HomeMy WebLinkAbout1990-08-06 Min - Board REGULAR MEETING
August 6, 1990
The regular meeting of the Board of Directors of the Truckee Donner
Public Utility District was called to order by President Maass at
7: 08 P.M. in the TDPUD Board Room.
ROLL CALL: Directors Joe Aguera, John Corbett, Richard Curran, Pat
Sutton and Jim Maass were present.
EMPLOYEES PRESENT: Mickey Camara, Sue Felce, Mary Chapman, Andy
Hyde, Tom Buckhouse, Debi Black, Peter Holzmeister and Susan Craig.
CONSULTANTS PRESENT: Counsel John M. Phelps.
OTHERS PRESENT: Among those present in the audience were James
Shelby, Dick VanLandingham, Mary Blanton and Scott Andre.
PRESENTATION OF JOURNEYMAN LINEMAN CERTIFICATE
Manager Holzmeister introduced James Shelby, Director of
Apprenticeship Standards, Certificate Program, State Department of
Industrial Relations.
Mr. Shelby congratulated Michael Camara for completing the
Journeyman Lineman Apprenticeship Program. He presented Mr. Camara
with a certificate and encouraged him to set goals for the future
and study to achieve them. The Board of Directors also offered Mr.
Camara congratulations.
STATUS OF THE GENERAL MANAGER
The Chairman advised that Directors Curran and Sutton requested
this agenda item.
Director Curran noted that when he first became a Director, Mr.
Maass was in the process of a study. The results were that there
was a problem with employee morale and a few other things. The
problems and an action to take were determined and agreed to by all
but one Board member, Director Curran said. Later, he and Director
Sutton decided to get the employees together and talk regarding a
new structure for the employees. Director Sutton clarified that
she and Director Curran were appointed to a committee for the
purpose of studying the organization of the District and making
recommendations.Ordinarily, Director Curran said, development of an
organizational chart would be the manager's job, but because of a
few things that had happened, he and Director Sutton became
involved.
Director Curran advised that a lot of things came out during the
committee' s study. Conclusions were shared with the rest of the
Board and later down the line it was decided to terminate the
Manager. He said the last closed session was not a meeting to
terminate Mr. Holzmeister, but rather a meeting to select the
wording for a letter to present to him. At that time, certain
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Director Maass issued a challenge to the community to see Director
• Sutton in action - whether she was a man or a woman; he challenged
them to read the minutes. He said Director Sutton does not
interfere with staff by coming down to the office or by making
calls, but has generated a tremendous amount of work by placing
numerous things on the agenda and requesting things that take a
tremendous amount of time. . . in essence, trying to manage the
District. He challenged the community to watch Mrs. Sutton in
action. He said if they did, they would draw the same conclusions,
and said it has nothing to do with being a male or female.
Director Sutton noted she'd like to see this entire statement in
the paper and said her intuition was right on the mark. Director
Maass again invited the people of Truckee to come and watch.
Director Maass stated that the time has come for at least one
Director to stand up to Pat Sutton, the obstructionist. He said
she's created so much work there isn't one single item that she
doesn't have some sort of comment on. Director Sutton said she
doesn't believe there's anything improper about that and said
she'll stand responsible for any question she's asked or made staff
answer. She said she believes it's part of the role of a Director
who is elected to represent the voters' interests.
Director Maass stated that a Director is elected to represent the
people's interests; when a Director moves beyond that scope and is
directing management to manage, he finds that numerous items get
. bogged down because there' s one Director who seems to ask for
tremendous amounts of work. He said Director Sutton seems to be
obstructing a good deal of the District' s work.
Director Corbett said it's not a Director' s job to berate staff and
try to make them guilty when they're doing a good job. He said he
feels District staff is made up of competent professionals and he
doesn't feel Director Sutton gives staff the respect they deserve.
Director Maass again issued a challenge to the Truckee community.
He said he knew what would happen when they watched Director Sutton
in action - they wouldn't vote for her. Director Sutton responded
that that' s the way the system works. Director Maass said the
Board has to rise up and make sure the District gets the job done;
in essence, by looking over the manager's shoulder. He said the
Board has to let the Manager manage and return to the policy
setting it should be doing.
