HomeMy WebLinkAbout1987-09-21 Min - Board REGULAR MEETING
September 21, 1987
The regular meeting of the Board of Directors of the Truckee Donner Public
Utility District was called to order by President Corbett at 7:05 P.M. in
the Tahoe Truckee Unified School District Board Room.
ROLL CALL: Directors Cooley, Maass, Sutton and Corbett were present.
Director Aguera was expected.
EMPLOYEES PRESENT: Tom Buckhouse, Paul Colburn, Peter Holzmeister and
Susan Macdonald.
CONSULTANTS PRESENT: Counsel John Phelps.
OTHERS PRESENT: Erin Carroll was present in the audience.
APPROVAL OF MINUTES
Director Sutton noted she would _like to make the following corrections to
the draft minutes of August 17, 1987: on page three, change "Lahontan" to
"Water Quality Control Board, Lahontan Region;" on page 5 identify b
name or title the individual in charge of the Proposition 55 loan
on page 8, add "The committee members indicated the would program;
Board after the masthead designs are submitted " to the get back to the
,.... Thereafter, she moved that the minutes of Aug 17 end of paragraph 2.
corrected by herself , and also to include the � 1987 be approved as
Phelps at the last regular meeting. The corrections noted by Counsel
motion was seconded by Director
Aguera. ROLL CALL: all Directors aye, with the exception of Director
Cooley who voted "no," stating that there is an obvious absence of his
conversation regarding acquisition and funding of the new computer. SO
MOVED,
BILLS FOR APPROVAL
Upon request, Mr. Holzmeister clarified that the eight
ltracom
speakerphones for the new complex were authorized b the Boa useeral
meetings ago; these are regular desk phones, he said. Board several
asked that the description of the bill from Valle S1 Director Sutton
from "Slurry seal, 12' wide x 900' long as per bid,"
Slurry Seal be changed
P to . .9 as per quote."
Director Maass moved , and Director Aguera seconded, that the bills
presented for consideration be approved for payment. All Directors a e
by voice vote. SO MOVED. y
MANAGER'S REPORT
San Sperry letter re FmHA bond indenture
Manager Holzmeister reported that Bond Counsel Sperry has turned resolu i _
of the FmHA indenture matter over to Russell Mays of the Office of Generali
Counsel , He will keep the Board
USDA, Farmers Home Administration.
informed.
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New District complex
The office staff, Mr. Holzmeister noted, moved into the new building on
Saturday, September 19. Future Board meetings will be held in the new
Board room.
PUBLIC INPUT
There was no public input.
CORRESPONDENCE
Bi-state compact
Mr. Holzmeister said there is a meeting scheduled for 8:30 A.M. on October
2, 1987 at the Truckee Tahoe Sanitation Agency to accept input from
having an interest in the bi-state compact,
people
COMMITTEE REPORTS
Director Corbett noted there was an Electric Committee meeting to discuss a
matter which will be heard later during this meeting.
COMPUTER HARDWARE AND SOFTWARE - CONSIDERATION AND POSSIBLE APPROVAL OF
AGREEMENTS FOR ACQUISITION OF IBM HARDWARE AND OR COM SYSTEMS SOFTWARE
Provided in the Board packets, Mr. Holzmeister stated
projected cost ofthe computer system u , wer e reports on the
an implementation schedule. He reviewed
financing alternatives, and
sewed these reports with the Board.
A copy is attached for reference.
Questions were asked about variable versus fixed interest rates what
available through other lending institutions and whether or n' t is
computer system will reduce the number of employees necessaryto a new
operate
efficiently. Director Sutton asked that the Finance Supervisor oobtain
interest rates from Heart Federal and Bank of America in Truckee.
