04-01-10SOUTH TAHOE PUBLIC UTILITY DISTRICT
Richard Solbrig, General Manager Paul Sciuto, Assistant General Manager
Dale Rise, President
James R. Jones, Director
BOARD MEMBERS Mary Lou Mosbacher, Vice President
Eric W. Schafer, Director Chris Cefalu, Director
REGULAR MEETING OF THE BOARD OF DIRECTORS
SOUTH TAHOE PUBLIC UTILITY DISTRICT
APRIL 1, 2010
MINUTES
The Board of Directors of the South Tahoe Public Utility District met in a regular session,
April 1, 2010, 2:00 P.M., District Office, 1275 Meadow Crest Drive, South Lake Tahoe,
California.
BOARD OF DIRECTORS:
Vice President Mosbacher, Directors Cefalu, Jones,
Schafer. President Rise was absent.
STAFF:
Solbrig, Sharp, Sciuto, Cocking, Bergsohn, Bledsoe,
Curtis, Hussmann, Ryan, Nolan, Henderson,
Attorney Kvistad
GUESTS:
Bill and Jonnie Crawford, John Runnels, Ernie Claudio,
David Jinkens/City Manager, Patrick Enright/City
Attorney
ROLL CALL
Bill Crawford led the pledge to the flag. PLEDGE OF ALLEGIANCE
Moved Schafer / Second Jones / Rise Absent / Passed CONSENT CALENDAR
to approve the Consent Calendar as submitted:
a. Water Meter Outreach Coordinator Temporary Help -
Approved contract budget with the Substitute
Personnel or Blue Ribbon for a temporary Water
Meter Outreach Coordinator position, in the amount
of $35,000;
b. Diamond Valley Ranch Pipeline: Phase 2 - Accepted
the proposal from C2Me Engineering to provide
design services, in the amount of $7,200;
REGULAR BOARD MEETING MINUTES - APRIL 1, 2010 PAGE - 2
c. Diamond Valley Ranch Pipeline Project: Phase 1; CONSENT CALENDAR
Geotechnical Investigation — Accepted proposal (continued)
from Construction Materials Engineers, Inc., to
complete a geotechnical investigation, in the
amount of $19,000;
d. Approved Regular Board Meeting Minutes:
March 18, 2010.
ITEMS FOR BOARD ACTION
The existing synthetic liner for the emergency retention EMERGENCY RETENTION BASIN
basin (ERB) was installed in 1989, and is nearing the REPLACEMENT
end of its useful life. The Lahontan Regional Water
Quality Control Board has required the District to de-
sign a new system by August 2010, and construct it
by fall of 2011.
Three proposals were received from engineering consult-
ing firms. Staff reviewed and ranked the proposals based
on a pre -determined set of criteria, and selected Vector
Engineering, Inc., as the preferred consultant to provide
design, permitting support, services during construction,
and inspection for the project.
4109 Moved Jones / Second Cefalu / Rise Absent / Passed
to accept the proposal received from Vector Engineering,
Inc., in the amount not to exceed $254,442.65,
contingent upon execution of a mutually agreeable
Master Services Agreement.
District representatives attended the community meet-
ings conducted by the City's Redevelopment Agency
(RDA) on March 24. Previous to this, the District had
sent a letter to its customers relaying concerns regard-
ing how the loss of property tax revenue could impact
District customers, and encouraged their attendance at
the community meetings, including the April 6 joint
public hearing.
Richard Solbrig reported on the community meetings
where the RDA presented its proposal and goal to
encourage economic growth in the City. Concerns
included:
- The funding mechanism for improvements to the
Lukins water system, including fire protection and
asphalt improvements;
- How public funds could be invested in Lukins, and
not for a private water company;
- If redevelopment funds could be used to help pay
for District projects required within the redevelop-
ment area for the redevelopment, and not take
away from pass-through payments to the District;
CITY REDEVELOPMENT
AGENCY PROJECT NO. 2
REGULAR BOARD MEETING MINUTES — APRIL 1, 2010 PAGE - 3
- The size of the redevelopment area; CITY REDEVELOPMENT AGENCY
- Track record of previous Redevelopment Project PROJECT AREA NO. 2
No. 1. (continued)
Bill Crawford spoke about: the background of past city
redevelopment projects and associated bankruptcies,
annual debt service from RDA No.1, use of TOT tax/
general fund, no real plan in the current proposal, re-
development plan not being put on the ballot for voters
to decide on, areas proclaimed to be blighted are ques-
tionable, the potential for adding new debt to the City,
and problems associated with Lukins.
John Runnels purported that Lukins representatives, who
could not attend this board meeting, requested he relay
their dismay at hearing the City Manager's idea to
consolidate City and STPUD services. He also stated
that Lukins objects to any City involvement with their
water system and will testify to their position at the
April 6 joint public hearing, and if necessary, will hire
an attorney to prevent it.
Mr. Runnels also spoke about the need for our community
to renew itself and rebuild businesses. He was critical of
the City, their policies, track records, and the current
redevelopment plan. He encouraged the City to put the
redevelopment plan on hold, reevaluate their position,
reduce the project size, and address the problems with
the Lukins water system separate from redevelopment.
