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02-17-00SOUTH TAHOE PUBLIC UTILITY DISTRICT "Basic Services for a Complex World" Robert Baer Genera Manager Richard Solbrig, Assistant Manager Christopher H. Strohm, President BOARD MEMBERS Pembroke Gochnauer, Vice President James Jones, Director Mary Lou Mosbacher, Director Duane Wallace, Director REGULAR MEETING OF THE BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT FEBRUARY 17, 2000 MINUTES The Board of Directors of the South Tahoe Public Utility District met in a regular session February 17, 2000, 2:00 P.M., City Council Chambers, 1900 Lake Tahoe Boulevard, South Lake Tahoe, California. BOARD OF DIRECTORS: President Strohm, Directors Wallace, Mosbacher. Directors Jones and Gochnauer were absent due to District business. ROLL CALL STAFF: Baer, Solbrig, Sharp, McFarlane, Noble, Hoggatt, Schroeder, Rieger, Cocking, Attorney Kvistad. GUESTS: Colin West, Gary Weigel, Anjanette Kellog/U.S. Forest Service; Scott Brooke/Brooke & Shaw; Larry Mace, Kara Griffin/Grant Thornton LLP; Joyce Blackstone, Frank Greco. Moved Mosbacher/Second Wallace/Jones and Gochnauer CONSENT CALENDAR Absent/Passed to approve Consent Calendar as submitted: a. Authorized implementation of the two-week discon- nection procedures for delinquent sewer and/or water accounts; STl11094 REGULAR BOARD MEETING MINUTES - FEBRUARY 17, 2000 PAGE - 2 Authorized implementation of the two-week water disconnection procedures on the property located at 1093 Coyote Ridge Circle, APN 33-251-04, for failure to perform annual backflow assembly(ies) test; Authorized implementation of the two-week water disconnection procedures on the property located at 3715 Lake Tahoe Boulevard, APN 27-690-02, for failure to perform annual backflow assembly(ies) test; Yearly Hauling of Spoils - A) Waived District Purchasing Policy; B) Awarded service contract to Tahoe Asphalt, Inc. in the amount of $85.00 per load for hauling spoils until December 31,2000; 2000 Asphalt Paving - Authorized staff to advertise for bids for annual paving needs; 2000 Waterlines Asphalt Paving - Authorized staff to advertise for bids; Legislative Advocacy Services - Authorized execution of contract with Lynn Suter and Associates for year 2000 in the amount of $28,000. CONSENT CALENDAR (continued) ITEMS FOR BOARD ACTION Ken Schroeder reported three bids were received at the February 16, 2000 bid opening. Moved Wallace/Second MosbachedJones and Gochnauer Absent/Passed to award bid to lowest responsive, respon- sible bidder, Folsom Lake Ford, in the amount of $31,619.04. Rhonda McFarlane reported seven audit firms responded to the District's Request For Proposals for audit services for fiscal years 2000-2002. The Finance Committee and staff interviewed four of the firms and recommended en- gaging Grant Thorton LLP to perform yearly annual audit services for three years, in an amount ranging from $25,000 to $26,000 (plus expenses), per year. The District can reconsider the contract on an annual basis. Moved Wallace/Second Mosbacher/Jones and Gochnauer Absent/Passed to authorize execution of contract with Grant Thornton LLP to provide annual audit services. WATER DEPARTMENT TRUCK PURCHASE SELECTION OF FINANCIAL STATE- MENT AUDITORS STl11095 REGULAR BOARD MEETING MINUTES - FEBRUARY 17, 2000 PAGE - 3 DirectorWallace reported both he and Ed Gee have met with the U.S. Forest Service's Washington D.C. office, in an attempt to resolve outstanding issues pertaining to the Gardner Mountain Well Special Use Permit. Richard Solbrig reported the appraiser has contacted nearly 30 water companies to compare permit fees required by the U.S. Forest. Well site values ranged from $2,000 to $4,000, and the production of water was not considered in determining well site values. President Strohm stressed that time is of the essence in order for the well to be on-line by mid-summer. The U.S. Forest Service plans to drill their own well; District staff has shared test data and subsurface information with their consultants to facilitate their efforts. Colin West stated there were several clauses in the permit that had to be worked out. The U.S. Forest Service still has not determined the land value for the waterline. They plan to begin drilling their well by March 15, 2000 and hope it will be operational by the end of May. An Ad Hoc committee, consisting of President Strohm and Director Wallace, was appointed to address U.S. Forest Service issues. Since the terms of the Special Use Permit have not been finalized, consideration of this item was tabled to the next Regular Board meeting. No Board action. Consideration of this item was tabled to the next Regular Board Meeting. No Board