HomeMy WebLinkAbout1977-09-19 Min - Board MINUTES OF THE REGULAR MEETING OF THE
BOARD OF DIRECTORS OF
TRUCKEE-DONNER PUBLIC UTILITY DISTRICT
SEPTEMBER 19 , 1977
The Regular Meeting of the Board of Directors of TRUCKEE-
DONNER PUBLIC UTILITY DISTRICT of September 19, 1977, was called
to order by the Chairman at 7 : 08 P.M.
All Directors were present.
A. Milton Seymour, Manager, Steven E. Grumer, District
Counsel, and Mr. Hiatt, from Dan Cook Associates , were present.
1 . REVIEW OF JUNE FINANCIAL REPORT WITH MANAGER
Mr. Seymour summarized for the Board the current financial
position of the District. In summary, the June financial report
indicated an increased net operating margin. Maintenance expenses
are up sharply. Customer accounts are down. G & A expenses are
up 250 over 1976, due primarily to consulting fees and interim
manager expenses. Administrative salaries in general are up.
Mrs. Sutton commented on the long delay in getting the
reports to the Board members and recommended that they be more
timely prepared in the future.
Mrs. Huber requested year to date figures for all items
on the budget report and for improvement in the overall format
of the report. The format of the financial report was referred
to the Budget Committee for some recommendation.
2 . MANAGER' S REPORT
(a) Update on Water Consumption. Mr. Seymour reported
that water consumption is continuing to decline. Last weekend
r^ the usage was 3:7 million gallons (2 .4 million gallons by the
Town, and 1. 2 million gallons by Tahoe Donner) . Consumption was
up over the previous weekend by a million gallons . The three-day
Labor Day weekend usage was 7 million gallons . During the month
of August the total consumption was 55 million gallons, 40
million gallons used in the Town system and 15 million gallons
1.
(a) Update on Water Consumption (continued) .
at Tahoe Donner. During August Well A at Tahoe Donner was
used some.
Director Sutton inquired whether the District now has
production meters at all sources; Mr. Seymour indicated that
all sources except McGlashan Springs are metered.
The Board recommended that an article be placed in the
local newspapers thanking the local residents for their continued
concern for water consumption.
Director Kuttel brought up the need to require pressure
regulators, and the Chairman referred this to the next meeting
of the Water Committee.
Mr. Seymour said that when the Board adopts the Standards
in Appendix E, a copy of drawings and pertinent paragraphs or
sections of the Water System Standards should be furnished each
building permit applicant.
Counsel Grumer recommended that a summary sheet accompany
Appendix E written in a public-oriented manner inasmuch as the
Standards are not written in a form easily understandable by
the public.
Chairman Sutton recommended that these items be placed
in the minutes for future reference .
(b) Report on Southside Well and Southside Springs .
Mr . Seymour reported on pollution of the well and springs .
An irregularity occurred in the reporting of the pollution, and
the State Health Department notified the District that it would
meet with the District on September 21, 1977, to review the
method of sampling the water supply and the manner in which the
Department is to be notified. State Department of Health
expressed dissatisfaction with the laboratory used by the District,
inasmuch as the laboratory is responsible for notifying the
Department immediately if a positive count is found, and the
Department was not so advised.
Director Huber noted that Mr. Seymour was authorized
previously to investigate other laboratories and bring his
2.
(b) Report on Southside Well and Southside Springs
(Continued) .
findings to the Board. It was noted that Tahoe City Public
Utility District was presently doing the testing.
The Manager reported that the cost of setting up and
equipping a certified lab would be approximately $10,000 .00 .
The Chairman noted that the District probably will not be doing
its own testing in the near future.
(c) Status of Farmer' s Home Administration Loan
Application. Mr. Seymour reported on recent activity on the
Loan Application. He noted that the information reported in
Appendix A of the District' s application showed a net operating
margin when it should have showed a loss . This was due to the
Auditor ' s method of apportioning costs between the two utilities .
He said that the Water Department actually had a net loss of
$34 ,000 .00 which was partially offset by the $19, 000 .00
contribution by Dart under the terms of the Tahoe Donner Water
System acceptance.