Director Sutton said the Board has legislative and administrative
functions - and sometimes judicial functions - for which it's
responsible; there's some confusion about who is responsible for
what and evidence of this in the packet tonight. She said that in
Director Maass' memo concerning job descriptions he says, "I do not
want to belabor and discuss the job descriptions at length because
it is really a management issue. " She said she believes it's
actually a legislative function and hiring of employees is an
administrative function which has been delegated to the Manager.
She said there are things the Board cannot delegate, and that's
part of the conflict.
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Director Maass said he doesn't believe Director Sutton trusts
people. In closed session he said she accused him of keeping
things off the agenda she felt should be there; he assured her that
he did not. Secondly, he said he told Director Sutton about the
NCPA dedication of the power plant on the Toulomne River to Martin
McDonough which he attended. He stated that the first thing
Director Sutton said was, "why wasn't I told; I 'd have been there. "
Director Maass said he didn't know until he opened the brochure.
He said she sometimes feels left off the list - in most instances
she' s fabricating things that aren't true. Director Sutton said
she would have a few things to say during closed session.
MANAGEMENT SALARY ADJUSTMENTS - OFFICE MANAGER, DISTRICT,
ELECTRICAL ENGINEER, DISTRICT CIVIL ENGINEER, EXECUTIVE SECRETARY
This matter was put over until after closed session at the request
of the Manager.
CONSIDERATION OF JOB DESCRIPTIONS
Director Sutton said she thought it had been decided at the July 16
meeting to conduct a budget workshop and place consideration of the
job descriptions on the same agenda.
Director Corbett moved that the Board accept the job descriptions
as presented.
S Director Sutton said the Manager of the District entered into
discussion with the Union having to do with this matter prior to
presenting the revised descriptions to the Board. She said she
believes the Manager can only negotiate with the Union as the agent
of the Board and cannot do so independently. She stated she
believes the job descriptions should have come to the Board prior
to going to the Union. She said there are several things she' s
concerned about which were mentioned at the last meeting.
Mr. Holzmeister responded to the questions posed by Director Sutton
at the July 16 meeting.
1. In various job descriptions there is a reference to
number of years experience. How was the number of years
determined? By the level of responsibility within the
organization. In some cases it's a combination of
education and experience; some positions were judged to
be unique and were handled that way; some entry level
positions require no initial skill so only the ability to
learn is called for.
2 . Why are the Technical Services Foreman and Purchasing
Agent/Warehouse Foreman job descriptions included in the
packet? Because they are bargaining unit positions and
the District has a commitment to the Union to maintain
them.
• 3 . Why do the job descriptions allow the driver' s licenses
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to be obtained after being hired? Since a driver's
license is easy to obtain, it would be unreasonable to
refuse to consider a person for a position simply because
of lack of a driver's license. Therefore, the job
descriptions were written to require the license within
a reasonable period of time.
4. Why was the reference to District policy removed from the
job descriptions? Doesn't that make the descriptions
generic? Requiring that an applicant know the District' s
policies on the date of hire unreasonably restricts
eligibility. The policies can be learned on the job and
are part of the orientation of a new employee. The
District is seeking to promote, transfer or hire persons
with the generic job skills, not knowledge of specific
skills.
Director Aguera noted there are some questions he'd like answered.
Should the Board look into the job descriptions a little closer?
Is it the responsibility of the Board? Perhaps they should be
discussed at the workshop meeting as previously decided.
Manager Holzmeister noted that the District is required to maintain
current job descriptions for all employees. This could be
delegated to the General Manager; another approach is to bring them
to the Board for adoption. It comes down to the issue of what the
Board is going to do and what's going to be delegated to the
Manager. Mr. Holzmeister reviewed the procedures he followed prior
to bringing the drafts to the Board.
Director Curran seconded the motion to accept the job descriptions.
Director Sutton noted that many of the job descriptions state that
physical exertion is part of the job and the District doesn't have
a basis for judging the physical capabilities of a person to fill
the job. She said it's becoming common for public agencies to
establish physical parameters and to test people prior to placing
them in positions. Civil Engineer Hyde commented that the
District's in the process of getting a handle on this; the latest
appointments in the Water Department required a physical and the
apprenticeship agreement has a related section. Director Sutton
stated that, if staff is doing this, they're setting policy
affecting hiring; staff should not and does not have the power to
make policy that, in fact, could be discriminatory against people.
She said it should come to the Board - the Board has the
responsibility for policy otherwise the District is out on a limb.
