPA workshops, one here with Manager Cofer, and last night at Sacramento. Re Alpine County - here there was tremendous opposition to secondary disposal, and the meeting last night was a tremendous push for no project and no growth. Mr. Weidman suggested this be discussed at greater length in a study session. lit. Weidman also mentioned that re the bather Pass Pump Station - he hopes we can give some thought to getting phosphorus removal, if it becomes a mmste discharge requirement into the "ttead-Start" Program. ~. Weidman stated that there is a phosphorus standard in the basin plan, and we at present do not have a standard at the District. ${0P STE~'S REPORT: None present. Manager Cofer did read a letter to the Board from Ron Wood, Business Rep- resentative of the Union, Stationary Engineers, Local No. 39, in which the Union is objecting to the shift rotation in Operations Department and ~-t~nager Cofer requested that this item also be added to the discussions in the Executive Session this evening. Attorney Weidman stated tt~t the letter seems to indicate that the Manager has enacted this, and he has not. C0~%~rs FROM ~-~ AUDIENCE: Mr. Burr stated that they do now use the effluent in Diamond Valley, and he stated that they would like to have the secondary treated water; they could use the water, the nitrogen, the p?Dsphates. There is approximately 900 acres owned by the Heise Family, or roughly over 1,000 acres they can irrigate. In a waterless year they could Regular Meeting -3- 11/16/78 roughly 11 acre feet of water, and other years about 8 acre feet. He also stated that he, personally, cannot see why Alpine County would have the right to tell him he cannot use the secondary treated effluent for irrigation. Also, wanted to negotiate with the South Tahoe Public Utility District and eliminate the government, settle it right here, and not get into the politics. He also stated he would like to go on record right now and stated the people in Alpine County look down on the ranchers. Therefore, if there is some way politics can be eliminated and Heise Livestock and the South Tahoe Public Utility District negotiate for this water, and not go to Alpine County at all, since it is really none of their concern; they want money. Manager Cofer stated Alpine County does want $400,000 per year - that was made clear. Attorney Weidman stated that our current agreement is with Alpine County Board of Supervisors and Water Agency. Director Cocking stated it would seem to him that if we are going to be held up for a total of $600,000, as we are in a cash flow position right now, it would be simple to prove that since the Heise people do want to take the secondary treated effluent, we would have a very good case to get out of the contract with Alpine County, and he does not understand why we should saddle the people in South Lake Tahoe with four or six hundred thousand dollars when we don't have to. Mr. Weidman stated that we will have to get around Alpine County somehow, and let them make the statement they do not want the reservoir, nor the tertiary treated effluent. Mr. Weidman asked the Heise representative if he was saying that they would be willing to exchange their water rights on the Carson so that we could maintain Indian Creek and he stated he would re- serve that, and that their water rights they would never give up; also, his neighbors are concerned and they do not want to trade their good river water rights for secondary effluent, and another neighbor is very concerned over the soaps. Mr. Weidman stated that Alpine County would be in a position to hold up - the last time they passed an Ordinance prohibiting disposing of any sewage, treated or untreated, from another county and that ordinance is still on the books and the contract suspends this Ordinance for the District. The Attorney General indicated that the ordinance was in some respects legal and therefore we would have to get an agreement with Apline County whereby they do not want the reservoir and the tertiary treated water. Mr. Burr stated that Alpine County must go through their ditch in order to get the water. Mr. Burr asked why the valve had been turned off; Mr. Cofer stated we do not control that valve and it must have been shut off by the Water Master. Manager Cofer asked Mr. Burr if he could possibly get the other ranchers to attend another meeting and discuss this, and he said he would sure try. Manager Cofer stated that Mr. Neddenreip had stated (at the EPA Hearing) that maybe there is some middle ground between secondary and tertiary treated waters that would resolve some of the concerns, and Manager Cofer stated we do not know what that would be - maybe filtration, which would add to our costs, and Manager Cofer stated that he is still interested in the secondary treated water. Mr. Burr stated that the lady that conducted the EPA meeting was certainly not too well informed and felt someone should sit down and discuss this with her. President Kashuba asked Mr. Burr if all the property he is talking about is farm land, and Mr. Burr stated no, they do abut up against a subdivision, but the lands are as good, or better, than any native land. Mr. Julian Smith, Attorney, stated that he did want to mention that they will not accept (Heise) anything that is wet, and would expect to have minimum standards for accepting the water. Regular Meeting -4- 11/16/78 REPORTS BY PROGRAM MANAGERS: MANAGER'S REPORT WATER SUPPLY SYSTEMS W. DUNCKHORST November 16, 1978 Progress on the modification of the A1 Tahoe well is at a stand- still. The reason for this is that the new electric panel box which was ordered about two months ago will not be shipped until December 22, 1978. This will make arrival of this unit about the first of the year. I have talked to the Luhdorf Co. in Woodland and I understand they are also waiting for ordered equipment. My best guess is that this project will not be completed until early spring. Mr. Baer and myself are presently reviewing the draft plans on phase three of the airport well. We will have these plans back to CWC by November 22 at which time the final contract documents will be made up. Our tentative schedule for this project is, Board approval and advertising for bids December 7, 1978, bid opening about January 30, 1979. Award of the bid should be after February 1, 1979 at our first Board meeting in February. Site work should start on May 1, 1979 and completion about October of 1979. OPERATIONS REPORT The carbon furnace has been shut off since last Thursday. This was done to try to hold the scrubber together long enough to get by until the new one is installed. We have been able to keep the COD'S down and will again start regeneration when the COD concen- tration gets up to about 19 mg/1. We will regenerate only long enough to get it back down and shut it off again. Hopefully, this will get us through for three or four months. We are making some progress in the furnace building. Maintenance is doing all they can to keep the equipment operational and the operators are putting all they can through the sludge furnace. I have put another aeration basin on the line in anticipation of high flows through the holidays and runoff from the snow. So far this month we are in complete compliance. The pH average is 7.2, COD is 12.0 mg/1. Indian Creek ammonia is 3.0 mg/1 and the pH is 7.8. MANAGER'S REPORT MAINTENANCE DIVISION GENE EPPLER November 16, 1978 A few major breakdowns have been encountered in the past two weeks. The motor bearings went out on our 250 HP blower motor, so it had to be removed and sent to Sacramento for repairs. The Luther Pass Pump Station 10" control valve to our 1,000 HP pump had to be replaced with our standby valve. The reason the valve failed is still unknown, although District personnel will make the repairs to this valve. Regular Meeting -5- 11/16/78 While replacing the 10" control valve on the ~3 pump, the #1 pump impeller went out, requiring the complete dismantling of this unit before the standby impeller could be installed. The impeller unit will have to be sent to Los Angeles for repair. We called Mr. Rolls, District Manager for Byron Jackson, and had him come up to look at this unit; it had only 1,208 hours running time on it. His staff will inform us by letter as to the cause of the damage, etc. On the force main repair and corrections, Resources Engineering and Management has been meeting with the Forest Service regarding the surge protection on Luther Pass. The Department of Forestry has indicated they like the new alignment which is 45 feet higher than before. REM will be submitting the final plans to Cal-Trans for their final approval shortly regarding the pipe replacement and alignment. Work is well underway on the surge discharge facilities at Luther Pass Pump Station. I will keep you posted on the progress pertaining to the force main facilities. FINANCE OFFICER'S REPORT: Mr. D. W. Callahan stated that the report on the Sewer Enterprise Fund has been given to each Director for their review and stated that our expenditures exceeded revenues by $100,000.00. The Finance Committee will review and discuss this report and report back to the Board Members. ITEMS FOR BOARD ACTION: (1) Bids Received on Fallen Leaf Lake Sewer Project. (1) Themesen Inc ................. Martinez: Schedule "A" $ 662,995 (2) (3) Schedule "B" 1,698,004 ~'2,360,999 Kirkwood-Bly Schedule "A" $ 667,285 Schedule "B" 1,448,604 H.M. Byars Cons. Co. Schedule "A" $2,115,889 $ 408,579 Schedule "B: 1,478,766 ~1,887,345 (4) Hood Construction Co. Schedule "A" $ 709,043 Schedule "B" 2,255,388 $2,964,431 (5) Valley Engineers, Fresno Schedule "A" $ 874,312 Schedule "B" 1,826,705 $2,701,017 Manager Cofer stated that we are in the process of reviewing the bids, and the assessment budget, and requested the Board adjourn this meeting to a meeting to be held on the 22nd of November at 7:00 P.M. for the purpose of considering the sale of bonds for the Assessment District; he further stated that we are advised that the bond market is deteriorating at a very rapid rate, and if we are going to sell bonds, we are going to need to sell bonds as quickly as we can. Attorney Hill will be present on the 22nd with a firm offer re purchase of the bonds. (2) Staff Report - Sewer Connection Charges; Receive Report Set Hearing and Authorize Notice. ' Manager Cofer stated that the Staff is recommending the Board increase the connection charge by $500 per sewer unit, or $1,500 per single family dwelling unit, and these funds would be used to fund the local share of the Head Start Program. Mr. Callahan had prepared two draft ordinances, and the Board was requested to review same, set a hearing date also. It was discussed that because of a Lahontan meeting on December 7th, which is the Board of Directors Regular Meet- ±ng Night, the meeting will be changed to December 8th, Friday evening, 8:00 P.M., at the Lake Tahoe Unified School District Board Room, A1 Tahoe Blvd. Director Olson moved, seconded by Director Jones, that Regular Meeting -6- 11/16/78 the hearing be set at 8:00 P.M. on December 8, 1978, at the Lake Tahoe Unified School District Board Room on A1 Tahoe Blvd and unanimously carried. ', (3) Participation in State Disability Insurance: The employees were given the opportunity to cast their vote as to whether we should continue this insurance or delete it. The employees prefer to retain the State Disability Insurance and Director Olson moved, seconded by Director Fieldcamp, unanimously carried, the State Disability Insurance be continued and coverage be approved.