05-01-97SOUTH TAHOE PUBLIC UTILITY DISTRICT
Basic Services for a Complex World
Christopher H. 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 1, 1997
MINUTES
The Board of Directors of the South Tahoe Public Utility District met in a regular session May 1,
1997, 2:00 P.M., City Council Chambers, 1900 Lake Tahoe Boulevard, South Lake Tahoe,
California.
BOARD OF DIRECTORS:
President Strohm; Directors Wallace, Jones, Mason,
and Mosbacher.
ROLL CALL
STAFF:
Baer, Solbrig, Sharp, McFarlane, Noble, Bird, Garcia,
Regan, R. Johnson, Attorney Neese.
GUESTS:
Judy Brown/City Council Liaison, Joyce Blackstone,
Nick Carrell, C.J. Ross
This item, requested by Randy Evans, 1686 Venice
Drive, was removed from the agenda. The Operations
Committee resolved this item prior to the Board
meeting.
REQUEST TO APPEAR BEFORE THE
BOARD
Staff requested Consent Item No. 2 be removed, as the
situation had been satisfactorily resolved.
CORRECTIONS TO THE AGENDA
OR CONSENT CALENDAR
ST057266
REGULAR BOARD MEETING MINUTES - MAY 1, 1997 PAGE - 2
Moved Mason/Second Strohm/Passed Unanimously
to approve the Consent Calendar as amended:
1)
Authorized implementation of the two-week discon-
nection procedures for delinquent sewer and/or
water accounts;
3)
Highway 50 Water Line Replacement - Approved
Change Order No. 9 for Utility Boring, Inc. in the
amount of $6,135;
4)
Rec-Park Booster Station (a.k.a. Flagpole Booster)
Relocation - A) Determined project is exempt from
CEQA; B) Authorized filing a Notice of Exemption
with the El Dorado County Clerk;
5)
Rec-Park Booster Station (a.k.a. Flagpole Booster)
Relocation - Authorized staff to advertise for bids for
water booster station construction;
6) Adopted Resolution No. 2653 Proclaiming May as
Water Awareness Month;
7) Adopted Resolution No. 2649 for Employee Benefit
Plan Fiduciary;
8)
C-line Emergency Relocation - Approved Change
Order No. 6 for Richard Cox Construction in the
amount of $22,236.42;
9) B-line Replacement - Approved Change Order No. 4
for Rutherford and Smith in the amount of $6,318.13.
CONSENT CALENDAR
ITEMS FOR BOARD ACTION
Moved Wallace/Second Jones/Passed Unanimously
to approve payment in the amount of $757,478.80.
Water and Wastewater Operations Committee: The
committee met April 28 and discussed several items
on this agenda. Minutes from the meeting are avail-
able upon request.
PAYMENT OF CLAIMS
BOARD MEMBER STANDING
COMMITTEE REPORTS
ST057267
REGULAR BOARD MEETING MINUTES - MAY 1, 1997 PAGE - 3
Director Mason reported a proposal by G.S. Concepts
for the evaluation of District properties will be on the
next agenda for approval.
Three Board members toured the Alpine County
facilities.
The committee also reviewed the request by Randy
Evans to hook up to the District's main water line at
3800 Needle Peak. It was agreed he will pay the costs
incurred to run a 2" line to the main; the District will
pay for the cost to upsize the line to 6".
Planning/Ordinance Committee: The format for the
administrative code is on this agenda for approval.
County Water Agency/EDWPA Committee: EID's
general manager, Bill Hetland, recently toured the
District's facilities.
LAFCO/Constitutional Revision Committee: Baer
reported the District's annexation of Heavenly Valley
may be on LAFCO's agenda for approval in July.
Legislative Funding Ad Hoc Committee: Director
Wallace reported Dan Lungren and Mayor Davis will
encourage support from Congressman Lewis.
Lahontan / SWRCB Communications Ad Hoc
Committee: The committee met to discuss the status
of the proposed ACL's assessed against the District.
Director Wallace sat in for Director Mason at this
meeting.
Director Jones reported ACWA's Spring Conference
will be held in South Lake Tahoe. He will participate
in the water quality sub-committee meetings while
attending the conference.
