HomeMy WebLinkAbout1988-01-04 Min - Board REGULAR MEETING
January 4, 1988
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 TDPUD Board Room.
ROLL CALL: Directors Aguera, Maass , Sutton , White and Corbett were
present*
EMPLOYEES PRESENT: Tom Buckhouse , Debi Black, Mary Chapman, Paul Colburn,
Bruce Grow, Peter Holzmeister, Dave Rully and Susan Macdonald.
CONSULTANTS PRESENT: Counsel John M. Phelps.
OTHERS PRESENT: Among those present in the audience were C. Nichols, Ian
Canaan, Rob Ouchida, Dan McCurry, Betsy McBride, Pam Tucker, Marnie Hasser,
Danielle Scott, Bill Austin, Tony Rivara and Dennis Pugh.
APPROVAL OF MINUTES
Director Sutton moved, and Director White seconded, that the minutes of
October 5, 1987 be approved as corrected. All Directors, aye , by voice
vote. SO MOVED,
Director Sutton moved that the minutes of December 7 , 1987 be approved as
written. The motion was seconded by Director White. All Directors, aye ,
by voice vote. SO MOVED.
STATEMENT OF GENERAL FUND AND BILLS FOR APPROVAL
Mr. Holzmeister said that the statement of general fund and the paid
invoice report are incomplete due to the time spent on conversion of the
accounts payable system to the new IBM computer. The reports should be
available for the next regular meeting.
The bills presented for consideration were reviewed and discussed. The
Manager was asked to clarify the bill from J. H. Baxter Co. for power poles
in the amount of $3 ,914.58.
Director White moved, and Director Aguera seconded, that the bills
presented be approved for payment. ROLL CALL: all Directors, aye. SO
MOVED.
MANAGER'S REPORT
October financials
The budget report through the end of October was included in the Board
packets and shows the District to be in fine shape, Mr. Holzmeister stated.
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Work is a bit behind due to the computer conversion; the November and
December budget reports will be Drepared as quickly as possible.
Open house update
The open house is scheduled for Saturday , January 16 from 9:00 A.M. to 2:00
P.M. Several employees are preparing informative presentations for the
occasion.
NWPPA seminar
Mr. Holzmeister noted that the Northwest Public Power Association is
holding a seminar on electrical system operation for the non-engineer. He
said he feels at a disadvantage in that his technical background is
limited. He thought the course would give him some understanding of
technology and be helpful for the discussions with SPPCo and NCPA about the
transmission and generation issues. Total cost of the seminar is
approximately $675.
Director Sutton moved, and Director Aguera seconded, that the Manager be
authorized to attend the NWPPA seminar on electrical system operation for
the non-engineer. All Directors, aye , by voice vote. SO MOVED.
Hirschdale update
Manager Holzmeister advised that he spoke with Jess Morehouse of the State
Health Department. Mr. Morehouse recommends drilling out the test hole at
Hirschdale and completing the well according to plans ; performing a
continuous 72 hour drawdown test with a pump to determine reliable capacity
of the well; and collecting water samples for complete chemical analysis of
the well. He does not recommend proceeding with construction of the tanks
or pipelines until the well source has been evaluated.
Mr. Holzmeister noted he would like to go to Phase B. installation and
development of the well and, at the same , issue the notice to proceed to
Joe Suter so he may begin to acquire materials for the storage tank. He
requested a special meeting be called to take action on this matter.
After some discussion, Director Sutton moved that a special meeting be set
for 7:00 P.M. on Monday, January 11 , 1988 for the purpose of discussing and
taking action on the Hirschdale water system project. Director Aguera
seconded the motion. All Directors, aye , by voice vote with the exception
of Director White , who abstained from voting since she is not able to be
present. Director Maass advised that he may not be available that evening.
Soma Sierra Tank
The Manager acknowledged receipt of a letter dated December 28, 1987 from
Crawford Risk Management Services. It states that coverage on the Soma
Sierra Tank vandalism will be afforded under the policv; the company will
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consider the tower real property. An amount was not stated in the letter,
but Mr. Holzmeister said he would keep the Board informed.
New Year's weekend electric outages
District Engineer Buckhouse summarized electric outages over New Year's
weekend for the Board.