(Resoluticn 2137A) (4) Policy on Meals and Travel Expenses - request policy be approved. POLICY ON MEALS AND TRAVEL EXPENSES Whenever an employee is required to work ten (10) consecutive hours or more the District shall pay the employee $5.00 for a meal. When an employee is required to work a straight 16 hours he will be paid $10.00 for meals. No receipt will be required, however, the employee's department manager must approve the payment (Bonnet, Eppler, Dunckhorst and Callahan). Time off (without pay) shall be pursuant to Section 19 of the M.O.U. for eating the meal. When a plant operator has the meal brought to him then no time is deducted. Expenses incurred when traveling out of town and overnight shall be reimbursed at actual cost. However, reimbursement shall be limited to reasonable amounts and receipts must be submitted. The method of transportation must be approved in advance by the de- partment manager. A travel expense advance can be given. However, only if the de- partment manager requests the advance prior to the Board of Di- rector's meeting preceding the time of travel. Receipts of all money expended must be turned in with the excess cash and/or request for reimbursement. Director Olson moved, seconded by Director Cocking, unanimously carried, the Policy on Meals and Travel Expenses be approved as so stated above. , (5) Water Charges for St. Theresa's Church and School ~4r. W. Dunckhorst stated that: SUBJECT: Metering - St. Theresa Church and School "On Tuesday, November 7, 1978, I met with Father Grace of St. Theresa's Church and we discussed the probability of the District metering both the Church and the School. Father Grace is emphatically against metering any of these places as he claims part of the church is also a residence. The estimated cost to install a meter on the Church and a meter on the School would be $928.76. It would be my recommendation to charge the Church a flat annual rate of $950.00. I base this figure on the annual rate of a 2" meter on the School and a 2" meter on the Church which would be $840.00 annually, also an annual residential rate of $110 00 - totaling $950.00. ' With a rate structure as above, I feel this would give us a base to go by if we should have a rate increase in the future." Director Olson moved, seconded by Director Jones, unanimously carried, the charge of $950.00, as mentioned above, be approved, per Manager Cofer's recommendation. (6) Stocking Trout at Indian Creek Reservoir: Approve Plans and Specifications and Advertise for Bids for Bid Opening on 12/8/78. Regular Meeting -7- 11/16/78 We are asking Lahontan to release the standard of ammonia at Indian Creek Reservoir - and hopefully, not have to maintain an all-year fishery. If this is done, we can then stock fish before the Memorial Day Holiday, delivery not prior to 5/12/78 and no later than 5/25/78. Manager Cofer recommended the Plans and Sepcifications and Advertise- ment for Bids be approved. There is no guarantee from the supplier on whether or not the fish will survive. Director Jones moved, seconded by Director Fieldcamp, unanimously carried. (7) Contract for Carbon Furnace Scrubber Duct Work, and Authorize Award of Contract. Manager Cofer stated three bids were received and low bidder was Hickenbotham Bros. for $5,943, and requested awarding contract to Hickenbotham. Director Fieldcamp moved, seconded by Director Jones, unanimously carried. (8) Clarification Policy of Withholding Cost of Living Increase Manager Cofer stated that this was discussed at our meeting with the Union Representatives today, and we are not paying the Cost- of-Living Increase until some judgment is made by the Courts. One of our employees - E. Metheney - is resigning and the question came up if he is leaving, will he be eligible for the cost of living in- crease; there are some cities that are holding up the increase, but they did give an indication they would pay to the employee that would be leaving employment. Manager Cofer recommended that we not pay Mr. Metheny now, but at such time that the Board approves the Cost of Living Increase for employees, we would pay him for the time he worked. Director Olson moved, seconded by Director Cocking, unanimously carried, the Manager's recommendation be approved, as so stated.above. Attorney Weidman stated that perhaps we are not going to get the help from the Supreme Court that we thought we might get, and if that proves to be the case, we should move this issue perhaps next month, before the 1st of the year. The situation might change that perhaps we might want to make the decision ourselves. Attorney Weidman stated that he perhaps will recommend to the Board to approve the Cost of Living Increase in the near future. Manager Cofer stated that he would agree with Mr. Weidman, and that we should consider this very seriously next month, as it is creating a serious moral problem at the Utility District. WILL SERVE LETTERS: Proposed museum and library at the corner of Rufus Allen and Highway 50 for water supply; and Mr. Callahan stated we do have sufficient water supply to serve. This is a request from the architect and a proposal by the County of E1 Dorado. Director Cocking moved, seconded by Director Jones, unanimously carried, the Will Serve Letter be approved to mail to CTRPA. PAYMENT OF CLAIMS: Director Olson moved, seconded by Director Fi, eldcamp, unanimously carried, claims in the amount of $171,692.03, as recommended by Assistant Manager Callahan, be approved for payment. ADJOURNMENT: The Board of Directors went into Executive Session at 10:10 P.M. and this· meeting of the Board (Regular Meeting) was ad- journed to November 22, 1978, 7:00 P.M., District Offices, to dis- cuss the purpose of considering Bond Sale, Fallen Leaf Lake Sewer Project. ne L~.' K~s~Uba, President South Tahoe Public Utility District ATTEST: Ci~ ~f ~Boar'd, 'Mar~y~ D. ~mbr-6-s~' South'/Tahoe Public Utility District EXECUTIVE SESSION FOLLOWING November 16, 1978 Regular Meeting Executive Session following the 11/16/78 Regular Board Meeting and Manager Cofer's conments are as follows: The Board of Directors directed the Manager to notify the Union that the matter regarding the proposed rotation of Senior Operators shifts would be placed on the November 22, 1978 agenda for consideration by the Board of Directors. On the matter of a legal action filed by the Bohannon Corporation against the District/Board of Directors, the Board of Directors authorized the Attorney (J.C. Weidman) to accept service of the action and review that matter to see if place of trial can be changed from San Mateo County to E1 Dorado County. The Board of Directors expressed concern at what appeared to be incorrect statements regarding the South Tahoe Public Utility District by the State and T~hontan Water Quality Control Board Staff at the recent Senate Water C~nm.~ttee Hearings and the Board directed the ~lmnager to attend the next hearing to be held in San Bermmrdino County on November 21, 1978 for the purpose of correcting the Senate Committee record. Executive Meeting was adjourned at 11:08 P.M. ATTEST: ~orrene L. Kashuba, President South Tahoe Public Utility District CI~k~o~/Bc~r~, M~'O. Bmbrose South T~hoe Public Utility District ADJOURNED MEETING OF THE BOARD OF DIRECTORS OF SOUTH T~iOE PUBLIC UTILITY DISTRICT FALLEN LEAF LAKE SEWER PROJECT NOVt2~BER 22, 1978 7:00 P.M. (B 0 N D S) The Board of Dipectors of the South T-.~,oe Public Utility District met in an adjourned session on 11/22/28 at ?:00 P.M., District Conference Room. ROLL CALL: Present were President L.L. Kashuba, Directors R.A. Fieldcamp, J.R. Jones, F.J. Cocking and W.N. Olson; Attorney J.C. Weidman; J.R. Cofer, Manager, D.W. Callahan, Assistant Manager, Clerk of Board, Randy Johnson, Pete~ Pischel, Jackie Flanders and Mark Houston, and Al-torney R. Hill. President Kashuba welcomed all visitors, and also our bonding Attorney, R. Hill. CORRECTIONS 0RADDITIONS TO AGENDA: Manager Coferrequested two items to be added to the agenda: (3) Sewerage Spill, and (4) Lahontan Hearing. President Kashuba stated the agenda will stand approved as corrected. REPORT BY BOARD Mt2~ERS: None. Adjourned ~eting -2- 11/22/78 ITEMS FOR BOARD ACTION: (1) Fallen Leaf Lake Sewer Project (a) Staff Report: Attached are two analysis of the estimated cost of the Fallen Leaf Lake Sewer Project. In Table I the costs are computed assuming that the grant funds will be limited to the present authorization of 87 1/2% grants on 40% of construction project. In Table II the costs are computed on the basis t]~t an additional 10% grant funding will be approved. In both tables the USFS permittee's sbmre is based upon the assumption that the permittee's will contribute 10% of the flow volume. We t~ve been conservative in the estates with $189,000 in contingencies and assuming that if all of the contingencies are used only 50% of the costs would be eligible for grants. The computations indicate that the authorized assessment funds might be $47,000 short with the present grant funding and would bmve a $33,000 surplus if the additional grant funding is approved. Factors that (1) (2) (3) (4) ($) (6) Factors that (1) might increase costs Construction problems Construction damages resulting in costs to district Reductions in grants due to audit review Increased engineering costs due to grant program and construction difficulties Failure of USFS permittee's to proceed with project Delay of the project might reduce costs Contractor complete project in one year would reduce inspection cost and minimize risk of construction interference damages. Recc~nendation We believe that the authorized assessment funds will be adequate to meet the project costs. Delay of the project would only result in further increased costs and we may lose the ability to sell bonds. We recommend that the South Tahoe Public Utility District proceed with the project. TABLE I COST SU~VT~Ry FALLEN LEAF LAKE SEWER PROJECT WITH 87 1/2% GRANT FUNDP~G 'ON 40% OF PROJECT ___ (Values in $1,000's) ITEM ESTImaTED ESTIMATED NET COST GRANT COST 1. Construction 2. Const. Cont. (10%) 3. Right of Service 4. Sites & Easements $. Engineering (a) Design Criteria (b) Final Design (c) Cons. Survey (d) Soils (e) Prints, Plans & Specs. (f) Re Bid Proj. (g) Inspection (h) Overruns (i) Revenue Program (j) 0 g M Manual (k) Const. Mgmt. Prog. $1,887 $660 $1,227 189 33 156 100 100 30 30 USFS PERMITI~E ' S SHARE $ 86 11 26 26 2 132 132 9 39 14 25 2 8 3 5 5 5 20 20 1 155 43 112 8 60 60 4 15 15 1 13 13 1 5 5 Adjourned Meeting -3- 11/22/78 TABLE I (continued) ITEM ESTIMATED ESTI?