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HomeMy WebLinkAbout2008-07-23 Min - Board SPECIAL MEETING July 23, 2008 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 special meeting of the Board of Directors of the Truckee Donner Public Utility District was called to order at 6:01 in the TDPUD Board room by President Taylor. ROLL CALL: Directors Joe Aguera, Ron Hemig, Tim Taylor and Bill Thomason were present. Directors Patricia Sutton was absent. EMPLOYEES PRESENT: Mary Chapman, Nancy Waters, Steve Poncelet, Neil Kaufman, Bob Mescher, Rosana Matlock, Michael Holley and Barbara Cahill CONSULTANTS PRESENT: Steve Gross OTHERS PRESENT: Juanita Schneider, Dan Warren, Rolf Godon, Ellie Hyatt and Don Hyatt CHANGES IN THE AGENDA There were no changes to the agenda. PUBLIC INPUT There was no public input. DIRECTOR UPDATE There were no Director updates. ACTION ITEMS APPROVAL OF WATER METERING IMPLEMENTATION PLAN This item involves the installa- tion of residential water meters required by A132572. Public comment: • Concern over funding situation • Is a grant available? • Prefer lower monthly charge to take care of this- not a big lump sum • Want to accomplish what needs to be accomplished • 17 years out on this- delayed start makes sense rather than incur additional debt • Put off a lump sum now and table rest for later • Do no implement right away- do over time • Explain why want to do so quickly 1 Minutes: July 23, 2008 Email from Ann Penfield: RE: Item #6 Approval of Water Metering Implementation Plan To the Truckee Donner PUD Board I will not be able to attend tonight's meeting in person, but would like this letter to be included in the meeting in my absence. I understand that the board plans to vote tonight on this matter and I would like to go on record as opposing the board taking a vote at this meeting. I understand that one member will not be able to attend or vote on this very major funding project, and feel that this large an issue which will bind the entire customer base to a significant additional increase to our already high water bill of about an additional 10% or $5.88 per month beginning Jan 2009 - less than six months from now, should be announced and studied in detail. If we do not need to comply to the full metering until 2025 1 think it would prudent to make sure all potential avenues to save the rate payers money for installing these meters are reviewed. Seems to me that the $5.88 increase you will begin billing us immediately could pay for the gradual install of the meters, and not result in a $10 Million dollar debt with interest payments of 5.29% over the next 15 years. If we install on a more gradual basis, maybe the extra $5.88 could be reduced to a more tolerable amount instead of an immediate almost 10% increase on an already very expensive water bill. If you do commit to a bond, will you be borrowing the whole amount immediately and what will happen to the money drawn?? as you would not be needing to pay for the meters until they are installed. I'm not sure what type of payment plan you have in mind for this bond, but when I do the math, it looks like in a 15 year period if all funds drawn.on up front, you would incur a monthly pmt of $80,598 with a total of $4,507,000 in interest over 15 years. If the law allows us to implement over time, why not use that time to collect the funds, of course unless there is a big advantage unknown to us to implement sooner. Please pull back and have a little bit more info go out to the rate payers on your new plan and wait until all board members can be present to vote and ask questions. This is a very very major increase and expenditure, and it should be reviewed carefully by both the rate payers and the board before a final decision is made. It amounts to a huge 10% rate increase, and from attending other meetings in the past I know the board is very sensitive to rate increases. So consider the options, and save us all some money if at all possible. Thank You for taking the time to listen to the ratepayers. Sincerely Ann Penfield 11269 Skyline Ct. Truckee Ca. 2 Minutes: July 23, 2008 Director Hemig moved, and Director Thomason seconded, that the Board approve Water Metering Implementation Plan: Phase 1 (pilot program to be initiated by November 2008), Phase 2 (achieve compliance with 2010 deadline of AB2572) and Phase 3 (achieve compliance with the 2025 deadline of AB 2572). ROLL CALL: Directors Sutton, absent; All other Directors aye, by voice vote. SO MOVED MID-YEAR BUDGET ADJUSTMENTS This item considers reprioritizing 2008 budget expenses. Director Thomason moved, and Director Aguera seconded, that the Board authorize the reallocation of budgeted operational expenses from other cost centers to Cost Center 2 — General Manager ($12,000 Cost center 3/Administration, $19,000 Cost Center 5/General Services, $9,000 Cost Center 6/Electric Operations, $9,500 Cost Center 7/Water Operation) ROLL CALL: Directors Sutton, absent; All other Directors aye, by voice vote. SO MOVED ADJOURNMENT There being no further business before the Board, the meeting was adjourned at 6:30PM. TRUCKEE DONNER PUBLIC UTILITY DISTRICT Tim F. Taylor, President 4 Prepared by 60 CCU.CQ �Cd&tf Barbara Cahill,bbeputy District Clerk 3 Minutes: July 23, 2008