On December 31 at 7:00 A.M. Feeder 2 at the Tahoe Donner Substation relayed
to lockout. The circuit was patrolled and no problem was found. The
recloser was closed and the load was too great to pick up. The circuit was
sectionalized to permit portions to be re-energized separately. This
procedure was completed at 11:00 A.M. and no circuit problem was
discovered. Fault indicators were installed at several points on the
circuit to help locate the problem should it reoccur. At 6:00 P.M. the
feeder again relayed to lockout. The circuit was patrolled and again no
problem was found. The fault indicators showed no fault on the circuit.
Suspecting a problem with the recloser, the crew installed recloser by-pass
fuses and picked up the circuit again in sections. All power was restored
by 8:00 P.M. No further service outages were experienced with this feeder
throughout the weekend. Mr. Buckhouse said the recloser control will be
replaced this week and tested to determine if it is faulty.
There was some discussion as to whether or not the system is able to handle
peak loads. Mr. Buckhouse noted that the outages had nothing to do with
the high demand. It was suggested that the customers be educated to turn
off appliances when the power goes off so the demand isn't so great when
trying to bring the system back up.
There was a report of power out to portions of South Shore Drive at Donner
Lake at 8:00 P.M. on December 31 , 1987. A conductor broke at a connection
and was on the ground. Power was restored at 11 :00 P.M.
Several customers at Prosser Heights and Prosser Lakeview reported power
out at 8:00 P.M. on December 31. A burnt jumper on one phase at a pole
just north of the freeway on Feeder 5 at the Truckee Substation was the
cause. Power was restored at 11.:00 P.M.
Several houses were out of power for about one hour on January 1 on
Sitzmark in Tahoe Donner due to a failed transformer.
On January 3 at 9:00 P.M. Feeder 1 at Tahoe Donner relayed to lockout. A
circuit patrol revealed heavy snow build-up and a broken insulator on the
main line on Northwoods Boulevard near Christie. Repairs were completed
and service restored shortly before 11:00 P.M.
Summary of services provided by Sauers Engineering during November 1987
Note was made of Mr. Sauers' summary describing services performed during
November. His memo said that much of the information accompanies his
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invoices in the form of an Invoice Basis Report.
Director Sutton said she thought the Board requested a brief explanation of
the problems Mr. Sauers was investigating and his findings rather than an
explanation of charges. Mr. Holzmeister stated he would clarify this with
Mr. Sauers.
PUBLIC INPUT
There was no public input.
CORRESPONDENCE
County Counsel's letter of December 22, 1987 regarding conflict of interest
code
Counsel Phelps referred to Deputy County Counsel Wellner's letter dated
December 22 regarding the conflict of interest code. Ms. Wellner states it
has recently come to her attention that the District is operating within
both Nevada and Placer Counties. She said that as a bi-county agency, the
Board of Supervisors of Nevada County is no longer the code reviewing body
for purposes of approval of the District' s code; the Fair Political
Practices Commission shall approve bi-county agency codes and shall be the
recipient of the financial disclosure statements. Counsel Phelps advised
that the FPPC calls for each District to receive and keep on file the
financial disclosure statements of its Directors and designated employees.
Ms. Wellner suggests in her correspondence that the District discuss this
matter with Janette Turville of the Fair Political Practices Commission to
make certain the current conflict of interest code was appropriately
approved by the County Board of Supervisors. Counsel Phelps has forwarded
to the FPPC a copy of the District's conflict of interest code ordinance
for approval and possible direction.
Director Maass noted that Ms. Wellner's letter points out ex-Director Dan
Cooley failed to file financial disclosure statements for the past two
years. She said this is another matter that the FPPC will be handling in
the future. He asked Mr. Phelps to follow up on this issue.
Counsel Phelps' December 29, 1987 letter respecting recent amendments to
the Brow Act
Counsel Phelps summarized the contents of his December 29 letter concerning
recent amendments to the Brown Act. As a result of the amendments, public
agencies may meet with their attorneys in closed session only for the
purpose of discussing pending or threatened litigation, and not to receive
legal advice unrelated to litigation; further, prior to adopting a new fee
or approving an increase in an existing fee, a local agency shall hold a
publicly noticed hearing. Mr. Phelps said he believes this new law is
intended to cover all fees for which a separate statutory notice
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requirement does not already exist. The law is not completely clear,
however, and he indicated he is checking with the senator who authored the
law to make sure of its intent, Mr. Phelps noted that the Board has
followed these guidelines for some time.