~TED NET COST G~ COST 6. Legal (a) Bond Counsel (2 1/2%) $ (b) Mod. AD (CSO) (c) Other 7. Bond Discounts (2%) 8. Bond Printing 47 $ 47 10 10 29 29 38 38 $ 5 PERMI1TE~ ' S StiARE TOTALS _ASSESSMenT FUND: $2,813 $753 $2,060 $127 Total Project Cost Less Grants Less USFS Permittee,s $2,813,000 ( 753,000) ( 127,000) Net Cost Authorized Assessments Fund Balance $1,933,000 1,886,000 (47,000) TABLE II COST SUMMARY FALLEN LEAF LAKE SEWER PROJECT WITH 97 1/2% GRANT FUNDING ON 40% OF PROJECT (Values in $1~_000's) ESTI~iATED ESTI~iATED NET COST GRANT COST USFS PE~ITI~E ' S SHARE 1. Construction $1,887 2. Const. Cont. (10%) 189 3. Right of Service 100 4. Sites & Easements 30 5. Engineering (a) Design Criteria 26 (b) Final Design 132 (c) Const. Survey 39 (d) Soils 8 (e) Prints, Plans g Specs. 5 (f) Re Bid Proj. 20 (g) Inspection 155 (h) Overruns 60 (i) Revenue Program 15 (j) 0 & M Manual 13 (k) Const. Mgmt. Prog. 5 6. Legal (a) Bond Counsel (2 1/2%) 47 (b) Mod. AD (CSO) 10 (c) Other 29 7. Bond Discounts (2%) 38 8. Bond Printing 5 $736 $1,151 37 152 100 30 15 3 48 26 132 24 5 5 20 107 60 15 13 5 47 10 29 38 5 $ 81 11 2 2 9 2 1 7 4 1' 1 ASSESSMt~T tUND: Total Project Cost Less Grants Less USFS Permittee's $2,813,000 ( 839,000) ( 121,000) Authorized Assessments Fund Balance 1,886,000 $ 33,000 Adjourne~ Meeting -4- 11/22/78 (1) (2) (3) TABLE III C@'~rgTATI~ ASSUMPTIONS 50% of contingencies ~ould be grant eligible (0.50) (0.40) (0.875) = 0.175 x cont. (0.$0) (0.40) (0.975) = 0.195 x cont. 80% of inspection ~ould be grant eligible (0.80) (0.40) (0.875) = 0.28 x Inspec. (0.80) (0.40) (0.975) = 0.312 x Inspec. USFS Permittee's Sb~re = Cost of Main Collection System x 101 flow alloc. COST OF TOTAL SYS17~.~ $1,336~750 (0.10) = 7% $1,887,345 Attorney R. Hill stated that the following letter was received from Stone and Youngberg regamding the Second Sale Series 1971-1B Bonds: Board of Directors South Tahoe Public Utility District c/o Jones Hall Hill & White Attorneys at Law 2250 Union Bank Building 50 California Street San Francisco, California 94111 $1,594,041 Second Sale Series 1971-1B South Tahoe Public Utility District Assessment District 1971-1 Fallen Leaf Lake Area Board of Directors: In accordance with recent discussions with your special bond counsel, Bob Hill, regarding the issuance of $1,594,041 par value representing the second sale of the above-described assessment district, we wish to submit the following proposal: We agree to purchase all of the above-described bonds to issue from the South Tahoe Public Utility District and you agree to sell the bonds to us subject to the following terms and conditions: Bonds shall be issued by the South Tahoe Public Utility District pursuant to the Municipal Improvement Act of 1913 and the Improvement Bond Act of 1915, and shall mature each year for 15 years from July 2, 1980, through July 2, 1994. The maturity schedule is attached. Ail bonds shall be accompanied by the approving legal opinion of Jones Hall Hill & White, San Francisco, California. The cost of said legal opinion is to be paid for by the District. 3. Ail bonds shall be callable prior to maturity at 1051 and be issued in $5,000 denominations, except any bond in the first maturity necessary to accomodate the final amount to issue, and a reasonable number of $1,000 bonds. 4. Bonds from the second sale will be dated December 2, 1978, and delivered on or before December 31, 1978. Adjomrned Heeting -5- 11/22/78 DEH/dks The pu~ehase price of the bonds shall be 98% plus accrued interest for all such bonds to bear interest at the follow- lng rates per annum: All bonds maturing 7/2/80 thru 7/2/85 inclusive--7.50% Ail bonds maturing 7/2/86 thru 7/2/94 inclusive--7.70% The purchasing price will be paid in full when the bonds are delivered to us with the legal opinion and nonlitigation certificate. This agreement to purchase on our part is subject to your award on November 22, 1978, and delivery of the bonds on or before December 31, 1978. Very truly yours, STONE $ YOUNGBERG /s/ David E. Hartley David E. Hartley Partner PRTURITY SCHEDULE $1,594,041 SOUTH LAKE TAHOE PUBLIC UTILITY DISTRICT IMPROVEN~NT BONDS - SERIES 1971-1B FALLEN LEAF LAKE AREA - A.D. 1971-1 Maturity Date July 2 Pr_inciPal Du~ 1980 $ 39,041 1981 60,000 1982 70,000 1983 75,000 1984 80,000 1985 85,000 1986 90,000 1987 100,000 1988 110,000 1989 120,000 1990 130,000 1991 140,000 1992 150,000 1993 165,000 1994 180,000 Manager Corer stated that Pillsbury Engineers did review the low bid from Byars Construction Company and all is in order. ORDINANCE NO. 283 - An Ordinance Awarding the Sale of Bonds Pursuant to Stone and Youngberg Bid. Director 01son Moved, Seconded by Director Jones, and by unanimously carried roll call vote Ordinance No. 283 was adopted. Attorney Hill stated that there will be one furfher action needed, and this can be taken in December, which is determining the amount of the unpaid assessments. Manager Corer stated that Mr. Hill should be commended, as he did a good job on getting the District a Good Bid for the Bonds (1971-1). (2) SHIFT ROTATION - SENIOR OPERATORS: }~nager Corer stated he has conmunicated with the Union, however, we have not conferred with the Union and we have not reached agreement with the Union~ and requested tlmt the Board authorize him to initiate the Shift Rotation for Senior Adjourned Meeting -6 ..... 11/22/78 Operators, starting December 4~ 1978. Manager Cofer stated that the Union refuses to comment on this rotation, as well as the 10% that would be given to the Senior Operators; and since they have not discussed this, ~nager Corer recommended again the Rotation Schedules be approved, and we will return to the Board at a later time regarding the pay issues for 'Senior Operators. Director Olson moved, seconded by Director Jones. Director Cocking stated he does not feel this takes Board action - as M~nager (J.R.Cofer) has the right to make this decision. Manager Cofer stated that since this subject has been contested by the Union, he does prefer the Board take action on his recommendation. Attorney Weidman stated that the Union will undoubtedly file a grievance and we will go to arbitration. }~nager Cofer stated that on November 16, 1978 a letter was sent to the Union stating this would be en tonight's agenda. Unanimously carried, Manager Cofer's recommendation be approved. (3) SEWAGE SPILL, EQUIPMENT FAILURE: Trout Creek Pump Station - This was for information purposes only for the Board Members. (4) LAHONTYN NEARING: Manager Cofer stated that he and Director Olson attended the Senate Agriculture Committee Hearing. Also, the Lahontan Heeting is scheduled next at the Tahoe Sands Convention Center on 12/7/78. Regarding the Senate Committee Hearing, Director 01son stated that we are not the only area that may have a few problems, all areas have - it seems most everyone was against an appointive board - stating all should be elective. P~nager Cofer also mentioned other areas that are having difficulties, such as San Bernardino, Goletta District, Satinas, etc. J. C. Weidman, Attorney, stated that he would recommend official action to be taken to send representatives to hearings re Lahontan, etc., and that this always be noted in the minutes. Manager Cofer was authorized by the Board to speak in San Bernardino, and it was certainly the proper thing for us to do, he stated. Director Olson moved, seconded by Director Fieldcamp, unanimously carried, representhtives from this District be authorized to attend the meeting on Ground Water ~{~nagement in San Diego on 12/13/78. Manager Cofer mentioned he will be speaking to several groups regarding connections, etc. (Kiwanias, Soroptomists, etc.) ADJOURNMENT: 8:30 P.M. - (NO MEETING 12/7/78 - Instead will be held on 12/8/78, Lake Tahoe Unified School District Board Room) ATTEST: South Tahoe Public Utility District e L. Kashuba,~~~t South Tahoe Public Utility District REGUL~iR t~ET]2.~G OF 17[E BOAP© OF DIRECTORS OF I~{E SOUTH TAJ[OE PUBLIC UTILITY DISTRICT December ?, 1978 8:00 P.M. ROLL CALL: Clerk of Board for South Tahoe Public Utility District and D. L. Ambrose. The Clerk of Board appeamed at the South Tahoe Public Utility District at 8:00 P.M. and being no quorum adjourned the meeting to December 8, 1978, 8:00 P.M., Friday evening, to the Lake Tahoe Unified School District Board Room, located at A1 Tahoe Blvd., and Lake Tahoe Blvd., South Lake Tahoe, California. ~ry~. Ambrose, Clerk of Board Sout~f Tahoe Public Utility District ADJOU~fED MEETING OF I~{E BOARD OF DIRECTORS OF THE SOUTH TAHOE PUBLIC UTILITY DISTRICT December 8, 1978 The Board of Directors of the South Tahoe Public Utility District met in an adjourned regular session on 12/8/78, 8:00 P.M., Lake Tahoe Unified School District Conference Rocm, A1 Tahoe Blvd. and Lake Tahoe Blvd , South Lake Tahoe, California. . ROLL CALL: Present were President L.L. Kashuba, Directors W.N. 01son, F.J. Cocking, R.A. Fieldcamp, J.R. Jones. ATTENDING MEETING: Attorney J.C. Weidman, Manager/District Engineer J.R. Cofer, Assistant Manager D.W. Callahan, Clerk of Board Mary D. Ambrose, ~. and ~s. W. Dunckhorst, Tar~y Smith, R.C. Hampson, B.A. Hosbacher, Sr., Jacqueline Flanders, R.C. Baer, Paul Robinson, R.V. Plimpton, Mr. and Mrs. Ray Plimpton and Marie Plimpton, Jeff Rabin - Sacramento Bee, Mike McNamara - Tribune, John Genzeli - Lake Tahoe News. CORRECTIONS OR ADDITIONS TO AGENDA: Manager Cofer recommended another item for Board action be added as #7 - Bids for 25,000 lbs. of trout for Indian Creek