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AP 06-06-13 g�uTH TqH�� — `�= A(�sek'er . 1950 • �s�6� e�=11TIL1'TY�'�� SOUTH TAHOE PUBLIC UTILITY DISTRICT REGULAR BOARD MEETING AGENDA Thursday, June 6, 2013 2:00 P.M. District Board Room 1275 Meadow Crest Drive, South Lake Tahoe, California Richard Solbri , General Mana er Paul Sciuto, Assistant Generai Mana er _. _ Eric W.Schafer, President BOARD MEMBERS James R. Jones, Vice President Chris Cefalu, Director Rand Vo el esan , Director Kell Sheehan, Director 1. CALL TO ORDER REGULAR MEETING- PLEDGE OF ALLEGIANCE 2. COMMENTS FROM THE AUDIENCE �This is an opportunity for members of the public to address the Board on any short non-agenda items that are within the subject matter jurisdiction of the District. No discussion or action can be taken on matters not listed on the agenda, per the Brown Act. Each member of the public who wishes to comment shall be allotted five minutes,and no more than three individuals shall address the same subject.) 3. CORRECTIONS TO THE AGENDA OR CONSENT CALENDAR (For purposes of the Brown Act,all Action and Consent items listed give a brief description of each item of business to be transacted or discussed. Recommendations of the staff,as shown, do not prevent the Board from taking other action.) 4. ADOPTION OF CONSENT CALENDAR (Any item can be removed to be discussed and considered separately upon request.Comments and questions from members of the public,staff or Board can be taken when the comment does not necessitate separate action.) 5. CONSENT ITEMS BROUGHT FORWARD FOR SEPARATE DISCUSSION / ACTION 6. ITEMS FOR BOARD ACTION REQUESTED BOARD ACTION a. Tahoe Stateline Venture, LLC-The Chateau Consider Proposed Further Modifica- Pg. 19 Construction Agreement: Redevelopment tions to Draft Construction Agree- Project 3 ment, and if Acceptable, Approve (Tim Bledsoe,Customer Service Manager) the Agreement (*Draft Agreement to be Distributed Prior to, and at the Board meeting) REGULAR BOARD MEETING AGENDA-JUNE 6, 2013 PAGE-2 b. Sewer Line Protection at Angora Creek Approve Expenditures Necessary to Pg.2i Crossing Near View Circle, EI Dorado County, Identify a Preferred Engineering CA Alternative; Complete Required (Shannon Cotulla, Engineering Deparfment Manager) Permitting; and Develop Engineering Plans, Specifications, and Estimates of Probable Costs to Provide Long- Term Protection and Prevent Catastrophic Failure of the 8" Sewer Line Crossing Found Exposed in A11g01"Q Cfeek (Cost proposal to be provided at the Board meeting) c. Payment of Claims Approve Payment in the Amount of Pg.33 $1,684,070.69 7. STANDING COMMITTEE REPORTS (Discussions may take place; however, no action will be taken) a. Water and Wastewater Operations Committee Meeting of O6/03/13 (Jones / Vogelgesang) ken. 8. BOARD MEMBER REPORTS (Discussions may take place; however, no action will be ta ) 9. EL DORADO COUNTY WATER AGENCY PURVEYOR REPORT 10. GENERAL MANAGER REPORT(Sl (Discussions may take place; however, no action will be taken.) a. C-Line Hydro Meetings in Alpine County b. Public Outreach Update 11. STAFF / ATTORNEY REPORT(S) (Discussions may take place; however, no action will be taken.) 12. NOTICE OF PAST AND FUTURE MEETINGS / EVENTS Past Meetinqs / Events O6/03/13-Water and Wastewater Operations Committee Meeting Future Meetings / Events 06/12/13- 10:00 a.m.- EI Dorado County Water Agency Board Meeting in Shingle Springs O6/19/13- Noon - Employee Longevity Awards Event at District O6/20/13-2:00 p.m.-STPUD Regular Board Meeting at District 13. CLOSED SESSION (The Board will adjourn to Closed Session to discuss items identified below. Closed Session is not open to the public; however, an opportunity will be provided at this time if members of the public would like to comment on any item listed.Three minute limit.) a. Pursuant to Government Code Section 54956.9(a)/Conference with Legal Counsel Pg.51 Existing Litigation re: EI Dorado County Superior Court Case SC20120227 GRCLT Condominium vs. South Tahoe Public Utility District REGULAR BOARD MEETING AGENDA-JUNE 6, 2013 PAGE-3 b. Pursuant to Government Code Section 54956.9(a)/Conference with Legal Counsel Pg.53 Existing Litigation re: False Claims Act Case: United Stafies, 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. �D CVO6-0055-GW, United States District Courf for the Central District of California c. Pursuant to Government Code Section 54956.9(a)/Conference with Legal Pg.55 Counsel- Existing Litigation re: Los Angeles County Superior Courf Case No. BC459943, State of Nevada, et al. v. J-M Manufacturing, et al. 14. ACTION / REPORT ON ITEMS DISCUSSED DURING CLOSED SESSION 15. ADJOURNMENT (The next Regular Board Meeting is June 20, 2013, at 2:00 p.m.) The South Tahoe Public Utility District Board of Directors regularly meets the first and third Thursday of each month. A complete agenda packet,including all backup information is available for review at the meeting and at the District office during the hours of 8:00 a.m.