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09-15-11SOUTH TAHOE PUBLIC UTILITY DISTRICT Richard Solbrig, General Manager Paul Sciuto, Assistant General Manager Dale Rise, President Chris Cefalu, Director BOARD MEMBERS James R. Jones, Director Mary Lou Mosbacher, Vice President Eric W. Schafer, Director REGULAR MEETING OF THE BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT SEPTEMBER 15, 2011 MINUTES BOARD OF DIRECTORS: President Rise, Directors Cefalu, Jones, Schafer. Director Mosbacher was absent. STAFF: Solbrig, Sharp, Sciuto, Hughes, Brown, Thiel, Hussmann, Cocking, Bledsoe, Nolan, Attorney Herrema GUESTS: David Marcetti/DLM Designs, Harold Hutson/Hutson Construction, Chris Harris, Kelly Sheehan, John Runnels, Claude Gunsch ROLL CALL John Runnels led the pledge to the flag. PLEDGE OF ALLEGIANCE Chris Harris reported he purchased a multi -unit complex property COMMENTS FROM THE in distress located at 1029 Shepherds Drive. The account had AUDIENCE delinquent water and sewer amounts due, and were sent to tax rolls. He stated he is agreeable to paying for usage, but requested the punitive fees (late fees and penalties) be removed. This request will be agendized for the October 6 Board meeting for further consideration. Harold Hutson, the paving contractor who was awarded the asphalt patching services bid, requested reconsideration of termination of his contract. Attorney Herrema clarified that the Board has not terminated the contract through formal Board action as of yet. This item will be agendized for a future Board meeting for further consideration. REGULAR BOARD MEETING MINUTES - SEPTEMBER 15, 2011 PAGE - 2 Moved Schafer / Second Jones / Mosbacher Absent / Passed CONSENT CALENDAR to approve the Consent Calendar as submitted: a. Union Life & Long Term Disability Policies - Approved change of insurance carrier for union life and long term disability policies to Reliance Standard, effective October 1, 2011; b. Centrifuge #1 Rebuild - (1) Authorized exception to bidding procedures as outlined in the Purchasing Policy for a sole source purchase, and requirement for compatibility with existing equipment; and (2) Approved purchase of parts and labor from GEA Westfalia Separator Division, in the amount of $19,812.80; c. Trimble GeoXH GPS Receiver (2) - (1) Made finding that it is required that the District purchase Trimble GeoXH handheld GPS receivers in order to be compatible with the District's GIS protocols and procedures and the District's existing Trimble receivers, which were purchased from California Survey and Drafting; (2) Waived bidding procedures, as outlined in the Purchasing Policy, for equipment requiring compatibility with existing equipment and to be purchased from existing supplier; and (3) Approved purchase of two (2) Trimble GeoXH handheld GPS receivers from California Survey and Drafting, in the amount of $22,714.82; d. Snowshoe/Millich Slope and Bijou Sewer Relocates - Approved Change Order No. 1 to White Rock Construction in the amount of $39,950; e. 2011 Grizzly Mountain Waterline Project - Approved Change Order No. 5 to Burdick Excavating Co. Inc., in the amount of $51,994.35; f. 2012 Wildwood Waterline Replacement Project - Authorized Task Order to Kennedy Jenks Consultants for planning and design, in the amount of $122,297. ITEMS FOR BOARD ACTION Seven proposals were received in response to the RFPs for an ARC FLASH HAZARD arc flash hazard assessment for the Al Tahoe, Bijou, Tahoe Keys, ASSESSMENT and Johnson sewer pump stations; and for the Bay View, Glenwood, Al Tahoe, and South Upper Truckee water wells. Staff evaluated all proposals based on completeness of the proposal, qualifications of the firm, schedule, and past performance, and recommended awarding the proposal to Lewellyn Technology. REGULAR BOARD MEETING MINUTES - SEPTEMBER 15, 2011 PAGE - 3 It was noted that the EI Dorado County Water Agency provided ARC FLASH HAZARD $40,000 for arc drives for District's water facilities. Since this Task ASSESSMENT Order is only for $17,108, the remaining funds will be used for assessments on other water facilities, as there are many left to be done (approximately 70 others). Moved Cefalu / Second Rise / Mosbacher Absent / Passed to authorize Task Order to Lewellyn Technology to furnish the Arc Flash Hazard Assessment for a cost not to exceed $17,108. Staff has been working in conjunction with the Lake Tahoe Basin Management Unit of the United States Forest Service (USFS) to secure a Special Use Permit (SUP) for the sewer facilities that have been installed on USFS lands. The permit will allow for continued maintenance of the existing facilities and allow District