Ellen Hyatt's December 23, 1987 letter of commendation for the water crew
The Chairman acknowledged Ms. Hyatt's December 23 letter of commendation
for the water crew. She said she was quite impressed with the crew's
quickness to respond and their suggestions on how to avoid frozen pipes in
the future.
COMMITTEE REPORTS
There were no committee reports.
CONSIDERATION OF DR. DONALD ORML'S REQUEST TO ABANDON AN EASEMENT AND
ACCEPT A SUBSTITUTE EASEMENT
Engineering Technician Black explained that the petitioner wants to
transfer AP#1 s 18-500-41 and 42 to Dr, Orme. It's Dr. Orme's intent to
develop the property, and he wants to clear the title of the blanket
easement and restriction contingent upon receiving County approval for the
development. She said that following an on--site review by Water Foreman
Rully and District Engineer Buckhouse, staff recommends releasing the
blanket easement and obtaining an easement , ten feet in width, along all
side and rear property lines. She noted that prior to provision of
service , additional easements may be necessary and will be obtained through
the development agreement process. Since the abandonment of the easement
is only necessary should the proposed development be approved by the
County, the applicant has requested a resolution of the District's intent
to proceed with the abandonment.
Counsel Phelps stated he has reviewed the preliminary title report and
relevant deeds involving the District , and has met with the attorneys who
are assisting the petitioner , Mr. Still , in clearing up title to the
property. The restriction within the deed expired in 1966 and therefore
requires no action. He prepared a letter of • explanation and draft
resolution related to the abandonment.
Director Maass moved that the request be approved.
Tom Archer (attorney representing the developer) asked to address the
Board. Director Sutton noted that Mr. Archer is the attorney for Robert
Sutton Company, the business owned by her and her husband. She stated she
does not feel there is any conflict but wanted to make the Board aware of
the relationship.
Mr. Archer explained that the property consists of two parcels but will be
developed as one parcel; therefore, ten foot easements along side and rear
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property lines may not be feasible. He requested a change in the proposal
that was originally submitted. Discussion ensued, and it was clear that
there was a misunderstanding on staff's part as to what is being requested.
Director Maass' motion to approve the original request died for lack of a
second. He thereafter moved that the matter be tabled (without prejudice)
until details have been worked out by Counsel, the Manager and petitioner;
seconded by Director White. All Directors, aye, by voice vote. SO MOVED.
REVIEW OF RESOLUTION N0, 8751 AND POSSIBLE DIRECTION (POLICY GOVERNING USE
OF BOARD ROOD)
Mr. Holzmeister noted that never before has the District been in a position
of having a room available for use by others and it will have to experiment
for a while before settling on a workable policy. He said that since the
initial policy was adopted he has had two requests to use the Board room.
The hospital wanted a room in which to conduct training for doctors, nurses
and emergency medical technicians on a new type of cardio-vascular
treatment. When quoted the fee , they declined use of the room.
The second request was from Lisa Abrahams, the School District nurse, who
wants to use the room for training parents in preventing drug and alcohol
abuse. When Mr. Holzmeister quoted the fee she said she felt her budget
for the program would prohibit her from using the room.
Manager Holzmeister said he believes the District is losing an opportunity
to be of assistance to the community. He thought some flexibility in the
policy might help and suggested he be given the authority to waive the fee
at his discretion.
There was some discussion, then Director Maass moved that the Manager be
directed to keep accurate records of requests and actual use of the Board
room. Next January the Board will review the related policy. In the
meantime , special requests for use of the room are not to be placed on the
agenda. The motion was seconded by Director Aguera. ROLL CALL: Aguera,
Maass , Sutton and White, aye; Corbett , no. SO MOVED.
CONSIDERATION OF COMPUTERIZED ENGINEERING MAPPING SYSTEM; POSSIBLE
DIRECTION
District Engineer Buckhouse advised that at this time the District has no
electrical system inventory mapping and only limited water system mapping.