-5:00 p.m., Monday through Friday.A recording of the meeting is retained for 30 days affer minutes of the meeting have been approved. Items on this agenda are numbered for identification purposes only and will not necessarily be considered in the order in which they appear on the agenda. Designated times are for particular items only. Public Hearings will not be called to order prior to the time specified, but may occur slightly later than the specified time. Public participation is encouraged. Public comments on items appearing on the agenda will be taken at the same time the agenda items are heard;comments should be brief and directed to the specifics of the item being considered. Please provide the Clerk of the Board with a copy of all written material presented at the meeting.Comments on items not on the agenda can be heard during "Comments from the Audience;"however,action cannot be taken on items not on the agenda. *Backup materials relating to an open session item on this agenda,which are not included with the Board packet,will be made available for public inspection at the same time they are distributed or made available to the Board, and can be viewed at the District office,at the Board meeting, and upon request to the Clerk of the Board. The meeting location is accessible to people with disabilities. Every reasonable effort will be made to accommodate participation of the disabled in all of the District's public meetings. If particular accommodations are needed, please contact the Clerk of the Board at (530) 544-6474, extension 6203. All inquiries must be made at least 48 hours in advance of the meeting. yo�TH TAHOF - - �--- sa� s��. � we• • 1950 '�� eLk%UTILITY�� CONSENT CALENDAR JUNE 6, 2013 ITEMS REQUESTED ACTION a. Polymer Contract Renewal Authorize One Year Renewal O tion of Pol mer Contract with tions Y na er of Plan t O era P Pg. 1 (Ross Johnson,Ma g p ) Polydyne, Inc., in the Estimated Amount of $128,304 b. Sewer Enterprise 2013-14 Appropriations Subject to Adopt Resolution No. 2932-13 Pg.3 Limitation Setting the Limitation on (Debbie Henderson, Accounting Manager) Appropriations for Fiscal Year 2013-14 c. Backhoe Purchase and Trade-In, Underground (1) Award Bid to the Lowest Respon- Pg.9 Repair Water sive, Responsible Bidder, Sonsray (Randy Curfis,Manager of Field Operations) Machinery, LLC, in the Amount of of $103,335.31; and (2) Authorize Trade-In of 1999 JCB Backhoe Valued at $13,750, for a Total Bid Amount of $89,585.31 d. Headworks Landscaping Project Award Project to the Lowest Respon- Pg.l3 (Julie Ryan,Senior Engineer) sive, Responsible Bidder, Aerco Pacific, Inc., in the amount of $92,978 , South Tahoe Public Utility District • 1275 Meadow Crest Drive•South Lake Tahoe,CA 96150 Phone 530.544.6474■ Facsimile 530.541.0614■www.stpud.us General Manager Richard H.5olbrig � 1930 • w Director5 �� /� �� Chriy Cefalu « James R.Joney � � �'u b l i c U ti 1 i ty D i�tri ct Randy Vogelge5ang Kelly 5heehan Eric 5chafer 1275 Meadow CreSt Drive•Sauth Lake 7ahae•CA 96150-74�1 Phone 530 544-�474•Fax 530 541-C�614•www.5tpud.u5 BOARD AGENDA ITEM 4a TO: Board of Directors ; FROM: Ross Johnson, Manager of Plant Operations MEETING DATE: June 6, 2013 ITEM- PROJECT NAME: Polymer Contract Renewal REQUESTED BOARD ACTION: Authorize one year renewal option of polymer contract with Polydyne, Inc., in the estimated amount of $128,304. DISCUSSION: Polymer is used as a dewatering aid in the biosolids handling process. Futl- scale treatment plant testing of the three manufactured polymer products was completed in 2011. Due to the time-consuming and disruptive nature of the process, bids were solicited for a one-year contract with three one-year renewal options. Polydyne, Inc. has offered this second renewal term with no price increase over last year ($1.08/Ib.). *The total dollar amount is based upon an estimated usage quantity (110,000 Ibs.) for the period of July 1, 2013, through June 30, 2014.The actual quantity may vary but unit prices remain firm. �'I ( SCHEDULE: COSTS: Estimated amount of$128,304 ACCOUNT NO: 1006-4720 BUDGETED AMOUNT AVAILABLE: $120,000 (2013/14) ATTACHMENTS: None CONCURRENCE WITH REQUESTED ACTION: CATEGORY: Sewer GENERAL MANAGER: YES NO CHIEF FINANCIAL OFFICER: YES NO -1- General Manager Richard H.5olbrig � ♦ 1950 • w /+� Directors �' / � �� Chria Gefalu �,,,i V James R.JoneS .