The Chairman said he didn't think it was policy issuebut rather a
management responsibility to go out and hire people and to run the
District. He noted that no judge or jury would rule in favor of a
person who was an amputee to work in the Electric Department
' the District is
power pole. He
said he doesn't believe
climbing a p
in jeopardy; the laws are designed to protect those that are truly
disabled. That's management's job, he said.
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Director Curran noted that job descriptions are simply a broad
. report of what is generally done in a position; they aren't
specific and don't cover everything a person does; also he noted
that they can be changed. Director Sutton said the District can
get into difficulties when employees do things that aren't in their
job descriptions. Physical testing should be part of the package
and she requested that the Board take the responsibility for
including it. She went on to say that hiring policies are just as
important as firing policies and over the years the District has
not been fair in some of its practices for low-level people.
ROLL CALL vote on the motion to accept the job descriptions as
presented: Directors Aguera, Corbett, Curran and Maass, aye;
Director Sutton, no, stating that the descriptions should show
other items of importance. SO MOVED.
Director Sutton said that receiving the meeting packet at 5: 00 P.M.
on the Friday before meetings does not give her adequate time for
review as she does not want to spend the entire weekend reading PUD
material. She asked how the drafts were changed. Mr. Holzmeister
said the word "California" was deleted, as a person can only have
one license at a time. Four or five descriptions had minor word
changes; in one, the statement about physical exertion had been
forgotten. Mr. Holzmeister said that the last draft included
changes resulting from the meeting with the Union.
. PUBLIC INPUT
There was no public input.
CONSIDERATION OF INDEMNIFICATION AGREEMENT WITH NEVADA COUNTY
REGARDING DISBURSEMENT OF SURPLUS SANITARY ASSESSMENT DISTRICT
FUNDS
Mr. Holzmeister advised that the audit report commissioned by the
County concludes that $25, 000 in surplus funds is available to the
PUD relating to SAD 2 and SAD 4 . SAD 2 is clearly within the
District; SAD 4 is not. The indemnification agreement relates to
SAD 2 .
Director Sutton asked why the funds are not returned to the
property owners. Counsel Phelps advised that the original bonds
were issued under the Municipal Improvement Act of 1913 , Section
10427 of the Streets and Highway Code. When there' s a surplus of
funds one of the following actions can be taken:
1. If under $1, 000, it can be placed in the general fund.
2 . If over $1, 000, it can be applied as a credit to future
assessments or it can be used to maintain the
improvements it was collected for in the first place.
Director Corbett moved that President Maass be authorized to sign
the indemnification agreement and that the funds be placed in a
restricted fund for use in SAD 2 ; seconded by Director Aguera.
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Director Sutton requested it be a separate agenda item so people
• are aware of pending action by the Board. The agenda says simply,
"indemnification agreement;" it doesn't include other action. The
Chairman noted that the Truckee Sanitary District is waiting for
its allocation in the amount of $900,000 and this action is
necessary for them to receive their funds.
ROLL CALL vote on Director Corbett's motion: all Directors, aye.
SO MOVED.
Director Sutton moved that an item relating to surplus funds for
use in SAD 2 be placed on the next agenda; Director Curran seconded
the motion. ROLL CALL: Aguera, Corbett and Maass, no; Curran and
Sutton, aye. MOTION FAILED.
REVIEW OF BUDGET; AUTHORIZATION TO SCHEDULE PUBLIC HEARING
Manager Holzmeister explained how the budget is organized and noted
there are two self balancing funds. It is, he said, a plan that
helps compare operations with what was anticipated. Even though
the budget is late, other planning has been occurring - the mission
statement, organizational chart, resolution of internal planning
procedures (the Glenn M. Reiter analysis) and Tahoe Donner leak
analysis.
Based on the draft budget, Mr. Holzmeister noted, the electric
• revenues are sufficient. He is recommending an increase in rates
for the Water Department, probably 18%. NCPA is currently doing a
rate study (on water as well as electric) and he suggested waiting
until it's completed before raising the water rates so the
structure is proper.
Mr. Holzmeister discussed some major cost items such as direct
labor, fringe benefits, wholesale power and pumping costs, which
equal 84% of the total budget.
Director Corbett said he thinks it' s a very good budget and sees no
need for a workshop.
Director Curran moved that a public hearing be scheduled for the
next meeting at 7: 30 P.M. ; Director Aguera seconded the motion.
All Directors, aye. SO MOVED.
