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04-21-94MINUTES REGULAR MEETING OF THE BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT APRIL 21, 1994 The Board of Directors of the South Tahoe Public Utility District met in an Executive Session at 2:00 PM at the District Office, 1275 Meadow Crest Drive, and a Regular Session April 21, 1994, 4:00 PM, City Council Chambers, 1900 Lake Tahoe Boulevard. 2:00 - 3:45 PM EXECUTIVE SESSION 2:00 PM - President Wallace called the meeting to order and immediately adjourned to Executive Session. BOARD OF DIRECTORS: CALL TO ORDER ROLL CALL President Wallace, Directors Mason, Mosbacher, Strohm, Jones STAFF: Baer, Solbrig, Attorney Clifford EXECUTIVE SESSION Litigation File 3240/BOTTINI ET STPUD #SV93- AL VS. ADJOURNMENT TO CONTINUE EXECUTIVE SESSION AT A LATER TIME THIS DATE, THURSDAY, APRIL 21, 1994 3:43 PM MEETING RECESS (MOVED TO CITY COUNCIL CHAMBERS) 4:00 PM RECONVENE TO REGULAR BOARD MEETING 4:00 PM REGULAR BOARD MEETING BOARD OF DIRECTORS.: President Wallace, Directors Mason, Mosbacher, Jones, Strohm ROLL CALL STAFF: Baer, Solbrig, McFarlane, Noble, Twomey, Hussmann, R. Johnson, Schroeder, Hydrick, Poulson, Christianson, Boyson, W. Stanley, Brown, Eddy, Thiel, Hoggatt, Sharp, Attorney Sare, Attorney Clifford ST055530 REGULAR BOARD MEETING MI~b~ES - APRIL 21, 1994 PAGE - 2 GUESTS: Frank DuQuite/City Council, Jonas Minton/E1 Dorado County Water Agency, Dave Antonucci/Tahoe City PUD, Dave Lancaster/State of Ca. Dept. of Health Services, Deborah Palmer/Feldman, Shaw, and DeVore, Jon and Paula Corley Jon Corley appeared before the Board to request that the District consider using natural gas at the Luther Pass Pump Station in lieu of diesel. He feels this will better the chances for the residents on Grass Lake to acquire gas service from WP Natural Gas, and may help in lowering the cost for main installations. Shop Steward No report. Director Strohm requested Agenda Item 9/Attorney Contract be moved for dis- cussion after Executive Session. Moved Mason/Second Jones/Passed Unanimou___~_~_y to approve the Consent Calendar as submitted: 1) Authorized staff to advertise for bids for a diesel-powered generator set for Elk's Club Well Standby Generator Ex- pansion Project; 2) Authorized staff to advertise for bids to contract with Tahoe Employee Assis- tance Partnership to provide an em- ployee assistance program for District employees for a period of one year; 3) Approved Special Board Meeting Minutes: March 28, 1994; 4) Approved Regular Board Meeting Minutes: April 7, 1994 ROLL CALL (continued) COMMENTS FROM THE AUDIENCE CORRECTIONS TO AGENDA OR CONSENT CALENDAR CONSENT CALENDAR ITEMS FOR BOARD ACTION Manager Baer presented Chris Christianson with a plaque inscribed with Resolution No. 2591 honoring him for his years of service to the District and its ratepayers, and congratulated him on his retirement. John Boyson will replace Chris as the Elec- trical Supervisor and was introduced to the Board. RESOLUTION 2591 ST055531 RE~uhAR BOARD MEETING MINUTES - APRIL 21, 1994 PAGE - 3 Moved Mason/Second Jones/Passed Unanimously to adopt Resolution 2591. Rick Hydrick presented the Firm Source Capacity Plan. Dave Lancaster, from the Department of Health Services, conveyed his support of the plan, and complimented the efforts made by staff to evaluate and complete this very complicated document. Dave Antonucci, from Tahoe City PUD, explained the benefits of becoming a member of ACWA. The pros and cons of CASA membership were also discussed. It was the consensus of the Board to ask Dave Antonucci to review the amount needed for the District's membership fee and to clarify the building special assessment fee. This item will then be brought before the Board for future action. An associate membership with CASA will be maintained by Attorney Sare. No action taken. Construction Manager Hoggatt reviewed a discrepancy related to the low bid - the bid total was not written out in words. Staff recommended this