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2003 06-19SOUTH TAHOE PUBLIC UTILITY DISTRICT "Basic Services for a Complex World" James R. Jones, President BOARD MEMBER Eric Schafer, Vice President Tom Comte, Director REGULAR MEETING OF THE BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT JUNE 19, 2003 MINUTES The Board of Directors of the South Tahoe Public Utility District met in a regular session, June 19, _ 2003, 2:00 P.M., City Council Chambers, 1900 Lake Tahoe Boulevard, South Lake Tahoe, California. BOARD OF DIRECTORS: ROLL CALL president Jones, Directors Wallace, Schafer, Comte, Mosbacher STAFF: Solbrig, Sharp, McFarlane, Cocking, Coyner, Hoggatt, Schroeder, Nolan, Henderson, Thiel, Brown, Swain, Bird, Zaninovich, T. Powers, Attorney Kvistad GUESTS: Juan Chavez The Clerk of the Board administered the Oath of Office to Director Tom Comte, Seat No. 1. Consent Items e. and f. were brought forward for discussion prior to Board action. Moved Mosbacher I Second Comte I Passed Unanimously to approve the Consent Calendar as amended: OATH OF OFFICE. CORRECTIONS TO THE AGENDA OR CONSENT CALENDAR CONSENT CALENDAR REGULAR BOARD MEETING MINUTES - JUNE 19, 2003 PAGE - 2 ao b° Replacement Generators - Authorized staff to advertise for bids for replacement generators for Trout Creek and Lower Shop area; 2003-2004 Chlorine Supplies - Awarded contract to the lowest responsive, responsible bidder, Pioneer Americas, LLC, in the amount of $58,143.44; 2003-2004 Sodium Hypochlorite Supplies - (1) Waived minor bid irregularity; and (2) Awarded contract to the lowest responsive, responsible bidder, Sierra Chemical Co., in the amount of $19,012.50; Johnson Pump Station Generator Set - (1) Rejected the Iow bid received from Cashman Equipment as not responsive; and (2) Awarded bid to the lowest responsive, responsible bidder, Holt of California, in the amount of $64,677.11; See Consent Items Brought Forward; See Consent Items Brought Forward; Access Road: County License Agreement - Approved changes to the license agreement and authorized further minor changes subject to approval by staff and legal counsel; November 4, 2003 Consolidated District Election - Adopted Resolution Superseding Resolution No. 2759-03 in its Entirety, Declaring an Election be Held in its Jurisdiction, Consolidation with Other Districts, Requesting Election Services; Adopted Regular Board Meeting Minutes: May 15, 2003; Adopted Special Board Meeting Minutes: May 19, 2003. CONSENT CALENDAR (continued) CONSENT ITEMS BROUGHT FORWARD FOR DISCUSSION I ACTION Director Mosbacher received clarification regarding the building's exterior design. Moved Mosbacher / Second Comte / Passed Unanimously to authorize staff to advertise for construction bids. GARDNER MOUNTAIN SEWAGE PUMP STATION (Consent Item e.) REGULAR BOARD MI=F~TING MINUTES -JUNE 19, 2003 PAGE - 3 John Thiel reported the District's Elks Club Well is located on a small piece of property which is adjacent to Caltrans property on Bel Air Circle. Caltrans currently owns what was the front portion of the original parcel. Since the agenda was published, Caltrans has agreed to sell that portion the property for $5,000. Attorney Kvistad read aloud additional language that will be included in the resolution. PURCHASE OF CALTRANS PROPERTY ON BEL AIRE CIRCLE (Consent Item f.) Moved Mosbacher / Second Comte I Passed Unanimously to adopt Resolution regarding the proposed purchase of property. ITEMS FOR BOARD ACTION Rhonda McFarlane reported the Alpine County Board of Supervisors voted 4-0 to enter into an agreement with the District to share a full-time employee. Lynn Nolan, the present Grant Coordinator, will fill the position to provide grant services to both entities. A Memorandum of Understanding (MOU) will be prepared by Alpine County and reviewed by District staff and legal counsel. The present agreement for Grant Services expires June 30. Staff requested that the present agreement be extended on a month-to-month basis until such time as the MOU is executed. GRANT COORDINATOR POSITION Moved Schafer / Second Wallace I Passed Unanimously to authorize the Board President to sign a Memorandum of Understanding with Alpine County to share a full-time employee with the District to provide grant services to both entities. At the May 15, 2003, Board meeting, staff informed the Board of experiencing high claim costs during the first four months of 2003, and that research would be per- formed to determine the appropriate Plan funding level. Staff met with the Finance Committee regarding BB&H's recommendation that the funding per employee be raised. Staff recommended increasing the funding level from $725 per employee, per month, to $900 per employee, per month, retroactive to January 1, 2003. This will replenish diminished reserves by $98,000, and more accurately reflect actual costs. SELF-INSURED MEDICAL PLAN (PLAN) FUNDING LEVEL REGULAR BOARD ~.