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HomeMy WebLinkAbout1988-04-14 Min - Board REGULAR MEETING April 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 7:12 P.M. in the TDPUD Board Room. ROLL CALL: Directors Aguera, Maass , White and Corbett were present. Director Sutton was not present. CONSULTANTS PRESENT: Consulting Engineers Dan Cook and Keith Sauers , Counsel John Phelps. EMPLOYEES PRESENT: Debi Black, Tom Buckhouse , Dave Rully, Mary Chapman, Peter Holzmeister and Susan Craig. OTHERS PRESENT: Among those present in the audience were Joe Suter , Charlie White , Bill Austin and Tony Rivara. APPROVAL OF MINOTES There were no minutes to be considered. STATEMENT OF GENERAL FUND AND BILLS FOR APPROVAL After a brief review and several questions were answered , Director Maass moved that the bills presented for consideration be approved for payment; seconded by Director White. All Directors, aye , by voice vote. SO MOVED. MANAGER'S REPORT Use of propane at headquarters building In June of 19871, the Warehouseman obtained quotes for propane from three local gas companies, Cal-Gas, Petrolane and Van Gas. The lowest price submitted was by Petrolane. The price per gallon, 65 �, is firm until July of 1988. Mr. Holzmeister reported that delivery of propane is normally every two weeks. The District is on a "keep full" schedule , which makes it incumbent upon the gas company to see that the District does not run out. Karen White asked that another company, Truckee Tahoe Propane , be asked for a quote this year. Director Maass moved, and Director White seconded, that the Petrolane bill be placed on the pre-authorized payments list. All Directors, aye, by voice vote, SO MOVED, Nevada County Hazardous Waste Management Plan On March 24 the District received a copy of the hazardous waste management plan. The plan recommends the McCourtney Landfill as the preferred site. A public hearing is scheduled for April 13; comments will be accepted until June 30. -1- Mr. Holzmeister reported that the plan includes types and quantities of wastes being discussed , the type of facility needed , and the sites evaluated. The site in Truckee that received the most attention is a site near Coachland Mobile Home Park and the District's Sanders Well. The report makes no reference to Sanders Well. He recommended appearing at the hearing to discuss the location of the well. Director White mentioned there is also a fault running through this area that should be mentioned. Director Maass moved , and Director White seconded, that the Manager be directed to represent the District at the hearing on the proposed hazardous waste site at Sha-Neva and relay to the Department of Transportation the District's objection because of the close proximity of Sanders Well. All Directors, aye , by voice vote. SO MOVED. PUBLIC INPUT There was no public input. CORRESPONDENCE Letter fros Nevada County regarding Water Advisory Committee expenses The County has advised that the Council's bylaws indicate there will be no compensation for services, and denied John Corbett's request for reimbursement in the amount of $128.1 b (an amount previously reimbursed by the District to Director Corbett). Director Maass requested that consideration of further participation on the Advisory Council be placed on a regular meeting agenda. Response from Touche Ross and Company Mr. Holzmeister noted that Touche Ross and Company has concurred with the definition of the management letter requirements set forth in his letter of March 17 , 1988. Letter from Suzanne R. Figletto regarding Hirschdale Water System The Board acknowledged receipt of the March 171 1988 letter from Ms. Figletto stating that she is opposed to any increase in taxes or assessments related to completion of the current water development project now under way in Hirschdale. COMMITTEE REPORTS Water Committee It was noted that there is nothing to report on the possible acquisition of the Donner Lake Utility Company. All other matters discussed by the Water Committee appear on the agenda for discussion and possible direction. -, PUBLIC HEARING - CONSIDERATION OF AN ORDINANCE REVISING ELECTRIC RULE NUMBER 252 MISCELLANEOUS ELECTRIC FEES -2- ,..,, President Corbett opened the public hearing at 7:30 P.M. Manager Holzmeister pointed out the changes in the miscellaneous electric fees, most having to do with clarification of the language. There were no comments or questions from the audience , and Director Maass moved to close the hearing at 7:37 P.M.; seconded by Director White and passed unanimously. Director Maass moved, and Director White seconded, that the Board adopt Ordinance No. 8802 revising Electric Rule Number 25, Miscellaneous Electric Fees. ROLL CALL: Aguera, Maass , White and Corbett, aye; Sutton, absent. SO ORDAINED. HIRSCHDALE WATER PROJECT, STATUS