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2002 12-05SOUTH TAHOE PUBLIC UTILITY DISTRICT "Basic Services for a Complex World" Duane Wallace, President BOARD MEMBER James R. Jones, Vice President REGULAR MEETING OF THE BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT DECEMBER 5, 2002 MINUTES The Board of Directors of the South Tahoe Public Utility District met in a regular session, December 5, 2002, 2:00 P.M., City Council Chambers, 1900 Lake Tahoe Boulevard, South Lake Tahoe, California. BOARD OF DIRECTORS: President Wallace, Directors Becker, Jones, Schafer, Mosbacher ROLL CALL STAFF: Baer, Sharp, McFarlane, Cocking, Hoggatt, Brown, Thiel, Attorney Kvistad. Richard Solbrig arrived at 4:10 p.m. GUESTS: Larry Mace / Partner, Grant Thornton, LLP Consent Items a. and d. were brought forward for discussion prior to Board action. CORRECTIONS TO THE CONSENT CALENDAR Moved Mosbacher i Second Wallace / passed Unanimously to approve the Consent Calendar as amended: CONSENT CALENDAR Consent Item a. will be considered in conjunction with Action Item a. regarding Sludge Handling and Odor Control Facilities; REGULAR BOARD MEETING MINUTES - DECEMBER 5, 2002 PAGE - 2 Alpine County Annual Impact / Mitigation / Compen- sation Fee - Authorized payment of District's annual mitigation fee to Alpine County in the amount of $109,500; c. Surplus Vehicle - Authorized Nationwide Auction Systems to sell District surplus vehicles; d. See Consent Items Brought Forward for Discussion/ Action. CONSENT CALENDAR (continued) CONSENT ITEMS BROUGHT FORWARD FOR DISCUSSION /ACTION Director Mosbacher noted that John Brissenden reported at the November 7 Board meeting that seven years ago, Alpine County and the District approved his request for a 10,000 gallon allowance to the District's sewer system when, in fact, the request was not approved. She requested that sentence be deleted from the minutes. Moved Mosbacher / Second Wallace / Passed Unanimously to adopt minutes with the change as noted above. REGULAR BOARD MEETING MINUTES: NOVEMBER 7, 2002 (Consent Item d.) Larry Mace reported on the completed audit of the 2001/02 financial statements. He noted there were no instances of non-compliance or internal control weaknesses. Mace reviewed the differences in the requirements between last year's and this year's audits (no single audit requirement and GASB 34). A pension audit was also completed this year-- all standards were met and no problems were found. PRESENTATION: 2001/02 Financial Statement Audit by Larry Mace, Partner, Grant Thornton, LLP ITEMS FOR BOARD ACTION Consent Item a. was combined with Action Item a. for the purpose of discussion. Jim Hoggatt reported staff and Carollo Engineers under- estimated the time and effort required for reviewing both shop drawings, and Requests for Information (RFI) for the sludge handling project. As of the October billing, Carollo has expended nearly all of their current contract. Staff SLUDGE HANDLNG AND ODOR CONTROL FACILITIES (Action Item a.) 2002 CONSTRUCTION SEASON MATERIALS TESTING AND INSPECTION (Consent Item a.) REGULAR BOARD MEETING MINUTES - DECEMBER St 2002 PAGE - 3 agrees with Carollo's estimate that the District has approxi- mately 75 more shop drawings and at least 50 more RFIs to respond to before the project is completed. Hoggatt also requested an additional extension for AMEC Earth and Environmental to provide testing and inspection services through December 20, 2002. Staff is requesting this extension due to the unusually warm weather and construction of the sludge handling project. Director Schafer received correspondence expressing concerns related to these two agenda items. Hoggatt provided detailed explanations addressing each concern. The Operations Committee reviewed these items and also expressed their dissatisfaction with the contractor's delays. Moved Jones / Second Mosbacher/Passed Unanimously to approve Consent Item a. to increase to Task Order No. 40 for AMEC Earth and Environmental, Inc., to provide inspection and materials testing, in the amount of $20,000. Moved Jones / Second Schafer / Passed Unanimously to approve Action Item a. to increase to Carollo Engineers Task Order No. 56 for review of shop drawings and preparation of Requests for Information, in the amount of $122,500. A Board Workshop was held December 3 to review recommendations for the administrative building remodel and addition. It was the consensus of the Board to point out that approval of this item should not be construed to include approval of the project's next steps. Moved Mosbacher / Second Jones / Passed Unanimously to authorize staff to request proposals for architectural services. This item was carried over from the November 21 Regular Board meeting. The Board members present at that meeting did not make a decision regarding the length of time to retain tape recordings of Board meetings. A revised policy was distributed that included a suggestion to add a sentence stating: "Upon request by a Board SLUDGE HANDLNG AND ODOR CONTROL FACILITIES (Action Item a. continued) 2002 CONSTRUCTION SEASON MATERIALS TESTING AND INSPECTION (Consent Item a. continued) ADMINISTRATION BUILDING NEW BOARD POLICY SECTION 3070: AUDIO