Mr. Hiatt of Cook Associates reported that he did not have
any information regarding a response to the .ClearingHouse comments
on the Negative Declaration. Mr. Seymour .reported that the
Notice of Determination was filed with the County Clerk, the
Resolution was taken to the County Clerk and recorded and
then sent to Farmers Home.
A brief discussion was held concerning the ClearingHouse
comments . President Sutton requested that the Minutes note that
the question of how to respond to the ClearingHouse comments
on the environmental impact assessment of the water projects
�., should have some response from Mr. Cook, and that if there is
a need for a Special Meeting in order to accomplish the response
the District should be notified.
(d) Department of Health; Proposed Regulations on Water
Quality. A copy of the Proposed Regulations on Water Quality
is being circulated among the Directors and other personnel. The
Chairman recommended that discussion on this subject be postponed
until a later date when everyone has seen the proposal.
3.
(e) Review of R.E.A. 1976 Report on Borrowers. Mr.
Seymour reported that all Directors have received a copy of
Page 41 of the REA 1976 Report on Borrowers . Mr. Seymour reported
that a comparison of the Truckee-Donner Public Utility District
with other borrowers indicates that the District' s overall status
is good, particularly since the District pays a higher rate for
power than the other California REA Borrowers .
(f) Report on Telemetry System Repair Program. Mr. Seymour
reported that they are in the process of correcting all warranty
deficiencies, and noted that after the present repairs, the
system should function properly. Discussion on suggestion of
retaining William Avery to service the system.
(g) Copy Machine Comparisons . Mr. Seymour reported that
each Director has received a brochure on the Savin 770 Copier .
He reported on the success of this machine and the large number
in the area.
r^ He reported that a four-year lease purchase is available
for the Savin machine at approximately the same cost as the
monthly lease payment for the Xerox the District has . The total
cost of the Savin 770 is $5, 535.00 . With the lease purchase
plan the District could acquire the Savin at the end of four
years for 10% of the original purchase price, or could continue
to lease the machine on a year-to-year basis .
Counsel Grumer advised that the District would be in a
better position to purchase the machine than lease. The Board
requested that Mr . Seymour compare the Savin 770 to the Xerox.
3. UNFINISHED BUSINESS
(a) Report on Drainage Encroachment on Robert Butler
Property. The President noted that Mr. Butler was not present
to discuss this matter and changed the Agenda to delay this
item until later in the meeting.
(b) East River Street Water Line Extension Proposal;
Engineer' s Report on Cost Allocations ; Discussion with John Quintana.
Director Sutton disqualified herself from discussion on this
matter inasmuch as she is a property owner in the area affected by
the extension.
4 .
(b) East River Street Water Line Extension (Continued) .
Mr. Hiatt outlined for the Board the various methods avail-
able for spreading the cost. The Board expressed a desire to
investigate other formulas which could be utilized for allocating
the cost of the extension. Director Maass suggested that Dan
Cook further explore this aspect and advise the Board.
There was discussion with Mr. Quintana about the size of
the water main and the encroachment permit expected from Southern
Pacific.
The Board requested that Mr. Hiatt advise Dan Cook to
prepare a comparative analysis of the three pay-back schedules
that the Board has received on this matter, and the formula used
in each, and a sample application of each formula on the Quintana
and Sutton properties.
(c) Assembly Bill 2035 Chappie (Donner Lake Pump
Intakes) ; Engineering Evaluation of Implications Related to Fireflow
,�- and District Operations; Consideration of Resolution. The
President reported that some of the spectators had requested that
this item be taken up out of order, and the Board consented to
take up the subject at this time.
Director Sutton read the report of "Fireflow Capabilities
Throughout the Truckee Region" from Dan Cook. There was
general discussion by the Board of the Report.
Mr. Seymour said that in the event of a large forest fire
in the Tahoe Donner area, those pumps would be valuable in
helping to replenish the water supply at Tahoe Donner because
the amount of water that can be pumped out of the Donner Creek
Well, Northside Well and later perhaps the Sanders Well would
not be enough to keep the tanks full. He said the ability to
pump out of Donner Lake would give a greater amount of water
but it would be limited by the capability of the Soma Sierra
Pumping Station.
