HomeMy WebLinkAbout1991-01-21 Min - Board REGULAR MEETING
January 21, 1991
The regular meeting of the Board of Directors of the Truckee Donner
Public Utility District was called to order by President Aguera in
the TDPUD Board Room at 7 : 02 PM.
ROLL CALL: Directors John Corbett, Richard Curran, Jim Maass, Pat
Sutton and Joe Aguera were present.
EMPLOYEES PRESENT: Andy Hyde, Peter Holzmeister, Tom Edgman, Mike
Connell and Susan Craig.
CONSULTANTS PRESENT: Counsel John Phelps.
OTHERS PRESENT: Karen Climo.
PRESENTATION BY RON RICHARDSON REGARDING DISTRICT PENSION PLAN
Ron Richardson of the Wayne Richardson Company explained issues
relating to the District' s pension plan. Prior to the end of the
year, it will be necessary to give him some direction on investing
the cash assets of the plan and the method of plan valuation.
Currently the pension plan cash is a guaranteed investment contract
with the Hartford Life Insurance Company. The District makes the
decision as to how the funds are invested, and Mr. Richardson said
he would provide a list of investment options in the low-risk
category. Also, he noted that the more interest earned, the less
the District pays. He suggested the PUD modify its plan to
incorporate the projected unit credit method of plan valuation.
There was some discussion, and the Chairman directed that the
matter be placed on a future agenda for action.
PUBLIC INPUT
There was no public input.
CONSENT AGENDA
Approval of minutes in final form as corrected - December 17 , 1990
At the request of Director Sutton, this item was removed from the
consent agenda.
Resolution authorizing call for bids on 31,000 GVW two wheel drive
truck for Water Department
Director Maass moved, and Director Corbett seconded, that the
consent agenda be approved as follows:
. That the Board adopt Resolution No. 9101 authorizing a
call for bids on a 31, 000 GVW two wheel drive truck for
the Water Department. ROLL CALL: all Directors, aye.
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SO RESOLVED.
• Approval of minutes in final form as corrected - December 17 , 1990
Director Sutton noted that Counsel Phelps suggested an amendment to
these minutes, so she felt they should be considered as a separate
item.
Director Maass moved, and Director Sutton seconded, that the
minutes of December 17, 1990 be approved as corrected by Counsel .
All Directors, aye, by voice vote. SO MOVED.
STAFF RECOMMENDATION RE SPECIAL WATER RATE FOR SMALL RESIDENTIAL
DWELLING UNITS
Manager Holzmeister advised that staff discussed the issue of
establishing a special water rate for small residential dwelling
units and was not unanimous in their recommendation. He presented
two options: submitting the concept to John Springer at NCPA for
inclusion into the rate design, or taking an interim step by
postponing implementation of the new rate increase on any dwelling
unit meeting certain criteria. Staff also suggested that
residential water metering be discussed. (Under AB 1600, funds
collected after January 1, 1989 need to be spent within five years
or must be returned or a resolution adopted setting forth why they
couldn't be spent and need to be retained. )
. There was some discussion, and Director Maass said he would like to
see small residential dwelling units be charged a certain
percentage of the flat rate plus the applicable zone charge.
Director Curran was in favor of metering, not just the small units,
but all customers.
Director Maass moved that a public hearing be scheduled for 7 : 30 PM
on February 1, 1991 to discuss the possibility of establishing a
reduced rate for small dwelling units meeting certain criteria;
seconded by Director Corbett. All Directors, aye, by voice vote.
So MOVED.
CONSIDERATION OF CONTRACT WITH GENERAL MANAGER
Director Maass moved that a hearing be set for 8: 00 PM on February
1, 1991 to consider the General Manager's contract and salary;
seconded by Director Corbett. Director Curran noted he' s in favor
of waiting until the union contract is settled before making an
adjustment to the Manager's salary. Also, he said, he thinks the
timing is bad because of the water rate increase effective February
1. Director Sutton abstained, Director Curran voted no; all other
Directors, aye, by voice vote. SO MOVED.
AUTHORIZATION TO PAY CERTIFICATE OF PARTICIPATION
. The principal and interest payment on the certificates of
participation for the District complex is due by February 1, 1991.
Director Maass moved, and Director Curran seconded, that the Board
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authorize transferring by wire the amount of $154, 020. 45 to the
. Bank of America on January 31, 1991. All Directors, aye, by voice
vote. SO MOVED.
CONSIDERATION OF BOND COUNSEL PROPOSAL FROM BROWN & WOOD
Mr. Holzmeister advised that, in order to move forward in a timely
manner with the arrangements for financing for the Tahoe Donner
leak project, the District needs to appoint a bond counsel firm to
review the documents that set up the financing so they can render
an opinion on the legality of the financing and its tax exempt
status. This opinion is necessary to get the financing rated and
sold.