Jonnie Crawford complimented the District's fire, water
and sewer services, and stated she does not support
merging services with the City. She reviewed past per-
formances of Redevelopment Projects Nos. 1 and 2,
and encouraged the District not to participate in the
redevelopment plan.
Board members commented: that the City does not seem
to have a clear plan, Lukins complicates the matter, the
District could suffer monetary impacts and needs to pro-
tect ratepayers, and that the assumption of 7% growth
every year for 45 years is not a reliable scenario.
It was the consensus of the Board to direct staff to
contact Lukins to determine their position prior to the
April 6 joint public hearing, and to obtain a copy of
an agreement said to exist between RDA, Lukins and
the PUC
No Board action.
REGULAR BOARD MEETING MINUTES - APRIL 1, 2010 PAGE - 4
Moved Schafer / Second Jones / Rise Absent / Passed PAYMENT OF CLAIMS
4,,, to approve payment in the amount of $929,509.26.
Water and Wastewater Operations Committee: The
committee met March 29. Minutes of the meeting
are available upon request.
Management/Union Medical Plan Negotiations Ad Hoc
Committee: The committee met March 25 and heard
a presentation from the Principal Group on their program
for health risk assessments. A major topic of discussion
was to determine the next steps for the wellness pro-
gram. Testing guidelines will be modified based on
advice received from physicians who reviewed them.
Director Mosbacher reported on her tour of the
Diamond Valley Ranch, which went a long way
towards helping her to understand components of
the master plan.
BOARD MEMBER STANDING
COMMITTEE REPORTS
BOARD MEMBER AD HOC
COMMITTEE REPORTS
BOARD MEMBER REPORTS
General Manager: Richard Solbrig reported a letter was GENERAL MANAGER REPORT
received from a customer in the Angora Fire area who
has not rebuilt but will have to resume paying for ser-
vices in April. Staff will respond with suggestions of
what can be done under current ordinances to alleviate
4 her burden.
District Information Officer: Dennis Cocking reported STAFF REPORTS
that the USFS is supposed to lower their grant adminis-
tration fee to 3%. He reported the 2011 appropriations
request included in an interior bill is moving very slowly.
A water bond will be included on the November ballot.
He cautioned against taking an official position until all
the facts are known.
The proposal to conduct a customer satisfaction sur-
vey was received and will be forwarded to the Board
for their review.
4:05 - 4:15 P.M. MEETING BREAK AND ADJOURN-
MENT TO CLOSED SESSION
ACTION / REPORT ON ITEM DISCUSSED DURING CLOSED SESSION
No reportable Board action.
Pursuant to Government Code
Section 54957(a)/Conference with
Labor Negotiators
Agency Negotiators: Richard
Solbrig/General Manager, Nancy
Hussmann/Human Resources
Director, Board of Directors
Employee Organization:
Stationary Engineers, Local 39
REGULAR BOARD MEETING MINUTES - MARCH 18, 2010 PAGE - 5
No reportable Board action.
No reportable Board action.
No reportable Board action.
Pursuant to Government Code
Section 54957/Public Employee
Appointment
Title: Labor Negotiator
Pursuant to Government Code
Section 54956.9(b)/Conference
with Legal Counsel -Anticipated
Litigation (One Case)
Pursuant to Government Code
Section 54956.9(a)/Conference
with Legal Counsel — Existing
Litigation re: Meyers Landfill Site:
United States of America vs. El
Dorado County and City of South
Lake Tahoe and Third Party
Defendants, Civil Action No.
S-01-1520 LKK GGH, U.S. District
Court for the Eastern District of Ca.
5:10 P.M. ADJOURNMENT
ATTEST:
Dale Rise, Board President
South Tahoe Public Utility District
Kathy Sharp, Clerk of the Board
South Tahoe Public Utility District
REGULAR BOARD MEETING MINUTES - APRIL 1, 2010 PAGE - 5
No reportable Board action.
No reportable Board action.
No reportable Board action.
Pursuant to Government Code
Section 54957/Public Employee
Appointment
Title: Labor Negotiator
Pursuant to Government Code
Section 54956.9(b)/Conference
with Legal Counsel -Anticipated
Litigation (One Case)
Pursuant to Government Code
Section 54956.9(a)/Conference
with Legal Counsel — Existing
Litigation re: Meyers Landfill Site:
United States of America vs. El
Dorado County and City of South
Lake Tahoe and Third Party
Defendants, Civil Action No.
S-01-1520 LKK GGH, U.S. District
Court for the Eastern District of Ca.
5:10 P.M. ADJOURNMENT
ATTEST: («,/
j ' T) i t
Kathy Shap Clerk of ti -(e Board
South Taha"e Public Utility District
Dale Rise, Board resident
South Tahoe Public Utility District
r
BOARD OF DIRECTORS MEETING
GUEST SIGN -IN SHEET
DATE: L I till"'
IN ACCORDANCE WITH THE BROWN ACT: COMPLETION OF THIS INFORMATION IS VOLUNTARY,
NOT MANDATORY, AND IS NOT A PRECONDITION FOR ATTENDANCE.