Director Wallace reported on four items:
1) The Lodging Association requested that a District
representative attend their May 8 meeting to discuss
Lahontan's proposed ACL's against STPUD.
BOARD MEMBER STANDING
COMMI'I-I-EE REPORTS
(Continued)
BOARD MEMBER AD HOC
COMMITTEE REPORTS
BOARD MEMBER REPORTS
ST057268
REGULAR BOARD MEETING MINUTES - MAY 1, 1997 PAGE - 4
2) During a recent trip to Sacramento, he made several
contacts that may be of benefit in the District's export
pipeline funding efforts.
3) Planning efforts for President Clinton's visit to Lake
Tahoe are underway.
4) He met with Caltrans in an effort to determine if any
Caltrans and District projects can be coordinated to be
performed at the same time to avoid major traffic
congestion.
Director Mosbacher reported MTBE in the groundwater
has become a major topic of concern in the Bay Area.
BOARD MEMBER REPORTS
(Continued)
PUBLIC HEARING
2:30 P.M. PUBLIC HEARING
President Strohm opened the Public Hearing at
2:30 P.M..
Presented by Diane Noble and Attorney Neese.
The first phase of compiling District ordinances into
one administrative code has been completed. This
phase entailed the formatting and structuring of the
code. Phase II will include substantive changes to the
ordinances. Ordinance No. 464 includes the repeal of
ordinances that were either superseded or amended
by policies.
None.
The Board complimented Noble, Neese, and the
Ordinance/Planning Committee for their accomplish-
ment on this project.
Moved Mason/Second Jones/Passed Unanimously
to enact Ordinance No. 464 and authorize filing a
Notice of Exemption with the El Dorado County Clerk.
President Strohm closed the Public Hearing at 2:40 P.M.
Manager Baer reported a series of employee meetings
will be conducted. The Lahontan issue and employee
survey results will be presented. Baer encouraged
Board members to attend.
ORDINANCE PROJECT:
ADMINISTRATIVE CODE
Open Hearinq
Staff Report
Public Comments
Board Member Comments
Ordinance No. 464
Close Hearing
GENERAL MANAGER/STAFF
REPORTS
ST057269
REGULAR BOARD MEETING MINUTES - MAY 1, 1997 PAGE - 5
Assistant Manager/Engineer: Richard Solbrig report-
ed on the status of all emergency projects:
C-Line Emergency Proiect of August 8, 1996 - The
project is complete. The asphalt plug has been install-
ed, and the revegetation work is finished. Final costs
will be reported at the next Board meeting.
Tahoe Keys Force Main Upper Truckee River Crossing
Emergency Project of February 6, 1997 - The final FEMA
inspection team inspected the project. R.K. Landscaping
is doing the last item of work, planting shrubs and install-
ing a header board in front of the amusement park where
the soil was disturbed. This project is near completion.
Millich Ditch/Snowshoe Thompson Ditch No. 1 Emer-
gency Project of March 20, 1997 - FEMA inspectors
walked the ditch and prepared a cost estimate for
repairs. FEMA stated they will not provide full reim-
bursement for this project if a pipeline is installed.
(FEMA typically funds only the replacement or re-
habilitation of existing structures, not new facilities.)
They agreed to consider applying the allowable
estimated funding they would have paid to restore
the ditch towards pipeline installation. Don Bently has
indicated he would be willing to pay for half the pipeline
project. If FEMA provides funds, as they have implied,
the pipeline project may resurface as the best long-
range solution at that location. Alternative options are
still under consideration.
Spring Creek Emergency Proiect of April 17, 1997 -
TVing the line has been completed. The final tapes and
reports are expected soon. The contractor indicated
during preliminary review, only two joints may need
repair. Local contractors have been invited to walk the
line next week in order to give quotes for backfilling the
trench. The USFS will reimburse the District for the road
asphalt removal and grading. FEMA has indicated they
will pay for the backfill of the trench portion of the con-
tract. The work is anticipated to be completed in the
next three weeks. The trench is a safety concern. The
USFS stated that upon completion of the sewer line
repairs, homeowners will be allowed to use the area.
