05-16-96SOUTH TAHOE PUBLIC UTILITY DISTRICT
'~asic Services for a Complex World"
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Chris Strohm, President BOARD MEMBERS James Jones, Vice President
Robert Mason, Director Maq( Leu Mosbacher Duane Wallace, Director
REGULAR MEETING OF THE BOARD OF DIRECTORS
SOUTH TAHOE PUBLIC UTILITY DISTRICT
May 16, 1996
The Board of Directors of the South Tahoe Public Utility District met in a regular session,
May 16, 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
Baer, Solbrig, Sharp, McFarlane, Hussmann, Regan,
Noble, Garcia, Brown, Attorney Neese
~ Jeff Dinkin/Hatch and Parent, Dick Thomas/
Tahoe ReGreen, Patrick McCartney/Tahoe Daily Tribune,
Frank DuQuite/City Council Liaison, Paul Kaleta, John
Cefalu, Summer Rae Smith
Rhonda McFarlane introduced Summer Rae Smith,
who is participating in the California CPA Society
Job Shadowing program.
President Strohm noted that Action Item 10/Legal
Services Provider will be discussed after Action
Item 4. Executive Session will be held next, then
COMMENTS FROM THE AUDIENCE
CORRECTIONS TO THE AGENDA
OR CONSENT CALENDAR
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REGULAR BOARD MEETING MINUTES - MAY 16, 1996 PAGE - 2
return to Action Item 5 and the remainder of
the agenda.
Moved Mosbacher/Second Jones/Passed
~ to accept Engineering Department
item as an addendum to the agenda as Action
Item 12. All posting requirements for this adden-
dum were met.
Paul Kaleta came before the Board to seek author-
ization for a refund of water and sewer service
charges paid since 3/31/94, and to suspend future
billing indefinitely. Due to ongoing litigation,
there is no use of water or sewer at the site.
Staff reported Mr. Kaleta's permit was inspected
and finalized 8/92 which caused the billing to
commence. Staff recommended he take advantage
of the metered water rate. Based on Ordinance 369,
Article IX, Section 9.1, the District cannot suspend
billing or refund prior charges.
The Board was unable to grant Mr. Kaleta relief
from past and future service charges. District Ord-
inances must be equitably applied to all customers.
No Board action.
Consent Item 7 was brought forward for discussion
prior to Board action.
Moved Mosbacher/Second Wallace/Passed
~ to approve the Consent Calendar as
amended:
1) Authorized staff to negotiate an extension of
the District's contract with Allied Colloids for
dry polymer;
2) Authorized staff to advertise for bids for 1996-97
chlorine and sodium hypochlorite supplies;
3) Authorized implementation of the two-week discon-
nection procedures for delinquent sewer and/or
water accounts;
CORRECTIONS TO THE AGENDA
OR CONSENT CALENDAR
(Continued)
REQUEST TO APPEAR BEFORE
BOARD: PAUL KALETA, 2485
pONDEROSA
CONSENT CALENDAR
ST057487
REGULAR BOARD MEETING MINUTES - MAY 16, 1996 PAGE
4) Approved invoice in the amount of $14,597 to
D2000 for cost of annual confined space
refresher training;
5) Approved. Cost Sharing Agreement with El Dorado
County Water Agency in the amount of $50,000
for the 1995-96 fiscal year;
6) Approved Change Order No. I to C.R. Fedrick in
the amount of $11,286 for Export Pipeline (SEZ)
Relocation Project and Washoan Blvd., Muskwaki
Drive Watermain Replacement;
8) Retired outdated Ordinance No. 397;
9) Authorized staff to advertise for bids for
Arrowhead Trunk Line;
10)'Adopted Special Board Meeting Minutes: 4/29/96;
11) Adopted Special Board Meeting Minutes: 4/30/96;
12) Adopted Special Board Meeting Minutes: 4/30/96.
Consent Item 7 will be discussed after Action Item 12.
CONSENT CALENDAR
(Continued)
ITEMS FOR BOARD ACTION
Rhonda McFarlane gave a presentation reviewing
Ordinance No. 461 which creates a new Capital
Improvement Charge, increases water consump-
tion charges, and clarifies the charge disconnected
customers are responsible for.
Specific questions and comments from Board
members and John Cefalu were received.
Moved Jones/Second Strohm/Passed Unanimously
to enact Ordinance No. 461/Amending Article Xll,
Water Rate Schedules, of Ordinance No. 360 and
superseding Ordinance Nos. 435 and 453.
WATER RATE AMENDMENT
ORDINANCE NO. 461
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REGULAR BOARD MEETING MINUTES - MAY 16, 1996 PAGE -4
Presented by Rhonda McFarlane. The proposed
budget is balanced and was reviewed in a Public
Hearing on May 2, 1996. This budget includes
revenue from two new rate schedules included
in Ordinance No. 461, which approximates a 6%
overall water service rate increase.
