Loading...
08-19-99SOUTH TAHOE PUBLIC UTILITY DISTRICT "Basic Services for a Complex World" James Jones, President BOARD MEMBERS Christopher H. Strohm, Vice President REGULAR MEETING OF THE BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT AUGUST 19, 1999 MINUTES The Board of Directors of the South Tahoe Public Utility District met in a regular session August 19, 1999, 2:00 P.M., City Council Chambers, 1900 Lake Tahoe Boulevard, South Lake Tahoe, California. BOARD OF DIRECTORS: President Jones, Directors Wallace, Strohm, Gochnauer, Mosbacher. ROLL CALL STAFF: Baer, Solbrig, Sharp, McFarlane, Frye, Johnson, Noble, Schroeder, Brown, Garcia, Bird, Attorney Kvistad. GUESTS: Anjanette Kellogg, Colin West/USDA-Forest Service LTBMU; Scoff Brooke/Brooke & Shaw; Danny Lukins/ Lukins Brothers Water Company; Fred Girard/Kronick, Moskovitz, Tiedemann & Girard; Bob Mason; David Kelly; Mark Witters; Joyce Blackstone. Consent Item d. was brought forward for discussion prior to Board action. Staff requested that Consent Items b. and c. (water disconnection procedures for APN 23-392-031 and APN 28-021-02 for failure to perform annual back- flow assembly tests) be removed, as the situations have been satisfactorily resolved. CORRECTIONS TO THE AGENDA OR CONSENT CALENDAR ST057744 REGULAR BOARD MEETING MINUTES -AUGUST 19, 1999 PAGE - 2 Staff requested Action Item d. (1998-99 Fiscal Year Capital Outlay Rollovers and Amendments), be removed and placed on a future meeting agenda. Moved Gochnauer/Second Strohm/Passed Unanimously to approve the Consent Calendar, as amended: a. Authorized implementation of the two-week sewer and/or water disconnection procedures for delinquent accounts; b. (Item Removed); c. (Item Removed); d. (See Consent Items Brought Forward); e. Recarpet Administration Building - Awarded bid to the lowest responsive, responsible bidder, Dayton's Floors, in the amount of $24,657; f. Sussex Work Management System Software - Approved purchase and implementation in the amount of $32,297; g. Hydro Bid - Awarded bid to the lowest responsive, responsible bidder, 3-T Equipment, in the amount of $96,930.75; h. Flagpole Sitework - Approved Change Order No. 2 for C. B. Ebright Co. Inc., in the amount of $15,812.50; i. Flagpole Roof Replacement - Approved Task Order No. 49 for Carollo Engineers in the amount of $57,600; CORRECTIONS TO THE AGENDA OR CONSENT CALENDAR (continued) CONSENT CALENDAR ITEMS FOR BOARD ACTION Jim Hoggatt reported one bid was received for this project, at the August 17 bid opening, for restoration and erosion control at the following sites: Christmas Valley Tank, Gardner Mountain Tank, Arrowhead Well Site, Lookout Tank, and Flagpole Tank. Staff reviewed all bid documents and found them to be in order. Moved MosbachedSecond GochnauedPassed Unanimous- I_y to award contract to the lowest responsive, responsible bidder, R & K Lawn/Gardner, in the amount of $34,970.00. RESTORATION AND EROSION CONTROL PROJECT ST057745 REGULAR BOARD MEETING MINUTES -AUGUST 19, 1999 PAGE -3 Jim Hoggatt reported one bid was received for this project, at the August 17 bid opening. This project includes re- paving the lower shop area, a diesel fueling area with a sand/oil separator and paved access road, and installation of snow plow rails and guideposts to guard against un- necessary soil disruption and erosion. Staff reviewed all bid documents. Hoggatt reviewed a minor discrepancy related to the bid - the Specifications and Contract Docu- ments book was taken apart and information was typed on a number of pages. Also, the Contractor only entered the number "5" in acknowledging the addenda. There were, in fact, five but the Contractor should have entered 1, 2, 3, 4, 5. Hoggatt recommended this minor discrepancy be waived. Moved Gochnauer/Second Wallace/Passed Unanimously to waive the minor discrepancy (described above) and award bid to the lowest responsive, responsible bidder, Granite Construction Company, in the amount of $236,359.15. Jim Hoggatt reported two bids were received for this project, at the August 18 bid opening. This project includes providing restoration and erosion control appurtenances at three locations along the North Upper Truckee River: near East River Park Drive, South Lake Tahoe airport, and the District's Upper Truckee Pump