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06-06-2024A y'er 1950 'f� SOUTH TAHOE PUBLIC UTILITY DISTRICT David Peterson, President BOARD MEMBERS Kelly Sheehan, Director Nick Haven, Director Shane Romsos, Vice President Nick Exline, Director Paul Hughes, General Manager Andrea Salazar, Chief Financial Officer REGULAR MEETING OF THE BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT June 6, 2024 MINUTES The South Tahoe Public Utility District Board of Directors met in a regular session, 2:04 p.m., at the District Office, located at 1275 Meadow Crest Drive, South Lake Tahoe, California. ROLL CALL: Board of Directors: President Peterson, Directors Haven, Romsos, Sheehan, Exline Staff: Paul Hughes, Andrea Salazar, Keith Collins, Melonie Guttry, Chris Stanley, Trevor Coolidge, Adrian Combes, Chris Skelly, Kyle Ostberg, Vincent Stagnaro, Liz Kauffman, Heidi Baugh, Julie Ryan, Jeremy Rutherdale, Donielle Morse, Shelly Thomsen, Star Glaze, Ryan Lee, Megan Colvey, Aaron Buckman, Mark Seelos, Greg Dupree, Taylor Jaime 1. PLEDGE Of ALLEGIANCE: 2. COMMENTS FROM THE PUBLIC: None 3. CORRECTIONS TO THE AGENDA OR CONSENT CALENDAR: None 4. ADOPTION OF CONSENT CALENDAR: Moved Sheehan Second Romsos Peterson Yes Haven Yes Romsos Yes Sheehan Yes Exline Yes to approve the Consent Calendar as presented. a. WINTER STORMS EMERGENCY RESPONSE (Paul Hughes, General Manager) Pursuant to Public Contract Code Section 22050(c), continued the emergency action to respond to the Winter Storms Emergency pursuant to Resolution No. 3242-23. b. ANNUAL ADOPTION OF STATEMENT OF INVESTMENT POLICY (Greg Dupree, Accounting Manager) Adopted Resolution No. 3279-24, (supersedes Resolution No. 3249-23) adopting recommended changes to the Statement of Investment Policy. c. SEWER ENTERPRISE 2024 28 APPROPRIATIONS SUBJECT TO LIMITATION (Greg Dupree, Accounting Manager) Adopted Resolution No. 3280-24 setting the limitation on Appropriations for Fiscal Year 2024/2025. REGULAR BOARD MEETING MINUTES: June 6, 2024 PAGE - 2 d. LIABILITY CLAIM AGAINST SOUTH TAHOE PUBLIC UTILITY DISTRICT RECEIVED FROM DOUG CORSON (Ryan Lee, Customer Service Manager) Rejected the Claim against South Tahoe Public Utility District for losses allegedly sustained by Doug Corson. ISSUANCE OF SPECIAL USE PERMIT FOR WOLLYSTAR MUSIC FESTIVAL SECONDARY EMERGENCY EGRESS ROUTE (Adrian Combes, Director of Operations) Approved issuance of a Special Use Permit to Avery Hellman to allow attendees of the Woollystar Music Festival to use an existing unimproved road across a portion of Diamond Valley Ranch in the event of an emergency. f. PALOMA WELL REHABILLITATION PROJECT - REBID (Mark Seelos, Water Resources Manager) 1) Approved Modified Change Order No. 5 to Zim Industries, adding 59 days and deducting $70,755 from the Contract total; and 2) Authorized the General Manager to execute Change Order No. 5. g. 2024 25 POLYMER CONTRACT EXTENSION (Aaron Buckman, Manager of Plant Operations) Authorized the Contract extension option with Solenis LLC for Fiscal Year 2024/25 for emulsion polymer supplies delivered in the estimated amount of $136,620 plus tax. h. 2024 2025 BULK SODIUM HYPOCHLORITE SUPPLIES (Aaron Buckman, Manager of Plant Operations) Awarded a Contract for Fiscal Year 2024/2025, for bulk supply Sodium Hypochlorite pursuant to the one-year option to extend, to Olin Corporation dba Olin Chlor Alkali Products, in the estimated amount of *$374,457 including sales tax and U.S. Superfund Excise Tax Surcharge. I. RECEIVE AND FILE PAYMENT OF CLAIMS (Greg Dupree, Accounting Manager) Received and filed Payment of Claims in the amount of $2,647,080.18 j. REGULAR BOARD MEETING MINUTES: May 16 2024 (Melanie Guttry, Executive Services Manager/Clerk of the Board) Approved May 16, 2024, Minutes 5. CONSENT ITEMS BROUGHT FORWARD FOR SEPARATE DISCUSSION ACTION: None 6. ITEMS FOR BOARD ACTION: a. California Uniform Public Construction Cost Accounting Act (CUPCCAA or UPCCAA) (Andrea Salazar, Chief Financial Officer) — Andrea Salazar provided details regarding the California Uniform Public Construction Cost Accounting Act and addressed questions from the Board. Chris Stanley provided comments in support of this new Policy. Moved Haven Second Sheehan Peterson Yes Haven Yes Romsos Yes Sheehan Yes Exline Yes to (1) Approve Resolution 3281-24 electing to become subject to the Uniform Public Construction Cost Accounting Procedures; (2) Enact Ordinance No. 590-24 which adds new Administrative Code Section 8, Uniform Construction Cost Accounting Act; (3) Approve Public REGULAR BOARD MEETING MINUTES: June 6, 2024 PAGE - 3 Works Construction Purchasing Policy; and (4) Approve Maintenance and Non -Public Works Purchasing Policy. b. 2024 Baseline Cathodic Protection Survey and