WATER ENTERPRISE FUND BUDGET
FISCAL YEAR 1996-97
Moved Wallace/Second Jones/Passed Unanimously
to adopt Resolution No. 2626/Adopting the Budget
for the Water Enterprise Fund for the Fiscal Year
1996-97.
Rhonda McFarlane reviewed several rate increase
scenarios and reiterated that this proposed increase
has been brought to the public for comments
four times.
SEWER RATE AMENDMENT
ORDINANCE
This Ordinance is proposed to generate $200,000
in revenue for the 1996/97 proposed budget to be
used for the District's Capital Improvement Program.
The export line replacement/repairs is the most
significant project and would result in a 3% overall
sewer rate increase.
Comments were received from Board members.
Moved Wallace/Second Jones/Strohm. Mason.
and Mosbacher Voted No/Motion Did Not Carry
to authorize no sewer rate increase at this time.
Moved Wallace/Second Strohm/Jones. Mason.
and Mosbacher Voted No/Motion Did Not Carry
to enact proposed Ordinance No. 460 effective
on October 1, 1996.
Moved Mosbacher/Second Strohm/Wallace.
Jones. Strohm, Mason Voted No/Motion Did
Not Carry to enact proposed Ordinance No. 460
effective on July 1, 1996. (After the motion was
made and seconded, and prior to the vote being
recorded, Attorney Sare stated that enacting
the ordinance would minimize the chances of
receiving an appropriation from the VA-HUD
and would undermine all efforts made so far.)
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REGULAR BOARD MEETING MINUTES - MAY 16, 1996 PAGE - 5
Presented by Rhonda McFarlane. This proposed
budget is balanced and was reviewed in a Public
Hearing on May 2, 1996.
SEWER ENTERPRISE FUND BUDGET
FISCAL YEAR 1996-97
Moved Wallace/Second Jones/Passed Unanimously
to adopt Resolution No. 2627/Adopting the Budget
for the Sewer Enterprise Fund for the Fiscal Year
1996-97.
4:10 P.M.
MEETING BREAK
4:15 P.M.
MEETING RESUMED
Two contract options were presented by Hatch &
Parent for the Board's consideration. The first is
based upon an hourly fee, the second contains a
monthly retainer fee.
LEGAL SERVICES PROVIDER
Moved Wallace/Second Jones/Mosbacher Voted
~ to ratify the hourly fee contract with
Hatch & Parent effective immediately.
4:40 P.M.
ADJOURNMENT TO EXECUTIVE
SESSION
6:15 P.M.
RECONVENE TO REGULAR SESSION
ACTION / REPORT ON ITEMS DISCUSSED DURING EXECUTIVE SESSION
Attorney Sare gave the Board a status update. As
a result, it was recommended the District enter into
a contract with Sare to continue providing legal
services on this case.
Moved Strohm/Second Mosbacher/Passed
~ to authorize the General Manager
to enter into a contract for Sare & Cherry to
continue to provide legal services regarding
the Schwake case.
Pursuant to Section 54956.9 of
California Government Code/
Schwake vs. STPUD, Federal Case
No. CV-N-93-851-DWH, State Case
No. 1453
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REGULAR BOARD MEETING MINUTES - MAY 16, 1996 PAGE - 6
The Board directed staff and legal counsel regarding
property negotiations.
No Board action.
The Board directed staff and legal counsel regarding
union employee negotiations.
No Board action.
The Board directed staff regarding personnel issues.
No Board action.
6:17 P.M.
6:25 P.M.
Pursuant to Section 54956.9 of
California Government Code/
Sunset Stables Eminent Domain
Property Acquisition
Pursuant to Section 54957.6 of
California Government Code/
Stationary Engineers Local 39 Union
Employee Negotiations
Pursuant to Section 54957 of
California Government Code/
Personnel Issues
MEETING BREAK
MEETING RESUMED
ITEMS FOR BOARD ACTION
Presented by Richard Solbrig on behalf of Rick
Hydrick. This item was reviewed by the Operations
Committee.
Moved Jones/Second Mason/Passed Unanimously
to award contract to lowest responsive, responsible
bidder, El Dorado Roofing, in the amount of
$7,918.00.
Presented by Richard Solbrig on behalf of Rick
Hydrick. This item was reviewed by the Operations
Committee. Solbrig noted several small projects
will be deferred to compensate the cost of this
project.
Moved Jones/Second Mason/Passed Unanimously
to award contract to lowest responsive, responsible
bidder, G.B. Construction, in the amount of $69,200.
Presented by Richard Solbrig on behalf of Jim Hoggatt.
This item was reviewed by the Operations Committee.