After some discussion, Director Maass moved that , after checking rates at
Bank of America and Heart Federal to determine if they have a fixed
equal or better , the Board authorize Paul Colburn and Peter Holzmeisterate
talk with Government Leasing and Amplicon and proceed with agreements to
outlined in the reports for the IBM 36 and a g is as
appropriate software. Director
Aguera seconded the motion. Manager Holzmeister noted that the m
savings to the District will be a monthly
approximately $300, ROLL CALL: all
Directors , aye. Director Sutton clarified that a resolution author
the agreements would be presented to the Board at the next meeting.
authorizing
MOVED. ting. SO
REQUEST FROM WESTSTAR CABLE TELEVISION
Representatives from WestStar are requesting permission to change
equipment at the Northside Well site. Mr. Hanson said their
a container building and two satellite television re they currently have
the site. Recently they were informed by various e1 ro dishes located on
p gram providers of
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�^ their intent to relocate to a different satellite. This requires WestStar
to also "look" in another direction and at a different satellite. In order
to continue the same programming it was necessary for them to install a
third satellite television receive dish (portable) at the present site.
They provided a drawing highlighting the location of the dish.
Director Sutton stated she feels the $200 annual lease fee is too little ,
and suggested raising the amount to $500. Director Maass moved that the
Board approve WestStar's request subject to them following the terms of
the lease relating to amendments; further, that a possible increase in the
annual lease amount be considered at the first meeting in January 1988.
MOTION FAILED for lack of a second.
Director Cooley moved to let WestStar proceed with drawing up plans and
specifications for adding the third receive dish and instructing Counsel to
draw up an appropriate amendment to the lease for consideration at the next
regular meeting; seconded by Director Maass. At Director Sutton's request,
Director Cooley amended the motion to include an increase in the lease fee
from $200 per year to $300 per year. Director Maass disagreed and withdrew
his second.
Director Cooley moved that WestStar be authorized to go forward with their
plans; seconded by Director Maass. ROLL CALL: all Directors, aye. SO
MOVED.
Director Cooley moved that the lease agreement allow three satellite dishes
on the site rather than two, and that there be no change in rent; seconded
by Director Maass. ROLL CALL: all Directors , aye, with the exception of
Director Sutton, who voted "no." SO MOVED, p
ACCEPTANCE OF 1986 AUDIT
Mr. Holzmeister noted that Arthur Andersen & Company
financial statements for the electric and water operations ,
the 1986
management letter covering both 1985 and 1986 , and rations , the REA
recommendations for improvement of accountinga letter containing
controls measures. The financial statements
procedures and internal
ents reflected the following
changes. 1) An adjustment to properly write-off the portion of the old
building which was destroyed as of year-end; the adjustments for electric
and water operations were made to the plant accounts and the reserve for
use and deterioration of plant. There is no affect to the net plant
balances resulting from this adjustment. 2) Adjustments to the District's
restricted fund balances. These changes (made at the Board's request)
reflect a reallocation of interest and restricted balances attributable q )
the new building. to
Director Sutton made note of the June 30, 1987 date on the letter from
Arthur Andersen and asked why she was not copied earlier. Mr. Holzmeist
er
said he believes their letter was dated as of the date the actual audit was
completed , not when it was written.
Director Sutton noted several corrections that should be ma
- the Statements of Sources and Uses of Cash for the de to the audit
W
include one item titled "electric;" this should be changed
Department
anged to "water."
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Also, regarding the Ward lawsuit on page six, the audit indicates the case
was settled in January of 1987. She said she doesn't think it was settled
until later in the year. Director Cooley asked that the correct date of
settlement and total amount of damages paid be included in the final audit.
Director Maass moved, and Director Aguera seconded, that Arthur Andersen be
asked to make the noted corrections to the audit , and that acceptance of
the final audit be considered at the next regular meeting. Director Cooley
asked that the motion include direction to include the total amount of the
Ward settlement in the audit documents; Directors Maass and Aguera agreed
to amend the motion accordingly. All Directors, aye, by voice vote. SO
MOVED,
APPROVAL AND ACCEPTANCE OF TAHOE DONNER SUBSTATION PAVING PROJECT
Engineer Tom Buckhouse noted that the Tahoe Donner Substation improvements
have been completed by John Boren in accordance with the contract
provisions , and he recommended accepting the project and approving payment
in the amount of $18 ,950 less the 10% retainage (a payment of $17 ,055).