Station. Staff reviewed all bid documents and found them to be in order. Moved Gochnauer/Second Jones/Passed Unanimously to award contract to the lowest responsive, responsible bidder, C. B. Ebright, in the amount of $309,209.00. Moved Strohm/Second Wallace/Passed Unanimously to approve payment in the amount of $736,428.63. LOWER SHOP PAVING PROJECT UPPER TRUCKEE RIVER RESTORATION AND EROSION CONTROL PROJECT PAYMENT OF CLAIMS CONSENT ITEMS BROUGHT FORWARD FOR ACTION I DISCUSSION Richard Solbrig reported the amount shown for the Repaving of the Lower Shop should be changed from $50,000 to $150,000. Moved Strohm/Second Wallace/Passed Unanimously to approve the roll over of funds (including the change described above) into the 1999-00 Fiscal Year Budget of planned capital projects not completed, and approve budget amendments for underfunded projects. 1998-99 FISCAL YEAR CAPITAL OUTLAY ROLLOVERS AND AMENDMENTS (Consent Item d.) ST057746 REGULAR BOARD MEETING MINUTES - AUGUST 19, 1999 PAGE - 4 ITEMS FOR BOARD ACTION The USFS has requested temporary water service for indoor use at the Camp Richardson area. Staff has met with USFS staff re: the terms of the agreement, which has been reviewed by District general counsel, and approved by the USFS. A purchase order to install the 6-inch pipe- line, meter, backflow prevention assembly, and associated piping. The temporary agreement is for the period from 9/30/99 to 5/31/00. Bob Baer reported there is one clarifi- cation that was verbally agreed upon, but not reflected in the purchase order: that administrative costs for District staff time and legal counsel fees to develop the temporary water service agreement be included in the costs covered by the purchase order. Anjanette Kellogg, on behalf of the USFS, was present and agreed to amend the purchase order to reflect those costs be added. With that change, staff recommended that the District enter into a temporary water service agreement and accept the amended purchase order where the District will construct the necessary water lines, USFS - CAMP RICHARDSON TEMPORARY WATER SUPPLY Director Gochnauer reiterated a term contained in the agree- ment - that the District has no obligation to continue water service past 5/31/00. A permanent agreement will only be considered if there is an adequate supply of water resources. Director Mosbacher noted the hookup date stated in the agreement should be changed to read 10/1/99 (instead of 9~30~99). Anjanette Kellogg agreed to amend the agreement to state 10/1/99. Moved Wallace/Second Gochnauer/Passed Unanimously to: A) Accept the purchase order to install a 6-inch water connection; and B) To authorize the temporary water agree- ment with the changes as discussed (the changes are described above). PUBLIC HEARINGS President Jones opened the Public Hearings at 2:30 P.M. (Action Items a. and b. were combined for the purpose of this discussion.) SEWER CONNECTION FEE - ORDINANCE NO. 472-99; AND WATER CONNECTION FEE - ORDINANCE NO. 471-99 ST057747 REGULAR BOARD MEETING MINUTES - AUGUST 19, 1999 PAGE - 5 Diane Noble gave an overhead presentation reviewing the proposed sewer and water connection fees. The increases to the sewer connection fee will be phased in over the next five years. The first increase will take effect January 1, 2000. The new fee is calculated on the actual cost of new sewer capacity, in terms of existing and new District facilities, and special expenses associated with new customers. There has been no increase to sewer connection fees since 1989. A noticed public workshop was held June 14, 1999, following a comprehensive sewer rate study conducted by Economic and Engineering Services, Inc. The increased water connection fee will take effect January 1, 2000. The existing minimum (single family home) connection fee is $1,550; the new minimum connection fee will be $1,665. All connections larger than the minimum (single family home) were calculated as a multiple of the minimum charge, depending on the specific water demand of each project. The calculation is based on an equity of buy-in to the water system's value. The single family home water connection fee has not changed since 1989. A noticed public workshop was held June 14, 1999. Sewer and water fees will be adjusted January 1 of each year according to