� � pu b i i c U ti l i t D i�tri c� �ndy Vogelgesang t i Kelly 5heehan J� Eric 5chafer t 1275 Meadow CreSt Drive•5outh lake Tahoe•GA 96150-7401 t'hone 530 54�4-64-74 R Fax 530 541-4614•www 5tpud.u5 BOARD AGENDA ITEM 4b TO: Board of Directors FROM: Debbie Henderson, Accounting Manager MEETING DATE: June 6, 2013 ITEM-PROJECT NAME: Sewer Enterprise 2013-14 Appropriations Subject to Limitation REQUESTED BOARD ACTION: Adopt Resolution No. 2932-13 setting the limitation on appropriations for fiscal year 2013-14. DISCUSSION: This is the District's annual resolution called for by Constitutional Amendment XIIIB. The limitation on appropriations for fiscal year 2013-14 is $62,850,840. The Sewer Enterprise fund budget for fiscal year 2013-14 appropriates $28,415,626. As such, the District is $34,435,214 below the state mandated spending limit. I SCHEDULE: Adopt Resolution No. 2932-13 " COSTS: $0 ACCOUNT NO: N/A BUDGETED AMOUNT REMAINING: N/A ATTACHMENTS: Resolution No. 2932-13 and a calculation of the permitted appropriation growth rate. CONCURRENCE WITH REQUESTED ACTION: CATEGORY: Sewer GENERAL MANAGER: YES � � NO CHIEF FINANCIAL OFFICER: YES � NO -3- � RESOLUTION NO. 2932-13 2 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE SOUTH TAHOE PUBLIC UTILITY DISTRICT 3 ADOPTING THE SEWER ENTERPRISE FUND APPROPRIATIONS 4 SUBJECT TO LIMITATION AND PROCEEDS OF TAXES FOR I FISCAL YEAR 2013-14 I 5 WHEREAS, the people of the State of California have elected to approve 6 Constitutional Amendment XIIIB, and the Legislature of the State of California has voted 7 to adopt Senate Bill No. 1352, which implements Constitutional Amendment XIIIB, setting $ the method of computing annual appropriations subject to limitation of local non- 9 residential construction and population; and 10 WHEREAS, the Directors selected the change in per capita personal income; and 11 WHEREAS, such legislation sets the base year for this computation as Fiscal Year �2 1978-79; and 13 WHEREAS, such legislation required documentation setting such appropriation 14 limitations shall be available to the public fifteen days prior to the adoption of this 15 resolution; and WHEREAS, on May 7, 2013, such documentation was made public: 16 NOW, THEREFORE, BE IT RESOLVED, that the Board of Directors of the South Tahoe �7 Public Utility District does find and declare that the appropriations subject to limitation �$ for Fiscal Year 2013-14 are: $28,415,626; and that for Fiscal Year 2013-14, the proceeds �9 of taxes as defined in the enabling statutes are: $6,692,720; and that the increase in 20 proceeds of taxes over the appropriations subject to limitations is: $-0. 2� PASSED AND ADOPTED at a duly held regular meeting of the Board of Directors of 22 the South Tahoe Public Utility District on the 6th day of June, 2013, by the following vote: 23 AYES: 24 NOES: ABSENT: 25 26 ' Eric Schafer, Board President 27 South Tahoe Public Utility District ' ATTEST: 28 29 30 Kathy Sharp, Clerk of the Board -5- SOUTH TAHOE PUBLIC UTILITY DISTRICT Permitted Growth Rate in Appropriations for 2013-14 Appropriation Limitation 2012-13 $59,602,504 Increase In CA Per Capita Personal Income 5.12 + 100= 1.0512 100 Increase In Population El Dorado County t .32 + 100= 1.0032 100 Change Ratio 1.0512 x 1.0032 x 1.0545 Appropriations Limitation for 2013-14 $b2,850,840 Actual Appropriations 2013-14 $28,415,626 Limitation Exceeding Actual Appropriations 2013-14 $34,435,214 Historical Appropriations Limitations & Proceeds Of Taxes --♦—Appropriation Limitation —�—Actual Appropriations $70 $60 $50 y O�� $30 c —$20 $10 $0� ss ��s-e> >aeo-es s000-o� �-03 soa-os zoos-o� sooe-os so�o-�+ zoiz-�a 1995-96 1997-98 1999�00 001-02 00304 007-08 009-10 11-12 013 , 14 Fiscal Year 2013-14 Actual Appropriations: Cash Expenditures $23,859,124 Depreciation 4 556 502 Total E nditures 28,415,626 —7— 6eneral Manager Richard H.Solbrig -�--�---°-�-.. � • 1950 �, w Directory �" � �� r� Ghris Cefalu �./� James R.Joney � � f�u b i i c U�i l i-� a��/) '(,j�/ �ndy Vogelgesang � — Kelly 5heehan Eric 5chafer 1275 Meadow Crest Drive►5auth take Tahoe•CA 96150-74Q1 f'hone 530 54�-6474�Fax 530 541-0614•VVWw.S�UGI.US BOARD AGENDA ITEM 4c TO: Board of Directors FROM: Randy Curfis, Manager of Field Operations MEETING DATE: June 6, 2013 ITEM-PROJECT NAME: Backhoe Purchase and Trade-In, Underground Repair Water REQUESTED BOARD ACTION: (1) Award bid to the lowest responsive, responsible bidder, Sonsray Machinery, LLC, in the amount of $103,335.31; (2) Authorize trade-in of 1999 JCB Backhoe at a value of$13,750, for a total bid amount of $89,585.31. DISCUSSION: The Board authorized adverfisement of bids at the May 2, 2013, Board meeting.Two bids were received and opened on May 23, 2013. This unit will replace an existing 1999 JCB backhoe which has proven to be very unreliable with constant breakdowns. Parts availability for this English made tractor have become very scarce with the only known US supplier located in Norfh Carolina. Standardization of Caterpillar and Case heavy equipment was approved by the Board at the February 21, 2013, Board meeting. Staff believes the bid price to be fair and recommends award. SCHEDULE: ASAP COSTS: $89,585.31 (includes tax and delivery) ACCOUNT NO: 2005-8351 BUDGETED AMOUNT AVAILABLE: $90,000 ATTACHMENTS: Bid results CONCURRENCE WITH REQUESTED ACTION: CATEGORY: Water GENERAL MANAGER: YES N� ' CHIEF FINANCIAL OFFICER: YES NO -9- 5ou-rH -raHo� PUBLIG UTILITY D15TRIGT BACKNQE - B!D RESULTS BI� # 13-14-08 OPENING DATE May 23, 2013 BID AMOUNT TRADE-IN TOTAL Sonsray PAachinery l.LC $ �03,33�.31 - $ �3,?54 $ 89,585.31 2013 Case 590SN 90 day delivery, Net 30 days 12 month fuii parts & labor warranty Holt of California 1 18,029.06 - 20,000 98,029.06 2013 Caterpiilar 430F 180 Day Delivery, Net i 2 month fu!! �arts & !ar•,:r;^�arrant" Minor deviations -11- General Manager Richard H.5olbrig � • 1$50 • w �+� Director5 �e,r � ! '� � / �� Ghris Gefalu u �✓ James R.Joney � Randy Vogelge5ang � :`� �'ublic Utility DiStrict KellySheehan Eric Schater ' 1275 Meadow Cr�eSt Drive•5outh Lake Tahoe•CA 96150-�40t Phone 530 544-6474•�ax 534 541-0614•www.stpud.u5 BOARD AGENDA ITEM 4d TO: Board of Directors FROM: Julie Ryan, Senior Engineer MEETING DATE: June 6, 2013 ITEM- PROJECT NAME: Headworks Landscaping Project REQUESTED BOARD ACTION: Award project to the lowest responsive, responsible bidder, Aerco Pacific, Inc., in the amount of $92,978. DISCUSSION: On Tuesday, May 21, 2013, six landscaping contractors attended the mandatory pre-bid meeting for the above project. This contract includes work to stabilize and revegetate disturbed areas of the Plant inside the Headworks Project Area as a condition of the project permits with Tahoe Regional Planning Agency and the Regional Water Quality Control Board. Bids were opened at the District offices on Thursday, May 30, 2013, at 2:00 p.m.Two bids were received, with bid amounts ranging from $92,978 and $95,766. The Engineer's estimate for this project is $86,742.50. Staff has evaluated the bids for conformance with bidding requirements. A summary of all bids, along with staff recommendation for award, is attached. Staff recommends that the Board find the minor irregularity in Aerco Pacific's bid to be immaterial, waive the immaterial irregularity, and award the project to Aerco Pacific, Inc., in the amount of $92,978. � SCHEDULE: As soon as possible COSTS: $92,978 ACCOUNT NO: 1029-8033/HDWORK BUDGETED AMOUNT AVAlLA6LE: ATTACHMENTS: Bid Summary and Staff Recommendation. CONCURRENCE WITH REQUESTED ACTION: CATEGORY: Sewer GENERAL MANAGER: YES -� NO CHIEF FINANCIAL OFFICER: YES NO -13- South Ta hoe Public Utility District 1275 Meadow Crest Drive South Lake Tahoe, CA 96150 Telephone: (530)544-6474 Fax: (530)541-0614 Memorandum Date: May 30, 2013 To: Board Members, Richard H. Solbrig, Paul A. Sciuto From: Heidi C. Baugh, Contracts Administrator Subject: Headworks Landscaping Project At 2:00 o'clock on the afternoon of May 30, 2013 we received and opened finro (2) sealed bids for the above-referenced project. Bids ranged from $92,987 to $95,766. The engineer's estimate was $86,000. A careful review and analysis of these bids showed only a minor deviation on the low bid and a couple serious deviations on the high bid. See attached spreadsheet and list of deviations for full breakdown of each bid. AERCO PACIFIC, INC. is the apparent low bidder. Aerco Pacific, Inc. had only one very minor deviation. I contacted the Contractors License Board and was given the following information: License Number 166242 is current and active and expires 06/30/2015. The company is a corporation. Aerco Pacific, Inc. holds a Class G27— Landscaping license. South Tahoe Public Utility District.1275 Meadow Crest Drive, South Lake Tahoe,CA 96150 Phone 530.544.6474i5Facsimile 530.541.0614 SOUTH TAHOE PUBLIC UTILITY DISTRICT'S Headworks Landscanina BID SUMMARY (5/30/2013) ArchitecYs Estimate Aerco Pacific,Inc. V8C Construction Description Unit QTY Unit Price Amount Unit Price Amount Unit Price Amount 1 Mob/Demob 10% LS 1 $ 3,500.00 $ 3 500.00 $4 000.00 $4 000.00 6 000.00 $6 000.00 Temp.BMPs and Erosion 2 Control Measures. LS 1 $ 1 650.00 $ 1 650.00 $5,800.00 $5 800.00 4 500.00 $4 500.00 Shoring and Worker Safety 3 er OSHA LS 1 $ 1 100.00 $ 1,100.00 $500.00 $500.00 500.00 Landscape Bed Soil $500.00 4 Amendments and Pre SF 20 400 $ 0.39 $ 7 854.pp $0.20 $4 080.00 0.50 5 Irri ation S stems LS 1 $ 24 266.00 $ 24 266.00 $29,100.00 $29100.00 35 000.00 $10 200.00 ;: Accent Boulders and Drain $35 000.00 � 6 Rock Armor LS 1 $ 2 612.50 $ 2 612.50 $5 545.00 $5 545.00 230.00 $230.00 � 7 Trees EA 42 $ 390.50 $ 16 401.00 $460.00 $19 320.00 400.00 r 8 Shrubs EA 228 $ 52.80 $ 12 038.40 $16 800.00 9 Perrennials EA 721 $ 17.60 $ 12 689.60 �2.00 $9 576.00 32.00 $7 296.00 10 Pine Chi Mulchin $12.00 $8 652.00 6.00 $4 326.00 SF 10,000 $ 0.28 $ 2 750.00 $0.27 $2 700.00 0.30 $3,000.00 11 H droseed SF 5 700 $ 0.33 $ 1 881.00 $0.65 $3 705.00 0.42 t TOTAL er District Review and Calculation $2 394.00 € S 86,742.50 a92,978.00 s90,246.00 TOTAL as written in Bid Received: same 595,766.00* "Used Incorrect Bid Form. -1�- HEADWORKS LANDSCAPING PROJECT CONTRACTOR'S SUBCONTRACTORS Aerco Pacific, Inc. D r' i Name I�''� esc i t on of Work Subcontractors � I 8�Address Hydroseed 4.0°/a Mark Seeding Services 9662 New Hope Roof deck. Galt, CA 