HomeMy WebLinkAbout1994-12-19 Min - Board REGULAR MEETING
December 19, 1994
In accordance with District Code Section 2 08 010 the TDPUD minutes are action only
minutes All Board meetings are recorded on audio tapes which are preserved
perpetually and made available for listening to any interested party pon their request.
The regular meeting of the Board of Directors of the Truckee Donner Public Utility District
was called to order at 7:05 PM in the TDPUD Board Room by President Jones.
ROLL CALL: Directors Joe Aguera, Ron Hemig, Bob Jones, James Maass and Patricia
Sutton were present.
EMPLOYEES PRESENT., Mary Chapman, Susan Craig, Steve Hollabaugh, Peter
Holzmeister, Kathy Neus, Bob Quinn, Ron Reynolds, Dave Rully and Scott Terrell.
CONSULTANTS PRESENT: Attorneys Christina Bark and Steve Gross; Consulting
Engineer Keith Sauers.
OTHERS PRESENT: Derek Adamat, Jeff Hay, Lynn Darrouth-Walton, John Bailey, John
Falk, Harry Smith, Jay Burdeski, Mark Stern, Jim Westfall and Bill Stewart.
WORKSHOP ON THE 1995 BUDGET
The Manager discussed the proposed 1995 budget in general terms. Copies of all
materials are attached to these minutes for reference. The operating revenues and
expenses, funds available for capital and the capital expenses, various sources and major
budget items were reviewed.
CONSIDERATION OF THE DRAFT 1995 BUDGET
President Jones opened the public hearing to consider the draft 1995 budget at 7:20 PM.
Derek Adamat and Jeff Hay expressed concerns as to the proposed change in the
electric rate structure and how it would affect second home owners. It was explained that
R. W. Beck & Associates performed a comparison of District rates and found the PUD
commercial rates substantially higher than those charged by Sierra Pacific. Beck was
then asked to design a rate structure similar to SPPCo's but with lower rates. Sierra uses
a tiered rate structure that has a higher rate for non-permanent residents.
Director Sutton moved that the Board postpone the hearing on the budget until later in
the evening and take up the hearing on the electric rate structure change. MOTION DIED
FOR LACK OF A SECOND.
John Bailey of Tahoe Donner inquired about a cost reduction program for the PUD and
was advised that a 10% reduction is expected in the Electric Department when an
alternative power source is secured. Personnel costs were mentioned; the District is
12/19/94 Page 1
• currently negotiating its Memorandum of Understanding with the Union.
There were no further comments relating to the proposed budget and the hearing was
closed at 7:43 PM.
CONSIDERATION OFA PROPOSAL TO RESTRUCTURE THE DISTRICT'S ELECTRIC
RATES
The public hearing to discuss restructuring of the District's electric rates was opened at
7:44 PM.
R. W. Beck, at the District's request has designed four new rates, one for each customer
classification. The proposed rates are revenue neutral for the District as a whole, for the
permanent residential customers and for the small general service customers. The
proposed medium and large general service rates are reduced such that average
revenues would be equivalent to those collected from Sierra Pacific Powers current rates.
The proposed rates for non-permanent residential customers are increased. The average
bill for a second-home owner would increase by between $6 and $7 per month.
Letters protesting the proposed increase to rates for part-time residents were received
from the home owners of Donner Pines East, the Tahoe Donner Association and Ted
Kalman. Copies are attached to these minutes for reference.
• Jay Hay, Jim Westfall representing the Donner Lake Property Owners Association, Harry
Smith representing the Tahoe Donner Association, and Bill Stewart, General Manager of
Tahoe Donner, expressed the opinion that it is unfair for second home owners to pay
higher rates than permanent residents and some complained that there had not been
sufficient notice of the pending action or its potential impacts.
Lynn Darrouth-Walton, Truckee Librarian, Mark Stem of Dairy Queen and Jay Burdeski
of Tahoe Truckee Lumber Company spoke in favor of the proposed rate structure. Robin
Redman of Capitol Coors thought the majority of permanent residents would benefit from
the new rate structure.
There were no further public comments and the public hearing was closed at 9:00 PM.
PUBLIC INPUT
There was no public input.
PUBLIC HEARING - CONSIDERATION OF A PROPOSAL TO INCREASE THE
DISTRICT'S WATER USER RATES
The public hearing to discuss the proposal to increase the District's water user rates was
. opened at 9:10 PM. The proposed increase raises the domestic flat rate base for water
service by$2.53. Monthly service charges include the base rate plus the cost of pumping
water to homes at various elevations. Elevations are categorized by zones, with home
12/19/94 Page 2
owners in Zone 1 (at lower elevations) paying $4.14 for pumping, and those in Zone 11
(the highest elevation) paying $15.01 for pumping. (Full rates would be $31.75 for Zone
1 and $42.62 for Zone 11.)
John Bailey of Tahoe Donner suggested that the District could save electricity by not
pumping uphill, but by using gravity fed wells. Bill Stewart, General Manager of Tahoe
Donner Association, expressed the belief that it is practical to have a flat rate for water
but the people need to be notified of a pending change.
There were no further comments and the public hearing was closed at 9:27 PM.
WORKSHOP ON THE 1995 BUDGET; POSSIBLE DIRECTION TO AMEND ANDIOR
ADOPT THE BUDGET
This matter was tabled to the next meeting.
CONSIDERATION OF AN ORDINANCE AMENDING THE DISTRICT'S WATER RATES
Director Maass moved, and Director Aguera seconded, that the Board adopt Ordinance
No. 9401 establishing new water rates. When an alternate power source is found, staff
is to investigate and determine whether or not the pumping costs can be reduced. ROLL
CALL: all Directors, aye. SO ORDAINED.
