HomeMy WebLinkAbout1999-09-15 Min - Board REGULAR MEETING
September 15, 1999
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 upon their request
The regular meeting of the Board of Directors of the Truckee Donner Public Utility District was
called to order at approximately 7:07 PM in the TDPUD Board Room by President Jones.
ROLL CALL: Directors Joe Aguera, Ron Hemig, Bob Jones, Patricia Sutton and James Maass
were present.
EMPLOYEES PRESENT: Susan Craig, Alan Harry, Peter Holzmeister, Bob Quinn and Ed Taylor,
CONSULTANTS PRESENT: Consulting Engineer Keith Knibb and District Counsel, Steve Gross;
Marty Skeer of RMI.
OTHERS PRESENT: Roger Terneuzen, Chris Hilliard and Steve Wright.
PUBLIC INPUT
There was no public input.
HIGHWAY 267 PIPELINE RELOCATION PROJECT, CONSIDERATION OF CONTRACT
CHANGE ORDER NUMBER 2
Contract Change Order No. 2 on the Highway 267 Pipeline Relocation Project includes two items
for an increase in the contract price of$31,358.92. The first item is the reconciliation of bid schedule
item estimates versus the actual constructed quantities as measured in the field. The second item
is for additional conduits.
Director Maass moved, and Director Aguera seconded, that the Board approve Contract Change
Order No. 2 submitted by Koch Construction for the Highway 267 Pipeline Relocation Project for
an increase of$31,358.92. ROLL CALL: all Directors, aye. SO MOVED.
BROOKSTONE PIPELINE REPLACEMENT PROJECT, CONSIDERATION OF CONTRACT
CHANGE ORDER NUMBER 1
Staff has identified a segment of pipe 180 feet in length on Lausanne Way that needs to be
replaced. This segment of pipe has many leaks. It would cost more to repair the leaks than to
replace the pipeline. S & R Construction has agreed to do this work at contract unit prices without
additional mobilization charges.
Director Hemig moved, and Director Maass seconded, that the Board approve Contract Change
Order No. 1 submitted by S & R Construction in the amount of $19,910 for the Lausanne Way
pipeline replacement. ROLL CALL: Sutton, no; all other Directors, aye. SO MOVED.
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MARTIS VALLEY WELL DEVELOPMENT STATUS REPORT, POSSIBLE ACTION
A test hole was drilled to a depth of 795 feet on the property owned by the Ponderosa Golf Course.
Drilling was stopped at this depth because of the base rock formation that was encountered. The
pump test showed that a maximum yield for a production well at this site would be 300 gallons per
minute. This yield does not warrant further development. The test hole was abandoned and the site
is being restored.
Staff and HIS GeoTrans are currently reviewing all available information to determine the best
potential sites for a well.
Director Hemig moved, and Director Maass seconded, that staff be directed not to exercise the
District's option to purchase the Ponderosa Golf Course land and to notify the property owners of
this decision. All Directors, aye, by voice vote. SO MOVED.
CONSIDERATION OF AN AGREEMENT IN PRINCIPAL BETWEEN THE DISTRICT AND USA
MEDIA
At a recent Board meeting it was reported that District staff and USA Media staff had reached
agreement on the terms of an agreement to cooperate in deployment of a fiber optic backbone
system. Mr. Terneuzen of USA Media stated at the meeting that there was agreement on all matters
except two minor items. One of the items was the modification of the pole attachment agreement
related to the USA Media coaxial system. The other was the term of the pole attachment
agreement.
After that meeting, USA Media asked that several other significant issues be added to the draft
agreement. The issues raised by USA Media are as follows: 1) Reduction of the annual lease
amount if any other CATV service is offered on the fiber optic backbone network. The proposal is
that the annual rental of$60,000 paid by USA Media would be reduced to $6,000 if the District or
any other service provider offers competing cable television service. 2) A penalty for failure to
complete construction of the fiber optic backbone network by December 20, 1999. The proposal
is that the District pay a penalty of $5,000 per day if the system is not available for use by USA
Media on December 20, 1999. 3) A penalty for failure of the District to maintain and repair the fiber
optic network system based on certain standards. The proposal is that the District commit to a high
level of system maintenance and service restoration. The criteria for service restoration recognize
that restoration of electricity is the highest priority followed by restoration of the District's SCADA
system, followed by Restoration of USA Media service. If the District fails to work diligently in that
manner and causes USA Media customers to be out of service, the District would be required to
reimburse USA Media for the lost revenues.
The Board had a certain expectation regarding the agreement between the District and USA Media
when it approved the fiber backbone project. These proposed provisions change that expectation
in significant ways and should be discussed by the Board.
After discussion, Director Maass moved that the Board bifurcate the two issues and continue the
process of designing the fiber optic system, going out to bid and constructing the fiber backbone
system and direct staff to continue talking with USA Media regarding lease of the system owned
by the citizens of Truckee. Director Aguera seconded the motion.
Director Sutton moved that the District request an opinion from the Attorney General as to whether
the District can go forward with this without first going through the LAFCo process. MOTION DIED
for lack of a second.