discre- pancy be waived. Moved Mason/Second Jones/Passed Unanimously to waive the discrepancy (described above). Moved Mason/Second Jones/Passed Unanimously to award the construction contract to the lowest, responsive, responsible bidder, Whiterock Construc- tion, in the amount of $31,400. Public testimony was invited regarding the Environmental Assessment/Negative Declaration. None was received. No action taken. Public testimony was invited regarding the Environmental Assessment/Negative Declaration. None was received. No action taken. RESOLUTION 2591 (continued) FIRM SOURCE CAPACITY PLAN ASSOCIATION OF CALIFORNIA WATER AGENCIES (ACWA) SONORA AVENUESEWER PROJECT STATELINE STORAGE PROJECT: ENVIRONMENTAL DOCUMENT ERB PIPELINE REPLACEMENT PROJECT: ENVIRONMENTAL DOCUMENT ST055532 REGULAR BOARD MEETING MIN%~TES - APRIL 21, 1994 PAGE - 4 Manager Baer reported the Agreement to Share Costs, which was prepared in res- ponse to the litigation settlement with the CWA, was ready to be signed by the Board President. Jonas Minton, the General Manager of the E1 Dorado County Water Agency, was present to recommend the agreement be signed. EL DORADO COUNTY (CWA) Moved Jones/Second Strohm/Passed Unanimously to authorize Board President to sign the Agreement to Share Costs. Director Mason asked that Attorney Sare add an indemnity clause to the letter, and Director Mosbacher requested alter- native language be used in the first paragraph. Moved Strohm/Second Jones/Passed Unanimously to authorize Board President to sign the letter as amended above. Moved Strohm/Second Jones/Mason Abstained/Passed to approve payment in the amount of $474,252.21. Director Wallace reported the Executive Committee met to discuss the ongoing salary survey negotiations. Staff comments will be sent to the consultant for review. Director Mason reported that he, along with Manager Baer and Linda Brown, went to a meeting of the Alpine County Fish and Game Commission where they thanked the Commissioner for the bids for the 1994 fish purchase. They also met re- garding how the compact between Alpine County and the District was performing. Director Mason stated all seemed fine. There were questions related to the news- paper article about the dam, and about how the mitigation fee was calculated. Manager Baer met with City Attorney, Dennis Crabb, to discuss three items: LAKESIDE MUTUAL WATER SYSTEM PAYMENT OF CLAIMS BOARD MEMBER STANDING COMMITTEE REPORTS BOARD MEMBER REPORTS STAFF REPORTS 1) City Water MOU: Alternative language was discussed for use in the MOU that is compatible with the interests of both the City and the District; ST055533 REGULAR BOARD MEETING MIN/3TES - APRIL 21, 1994 PAGE - 5 2) McDonald's Site: The City Redevelop- ment Agency will deed the District the 50' x 50' piece of property that was a part of the original agreement. The District will provide McDonald's with some easements on the corners of their driveway. The property is specifically to be used for a pump station; if in the event the District no longer needs the property, the ownership will revert back to the City at fair market value; 3) Federal Funding for Wastewater Improve- ments: The League does not support the District receiving funding for wastewater projects. The only way they would show support is if the project was based on the extraordinary costs of operating a waste- water system in Lake Tahoe. There may be funds available that were set aside for environmental programs that were not used. A series of projects that would qualify for use of these funds may be sup- ported by senate providing the projects are ready to go quickly. Manager Baer suggest- ed the emergency power project may qualify as extraordinary costs. Attorney Sate reported on two items: (1) Dale is trying to determine why there is a sense of hostility from Nevada towards the District; (2) Reviewed how revisions to the Brown Act will affect the agenda. 