the Engineering News Record's Con- struction Cost Index, National Average, for the prior twelve- month period, to reflect cost changes. Bob Mason stated that Lake Tahoe's building costs are 15% higher than San Francisco's. Noble responded the increases will be based on construction costs for infrastructure projects associated with the water and wastewater industry, not over- all building costs. Joyce Blackstone urged the Board to consider implementing the sewer increases for two years (rather than five years) and revisit the issue at that time to determine the remainder. Director Strohm noted that due to the sensitive environment and special conditions at Lake Tahoe, new connections must be based on actual buy-in based on the systems value. Noble stated that the fees are reflective of actual costs, and due to mitigation measures imposed by TRPA in 1995, the District has already paid the transportation Staff Report Public Comments ST057748 REGULAR BOARD MEETING MINUTES -AUGUST 19, 1999 PAGE - 6 mitigation fees of 5% of each new connection fee for the past five years, and the District will not fully recoup actual costs until the end of the proposed phase-in. Director Mosbacher stated this can still be revisited and reassess- ed before the end of five years if the Board so chooses. Director Mosbacher received clarification from Noble that reinspection fees are only imposed if needed. Director Gochnauer stated existing customers have paid for their share of the buy-in for the value of the system. New customers are only being charged for costs to expand the system to accommodate their connections. He further stated the District periodically spends money on the best consultants for advise, and most of the recommendations made by the consultants are being followed. He recom- mended that since the last fee adjustments were in 1989, they should be reviewed more frequently. Director Wallace stated the rates were not increased in the past due to poor economic conditions. New connections would not have been possible if not for the approval of the District's Future Connection Plan in 1995 which allowed new connections to be made. The Future Connection Plan was overwhelmingly supported by local contractors. Moved Strohm/Second Gochnauer/Passed Unanimously to enact Ordinance No. 472-99, setting sewer connection fees, amending Administrative Code Sections 4.1.130, 4.1.132, 4.1.134 and superseding Ordinance No. 413 in its entirety. Moved Strohm/Second Gochnauer/Passed Unanimously to enact Ordinance No. 471-99, setting water connection fees, amending Administrative Code Sections 3.1.35 and 3.1.107, and superseding Ordinance No. 452 in its entirety. President Jones closed the Public Hearing at 3:15 P.M. 3:15 P.M. 3:20 P.M. SEWER CONNECTION FEE - ORDINANCE NO. 472-99; AND WATER CONNECTION FEE - ORDINANCE NO. 471-99 (continued) Board Comments Enact Ordinance No. 472-99 (Sewer) Enact Ordinance No. 471-99 (Water) Close Hearings MEETING BREAK MEETING RESUMED AND ADJOURNED TO CLOSED SESSION ST057749 REGULAR BOARD MEETING MINUTES -AUGUST 19, 1999 PAGE - 7 4:30 P.M. RECONVENED TO REGULAR SESSION ACTION I REPORT ON ITEMS DISCUSSED DURING EXECUTIVE SESSION Legal counsel and staff updated the Board and received regarding this item. No Board action. Legal counsel and staff updated the Board and received direction regarding this item. No Board action. Water and Wastewater Operations Committee: The committee met August 16. Director Gochnauer reviewed the construction progress of several engineering projects. Legislative Funding Ad Hoc Committee: Bob Baer and President Jones will travel to Washington D. C. to assist with the export pipeline replacement project funding request. They will also seek assistance in eliminating MTBE from gasoline. Congressman Doolittle will attend a meeting at the District office on August 20 to discuss appropriations and MTBE issues. A meeting between local sewer agencies will be held re: the Lake Tahoe Restoration Act. Director Wallace reported the FACA (Federal Advisory Committee) is concerned that the effluent lines around Lake Tahoe, which are owned by various local sewer agencies, are a threat to the environment. Wallace suggested to the committee that they retain the Corp of Engineers look into this matter. Director Gochnauer reported