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05-02-96SOUTH TAHOE PUBLIC UTILITY DISTRICT '~asic Services for a Complex World" Chris Strohm, President BOARD MEMBERS James Jones, Vice President Robert Mason, Director Mary. Lou Mosbacher Duane Wallace, Director REGULAR MEETING OF THE BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT May 2, 1996 The Board of Directors of the South Tahoe Public Utility District met in a regular session, May 2, 1996, 2:00 P.M., City Council Chambers, 1900 Lake Tahoe Boulevard, South Lake Tahoe, California. BOARD OF DIRECTORS: President Strohm, Directors Jones, Mason, Wallace, and Mosbacher STAFF: Baer, Solbrig, Sharp, McFarlane, Regan, Schroeder, Rieger, Babich, Schrempp, Garcia, Hussmann, Noble, Taylor, Attorney Sare GUESTS: Frank DuQuite/City Council Liaison, Oscar Thompson, Joyce Blackstone, Reed Schmidt/ Bartle Wells, Harold Singer and Scott Ferguson/ Lahontan, Connie Ross, John Cefalu, Ty Baldwin, Frank Auten, Phil Steinberg, Mike Shepard, John Grau Oscar Thompson came before the Board to request authorization to further encroach on the District's easement to allow for an addition he would like to build on the north side of his house (which was built REQUEST TO APPEAR BEFORE BOARD: OSCAR THOMPSON, APN 80-162-04 ST057496 REGULAR BOARD MEETING MINUTES - MAY 2, 1996 PAGE - 2 five feet into the existing easement on the east side of Lot 322). The east side of the building would align with encroachment of easement. Moved Wallace/Second Jones/Passed Unanimously to authorize further encroachment to the existing easement to allow for the bulding addition on the north side of Mr. Thompson's existing house (east side of the building), and to direct that staff and attorney prepare an agreement that will extend the easement and pro- vide the District with the assurance it requires for an indemnification. Manager Baer and President Strohm presented the District Information Officer, Julie Regan, with the Employee of the Month Award. President Strohm pointed out that Action Item 4 was assigned a 7:00 p.m. time allocation. Moved Wallace/Second Jones/Passed Unanimously to approve the Consent Calendar as submitted: 1) Authorized implementation of two-week discon- nection procedures on the property located at 2250 Lake Tahoe Blvd., APN 23-251-301 for failure to perform annual backflow assembly test; 2) Authorized implementation of two-week discon- nection procedures on the property located at at 1309 Peninsula, APN 25-262-071 for failure to properly isolate or abandon well; 3) Authorized implementation of two-week discon- nection procedures for delinquent sewer and/or water accounts; 4) Authorized staff to advertise for bids for Echo View Intertie - Boulder Mountain Waterline Replacement; 5) Adopted Regular Board Meeting Minutes: 4/4/96; REQUEST TO APPEAR BEFORE BOARD: OSCAR THOMPSON, APN 80-162-04 (Continued) PRESENTATION CORRECTIONS TO THE AGENDA OR CONSENT CALENDAR CONSENT CALENDAR ST057497 REGULAR BOARD MEETING MINUTES - MAY 2, 1996 PAGE - 3 6) A) Determined that Waterline Replacement Project by district crews is exempt from CEQA; and B) Authorized filing a Notice of Exemption with the El Dorado County Clerk. CONSENT CALENDAR (Continued) ITEMS FOR BOARD ACTION Richard Solbrig reported four bids were received for this project. This item has been reviewed by the Operations Committee. Moved Jones/Second Mason/Passed Unanimously to award contract to the lowest responsive, respon- sible bidder, K.G. Walters Construction, for the base bid plus the bid alternates 11 and 12, in the amount of $631,242.00. Solbrig reported the Redevelopment Agency will reimburse the District for $42,500 for construction of the odor control facilities, and for the demolition and construction of the Tahoe Beach & Ski Resort's fire hydrant waterline and fences. Holland & Knight submitted a proposal outlining the legislative steps in the VA-HUD Subcommittee Appropriations. Director Wallace stated when Baer and Strohm return from their May 7 trip to Washington, they will have a better indication to what extent this should be taken. Doolittle is scheduled to testify before the subcommittee May 9. Holland & Knight's expenditures will be authorized in small increments, rather than approving the entire proposal. Baer reported El Dorado County has adopted a Resolution of Support on the District's behalf. Several other agencies are also expected to document their support including: TRPA, the City of SLT, the Chamber of Commerce. Moved Jones/Second Wallace/Passed Unanimousl.v to authorize increase of Holland & Knight's Purchase Order to $30,000 which includes Step I of the proposal. SKI RUN PUMP STATION VA-HUD APPROPRIATION: EXPORT pIPE LINE FUNDING ST057498 REGULAR BOARD MEETING MINUTES - MAY 2, 1996 PAGE - 4 Moved Strohm/Second Wallace/Mason Abstained/ Passed to approve payment in the amount of $669,222.30. Director Mason abstained due to a potential financial conflict. PAYMENT OF CLAIM~ Water and Wastewater O.Derations Committee: The committee met and discussed several items on the agenda. Minutes from this meeting are available upon request. BOARD MEMBER STANDING COMMITTEE REPORT~ Planning / Ordinance Committee: The committee met and discussed the schedule of units. It was the consensus of the Board to postpone this item until fall, or until time allows. AD HOC COMMITTEE REPORTS