Brown and Wood has provided a proposal for a fee of $45, 000 plus
expenses, less than anticipated by Mr. Holzmeister in his initial
plans. The firm has been working with the PUD since 1985 and has
given the District excellent service, he said.
Director Maass noted that Brown and Wood's proposal is based on the
assumption that the District will issue about $10, 000, 000 of
obligations. He asked the Manager to clarify whether their fee
would be adjusted if the District issues less than that amount.
Director Corbett moved, and Director Maass seconded, that the Board
appoint Brown and Wood as bond counsel to review the documents that
• set up the Tahoe Donner leak project financing and render an
opinion at a cost of $45, 000 plus expenses (the fee to be clarified
by Mr. Holzmeister) . All Directors, aye, by voice vote. SO MOVED.
DIRECTION RE CHANGING ELECTION DATES TO NOVEMBER OF EVEN-NUMBERED
YEARS
Elections Code Section 23302 . 1 allows the governing body of a
special district, by resolution, to require that its elections of
governing board members be held on the same day as the statewide
election. The deadline to submit such a resolution to the board of
supervisors is March 10, 1991. Since the PUD is a multi-county
district, resolutions must be submitted to each county; the
election date change will not be effective if either county denies
the request.
The Directors discussed voter turnout, cost, and the fact that the
terms of all board members would be extended by one year. Director
Maass noted he thinks it's an excellent idea to change the election
dates to even-numbered years as he feels there are too many
elections; also, the voter turnout would be much greater. Director
Sutton recommended waiting to see if the school district changes
their election date before taking any action.
Director Corbett moved that the Manager be directed to prepare a
resolution changing the election dates to November of even-numbered
• years for consideration at the next regular meeting; seconded by
Director Curran. All Directors, aye, by voice vote. SO MOVED.
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CONSIDERATION OF DRAFT MINUTES OF JANUARY 7, 1991
• Director Corbett suggested a correction to the draft and,
thereafter, Director Maass moved that the Secretary be directed to
prepare the minutes of January 7 , 1991 in final form as amended.
The motion was seconded by Director Corbett. All Directors, aye,
by voice vote. SO MOVED.
CORRESPONDENCE
Donner Lake Utility Company
Director Maass mentioned the recent letter from Mr. Williams, owner
of Donner Lake Utility, asking permission to use the PUD's water
system standards. Mr. Holzmeister said he didn't think there would
be any problem with granting his request; the Board agreed and
asked Mr. Hyde to provide Mr. Williams with a copy.
Letters of commendation
Two letters of commendation and appreciation for excellent service
relating to customer water problems were received and noted. one
from Don and Joyce Bennet commending Paul Rose and Sue Felce; the
other from Boyd Paulson written to staff.
BILLS FOR APPROVAL
• Director Maass moved, and Director Corbett seconded, that the bills
presented for consideration be approved for payment. All
Directors, aye, by voice vote. So MOVED.
STAFF REPORT
A copy of the staff report has been attached to these minutes for
reference.
Financing plan for Tahoe Donner leak project
Mr. Holzmeister met with Virginia Horler of Raucher Pierce Refsnes
on January 17. Ms. Horler will prepare a presentation for the next
Board meeting.
Special District Board Management Institute
The Board Management Institute is being held in San Diego in March.
Manager Holzmeister, Directors Aguera and Curran indicated an
interest in attending. Other Directors were encouraged to attend
and should advise the Secretary if they are able to do so.
General Plan Steering Committee
Mr. Holzmeister received an invitation to serve on a panel to
• discuss water issues before the Nevada County General Plan Steering
Committee. He said he will be attending the meeting scheduled for
February 4 in the Truckee Library.
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Water quality report
• The December bacteriological report was included in the packet.
Director Sutton thanked Engineering Technician Black for the
informative memo she provided along with the summary.
Board/Manger Workshop
The second workshop with Bob Rausch is scheduled for Saturday,
February 2 at 9: 00 AM in the PUD conference room. All Directors
said they would be present.
SPPCo agreement
Mr. Holzmeister said he and John Phelps negotiated an extension
with Sierra Pacific so that there would be no need to file suit in
the Glenshire facilities issue. SPPCo agreed to extend the
agreement for one year.
Personnel matters
Director Curran asked about the employee who quit and inquired as
to why the matter wasn't placed on the agenda. The Manager
suggested the matter be discussed in closed session.
CLOSED SESSION
At 8: 36 PM the Board adjourned to closed session for the purpose of
discussing personnel and matters in accordance with Government Code
Section 54957 .
RETURN TO PUBLIC SESSION
The Board returned to public session at 10: 01 PM. There was no
action taken or direction given as a result of closed session.
ADJOURNMENT
There being no further business before the Board, the meeting was
adjourned.
CREE DONNER P BLIC UTILITY DISTRICT
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Prepared by
Susan M. Craig, Deputy District ClerkJ
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