5:35 PM 5:49 PM 6:00 PM It was the consensus of the Board to direct staff to pursue final negotiations for the transfer of real property in the acceptance of a long term lease with VanSickle for the Stateline Storage Tank Site under the terms outlined in the negotiation letters (correspondence from Sare dated 3/21/94 and Mr. Sheerin's res- ponse dated 4/12/94). STAFF REPORTS (continued) MEETING BREAK RESUME MEETING ANDADJOURN- MENT TO EXECUTIVE SESSION RECONVENE TO REGULAR BOARD MEETING Pursuant to Government Code Section 54956.8/Real Property Negotiations - VanSlckle Property ST055534 REGULAR BOARD MEETING MINUTES - APRIL 21, 1994 PAGE 2) McDonald's Site: The City Redevelop- ment Agency will deed the District the 50' x 50' piece of property that was a part of the original agreement. The District will provide McDonald's with some easements on the corners of their driveway. The property is specifically to be used for a pump station; if in the event the District no longer needs the property, the ownership will revert back to the City at fair market value; 3) Federal Funding for Wastewater Improve- ments: The League does not support the District receiving funding for wastewater projects. The only way they would show support is if the project was based on the extraordinary costs of operating a waste- water system in Lake Tahoe. There may be funds available that were set aside for environmental programs that were not used. A series of projects that would qualify for use of these funds may be sup- ported by senate providing the projects are ready to go quickly. Manager Baer suggest- ed the emergency power project may qualify as extraordinary costs. Attorney Sare reported on two items: (1) Dale is trying to determine why there is a sense of hostility from Nevada towards the District; (2) Reviewed how revisions to the Brown Act will affect the agenda. 5:35 PM 5:49 PM 6:00 PM It was the consensus of the Board to direct staff to pursue final negotiations for the transfer of real property in the acceptance of a long term lease with VanSickle for the Stateline Storage Tank Site under the terms outlined in the negotiation letters (correspondence from Sare dated 3/21/94 and Mr. Sheerin's res- ponse dated 4/12/94). STAFF REPORTS (continued) MEETING BREAK RESUME MEETING ANDADJOURN- MENT TO EXECUTIVE SESSION RECONVENE TO REGULAR BOARD MEETING Pursuant to Government Code Section 54956.8/Real Property Negotiations - VanSickle Property ST055534 REGULAR BOARD MEETING MINUTES - APRIL 21, 1994 PAGE - 6 It was the consensus of the Board to authorize Attorney Sate to reject the $24,000 offer by Manuel Brothers, and to extend the District's offer of $12,000 until the next Board meeting on May 5th. No direction received. 6:04 PM 7:05 PM Pursuant to Government Code Section 54956.9(b) (1)/ Manuel Brothers, Inc. Pursuant to Government Code Section 54956.8/Real Property Negotiations - McDonald's ADJOURNMENT TO EXECUTIVE SESSION Litigation File #SV93-3240/ BOTTINI ET AL VS. STPUD RECONVENE TO REGULAR BOARD MEETING ITEMS BROUGHT FORWARD FOR ACTION AFTER EXECUTIVE SESSION Moved Mason/Second Mosbacher/Jones Voted No/Passed to approve the modificata- tions to the Legal Services Agreement as presented by Attorney Clifford that states "District may also terminate firm without cause and without compensation except as to the reasonable value of firm's services up to the time of the termination. But in the event of termination without cause, both District and firm hereby reserve all rights under the applicable California law at the time of any such termination." Moved Mason/Second Mosbacher/Jones Voted No/Passed to direct Attorney Clifford to seek a dismissal of the suit, or file a summary judgement. 7:15 PM ATTORNEY CONTRACT ADJOURNMENT DuAN~ WALLT~L~E, PRESIDENT OF BOARD SOUTH TAHOE PUBLIC UTILITY DISTRICT KATHY' S~P, ASSIST~T CLERK OF BOARD SOUTH T~OE PUBLIC UTILITY DISTRICT ST055535 DATE: BOARD MEETING GUEST SIGN-IN SHEET COMPLETION OF THIS INFORMATION IS VOLUNTARY, NOT MANDATORY, AND IS NOT A PRECONDITION FOR ATTENDANCE, IN ACCORDANCE WITH THE BROWN ACT. F' ST055536