06-21-12•
SOUTH TAHOE PUBLIC UTILITY DISTRICT
Richard Solbri. , General Mana• er
Eric W. Schafer, President
Chris Cefalu, Director
BOARD MEMBERS
Paul Sciuto, Assistant General Manager
James R. Jones, Vice President
Randy Vogel esan , Director Kelly Sheehan, Director
REGULAR MEETING OF THE BOARD OF DIRECTORS
SOUTH TAHOE PUBLIC UTILITY DISTRICT
JUNE 21, 2012
MINUTES
The Board of Directors of the South Tahoe Public Utility District met in a regular session,
June 21, 2012, 2:00 p.m., at the District Office, located at 1275 Meadow Crest Drive,
South Lake Tahoe, California.
BOARD OF DIRECTORS:
President Schafer, Directors Cefalu, Jones, Vogelgesang,
Sheehan
STAFF:
Solbrig, Whalen, Sciuto, Hughes, Cocking, Hussmann, Bledsoe,
Brown, Bergsohn, C. Stanley, Van Gorden, Attorney Kvistad
GUESTS: Shellan Rodriquez /Pacific West Communities,
Chris Westlake /Pacific West Communities, Angela Swanson/
Councilwoman, City of South Lake Tahoe, Nancy Keenan/
Interim City Manager City of South Lake Tahoe,
Austris Rungis /IEDA, Michael Turnquist
ROLL CALL
Moved Cefalu / Second Sheehan / Passed Unanimously to CONSENT CALENDAR
approve the Consent Calendar as submitted:
a. Liability Claim Against STPUD Received from Joe Olivares
and Brooke Olivares Laine - Rejected claim in accordance
with Government Code Section 913;
b. 2012 -2013 Sodium Hypochlorite Supply Drums - Awarded
bid to the lowest responsive, responsible bidder, Sierra
Chemical Co., in the estimated amount of $1 1,792.55;
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REGULAR BOARD MEETING MINUTES - JUNE 21, 2012 PAGE - 2
c. 2012 -2013 Sodium Hypochlorite Supply Totes - Awarded CONSENT CALENDAR
bid to the lowest responsive, response bidder, Brenntag (continued)
Pacific Inc., in the estimated amount of $15,210;
d. Polymer Contract Renewal - Authorized one -year renewal
option of polymer contract with Polydyne, Inc., in the
estimated amount of $128,007;
e. 2012 -2013 Bulk Sodium Hypochlorite Supplies - Awarded
bid to the lowest responsive, responsible bidder, Olin
Corporation in the amount of $77,106;
f. Annual Sofware Support Costs for SCADA Software -
Approved payment to E&M Electric & Machinery, Inc., for
SCADA software maintenance and support, in the amount
of $16,705.30 plus tax;
g.
Annual Software Support Costs for Utility Billing Software -
Approved payment to Springbrook Software, Inc., for utility
billing software maintenance and support, in the amount
of $22,402.20;
h. Alpine County Monitoring Well Installation - (1) Reaffirmed
continuance of Solinst Canada, LTD ( Solinst), dedicated
water level monitoring equipment as the District's standard;
(2) Authorized exception to the bidding procedures as
permitted in the District's Purchasing Policy for standardized
equipment purchased from manufacturer; and (3) Authorized
purchase from Solinst in an amount not to exceed $12,500;
i. Diamond Valley Irrigation Improvements Project
Environmental Permitting Services - Accepted the cost
proposal from Hauge Brueck Associates to update the
Recycled Water Facilities Master Plan and prepare an
accompanying addendum to the Environmental Impact
Report, in the estimated amount of $22,760;
j.
2011 Grizzly Mountain Booster Station Project - Approved
Change Order No. 6 to Thomas Haen Co. Inc., in the
amount of $4,481.50;
k. 2012 Water Tank Recoating Project - Authorized Task Order
to Bay Area Coating Consultants for coating inspection
services, in the amount not to exceed $46,000;
$46,000;
I. 2012 Water Tank Recoating Project - Approved Change
Order No. 1 to Crosno Construction, Inc., in the amount
of $36,000;
REGULAR BOARD MEETING MINUTES -JUNE 21, 2012
PAGE - 3
m. Statement of Investment Policy - Adopted Resolution
No. 2912 -12 adopting a Statement of Investment Policy and
superseding Resolution No. 2824 -07;
n. Approved Regular Board Meeting Minutes: May 17, 2012.
Shellan Rodriquez and Chris Westlake of Pacific West
Communities, Inc. gave a powerpoint presentation of the
revised project and explained the plan for proposed financing
with a traditional loan, state tax credits, state home loans.
They again asked the District to defer the water capacity charge
of $550,000, payable with a 55 -year loan at 3% interest. The
sewer capacity fee of $580,000 would be payable up front. The
District would receive an annual payment of $10,000 and be first
in line for payment from residual receipts.
Angela Swanson /Councilwoman, City of South Lake Tahoe; and
Nancy Keenan /Interim City Manager City of South Lake Tahoe,
addressed the Board to inform them of the City's support and
commitment for this project, and relayed they have secured a
state home loan.
A local resident spoke to request that the developers sign a
labor agreement to hire at least 50% local tradesmen.
Ms. Rodriquez requested a commitment letter from the District
to be submitted with the loan application. She requested
approval of the letter at the next Board meeting.
It was the consensus of the Board to have staff place this item
on the July 5 Board meeting for approval and signature of the
commitment letter.