Solbrig noted this is a very important project as it will
increase the response time at this station from
REROOF CHRIS WELL, SOUTH UPPER
TRUCKEE WELL, AND TAYLOR CREEK
PUMP STATION
DEMOLITION OF ABANDONED
DISTRICT FACILITIES
AL TAHOE PUMP STATION
ST057491
REGULAR BOARD MEETING MINUTES - MAY 16, 1996 PAGE
20 minutes to 2Y2 hours. It is also one of the
mitigation projects required by the League/AG/
STPUD agreement.
Moved Mason/Second Jones/Passed Unanimously
to award contract to lowest responsive, responsible
bidder, Cushman Contracting, in the amount of
$921,850 which includes the Flight Pump alter-
native bid item.
Richard Solbrig reviewed the amount of staff time
it took to complete this item. These should have
been the responsibility of the Redevelopment
Agency. The Board directed staff to document
staff time spent and costs (including this task
order). This item was reviewed by the Operations
Committee.
Moved Mason/Second Jones/Passed Unanimously
to authorize increase in Montgomery Watson Task
Order to cover design scope additions, and construc-
tion services in the amount of $70,000.
President Strohm reported on the events during the
recent trip to Washington.
Moved Wallace/Second Jones/Passed Unanimously
to authorize increase to Holland & Knight to proceed
with Steps 2 and 3 as outlined in their proposal in an
amount not to exceed $20,000.
Included with this payment of claims is a $16,080.89
payment to Placer Title Company for the purchase of
the Rec Park Booster Station property. The Board
authorized the negotiator to offer up to $15,000 at
the April 18, 1996 Regular Board Meeting. With title
policy fee, escrow fees, transfer fees, etc. the total
amount equals $16,080.89.
Moved Wallace/Second Jones/Mason Abstained/
Passed to approve payment in the amount of
$594,893.45. Director Mason abstained due to
a potential financial conflict.
AL TAHOE PUMP STATION
(Continued)
SKI RUN PUMP STATION
VA-HUD APPROPRIATION: EXPORT
PIPELINE FUNDING
PAYMENT OF CLAIMS
ST057492
REGULAR BOARD MEETING MINUTES - MAY 16, 1996 PAGE - 8
Richard Solbrig reported that several ongoing
projects, plus several design changes made this
request necessary. This item was reviewed by
the Operations Committee.
ENGINEERING DEPARTMENT
Moved Jones/Second Wallace/Passed Unanimously
to authorize Task Order for Carollo Engineers in the
amount of $20,000 to assist District staff in
completing 1996 construction season design projects.
CONSENT ITEM BROUGHT FORWARD FOR ACTION / DISCUSSION
Director Mosbacher brought this item forward
because it seemed too costly to place on the
Consent Calendar. She also received clarification
regarding contractor's responsibilities. This item
was reviewed by the Operations Committee.
HIGHWAY 50 WATERLINE
REPLACEMENT
(Consent Item 7)
Moved Strohm/Second Jones/Passed Unanimously
to approve Change Order No. 4 to Utility Boring
in the amount of $29,757.60.
Water and Wastewater O.oerations Committee: The
committee met and discussed several items on the
agenda. Minutes from this meeting are available
upon request.
County Water Agency / EDWPA: Director Mosbacher
reported on the recent EDWPA meeting. A represen-
tative from the Central Valley Regional Water Quality
Control Board attended, he brought up several
interesting topics for discussion. Merv de Haas was
also present at that meeting and reported on the County
Water Agency budget.
BOARD MEMBER STANDING
COMMITTEE REPORTS
AD HOC COMMITTEE REPORTS
Employee Benefits Committee: The committee is
waiting for the ARMTech consultant's report.
Director Jones reported on the recent ACWA
conference. Topics of discussion included
Standardized Emergency Management System
(SEMS), eminent domain procedures, and
privatization.
BOARD MEMBER REPORTS
ST057493
REGULAR BOARD MEETING MINUTES - MAY 16, 1996 PAGE - 9
Director Wallace reported letters were being written
in support of Mickey Madden's application for the
Lahontan board vacancy.
Director Mason stated he would like to meet with
the City Planning Department regarding construction
of an access road to the District from Al Tahoe Blvd.
Manager Baer reported the export system is currently
shut down to allow for maintenance and inspection.
Attorney Neese reported he met with Dale Sare to
review pending issues and to transfer files.
8:00 P,M.
BOARD MEMBER REPORTS
(Continued)
STAFF REPORTS
ADJOURNMENT
Christopher H. Strohm, President of Board
South Tahoe Public Utility District
ATTEST: .~~ ~ ~_~---~_A
I~athy ~1~, Clerk o'f Board
South TaPrde Public Utility District
ST057494
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.
ST057495