Reservoim. Agenda approved as corrected. MINUTES: Director Jones moved, seconded by Director Olson, unanimously carried minutes of 11/2/78 be approved. Director Olson moved, seconded by Director Jones, unanimously carried, minutes of 11/16/78 be approved as corrected; and Director Jones moved, seconded by Director Olson, unani- mously carried, minutes of 11/22/78 be approved as corrected. REPORT BY BOARD MEMBERS: None COMMITIZE REPORTS: None REPORT ON WORKSHOP SESSIONSANDMEETINGS: Manager Cofermentioned that on 12/4/78 a Workshop Agenda Items and Lahontan Meeting was held; on 12/7/78 Lahontan Hearing held. IiANAGER'S REPORT: Manager Cofer stated that on December 7, 1978 the Lahontan Regional Water Quality Control Board had modified the Cease and Desist Order to allow an additional 77,500 gallon of flow to be connected to the treatment facilities and provided for an interim relaxation of the COD Standard until July 1, 1979 of 30 rog/1 30 day average and 35 rog/1 7 day average. Manager Corer stated that the relief in the COD Standard will save the Utility District approximately $100,000 to $120,000 in operating costs during the period Decem- ber 1978 and June 30, 1979. A2TORNEY'S REPORT: ~. J. C. Weidman requested this Board to meet with Supervisor T.L. Stewart on a water agency matter and asked President Kashuba to arrange this meeting anytime before the 9th of January 1979. SHOP STEWARD'S REPORT: None Present. COMMENTS FROM AUDIENCE: None PUBLIC HEARING RE SEWER CONNECTION CHARGES: This hearing was opened at 8:20 p.m. by President Kashuba. President Kashuba stated that the Staff Report was to be included in the Public Hearing. Manager Cofer summarized the Staff Report of 11/16/78 and recommended an increase in sewer connection charges of $500 per sewer unit, or $1,500 for a single family dwelling unit. The funds collected through the increased connection charges to be utilized for the local share of the Facilities Planning "Head Start" Plant Improvement Program. Manager Cofer recommended a $240 connection charge to the U-1 Area for the purposes of re- tirement of outstanding bonds. If these recommendations were approved all connections within the South Tahoe Public Utility District service area would pay the same charges for sewer connections. D.W. Callahan stated that there is now an existing $60.00 connection charge in the U-1 Area. Manager Cofer stated it is the intent of staff that this Board consider an increase in service charges this January. Adjourned Meeting -2- 12/8/78 President Kashuha stated that she ~ould like to open the meeting to any of those in the audience that had any questions. In reply to PAUL ROBERSON 'S questions, ~mager Cofer stated these increased connection charges will be used for plant improvements. The $700,000.00 improvements made to the plant w~s largely fJgkLnced through service charges and not connection charges, ~nnager Cofer stated. For those that now have a permit - these rates will not apply; these rates will be for any permits issued in the future. K~ HOFtYinjq, resident of Tahoe Paradise - stated that he attended a meeting of this Board earlier in the year regarding the $1,000 connection charge dis- cussed at that time, and he pointed out then he felt it was very unfair, and he now feels this is again very unfair...He stated that for those people who · are not in the area are victims of a huge service charge. President Kashuba r~minded Mr. Hoffman that this hearing is on connection charge increases and not on service charges. Mr. t~ffman felt that all residents, property owners, should equally share in the improvements, and operating expenses. Manager Cofer explained that the "Head-Start" Program is one whereby our Consultants have recommended a twenty-two million dollar improvement and .expansion, and rather than to wait until after 1980 to make some of these mmprovements, we did apply to the State and the State did approve approxi- mately $5 million worth for improvements, which are not capacity related, but for the reliability of the plant functions. Mr. R. Plimpton of Stateline, Nevada, stated that he has property on this side (California) and he cannot see justification for the increased con- nection charge to the property owner solely; he feels it should also be divided amongst everyone. Paul Roberson asked Mr. Plimpton what does he plan to do with his property here in California, living in California; will he move here; will he build on the property, etc., and Mr. Plimpton replied that he is a builder. Director Olson stated that the Plimpton's have resided and have been residents of this area for a long time and they do speak generally for the Community. Mr. Robert Plimpton also stated that he feels the costs should be equally shared - and not to one property owner only; he also resides in California, and he is also a builder. Regarding the increase of service charges, ~tmnager Cofer mentioned to Mr. Roberson it would raise $400,000 per year; and the increase of $1,500.00 in connection charges would cover the 287 permits granted. MR. ROY ~LqMPSON, Executive Officer of the Lahontan Regional Water Quality Control Board, stated that he appreciated the staff's presentation. He stated he feels the Board has done the right thing by handling the issues separately, and waiting until January to address the user fees and the possible increase of same. Also, as Manager Cofer stated, it is true that the Special Districts received basically zero in tax relief due to Proposition 13. Attorney Weidman stated that there was a 3rd clean up bill proposed, which would have provided some additional funds to us. Manager Cofer stated he is not certain that is true, an enterprise District, which we are, can collect the fees through service charges and he does not feel we are going to get any relief through taxes. Adjourned Meeting - 3- 12 / 8 / 78 Mr. }Lnmpson stated that it is very difficult to establish a financial and revenue program for the District...and it is difficult to satisfy everyone; these permits to contractors, those that get them, are worth very much money, at least $20,000. In reply to Mr. Hoffman's question, P~anager Cofer stated that the $1,500.00 con- nection fee has nothing to do with our loss of funds through Proposition 13, the purpose is for financing plant improvements. In January, when this District requests an increase in service fees - that will be to offset the loss of funds to this District because of Proposition 13. Director 01son stated to Mr. Hoffman that the 282 permits granted are not for those people here only - it is also for the ones out of town, or out of this area, as well as those that now reside here; he did not want Pk. Hoffman to feel we are going for those people out of this area. President Kashuba closed the hearing at 9:10 P.M. Director Jones stated that it is not going to be easy whatever we do, and he felt that if we had been charging more in the past that we would not have had some of the financial problems we have had this past year, and he does support increasing the connection charge at this point. Director Olson stated it is very difficult to assess a charge; so few people attend public hearings that it is disturbing; so many people call on the telephone; he feels this is an equitable way to charge, and from his general discussions with the public this is the most acceptable way. His only regret is that he backed down on the $1,000.00 charge and lost the District $321,000 this last year, and he is for this recon~nendation. Manager Cofer stated he received a call from Nat Sinclair and he could not attend but Mr. Cofer told Mr. Sinclair he would relate to the Board that Mr. Sinclair does not feel this is equitable and some comprcmise should be considered by the Board, such as 60% financing from users now, and 40% from new ones. Director Cocking stated that we paid a huge sum to have our Consultants tell us what was going to be, and he stated that Tahoe is going to be a very expensive place to live; probably become the playland of the wealthy; he hates to see this happen. He stated we need money -- and he stated he will have to make his decision between now and the time the Board votes. Director Fieldcamp had no comments. President Kashuba agreed with the other Board Members . and also stated tht it has become a privilege to live at Tahoe. Though Tahoe is not the only place for problems; Carmel is going through the same thing right now. ORDINANCE NO. 284: An Ordinance establishing and fixing additional connection charges for connection to the sanitary se~er system of the South Tahoe Public Utility District. Director Jones moved, seconded by DireCtor Olson, and by a roll call vote - unanimously carried. ORDINANCE NO. 285: An Ordinance amending Ordinance No. 181 and increasing the connection charge for connection to the U-1 trunk sewer mains of the South Tahoe Public Utility District. Director Olson moved, seconded by Director Jones, and by a roll call vote - unanimously carried. RESOLUTION NO. 2138: A Resolution ordering transfer from U-1 Connection Charge Fund to U-1 Bond Interest and Redemption~ Fund. Director 01son moved, seconded by Director Jones, and by a roll call vote - unanimously carried. (2) FALLEN LEAF LAKE SEWER PROJECT: RESOLUTION NO. 2139: A Resolution determining unpaid assessments and providing for issuance of boo~s second sale - $1,594,041, Assessment District 1971-1. Director 01son moved, seconded by Director CockJ3~g, and by a roll call vote - unanimously carried. "This is just for the Assessment District on Fallen Leaf Lake, on the amount we agreed on from the bids, and whoever is in the Chair at the time will have to make their decision, if there is an over-run, to reassess them - Manager Cofer stated yes." Director Olson asked Manager Gofer how would Fallen Leaf Lake be affected by the Ordinance we have just passed? Adjourned Meeting _~_ 12-8-78 Manager Cofer stated that he anticipated we would have representatives from Fallen Leaf Lake here tonight (Mrs. J. Flanders was present) to ask the Board to exempt them from the additional service charge; they have inquired from staff on this matter, and Manager Cofer told the Fallen Leaf representatives that he would recommend to this Board to express intentions to waive the ad- diticnal service charges since they have been in a two year project with the Board, and the reason the reason they were not connected ~s due to the delay in bidding and constructing their project, and ~lanager Cofer recommended to the Board that they be exempted until the project is completed, and