95632 #537905 Electrical 1.6% Sierra Valley Electric P.O. Box 8900 South Lake Tahoe, CA 96158 #391090 Named E ui ment/Material Su lier List: E ui mentlMaterial Su lier Irrigation S stem John Deere Landscapes—Rainbird,etc. Amendments Redi-Gro Corporation—Redi-Gro Trees Tahoe Tree Shrubs McBrides Nurse Perennials McBrides Nurse Seed Mixes Mark Seedin Services—Mark Seedin Mulch Ed Cook Tree Services—Ed Cook V&C Construction Inc. Description of Work Subcontractors�Address No subcontractors identified. No subcontractors identified. Named E ui mentlMaterial Su lier List: E ui ment/Material Su lier• Manufacturer Irri ation S stem Western Nevada Su I —Rainbird Amendments Full Circle Compost—Full Circle Com ost Trees Old Stone House Nurse Shrubs Old Stone House Nurse Perennials Old Stone House Nursery Seed Mixes Comstock Seed Mulch Ed Cook Tree Service � -i��- �; Headworks Landscapinq Proiect Bid Opening: 5/30/2013 at 2:00 o'clock p.m. Deviations and information qathered durinq bid analvsis of the three lowest bids: Aerco Pacific, Inc. • Bidder's General Information Item 3, contractor's license expiration was written in the bid as 6/30/2013, the State Contractor's License Board website shows the expiration being 6/30/2015. V&C Construction Inc. • Page 1 of Bid Forms, Addendum 1 was not acknowledged. • Bidder's General Information Item 5, name and address of surety were provided, however phone number was not. • Bid Form, page 15, was replaced by Bid Form page 15 in Addendum 1, however was not used to bid project. So items bid in bid form submitted were not the correct items, specifically, Bid Item no. 6 was changed. fl -i8- General Manager Richard H.Solbrig � ♦ 1�w �� D �� Director5 GhriS Gefalu JameS R.Jones .�... ;,�� RandyVogeigesang �u b��c U-��i�-�y D E 5�tr��t Kelly 5heehan Eric 5chafer 1275 Meadow Cre�t Drive•5auth take Tahoe•CA 96150-740Z Phone 530 5�4-6474�Fax 530 541-OC14-•www 5tpud.us BOARD AGENDA ITEM 6a TO: Board of Directors FROM: Tim Bledsoe, Customer Service Manager MEETING DATE: June 6, 2013 ITEM- PROJECT NAME: TSV (Tahoe Stateline Venture), LLC-The Chateau Const�uction Agreement: Redevelopment Project 3 REQUESTED BOARD ACTION: Consider proposed further modifications to draft Construction Agreement and, if acceptable, approve the Agreement. DISCUSSION: The District has continued discussions with TSV related to the construction agreement. A modified agreement is being jointly prepared by legal counsel for TSV and the District which will be distributed to the Board prior to the Board meeting. District staff and legal counsel will discuss proposed further modifications to the draft agreement for the Board's consideration during the meeting. SCHEDULE: COSTS: ACCOUNT NO: BUDGETED AMOUNT AVAILABLE: ATTACHMENTS: The Chateau Construction Agreement- Draft Copy (to be provided prior to and at the Board meeting) CONCURRENCE WITH REQUESTED ACTION: CATEGORY: Water 8�Sewer GENERAL MANAGER: YES �� '� NO CHIEF FINANCIAL OFFICER: YES r v►' NO -19- General Manager Richard H.5olbrig a • �� • w Director5 �� $� � � V V` �� Chrie Gefalu JameS R.Jones _�� , , , � � Randy Vogeigeaang f�u b I�c U t�I�ty D i�trl ct Kelly 5heehan Eric Schafer 1275 Meadow Crest Drive•South Lake Tahoe•CA 96150-74-01 phone 530 54�4-�474•Fax 530 541-0614•www.stpud.us BOARD AGENDA ITEM 6b TO: Board of Directors FROM: Shannon Cotulla, Engineering Department Manager MEETING DATE: June 6, 2013 ITEM-PROJECT NAME: Sewer Line Protection at Angora Creek Crossing Near View Circle, EI Dorado County, CA REQUESTED BOARD ACTION: Approve expenditures necessary to identify a preferred engineering alternative; complete required permitting; and develop engineering plans, specifications and estimates of probable costs to provide long-term protection and prevent catastrophic failure of the 8"sewer line crossing found exposed in Angora Creek. DISCUSSION: In April, 2013, URS (Underground Repair Sewer) crew, on their routine inspection, discovered exposed sewer laterals in the channel of Angora Creek. The '� properfy owner was notified by letter on May 20, 2013. Further investigation of the Angora Creek area revealed that the concrete cap of an encased 8" sewer line was exposed in the channel of Angora Creek, approximately 575' east and downstream of the View Circle Bridge. On May 20, 2013, the Engineering Department was made aware of the situation. Furfher inspection of the site showed that the encased sewer line was not supported by the creek bed along the complete width of the channel. Review of engineering plans and video survey of the sewer line crossing showed the sewer line comprised of 6' joints of 8" AC (asbestos-cement) sewer pipe, originally constructed in 1967, as part of the District's Assessment District 1967-1 project. Review of District sewer grids show that this sewer line receives untreated sewer flows from 62 residential properfies located north of Angora Creek. The average daily sewerage flow from