HomeMy WebLinkAbout1975-10-09 Min - Board 71 �luJ%-CL
OCTOBER 9, 1975
The special meeting of the Board of Directors was called to order b
the Chairman at 7:30 P.M. in the Conference Room of the Di stFi ct. y
ROLL CALL: Waters, absent; Sutton,
present; Craig, present; present; Wilson, present; Anderson,
--�- EMPLOYEES PRESENT: Hobens ack and Reed.
OTHERS PRESENT: John Scott, William Fitch, Richard Hairston Arthur
Dennis Merback (Arthur Young), Ronal ( ur Young) ,
A d Witcosky (Arthur Young) , Matt Gomez
(Arthur Young) , Babette Hauei son and Sue Krajewski .
The Chairman asked Dennis Merback to review for the Board and the
audience Phase I of the Rate Study.
Dennis Merback indicated that Phase I was started in the middle of
July which included data gathering and interviews, etc.
Merback gave the Board an update on costs incurred by the District so
far in the rate study. Through the end of August Arthur Younghad incurred
and billed $1 ,091 .00. As of the end of September, u through t
special meeting, there was an additional 7 p 9 he October 9th
$ 36.00 and in addition to that there
was $149.00 for the special meeting on September 9th. The bills for
amounts should be received by the District during n those two
The study costs todate, excluding g the week of October 13th.
the $149,00, are $1 ,827.00, there being a
$4,000.00 maximum for Phase I work.
Merback went on to discuss Phase I , indicating that the objective of
Phase I was to define the rate structures which reflect the District's needs
and service and rate philosophy.
He discussed with the Board the following topics which are set r f
in the outline prepared by Arthur Young & Company g th
pan y and attached to these minutes:
I . Phase I Objectives
2. Problems/Inequities in Current Rates
3. Rate Structure Philosophies/Approaches
4. Financing
5. District Financial Needs
6. Remaining Phase I tasks
The Board discussed rate structure philosophies and decided that Arthur
Young would focus their attention on peak load pricing, cost pass-through only
and seasonal pricing. g y
Chairman Craig requested that an estimate be obtained from Dan Cook on
installing water meters in the entire District. Paul Hobensack indicated that
for approximately $26.00 a customer could get a new water meter and a readout
so that the District could read it near the electric meter. The difference
between having a readout and not having one would be $10.00. Craig requested
^- to know the cost of installing new meters and readouts in the District.
Craig also requested Arthur Young to evaluate the flat rate for water
now utilized by the District and determine whether it is good or needs revision.
The Board authori zedil the inquiry to be made on how much it will cost
the District to have R.W. Beck and Associates prepare a long-range electric
expansion and improvement study for the District ade ute for the rat
and comment on each of the improvements as it relates
e study
operating costs. es to the District's
Page 1 , October 9, 1975
Paul Hobensack indicated he would obtain an estimate for an electric
system improvement plan over the next 5 years adequate for the rate study
from R.W. Beck and Associates.
AUDIT REPORT
Matt Gomez from Arthur Young and Company reported to the District on
the 1974 audit. The Board discussed and commented on Mr. Gomez' s presentation
and the audit. �:...,
Attorney Joynt suggested that if unpaid accounts are in a significant
amount the District could place a lien on the customer's property. The matter
was placed on the agenda for October 21 , 1975, as "Property Liens on Unpaid
Accounts."
Arthur Young also discussed with the Board extra billings that were
rendered. They stated they received $7,000 for the audit and $5,000 for the
accounting systems study, totalling $12,000. Arthur Young's actual write-offs
exceeded $20,000 over and above the $12,.000. Also discussed by Arthur Young
was the audit overrun. The matter of the reconsideration of the Arthur Young
bill re Dart Accounts information was placed on the agenda on October 21 , 1975.
Arthur Young proposed to the District verbally their offer to do the
1975 audit for $7,000.00. Chairman Craig requested that Arthur Young submit
their proposal in writing for doing the 1975 audit for the District.
They e.bei ng no further business to discuss Director Anderson moved that
the meeting be adjourned. Seconded by Director Wilson. All aye by voice vote.
The special meeting of the Board of Directors was adjourned by the
Chairman at 11 :15 P.M.
TRUCKEE-DONNER PUBLIC UTILITY DISTRICT
By
Joh Craig, Pres' ent of the Board
Ja a Reed, Secretary
Page 2, October 9, 1975
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