AND/OR VIDEO TAPE RECORDINGS OF BOARD MEETINGS REGULAR BOARD MEETING MINUTES - DECEMBER $~ 2002 PAGE - 4 Member or District staff, specific recordings may be held for a longer period of time upon approval by a majority of the Board." Moved Schafer / Second Jones / Mosbacher Voted No / Passed to approve amendment to add Policy 3070 per- taining to audio and/or tape recordings of Board meetings as written (which included retaining the Board meeting tapes for 30 days). Director Mosbacher voted no because she felt the tape recordings should be retained for a longer period of time. This item was removed from the November 21 Regular Board meeting Agenda and placed on this Agenda for consideration. NEW BOARD POLICY SECTION 3070: AUDIO AND/OR VIDEO TAPE RECORDINGS OF BOARD MEETINGS (continued) BOARD POLICY SECTION 3060: MINUTES OF BOARD MEETING A policy pertaining to the retention and duplication of tape recordings of regular, special, and adjourned Board meetings was proposed as an addition to the Board Policy Manual (Policy 3070 above). Language from Policy 3060 was incorporated into the new policy. Moved Wallace / Second Jones / Mosbacher Voted No / Passed to approve amendment to delete reference to Board meeting audio and/or video tape recordings. Moved Wallace / Second Becket / Passed Unanimously to approve payment in the amount of $1,369,078.02. Water and Wastewater Operations Committee: The committee met December 2. Minutes of the meeting are available upon request. Legislative Ad Hoc Committee: President Wallace reported the US Forest Service is having trouble interpreting the language in the Lake Tahoe Restoration Act with regards local "matches" related to the funding. President Wallace reported the TRPA Stakeholders Advisory Group will meet December 6 to discuss the proposed allocations plan. He reviewed problems associated with the plan. Robert Baer reported the CalPERS Committee has met. He will discuss this further in closed session under labor negotiations. PAYMENT OF CLAIMS BOARD MEMBER STANDING COMMITTEE REPORTS BOARD MEMBER AD HOC COMMITTEE REPORT BOARD MEMBER REPORTS GENERAL MANAGI~R REPORT REGULAR BOARD MEETING MINUTES - DECEMBER 5, 2002 PAGE - 5 Jim Hoggatt gave a lengthy report on the B-line Phase 3 project meeting held earlier in the day with District staff, Caltrans, US Forest Service, TRPA, EPA, and Lahontan. A decision still has not been made regarding which route alternative will be selected for the B-line. Board members discussed various solutions to help resolve this situation in a timely manner. 3:55 - 4:10 P.M. STAFF REPORT MEETING BREAK 4:10 p.m. - Richard Solbdg arrived at this point in the meeting and continued the discussion above. 4:25 P.M. 6:01 P.M. ADJOURNED TO CLOSED SESSION RECONVENED TO REGULAR SESSION ACTION I REPORT ON ITEM DISCUSSED DURING CLOSED SESSION No reportable Board action. No reportable Board action. No reportable Board action. Pursuant to Government Code Section 54956.(a)lConference with Legal Counsel - Existing Litigation: STPUD vs. John Breese Mumford, et al., El Dorado County Superior Court Case No. SC20020030 Pursuant to Government Code Section 54956.(a)/Conference with Legal Counsel - Existing Litigation: F. Heise Land & Livestock Com- pany vs. STPUD and Does 1 - 10 Inclusive; Alpine County Superior Court Case No. C18644 Pursuant to Government Code Section 54956.(a)/Conference with Legal Counsel - Existing Litigation: F. Heise Land & Livestock Com- pany vs. STPUD and Does I - 10 Inclusive; Alpine County Superior Court Case No. C18733 REGULAR BOARD MEETING MINUTES - DECEMBER 5, 2002 PAGE - 6 No reportable Board action. No reportable Board action. No reportable Board action. No reportable Board action. No reportable Board action. Pursuant to Government Code Section 54956(a)/Conference with Legal Counsel - Existing Litigation: STPUD vs. F. Heise Land & Live Stock Company, Inc., William Weaver, Eddie R. Snyder, Crockett Enterprises, Inc., ClV S-02-0238 MLS JFM United States District Court for the Eastern District of California, Sacramento, CA Pursuant to Government Code Section 54956.9(a)/Conference with Legal Counsel - Existing Litigation re: Meyers Landfill Site: United States of America vs. El Dorado County and City of South Lake Tahoe and Third Party Defendants, Civil Action No. S-01-1520 LKK GGH, United States District Court for the Eastern District of California Pursuant to Government Code Section 54957.6(a)/Conference with Labor Negotiators: Agency Negotiators - General Manager, Board of Directors; Unrepresented Employee Position - District General Counsel Pursuant to Government Code Section 54956.6(a)/Conference with Labor Negotiators: Agency Negotiators - Board of Directors; Employee Organization - Represented and Unrepresented Employees Pursuant to Government Code Section 54957.6(a)/Conference with Legal Counsel - Existing Litigation: STPUD vs. Lakeside Park Association, et al., County of El Dorado, Superior Court Case No. SC20010165 REGULAR BOARD MEETING MINUTES - DECEMBER 57 2002 PAGE - 7 6:01 P.M. ADJOURNMENT D~/e Wallace, Bo~f"d yresident /gath Tahoe Publ~Utility District ATTEST.'~~,~Z~/., ~ ~ _~',~"J_~ i~a'thy Sh~r~;;lerk of the B(~ard South Tahoe Public Utility District 0 0 0