~FTING MINUTES -JUNE 19, 2003 PAGE -4 Moved Schafer I Second Wallace I Passed Unanimously to authorize funding in the amount of $900 per employee, per month, retroactive to January 1, 2003. Debbie Henderson reported due to CalPERS funding and increased self-insured medical plan funding, a budget amendment is warranted. Moved Wallace / Second Schafer / Passed Unanimously to increase the 2003-2004 Sewer Enterprise Fund budget by $266,300, and the Water Enterprise Fund budget by $172,825, for 13.2% CalPERS contribution and $900 per employee, per month, self-insured medical plan funding. Lisa Coyner reported the Tort Claims Act was amended. To meet the new requirements of the Act, Legal Counsel prepared an Ordinance and Resolution to adopt tort claims procedures and adopt the tort claim form, notices, and claim instructions. Moved Comte / Second Mosbacher I Passed Unanimously to: (1) Enact Ordinance No. 485-03 adding Administrative Code Section 2.9 adopting tort claims procedures; and (2) Adopt Resolution adopting the tort claim form, notices, and claim instructions. Director Mosbacher disqualified herself from participation in this item per a previously disclosed potential conflict of interest. She did not read the material associated with this agenda item, and she left the room while it was being discussed. Richard Solbrig updated the Board on the certification process for the final EIR/EIS. No Board action. Director Mosbacher disqualified herself from participation in this item per a previously disclosed potential conflict of interest. She did not read the material associated with this agenda item, and she left the room while it was being discussed and voted on. Moved Wallace / Second Schafer I Mosbacher Abstained / Passed to approve Amendment No. 3 to Carollo Engineers for the design of the B-line: Phase 3, in the amount of $144,600. SELF-INSURED MEDICAL PLAN FUNDING LEVEL (continued) AMEND 2003-2004 BUDGET TO RELECT CALPERS AND SELF- INSURED MEDICAL PLAN FUNDING TORT CLAIMS B-LINE REPLACEMENT: PHASE 3 B-LINE REPLACEMENT: PHASE 3 REGULAR BOARD Ms:;:TING MINUTES -JUNE 19, 2003 PAGE -$ Director Mosbacher disqualified herself from participation in this item per a previously disclosed potential conflict of interest. She did not read the material associated with this agenda item, and she left the room while it was being discussed and voted on. B-LINE REPLACEMENT: PHASE 3 Richard Solbrig reported that the original estimate has been greatly exceeded due to the time to complete the EIR/EIS, the number of comments received on the draft EIPJEIS, and the number of additional tasks requested by the agencies. Moved Wallace / Second Schafer / Mosbacher Abstained / Passed to approve Task Order No. 27E to Parsons to complete additional tasks for the EIPJEIS, in the amount of $39,5OO. Moved Schafer I Second Comte I Passed Unanimously to approve payment in the amount of $757,710.83. Note: This item was added by an addendum to the agenda. All noticing requirements were met. PAYMENT OF CLAIMS CHRISTIANA INN GREASE INTERCEPTOR Lisa Coyner reported the owner of Christiana Inn met with the Operations Committee and was informed that a 320 gallon grease interceptor must be installed and pass inspection by September 30, 2003, or sewer and water service will be disconnected. Moved Comte I Second Mosbacher / Passed Unanimously to authorize staff to extend the installation I disconnection date to September 30, 2003, as recommended by the Operations Committee. This item came to staffs attention subsequent to the agenda being posted. A separate vote with 213 Board approval is required to add it to the agenda for immediate discussion/action. ADDITION TO THE AGENDA: BOARD POLICY ON MTBE Moved Comte / Second Mosbacher I Passed Unanimously to add this item to the agenda. Richard Solbrig reported Iow levels of MTBE were detect- ed in the Bakersfield Well. The levels did not exceed the State's detection levels; however, the separate discrete samples did slightly exceed the non-detect level (although not when averaged) set by the Board in the 1999 MTBE