. CONSIDERATION OF AN ORDINANCE AMENDING THE DISTRICT'S ELECTRIC
RATES
Director Maass moved, and Director Hemig seconded, that the Board adopt Ordinance
No. 9402 restructuring the District's electric rates. ROLL CALL: Aguera, Hemig, Maass
and Jones, aye; Sutton, no. SO ORDAINED.
CONSIDERATION OF A POLICY REQUIRING THE INSTALLATION OF
UNDERGROUND ELECTRICAL FACILITIES
At a previous meeting, the Board discussed implementing a policy in favor of
underground electric facilities for new or rebuild construction. A group of land owners
visited the Board and made a presentation regarding their development plans, and the
Board adopted the position, with respect to those land owners, that the policies in effect
on the date they made application would govern.
After some discussion, Director Maass moved that the Board adopt the resolutions
amending the Electric Application for Service Policy, Electric System Construction
Standards and Electric Service Connection Policy. MOTION DIED FOR LACK OF A
SECOND.
• Director Maass moved that it shall be the policy of the District to require all new or rebuild
construction to be placed underground wherever practical. Special circumstances may
dictate undergrounding is not practical and the District reserves the right to determine the
12/19/94 Page 3
. practicality of a project. The draft resolutions are to be placed in final form for
consideration at the January 3 Board meeting. The motion was seconded by Director
Aguera. ROLL CALL: Aguera, Hemig, Maass and Jones, aye; Sutton, no. SO MOVED.
WORKSHOP ON THE DRAFT GROUNDWATER MANAGEMENT PLAN
The consulting engineer highlighted the draft groundwater management plan for the
benefit of the audience and Board. A public hearing on the matter will be held at the
January 3 meeting.
John Falk of the Tahoe Sierra Board of Realtors stated that he is not opposed to AB
3030 (the enabling legislation) but would like to define several matters in the plan. He will
be providing a letter prior to the hearing.
PROSSER WATER SYSTEM IMPROVEMENT PROJECT - CONSIDERATION OF
CONTRACT CHANGE ORDER NO. 5 - CONSIDERATION OF PROGRESS PAY
REQUEST NO. 7
This project is approximately 99% complete with a current completion date of December
31, 1994. The only items left outstanding are painting of the exterior of the Prosser Annex
Tank and steel doors at the Prosser Annex Well and Prosser Heights Hydropneumatic
Station and the placement of the erosion control structure which was part of Contract
• Change Order No. 4. Contract Change Order No. 5 will allow the contractor to come back
next spring when conditions are favorable for outside painting.
Director Maass moved that the Board approve Wunschel & Small's Periodic Estimate for
Partial Payment No. 7 in the amount of $83,040.16 (including a 5% retainage) and
Contract Change Order No. 5 for a time extension of 181 days on the Prosser Water
System Improvement Project. Director Sutton seconded the motion. All Directors, aye, by
voice vote. SO MOVED.
CONSIDERATION OF AMENDMENTS TO THE DISTRICT'S DEFINED BENEFIT
PENSION PLAN
This item was put over as the necessary material was not received from Ron Richardson
and Company.
CONSIDERATION OF A RESOLUTION AUTHORIZING TRUCKEE RIVER BANK TO
HONOR CERTAIN FACSIMILE SIGNATURES
Director Maass moved, and Director Aguera seconded, that the Board adopt Resolution
No. 9445 authorizing Truckee River Bank to honor certain facsimile signatures. ROLL
CALL: all Directors, aye. SO RESOLVED.
CONSIDERATION AND POSSIBLE APPROVAL OF MINUTES OF DECEMBER 5, 1994
• (SPECIAL AND REGULAR MEETINGS)
12/19/94 Page 4
• Director Aguera moved, and Director Sutton seconded, that the Board approve the
minutes of the special meeting of December 5, 1994 as corrected. All Directors, aye, by
voice vote. SO MOVED.
Director Maass moved, and Director Hemig seconded, that the Board approve the
minutes of the regular meeting of December 5, 1994 as presented. ROLL CALL:Aguera,
Hemig, Maass and Jones, aye; Sutton, no. SO MOVED.
CONSIDERATION AND POSSIBLE APPROVAL OF BILLS
Director Maass moved that the Board approve the bills presented for consideration and
authorize staff to transfer out of the Certificates of Participation funds on deposit with the
Local Agency Investment Fund $25 to reimburse the general fund for the Sauers
Engineering charges relating to the SCADA project. The motion was seconded by
Director Aguera. All Directors, aye, by voice vote. SO MOVED.
CORRESPONDENCE
There was no correspondence discussed by the Board.
REPORTS FROM DEPARTMENT HEADS
• Complete copies of the reports from departments heads are attached hereto for
reference.
CLOSED SESSION
Conference with legal counsel, existing litigation between TDPUD and Sierra Pacific
Power Company, two cases, Government Code Section 94956.9(a)
This item was tabled.
Conference with labor negotiator, Peter Holzmeister;employee organization, Local
1245, International Brotherhood of Electrical Workers, Government Code Section
54957.6
Conference with labor negotiator pursuant to Section 54957.6; agency negotiator,
Steve Gross - unrepresented employee, General Manager
The Board adjourned to closed session at 11:12 PM.
RETURN TO PUBLIC SESSION
The Board returned to public session at approximately 11:42 PM. There was no action
. resulting from closed session.
ADJOURNMENT
12/19/94 Page 5
• There being no further business before the Board, the meeting was adjourned at 11:43
PM.
TRUCKEE DON ER PUBLIC UTIL► DISTRICT
Robert A. Jones Pr ent
Prepared by — z _
Susan M. raig, Deputy District Clerk� —
smc
•
•
12/19/94 Page 6