In order to correct the deficiency, a computerized drafting system was
proposed and subsequently approved in the 1987 budget. Now he is in the
position to make use of the system and is requesting permission to acquire
it as soon as possible.
Mr. Buckhouse noted that the software to perform this task is called
Autocad and sells for $2 ,900. In order to utilize the program, a hardware
package must be put together from many manufacturers at a cost of about
$105000, Expert advice is required and available to piece together a
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package that meets the District's needs , is flexible enough for other
engineering applications, and is not extravagant. He is proposing to
identify two packages as acceptable and solicit bids. He explained that
one vendor would he responsible for supplying, providing, installing,
training and supporting the entire package.
After some discussion, Director Maass suggested that Mr. Buckhouse meet
with Counsel to discuss the matter and make sure the bid requirements are
met. He thereafter moved that the matter be directed back to staff_ and
counsel for review and recommendation on how to proceed; seconded by
Director Aguera. All Directors, aye , by voice vote.
CONSIDERATION OF METHOD FOR SELECTING AN AUDITING FIRM FOR THE 1987 AUDIT
By memo dated December 30, 1987 , the Finance Supervisor suggested that the
Board appoint a Finance and Audit Committee that would be responsible for
reviewing (along with him and the Manager) the audit proposals ,
interviewing the prospective auditors and making a recommendation to the
Board.
Director Aguera moved that Directors Sutton and White be appointed to the
Audit Committee for this purpose; seconded by Director Maass, All
Directors, aye, by voice vote. SO MOVED,
(Director Sutton noted she would not be available to sit on this committee
and asked that a replacement be found.)
OVERVIEW BY DEPARTMENT HEADS OF PROPOSED BUDGET FOR 1988; POSSIBLE
DIRECTION
Manager Holzmeister explained to the Board how the Budget is organized.
It is `a line item budget; green pages represent revenues, white pages,
expenditures , blue pages, back-up detail. The budget is organized by
department - water and electric are separate; there is an 80/20 split on
overhead. There is narrative throughout , a section on capital
improvements, and appendices include restricted funds , off-budget items ,
consumer deposits , a budget summary and budgeted labor.
Mr. Holzmeister said the proposed budget does not require a rate increase.
He spoke of long term pressure on water rates; the fact that rate studies
would be conducted during 1988; and the continuing negotiations for bulk
power supply.
Office Supervisor Chapman noted the Office Administration Department is
staffed by five Senior Clerks in addition to herself. It is divided into
three functional areas -r Customer Services , Customer Billing and Customer
Collections. She said there are two significant changes since last year in
the office administration section of the budget - finance/accounting and
customer services/billing are now separate departments; miscellaneous
expenditures once included in the administration portion of the budget are
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now allocated specifically.
Goals for the Customer Service Department outlined in the 1988 budget
include implementation of the new bill , the equal payment plan, a system
for customer complaints and follow-up; provision of energy conservation
material, purchase of an answering machine, continuation of the
communications effort by way of the newsletter, a new customer pamphlet ,
soliciting community input and coordinating tours and speakers. The
department will also convert the billing system and implement an automated
meter reading system. Employees will be trained on the new computer and
receive further training in the area of customer services.
Finance Supervisor Colburn advised that the Finance and Accounting
Department was _formed during 1987 and is responsible for coordinating all
the District's data processing, maintaining the accounting system,
processing accounts payable and payroll , investing the District's idle
funds , preparing monthly reports and the year-end audit , and preparing
miscellaneous reports required by the General Manager and Board.
During 1988 the Finance and Accounting Department will emphasize
instituting a new audit procedure , reviewing the investment policy, and
reviewing the water and electric rate structures. They will also complete
IBM computer installation and training.
District Engineer Buckhouse noted that the Engineering Department consists
of himself , one Engineering Technician and two Senior Clerks. They
process service requests, work orders and customer complaints. During 1988
this department will complete and implement a system protection
coordination study; complete a system phase balance study and prioritize
corrective measures; complete the development of construction standards for
electrical facilities; and continue the development of a multi-level
computerized inventory system of the District's electrical distribution
systems.