these properfies is estimated at 18,600 gallons per day. Based on these findings, District staff determined that the 8 sewer line is at significant tr�ctural failure within An ora Creek, the consequences of which could include: nsk of s 9 (1) sudden loss of sewer service to residents in Angora Highlands; (2) significant risk to water quality in Angora Creek; and (3) sudden sewer surcharges downstream of the sewer line failure. ' -21- Shannon Cotulla _ June 6,2013 Page 2 ; In order to provide temporary protection to this sewer line crossing, plans for the hand- placement of gravel bags to force Angora Creek flows over the top of the concrete encasement were developed and appropriate regulatory agencies were notified (Sewer Crossing at Angora Creek, dated May 22, 2013). On May 24, 2013, the URS crew hand placed 171 bags filled with washed 3/<" drain rock in Angora Creek to provide temporary protection for the 8" sewer line crossing. Staff intends to continue to monitor the sewer line crossing and has started identifying potential alternatives for engineering evaluation. District staff intends to complete the permitting and develop plans and specifications for implementation of the preferred alternative to prevent catastrophic failure of the 8" sewer line crossing. A cost proposal from Norfhwest Hydraulics Consultants wifl be provided to the Board at the June 6, 2013, meeting to assist the District with completion of the engineering planning and permitting activities required for this project. � SCHEDULE: As soon as possible COSTS: To be provided at Board Meeting with proposal from Northwest Hydraulics Consultants ACCOUNT NO: 1029-7006/ANGSPP BUDGETED AMOUNT AVAILABLE: Unbudgeted item. Funds will be transferred from other accounts to cover associated costs. ATTACHMENTS: Sewer Crossing, Angora Creek near View Circle, South Lake Tahoe, CA, dated May 22, 2013. Inspector Daily Field Log Summary of gravel bag placement on May 24, 2013. CONCURRENCE WITH REQUESTED ACTION: CATEGORY: Sewer GENERAL MANAGER: YES NO CHIEF FINANCIAL OFFICER: YES �I' NO -22- General Manager Richard H.5oibrig Dircctore � • 1� • � Chris Ccfalu � � Q James R.Jones 5 U� a � o� Randy Vogelgesang 0 �ublic Utilit DiStri�t KellyShcchan "` �' \/ Eric Schafer ai� 1275 Meaciow Cr�eSt Dri�•South Lake Tahoe•CA 96150-7401 Phone 530 544-6474•Fax 530 541-0614•W Ww.5t�.u5 ;I� May 22, 2013 Robert Tucker Water Resources Control Engineer Lahontan Regional Water Quality Control Board 2501 Lake Tahoe Blvd South Lake Tahoe, CA 96150 Re: Sewer Crossing,Angora Creek near View Circle, South Lake Tahoe, CA Dear Mr.Tucker; Thank you for meeting with South Tahoe Public Utility District (District)staff yesterday afternoon to discuss our concerns regarding an 8-inch gravity sewer main crossing Angora Creek, downstream and east of View Circle, within the SW'/.,Section 18,T 12 N, R18E, MDBM.The following letter provides additional information to help better understand the risks associated with the current pipeline conditions and the emergency actions the District believes are needed to protect this sewer line. On May 20th, during routine inspection of underground sewer facilities along Angora Creek, District crews discovered the top of a concrete encased sewer line exposed in the channel of Angora Creek.The sewer line is believed to lie within a 15-foot District easement located between an undeveloped County of EI Dorado parcel (APN 033-552-13)and a developed parcel with a single family residence (APN 033-552-15). Engineering plans show that this sewer line was originally constructed in 1967, as part of the District's Assessment District 1967-1 project. Site inspection of the sewer line crossing showed that the pipeline is completely undermined by erosion (see attached Photos 1 and 2). On May 21�, District crews performed a video camera survey to determine the material/construction of the sewer line.The video survey showed that the 8-inch sewer line is constructed of 6-foot lengths of asbestos-cement(AC) pipe.As the length of the channel crossing is approximately 10-feet, there is at least one pipe joint believed to be situated within the channel crossing. The current flow along this reach of Angora Creek is estimated at approximately 10 cubic feet per second (cfs). The 8-inch gravity sewer main receives an estimated 18,600 gallons per day(gpd)of sewer flows from approximately sixty-two properties north of Angora Creek.The 8-inch sewer main connects to a 10-inch -23- Sewer Crossing at Angora Creek May 22,2013 Letter to R.Tucker sewer main approximately 73 feet south of Angora Creek. A map showing the area serviced by the sewer line and a field sketch showing the Angora Creek crossing are included as attachments to this letter. The AC construction of the sewer line crossing Angora Creek and the lack of support immediately beneath `` the sewer line significantly increases its risk of failure. Failure of an unsupported pipe