CONSENT CALENDAR
(continued)
PRESENTATION: THE ASPENS
PROPOSED LOW- INCOME
AT SOUTH LAKE TAHOE
HOUSING PROJECT
ITEMS FOR BOARD ACTION
The District uses dedicated sampling pumps for the collection of
water quality samples from monitoring wells in El Dorado County
and Alpine counties. Monitoring wells are used to evaluate
long -term changes in groundwater quality and to meet regulatory
permit requirements. Dedicated pump systems are preferred to
portable pumps for long -term groundwater sampling as they
provide more representative water quality data, by eliminating
the risk of cross - contamination between sampling sites. Dedicated
pump systems also reduce sampling time. Staff would like to
standardize the type of dedicated electric sample pump equip-
ment for operational familiarity, sampling ease, and to minimize
the types of electric controllers, and spare parts needed for
repairs.
DEDICATED ELECTRIC
SAMPLE PUMP SYSTEMS
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REGULAR BOARD MEETING MINUTES - JUNE 21, 2012 PAGE - 4
Moved Jones / Second Cefalu / Passed Unanimously to: DEDICATED ELECTRIC
(1) Find that Fultz Pumps Inc., (Fultz) dedicated groundwater SAMPLE PUMP SYSTEMS
sampling pump system for use in District monitoring wells should (continued)
be standardized equipment; (2) Authorize exception to the bid-
ding procedures as permitted in the District's purchasing policy
for standardized equipment purchased from the manufacturer;
and (3) Authorize purchase from Fultz in the amount of $15,556.40.
Staff requested the Board to direct whether or not to postpone
the scheduled capacity charge increases to be effective
July 1, 2012. A lengthy discussion ensued. Staff was directed to
put the ordinances on the July 5 Board meeting to postpone the
increases to January 1, 2013. In addition, during this six month
postponement, staff and the Board will review and possibly
revise these ordinances to eliminate an automatic increase
every six months, consider a lesser fee, and to evaluate the
methodology of the fire line capacity charge.
No Board action.
POSTPONEMENT OF
SCHEDULED CAPACITY
CHARGE INCREASES
Due to historic low interest rates, the District has an opportunity 2004 SEWER DEBT
to refinance a sewer borrowing from 2004 which currently has REFUNDING
• an outstanding balance of $10,275,000. The estimated gross
savings for the remaining 12 year debt is approximated
$1.0 million with an interest rate of 3.25 %. Staff is requesting the
financial assistance of Bartle Wells Associates in securing the loan.
Moved Vogelgesang / Second Sheehan / Passed Unanimously
to authorize Chief Financial Officer to execute an engagement
letter with Bartle Wells Associates, in the amount of $25,000.
Moved Cefalu / Second Vogelgesang / Passed Unanimously to PAYMENT OF CLAIMS
approve payment in the amount of $792,573.71.
Water and Wastewater Operations Committee: The committee STANDING COMMITTEE
met on June 18. Minutes of the meeting are available upon REPORTS
request.
The agency met on June 13, 2012. The Fiscal Year 2012/13
budget was passed. There was a report given by a consultant
who is very familiar with the Delta issues, and on the current
efforts to take water away from the west slope
foothill communities.
EL DORADO COUNTY
WATER AGENCY REPORT
District Information Officer: Dennis Cocking addressed the Board STAFF REPORTS
C regarding the US 50 /South Shore Community Revitalization Project
(Loop Road), and if they would consider at a future meeting taking
a formal position on the proposed project. There are substantial
facilities that may have to be relocated and the District is unsure of
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REGULAR BOARD MEETING MINUTES - JUNE 21, 2012 PAGE - 5
where the financial responsibility lies for any unbudgeted STAFF REPORTS
expense. The Board directed staff to agendize this for discussion (continued)
at the July 5 Board meeting.
Customer Service Manager: Tim Bledsoe gave a status report on
two items he is looking into as a result of customers complaints:
(1) Minimum of 3 sewer units billed when a customer only has 2
sewer units; and (2) Laundromat billings for sewer units.
ACTION / REPORT ON ITEM DISCUSSED DURING CLOSED SESSION
a. Pursuant to Government Code Section 54956.9(b) /Liability Claim Against STPUD
Received from Joe Olivares and Brooke Olivares Laine
No reportable Board action.
b. Pursuant to Government Code Section 54957(a) /Conference with Labor Negotiators
re: Memorandum of Understanding with the Management Unit
Present During This Closed Session Will Be: Agency Negotiators: Austris Rungis /IEDA,
Richard Solbrig /General Manager, Nancy Hussmann /Human Resources
Director, Paul Hughes /Chief Financial Officer
No reportable Board action.
c. Pursuant to Government Code Section 54957(a) /Conference with Labor Negotiators
re: Memorandum of Understanding with Stationary Engineers, Local 39
Present During This Closed Session Will Be: Agency Negotiators: Austris Rungis /IEDA,
Richard Solbrig /General Manager, Nancy Hussmann /Human Resources Director,
Paul Hughes /Chief Financial Officer,
No reportable Board action.
4:40 P.M.
RECONVENED TO OPEN
SESSION AND MEETING
ADJOURNMENT
Eric W. Schafer, President
South Tahoe Public Utility District
ATTEST: ,
C Kathy Sharp, rk of the Bdard
By: Chris Wh en, Assistant Clerk of the Board
South Tahoe Public Utility District
DATE:
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.
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