2004 09-16SOUTH TAHOE PUBLIC UTILITY DISTRICT
"Basic Services for a Complex World"
Richard S0!bri~l,.GeneraI Mana~ier ..........................pau! Sciut0' A~istant .Mana~ler
James R. Jones, President BOARD MEMBERS Eric W. Schafer, Vice President
Duane Wallace, Director Mary Lou Mosbacher, Director Tom Comte, Director
REGULAR MEETING OF THE BOARD OF DIRECTORS
SOUTH TAHOE PUBLIC UTILITY DISTRICT
SEPTEMBER 16, 2004
MINUTES
The Board of Directors of the South Tahoe Public Utility District met in a regular session,
September 16, 2004, 2:00 P.M., City Council Chambers, 1900 Lake Tahoe Boulevard, South Lake
Tahoe, California.
BOARD OF DIRECTORS:
President Jones, Directors Schafer, Comte, Mosbacher,
Director Wallace was absent.
ROLL CALL
STAFF:
Solbrig, Sharp, McFarlane, Sciuto, Cocking, Bird, Hoggatt,
Henderson, Thiesen, Thiel, Frye, Attorney Kvistad.
GUESTS:
Feldman Shaw LLP representative.
Consent Item e. (B-line Export Pipeline Replacement
Project) change order to Cox & Cox - the amount was
changed to $270,000 (instead of $250,000).
CORRECTIONS TO THE AGENDA
OR CONSENT CALENDAR
Consent Item g. (Sierra Shores Sewer Main) was brought
forward for a separate vote due to a potential conflict of
interest.
Moved Schafer / Second Comte / Wallace Absent /
Passed to approve the Consent Calendar as amended:
CONSENT CALENDAR
' REGULAR BOARD MEETING MINUTES- SEPTEMBER 16, 2004 ' PAGE- 2
Final Effluent Motor No. 1 - Approved payment to
All Electric Motors for repairs in the amount of
$15,486.23;
CONSENT CALENDAR
(continued)
b. Replace Crane (Truck 27) - Authorized staff to
advertise for bids for a new 15-ton crane;
Customer Service, Operations and Laboratory
Facility - Approved Change Order No. 1 to Garcia
Excavating and Paving in the amount of $12,270.55;
Customer Service, Operations and Laboratory
Facility - Approved Task Order 3-A to Smith Design
Group in the amount of $21,918.42;
B-line Export Pipeline Replacement: Phase 3 -
Approved Change Order No. 2 to Cox & Cox
Construction, Inc., to work overtime on Fridays and
Saturdays through the remainder of the project in an
amount not to exceed $270,000;
Temporary Help for Engineering - Approved extending
the contract of a temporary employee through
November 2004, from Substitute Personnel & Business
Services, in an amount not to exceed $13,600;
g. See Consent Items Brought Forward;
h. Approved Regular Board Meeting Minutes:
August 19, 2004.
CONSENT ITEMS BROUGHT FORWARD FOR ACTION I DISCUSSION
Director Schafer disqualified himself from participation
in this item due to a potential conflict of interest - his
spouse is employed by Feldman Shaw LLP, a law firm
of the project's developer. He left the room while this
item was being discussed and voted on.
SIERRA SHORES SEWER MAIN
(Consent Item g.)
Sierra Shores, Inc., is developing a residential project
at Takela and Lake Tahoe Boulevard. As part of the project,
the developer must relocate a portion of the sewer main to
avoid interference with new residences being constructed.
As part of this work, the sewer main must also be
relocated on two adjacent parcels owned and approved by
the California Tahoe Conservancy (CTC). The CTC and
Sierra Shores will grant the District a new easement over
their respective properties. Sierra Shores will enter into
'REGULAR BOARD MEETING MINUTES- SEPTEMBER 16, 2004 3
a construction agreement with the District for relocating
the sewer main and to pay for all related costs and
expenses. The agreement requires Sierra Shores to main-
tain a performance bond for one year to guarantee
correction of any defects in construction and to dedicate
the new sewer main facilities to the District.
Moved Comte / Second Mosbacher / Schafer Abstained /
Wallace Absent / Passed to approve the Easement Agree-
ment for Public Sewer and Sewer Main Construction
Agreement for relocating one of the District's sewer mains
to allow construction of a residential project being
constructed by Sierra Shores, Inc., with final terms
subject to approval by staff and legal counsel.
PAGE-
SIERRA SHORES SEWER MAIN
(Consent Item g. - continued)
President Jones presented Chief Financial Officer,
Rhonda McFarlane, with a plaque for the 9th annual
CAFR report. District staff members were acknowledged
for their contributions to the report. McFarlane
stated the District recently received the highest bond
rating possible - a AA credit rating.
PRESENTATION: Government
Finance Officers Association Award
of Excellence in Financial Reporting
for Comprehensive Annual Financial
Report (CAFR) for the Fiscal Year
Ended June 30, 2003
ITEMS FOR BOARD ACTION
Cox & Cox, the general contractor on the B-line
project, requested the District's approval to substitute
a new welding subcontractor (Bruce Welding) for the
welding subcontractor listed in its bid (ArcMaster
Welding) due to deficient performance. ArcMaster has
consented to the substitution request.
