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Minutes 11-03-2016— i ve...• �,5 1959 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 November 3, 2016 MINUTES The South Tahoe Public Utility District Board of Directors met in a regular session, 2:01 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: Richard Solbrig, Gary Kvistad, Melonie Guttry, Tim Bledsoe, Paul Hughes, Shannon Cotulla, Chris Stanley, Ivo Bergsohn, Donielle Morse, John Thiel, Debbie Henderson, Brian Bartlett, Guests: Kirk David, KD Builders CORRECTIONS TO THE CONSENT CALENDAR: President Vogelgesang reported there is a change to Consent Item 4d, which is proposed to be brought forward for discussion under Items for Board Action 6c. Director Jones requested Consent Item 4c also be brought forward for discussion under Items for Board Action 6d. Moved Jones Second Wallace/Vogelgesang Yes Cefalu Yes Jones Yes Sheehan Yes Wallace Yes to approve moving Consent Items 4c and 4d to Items for Board Action 6c and 6d and approve the Consent Calendar as amended. CONSENT CALENDAR: a. CALPERS REQUIRED PAY LISTING BY POSITION (Debbie Henderson, Accounting Manager) Adopted Resolution No. 3042-16 which incorporates the Pay Listing by Position for the pay listing effective June 30, 2016 revised November 3, 2016 b. ALPINE COUNTY ANNUAL IMPACTIMITIGATION/COMPENSATION (Debbie Henderson, Accounting Manager) Authorized payment of District's annual mitigation fee to Alpine County in the amount of $113,900. REGULAR BOARD MEETING MINUTES - November 3, 2016 C. REGULAR BOARD MEETING MINUTES: October 20, 2016 (Melonie Guttry, Executive Services Manager/Clerk of the Board) Approved October 20, 2016, Minutes ITEMS FOR BOARD ACTION PAGE - 2 a. 2015 Fire Hydrant Service Expansion and Large Meter Replacement Project - Staff provided an overview of the project. Moved Jones/Second Sheehan/Vogelgesang Yes/Cefaiu YesZJones Yes/Sheehan YeslWail_ace Yes to approve Change Order No. 3 to White Rock Construction in the amount of $69,566.28. b. Approve Payment of Claims (Debbie Henderson, Accounting Manager) Moved_Sheehan/Second Cefalu/Vogelgesang Yes/Cefalu Yes/Jones Yes/Wallace Yes/Sheehan Yes to approve Payment of Claims in the amount of $2,084,577.79 C. Truckee Marsh Sewer Facilities Protection Project (Ivo Bergsohn, Hydrogeologist) Moved Vo el esan Second Sheehan Vo el esan Yes Cefalu Yes Jones Yes Wallace Yes/Sheehan Yes to approve Change Order No. 1 (Year 3) to V&C Construction, Inc., for Year 3 Improvements in the amount of $37,770.87 and add 18 Calendar days to the Contract time. CONSENT ITEMS BROUGHT FORWARD FOR DISCUSSION/SEPARATE BOARD ACTION: d. Grant of Easement (Chris Stanley, Manager of Field operations) -Staff provided information regarding the project. Moved Jones Second Wallace Vo el esan Yes Cefalu Yes .tones Yes Wallace Yes/Sheehan Yes to approve the Grant of Easement from Tahoe Stateline Venture, LLC, and the Grant of Easement from Zalanta Resort at the Village - Phase II, LLC, located along Cedar Avenue, and authorize the Board President to sign the Certificate of Acceptance for each Easement. STANDING AND AD-HOC COMMITTEE REPORTS: Nothing to report BOARD MEMBER REPORTS: Nothing to report EL DORADO COUNTY WATER AGENCY PURVEYOR REPORT: Director Wallace reported the next meeting is Wednesday, November 9, 2016, and he is unable to attend. Director Sheehan will attend in his place. GENERAL MANAGER REPORT: Richard Solbriq reported on several items: For the District's Groundwater Sustainability Plan, a Stakeholder Advisory Committee Meeting was held on October 25 and the Tahoe Keys Property Owners Association provided a report regarding potential contamination. REGULAR BOARD MEETING MINUTES - November 3, 2016 PAGE - 3 • An affordable housing issue article has been distributed to the Board in reference to workforce housing. These meetings will include participation from various utilities regarding appropriate responsibility. STAFF/ATTORNEY REPORTS: Staff reported the State of California is under emergency water conservation regulations and the District has passed their required stress test. This October, the District conserved 14% compared to October 2013. The State as a whole has conserved 23% through September. The State is moving forward under the Governor's Executive Orders regarding long term conservation by proposing a water budget for each District. The South Tahoe Public Utility District, along with the Association of California Water Agencies, is opposing this water budget. Attorney Kvistad reported the District has filed a Disclaimer of Interest, which concludes the District's involvement in the litigation with Caltrans vs. Knox VanDyke Johnson, et al. Staff reported that Liberty Utilities sent a letter to the District regarding the streetlight billing issue. District staff have spoken with representatives at the Local Agency Formation Commission (LAFCO), and although LAFCO doesn't feel this is an issue, their attorneys are reviewing it. Staff announced a Finance Committee meeting has been scheduled for November 17, at 1:30 p.m., in Conference Room 1. ADJOURNMENT TO CLOSED SESSION: 2:45 p.m. RECONVENED TO OPEN SESSION: 3:09 p.m. 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: 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. No reportable Board action 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: Los Angeles County Superior Court, Case No. BC459943, State of Nevada, et al. v. J -M Manufacturing, et al. No reportable Board action C. 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. No reportable Board action REGULAR BOARD MEETING MINUTES - November 3, 2016 ADJOURNMENT: 3:09 p.m. Melonie Guttry, Clerk of th Board South Tahoe Public Utility District PAGE - 4 Randy Vogelgesang, Board President South Tahoe Public Utility District