HomeMy WebLinkAbout1975-11-11 Min - Board J CA
NOVEMBER 11 , 1975
The Special Meeting of the Board of Directors was called to order by
the Chairman at 7:30 P.M. in the Conference Room of the District.
ROLL CALL: Waters, absent; Sutton, present; Wilson, present; Anderson,
present; Craig, present;
.—. EMPLOYEES PRESENT: Hobensack, Reed, Drace, Grow, Connell and Jansen.
OTHERS PRESENT: Joseph Joynt, Martin McDonough, Bob Christensen, Chuck
Nungester, Carl Beach, Bill Rogers, Don Strand (Dart) , Don Davis (Dart) ,
Sid Karsh (Dart) , Dan Cook, Don McKechuri e, Mari gray Fish and Nancy Wilkins.,- .
CHARLES NUNGESTER
Paul Hobensack indicated that the bookkeeper had determined that 3
payments had been made by Mr. Beavers for the construction of an electrical
distribution system to serve Ponderosa Palisades Unit #4.
The Chairman indicated that he believed the line to Mr. Nungester's
property should be built as soon as possible. The Manager indicated that
construction of the line could be started within 7-8 days and completed
within 2 weeks of commencement of the construction. The Manager stated that
he thought the District- had an obligation to build the line.
Following Board discussion the Chai man gave the chair to the Vice-
President, Director Anderson, and moved that the District declare an
emergency and construct the line as soon as possible. Seconded by Director
Wilson.
ROLL CALL: Waters , absent; Sutton, no; Wilson, aye; -Craig, aye; Anderson,
aye; SO MOVED.
"^ STATUS REPORT AND DISCUSSION OF PROPOSED AGREEMENT WITH TRUCKEE TAHOE
AIRPORT DISTRICT RE AIRPORT WELL
Dan Cook discussed with the Board and Dart representatives the revised
Agreement which reflects what the Airport Board is interested in. Following
Board discussion it was agreed that the matter be continued until November 18th.
DISCUSSION OF PROPOSED COMPANION AGREEMENT WITH DART
Dollar Value of Continued Supply of Water for TTAD: Dan Cook stated
that the Companion Agreement is an integral part to the Airport Agreement.
He said that the Companion Agreement states the way in which the District is
going to indemnify the residents of the Truckee Donner Public Utility District
for providing "no cost" water to the Airport District.
Dan Cook stated that he felt the dollar value of continued supply of
water for TTAD was a policy decision for the Board, not an engineering
decision. Dan Cook suggested a dollar figure of $60 000 for 25 years to
which Dart agreed.
Director Sutton moved that the District place a value on "no cost"
water to the Airport District of $60,000 and reserve the right to take action
to rate structures or taxing Tahoe Donner subdivison lots at some future
time should that amount not be sufficient to cover the expenses involved in
providing "no cost" water to the Airport District. Director Craig stepped
down from the Chair and seconded the motion.
ROLL CALL: Waters , absent; Sutton, aye; Wilson, aye; Anderson, aye; Craig,
aye; SO-MOVED.
Total Source and Supply: Following discussion between Dan Cook and the
Board members present, Di resctor Sutton moved the District confirm that the
District will require a third source of water which would produce a minimum
of 1000 gallons per minute and would be contested showing that capacity
or capability. Seconded by Director Wilson.
ROLL CALL: Waters , absent; Sutton, aye; Wilson, aye; Anderson, abstain,
Craig, aye; SO MOVED.
Page 1 , November 11 , 1975
Construction Time Table: Dan Cook indicated for information that his
second thoughts call for plans and specifications for the inter-tie to be
submitted to the District on March 15, 1976, and for the integrated telemetry
circuitry to be designed by April 30, 1976.
MISCELLANEOUS
John Craig indicated that he had received a letter from Martin McDonough _—
regarding the Donner Lake Contract with Sierra Pacific Power Co. McDonough
indicated that bond counsel had stated that the problem can be solved in
either of two ways:
(1 ) Specifying in the agreement a formula for allocation of revenues
and expenses which would not require the District to keep separate books
and bank accounts and to amend the Agreement to that effect.
(2) Make the obligation of the Agreement a general obligation: of the
District. If it becomes a general obligation of the District and the revenues
are not sufficient than the District would have to levy a tax.
Mr. McDonough indicated that Mr. Campbell with Sierra Pacific Power
Co. was agreeable to either procedure.
Paul Hobensack was instructed by the Chairman to contact REA and
determine how they would look upon the two proposals and report to the Board
on the 18th of November. Martin McDonough indicated he would inquire of
REA regarding this matter.
Chairman Craig asked Mr. McDonough to keep the Board updated on the
NCPA geothermal project.
Mr. McDonough i ndi-cated that on rate case 2 he has heard nothing
further. The FPC still is considering the District's objections to increasing
the rate of return to Sierra Pacific Power Co. On the third rate increase
nothing has happened except that Sierra Pacific Power has filed an amended
application. He expects to hear something on the third rate case within
a short period of time.
Chairman Craig left the meeting at 10:35 P.M. and turned the meeting over
to the Vice President, Director Anderson.
STATUS REPORT AND DISCUSSION OF TAHOE DONNER WATER SYSTEM
Dan Cook indicated that Dart has been making a maximum effort in all of
Tahoe Donner to bring the water system into conformance. He commented on
the inspections being done on the system.