the S.T.A.R. (South Tahoe Alliance for Recreation) group has identified two acres of District property they would like to consider using for recreation purposes. Pursuant to Section 54956.9(a) of California Government Code/Con- ference with Legal Counsel Existing Litigation: Schwake v. STPUD, Federal Case No, CV-N-93-851-DWH Pursuant to Section 54956.9(a) of California Government Code/Con- ference with Legal Counsel Existing Litigation - STPUD v. ARCO, et al, San Francisco County Superior Court, Case No, 999128 BOARD MEMBER STANDING COMMITTEE REPORTS BOARD MEMBER AD HOC COMMITTEE REPORTS BOARD MEMBER REPORTS ST057750 REGULAR BOARD MEETING MINUTES -AUGUST 19, 1999 PAGE - 8 General Manager: Bob Baer reported on two items: STAFF REPORTS 1) Rick Hydrick and Baer met with Assemblyman Wild- man's consultant re: legislation resulting from the State Board and Lahontan performance audits. They voiced their concerns that the legislation does not interfere with the District's Groundwater Management Plan (AB 3030). Another bill under consideration, AB 303, authorizes funding for AB 3030 plans. 2) Amendments to a bill (SB 192), introduced by Senator Perata re: labeling at gas pumps, calls for MTBE usage to be reduced by one-third for three years, in order to phaseout MTBE from gasoline supplies. The District is supportive of the proposed amendments. Richard Solbrig reported on the status of the emergency projects: STATUS OF EMERGENCY PROJECT Gardner Mountain Replacement Well Emergency of 9/17/98 - Since the temporary Water Service Agreement was approved on this agenda, the USFS has signed the temporary Special Use Permit. TRPA will conduct their pre-grade inspection at the well site on August 23. Drilling is scheduled to begin shortly thereafter. A detailed project description and maps will be included with the environ- mental documentation for the permanent well application from Parsons HBA. Solbrig estimated the well equipment, pumps, VFDs, and electrical service will be installed in April, after the bald eagle foraging period is over. The facility is expected to be operational by May. Steven Lane Waterline Replacement Emergency of 8~5~99 - The line is expected to be completed by August 20. The tie-ins on the ends were completed August 18. Pressure and bacterial testing will be done the week of August 23; the line will be activated, and the area repaved soon after. District General Counsel: Attorney Kvistad reported on his meeting with Alpine County's legal counsel re: review and consolidation of existing agreements. STAFF REPORTS Chief Financial Officer: Rhonda McFarlane reported on three items: 1) The second payment request has been submitted to EPA in the amount of $414,000. ST057751 REGULAR BOARD MEETING MINUTES -AUGUST 19, 1999 PAGE -9 2) A reimbursement from FEMA was received totaling $30,000. 3) The annual audit is underway. The auditors toured the District's facilities in Alpine County. Human Resources Director: Nancy Hussmann reported on three items: 1 ) A claim from the February 1998 tertiary building fire has been submitted to the insurance company in the amount of $217,000. 2) Recruitment for the vacant District Information Officer is underway. Interviews are expected to be held in November. 3) Her office is overseeing two terminations, and one disciplinary action. 5:10 P.M. 6:32 P.M. STAFF REPORTS (continued) ADJOURNMENT TO CLOSED SESSION RECONVENE TO REGULAR SESSION ACTION / REPORT ON ITEMS DISCUSSED DURING EXECUTIVE SESSION This item was not discussed. No Board action. Moved Strohm/Second Wallace/Passed Unanimously to extend the General Manager's contract to 9/16/99 and to authorize the Executive Committee to negotiate with the General Manager. 6:32 P.M. K~t~y S'har.l , o+ the Board South Tahde"Public Utility District Pursuant to Section 54956.8 of California Government Code/Con- ference Regarding Real Property Negotiations - Negotiating Parties: District Staff, United States Forest Service; Under Negotiation: Property Terms; Property Identification: APN 19-081-09 Pursuant to Section 54957.6(a)/Public Employee Performance Evaluation: Unrepresented Employee Position - General Manager ADJOURNMENT J~a?nes R. Jones,. Board President /_,~uth Tahoe P~lJd'Utility District ST057752 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, ST057753