joint(s) is the most significant problem affecting the structural integrity of the sewer line within Angora Creek.The sewer line at Angora Creek is more than 40 years old and is currently exposed to stream flows.AC pipe is extremely vulnerable to degradation caused by aggressive water flow and the leaching of the cement mortar binder from the pipe wall. Given that the sewer line crossing Angora Creek is presently unsupported,the force of the water flowing across the pipe crossing and the unsupported weight of sewer line may result in sudden rupture and catastrophic failure.The consequences of this failure would include: • Loss of sewer service to residents in Angora Highlands; • Significant risk to water quality and biological resources in Angora Creek; and • Sewer surcharges resulting from increased flows downstream of the sewer line failure. The District is extremely concerned that further exposure to ftows in Angora Creek poses a significant risk to the structural integrity of the 8-inch sewer line. In order to better protect the sewer line from these flows,the District will hand-place a sufficient number of gravel bags as tight as possible under the sewer line encasement and immediately upstream and downstream of the sewer line crossing to force the flows from Angora Creek over the top of the concrete casing. The District believes that the hand placement of the gravel bags can be completed within one working day.A sketch showing the proposed placement of the gravel bags and initial quantity estimates required for this protection (approximately 5 cubic yards of material)are also attached to this letter. The District will complete the placement of the gravel bags in Angora Creek as soon as possible. Following completion of this temporary measure,the District will perform further engineering planning and complete permit applications, as needed,for more extensive restoration work within Angora Creek to provide an acceptable long-term solution to protect the District's sewer line crossing. Please do not hesitate to contact either of us at your earliest convenience should you have any questions or concerns regarding this matter. Sincerely, Ivo Bergsohn, P.G., C.Hg. Richard Solbrig, P.E. Hydrogeologist General Manager Attachments Cc: S. Kooyman, County of EI Dorado DOT K. Hansen, U.S.Army Corps of Engineers,Sacramento District, Reno Field Office J. Roll,Tahoe Regional Planning Agency File —24— Sewer Crossing at Angora Creek May 22,2013 Letter to R.Tucker ATTACH M ENT —25— Sewer Crossing at Angora Creek May 22,2013 Letter to R.Tucker �r-- � ,•w +lE: I � �� s '�y, . '�.. 1 �7ry� . �1� �• ' �.,.. " �.: • ^ e. °$ � r_� :.} -.��- �� . �� . .:. �,�- ,�. 4 � �� . � M 3.� � i � i r�. •� d �X � ,,,. `'��°`'� .d ��F �,�� . ,r ..t:: .. _. . , � � , ,,t - t �� i t��,�# �' ' ° �-', I ��s' #v,�f;�,' �. t' �� t. 't l' �`j �. ,�� ; ' ,, "� � �� .� �y ''+� ' .t�� '� k{ 'k� . '� �i ,F..: ��,N y � �� i� � �.a�. � t k • ��,' ��- Rl�y` �,��,� � ,+iF}�� ° � :•�� ,+'�, �:� , �� *` 1- ��.�11��i�� •'d�- �- _ �� . ...s . � R�f�..;;. �e � . ._. + .. �.; . �v..'+�. . �� * T"n"`'°�� ' 'a�1 '4+ r . � . .<��. . .a��' �r°'^�v' .:�+'1�''�' ��i"'k' , :K�. �l%��`. � . � �� Photo 1.View looking west, in upstream direction, at the concrete encased sewer line exposed in the channel of Angora Creek, SW '/<,Section 8,T12N, R 18 E, MDBM -�`; � ,,i`h: �V ��• II _ 3 S�. y { K.� y�� E9��t. .�y t• a � hTk�� . 4R . . 4 - ��'�'JI�P�_ '�` �1t,." �s� .::' .b q �`-.�'.N �^21:� � g �''' �' � �i!�f' t' 1v t , .' x,.: `,. _ : i,��t r � � � z' �' t �,r" � � � '. #'i '"' `;�� ,� � ;A� �. ..�-.. .� `� t.� � •,�;- n� ;.'"��._ �� ,� ; .�` 1��;� -. � �.. ::,,;�� Photo 2.View looking east, in downstream direction at the concrete encased sewer line crossing. —26— i i i Sewer Crossing at Angora Creek May 22,2013 Letter to R.Tucker law�aft:ulations: . .� �+��7y'paei�(SF[J}=3 se�er�iks : . 1�urit=10d gs�ons P��f► � � ��u�q ATea: � . . . . E"it . Sew�er tlY�i�: .-, - . ' x3=18lf GaHans Per Qay from ibu0np Area: • is6&U x 100(paions Par da1►y SU=t&8QD 9�an5 Pe+�f/ ' ' • '.� ' . , �., l .. .. . _ rr�"'�+" �� - - � � . � � �`.'`"�.�;,� ' . � �r • • • • , . • I � __ �""---"`- UT�1�9 r` • " . . ` ' . f ' • ' • j . ; _ ' . • _ I ` � . -�t ` .�. 0 300 BDO fi.Z00 Feet � ��-� ' ~�� SEWER FACILITIES A��1� � ANGORA CREFK � � _ y�a."°d -27- . - � .- ._�.._.._.__-__.___._.,_..__.__��. . '. � � � � ._.....__ ,.�i�Vl�� t` � � � � ' � : : i .___.: ° _._------ 1 � {�1v __�.-�'__�2�.�`.�.o� i_ i - �. -- —_.__ _.�_.._.- - __..__ e�.___. _____ �-I-- i o� ; � ��"" i � � � � � � t i � ' � .... • - � ; _ � �� i ; � . ; � � � ; � � , _ � �- � � ; �y ; ' 3 t ii;�- � � � , i � i I } i ,� i i � � � � � - � i < � � � . \ ; j2 i 2 , - � � �'.; , . ! 