Corrosion Evaluation Planning Project (Megan Colvey, Senior Engineer) — Megan Colvey provided details regarding the 2024 Baseline Cathodic Protection Survey and Corrosion Evaluation Planning Project and addressed questions from the Board. Moved Sheehan Second Exline Peterson Yes Haven Yes Romsos Yes Sheehan Yes Exline Yes to 1) Approve the proposed Scope of Work from V&A Consulting Engineers, Inc. for the 2024 Baseline Cathodic Protection Survey and Corrosion Evaluation Planning Project; and 2) Authorize the General Manager to execute Task Order No. 1 to the Master Services Agreement with V&A Consulting Engineers, Inc. in the amount of $244,762. c. Rebuild of 1,000 horsepower Motor for Luther Pass Pump Station (Chris Stanley, Manager of Field Operations) — Chris Stanley_ provided details regarding the rebuild of 1,000 horsepower motor for Luther Pass Pump Station and addressed questions from the Board. The Board would like a master plan for Luther Pass Pump Station presented at an Operations Committee meeting in the near future. _Moved Sheehan/Second Exline Peterson Yes Haven Yes Romsos Yes Sheehan Yes Exline Yes to 1) Authorize an exception to competitive bidding procedures due to special circumstances; 2) Authorize a Contract between the District and Codale Electric Supply for the rebuilding of a motor in the amount of $83,887.51 plus tax. President Peterson recused himself at 2:34 p.m. d. Union Memorandum of Understanding effective June 20, 2024 (Liz Kauffman, Human Resources Director) — Liz Kauffman provided details regarding the Union Memorandum of Understanding effective June 20, 2024. Paul Hughes reminded the Board that the implementation of the Compensation Study will be negotiated once all the information is available. Moved Exline Second Sheehan Peterson Recused Maven Yes Romsos Yes Sheehan YeslExline Yes to Approve Union Memorandum of Understanding for the term of June 20, 2024, through June 27, 2029. e. Management Memorandum of Understanding effective June 20, 2024 (Liz Kauffman, Human Resources Director) - Liz Kauffman provided details regarding the Management Memorandum of Understanding effective June 20, 2024. Moved Sheehan Second Exline Peterson Recused Haven Yes Romsos Yes Sheehan YeslExline Yes to Approve Management Memorandum of Understanding for the term of June 20, 2024, through June 27, 2029. President Peterson rejoined the meeting at 2:37 p.m. 7. STANDING AND AD -HOC COMMITTEES AND LIAISON REPORTS: None 8. BOARD MEMBER REPORTS: None REGULAR BOARD MEETING MINUTES: June 6, 2024 PAGE-4 9. STAFF/ATTORNEY REPORTS: Ryan Lee provided community comments relating to the Proposition 218 process. He further provided details regarding the Customer Assistance Program, in which the District is partnered with Liberty Utiities, and addressed questions from the Board. Currently there are approximately 400 accounts on the Customer Assistance Program costing approximately $150,000 annually, supplemented by property taxes. The current discount is 25% for anyone on the Customer Assistance Program. The Board discussed variations of potential Customer Assistance Program modifications. Based on Board discussion, a proposal will be developed and brought back for consideration at a future date. 10. GENERAL MANAGER REPORT: None 11. NOTICE OF PAST AND FUTURE MEETINGS EVENTS 12. BREAK AND ADJOURN TO CLOSED SESSION: 3:1 1 p.m. President Peterson recused himself at 3:59 p.m. RECONVENE TO OPEN SESSION: 4:23 p.m. a. Pursuant to Section 54956.9(d) (1) of the California Government code, Closed Session may be held for conference with legal counsel regarding existing litigation: Yolo County Superior Court Case CV 2021-1686, Alpine County vs. South Tahoe Public Utility District; et al. The Board provided direction to the General Manager to enter into a legal services agreement with Richards Watson Gershon. b. Pursuant to Government Code Section 54957.6(a)/Conference with Labor Negotiators re: Memorandum of Understanding with Stationary Engineers, Local 39. Present at this Closed Session will be Agency Negotiators: Paul Hughes, General Manager; Andrea Salazar, Chief Financial Officer; Liz Kauffman, Human Resources Director No reportable Board Action c. Pursuant to Government Code Section 54957.6(a)/Conference with Labor Negotiators re: Memorandum of Understanding with Management Group. Present at this Closed Session will be Agency Negotiators: Paul Hughes, General Manager; Andrea Salazar, Chief Financial Officer; Liz Kauffman, Human Resources Director No reportable Board Action. No reportable Board Action ADJOURNMENT: 4:24 p.m. Ir Melanie Giittry, Executive Services Manager/ Cierk of the Board South Tahoe Public Utility District David Peterson, Board President South Tahoe Public Utility District