HomeMy WebLinkAbout2006-08-02 Min - Board REGULAR MEETING
August 2, 2006
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 7:02 PM in the TDPUD Board room by President Hemig.
ROLL CALL: Directors Ron Hemig, Patricia Sutton, Tim Taylor and Bill Thomason were present.
Director Joe Aguera was absent.
EMPLOYEES PRESENT: Kim Szczurek, Sanna Schlosser, Mary Chapman, Nancy Waters, Ed
Taylor, Steve Hollabaugh, Tricia Phillips, Kathy Neus, Tami McCollum, Peter Holzmeister, and
Barbara Cahill
CONSULTANTS PRESENT: Steve Gross
OTHERS PRESENT: Pat Davison, Fred Leideker, Kirk Short, James Mitchell, John Eaton, Sara
Trebilcock and two members of the public.
PUBLIC INPUT
There was no public input.
ACTION ITEM
CONSIDERATION OF A RESOLUTION ADOPTING A CAPITALIZATION POLICY
Director Thomason moved and Director Taylor seconded, a motion to adopt a resolution setting a
Policy for Capitalization of Fixed Assets.
ROLL CALL: Director Aguera, absent; Director Sutton, abstain (unresolved issues with
inconsistencies of proposed minimum costs); All other Directors, aye. SO MOVED.
WORKSHOP ITEM
DISCUSSION OF THE DISTRICT POLICY PROHIBITING SEASONAL WATER SHUT-OFFS
Peter Holzmeister explained that actual water use is a small part of the cost incurred. There are
fixed costs that continue whether a customer is using water or not.
Board discussion:
• If customers have seasonal water shut-offs, how would fixed costs be covered
• Customers should have ability to discontinue service and provide a method to do so
• Water operating and maintenance costs are constant. This makes discounting service for a
water system different than for internet, telephone, etc.
• Install water meters- schedule a workshop on metering and its implications
• Why treat smaller group different
• The hole water system must be maintained regardless of the number of customers
• Bring back to board as action to consider a new policy
1 Minutes: Aug. 2, 2006
DISCUSSION OF A POSSIBLE SALE OF VARIOUS PARCELS OF DISTRICT OWNED LAND
The status of each parcel was reviewed.
0 13050 Hansel Ave, APN # 45-750-13
o Parcel has surface water drainage
o Not part of the Tahoe Donner Association for access to amenities
o Single owner abuts this parcel. They have expressed an interest. Mr. Holzmeister
would like to speak with the party.
• 14629 Glenshire Dr/14630 Glenshire Dr, APN # 49-011-29, 49-011-31
o Single parcel in the eye of the Town of Truckee
o Waiting for Town General Plan to be completed in order to sell the parcel
o Continued discussions with Geoff Stevens of Glenshire Homeowners Association
o Cash proceeds go to the benefit of Glenshire to offset water connection costs
• Hilltop, APN # 19-300-16, 19-300-17
o Ron Hemig approached the Land Trust to purchase, but they have other priorities.
o Only one other party may be interested: owners/developers of Hilltop. Possibly they
would preserve the area.
o A few residents of South River voiced an interest in the property.
• 11330 Rocky Lane, APN # 18-590-10
o Mr. Holzmeister may try to approach the abutting land owners to see if they would like
to purchase pieces behind their individual parcels.
o Extend road to provide access this parcel.
• 10750 Bermgarten Rd (McGlashan Springs), APN # 18-010-10
o John Eaton feels this property is irreplaceable with its rich and diverse botanic
garden. He understands the PUD's fiduciary duty. Mr. Eaton urged the PUD not to
rush off and sell, but to preserve this property for the community.
o Jim Mitchell is aware of the lobbying to get the PUD to not dispose of McGlashan
Springs. This parcel could be valuable acreage with zoning and access.
o Sara Trebilcock wants the Board to understand how precious this parcel is and would
like the board to walk the property with her.
o Should deed restrictions be placed on the parcel if sold
o To agendize for public sale and get an appraisal started
0 Sha Neva Rd (2), Euer Valley Rd (1), APN # 19-420-38, 19-420-37, 19-400-13
o John Eaton urged the PUD to delay any action until the Town of Truckee is done with
the General Plan.
o Parcel reconfiguration needs to be complete (after Town General Plan)
o Once reconfiguration is complete, the PUD would offer parcel 1 and 2 for sale taking
into consideration the placement of a dirt road
o Future District corporation yard on a portion (parcel 3)
o Retain the easement for access to the water tank
• 11510 Forest Lane(Old Breeze Cross Property), APN # 18-602-08
o Fred Leideker owns a business at 10038 Meadow Way and expressed an interest in
purchasing the property.
o Three homes border the parcel on the north side and it is commercial on the south
side
o A subdivision map indicates that Forest Lane is a county road
o Double check the right-of-way
o TDPUD currently uses a portion of the parcel for snow removal
• 12324 Richards Blvd, APN#18-500-05
o Residential parcel was placed for sale, but there was no interest
o Was to be the site of a pump station, but a new site was selected
2 Minutes: Aug. 2, 2006
The board expressed an interest in taking a guided tour of various parcels in order to understand the
information; then they would come back to the board for additional discussion or action.
