Minutes 06-06-13 S�v-rH rqy�F
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SOUTH TAHOE PUBLIC UTILITY DISTRICT
Richard Solbrig, General Manager Paul Sciuto, Assistant General Manager
Eric W. Schafer, President BOARD MEMBERS James R. Jones, Vice President
Chris Cefalu, Director Randy Vogelgesang, Director Kelly Sheehan, Director
REGULAR MEETING OF THE BOARD OF DIRECTORS
SOUTH TAHOE PUBLIC UTILITY DISTRICT
JUNE 6, 2013
MI N UTES
The Board of Directors of the South Tahoe Public Utility District met in a regular session,
June 6, 2013, 2:00 p.m., at the District Office, located at 1275 Meadow Crest Drive,
South Lake Tahoe, California.
BOARD OF DIRECTORS: ROLL CALL
President Schafer; Directors Cefalu, Jones, Vogelgesang, Sheehan
STAFF:
Solbrig, Sharp, Sciuto, VanGorden, Ryan, Rasmussen, Cotulla,
Johnson, Bartlett, Bergsohn, Bledsoe, Attorney Kvistad
GUESTS:
Tom Davis & Brooke Laine/City of South Lake Tahoe;
Kara Thiel/Feldman MaLaughlin Thiel Attorneys at Law;
Andy Engelhardt/Lakeside Park Association;
Kevin Lane/Tahoe Stateline Venture, LLC;
Mr. Garfinkle; David Kurtzman; Harry Segal
Tom Davis, City of South Lake Tahoe, relayed difficulties facing COMMENTS FROM THE
the tenants on the Garfinkle (TJ Maxx) property due to the AUDIENCE
unresolved issue between the property owner and the District
concerning fees. He requested an Ad Hoc Committee be formed,
comprised of two District Board members, and two City Council
Members, to find a solution to the problem.
Director Schafer noted that a letter was sent to the Lukins Water
Company that outlined items that needed to be addressed,
REGULAR BOARD MEETING MINUTES-JUNE 6,2013 PAGE-2
including involvement from the City Fire Department. There has COMMENTS FROM THE
been no response to the letter. AUDIENCE
(continued)
Directors Schafer and Vogelgesang were appointed to an Ad
Hoc Committee as requested by Mr. Davis. Brooke Laine and
Mr. Davis will serve as the City Council's Ad Hoc Committee.
Moved Jones /Second Sheehan / Passed Unanimously to CONSENT CALENDAR
approve the Consent Calendar as submitted:
a. Polymer Contract Renewal -Authorized one year renewal
option of Polymer Contract with Polydyne, Inc., in the estimated
amount of $128,304;
b. Sewer Enterprise 2013-14 Appropriations Subject to Limitation -
Adopted Resolution No. 2932-13 Setting the Limitation on
Appropriations for Fiscal Year 2013-14;
c. Backhoe Purchase and Trade-In, Underground Repair Water-
(1) Awarded bid to the lowest responsive, responsible bidder,
Sonsray Machinery, LLC, in the amount of $103,335.31; and
(2) Authorized trade-in of 1999 JCB backhoe valued at $13,750,
for a total bid amount of $89,585.31;
d. Headworks Landscaping Project-Awarded bid to the lowest
responsive, responsible bidder, Aerco Pacific, Inc., in the amount
of $92,978.
ITEMS FOR BOARD ACTION
The District has continued discussions with TSV (Tahoe Stateline TAHOE STATELINE VENTURE-
Ventures) related to the construction agreement. A modified THE CHATEAU CONSTRUC-
agreement, jointly prepared by legal counsel for TSV and the TION AGREEMENT:
District was distributed for review and comments. Concerns REDEVELOPMENT PROJECT
brought up at the last Board meeting have been addressed NO. 3
in the agreement, such as dedicated easements, dedication of
facilities, etc. Also, the existing state of the sewer line was verified
to be in good condition. The date of completion was changed
from 2013 to 2014 to give the developer a buffer to ensure all
permits can be obtained.
Harry Segal suggested the Board make sure TSV has clear titles
to all the parcels the project would be built on. Kara Thiel
responded that Owens Financial acquired necessary parcels
through foreclosures and can verify they are vested free and
clear with Tahoe Stateline Ventures.