crews to make repairs on the facilities when needed. Paul Sciuto reported a draft copy of the SUP was included with the agenda for review. There will be minor revisions as the District finalizes the permit with the USFS. The estimated yearly permit fees for 2012 are approximately $40,000, based on a per acre cost of $325.93 for El Dorado County. The District has facilities or access roads on USFS land without easements on approximately 120.7 acres. The term of the permit is for 30 years (expires 12/21/2041) and is not renewable. An application for a new permit must be submitted at least 6 months prior its expiration. Staff will discuss the following concerns raised by Board members with USFS staff: - The requirement to wash all equipment after exiting, and prior to entering other areas (due to concerns about introducing invasive species); - Ensure the rules being imposed are not more stringent than the rules the USFS applies to itself; - An administrative appeal process should be included; - The fee escalation clause is not known, and should be similar to the rates applied to others. Moved Schafer / Second Cefalu / Mosbacher Absent / Passed to authorize approval and execution of the United States Forest Service Special Use Permit for all District sewer facilities, with minor revisions by staff. UNITED STATES FOREST SERVICE SEWER SPECIAL USE PERMIT Moved Schafer / Second Cefalu / Mosbacher Absent / Passed PAYMENT OF CLAIMS to approve payment in the amount of $1,211,035.52. REGULAR BOARD MEETING MINUTES - SEPTEMBER 15, 2011 PAGE - 4 Water and Wastewater Operations Committee: The committee STANDING COMMITTEE met on September 12 . Minutes of the meeting are available REPORT upon request. A project tour was included as part of the meeting and some of the candidates for the Board election attended. Director Jones reported ENS Resources (the District's Washington BOARD MEMBER REPORTS D.C. representatives) will attend the October 6 Board meeting. He also voiced his displeasure with the articles and blogs that have been written about the District and staff. Director Cefalu reported such articles foster transparency, creates robust discussions, and should be encouraged. Director Jones reported he attended the September 14 agency EL DORADO COUNTY board meeting. The main topic of discussion was regarding WATER AGENCY development of a four year plan and how to relay the plan to the PURVEYOR REPORT public. The next meeting will be held at their new office location. Richard Solbrig reported on three items: GENERAL MANAGER 1) Four proposals were received for legal services for Human REPORTS Resources. Interviews will be held September 27. 2) Lukins is supportive of participating in the pre -application grant process from California Department of Public Health (to replace waterlines and provide meters for all its customers). 3) Director Mosbacher attended the Alpine County Board of Supervisors meeting and indicated support for the Cal Trout Wild and Scenic Designation for the Upper Truckee River. In hindsight, she requested a letter be sent to clarify that the District did not actually have a position on this since there are no District facilities located in the area. A letter of clarification will be sent. Director Schafer commented on an item that was on the Consent BOARD MEMBER REPORT Calendar (Union Life & Long Term Disability Policies). The District's current insurance carrier had proposed a 50% increase. He recog- nized BB&H for their efforts, as well as work by Nancy Hussmann, in saving the District approximately $20,000 by recommending the insurance carrier be changed to Reliance Standard. Attorney Herrema stated a Special Board Meeting would be necessary to consider the requests raised by Harold Hutson at the beginning of the Board meeting. September 21, at 10:00 a.m. was proposed. STAFF REPORT It was noted that the Addendum to this agenda, related to the CORRECTIONS TO THE paving services provided by Harold Hutson, was removed from AGENDA the agenda. REGULAR BOARD MEETING MINUTES - SEPTEMBER 15, 2011 PAGE - 5 Richard Solbriq reported the Lahontan Board approved the discharge permit for Alpine County and agreed to all terms as requested by staff. GENERAL MANAGER REPORT 3:05 P.M. ADJOURNMENT Dale Rise, Board President South Tahoe Public Utility District ATTEST: - C Kathy Sharprk of the Bard South Tahoe Public Utility District DATE: 9 - 1 s-- BOARD OF DIRECTORS MEETING GUEST SIGN -IN SHEET IN ACCORDANCE WITH THE BROWN ACT: COMPLETION OF THIS INFORMATION IS VOLUNTARY, NOT MANDATORY, AND IS NOT A PRECONDITION FOR ATTENDANCE. '-ea•cr V,i,ph-x! hey) /�>% /t;; C_' ACJ- () N) `:x- I'T- Iainv r ckc Cf t‘, nhe 4in-hrcn