assure ourselves that it was within the assessments; if it over-runs the assessments, then he feels the additional service charge would be used to meet that over- run, and he stated that Fallen Leaf Residents/Owners do generally accept that concept; however, they do argue that had they not been delayed in construction, they would have been connected under the old connection fee; many of the people who are affected by this have been somewhat the innocen% 9ictims of the Fallen Leaf Lake Saga and they would like to have build the Fallen Leaf Lake Project years ago, but we could never reach agreement to move ahead on it. They do have a predicament, we are assessing them almost $10,000.00 per cabin, and this is a heavy burden to pay. Manager Cofer recommended that this Board take no action at this time, and let Fallen Leaf Lake petition the Board for any relief. Director coCking stated he feels that Fallen Leaf should pay the $1,500 as everyone else is paying, mainly because the District has $150,000 invested in that project. Manager Cofer stated, as it now stands, Fallen Leaf will pay the $1,500 connection fee, unless this Board grants them some relief. ~rs. Flanders, resident of Fallen Leaf Lake, stated she was asked to appear this evening to listen, and she understood Manager Cofer's comments to this Board. (3) Assistant Manager Callahan requested to transfer 3 positions from CETA ~ funded to District funds. Director 01son moved, seconded by Director Cocking, unanimously carried, ~. Callahan's reconmm_ndation be approved. (4) Amendments to Ordinance 114 re Schedule of Sewer Units. ORDINANCE NO. 286, amending Ordinance 286 .... Director Olson moved, seconded by Di- rector Jones, unanimously carried, Mr. Calla/nan's recommendation be approved. (5) Approve Plans and Specifications for Airport Well, Phase III, and author- ized advertisement. W. Dunckhorst presented copies of the specifications to the Board, and described work to be done, and so recommended approval authori- nation for advertising for bids. (Adv. 12/8/78; open bids 1/30/79, and award bids 2/1/79 and 250 days for construction - approximately 10/9/79 for completion.) Manager Cofer stated that Director Fieldcamp is working with the County Water Agency regarding funding of the Airport Well, and it does appear we will have adequate funds...Director Olson moved, seconded by Director Jones, unanimously c~rried plans and specifications and advertising for bids be approved for the Airport Well. Manager Cofer stated that we believe we will have the draft Master Plan on the Water System to present the end of this month. STAFF REPORT ON 15~ "POWDER HORN" PROJECT: Manager Cofer stated that the Dis- trict did issue sewer permits for this project, collected fees for those permits, however, at that time, the Ordinance provided if the owner did not receive a building permit from the City within 7 days, the permit is null and void; how- ever, we cannot find anyone to admit to being the responsible party of the project to take back the fees. Our Inspector, C. Horning, did send a registere, d letter to the parties informing them (Mr. William Pillsbury, CMI and Joyce Shearer informing them there is no permit) and Manager Cofer asked for some direction from the Board. Attorney Weidman recon~nended the monies be returned to the person that obtained the permits (Pillsbury). Director Olson moved, seconded by Director Jones, unanimously carried, monies be returned to W. F. Pillsbury firm. (7) BIDS FOR 25,000 #'s TROUT AT INDIAN CREEK RESERVOIR: Fanager Cofer stated in anticipation that Lahontan would grant us relief on ammonia standards at Indian ~reek Reservoir, we advertised for bids for 25,000 lbs. trout for the reservoir for this spring. We did receive 3 bids ranging from $36,250 to $34,225.00. We did not get relief from Lahontan regarding the ammonia standards, and he recommended that the bids be received and rejected. Director Olson moved, seconded by Director Jones, unanimously carried. Adjourned Meeting -5- 12/8/78 Attorney Weidman stated that he has been approached by an Alpine County Attorney requesting an explanation of the contract we have with Alpine County. The Board approved this request, and Attorney Weidman will have the draft to the Board Members before he meets with the Attorney from Alpine County. Manager Cofer also invited the Board Members to a Christmas Luncheon on 12/22/78, American Legion Hall, Noon. WILL SERVE LE%TERS: None. PAYM~fr OF CLAIMS: Director Olson moved, seconded by Director Jones, unanimously carried, claims in the amount of $456,288.17, as so recommended by Assistant Manager D.W. Callahan, be approved for payment. WORKSHOP SESSIONS S~{EDULED: 12/18/78 at 3: 00 P.M., District Offices, to discuss agenda for next regular meeting and Conflict of Interest Information, and dis- cussion re Cost-of-Living Increases for employees. Also, P~esident Kashuba requested the Manager to send a letter to Lahontan regarding our holding pond. She felt there is same misunderstanding by Lahontan, and a letter of support and clarification might settle this mis- understanding. Board agreed to have the Manager send a letter per President Kashuba's request. Manager Corer stated that he understood Mr. Antonnucci (Lahontan) to say they were not necessarily supporting the enlargement of the holding pond; they felt the pond ~s inadequate for the present capacity. Mm. Hampsor~ (Lahontan) stated that what was said - there is no redundency in t he plant; if the District uses the argument that they are going to use the storage pond, and if something breaks down - you can go to some other units; this, he stated cannot be done, because the plant has nothing else - no other units. According to the health and safety code, storage cannot be used only for 20 days; when the request for 9 million dollars was requested by the District - ~, Hampson stated tt~t he then requested the State to send a letter approving 5 million grant - to let the District know there would be some funds available to them; the letter we,nt out fram Sacramento, and ~r. ~L3mpson stated he then w~ote to Sacramento and asked them to write in the pumps, but to put a condition on that. P~nager Corer stated he will be very happy to correct the record and will write a letter of explanation (pumps) and clarification to Lahontan. ADJOURNMENT: 10:45 P.M. ATTEST: L~r'zene Kashuba, Presid%nt South Tahoe Public Utility District Y A~os~, Clerk or'Board South Tahdfe Public Utility District Regular Meeting of the Board of Directors South Tahoe Public Utility District December 21, 1978 The Board of Directors of the South Tahoe Public Utility District met in a regular session 12/21/78 at 8:00 P.M., District Offices. ROLL CALL: Present were President L.L. Kashuba, Directors W.N.Olson, F.J. Cocking, R.A. Fieldcamp and J.R. Jones. Also present were General Manager/Engineer J.R. Cofer, Assistant Manager D.W. Callahan, Clerk of Board, Attorney J.C. Weidman, R.L. Culp, Bill Ettlich - both of C W C, John Hubbell, Mr. J.Herter, and Ms. G. Sanders, Mr. R. Adams, C.I. Ross, R. Baer. CORRECTIONS OR ADDITIONS TO AGENDA: Manager Cofer stated staff had no changes or additions. President Kashuba stated that the Board agreed to enter one item under Boazd Action - Election of Members of this Board. No other changes. Director Jones moved, seconded by Director Olson, unanimously carried, the Agenda be approved as changed. MINUTES OF 12/8/78: ~nager Cofer recommended the minutes of 12/8/78 not be acted on until the next regular meeting of the Board. REPORT BY BOARD MEMBERS: None. COMMITTEE REPORTS: (FINANCE) - Director Olson stated that the Finance Committee met today with the Auditor John Ehlman (Ehlman, Calvert S Dixon) and recon~nended the audit report be approved. Mr. Olson also noted that the auditor had brought to the committee's attention t2]e number of easements that have been carried for a number of years, and that the committee reconmended that the attorney be re- quested to proceed with haste, close these easements, and return approximately $35,000 to the Treasury. Director 01son moved, seconded by Director Jones, unanimously carried, that the audit be approved, and that Attorney J.C. Weidman clear the easements and return the monies to the Treasury. No further Committee reports given. REPORT ON WORKSHOP SESSIONS AND ~ETINGS: Manager Cofer stated that on 12/13/78 the Senate Committee on Agriculture and Water Resources met, and Hearings on Groundwater Resources Management met in San Diego. Also on 12/18/78 a Workshop was held re Conflict of Interest Statement, SB 47, Cost of Living and Water System Agenda Items. President Kashuba stated that we should proceed immediately to meet with the private water companies to discuss groundwater management, as being proposed in Bill 47, and at the same time assure them that we are not interested in purchasing, nor do we have the desire to purchase their companies. President Kashuba asked Manager Cofer to please schedule a meeting. MANAGER'S REPORT: Manager Cofer stated all items amc on agenda and that he has no written report this evening. ATTORNEY'S REPORT: Attorney J.C. Weidman stated that he met briefly with Supervisor T.L. Stewart, who is available for a meeting with this Board, Thursday, January 4, 1979 at 4:00 P.M.. Supervisor Bill Johnson would also like to attend, and also a retired PG&E Engineer that is not on their payroll but has done much research _ Mr. Frank Biller, and Mr. Flynn, Supervisor would also like to attend the meeting; Mr. Weidman mentioned that we had a couple of past Directors R.W. Fesler and E.E. Hegarty, that were also involved with the E1 Dorado Water Agency matters and Mr. Weidman requested J.R. Cofer to send a formal invitation to the gentlemen mentioned above. Manager Cofer requested the meeting start at 2:00 P.M. as Dick Milbrodt, City Manager and Neal Walton will be present to brief the board on the status of the allocation problems the City and we are having. That way this subject could be covered before having the 4:00 P.M. meeting with th~ other gentlemen as requested by J.C. Weidman. Attorney Weidman also requested discussion re the Joint Powers agreement. Same listed on agenda. Regular, Meet.i~g -2- 12/21/78 Mr. Weidman stated tm spoke with Adolph Moskowitz, and there are drafts of procedural changes in tim ~t~r-~o.gne Act..Mr. Weidman stated he will meet with Mr. ~'~skowitz m zrea ~Laren agazn tomorrow, and he feels the drafts are about ready to go into final form to submit to the Legislature. Mr. Weidman stated that they do want to make