REVIEW OF AUDIT PROPOSALS
Chairman Maass asked that the Directors be provided with a copy of
the law saying elected Boards cannot ask for dollars and cents in
proposals from consulting firms. Counsel Phelps researched the
matter and noted that the law applies to engineers, architects and
environmental consultants only; it does not apply to auditing
firms.
Four proposals for the audit were received and Mr. Holzmeister
. provided his analysis of the qualifications based on the criteria
included in the RFP.
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Director Corbett stated that he is impressed with McClintock
• Accountancy. Director Sutton indicated surprise that Deloitte &
Touch submitted a proposal since it was the Board' s desire to
change firms every few years. She said she'd like to have Arthur
Andersen. Director Maass said he has no problem with Arthur
Andersen or McClintock; he also is in favor of changing firms every
few years. Director Aguera favored Grant Thornton out of Reno.
The Chairman put the matter over to the next regular meeting.
NEPOTISM POLICY; DISCUSSION AND CLARIFICATION
Director Curran requested this item. He noted that, in his
opinion, when two people are living together and one is the
Manager, then a potential conflict of interest exists. Whether
real or implied, it remains that it has created a problem. The
District has a policy; Director Curran said he thinks it's a good
one, but it's not being implemented and there should be an
explanation as to why it's not being implemented.
Director Sutton asked what the plan is from the standpoint of
expanding the policy to include employees that are less than
management level. Should the Board proceed if it' s not interested
in enforcing it? The Board directed that the Chairman enter into
discussion with the Union regarding some form of the policy for
application to Union employees.
. Director Maass moved that the nepotism policy applicable to
management employees be placed on the next meeting agenda for
rescission; seconded by Director Corbett. ROLL CALL: Directors
Aguera, Corbett and Maass, aye; Directors Curran and Sutton, no.
SO MOVED.
SENIOR CLERK ASSIGNMENTS - WATER TESTING
Director Corbett said it' s his opinion that assignment of work is
a management decision.
Director Sutton reminded the Board that the question came up at the
last meeting because Andy Hyde indicated a bad sample could be
caused by improper handling. Then Director Sutton asked about the
proper qualifications for taking samples. The memo written
responding to her questions, she said, indicate the sender' s belief
that it's none of her business. She said she doesn't presume to
decide who takes samples, but thinks it becomes of interest to the
Board when the Engineer indicates bad samples have been taken.
Director Maass noted that Director Sutton' s allegation should be
noted as being untrue as Mr. Hyde didn't say that. Director Sutton
said she also heard the statement at a Water Committee meeting from
Mr. Hyde. She noted that the "things to do list" asks Mr. Hyde to
provide a report for the next agenda answering her questions about
what job classifications should be responsible for taking water
samples and when a change was made. Mr. Hyde responded that the
assignment of this duty was done by him late last winter or in the
s
early spring after observing the difficulty that the sampling was
• causing for the Water Department staff. He said the clerks in
Engineering are capable of taking the samples; one is a certified
water operator and the other has registered to take the next
available certification exam. This makes the clerks better
informed on water quality issues and more aware of conditions
within the system, thus they are better able to deal with inquiries
from customers about the quality of the District's water.
Director Corbett moved the agenda.
CONSIDERATION OF A REQUEST FOR INFORMATION FROM THE PLANNING FOR
TOMORROW IN TRUCKEE COMMITTEE
The letter from the Planning for Tomorrow in Truckee Committee asks
the PUD, as well as all other Districts, to present information at
a meeting to be held later this month. Some of the information
requested is factual data; other is opinion or policy.
The Board agreed that the Manager should make a presentation
relating to the history, scope of activities, territory served, who
is and is not served, the sphere of influence, how the Board is
elected, how Directors are nominated, plans for the future and
powers of the District to perform other services using visual aids,
and also provide a one page written summary. The Chairman asked
that the Manager emphasize the difference between "rate payers" and
. "tax payers. "
Director Sutton asked that the Directors be advised by mail of the
meeting date as soon as possible.
DIRECTION REGARDING DRAFT MINUTES OF JULY 16 AND JULY 23, 1990
Directors Corbett and Sutton suggested corrections to the draft
minutes of July 16, 1990. Thereafter, Director Corbett moved that
the minutes of the special meeting of July 16, the regular meeting
of July 16 and the special meeting of July 23 , 1990 be approved as
corrected. The motion was seconded by Director Aguera. All
Directors, aye, by voice vote. SO MOVED.