STATUS OF EMERGENCY PROJECTS
ST057270
REGULAR BOARD MEETING MINUTES - MAY 1, 1997 PAGE - 6
Solbrig also reported that a permit modification was
received from Lahontan to allow removal of the pipeline
from the river in Woodfords. The Department of Fish
and Game has required a streambed modification before
allowing the pipe to be removed. Removal of the pipe
will be done during the river's Iow-flow period in late
August.
Finance Officer: Rhonda McFarlane reported on two
items:
1) Perry Smith was on site to perform a preliminary
audit. Favorable results are anticipated.
2) FEMA work is ongoing. News of which reports
have been approved is expected soon.
Attorney Neese reported the agreement from McDon-
ald's regarding the Bijou Pump Station is expected to
be finalized in the near future.
2:55 P.M.
3:10 P.M.
6:35 P.M.
STATUS OF EMERGENCY PROJECTS
(Continued)
MEETING BREAK
MEETING RESUMED AND
ADJOURNED TO CLOSED SESSION
RECONVENE TO REGULAR
SESSION
ACTION / REPORT ON ITEMS DISCUSSED DURING EXECUTIVE SESSION
The claim for $135,000 was rejected by a unanimous
vote of the Board.
The Board directed Legal Counsel regarding this item.
No Board action.
6:35 P.M.
7:00 P.M.
Pursuant to Section 54956.9(a) of
California Government Code/Liability
Claim Against STPUD Received From
Gar"th McCormack, Woodford's Inn
Pursuant to Section 54956.9(b) of
California Government Code/
Conference with Legal Counsel-
Anticipated Litigation (one case)
MEETING BREAK
MEETING RESUMED
ST057271
REGULAR BOARD MEETING MINUTES - MAY 1, 1997 PAGE - 7
PUBLIC HEARING
7:00 P.M. PUBLIC HEARING
1997/98 FISCAL YEAR BUDGETS:
SEWER ENTERPRISE FUND AND
WATER ENTERPRISE FUND
President Strohm opened the Public Hearing at
7:00 P.M.
Open Hearinq
Rhonda McFarlane and Richard Solbrig, with the
assistance of a slide show, presented the 1997/98
Fiscal Year Budgets for the Sewer and Water Enter-
prise Funds. Planned expenditures and revenues
were explained.
Staff Report
Nick Carrell received clarification regarding retiring
of the debt service.
Public Comments
Connie Ross commented on Lahontan's proposed
$57,000 ACL's against the District. He also received
clarification regarding the inspection of the Luther Pass
Pump Station line and the Ski Run Pump Station line
location.
Joyce Blackstone questioned and received clarification
on where money comes from in the event the fines
are levied. She also received clarification regarding
the District's contract with Alpine County.
8:15 P.M.
ADJOURNMENT
Christopher H. Strohm, President of Board
South Tahoe Public Utility District
ATTEST:
K~tl;,y S'harp,,,~lefl~ Of Board/'
South TahoeVPublic Utility District
ST057272
ST057273
SOUTH TAHOE
PUBLIC UTILITY
DISTRICT
1997-98
B~ET/FINANCIAL
PLANS
A SOUND DISTRICT
BUDGET PROVIDES
FINANCIAL MEANS TO:
· Operate Safe and Reliable Water
and Wastewater Systems.
· Protect Lake Tahoe's Environment.
· Manage Our Resources Prudently.
2
SEWER
ENTERPRISE
FUND
4
CAPITAL IMPROVEMENTS
$22.4 MILLION
1994- 1997
10,000,000
8,000,000
6,000,000
4,000,000
2,0110,000
0
3,017,1100
[..7,7~,oooj
1995 1996 1997
ST057274
SEWER SYSTEM
IMPROVEMFNTS
REPORT FROM
RICHARD SOLBRIG
Assistant General
Manager/Engineer
EXPORT SYSTEM
· Section A: $8.2 million- 28,000'
· Section B: $2.6 million - 5,800'
· Section C: $1.3 million -
· T~o river cross~-~ - ,F_xnergency Repairs
· Pipeline to the Emergency Retention
Basin: $1.5 million - 4,600'
SEWER ENTERPRISE FUND
EXPORT SYSTEM
Other
· Surge Tank
· Seclaon B
· Standby Power
$425,000
$2.6 million
COLLECTION SYSTEM
IMPROVEMENTS
· A1 Tahoe Ptanp Station $1.2 million
· Ski Run Pump Station $ 916,000
· Fairway Sewer Lines $453,000
· 2,300'
·Pumv Station Generators $105,00_0
· Al Tahoe, Tahoe Keys, and Upper Truckee
ST057275
Storm Damage Repairs
$1.4 million to Date
· Ponderosa Pump Station/Force Main
· Tahoe Keys Force Main
· Export Pipeline Erosion
· Snowshoe Thompson Ditch
· And more
10
SEWER ENTERPRISE FUND
1997/98 BUDGET PROPOSAL-
· Eliminate Planned Rate Adjustment.