certain this District will have a fair hearing, which is to be conducted properly, not railroaded, and a fair petition to review, prompt results, a record that will let you know where you stand, and if this District can get these changes re the Porter-Cologne Act, that everyone that deals with it will be much better off, including the La]Dntan Staff. In reply to Director Olson's question, Attorney Weidman stated we are proposing some changes for heaings in front of the Regional Board and the State Board, and we are Proposing that a discharger have an option if he w~nts to request an administrative law judge, or the discharger can go before the Lahontan Board with the Chairman conducting the meeting. If the discharger requests an administrative law judge, then it is Lahontan's option -- do they want the judge to just preside over the meeting, to make certain it is run in accordance with the law of Porter-Cologne Act, or does Lahontan wish the Judge to hear the case and make a decision. Another item, Mr. Weidman stated, is that a Connection Ban is a very powerful weapon, and we want to tighten the rules of Lahontan for impsoing connection bans, and provide a Procedure for getting out. SHOP STEWARD'S REPORT: None present. COMmeNTS FROM Tt~ AUDILNCE: l'~. JohnHubbell, resident of the City of South Lake Lahoe, and an owner of a lot within the District's juris- diction, and he appears tonight as an individual and not as a City Coun- cilman. He stated he has been consulting with an Attorney on some issues that have been raised and that he wished to bring before the Board this evening. ~r. Hubbell stated that he has a set of plans to construct a single {amily residence on his Property ~]d requested that the Utility District zssue to him a sewer permit. Mr. Hubbell explained his reasoning on why the Utility District should issue him a permit, stating that in his opinion the Lahontan Regional Water Quality Control Board exceeded its authority in conditioning the allowable additional connections to structures for which building permits were issued and also stating that the city allocation plan ~3uld not go into effect until Janu- ary 4, 1979. Since the Utility District has capacity available at the treatment plant ~i~. Hubbell requested a permit. Director Olson recommended that this Board accept ~r. Hubbell's request for the record, and ttmt it be denied until clarification of this order can be made. Manager Cofer stated that this does not mean an appeal is being made regarding this order, and the Board stated no...and Director Olson also further recommended that this subject be postponed to a special meeting on December 27, 1978. Director Olson then put this into a motion, Director Jones seconded. ~i~. Hubbell also stated that he ~uld like to have it noted that he is the first person to come before this Board and request a sewer permit after this order was issued. By a unanimous roll call vote, motion was carried... Attorney Weidman also requested the Board consider a request for him for an executive session on litigation, either before the Special Meeting, or whenever they decide to have one. Regular Meeting -3- 12/21/78 ~. George Herter, resident of South Lake Tahoe, California, stated that he ~ould like to also be heard, and that in 1971 he had purchased property here (2 lots, 10 and 11) and he wants to put improvements on both of those lots, a3~d requested that his name be put right behind John Hubbell's for a permit for both lots. Attorney Weidman stated that he would like to request a brief execu- tive session before the end of this meeting on matters brought before the Board this evening. ~. Ron Adams, resident of South Lake Tahoe for approximately 18 years. He wants his name on record that he is asking for his permit too. (Ron Adams, P. O. Box 9822, South Lake Tahoe, CA 95731) Ms. Gail Sanders asked ~,~. Cofer what he meant by the State making a review, and Manager Cofer replied that he was asking the Board if they were directing the staff to petition the state board. Also, she asked if she could petition Lahontan as an individual and Attorney Weidman stated that she certainly can do this, and her move would be to petition for a review of their order. Ms. Sanders also requested a permit. Mr. J. Hubbell stated he will not be in attendapme at the meeting on the 27th, however, his Attorney will be here to represent him. BOARD ADJOUrnED TO ;~J EXECUTIVE SESSION AT 9:20 P.M. REGULAR MEETING RECONVENED AT 9:45 P.M. Director Jones stated that in light of the executive session he would like to ask Director Olson to reconsider his motion, which was made prior to the executive session. Director Jones moved, seconded by Director Olson, unanimously carried, the motion be reconsidered. Director Olson moved that the President call a Special Meeting for the sole purpose of action on the 5 requests made this evening to the Board of Directors on sewer service for their properties on this date - 12/21/78. Director Jones seconded, unanimously carried by roll call votes. There will be a Special Meeting for December 27, 1978 at 5:00 P.M., District Offices. PROGRAM MANAGER ' S REPORTS: (1) Operations Department - P~. Bonnet on vacation - no report. (2) Maintenance Department - Mr. Eppler was not able to attend this meeting but he had a report, as follows: "There lmve been no major breakdowns within the plant in the last few weeks, although we have had a few stoppages in which we encountered spills. One stoppage was caused by grease. The second was caused by grease and styrefoam cups. Neither of these spills entered any surface water of the Tahoe Basin. The third stoppage was caused by vandalism. Someone opened the manhole and drove an 8" log into our invert. A police report was filed. The maintenance crews have been working a lot of overtime plowing snow. They have now gotten ahead of the last storm and are ready for the next." Manager Cofer stated this report was written after breakdown, which Mr. C.I. Ross was ~esent to explain. Mr. Ross brought the part which has been giving trouble - automatic damper of the furnace. Regular Meeting -4- 12/21/78 He stated this particular part has been rebuilt approximately 6 times. This part has been in use for 10 years approximately, ~. Ross stated. We will not have a furnace now for 30 days. Lahontan t~s been notified of this also. WATER SUPPLY SYSTEM: Prepared by W. Dunckhorst, who is absent this evening, and read by ~nnager J.R.Cofer: "On the weekend of December 9th, due to the extreme cold weather, Paul English, who w~s on standby duty, experienced a record amount of service calls to homes and commercial buildings due to bursted water pipes flooding. Paul had 35 service calls and I have been informed that the city covered about 100 call-outs for that weekend. I feel a letter of thanks is due to the City Fire Department for this help. The heaters at the Stateline Reservoir were turned on for the first time Monday at 1:30 P.M. The snow measurement at that time was 23 inches, and Monday night another 8 inches was added to that measure- ment. At the present time there are large bare spots on the roof show- ing that the heater program is a huge success. We have three (3) 500 gallon propane tanks in tandem, and it appears that we are burning about 10% of this fuel in a 24-hour period. I have presently received three (3) requests for bidding on the Phase III Airport Well Project." WATER UTILITY COMMITIIZ REPORT - 12/21/78 Water Production for November 1978: November (MG) 1977 1978 %Change Well Production ..... 45.6 56.7 +24.3 Cold Creek Diversion $9.3 36.8 -0~.~ Totals ~ 9-~ +±O.1 Calendar Year To Date 1977 1978 %Change Well P~0duc'~ion ..... 7'26.~' 816.5 +12.5 Cold Creek Diversion 417.2 453.9 +08.8 Total 1,14-~ 1,2-~ +il.l FINANCE OFFICER'S REPORT: As reported by Assistant Manager/Finance Manager David W. Callahan: "REPORT ON PROPOSED CASA WORKME2~'S COMPENSATION INSURANCE AGREEMENT - - The Manager's Ccmmittee of the California Association of Sanitary Agencies (CASA) has proposed a Joint Exercise of Powers Agreement for Workmen's Compensation and/or Insurance for any purpose. Details will be given at the January conference of CASA. However, the CASA Manager's Committee has requested Districts to approve the Joint Exercise of Powers Agreement prior to December 31, 1978. The State of California must investigate the Agreement (pool) and the individual members to issue a Certificate of Consent for providing the Workmen's Ccmpensation insurance as required by the State. "---it is the intent of the State to evaluate a pool which actually exists as of December 31, therefore, the need to create the pool be- fore December 31..." (Letter of W.M.A. gMc.) The communication received from CASA states "...that the mere entry into a Joint Exercise of Powers Agreement without actual implementation of the Agreement (funding) accomplishes nothing." ( Letter of W.M.A. &Mc. ). However, the Agreement states in Section 17 - "This Agreement may be terminated entirely upon the consent of all the parties hereto. Any Regular Meeting -5- 12/21/78 party may withdraw as a part to the Agreement at the end of any fiscal year provided, however, that such withdrawing party has provided six month's written notice of its intent to withdraw to Authority and to each District." Districts desiring to join the Agreement at a later date may do so upon approval of the Authority and the State. The State evaluation at that time "will be based upon the impact on the pool and its fiscal arrange- ment by the loss history of the new member" (Letter of W.M.A.