Director Sutton inquired about a rough calculation that
the Manager had recently made regarding a comparison of time
intervals of sustained flow from present ground water sources
and the Donner Lake Source.
5 .
(c) Assembly Bill 2035 (Chappie) , etc . (Continued) .
Director Huber pointed out that if the Donner Lake Intake
is used for fireflow for a fire which may occur once in twenty-
five years the water would still require chlorination.
Director Kuttel questioned whether the Donner Lake fireflow
problems should be a concern of the Truckee-Donner Public Utility
District since the District does not serve water at Donner Lake.
President Sutton invited those present to comment on this
subject or ask questions.
Matt Stewart asked why filtration and chlorination would
be required.
Director Sutton responded that the water from the Lake
would be pumped through the same lines used for domestic water
and that there is no separate water system for fireflow, and
that the Department of Health requires water from an open body
of water, such as a lake, be chlorinated.
Rick Brown questioned why 2" lines were allowed, inasmuch
as the Board indicated that 2" lines were not adequate for fireflow.
Director Sutton responded that 2" lines were not used
throughout the Donner Lake System but some areas, such as the
Weeks Tract at the West end, have only 2" lines .
The Board discussed the necessity of a Resolution on this
matter and directed Counsel to prepare a Resolution setting
forth the District' s position regarding the Chappie Bill . Mr.
Grumer indicated that he would attach to the Resolution copies
of reports and all correspondence relating to this matter.
Director Maass requested that after adoption, a copy of
the Resolution be mailed to Mr. Eugene Gualco and to all members
,.—. of his Committee, and the Board concurred in this request.
(d) Consideration of Request from Lowell Northrup
Concerning Interest on Payment to West River Street Assessment
District. This item was taken up next since Mr. Northrup was
present, and he summarized for the Board the position of the
assessees in this area. Mr. Northrup requested interest to be
6 .
(d) Request from Lowell Northrup (Continued) .
paid at 8-1/2% per annum for six months, on the monies held by
the District until the time it was paid to the property owners .
Director Sutton noted that the amount paid to the property
owners is $4 ,158 .96 . P .T .T. extension check was received on
September 14 , 1976 .
Director Sutton stated that she believed that the District
had a responsibility which it didn't fulfill, and that she
favored payment of 5% interest for a period of six months .
The Board concurred in Mrs . Sutton' s position, and
recommended payment of 5% interest for a period of six months .
Mr. Northrup accepted the Board' s offer of 5% interest for
a period of six months .
The Board directed Counsel Grumer to prepare an
appropriate resolution authorizing the payment of interest at
the rate of 5% for a six month period on the payment received
from the P. T. & T. extension of the West River Street Assessmen
District line. They requested that the resolution include the
specific amount to be paid to each property owner in the West
River Street Assessment District.
--- Report on Drainage Encroachment on Robert Butler
Property. (Unfinished Business,
Item a, on Agenda) . The Board
takes up this matter at this time. The President directed that
the minutes note that Mr. Butler is not present. Lew Hiatt of
Cook Associates reported on the drainage encroachment. He advised
the Board that it appears that the drainage ditch is outside of
the easement, although the area has not been surveyed by Cook
Associates.
r-_ on requested that a letter be prepared by
President Sutt
Mr. Cook on this matter and that he advise the Board as to the
necessity of securing
a new survey.
Mrs. Sutton directed that the tapes of the meetings be
researched concerning the Butler matter. Mr. Seymour indicated
that a transcript would be prepared for the Board.
This matter was postponed for futher discussion until the
next regular meeting.
7 .
(e) Consideration of Agreement with Dart on use of
Wells A & B in Tahoe Donner. Counsel Grumer outlined for the
r
Board the changes in the Agreement. He noted that Section 7 ,
Settlement of Disputed Items, is the only substantial change.
Don Strand of Dart explained that the disputed items are labor
billings by the District.