· Infrasm~cture Spending of $2.4
million.
· Limited Increases in Operating
Expenses.
· Borrowing of $5,000,000 for the
Export Line Replacement/Repairs.
11
12
SEWER BUDGET
1997- 98 Fiscal Year Revenue
[] S~viceFees [] Bom:n~g ~ PropextyTaxes
Cennection Fees [] Inten:sff(~er
13
ST057276
Residential Customers
Quarterly Sewer Rate
· $63.72
· No Change Since 1991
14
1997 -98 QUARTERLY
SEWlZ, R SERVICE FEES
NotxhTaho~ Incline Villag~ SoulhTaho~
T~d~o~ Cit'/
15
SEWER ENTERPRISE FUND
SAI_ARY & BENEFITS
· Down $41,000
~$20,000 Shifted to Contractual Services.
~Net Decrease $21,000.
,No new positions.
,Cuts in benefit costs and overtime.
16
SEWER ENTERPRISE FUND
1997-98 Proposed Spending
[] Capital t~ Salary& Benefits
~ Maintenance & Operations IX, bt Service
17
ST057277
SEWER 1997/98 BUDGET
MAINT, & OPERATIONS
1995/96 BUDGET
· Storm damage $650,000
· Grant seeking costs $60,000
· Power and natural gas $119,000
· Temporary help shifted from
Employee compensation $20,000
· TOTAL CHANGE $849,000
18
1997-98 CAPITAL OUTLAY
$2,430,000
· Export Line $723,000
· Ponderosa Pump Station $500,000
· Furnace Stack/Gas Mon. $180,000
· Secondary Pt~npNFD $137,000
19
1997-981JFASE PURCHASES
$138,500
· Backhoe $70,000
· Tractor $68,500
20
FIVE YEAR FORECAST
21
ST057278
SEWER ENTERPRISE FUND
EXPORT LINE FINANCIAL
IMPACTS
0
1996
1997 1998 1999 2000 2001 2002
22
SEWER ENTERPRISE FUND
CAPITAL PROJECTS
IHvy Equ
~Various
~Engineer
23
SEWER ENTERPRISE FUND
FUNDING SOURCES FOR
CAPITAL PROJECTS
24
PROJECFED SEWER RATES
QUARTERLY
2ooo/m ~o.6s i s2.4oi
2000/02 $73.12 i
25
ST0572'79
26
WATER ENTERPRISE FUND
CAPITAL IMPROVEMENTS
$12.8 MILLION
1994- 1997
4,000,000
3,000,000
2,000,000
1,000,000
0
1994 1995 1996 1997
27
WATER SYSTEM
IMPROVEMENTS
MORE FROM
RICHARD SOLBRIG
Assistant General
Manager/Engineer
WATER ENTERPRISE FUND
WA TER SUPPLY
· Bakersfield Well 1500 gpm $759,000
· PalomaWell 2500 gpm $594,000
· New Boulder Mtn
Booster Station $241,000
· Water System Interties $287,000
*Echo View 1300'
*Flagpole/Twin Peaks
*Country Club/Stateline
28
29
ST057280
WATER ENTERPRISE HjND
NEW WATER LINES
57,0O0 FEET
· Hwy 50 Lines 7,700' - $2.7 million
· A1 Tahoe.._L~o. p 10,000'- $1 million
· Glenwood/SkiRun- $600,000
6,627'
· FairwayFFamarack Trunkline
5,687' $600,000
· Fred Peak 8,190' - $112,000
WATER ENTERPRISE FUND _
REL/AB/L/TY
NEW WATER LINES
· Bakersfield/Arrowhead Trunkline
5,450' - $572,000
· Chinonanin Ave 3,600'- $241,000
'-1 .... _r O'
· CalTr~ B~d~e 2,00 - ~20,000
· WashoanAve 4,275' - $260,000
· Christmas Valley Tank - $190,000
1,800'
· Boulder Mtn - 1,691' - $200,000
30
31
WATER ENYERPRISE FUND
· So. Upper Truckee
Well Generator
$75,000
· Elks Club Well Generator $75,000
32
WATER ENTERPRISE FUND
WATER STORAGE
· Two Stateline Water Tanks
3.5 MG - $1.8 million
· Arrowhead Water Tank
1MG- $512,000
33
ST057281
WATER ENTERPRI~ FUND
1997/98 BUDGET PROPOSAL-
· Reduce Planned Rate Adjustment fi.om
6% to 3.5%.