$Mc.). At the present time we do not have any knowledge of what benefits (savings) would occur to the District by its joining or becoming a part of the Agreement. The District currently has a low loss-premium ratio on Workmen's Compensation. RECOMMENDATION: The staff recommends that the District not approve or join the Joint Exercise of Powers Agreement at this time. When more detailed information is available and the benefits, if any, are known, then consideration should be given to request participation." The recommendation as reconmended in Mr. Callahan's report was eliminated as our attorney, John C. Weidman, had a recormaendation to make to the Board. Attorney J. C. Weidman stated that Jack Marquette from Tahoe Truckee Sanitation District went to the Manager's Meeting on December 1st, and it was indicated to Jack that anybody could withdraw from the Joint Powers Agreement without giving a specified notice in that Joint Powers Agree- ment between the time authorized and June 30th (1979) of this year. The Agreement does state 6 months notice must be given and if the By-Laws are amended, a notice of 30-days must be given to withdraw. However, Mr. Marquette's understanding was that they have changed that. Assistant Manager Callahan stated that the agreement states "Any party may withdraw upon giving written notice to Authority and to each District at any time prior to the expiration of 60 days following approval..." and so stated that this is not in agreement with what Attorney Weidman has stated or what Mr. Marquette has stated to our attorney. Attorney Weidman agreed with him (Mr. Callahan), and stated that the 30-day is what was told to T.T.S.A. and so T.T.S.A. authorized the execution of this Agreement, and sent a cover letter stating this was authorized upon the representation of the Manager's recommendation (J. Marquette) that they could withdraw without giving the specified notice, but merely giving the immediate notice. Attorney Weidman stated that he believes this agreement has many ad- vantages. Mr. Weidman stated he would not recommend this District go into this agreement under the existing conditions in the Joint Agreement re withdrawal, but he would recommend the District go into this Agreement with a cover letter stating this District understands from the Manager of the Truckee Sanitary District that we can withdraw without giving advance notice, prior to June 30, 1979, as ~r. Marquette understood frc~ the Manager's Conmittee meeting held on 12/1/78. RESOLUTION NO. 2140 - Join the Joint Powers Exercise Agreenmnt - - Director Olson moved, seconded by Director Jones, and unanimous roll call vote, carried unanimously, that we approve this Joint Powers Agreement with a cover letter to them stating we understand we can withdraw without advance Notice prior to June 30, 1979. Regular Meeting -6- 12/21/78 I~fEMS FOR BOARD ACTION: (1) Fallen Leaf Lake Sewer Project: Manager Cofer stated tb~t we are ~iting for State Approval and recon~nended extension of time, and the contractor (Byars) has also agreed to this - and requested authorization of extension of time to 1/31/79. Director 01son moved, seco~Jed by Director Jones, unanimously carried, grant extension of time to award construction contract to 1/31/79. CONSTRUCrION IiANAGEMENT PROGRAM...AUI]tORIZE SUBMITTAL TO STATE WATER RESOURCES CONTROL BOARD. Manager Cofer stated the State has asked for some amendments to the Construction llanagement Program, and I~nager Cofer has written a letter in which he has answered all questions asked regarding this program. Manager Cofer requested consideration of the Construction ~imnagement Program, Authorization to submit to State Water Resources Control Board. Director 01son moved, seconded by Director Cocking, unanimously carried. Phase III Engineering Contracts - Manager Cofer recommended approval of Contracts by W.F. Pillsbury and CSO International, subject to the approval of Attorney J.C. Weidman. Director Jones moved, seconded by Director Olson, unanimously carried, the Manager's Recommendation be approved. ENGINEERING COST OVERRUNS ON FALLEN LEAF LAKE PROJECT: - Assistant Manager Callahan stated that there is approximately $63,000 - 46,000 to CSO and 17,000 to W.F. Pillsbury. Manager Cofer stated that some have been reviewed by the Fallen Leaf Lake Audit Committee, and recommended payment, s~bject to final review by the Fallen Leaf Lake Audit Committee. Director Fieldcamp moved, seconded by Director Cocking, unanimously carried, Manager Cofer's recommendation be approved. EMINENT DOMAIN PROCEEDINGS: Manager Cofer stated t~at the final thing the State is requiring is for our Attorney to submit a statement stating we have the necessary right-of-ways. The water to sewer line easements were all sent out by W.F. Pillsbury, and the Pipeline Easements he cannot determine at this time just how many are out - perhaps 6 on the pipeline, and we must also obtain the pump station easements and Mr. Weidman recommended the hearing date be set for Thursday, January 25, 1979 at 8:30 P.M., District Offices. Director Olson moved, seconded by Director Jones, unanimously carried, Mr. Weidman's recu~,~Lendation be approved. COM~JNICATIONS FROM LAHONTAN REGIONAL WATER QUALITY CONTROL BOARD: Manager Cofer received communications regarding odor problems, Use of Loan Fund for Litigation Expenses on Export Pipeline and Emergency Holding Pond Pump Station. Roy Hampson directed the District to pre- pare a report as to what is causing the odor problems and recommended that this be included in the Facilities Planning Program Study, and Manager Cofer did request a proposal from Culp/Wesner/Culp, and when received will submit same to this Board for consideration. (3 odor complaint letters have been documented). Regarding the letter for Litigation Expenses on the Export Pipeline, Lahontan states that the funds cannot be considered reasonable and necessary costs of facilities construction and are in fact not re- lated to the construction of facilities. Regular Meeting -7- 12/21/78 Re the Emergency Holding Pond Pump Station - Mr. Hampson called to say that re this subject being made a part of our "Head-Start" Program, he is agreeable to same, and has but two more approvals to receive, and in which b~ does not see any problem regarding approvals. How- ever, he was concerned over the costs, and Manager Cofer has asked R.L. Culp to break the costs down for Mr. Hampson's information. WATER SYSTEM I~IPROVEMENTS (a) Design of Water Lines and Fire Hydrants, and Manager Coferrecommended that we authorize CWC to do the work, for approximately $32,000.00. Director 01son moved, seconded by Director Jones, unanimously carried. CONFLICT OF INTEREST STATEMENT, AND SET ~ARING DATE: Date set for the 1st meeting in February 1979 (2/1/79 at 8:00 P.M., District Offices). TASK ORDER ASSIGNMENTS - CULP/WESNER/CULP: Authorize work. Manager Cofer presented the following sunma~to be included in this task order assignment: Lahontan RWQCB ~tters $ 7,150 Engineering Assistance for 4,000 Water Department Airport Well Plans g Specifications 10,300 Sulfur Dioxide Dechlorination 6,150 System Design Grade V Plant Operation Supervision 4,200 NPDES Permit-Engineering Assistance 6,700 Design of Water System Pipelines Approved above. and Hydrants Airport Well Construction, Phase III 3,600 Director 01son moved, seconded by Director Jones, unanimously carried, task order assignments be approved for Culp/Wesner/Culp, as recom- n~nded by Manager Cofer. COST OF LIVING ADJUSTMENT: Director Olson moved, seconded by Director Fieldcamp, unanimously carried, this be postponed to the 2/1/79 regular meeting of the Board. ELECTION OF OFFICERS (President and Vice President)...Ballots were available for secret balloting, however the Board dispensed with same. Director Cocking moved, seconded by Director Olson, and by a unanimous vote of the Board, Lorrene L. Kashuba was elected President of the Board of Directors. (There were no further nominations for this office). Director Jones moved, seconded by Director Olson, and by a unanimous vote of the Board, Walter Neal Olson was elected Vice President of this Board. (There were no other nominations). WILL SERVE LETTERS: None. PAYMLT~r OF CLAIMS: Director Olson moved, seconded by Director Jones, unanimously carried, claims in the amount of $270,220.61, as reccm- mended by Assistant Manager Callahan, be approved for payment. ADJOURNMENT: 11:15 P.M. to 12/27/78 at 5:00 P.M., District Offices. Regular Meeting -8- December 21, 1978 ATTEST: South Tahoe Public Utility District ary D/ A~brose,- Cler~-of ~oard" SouthyTahoe Public Utility District ADJOURNED REGULAR MEETING OF THE BOARD OF DIRECTORS OF SOUTH TAHOE PUBLIC UTILITY DISTRICT December 27, 1978 The Board of Directors of the South Tahoe Public Utility District met in adjourned regular session on 12/27/78, 5:00 P.M., District Conference Room, as a Special Meeting. PURPOSE OF MEETING: - President Lorrene Kashuba stated to the Board members, staff and all those present, that this meeting was called for the specific purpose of considering the requests from John Hubbell, George Harter, Ron Adams and Gale Sanders for sewer permits. ROLL CALL: Present were President L.L. Kashuba, Directors W.N. Olson, F.J. Cocking, R.A. Fieldcamp and J.R. Jones. Also present were Manager J.R. Cofer, Clerk of Board, Attorney J.C. Weidman, Mr. K. Ralston, Attorney; j. Bunnell Attorney representing j. Hubbell and G. Sanders. ABSENT: Assistant Manager D.W. Callahan. Attorney J.C. Weidman stated he has delivered copies of his letter (an opinion letter) to the Board and the Staff and mentioned that he did not feel an executive session is needed to discuss this subject on consideration of the permit requests. President Lorrene and Manager Cofer re- quested Attorney J.C.Weidman to read the letter into the minutes, as letter reads as follows: "Mr. James R. Cofer, General Manager South Tahoe Public Utility District P.O. Box AU South Lake Tahoe, Ca 95705 John Hubbell, et al., Sewer Permit Applications Dear Mr. Cofer: John Hubbell presented himself to the staff of the District with plans for a house on a lot he owned within the District and requested that the District staff issue him a sewer permit. This occurred on December 21, 1978 and the staff refused to issue the permit. Thereafter, John Hubbell appeared on the evening of December 21, under public appearances, at the District Board meeting, advised the Board of the above, and requested that the Board direct the staff to issue him a sewer permit. In substance, Mr. Hubbell stated two grounds for his request: A. That Order No. 2 of Lahontan Board Order No. 6-78-69, adopted December 7, 1978, exceeded the Lahontan Board authority when it required a building permit issued on or after December 7, 1978 as a condition for the connection. ADJOURNED SPECIAL MEETING -2- December 27, 1978 Therefore, Mr. Hubbell contended that the District had the right to connect 77,500 gallons of waste at the present time without the condition ordered by Lahontan. B. There was no City allocation Program effective until January 4,1979. Therefore, Mr. Hubbell contended that the District should give him a sewer permit and the City would immediately be required to issue a building permit. I tentatively agree with Mr. Hubbell's conclusion that a portion of Lahontan Board Order No. 2 exceeded the authority of the Board under the Water Code and Regula- tions. I did not express an opinion of the effect of this unauthorized portion of the Order on the District on Mr. Hubbell's