action. Moved Strohm/Second MosbachedJones and Gochnauer Absent/Passed to approve payment in the amount of $511,370.31. Finance Committee: The committee met February 3, 4, and 14 regarding: Lakeside Park Water Company duplication of services, interviews for auditing services, and Park Avenue Redevelopment. U.S. FOREST SERVICE SPECIAL USE PERMIT FOR GARDNER MOUNTAIN WELL GARDNER MOUNTAIN WELL PUMP AND CONTROL BUILDING PAYMENT OF CLAIMS BOARD MEMBER STANDING COMMITTEE REPORTS STl11096 REGULAR BOARD MEETING MINUTES - FEBRUARY 17, 2000 PAGE -4 College students from Lake Tahoe Community College (LTCC) submitted a petition protesting the odor from the treatment plant. The Finance Committee recommended budgeting money to purchase clarifier covers to help to significantly reduce the odor. The construction schedule for completion of the export pipeline relocation project has been accelerated from five years, to three. Operations Committee: The committee met February 14. Minutes of the meeting are available upon request. Federal Legislative Ad Hoc Committee: Director Wallace reported he testified on behalf of the Lake Tahoe Re- storation Act while he was in Washington D.C. Director Mosbacher reported on two items: 1) She attended the February 16 Meyer's Roundtable meeting. MTBE was discussed and the group was very supportive of the District's causes. 2) During the Alpine County Agreements meeting on February 16, it came up that Lahontan may not have regulatory oversite of the Indian Creek Reservoir, since it is not a natural water source. This will be looked into further. President Strohm reported he went with the purveyor's group met with Senator Leslie's chief of staff to request that Senator Leslie carry a bill to change the governance of the County Water Agency Board. General Manager: Bob Baer reported that the bill regard- ing the use of recycled water for fire protection was being carried by Senator Leslie, instead of Assemblyman Oiler. Assistant General Manager / Engineer: Richard Solbrig reported the City plans to go out for bid for the road utility work for the Park Avenue project within the next two weeks. Staff will bring the cost sharing agreement with the City to the Board at the next Regular Board meeting. BOARD MEMBER STANDING COMMITTEE REPORTS (continued) BOARD MEMBER AD HOC COMMITTEE REPORTS GENERAL MANAGER / STAFF REPORTS STl11097 REGULAR BOARD MEETING MINUTES - FEBRUARY 17, 2000 PAGE -5 District Information Officer: Dennis Cocking reported staff met with the LTCC student counsel to convey that the District is taking their concerns regarding the treatment plant odors seriously. 3:35 P.M. 3:45 P.M. GENERAL MANAGER/STAFF REPORTS (continued) MEETING BREAK MEETING RESUMED AND ADJOURNED TO CLOSED SESSION ACTION / REPORT ON ITEMS DISCUSSED DURING EXECUTIVE SESSION Legal counsel updated the Board regarding this item. No Board action. Legal counsel updated the Board regarding this item. No Board action. Legal counsel and staff updated the Board regarding this item. No Board action. 4:00 P.M. Rhonda McFarlane and President Strohm presented awards to three students whose artwork was selected for publication in the annual CAFR. 4:05 P.M. 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 Pursuant to Section 54956.9 of California Government Code/Con- ference with Real Property Negotiators: Negotiating Parties - District staff, Board of Directors, U.S. Forest Svc. Under Negotiation - Property Terms Property ID - APN 19-081-09 RECONVENED TO REGULAR SESSION PRESENTATION: 1999 Water Con- vation Poster Contest: Awards for Artwork Selected for Publication in Annual CAFR ADJOURNMENT TO CLOSED SESSION STl11098 REGULAR BOARD MEETING MINUTES - FEBRUARY 17, 2000 PAGE - 6 Legal counsel and staff updated the Board regarding these issues. No Board action. The Board directed negotiators regarding this item. No Board action. The Board directed negotiators regarding this item. No Board action. 5:30 P.M. Pursuant to Section 54956.9(b)&(c)/ Conference with Legal Counsel re: Pending Litigation (two cases) ... Pursuant to Government Code Section 54957.6(a)/Conference with Labor Negotiatiors: Agency Negotiators - Robert Baer, Board of Directors Employee Organization: Intemational Union of Operating Engineers, Stationary Local 30, AFL-CIO Pursuant to Government Code Section 54957.6(a)/Conference with Labor Negotiator: Agency Negotiator - Robert Baer Unrepresented Employee Position - Human Resources Director ADJOURNMENT Christopher H. Strohm, Board President South Tahoe Public Utility District ATTEST:~'~'-~/~/. ~',~,~. Kathy Sharl~_ le~ of the B~ard South Tahoe Public Utility District STl11099 DATE: 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. STl11100