B-LINE EXPORT PIPELINE
REPLACEMENT: PHASE 3
Moved Schafer / Second Comte / Wallace Absent /
Passed to approve substitution of new welding sub-
contractor (Bruce Welding) as a substitute for the
subcontractor indicated in the bid submitted by Cox &
Cox Construction, Inc., (ArcMaster Welding).
The District currently withholds 10% of each progress
payment per provisions of the contract documents for
the project. The law requires the District to hold at least
5% retainage on actual work completed. Cox & Cox
has requested the retention be reduced from 10% to 5%.
Since the project is over 50% complete, the District
may make any of the remaining progress payments in
full for actual work completed, provided that at least 5%
of the contract project has been withheld at that point.
Staff recommended approving this request to expedite
the project.
B-LINE EXPORT PIPELINE
REPLACEMENT: PHASE 3
REGULAR BOARD MEETING MINUTES- SEPTEMBER '16, 2004
Moved Comte / Second Mosbacher / Wallace Absent /
Passed to authorize making the remaining progress
payments to Cox & Cox Construction, Inc., in full for
actual work completed without any further retention,
and pay Cox & Cox that portion of the retention
currently held by the District in excess of 5% of the
current contract amount, as modified by change
orders, in the amount of $57,058.31; provided that
5% retention shall be withheld from any future
increases in the contract amount, if any.
Moved Schafer / Second Comte / Wallace Absent /
Passed to approve payment in the amount of
$1,162,384.17.
Water and Wastewater Operations Committee: The
committee met September 13. A tour of the B-line
export pipeline replacement project was included as
part of the meeting. Minutes of the meeting are available
upon request.
General Mana.qer: Richard Solbdg reported on two
items:
1 ) Alpine County is developing a connection agreement to
present to the District. Insurance issues between the
County and Sorensen's Resort need to be decided upon
before the agreement can be finalized.
2) Heavenly Valley is interested in receiving more water
for snowmaking. They have proposed to make the improve-
ments to the District's delivery system that would be needed
to accommodate increased pumping rates.
Assistant General Mana,qer: Paul Sciuto reported the on
the progress of the B-line Export Pipeline Replacement
Project: Phase 3. To date, 728-feet of pipeline has been
installed. Weekly meetings with the contractor, plus working
overtime and six days per week, are helping to keep the
project on schedule.
President Jones narrated a computerized slide show of
the pictures he took of the project.
District Information Officer: Dennis Cocking reported
on two items:
1 ) He will meet with TRPA's public information officer
(PLO) to discuss how the District can provide input on
Pathways 2007.
PAGE- 4
B-LINE EXPORT PIPELINE
REPLACEMENT: PHASE 3
(continued)
PAYMENT OF CLAIMS
BOARD MEMBER STANDING
COMMITTEE REPORT
GENERAL MANAGER / STAFF
REPORTS
REGULAR BOARD MEETING MINUTES - sEPTEMBER 15, 2004 PAGE
2) Water Conservation Program - The water use for
August was higher than last year's usage. He will talk
to TRPA's PlO about their revegetation requirements
and the amount of water used to comply.
GENERAL MANAGER / STAFF
REPORTS
(continued)
Director Comte reported the agency's September 8
meeting was held in South Lake Tahoe. The agency
has been focusing on SMUD-related issues.
EL DORADO COUNTY AGENCY
WATER PURVEYOR REPORT
3:20 - 3:25 P.M.
MEETING BREAK
3:25 P.M.
ADJOURNED TO CLOSED
SESSION
4:15 P.M.
RECONVENED TO REGULAR
SESSION
"ACTION I REPORT ON ITEMS DISCUSSED DURING CLOSED SESSION
No reportable Board action.
No reportable Board action.
Pursuant to Government Code
Section 54956.9(c)/Conference with
Legal Counsel- Anticipated Litigation
(One Case)
Pursuant to Government Code
Section 54956.9(c)/Conference with
Legal Counsel- Anticipated Litigation:
Pioneer Trail Waterline Replacement
Near Filter Plant
No reportable Board action.
Pursuant to Government Code
Section 54956.9(a)/Conference with
Legal Counsel- Existing Litigation:
STPUD vs. ARCO et al., San
Francisco County Superior Court
Case No. 999128
No reportable Board action.
Pursuant to Government Code
Section 54956.9(a)/Conference with
Legal Counsel- Existing Litigation:
STPUD vs. 1442.92 Acres of Land
in Alpine County, California; et al.,
United States District Court for the
Eastern District of Ca., Sacramento
Division, Case No. CIV S-02-0238
MCE JFM
REGULAR BOARD MEETING MINUTES- SEPTEMBER t6, 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. El 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.
4:15 P.M.
ADJOURNMENT
J~m/e/s R. Jones, Bo/~r~ President
Svo~th Tahoe Publi(~tility District
ATTEST: ~--~.~z~--~/"~ _.~ ~
Kathy Shar~)cC,]erk of the B~ard
South Taho~rPublic Utility District
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