Director Sutton noted that she did not receive a copy of the certified
payroll on this project. Mr. Holzmeister advised that the District has
never requested certified payroll records except on the new complex and
asked if the Board wants him to request these records on a regular basis.
He noted there is no requirement to obtain this data; the contractor is
required to pay prevailing wages, and his employees have the right to
protest if they are not receiving them. There was no direction from the
Board.
Director Maass moved, and Director Aguera seconded , that the Board adopt
Resolution No. 8744 approving and accepting the Tahoe Donner Substation
improvements and directing filing of the notice of completion; further
authorizing payment to John A. '
Boren, Jr. in the amount of $17 ,055. ROLL
CALL: all Directors , aye , with the exception of Director Cooley,
abstained without any explanation. SO RESOLVED. who
APPROVAL AND ACCEPTANCE OF AIRPORT BUSINESS PARK WATER DISTRIBUTION SYSTEM
Attorney Phelps stated that he has reviewed the resolution and related
documents pertaining to the acceptance of the Airport Business Park/Brown
Development Company water system and found them to be in order.
Engineering Technician Black noted that Engineer Sauers has also
recommended acceptance. Electrical Engineer Buckhouse advised that the
electrical portion of this project will be ready for acceptance in about
three to four weeks time.
Director Cooley moved, and Director Aguera seconded, that the Board adopt
Resolution No. 8745 a p
approving and accepting the Airport Business Park water
distribution system for ownership, operation and maintenance. Such
resolution also authorizes the Clerk to record the Bill of Sale f ch
or t
system with the Counties of Nevada and Placer. ROLL CALL: all Directorshe
aye. SO RESOLVED. ,
CONSIDERATION OF REQUEST BY SPPCO TO SERVE A CUSTOMER UNDER THE FRINGE AREA
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"- AGREEMENT
Mr, Holzmeister advised that , upon notice by the PUD, Sierra Pacific
stopped progress of the line extension to the Meeks residence (located
within the District's boundaries). They have requested permission to
continue their construction and to serve the customer under the terms of
the PUD/SPPCo fringe agreement.
Mr. Buckhouse explained that Sierra Pacific requires a new customer to bear
the entire cost of line construction up-front. When the project is
complete, they calculate the amount of free footage based upon the number
of electrical appliances in the residence. He estimated the cost of new
service from Sierra to be approximately four to four and one-half times
less than what the District would charge.
Director Cooley stated that , In his opinion, the District should equal or
surpass the service offered by a private utility. Director Sutton noted
that if the lines are built by the developer, the rates to the customer
will be less.
It was generally agreed that staff should work out a proposed solution
before approaching Mr. Meeks. Mr. Holzmeister indicated it will be
necessary for the Board to make a determination if the possible solution is
contrary to established policy.
Note was made that the Truckee Sanitary District requested service from
Sierra Pacific rather than the PUD for their lift station located
same vicinity. Director Sutton said she is offended that in the
service from Sierra Pacific and thinks the should participate
TSD requested
Y p ticipate in the cost
of the line extension.
After some discussion, Director Maass moved that a letter be written to Mr.
Meeks advising that the TDPUD intends to serve him, the TSD lift station
and any other customer located within the boundaries of the District.
Director Sutton seconded the motion. No vote was taken on this motion.
After more discussion, Director Maass moved that the District deny Sierra
Pacific's verbal request to serve Mr. Meeks under the fringe agreement, and
reaffirm the PUD's right to serve an '
District boundaries; seconded b Director
electrical customer within
y ctor Sutton. ROLL CALL: Cooley
abstained, giving no explanation; all other Directors, aye. SO MOVED,
Director Maass noted that the Electric Committee should meet to discuss
this matter and bring a recommendation to the Board at the next regular
meeting. g
ADJOURNMENT
There being no further business before the Board, Director A uera moved
that the meeting be adjourned. The motion was seconded by Director Maass
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and passed unanimously at 9:30 P.M.
TRUCKEE DO NER PUBLIC TIL TY DISTRICT
!�)
Jo Corbett, President
P ared by
Susan Macdonald, Deputy District Clerk
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