Policy. BOARD POLICY ON MTBE PAGE - 6 REGULAR BOARD MEETING MINUTES -JUNE 19, 2003 The Board needs to consider if the MTBE policy should be amended to meet state standards. If the MTBE policy is not amended, water from the Bakersfield well may not be able to be used, depending upon continued future test results. The District has already been experiencing heavier-than-normal water usage. District crews have been frantically moving water from other zones just to keep up with current demand. Tank levels are being depleted and are not filling quickly; staff is concerned that adequate reserves of water will not be available in the event of a fire. Next weekend is the 4th-of-July, which is when peak usage occurs. Staff needs direction in order to address this impending situation that will reach critical proportions before the next Board meeting. A very lengthy discussion ensued. Board members voiced their reluctance to accept MTBE at any level. It was the consensus of the Board to direct staff to implement and enforce Mandatory Stage 3 Water Restrictions immediately. BOARD POLICY ON MTBE (continued) No Board action. 4:45 - 4:55 P.M. Water and Wastewater Operations Committee: The committee met June 17. Minutes of the meeting are available upon request. Director Wallace reported on his attendance at a workshop regarding the El Dorado County Master Plan. Director Mosbacher reported on two items: 1 ) She attended the June 17 Alpine County Board of Supervisors meeting where the shared grant position was approved. 2) She requested staff look into removing the burned trees from the District's property. MEETING BREAK BOARD MEMBER STANDING COMMITTEE REPORTS EL DORADO COUNTY WATER AGENCY PURVEYORS REPRESENTATIVES REPORT BOARD MEMBER REPORTS Director Comte was appointed to the Operations Committee and reported on the June 17 meeting where Christiana Inn was discussed. General Manaaer: Richard Solbrig reported on the request he received for the District to participate in sharing a booth with Alpine County at the State Fair. GENERAL MANAGER REPORT, PAGE - 7 REGULAR BOARD MEETING MINUTES -JUNE 19, 2003 District Information Officer: Dennis Cocking reported on two items: 1 ) He attended ACWA's legislative day in Sacramento. While he was there, he met with Oiler, Leslie, and Torklason re: the proposed legislation that will shift property taxes away from special districts (AB 1224). Torklason included an exemption for the District. 2) The Kehoe bill regarding metering will likely be introduced again. He will seek language exempting the District from this bill. STAFF REPORTS Land Application Mana.aer: Hal Bird updated the Board on the status of grazing leases. Le.qal Counsel: Attorney Kvistad reported he and Ross Johnson met with Bently to discuss an agree- ment for disposal of biosolids. The agreement will be placed on a future agenda for the Board's consideration. 5:20 P.M. ADJOURNED TO CLOSED SESSION 6:45 P.M. RECONVENED TO REGULAR SESSION ACTION / REPORT ON ITEM DISCUSSED DURING CLOSED SESSION No reportable Board action. Section 54956.9(c)/Conference with Legal Counsel - Anticipated Litigation: Pioneer Trail Waterline Replacement Near Filter Plant No reportable Board action Pursuant to Government Code Section 54956.(a)/Conference with Legal Counsel - Existing Litigation: STPUD vs. John Breese Mumford, et al., El Dorado County Superior Court Case No. SC20020030 No reportable Board action No reportable Board action No reportable Board action No reportable Board action. No reportable Board action. PAGE - 8 Pursuant to Government Code Section 54956(a)lConference 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)lConference 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 Eastem District of Ca. Pursuant to Government Code Section 54957.6(a)lConference with Legal Counsel - Existing Litigation: STPUD vs. Lakeside Park Association, et al., County of El Dorado, Superior Court Case No. SC20010165 Pursuant to Government Code Section 54956.9(a)/Conference with Legal Counsel - Existing Litigation: STPUD vs. ARCO, et. al, San Francisco County Superior Court Case No. 999128 Pursuant to Government Code Section 54957/Public Employee Employment: Position of General Manager; Agency Negotiators: General Manager Labor Negotiations Ad Hoc Committee, Board of Directors REGULAR BOARD MEETING MINUTES - JUNE 19, 2003 PAGE - 9 6:45 P.M. ADJOURNMENT S~Yuth Tahoe Publ~ Utility District Kathy Sha~p,,~erk of the Board South Taho~d:~ublic Utility District z ZZ ~:z zz n, 0 0 0