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2004 03-04 SOUTH TAHOE PUBLIC UTILITY DISTRICT "Basic Services for a Complex World" Richard SOlbli~, General Manaier James R. Jones, President BOARD MEMBERS Paul Sauto, Assistant Mana~er Eric W. Schafer, Vice President Duane Wallace, Director <N ,.... . . ..,'.__ '_'" _,', ',"._, _.." ..". ,."".. ... ',_"" Mary Lou Mosbacher, Director ,- ,",' "",. ..... .."... , Tom Comte, Director ., .., . "..", ,., '. .. REGULAR MEETING OF THE BOARD OF DIRECTORS SOUTH TAHOE PUBLIC UTILITY DISTRICT MARCH 4, 2004 MINUTES The Board of Directors of the South Tahoe Public Utility District met in a regular session, March 4,2004,2:00 P.M., City Council Chambers, 1900 Lake Tahoe Boulevard, South Lake Tahoe, California. BOARD OF DIRECTORS: President Jones, Directors Wallace, Schafer, Comte, Mosbacher. ROLL CALL STAFF: Solbrig, Sharp, McFarlane, Sciuto, Cocking, Thiel, Brown, Hoggatt, Bird, Attorney Kvistad. Consent Item a. was brought forward for discussion prior to Board action. CORRECTIONS TO THE AGENDA OR CONSENT CALENDAR Moved Mosbacher I Second Comte I Passed Unanimouslv CONSENT CALENDAR to approve the Consent Calendar as amended: a. See Consent Items Brought Forward; b. Approved Regular Board Meeting Minutes: February 5, 2004; c. Approved Regular Board Meeting Minutes: February 19, 2004. REGULAR BOARD MEETING MINUTES - MARCH 4, 2004 PAGE - 2 CONSENT ITEM BROUGHT FORWARD FOR DISCUSSION I ACTION Director Mosbacher received clarification regarding costs associated with downsizing the design for the well. Moved Schafer I Second Wallace I Passed Unanimouslv to approve increase to Purchase Order for electrical consulting services from DTN Engineers, Inc., in the amount of $4,480. ELKS CLUB WELL CONTROL BUILDING (Consent Item a.) Linda Brown explained the District's surplus property program. Since auctioning the equipment (mostly computers) was not profitable, the surplus equipment is now donated to many local groups. The recipients are very appreciative. The building committee continues to work with the architect toward the completion of final construction drawings and specifications. The project will go out to bid soon and will be bid in separate phases for sitework, building construction, final grading and paving, and landscaping. This will improve the overall project schedule and will allow smaller, local contractors to bid on the work and improve bid prices. Building construction will begin in late July or August, after the sitework is completed. District crews will demolish the sludge tanks and control building; the concrete will be recycled. The original project cost estimates were based upon expanding and remodeling the existing building. Since then, a structural analysis of the building concluded a new building would cost less than making all the improvements needed in the existing building. The project now includes a two-story customer service facility, and an adjacent one- story operations, laboratory, and emergency operations facility. The construction cost estimates are $4.4 million for the two-story building, and $3.2 million for the one- story building. REPORT: SURPLUS PROPERTY DONATION PROGRAM REPORT: CUSTOMER SERVICE, OPERATIONS AND LABORATORY FACILITY STATUS REPORT ITEMS FOR BOARD ACTION In conjunction with the STAR Community Ballfields project, the District completed an access road to AI Tahoe Boulevard in 2002 and related intersection AL TAHOE ACCESS ROAD REGULAR BOARD MEETING MINUTES - MARCH 4, 2004 PAGE - 3 improvements in 2003. The road is located on District property except for the last 50 feet, which is on CTC (California Tahoe Conservancy) property. In order to facilitate a property transfer with the City, staff recom- mended altering the existing property lines so that all the access road is located on District property. Upon Board approval, a property exchange would be executed with the City, transferring the access road property to the City in exchange for City right-of-way on Meadow Crest Drive. Moved Comte I Second Mosbacher I Passed Unanimously to: (1) Authorize execution of Lot Line Adjustment Agree- ment with California Tahoe Conservancy; and (2) Authorized staff and legal counsel to make minor modifications to the agreement if necessary. Moved Wallace I Second Schafer I Passed Unanimously to approve payment in the amount of $1,206,780.73. Staff received notification of an existing lawsuit in which the District has been named as a defendant in an eminent domain proceeding. The lawsuit was served subsequent to the regular Board meeting agenda being posted. Moved Mosbacher I Second Comte I Passed Unanimously to add the Complaint of Eminent Domain to the agenda as Closed Session Item f. Finance Committee: The committee will meet March 10 and 11. Water and Wastewater Operations Committee: The committee met March 1. Minutes of the meeting are available upon request. AL TAHOE ACCESS ROAD (continued) PAYMENT OF CLAIMS ADDENDUM TO THE AGENDA: COMPLAINT OF EMINENT DOMAIN BOARD MEMBER STANDING COMMITTEE REPORTS Director Jones reported on his attendance at