President Sutton directed that there be an accounting of
the disputed bills and a .recommendation from management regarding
this .
The Board directed that this item be placed on the October
3, 1977, agenda.
(f) Review of Draft Letter to Nevada County Planning
Department re Cumulative Impacts on Services. It is noted that
all Board members have received and reviewed the draft. All
find it acceptable.
Mr. Seymour stated that he would like to add a paragraph
fi
concerning the District ' s ability to handle growth, and suggested
that language be incorporated to the effect that there is
adequate water resources in the ground to handle growth; however
there may be a shortage of facilities such as wells, etc. to get
the water out of the ground.
Director Sutton suggested that language concerning the
number of subdivided lots within the District 's boundaries
that have not been built upon should be included.
A motion is made that the letter be sent to the Nevada
County Planning Department with the additional language suggested
by Manager Seymour and Director Sutton. Roll call vote. All aye.
(g) Authorization concerning Use of Private Planes
on District Business . Counsel Grumer reported that the Board
should establish a policy of reimbursement of expense so that
problems are not encountered with F .A.A. , and provided the
Board with various methods which could be utilized by the Board
in reimbursing owner/pilots without violating F.A.A. rules.
A motion is made by Director Maass that Counsel Grumer
prepare the appropriate resolution authorizing the use of private
8 .
(g) Use of Private Planes (Continued) .
planes for District business and also prepare a resolution
specifically authorizing the use of A. Milton Seymour' s airplane
for District business, subject to the District first receiving
evidence of appropriate insurance coverage. Roll call vote. All
aye.
(h) District Owned Lands; Appraisal of Properties on
Highway 267 . Possible Direction re parcel for Long-term Lease.
Manager Seymour noted that all Directors have received a
copy of the appraisal. General discussion on Dart agreement.
There was agreement that the parcel which was not included in
the appraisal was intended to be appraised, and that the
Manager should contact Mr. Bonnett to have this done .
Director Huber moved that Counsel be directed to draw up
a deed of trust with a release clause allowing substitution of
the parcel, and that the President be directed to sign Resolution
77-23 and the Agreement.
(i) Staff Review of Donner Center Electric and Water
Service Problems. Discussion on this matter was postponed until
the October 3, 1977, meeting.
(j ) Status Report and Consideration of Placer County
Annexation Proposal. Director Sutton requested that the Board
be furnished with a copy of the map showing the proposed boundary
area, and after review thereof the Board can then make a decision.
4 . MISCELLANEOUS BUSINESS
1 . Farmers Home Weatherization Program For Senior Citizens.
Director Huber recommended that an article be placed in the
newspaper concerning this program. General discussion by Board.
�., Mrs. Huber moved that the Manager publicize this program
in the newspaper and/or the radio. Motion seconded by Mr. Maass .
All aye by voice vote.
2 . Line Extension Policy. Referred to Electric Committee.
3. Beck' s Estimate for Additional Work for Reworking
Rate Study. Referred to Electric Committee for recommendation to
Board.
9 .
4 . Letter from Pat Sutton to Martin McDonough on
Donner Lake Source. Director Sutton advised that Martin
McDonough will attend October 3, 1977 meeting to advise Board
on this matter.
5 . T.T.S.A. Bill . Manager Seymour reported that a
10% late charge is being assessed for non-payment of the service
charge by the District. Mr. Grumer reported that a letter
has been sent to the Attorney General and a report will be made
to the Board when a reply has been received.
5. NEW BUSINESS
(a) Faster Printer for Computer. Mr. Seymour outlined
for the Board the problems with the present printer and the
models available.
Director Kuttel moved that the Manager write specifications
for a new printer and secure bids to be opened on October 17 ,
1977, at 2 : 00 P.M. Motion seconded by Director Maass . Roll
call vote. All aye.
(b) Selection of Auditor for 1977 Audit. Board expressed
dissatisfaction in format of audit.
Director Maass moved that Manager Seymour solicit proposals
from accounting firms for the 1977 audit, including Arthur Young.
Motion seconded by Mrs. Huber. Roll call vote. All aye.