REPORT AND DISCUSSION OF OVERHEAD CHARGES ON CONSULTANTS' BILLS
Paul Hobensack again indicated that he could find no provision in the
contract with Dart which provided for charging overhead charges on
consultants' bills.
Director Sutton inquired of the status of billings to Dart related to
Cook Associates' bills. Paul Hobensack set forth the status of those bills.
He indicated that certain bills received from Cook and billable to Dart
were held up because of the overhead. If Dart was refusing to pay bills memo"
it would be foolish to submit bills to them.
Director Sutton stated that the Board was not advised several months
ago what the actual situation was which was that the District was not
billing because the overhead was disputed but both the District and Dart
were telling the Board it was being paid. The Manager indicated that
clarification of the bills was requested from Dart and the District had
requested clarification from Dan Cook.
Don Strand from Dart stated that he came before the Board last year
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and requested more backup on the bills. He indicated Dart did not hold
up payment this year because of the dispute over the 20% overhead. He
indicated that his internal audit department must have backup on the bills
before payment is made. Following disucssion with Dan Cook, the Board and
Dart regarding -backup on billings , Director Anderson stated that he thought
it was unnecessary to take Board time to discuss this problem. It was
decided that Dart, Dan Cook and Mr. Hobensack would get together and
resolve the matter.
The Manager indicated that the District is no longer billing Dart
20% overhead. Director Sutton indicated that she thought there should be
at some future time some direction provided by the Board regarding overhead
charges. Paul Hobensack indicated that Dan Cook suggested 2% overhead
some time ago.
REPORT AND DISCUSSION OF WATER SOURCE CONTINGENCY PLAN
Dan Cook explained to the BoardWater Source Contingency Plan A which
is what would happen in the event the Northside Well should fail while the
Donner Creek Well is out of service. He indicated that a similar set of
alternative plans would be prepared setting forth what would happen should
other sources fail to operate. The Board discussed this matter and action
was postponed until additional contingency plans are prepared.
REPORT AND DISCUSSION OF WATER SERVICE TO 7-11 STORE COMPLEX
Dan Cook explained that the owner of the 7-11 Store Complex put in a
2 service with an understanding with the Manager of the Di-strict, quoting
the owner, and subservice to each of the stores.
Dan Cook suggested that the situation be rectified with a simple letter
form Agreement with the owner where the District's liability for maintenance
stops at the 2" service and where each of the individual stores are a
separate -account. The other choice, according to Mr. Cook, is to say that
the District does not believe the owner and that a connection charge and
source and storage fee should be paid for each of the stores.
The District's water foreman indicated that the 7-11 system was, in
his opinion, substandard. It was decided to table the matter in order that
Dan Cook might obtain more information and report at the next meeting.
UNION CONTRACT`
Mr. Hobensack indicated that it was his opinion that the employees were
already in the Blue Cross plan. Director Sutton indicated that she thought
the Board is the one who should make the decision whether or not the
employees receive Blue Cross insurance. She indicated that the insurance
company does not have a contract with the Board.
Director Sutton indicated that the Board needs to know how much the
District is paying in premiums with the current insurance and how much it
will pay with Blue Cross. She stated the Board needs a written report on
the matter. Director Sutton stated that in her opinion the employees were
not covered by Blue Cross insurance.
�- Director Anderson stated that the Manager should not call Blue Cross
and tell them the employees are not covered by Blue Cross but that Joe Joynt
should draw up a res ol..uti on that the Board can act upon at the next meeting
and that Mr. Hobensack should present a report to the Board regarding insurance
premium costs. Paul Hobensack indicated he would obtain a master policy from
Blue Cross and Joe Joynt indicated he would prepare an addendum to the Union
Contract.
Director Sutton moved that the President of the Board be authorized
to execute the copies of the Union Contract. Seconded by Director Wilson.
ROLL CALL: All aye by voice vote.
Page 3, November 11 , 1975
MISCELLANEOUS
Dan Cook asked that the West River Street Assessment District be placed
on the Agenda for the meeting of November 18th. He indicated that the District
has not yet paid the contractor his retention.
Dan Cook also brought up a matter related to the Truckee Sanitary --�
District. The Truckee Sanitary District proposes to build some supplemental
disposal facilities in Marti s Valley. The District has a 15' utility ease-
ment that runs along the section line between parcels 12 and 13 and 7 and 18.
The owner would like to have an underground pipeline installed at the edge
of the District's easement. The Board was not opposed to granting the
easement and Dan Cook indicated that the Truckee Sanitary District would
come back to the Board with the proper documentation.
Joe Joynt indicated that -it looks as though the Guzman matter has
been settled.
Joe Joynt indicated that the TTSA-TDPUD Cost Sharing Agreement has
been executed by TTSA.
Joe Joynt said that he has not heard further regarding the Tom's TV
Contract.
Joe Joynt received a brief note from Eugene Chappi a indicating he
would introduce a bill for the amendment of bidding laws during the next
session of the legislators.
It was moved by Director Wilson and seconded by Director Sutton that
the meeting adjourn. The Special Meeting of the Board of Directors of the
Truckee Donner Public Utility District was adjourned by the Vice-President
at 12:15 A.M.
TRUCKEE-DONNER PUBLIC UTILITY DISTRICT
By
John Craig, President of the Board
G � �
Jane Reed, Secretary
Page 4, November 11 , 1975