DISCUSSION OF WORK ORDER ADMINISTRATIVE PROCESSES
Kim Szczurek updated the Board on the improvements made to the work order processes:
• Changed paperwork flow between accounting and field staff (emphasize timely reporting
from crews to accounting when jobs are complete)
• 400 amp electric service is now a connection fee rather than a billable work order
• Implemented unit costs in electric department
• Automated month end reporting
• Customized reports for managers
• Currently
o Billable work orders are up to date
o Development agreements should be caught up in winter
• Opportunities
o Complete implementation of Work Flow Management
o Improve paperwork accuracy and timeliness further
o Change more billable items to a flat fee charge rather than actual cost
■ Consistent in actual costs from job to job (not increases to current costs)
■ Proposed pricing used historical actuals as well as current estimates
o Possibly rely on job estimates for billing purposes (at engineer discretion)
o Streamline all paperwork
o Give contractors actual charges up front rather than an estimate
• Future: Meet with interested parties (ex. CATT) and return to Board with proposed ordinance
and conduct a public hearing.
Pat Davison of CATT stated the members like the proposed change from an estimate to a flat fee.
They would also like to see some procedural changes: deadlines, stand by estimate, use of change
orders and continued efficiency.
Board comments:
• Good start
• Keep CATT involved
• Evaluate Costs
• Annual review
• Don't lump all different costs together—separate costs as needed
DISCUSSION OF THE DISTRICT'S FINANCE MASTER PLAN
Kim Sczcurek and Tricia Phillips gave an overview of the capabilities of the finance master plan
spreadsheet:
• Allows the Board and staff to model financial results based on a set of assumptions
• Can be used as a guide to make decisions about rates, capital spending, etc. for 10 years
• Variable inputs: growth, usage, power, capital expenditures, wage & benefit, inflation, interest
• Calculates cash balances in major funds
• Goal is to make sure cash balances meet reserve and/or debt payment needs
• Numbers were changed on the spreadsheet to demonstrate new predictions and scenarios
3 Minutes: Aug. 2, 2006
BUDGET PREPARATION WORKSHOP
Board input included:
• Want budget criteria and assumptions up front
• See the draft budget early to understand the pieces of the puzzle before discuss "what ifs"
• Understand the needs of the departments
• Get the draft budget as soon as possible
• Want to see actual expenses year to date compared to the 2006 budget, plus 2007 proposed
• Discuss concerns early, not at the end of the process
• Want to be near the end of the budget process by the end of November
• Do not want any surprises
• Departments should accept input and adjust accordingly
• Staff needs to prove they are spending the dollars wisely
• Analyze expenses
• Employee use of vehicles
DISCUSSION OF POSSIBLE SCHEDULING OF A PLANNING WORKSHOP
The Board agreed to delay scheduling any planning workshop until after the budget is complete.
ROUTINE ITEMS
CONSIDERATION OF MINUTES: JUNE 21, JULY 5, 13 AND 19, 2006
Director Hemig moved, and Director Thomason seconded, that the Board approve the minutes of
June 21, July 13 and 19, 2006.
ROLL CALL: Director Aguera, absent; All other Directors aye, by voice vote. SO MOVED.
Director Hemig moved, and Director Thomason seconded, that the Board approve the minutes of
July 5, 2006.
ROLL CALL: Director Aguera, absent; Director Taylor, abstain; All Directors aye, by voice vote. SO
MOVED.
ADJOURNMENT
There being no further business before the Board, the meeting was adjourned at 10:50 PM.
TRUCKEE DONOR PUBLIC UT LITY DISTRICT
J. on mig, Prey dent
Prepared bye
Barbara Cahill, Deputy District Clerk
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4 Minutes: Aug. 2, 2006
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Public Utility District
Resolution No. 2006 - 20
POLICY FOR CAPITALIZATION OF FIXED ASSETS
WHEREAS, the Board of Directors of the Truckee Donner Public Utility District wishes to set forth the
procedures to be followed in determining which purchases should be capitalized or expensed in the
year purchased in accordance with generally accepted accounting practices.
NOW, THEREFORE, IT IS HEREBY RESOLVED, that the following procedure be followed in
determining if a purchase meets the necessary requirements for capitalization:
ASSET CLASS MINIMUM COST
Office Equipment $2,500.00
Tools $2,500.00
Equipment $5,000.00
Structures and Land Improvements $7,500.00
Construction and Remodel Projects $7,500.00
All of the following criteria shall also be used:
1. The normal useful life of the item is at least two years from date of purchase.
2. The item has an acquisition cost(including freight and installation)of at least the amounts listed
above in each asset class.
3. The item will not be substantially reduced in value by immediate use.
4. In case of repair, the outlay will substantially prolong the life of an existing fixed asset or
increase its productivity significantly, rather than merely returning the asset to a functioning unit
or making repairs of a routine nature.
5. Land purchases must always be capitalized.
PASSED AND ADOPTED by the Board of Directors of the Truckee Donner Public Utility District in a
meeting duly called and held within said District on the 2"dday of August, 2006.
AYES: Directors Hemig, Taylor and Thomason
NOES: None
ABSTAIN: Director Sutton
ABSENT: Director Aguera
TRU7 DON R PUBLIC U ILITY DISTRICT
J. Hemig, President
ATTEST: � �/ �?
4
Peter L. Holzmeister, District Clerk