(c) Consolidation. President Sutton read the letter dated
September 19, 1977, from Jack Marquette, Truckee Sanitary
District and requested that the letter be attached as a part of
the minutes.
Director Sutton reported that Dr. Affeldt, President of
the Truckee Sanitary District Board of Directors, was present
at the last meeting, during which the Board adopted a motion
directing Counsel Grumer to prepare a report on this matter.
Director Sutton noted that a representative attending this meeting
from the Truckee Sanitary District would not violate the Brown Act.
Counsel Grumer reported that a letter to the Board
outlining the consolidation and the various aspects related
thereto was being prepared by his office and would be available
10 .
(c) Consolidation (Continued) .
to the Board within the next few days . Discussion of this
matter postponed until the next regular meeting.
Board directed Manager Seymour to inform Mr. Marquette that
the matter has been taken under submission and that the Board
will place this matter on the October 3, 1977 , agenda .
(d) Consideration of Hiring Firm to Act as Special
Counsel in Tahoe-Donner Matters . Director Maass moved that
the Board hire Mike Marron, of the firm of Steinhart, Goldberg,
Feigenbaum and Ladar as Special Counsel for this matter . Motion
seconded by Mrs . Huber. Roll call vote. All aye. Counsel
directed to prepare appropriate resolution.
(e) Vehicle Status Report. Mr. Seymour reported the
present status of the District' s vehicles and made a
recommendation for replacement. Mr. Seymour reported that the
vehicles which need to be replaced have a present value of
$8, 000 . 00 . The total amount required to replace said vehicles
is $39 , 000, or $31,000 after consideration of the present market
value of the vehicles requiring replacement. Board discusses
various replacement schedules.
Director Sutton recommends that a schedule be prepared
showing the amount of repairs on a yearly basis in order to
ascertain when replacement should be made.
(f) Board Meeting Minutes and Correspondence. Discussion
of this matter was delayed until after Executive Session.
(g) Hydro-Generation at Stampede and other Bureau of
Reclamation Dams in Area. Director Kuttel moved that the Manager
write the Bureau of Reclamation concerning dams in the District ' s
area concerning possible hydro-generation. Motion seconded by
Mr. Maass . All aye by voice vote.
(h) Review of 1977 Grand Jury Report on Truckee-Donner
P.U.D. Problems . Discussion postponed until next meeting.
(i) Interest on Customer Deposits, Application Forms and
Late Charges . Manager Seymour reviewed the new form presented
to the Board. Board discussion on various aspects of assessing
11.
(i) Interest on Customer Deposits, etc. (Continued) .
late charges.
Director Maass moved that Counsel Grumer prepare an
appropriate resolution setting forth the interest to be paid on
customer deposits at the rate of 5% , the application forms, and
the late charges to be assessed at 12% per annum. Motion seconded
by Director Huber. Roll call vote. All aye.
6 . DISTRICT ENGINEER'S REPORT
(a) Status of Water Box Replacement in Tahoe-Donner.
Mr. Hiatt advised the Board that approximately eighty boxes
in this area are in need of repair or replacement.
(b) Sander' s Site Well. Mr. Hiatt reported to the Board
that progress is being made, and that testing will be done in
early November. Sanitary seal is in place; down to a depth of
129 feet. Will go on line in the summer months of 1978 .
Manager is directed to write a letter to all property
owners in this area to advise them of what work is taking place,
since many inquiries have been made concerning this work.
Letter of September 19, 1977, from Don Strand, is directed
to be attached as a part of the minutes.
7 . DISTRICT COUNSEL'S REPORT
(a) Sierra Meadows Unit 1 Water Fees . Counsel reported
Mrs. Raybon' s position as outlined in letter of September 19 ,
1977, to Manager Seymour, copy of which was received by all
Directors . Counsel refers the problem to assessment district
for resolution of this problem.
(b) Policy Statement that District Will Serve Customers
Located Within its Boundaries. Counsel Grumer advised the
Board that he desired to present his proposal to Manager
Seymour prior to presentation to the Board. Discussion
postponed to next regular meeting.
