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2002 06-27 SpecialSOUTH TAHOE PUBLIC UTILITY DISTRICT "Basic Services for a Complex World" Robert G. General Duane Wallace, President BOARD MEMBERS Richard Assistant James R. Jones, Vice President SPECIAL MEETING OF THE BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT JUNE 27, 2002 MINUTES The Board of Directors of the South Tahoe Public Utility District met in a Special Session at 2:00 p.m. on June 27, 2002, District Office, 1275 Meadow Crest Drive, South Lake Tahoe, California. BOARD OF DIRECTORS.: President Wallace, Directors Becker, Jones, Schafer, Mosbacher ROLL CALL STAFF;i Baer, Solbdg, Sharp, McFarlane, Cocking, R. Johnson, Hoggatt, Curtis. Attorney Kvistad participated via teleconference. ITEMS FOR BOARD ACTION The District, Lahontan, TRPA, and the USFS still have not decided which route alternative will be selected. District staff and consultants have received numerous comments concerning the Administrative Draft Environ- mental Report. Agency staffs want the answers to these questions before the Draft Environmental Report is issued publicly. In order to do that, publication of the Environmental Report will have to be delayed by at least three months. B-LINE: PHASE 3 SPECIAL BOARD MEETING MINUTES - JUNE 27~_2002 Richard Solbrig and Jim Hoggatt presented several options for discussion, all of which vary greatly depending upon which route is selected. Concerns were expressed by Board members and staff that the project could be delayed until 2004. The delay would result in operating the existing old pipeline and increase the potential for failure. In 1996, a technical advisory committee examined the condition of the pipe- line and concluded only five more years life for this section of pipeline could be expected. Rhonda McFarlane also pointed out that due to previous environmental concerns, the District had requested an extension from EPA to 2003 to meet the timeline required to match the grant by EPA. If the project is further delayed, another extension must be requested to 2005. The Board directed staff to send a letter to the agencies documenting concerns about delaying the construction of the project. No Board action. The pre-bid meeting for this project, held on June 4, was attended by five general contractors. Bids were opened on June 18. Two bids were received, both of which were considerably higher than the engineer's final estimate and significantly higher than what was budgeted. Discussion was held regarding the three options Richard Solbrig and Jim Hoggatt presented for the Board's consideration. Moved Jones I Second Schafer / Passed Unanimously to award bid to the lowest responsive, responsible bidder, Pacific Mechanical Corporation, in the amount of $7,744,000. The unbudgeted amount will be funded from the capital reserves. PAGE - 2 B-LINE: PHASE 3 (continued) SLUDGE HANDLING AND ODOR CONTROL FACILITIES ADJOURNMENT 2:55 P.M. SPECIAL BOARD MEETING MtNUTES- JUNE 27 2002 PAGE - 3 I~d~e Wallace, Boar¢,~esi.de.nt .h Tahoe Public U~ity District ATTEST:~/~ ~/__~/~ Kathy Sha~/Clerk of Boar South Tahoe Public Utility District