application. Three other parties thereafter appeared before the Board of Directors of the District, under public appearances, at the December 21, 1978 meeting. These parties advised that there were owners of 4 lots in the ~strict,that they had plans available and requested the Board direct the staff to issue them sewer permits upon application therefore. They incorporat- ed Mr. Hubbell's grounds for their requests. In substance, these additional parties based their alleged right to sewer permits upon the same ground as stated by Mr. Hubbell. The Board of Directors voted to consider action on the 5 applications at a special meeting called by the President. The President called this meeting for today at 5:00 P.M. The Board also authorized staff and counsel to examine the rules and regulations of the District and City, as well as the law in- volved in the 5 applications, and report to the Board at its special meeting this date. In substance, a portion of Board Order No. 2 stated who may connect to the District system, not just how much or. the type or the concentration of waste that is permitted. Section 13301 of the Water Code provides that the Lahontan Board may restrict the volume, type or concentration of waste added to the system by those who did not discharge into the system prior to the issuance of the Cease and Desist Order. The Administrative Regulation authorizes the language of exemptions in Order No. 1 of the Lahontan Order. Neither the Water Code or the Administrative Regulations authorize the Lahontan Board to control who may connect to the District system. There is no express language authorizing the condition of a permissible connection for which a building permit be issued. Furthermore, Section 13360 of the Water Code provides the Regional Board cannot specify any particular manner in which compliance may be had with the Cease and Desist Order (additional volume, type or concentration of waste permitted). I need express no opinion as to the validity of the Cease and Desist Order itself and the Administrative Regulations cited above for the reasons hereinafter set forth. As a result of the investigation of the District staff and the City of South Lake Tahoe staff into applicable rules and regulations of the District and City, an analysis of the effect of the unauthorized portion of Order No. 2 of the Lahontan Order is not necessary and expense thereof is not justified. Mr. Hubbell and the other applicants were apparently not fully aware of the District Ordinance No. 264 adopted February 3, 1977, which provides that once a sewer permit is issued, if the application is not accepted by the City within seven calendar days for a construction permit, or if the City voids or cancels the application for a building permit, the ADJOURNED SPECIAL MEETING -3- December 27, 1978 sewer permit is null and void. Also, the applicants may not fully recall City Ordinance No. 517, which, as I understand it from the acting City Attorney, declares a moratorium on the issuance of building permits through January 15, 1979. The acting City Attorney has advised me orally and the District in writing that John Hubbell and the other applicants totaling 5 additional sewer permits, would not be entitled to building permits should they be issued sewer permits by the District. The District Directors have two options: (1) To issue a sewer permit which will become void within 7 days by the City's refusal to accept the application and issue a building permit; or (2) Deny the applications since the applicants cannot receive a building permit from the City under the existing City ordinances. The applicants would suffer no damage as a result of the denial. On May 18, 1978, the District Board of Directors de- clared a policy that they would not issue a sewer permit unless the City of South Lake Tahoe states that the sewer permit would be for a structure authorized by the allocations for the building permits. If the Board of Directors wishes to change this policy or make an exception to it, they could issue the sewer permits under Alternate No. 1. If the Board of Directors wishes to continue this policy, they can deny the applications and the applicants will suffer no damage. Outstanding sewer permits for which no building permits can be obtained have caused the District considerable difficulties and threats of litigation. Also at issue is the credibility of the District. The District has publicly represented that it will rely upon the City and County joint allocation system for the year 1979 and has relied upon this allocation system in past years. The issuance of sewer permits now outside of this allocations system will leave the District, City and County credibility on the allocations system subject to attack. The Directors can rely upon any opinion and the Acting City Attorney's opinion that the applicants cannot receive building permits outside of the allocations system if they are presently issued sewer permits. I therefore favor the course of action which will result in no sewer permits being issued when a building permit cannot be issued. Yours very truly, s/John C. Weidman" ADJOURNED SPECIAL MEETING -4- 12/27/78 Also, please note the letter which is part of the minutes also, from Mr. Ken Rollston, Attorney for the City of South Lake Tahoe, which reads as follows: "South Tahoe Public Utility District P.O. Box AU South Lake Tahoe, CA 95705 12/27/78 ATTENTION: James Cofer RE: Sewage Permit Applications Dear Mr. Cofer: You have requested our opinion concerning applications recently sought to be filed for sewage permits which appli- cations do not comply with the City of South Lake Tahoe Ordinance No. 524 (Permit Allocation Ordinance"). Specifi- cally, you have asked whether existing law permits or authorizes the City of South Lake Tahoe to issue building permits for any of such applications. We conclude that the City of South Lake Tahoe cannot issue building permits which do not comply with the Permit Allocation Ordinance. Section 8-2 of the Code of the City of South Lake Tahoe prohibits the issuance of building permits that do not conform with the requirements of existing law. City of South Lake Tahoe Ordinance No. 517 prohibits the City from issuing any building permits at this time. Therefore, in accordance with express ordinance requirement, none of the sewage permit applicants to which you refer can obtain building permit from the City of South Lake Tahoe. On January 4, 1979, the Permit Allocation Ordinance will become effective which ordinance authorizes the issuance of building permits in conformity with the procedures therein set forth. Until building permits become available in accordance with the Permit Allocation Ordinance, sewage permits cannot be acted upon by the City of South Lake Tahoe. We trust that the foregoing responds to your inquiry and we are available to respond to such questions as you may have regarding the foregoing. Respectfully submitted, OWEN & ROLLSTON s/Kenneth C. Rollston Acting City Attorneys for the City of South Lake Tahoe" Another letter made part of these minutes from James F. Bunnell II, Attorney at Law, representing John Hubbell and Gail Sanders: "John C. Weidman, Attorney at Law 325 Main Street Placerville, CA 95667 RE: South Tahoe Public Utility District John H. Hubbell and Gail Sanders Dear John, This is to inform you that I am representing John H. Hubbell and Gail Sanders in their attempts to get a sewer permit from the South Tahoe Public Utility District. Notarized Powers of Attorney are included with this letter. My clients are vacationing in Hawaii and will be unable to attend the Sewer District's meeting on December 27, 1978. I will be there in their stead. Furthermore, should they be issued a sewer permit, I will fill out and sign all the necessary forms and pay the necessary fees. I look forward to seeing you. s/James F. Bunnell II ,, ADJOURNED SPECIAL MEETING -5- 12/27/78 Attached to this letter was an Individual Power of Attorney from John H. Hubbell to James F. Bunnell II, for transacting any negotiations regarding his lot: Lot 47, Tahoe Keys Unit No. 1, County of E1 Dorado, State of California, and an identical Power Of Attorney from Gail Sanders for her lot: Lot 15, Block 43, A1 Tahoe, County of E1 Dorado, State of California. Both documents were notarized on 12/22/78 also. Mr. Bunnell stated that his argument is that a Cease and Desist Order from a Regional Board May Not Address the Question of Building Permits and he also referred to the California Water Code, Section 13301 as well as Section 13360.) Mr. Bunnell stated that the Petitioners' request amendment to Lahontan Regional Board's Order No. 6-78-79. (State Water Resources Control Board, Lahontan Regional Board, re California Water Code Section 13320 (a) and Points and AuthoritieS. ~.~. Bunnell stated that he is present this evening representing ~. j. Hubbell and ~s. Gail Sanders, requ_ esting permits for them. President Kashuba asked if there were others in the audience that would like to cc~ment at this time. There were no others. President Kashuba stated that she would like to open this meeting for discussion for the Board Members and to keep in mind discussion is around the 5 requests received only. Director Olson stated that he does not feel we should change our direction of 5/18/78 and that we should follc~ the Attorney's reccr~nendation at this time. Director Cocking stated that he would go along with the recc~endation of our Attorney. Director Fieldcamp stated he agrees with the recommendation of the Attorney. Director Jones stated we have dealt with the City, County and Lahontan,~public, in good faith in a manner of trying to release the permits and he felt we should deny the requests. President L. Kashuba stated she agrees with the options of denying the applications. Director Jones moved, seconded by Director Olson, unanimously carried, that the 5 requests for sewer permits be denied. (Roll Call Vote - Unanimous) .... President Kashuba stated that she hoped the members of the audience do understand that this is the action taken effective as of n~w, and does not mean these same people do not have the opportunity to c~ne back when we can accept applications for sewer permits. Director Olson stated he would like to qualify that they can return if they are under the allocation system, and not as an individual. PRESIDENT KASHUBA ADJOURNED THIS SPECIAL ~ETI~ AT 5:40 P.M. ~ren&-L. ~as~h6ba, President South Tahoe Public Utility District ATITkST: ~ir~ D./~ose, Clerk of Board -- South ~hoe Public Utility District