(c) Review of District Compliance with California
Environmental Quality Act Requirements . Counsel requested
backup information, such as resolutions, etc . and a further
discussion with Manager Seymour prior to his making a report
on this item.
12.
(d) Status Report on Collection of Electric and
Water Standby Charges. Counsel reports that the approach
used was correct. Reference is made to the letter delivered
to the Board concerning this matter, from his office .
Counsel to investigate the matter further and advise
the Board at the next regular meeting.
(e) Status of Tom Joerger Matter. Manager Seymour
advised that the District was awarded $550 .00 in small
claims matter.
Director Sutton recommended that in the future all small
claims matters be directed to the attention of the Manager
only.
The Chairman adjourned the meeting at 12 : 30 p.m. to
Executive Session.
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
t Sutton, President
A. Milton Seymour, Clerk of the Board
13.
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
STATEMENT OF GENERAL FUND - September 16, 1977
Bank Balance - Sept. 2, 1977 $302,349.07
Truckee Electric Revenue 61 ,288.12
Truckee Water Revenue 6,189.13
Donner Lake Electric Revenue 19,554.78
Tahoe Donner Water Revenue 2,350.60
Miscellaneous Billings Revenue 3,593.38
Miscellaneous Revenue 6,271 .60 $401 ,596.68
Approved Billings $124,678.39
Bank of America - Fed. tax deposit 2,088.40
IBEW - Union dues 182.50
Truckee Justice Court - Small claims filing fees 16.00
U.S. Post Office - Trust fund,postage meter 220.00
Refunds on closed accounts:
Bebo & Winika 18-276e01 51 .42
Ronald Beckman 27241-01 13.65
Elwin F. Foley 8-046-03 36.77
James M. Kasson 62-057-03 26.62
Debra L. Watson 13-274-02 50.00
Michael Young 60-326-02 7.72 $(127,371 .47)
PAYROLL
9/15/77 OT DT Standby Gross Net
Barry ° 629.20 483.15
Biggs 243.36 206.43
Chapman 626.56 462.73
Connell 682.00 496.73
Grow 44.73 919.45 670.75
Jones, N. 331 .29 262.91
�^^ Jones, T. 50.00 46.57
Marsh 599.28 445.92
Lopez 812.24 577.92
McLeod 45.00 41 .92
Pomponio 485.76 371 .84
Reed 46.13 6.15 212.18 160.30
Reynolds 828.96 624.83
Rose 68.15 683.27 451 .45
Rully 42.74 759.06 501 .40
Seymour 1250.00 850.68
Silva 39.76 99.40 1013.88 728.42
Slattery 750.00 562.12
Straub 138.45 950.69 656.72
Waltrip 9.23 550.43 425.78
Wiser 485.76 344.33 $( 9,372.90)
210.98 45.91 237.85 12908.37 9372.90
Bank Balance - Sept. 16, 1977 $ 264,852.31
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TRUCKEE-DONNER PUBLIC UTILITY DISTRICT
POST OFFICE BOX 309
TRUCKEE, CALIFORNIA 9S734
TELEPHONE S87 3896
MEMORANDUM
TO: Board of Directors
FROM: Milt Seymour, Manager
SUBJECT: Manager's Report - Meeting of 9/19/77
DATE: September 19, 1977
Update on Water Consumption: Water consumption in most of the District
continues to decline as the tourists leave the area. However, on the
south side of town in the Sierra Meadows and Ponderosa Palisades area
however, water consumption is just about equal to our supply from the
Southside Springs. A meeting will be held in Truckee on Wednesday, Sept-
ember 21st for the State Department of Health to review the pollution
situation with the Southside Spring and the Southside Well , to see if we
cannot obtain approval to reconnect the Southside Well into the system.
We will also review with the Health Department at that time, the procedures
necessary to adequately sample and test our water and to determine when
action needs to be taken to correct any pollution we find. Apparently,
in the situation that developed with the Southside Well , we should have
notified the State Health Department as well as the newspapers, radio
stations, and county health departments. Also, it appears that our
testing labratory was remissed by not immediately telephoning us when
they discovered that we had a positive coliform count.