CORRESPONDENCE
There was no correspondence discussed by the Board.
BILLS FOR APPROVAL
Director Sutton moved, and Director Aguera seconded, that the bills
presented for consideration be approved for payment. All
Directors, aye, by voice vote. SO MOVED.
STAFF REPORTS
A copy of the Staff Report has been made an attachment to these
. minutes.
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Financial Report
Mr. Holzmeister briefly reviewed the financial report for the first
six months of 1990 consisting of the investment report, statement
of general fund, electric and water balance sheets and electric and
water income statements and noted that, notwithstanding the budget
delay and his recommendation for an increase in water rates, the
District is in excellent financial condition.
Office Manager Chapman stated she did not believe the $70, 000
refund from Sierra Pacific received during July had been included
and said it would be listed separately in the next report. She
said other extraordinary gains were explained by memo in the last
staff report and indicated she would provide the same information
in the future.
TDPUD hosting of NCPA commission meeting during 1991
Director Maass expressed interest in the District hosting an NCPA
commission meeting during 1991. Mr. Holzmeister said it would be
beneficial to do so as it would increase the PDD's visibility
within NCPA. Also, he said staff would enjoy the opportunity.
Director Corbett moved that authority be given to host an NCPA
commission meeting during 1991; seconded by Director Aguera. All
Directors, aye, by voice vote. SO MOVED.
iIBEW proposal of a ten-hour, four-day work week
Jack Osburn, Business Representative of IBEW, Local 1245, has
written a letter proposing a ten-hour, four-day work week for
certain Water Department personnel. Mr. Holzmeister circulated the
letter among some of the management staff and they have expressed
some reservations regarding the proposal.
Director Sutton noted this type of work week could be beneficial to
some of the clerical employees. It would help people be able to do
things in their lives that are important to them, although it would
make management more difficult.
Mr. Holzmeister indicated he would continue to evaluate the matter.
Status of Glenn M. Reiter study
Gregg Lowry visited Truckee on July 30 and 31 to assist in
restructuring the work order system and assist with the format for
the 1991 budget. Mr. Holzmeister said an important development in
the process is the refocusing of the budget from REA financial
reporting back to the cash flow budget he first designed. He
stated that the cash flow budget will be significantly improved by
centering it on productivity measures found in work orders.
organizational renewal
Mr. Holzmeister indicated staff and consultants are developing a
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plan to correct the problems discussed at the last meeting relating
• to the effect of Tahoe Donner leaks on the productivity of the
Water Department.
CLOSED SESSION
The meeting was adjourned to closed session at 9: 20 P.M. for the
purpose of discussing pending litigation, personnel matters, and
the Union's proposal in accordance with Government Code Sections
54956.9 (c) , 54957 and 54957. 6.
RETURN TO PUBLIC SESSION
The Board returned to public session at 11:01 P.M.
MANAGEMENT SALARY ADJUSTMENTS - OFFICE MANAGER, DISTRICT ELECTRICAL
ENGINEER, DISTRICT CIVIL ENGINEER AND EXECUTIVE SECRETARY
There was some discussion of the ICMA deferred compensation plan
available to the management employees in lieu of the District's
pension plan. Currently the District contributes 8% of the
management employees' salaries to this plan. It was noted these
funds are not available to an employee until separation from the
District and should be considered a benefit.
The Chairman indicated paragraph three of the draft resolution
• (stating that a cost of living increase for management employees
will again be considered for the 1991 calendar year) should be
eliminated.
Director Corbett moved, and Director Curran seconded, that
Resolution No. 9030 effecting a compensation adjustment for certain
management employees be adopted. ROLL CALL: all Directors, aye.
SO RESOLVED. It was noted that the Office Manager, District
Electrical Engineer, District Civil Engineer and Executive
Secretary are to receive a 4% wage increase retroactive to January
1, 1990.
Director Corbett moved that Office Manager Chapman's salary be
temporarily upgraded an additional 10% for the extra duties she's
now performing. The motion was seconded by Director Curran. All
Directors, aye, by voice vote. SO MOVED.
ADJOURNMENT
There being no further business before the Board, the meeting was
adjourned at 11: 17 P.M.
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
J mes A. Maass Pr ident
Prepared by .
Susan M. Craig, Deputy District C1
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