the ACWA BOARD MEMBER REPORTS conference, which was held in Washington, D.C. Jones, along with Dennis Cocking, and the District's Washington, D.C. representatives had several beneficial meetings with key legislators and representatives. They also met with a coalition formed to protest the passage of MTBE safe harbor language in the energy bill. REGULAR BOARD MEETING MINUTES - MARCH 4, 2004 PAGE - 4 Director Wallace reported some of the public are under the impression the high cost of gasoline in South Lake Tahoe is retribution from the oil companies for the District's MTBE lawsuit. He suggested the District Information Officer publicize that there is no correlation between the lawsuit and high prices. Gas prices are high across the nation, not just in South Lake Tahoe. Water Conservation Ad Hoc Committee: The committee met March 4 and reviewed a water conservation ordinance. Stakeholders have made it clear they want the District to make water conservation rules permanent--- rules that do not change year-to-year according to water conditions. The City will look into the feasibility of using artificial turf on their new ballfields. Director Wallace reported a forum, sponsored by Assemblyman Leslie and Senator Feinstein, will be held March 13 to begin developing a Lake Tahoe Basin- wide community wildfire protection plan. Some of the District's Board members and staff will attend. It is important to relay the concern that the Healthy Forest Restoration Act of 2003 may impact the District's facilities- if the forest cannot be thinned around them, a wildfire could destroy them and there would be no facilities left to fight fires with. Director Schafer reported on three items: 1) There was an article in the Sacramento Bee about sewer fees and connection fees being raised significantly. 2) Nearly 45% of East Bay MUD's workforce will be eligible to retire next year. They instituted a mentoring program for senior employees to work with younger employees to develop them to apply for more qualified jobs within the District. 3) He reported on his attendance at the CASA conference and listed the main topics of discussion. General Manaaer: Richard Sol brig reported on four items: 1) He gave an update on the B-line Phase 3 project. 2) Sorensen's Resort has requested they be allowed to discharge into the District's sewer system. Alpine County must approve of this first, since the District's agreement is with the County. 3) He is working with the California Tahoe Conservancy on legislation that will be introduced by Assemblyman BOARD MEMBER REPORTS (continued) BOARD MEMBER AD HOC COMMITTEE REPORTS GENERAL MANAGER I STAFF REPORTS REGULAR BOARD MEETING MINUTES -MARCH 4, 2004 PAGE - 5 MEETING BREAK ADJOURNED TO CLOSED SESSION RECONVENED TO REGULAR SESSION ACTION / REPORT ON ITEMS DISCUSSED DURING CLOSED SESSION Leslie regarding grant funding issues pertaining to erosion control projects. 4) The District's large propane tank has been donated to Carson Tahoe Hospital for them to use as backup for their system. Assistant Manaoer: Paul Sciuto reported on two items: 1) He gave an update on the Bakersfield Well treatment system. 2) He reported on the details of the February 24 sewer overflow, caused by a clog in an 8-inch line. Land Application Manaoer: Hal Bird reported on the Alpine County election results. 3:55 - 4:00 P.M. 4:00 P.M. 5:00 P.M. GENERAL MANAGER/STAFF REPORTS ( continued) No reportable Board action. No reportable Board action. No reportable Board action. Pursuant to Government Code Section 54956.9(c)/Conference with Legal Counsel - Anticipated Litigation: Pioneer Trail Waterline Replacement Near Filter Plant Pursuant to Government Code Section 54956( a )/Conference with Legal Counsel - Existing Litigation: STPUD vs. ARCO et. aI., San Francisco County Superior Court Case No. 999128 Pursuant to Government Code Section 54956(a)/Conference with Legal Counsel- Existing Litigation: STPUD vs. F. Heise Land & Live Stock Company, Inc., William Weaver, Eddie R. Snyder, Crockett Enterprises, Inc., CIV S-02-0238 MLS JFM United States District Court for the Eastern District of California. Sacramento. CA REGULAR BOARD MEETING MINUTES - MARCH 4, 2004 PAGE - 6 No reportable Board action. Pursuant to Government Code Section 54956.9(a)/Conference with Legal Counsel - Existing Litigation re: Meyers Landfill Site: United States of America vs. EI Dorado County and City of South Lake Tahoe and Third Party Defendants, Civil Action No. S-01-1520 LKK GGH, United States District Court for the Eastern District of Ca. No reportable Board action. Pursuant to Government Code Section 54957.6(a)/Conference with Legal Counsel- Existing Litigation: STPUD vs. Lakeside Park Assoc., et aI., County of EI Dorado, Superior Court Case No. SC20010165 No reportable Board action. Pursuant to Government Code Section 54956.9(a)/Conference with Legal Counsel - Existing Litigation: People of the State of California vs. Tahoe Valley Center, et aI., County of EI Dorado, Superior Court Case No. PC20040050 5:00 P.M. 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