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Approximately 40 � i gravel bags were used to armor the northern upstream bank in an attempt to prevent more eddying.All gravel bags were transported from the street to the creek on the 4 wheel drive cart,then hand placed into the water. Notes: Brendon Ferry, EI Dorado DOT was on site. He had no comments or request about the work. -31- PAYMENT OF CLAIMS FOR APPROVAL June 6, 2013 Payroll 5/14/13 469,949.41 Payroll 5/28/13 428,865.58 Total Payroll 898,814.99 ADP & Insight eTools 278.31 AFLAC/WageWorks-claim payments and fees 2,708.01 American Express 145,093.72 Bank of America 0.00 BBVA Compass Bank 0.00 BNY Mellon Trust Company 0.00 BHFS legal services 0.00 CDS-health care payments 17,083.69 Union Bank 0.00 Total Vendor EFT 165,163.73 Accounts Payable Checks-Sewer Fund 467,387.87 Accounts Payable Checks-Water Fund 152,704.10 Accounts Payable Checks-Self-funded Insurance 0.00 Accounts Payable Checks-Grants Fund 0.00 Total Accounts Payable 620,091.97 Grand Total 9,684,070.69 Pavroll EFTs & Checks 05/14/13 05/28/13 EFT CA Employment Taxes & W/H 2O,109.66 17,147.45 EFT Federal Employment Taxes & W/H 110,368.77 92,843.48 EFT CaIPERS Contributions 80,746.89 80,955.37 EFT Great West Deferred Comp 20,882.37 20,150.92 EFT Stationary Engineers Union Dues 2,359.88 2,365.45 . 0.00 EFT Retirement Health Savings 21,032 38 EFT United Way Contributions 160.00 140.00 EFT Employee Direct Deposits 208,484.80 210,221.68 CHK Employee Garnishments 840.25 1,246.30 CHK Employee Paychecks 4,964.41 3,794.93 Total 469,949.41 428,865.58 -33- � 3 3 3 3 3 3 3 3 3 3 3 3 � � � � � � � � � � � � � E � ,n ,N �-, v �n �o t� oo rn o .-. 3 �O � O O O O O O O O O O !1 Z � � � 00 W 00 00 00 W 00 00 0�0 � y O O O O p Q O p �p � O O O O O O O O � ¢ ¢ ¢ � ¢ � a ¢ � � ¢ ¢ � � � � V � ll� � 7 O O � ��.. ln M O N � fG M CD E�O. f� � � CO U') �O tn Q n � a�D a�0 � � � � fV (V CO aO O O sF N fV V h st � � � � ^ � � '� � 01 CO CO O O N N f� N M � O � N h O l� tn .. h t�1 . 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E-� E-� E-� E-� E-� E-� E-� E-� H F-� E-� E-� E-� E-� E-� E-� E-� H F-� E-� F F �� o v� v� v� �n v� v� v� v� v� v� v� v� v� v� v� v� v� v� v� v� v� v� ¢ W 'o W W W W W W W w W W W W W W W W W W w W W W �� 33333333333333333333350- oH ; General Manager Richard H.Solbrig �,ygt � t�� Director5 y�- ou-� a ae Chris Cefalu James R.Joney � �y �u b I i c U t�I��y D i 5tri c-� Randy Vogelgeeang Kelly 5heehan Eric 5chafer 1275 Meadow CreSt Drive•Sauth Lake Tahoe•CA 96150-7401 f'hone 530 544-6474•Fax 530 541-�614•WWw.S�Ud.US BOARD AGENDA ITEM 1 3a TO: Board of Directors FROM: Tim Bledsoe, Customer Service Manage� MEETING DATE: June 6, 2013 ITEM-PROJECT NAME: Conference with Legal Counsel- Existing Litigation REQUESTED BOARD ACTION: Direct legal counsel. DISCUSSION: Pursuant to Section 54956.9(a) of the California Government code, Closed Session may be held for conference with legal counsel regarding existing litigation: EI Dorado County Superior Court Case SC20120227 GRCLT Condominium vs. South Tahoe Public Utility District. SCHEDULE: COSTS: ACCOUNT NO: BUDGETED AMOUNT AVAILABLE: ATTACHMENTS: CONCURRENCE WITH REQUESTED ACTION: CATEGORY: Sewer GENERAL MANAGER: YES �/�� NO CHIEF FINANCIAL OFFICER: YES ± � NO J � -51- General Manager Richard H.Solbrig �°-- � 1��'� W$� t , Directors � U P Chri5 Ccfalu v C� ��'l � C� a h �V JameS R.JoneS :�Me� . e . . , Randy Vogelge5ang - f ubf�c Ut�l�ty D�Str�ct KellySheehan Eric Schafer 1275 Meadow Crest Drive•5outh i..ake Tahoe•CA 96150-7401 Phone 530 544-6474•Fax 530 541-0614•www.stpud.u5 BOARD AGENDA ITEM � 3b TO: Board of Directors <: FROM: Paul Sciuto, Assistant General Manager/Engineer MEETING DATE: June 6, 2013 ITEM- PROJECT NAME: Conference with Legal Counsel- Existing Litigation REQUESTED BOARD ACTION: Direct staff. DISCUSSION: Pursuant to Section 54956.9(a) of the California Government code, Closed Session may be 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 CV06-0055-GW, United States District Court for the Central District of California. SCHEDULE: a; COSTS: ACCOUNT NO: BUDGETED AMOUNT AVAILABLE: ATTACHMENTS: CONCURRENCE WITH REQUESTED ACTION: CATEGORY: Water GENERAL MANAGER: YES NO CHIEF FINANCIAL OFFICER: YES U' NO -53- General Manager Richard H.9olbrig ��^'— Director5 � • 1950 • �I .q�er `^ �� /"� � ChriS Cefalu J O /� O p JameS R.Jones ��< <�� Randy Vogelgesang �� ;� f ub�ic Ut�lity DiStric� KellySheehan Eric 5chafer 1275 Meadow CreSt Drive•5outh Lake Tahoe�CA 96150-7401 Phone 530 544-64-74•Fax 53Q 541-0�`014•WWw.5�pt.IGJ.US BOARD AGENDA ITEM 1 3c TO: Board of Directors FROM: Paul Sciuto, Assistant General Manager/Engineer MEETING DATE: June 6, 2013 ITEM- PROJECT NAME: Conference with Legal Counsel- Existing Litigation REQUESTED BOARD ACTION: Direct Staff. DISCUSSION: Pursuant to Section 54956.9(a) of the California Government Code, Closed Session may be 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. SCHEDULE: COSTS: ACCOUNT NO: BUDGETED AMOUNT AVAILABLE: ATTACHMENTS: CONCURRENCE WITH REQUESTED ACTION: CATEGORY: Water GENERAL MANAGER: YES NO CHIEF FINANCIAL OFFICER: YES � NO -55-