Report of Southside Well/Springs: As reported in item #1 , a meeting is
scheduled with the State Health Department on September 21 , 1977.
Additionally, we have been chlorinating the Southside Springs and Well
since the 2nd of September. Since we have been chlorinating, the reports
coming back from Cranmer Labs indicate that the coliform count has been
reduced to within acceptable limits. We still don't know what the cause
of the high coliform count is. However, following our meeting with the
State Department of Health we will make an inspection with them of the
Springs and Well to see if we can determine the cause and what corrective
action is needed to protect these valuable sources of water.
Farmers Home Administration Loan Application: During the past week we
received several calls from the Farmers Home Administration indicating
that the financial information we presented - which was either inaccurate or indicated that we did not need the loan. The information provided to
them was taken from the annual report prepared by Arthur Young and Company.
In reviewing it we realized that Arthur Young had made some erroneous
assumptions and had indicated that our water system in 1976 earned $90,000.00
which was not the case. Our records show that the water system had a net
loss of $34,000.00. This was partly off set by a one-time payment from
Dart Industries of $19,000.00 to defray warranty expenses on the part of the
District. A copy of a corrected financial statement was mailed to the
Farmers Home Administration and we anticipate hearing from them this week.
MEMORANDUM to the Board of Directors
Manager's Report for Meeting of 9/19/77
Page 2
The Farmers Home Administration also questioned an item called "reserves"
for which we showed $241 ,000.00. We had to explain to them that the
$241 ,000.00 figure really was restricted funds that were not available
for the project.
Proposed Regulations on Water Quality by the Department of Health: A set
of the proposed regulations has been circulated to the Board. Any comments
any Board member wishes to make on these should be given to the Manager
so that we can give a response to the proposed regulations.
Review of REA 1976 Report on Borrowers: Page 41 of this report was dis-
tributed to the Board members some time ago. In reviewing the statistics
given on this page, it is interesting to compare the Truckee-Donner Public
Utility District and the Plumas-Sierra Rural Electric Coop. inasmuch as
they have approximately the same number of customers and the same kilowatt
hour usage. The first comparison is to note that Sierra-Plumas has
5.8 million dollars in loans, versus the P.U.D. 's $612,000.00. Another
interesting item is to note that the operating revenue of the Sierra-Plumas
is slightly more than 1 ,000,000.00 - compared to $1 ,950,000.00 for the
Truckee-Donner Public Utility District. However, just as significant is
the fact that the cost of power for Sierra-Plumas was $230,000.00 for the
year, versus $1 ,370,000.00 for the P.U.D. Other figures, such as admin-
istrative and general expense, consumer accounts expense, distribution and
maintenance expense, etc. are very comparable. Considering the high cost '
of power for the Truckee-Donner Public Utility District, I think their
overall operating and financial statistics are very comparable with utilities
of approximately the same size and geographic location.
Telemetry System Repair: We are currently in the process of correcting all z
the warranty deficiencies noted by Bill Avery on the Tahoe Donner Water
telemetry system. When the repairs are complete, we should have a telemetry
system that is completely functional and operating as it was intended to do
so. In addition, the repairability of the system should be greatly im-
proved. Once the repairs are complete and sufficient spare parts are on hand,
the next step in the process is to engage the services of a company or
individual to periodically inspect, test, and align the telemetry system
to keep it operating at peak efficiency. The District does not have
personnel qualified to perform this task.
Copy Machine Comparisons: A number of public agencies and private firms in
this area have been switching from the use of Xerox coping machines to a new
machine known as the Savin 770 or Savin 780. We have been given a demon-
stration of this machine and it appears to do as good, or better a job as
the Xerox model 3100 - which we currently have. Additionally, this machine
is offered on a 4-year lease purchase plan, at approximately the same monthly
payments that we are now paying to Xerox for a straight rental plan. The
Savin people have offered to demonstrate the copy machine to the Board, if
the Board so wishes. They also have offered to bring in a machine for a
short period of time to allow our office personnel to make a side by side
comparison. The machine does appear to operate faster and is capable of