ROLL CALL vote on Director Maass' motion: Aguera, Hemig and Maass, aye; Sutton, no, stating
that the District does not have the power to do this under the LAFCo rules of the State of California;
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Jones, yes, reluctantly. SO MOVED.
LONG-HAUL FIBER OPTIC INSTALLATION PROJECT—STATUS REPORT—CONSIDERATION
OF AN AGREEMENT IN PRINCIPAL WITH THE TOWN OF TRUCKEE—CONSIDERATION OF
INSTALLATION OF CONDUIT IN COOPERATION WITH THE TOWN OF TRUCKEE —
CONSIDERATION OF INTENT TO LEASE LAND TO WILLIAMS COMMUNICATIONS FOR
LOCATION OF A REGENERATION FACILITY
The District and the Town are continuing to work together to realize benefits for the community from
the cross-country fiber optic project that is going through Truckee. A portion of the conduit has been
installed as a change order to the Town's paving project at Donner Lake. Since the Town contractor
had Donner Pass Road pavement dug up, there was an opportunity to excavate a trench and install
conduit for fiber and natural gas. The benefit to the community was to extend natural gas to Donner
Lake ahead of the planned schedule and to install fiber conduit without trenching in new pavement.
Two conduits for the Town/TDPUD partnership were also installed.
The cross-country fiber optic project is now progressing to stage two, involving construction of the
rest of the conduit line. The contractor will be Copenhagen, Inc. under contract to Williams
Communications/FiberCom and construction is scheduled to begin the week of September 13.
The District and Town have reached agreement on the principles of an agreement. The Town
manager is preparing the final draft and it will be available to the Directors on September 13. The
basic agreement that has been struck is for two conduits to be installed free of charge as part of
the project. These two conduits would be owned by the Town and District and leased to other
parties needing access through Truckee. There is an opportunity to have three more conduits
installed making a total of five to be owned by the Town and District. There is a cost of $446,000
to install these additional three conduits. The Town and TDPUD are discussing whether we should
split that cost evenly, each party paying $223,000 and lease these conduits to other parties.
P(
Director Hemig moved, and Director Maass seconded, that the Board approve the memorandum
of understanding with the Town concerning joint ownership of conduit installed in the cross-country
fiber optic project subject to legal review. if there are any material changes made by the Town, the
matter must come back to the Board for approval. ROLL CALL: all Directors, aye, with the exception
of Director Sutton who voted no. SO MOVED. it was noted that a special meeting may be called
if any problems arise.
Williams will need a signal regeneration station in Truckee. The regeneration station is placed
approximately every 40 miles along the route of the fiber and boosts the light signal along the path.
They are interested in leasing the property the District purchased from Breeze Cross. The station
would be a very low impact installation. There would be one or two single story buildings housing
electronic equipment. From time to time a technician would drive to the building to perform
maintenance or solve a problem.
Director Maass moved that the Board indicate its interest in considering a lease with Williams
Communication for the former Breeze Cross property for construction of a regeneration station and
subject to certain conditions. The motion was seconded by Director Hemig. ROLL CALL: all
Directors, aye, with the exception of Director Sutton who voted no. SO MOVED.
CONSIDERATION OF A REPORT ON BIDS RECEIVED AND POSSIBLE AWARD OF A
CONTRACT FOR PURCHASE OF ELECTRIC SYSTEM CONDUIT
Bids for various sizes of PVC conduit were opened on September 7, 1999, The conduit is to allow
substructure to be placed in open trenches when other entities are constructing underground
facilities. Four bids were received; one of those was non-conforming. Staff recommended award
to the low bidder, Western Nevada Supply.
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Director Hemig moved, and Director Maass seconded, that the Board award the bid for electrical
conduit to Western Nevada Supply in an amount of$40,052.40. ROLL CALL: all Directors,aye, with
the exception of Director Sutton who voted no. SO MOVED.
CONSIDERATION OF A REPORT ON PREPARATION OF THE ANNUAL BUDGET FOR THE
YEAR 2000
Mr. Holzmeister presented a proposed budget calendar which will allow staff to prepare the budget
during September and October. The Board will have a workshop in November and the budget may
be adopted in early December.
Director Hemig moved, and Director Aguera seconded, that the Board approve the proposed
budget calendar as presented. All Directors, aye, by voice vote. SO MOVED.
REVIEW OF MONTHLY STAFF REPORTS
The Board had no questions relating to the staff reports.
CLOSED SESSION — CONFERENCE WITH REAL PROPERTY NEGOTIATOR UNDER
GOVERNMENT CODE SECTION 54956.8. PROPERTY: APN 19-420-38. NEGOTIATING
PARTIES: PETER HOLZMEISTER REPRESENTING THE DISTRICE AND CHRIS STEELE,
OWNER OF THE PROPERTY. UNDER NEGOTIATION: PRICE AND TERMS OF PAYMENT
The Board adjourned to closed session at approximately 9:10 PM
RETURN TO PUBLIC SESSION
The Board returned to public session at approximately 9:45 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 at 9:46 PM.
TRUCKEE DONNER PUBLIC UT!lLITY DISTRICT
Robert A.Done; Pry 'ent
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Prepared by ? _
Susan M. Craig, Deputy District Clerk
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