· lnfi.asmc~e Spending of $1.3 million.
· Decrease in Operating Expenses.
34
35
WATER BUDGET
1997- 98 Fiscal Year Revenue
~51 Service Fees :iii Capital Improvement Charge
[] Connection Fees Interest&Olher
36
Residential Customers
Quarterly Rate:
· $84.60 New Rate
· 3.5% Adjustment
· Amounts to $2.85
37
ST057282
1997-98 QUARTERLY
WATER SERVICE FEES
Inc[ineVilla~ TahoeCit~ SouthTahoe NorthTahoe Kinl~ury Ca~P,~ck
38
SALARY & BENEFITS
· Down $19,000 ~ h
.,No new positions.
,Cuts in benefits costs, regular wages, and
overtime.
39
WATER ENTERPRISE FUND
1997-98 Proposed Spending
[] Capital [] Salary & Benefits
:~ Maintenance & Operations Debt Service
WATER 1997-98 BUDGET
MAINT. & OPERATIONS
GOAL: NO INCREASE OVER 1995/96
· ACHIEVED/
· Actually decreased $16,000
40
41
ST057283
1997/98 CAPITAl J OUTLAY
$1,278,000
· Waterline Replacements $325,000
· Rec Park Booster Sm. $207,000
· Gardner Mtn. Tank $100,000
· Forest Mtn. Improvements $97,000
· College Well Rehab $60,000
42
1997-98 I,EASE PURCHASE
· Loader $92,000
43
WATER ENTERPRISE FUND
FIVE YEAR FORECAST
44
WATER ENTERPRISE FUND
CAPITAL PROJECTS
Five Years Ending June 30, 2003
In Thousands
11 1997-98 ] 1998-99 1, 1999-00 [ 2000-01 i 2001'02 ', TOTAL
Tanks !1 S2221 $775i $200i $230, $0
HvyEq $68i $101[ $115i $35: $20
IEqutpm
$325 [ S750 i S~00 [ $750 ] S750 $3V175 '
$1,427'
$314:
$3501 $150! S0~ $0 $460
$334! ssa~ s~o~l 627i s29 ss~?'
[Other il S174t SSi S171 S30: SS S171
$307: $316 Sl,491
~ Enginee [ S281 ! S289 ! S298 I
[Totals ii SI,278 ! $2,224 [ Sl,884 I
Sl,378,9 ' S1,120
45
ST057284
WATER ENTERPRISE FUND
FUNDING SOURCES FOR
CAPITAL PROJECTS
Existing Service Charges
Capital lmprovanent Charges
46
PROJECTED WATER RATES
FIVE YEAR CHART
YFAR
1997/98
1999100
2000/01
12001/02
Quarterly
$87.55
$9O.6O
$93.8O
$97.15
47
SUMMARY
1997/98 BUDGET
· To respond to economic conditions, $565,000
in rate adjustments have been deferred.
· Infi-astmcture investments of 3.7 million
planned.
· Includes $1,150,000 in storm damage costs.
· Costs are under control and have been
reduced in many areas.
· Commits funds to pursing Federal funding for
the export line
· W ' orevadr~ for the next century with
foUr'ts throt~ June 30, 2002.
48
Thank You
49
ST057285
DATE: ~,0-~ J;
REGULAR 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,
NAME ~ I ADDRESS I PHONE
ST057286