Minutes 09/03/2015 yo�TH TAMpF
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UT'ILITY�
SOUTH TAHOE PUBLIC UTILITY DISTRICT
Richard Solbrig, General Manager Shannon Cotulla, Assistant General Manager
Randy Vogelgesang, President BOARD MEMBERS Kelly Sheehan, Vice President
Chris Cefalu, Director James R. Jones, Director Duane Wallace, Director
REGULAR MEETING OF THE BOARD OF DIRECTORS
SOUTH TAHOE PUBLIC UTILITY DISTRICT
September 3, 2015
MI N UTES
The South Tahoe Public Utility District Board of Directors met in regular session at 2:02 p.m., at the
District Office, located at 1275 Meadow Crest Drive, South Lake Tahoe, California.
ROLL CALL:
Board of Directors: President Vogelgesang, Directors Cefalu, Jones, Sheehan, Wallace
Staff: Paul Hughes, Richard Solbrig, Shannon Cotulla, Gary Kvistad, Melonie Guttry, Tim Bledsoe,
Doug Van Gorden, Jim Hilton, Stephen Caswell, Julie Ryan, Trevor Coolidge, Linda Brown, Chris Skelly,
Chris Stanley, Randy Curfis, John Thiel, Cuz Cullen
Guests: Jennifer Lukins, Lukins Water Company
CONSENT CALENDAR:
Moved Cefalu / Second Sheehan / Cefalu Yes / Jones Yes / Vo4elqesanq Yes /Sheehan Yes/
Wallace Yes to approve the Consent Calendar as presented.
a. 2015 CONSTRUCTION INSPECTION AND MATERIALS TESTING SERVICES
(John Thiel, Engineering Department Manager)
Issued Task Order No. 13 to Construction Materials Engineers, Inc., in the amount of $74,575, to
provide construction inspection and materials testing services on an as-needed basis.
b. LIBERTY UTILITIES RATE INTERVENTION
(Paul Hughes,Chief Financial Officer)
Authorized staff to execute a contract with KTM Energy Consulting Services to provide
professional consulting services to support the intervention in a general rate case filed by
Liberty Utilities, in an amount not to exceed $40,000.
c. RESOLUTION NO. 2996-15 IN OPPOSITION TO A PUBLIC GOODS CHARGE ON WATER
(Richard Solbrig, General Manager/Engineer)
Adopted Resolution No. 2996-15 in opposition to a public goods charge on water.
REGULAR BOARD MEETING MINUTES-September 3, 2015 PAGE-2
d. GIS CONSULTING SERVICES
(Wanda Stanley,GIS Specialist)
Approved Task Order No. 21 to Arete Systems/Alex Johnson for GIS consulting services.
e. GIS SITE UTILITY LICENSE SUPPORT
(Wanda Stanley, GIS Specialist)
Approved Task Order No. 22 to Arete Systems/Alex Johnson for technical support.
f. REGULAR BOARD MEETING MINUTES: August 20, 2015
(Melonie Guttry, Executive Services Manager/Clerk of the Board)
Approved August 20, 2015 Minutes
ITEMS FOR BOARD ACTION
a. Osgood Street Sewer Pipeline Emergency Replacement Project (stepr,en casweu,Senior Engineer) -
Staff gave an update on the project at Osgood Street indicating the materials have been
ordered and the project should be complete next week.
Moved Voqelqesanq /Second Sheehan / Cefalu Yes / Jones Yes / Voqelgesang Yes /
Sheehan Yes/ Wallace Yes to continue emergency action to replace 400 linear feet of sewer
pipe on the former Osgood Street location.
b. City of South Lake Tahoe Proposed Franchise Ordinance (Ricnard soibrig, General Manager/Engineer)
Richard Solbriq gave an overview of the outline provided to the Board prior to the meeting
and a brief description of a franchise. A public �tility agency does not need to have a
franchise agreement with their respective cities per the Public Utility Code, as they are already
granted this right. Based upon that understanding of the code and practices in the State of
California including its enforcement for decades, the District does not agree with the City of
South Lake Tahoe on the right to impose a franchise agreement upon the District. Richard
Solbria reported on the details of the meeting between the City of South Lake Tahoe (City)
and South Tahoe Pubiic Utility District (District) staff (Richard, Paul and Attorney Kvistad) on
Monday, August 315t. AtForney Kvistad provided a detailed report. Since the City has
requested the District inform them if the District plans to oppose this proposal, Richard Solbriq
has drafted a letter, which has been distributed to the Board. The letter requests any research
the City may have at this point and will be sent immediately. The District will then produce a
detailed letter by the next Board Meeting.
The Board discussed the political implications of this proposal. The Board agrees there is a
huge misconception regarding the water MOU, from the top down. The water MOU was not
renewed which was mutually agreed by both parties in the spirit of transparency. The Board
directed staff to:
• Prepare a letter to City Council members, clarifying the facts with a copy to local media.
• Prepare an informational fact sheet combined with a cost analysis
• President Vogel4esang appointed an ad-hoc committee of himself and Wallace, to review
responses prepared by staff regarding media requests.
c. Approve Payment of Claims (Debbie Henderson, Accounting Manager)
Moved Sheehan /Second Cefalu /Cefalu Yes /Jones Yes / Wallace Yes /Sheehan Yes /
Voaelgesang Yes to approve Payment of Claims in the amount of $1,555,705.43.
REGULAR BOARD MEETING MINUTES-September 3, 2015 PAGE-3
STANDING AND AD-HOC COMMIITEE REPORTS:
Nothing to report
BOARD MEMBER REPORTS:
Director Jones gave a status update on the headwaters meeting he attended last week.
President Vogelgesang reported the Board Room equipment is nine years old and beyond its useful
life expectancy. He attended a committee meeting to discuss options for replacement. If Board
members have input, please contact Vogelgesang.
EL DORADO COUNTY WATER AGENCY PURVEYOR REPORT:
Director Jones wil� be attending the EI Dorado County Water and Power Agencies meeting on
Wednesday, September 9, 2015.
GENERAL MANAGER REPORT:
• Richard Solbria gave a report on the 2015 Lake Tahoe Summit he attended on August 24th.
• The District met its water conservation target in Aug�st, which makes three months in a row to
meet or exceed the target.
STAFF/ATTORNEY REPORTS:
• Staff gave a report on attending a drought emergency meeting where the focus is looking at
long-term conservation regulations, although it is not known what that might be at this time.
• Staff reported they are working on mutual aid agreements with Lukins and Tahoe Keys Water
Companies. Tahoe Keys indicated to staff that the state contacted them asking them to have
a mutual aid agreement with the District, which the District will accommodate. Currently the
goal is to have agreements to the Board the first week of October.
ADJOURNMENT TO CLOSED SESSION: 3:30 pm
a. 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.
Nothing to report
b. Pursuant to Section 54956.9(a) of the California Government Code, Closed Session may be held for
conference with legal counsel regarding existing litigation: STPUD vs. Lakeside Park Association, et al.,
County of EI Dorado, Superior Court Case No. SC20010165.
Nothing to report
RECONVENED TO OPEN SESSION: 3:58 p.m.
ADJOURNMENT: 3:58 p.m. `��""
Randy Vogelgesang, Board President
� South Tahoe Public Utility District
Melonie Guttry, Clerk of the Board
South Tahoe Public Utility District