The Technical Services Department consists of a Foreman , three Meter
Readers , one Meter Technician, one Mechanic, one Warehouseman and one
Senior Clerk. Bruce Grow, Foreman, noted that the department has
responsibility for meter reading and meter maintenance, vehicle repair and
maintenance , and purchasing and warehousing.
Mr. Grow noted that during 1987 the position of Automotive Mechanic was
added in order to enhance the vehicle maintenance program. During 1988 the
department will be catching up on postponed routine maintenance. They also
hope to implement the automated meter reading system which will improve
productivity in the task of meter reading; start on a program to replace
older mobile radios; and designate addresses for each warehouse pallet.
The Technical Services Department also supervises the District's program
for eliminating PCB contaminated oils. During 1988 they will continue with
"^ the removal of PCB oil from padmount transformers in the Tahoe Donner and
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Donner Lake areas , Mr. Grow said. He explained this procedure to the
Board.
Mr. Buckhouse advised that the Electric Department will be continuing the
apprentice program and the right-of-way clearance program. They hope to
acquire a trailer for the snow mobile. Under capital improvements , the
department plans to pave the access to Martis Valley Substation and to
recond uctor from the elementary school to Northwoods Boulevard. The
emphasis is to reliable service to the customers.
Manager Holzmeister stated that since Water Department revenues are
increasing, no rate increase is needed in 1988. During the year the Water
Department will complete the Hirschdale water system, work on improvements
listed in the Proposition 55 funding, and address the Tahoe Donner
distribution system leaks. Also, he hopes to obtain Board approval to hire
a full-time civil engineer.
Mr. Holzmeister noted that there are two factors that can significatxtly
impact water rates in the future. Approximately five million dollars of
system improvements will be installed over the next three years. The
investment will be financed by means of a subsidized interest rate loan
through the State, but rates will be impacted.
Director Maass asked the Manager to provide the Board with a breakdown of
engineering costs for the last two years and make a comparison to paying a
full time civil engineer.
Debi Black, Engineering Technician, explained that during 1988 the
Engineering Department will administer the construction programs related to
Proposition 55 funding and Hirschdale; prepare a network analysis of 30% of
the District's water distribution system which will serve as a tool to
identify system improvements required; implement a new backf low prevention
program in conjunction with Proposition 55 funding; continue with master
planning of the water system; continue development of a computerized
inventory system of the water system; set up educational programs;
computerize construction accounting; train the new civil engineer; and
continue the water quality program.
The Water Department maintains the well pumps, booster pumps and water
mains in the system. Water Foreman Rully said that the contracted services
portion of the budget is up over previous years due to the cost of
telemetry being placed in the water rather than administrative expenses.
He also noted this will be the first year the Water Department has an
official standby program. During 1988 the department will follow through
with the water quality program; will institute a water serviceman
apprentice program to improve the skills and productivity of the expanded
water crew; and perform routine maintenance. Two new vehicles were
requested but not placed in the 1988 budget; Mr. Rully hopes to refurbish
Unit 5. Capital improvement projects include Ponderosa Palisades hydro,
Prosser Heights well building, Soma Sierra tank drainage , Alder Creek Road
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Polo'`
pipeline replacement, increase the suction line at Armstrong booster, and
Northwoods booster. He advised that the telemetry system will have to be
upgraded or replaced within the next few years and asked the Board to
consider establishing a restricted fund for this purpose.
The Board thanked staff for their information presentation. Director Maass
recalled a time prior to hiring Mr. Holzmeister when the budget was only
three or four pages long and presented more than halfway through the year
for approval; he noted how pleased he is with the timeliness of the budget
and its format.
CLOSED SESSION
At 10:04 P.M. the meeting was adjourned to closed session for the purpose
of discussing Union negotiations.
RETURN TO PUBLIC SESSION
The Board returned to public session at 12:06 P.M.
ADJOURNMENT
There being no further business before the Board, motion was made, seconded
and passed unanimously to adjourn the meeting at 12:07 P.M.
TRUCKEE DONNER PUBLA UTILITY DISTRICT
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Jo L. Corbett, Presi nt
P pared -
Susan Macdonald, Deputy District Clerk
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