County Water Agency / EDWPA: EDWPA will meet May 10. Attorney Sare reported a new cost-share agreement will be sent to the County Water Agency requesting $20,000 towards the wellhead protection program, and $30,000 for the groundwater monitoring/ aquifer study. Em.Dloyee Benefits Committee: Director Mason reported Dave McCleerey, the ARMTech Consultant, met with shop stewards regarding self-funded medical insurance. This presentation was better received than the last. Director Mosbacher reported on two items: BOARD MEMBER REPORTS 1) Suggested staff inform the police department of what streets will have limited access due to District construction projects. Lake Valley Fire Protection District, the Chamber of Commerce, and the ambulance company will also be notified. Solbrig noted all streets will be passable to emergency vehicles and that the El Dorado County Department of Transportation is aware of all construction plans. 2) A ground breaking ceremony was held for the Embassy Vacation Resorts project on Ski Run. Tim Levin complimen- ted Diane Noble and Jim Hoggatt for their cooperation. President Strohm reminded the Board of the Senator Leslie fundraiser and encouraged support. ST057499 REGULAR BOARD MEETING MINUTES - MAY 2, 1996 PAGE - 5 Director Jones reported he will attend the ACWA conference next week. Manager Baer reported on two items: 1) The answers to the questions from the Lodging Association were delivered today. 2) He attended the State Water Resources Control Board meeting on May I to protest the bill for $5,000 from the grant appeal. Staff from the SWRCB is interested in touring District facilities. Attorney Sare reported the Schwake settlement conference that was scheduled for May 17 has been canceled at Mr. Schwake's request; he does not want to settle. Trial is scheduled for June 10. Hank Murdock will be Sare's co-counsel. 3:32 P.M. 3:45 P.M. 6:15 P.M. BOARD MEMBER REPORTS (Continued) STAFF REPORTS MEETING BREAK MEETING RESUMED AND ADJOURN- MENT TO EXECUTIVE SESSION RECONVENE TO REGULAR SESSION ACTION / REPORT ON ITEMS DISCUSSED DURING EXECUTIVE SESSION The Board directed staff regarding negotiations. No Board action. Moved Jones/Second Strohm/Mosbacher Voted No/Passed to select Kevin Neese, from the firm of Hatch and Parent, to provide legal services for the District. Manager Baer was directed to negotiate and draft a contract for Board approval. 6:20 P.M. 7:00 P.M. Pursuant to Section 54957.6 of California Government Code/ Stationary Engineers Local 39 Union Em.olo_vee Negotiations Pursuant to Section 54957 of California Government Code/Legal Services Provider MEETING BREAK MEETING RESUMED ST057500 REGULAR BOARD MEETING MINUTES - MAY 2, 1996 PAGE - 6 Phil Steinberg relayed his concern regarding the number of trees slated for removal for the A-Line project. Solbrig reported the route chosen will cause the least environmental damage of all of the available alternatives. COMMENTS FROM THE AUDIENCE PUBLIC HEARING 7;10 P.M. PUBLIC HEARING President Strohm opened the Public Hearing at 7:10 P.M. Richard Solbrig, aided by an overhead slide presentation, reviewed the history of the export system. He also reviewed repair/replacement options available. Reed Schmidt reviewed export system repair/replace- ment financing options. Finance Officer McFarlane presented the 1996/97 Fiscal Year Budgets for the Water Enterprise Fund and the Sewer Enterprise Fund. Using a slide presentation, McFarlane explained the planned expenditures and revenues. The final budget will be presented for approval at the May 16 Board meeting. John Cefalu asked for and received clarification regarding the replacement option versus the repair option. 8:30 P.M. 8:4-0 P.M. D~.~,lJJiz~;z~ spoke regarding metering of commercial customers. 1996/97 FISCAL YEAR BUDGETS: SEWER ENTERPRISE FUND AND WATER ENTERPRISE FUND OPEN HEARING STAFF REPORT pUBLIC COMMENTS MEETING BREAK PUBLIC HEARING RESUMED PUBLIC COMMENTS ST057501 REGULAR BOARD MEETING MINUTES - MAY 2, 1996 PAGE - 7 ~ asked for and received clarification regard- ng the District's outstanding debts. questioned the need for a rate increase. ~ spoke regarding the impacts of rate increases on a commercial customer. He also asked for and received clarification regarding self-funded medical insurance for employees. Cefalu recommended the pay-as-you-go funding alternative and encouraged the Board not to commit to a long-term debt. J:[i~31~L,~3Aez reported Lahontan will require the District to answer three questions: 1) what needs to be done to improve the export system's reliability; 2) how soon does it need to be done; and 3) how will it be paid for? Board members each gave their recommendations regarding the financing options for export system repairs/replacements. Additional comments were heard from Connie Ross and Dick Luipold. President Strohm closed the Public Hearing at 9:40 P.M. 9:50 P.M. PUBLIC HEARING - 1996/97 FISCAL YEAR BUDGETS: SEWER ENTER- PRISE FUND AND WATER ENTER- PRISE FUND (Public Comments Continued) BOARD MEMBER COMMENTS PUBLIC COMMENTS CLOSE PUBLIC HEARING ADJOURNMENT Christopher H. Strohm, President of Board South Tahoe Public Utility District ATTEST:' .~"~'/~'~'~ ~--//~ ~'/~--~ ~-~' _z-'~ K~tl~Fy -Sha'rp//21erk Of-Boarez- South Tahde'Public Utility District ST057502 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. ST057503