Moved Cefalu /Second Vogel_ec� san_q / Passed Unanimously
to approve the Construction Agreement.
REGULAR BOARD MEETING MINUTES-JUNE 6,2013 PAGE-3
Staff gave a PowerPoint presentation showing photos of an SEWER LINE PROTECTION
exposed sewer lateral in the channel of Angora Creek, AT ANGORA CREEK
approximately 575' east and downstream of the View Circle CROSSING NEAR VIEW
Bridge. Regulators have been notified and District crews CIRCLE, EL DORADO
stabilized the line with gravel bags. COUNTY, CA
District staff determined that the 8" sewer line is at significant risk
of structural failure with in the Angora Creek, the consequences
of which would include: (1) sudden loss of sewer service to residents
in Angora Highlands; (2) significant risk to water quality in the Angora
Creek; and (3) sudden sewer surcharges downstream of the sewer
line failure.
Staff is working with Northwest Hydraulics Consultants to identify
potential alternatives for engineering evaluation. Stream bank
restoration is one alternative under consideration, and others include
extending the gravity sewer line to a downstream manhole,
construction of a pump station, or inverted siphon. Funds from the
District's utility relocation agreement with the United States Forest
Service could possibly be utilized for this project.
Moved Jones /Second Sheehan / Passed Unanimously to approve
expenditures necessary to identify a preferred engineering
alternative; complete required permitting; and develop engineering
plans, specifications and estimates of probably costs to provide long-
term protection and prevent catastrophic failure of the 8" sewer line
crossing found exposed in Angora Creek.
Moved Cefalu /Second Vogel_ec� san_q / Passed Unanimously to
approve payment in the amount of $1,684,070.69.
Water and Wastewater Operations Committee: The committee STANDING COMMITTEE
met June 3, 2013. Minutes of the meeting are available upon REPORTS
request.
Director Jones reported on is attendance at the ACWA BOARD MEMBER REPORTS
(Association of California Water Agencies) conference held
recently in Sacramento, and at the JPIA (Joint Powers Insurance
Authority) meeting as the District's representative. He distributed a
report summarizing highlights of the conference, and included the
costs incurred to attend it.
Director Schafer reported on articles of interest from the ACWA
newsletter.
Richard Solbria reported public meetings were held in Alpine GENERAL MANAGER
County as part the FERC process to garner public support REPORTS
for the District's hydro generation facility on the C-line. Letters
of support will help speed up the permitting process.
REGULAR BOARD MEETING MINUTES-JUNE 6,2013 PAGE-4
He also reported on Outreach efforts, including TV spots GENERAL MANAGER
covering water conservation, the meter program, and REPORTS
strategic plan. (continued)
3:10 P.�vi. ADJOURNMENT TO
CLOSED SESSION
3:30 P.�vi. RECONVENED TO OPEN
SESSION
ACTION / REPORT ON ITEM DISCUSSED DURING CLOSED SESSION
a. Pursuant to Government Code Section 54956.9(b)/Conference with Legal Counsel re:
existing litigation re: EI Dorado County Superior Court Case SC20120227 GRCLT
Condominium vs. South Lake Tahoe Public Utility District (filed 10/22/12)
No reportable Board action.
b. Pursuant to Section 54956.9(a) of the California Government code, Closed Session was
held for conference with legal counsel regarding existing litigation: False Claims Act
Case: United States, the States of California, Delaware, Florida, Nevada, and Tennessee
and the Commonwealths of Massachusetts and Virginia ex rel. John Hendrix v. J-M
Manufacturing Company, Inc. and Formosa Plastics Corporation, U.S.A., Civil Action No.
ED CVO6-0055-GW, United States District Court for the Central District of California.
No reportable Board action.
c. Pursuant to Section 54956.9(a) of the California Government Code, Closed Session was
held for conference with legal counsel regarding existing litigation: Los Angeles County
Superior Court, Case No. BC459943, State of Nevada, et al. v. J-M Manufacturing, et al.
No reportable Board action.
3:30 P.�vi. ADJOURNMENT
Eric W. Schafer, Board President
South Tahoe Public Utility District
ATTEST:
Kathy Sharp, Clerk of the Board
South Tahoe Public Utility District