REPORT AND CONSIDERATION OF A CHANGE ORDER REQUEST Mr. Holzmeister said that the Water Committee met at 6:00 P.M. with the consulting engineer and contractor on the Hirschdale project. They reviewed in detail the change order request in the amount of $18 ,000 and Mr. Suter's request for $25,300. Mr. Cook recommended approval of the change order as submitted on January 189 1988 in the amount of $18,000 as the best alternative available to the District and to the users of the Hirschdale system. It was verified that there is no increase in labor costs. Director Maass summarized the history of the District's involvement with Hirschdale. He noted it is a no-win situation and will continue to deteriorate. If the project is not carried through to completion, the state has the ability to shut the community down. Director Maass moved , and Director White seconded, that the Board approve Joe Suter's Change order on the Hirschdale project in the amount of $18 9000. ROLL CALL: Sutton, absent; all other Directors, aye. SO MOVED. Director Maass moved that the contractor on the Hirschdale project (Joe Suter) be directed to resume work immediately; seconded by Director Aguera. All Directors, aye, by voice vote. SO MOVED. (At this point in the meeting Engineering Technician Black indicated she would contact Director Sutton and inform her of the action taken regarding the Hirschdale project.) CONSIDERATION OF JOB DESCRIPTION, SALARY RANGE AND RECRUITMENT PROCESS FOR A CIVIL ENGINEER Manager Holzmeister noted that , at its last meeting , the Water Committee discussed the civil engineer position and agreed on the job description as presented to the Board and a salary range of $47 ,000 to $53 ,000 for recruiting purposes. He suggested the District follow a recruitment process similar to what was used in recruiting Tom Buckhouse and Paul Colburn. -3- Reimbursement of interview costs and moving expenses was briefly discussed. Director Maass recommended that a policy be drafted, and noted he is in favor of paying expenses for the top three candidates and reimbursing a portion of moving costs when a position is advertised nationally or regionally. Director Maass moved, and Director Aguera seconded, that based on the recommendation of the Water Committee , the civil engineer's job description be approved and that the Manager be directed to advertise for applicants in the appropriate trade :journals. The Board agreed to pay for interview expenses for the top three candidates; payment of moving expenses for the person selected is to be determined at a later date. ROLL CALL: Sutton, absent; all other Directors, aye. SO MOVED. Director White suggested some clarifying language be included in the job description. By consensus, Director White was appointed to the selection committee for the civil engineer position. CONSIDERATION OF USE OF PERSONAL VEHICLE BY DISTRICT ENGINEER At the last meeting the Board asked the Manager to look into the tax and insurance implications of providing an allowance to Tom Buckhouse for using his personal vehicle for PUD purposes. He advised that any vehicle allowance paid to an employee is taxable. The employee must keep track of mileage driven for work and claim the IRS allowance as a deduction. The District insurance carrier says that in the event of an accident , Mr. Buckhouse's insurance will pay first; then the PUD insurance will cover any excess loss due to an accident on the job. He carries $100,000/$300,000 limits of liability. After some discussion, Director Maass moved that the Board approve paying the Engineer a flat rate of $189 per month plus 4 per mile for using his Personal vehicle. The matter is to be reconsidered at the first meeting in January of 1989. The motion was seconded by Director White. ROLL CALL: Sutton, absent; all other Directors, aye. SO MOVED. CONSIDERATION OF A DRAFT LEASE WITH NEVADA COUNTY FOR USE OF SPACE IN THE DISTRICT HEADQUARTERS BUILDING Counsel Phelps advised that he has reviewed the lease proposed by Nevada County. It is drafted in a manner that leaves the District responsible for utilities, maintenance, repair, and similar items , with the tenant simply paying a flat rate. Counsel's comments , in his letter of March 23, 19889 were reviewed and discussed by the Board. A copy of that correspondence has been attached for reference. The Board made the following decisions: a) Agreed to use of the Board room three times per month at no charge (Paragraph 2). b) Two-year term with two-year option for the County (Paragraph 3). -4- c) No provision for rent or damage deposits. d) A single two-year option (Paragraph 5). e) Reconsideration of the inflation limit (Paragraph 5). f) Upon termination of the lease , removal of improvements or fixtures added by the Lessee without damage to the District's facilities (Paragraph 7). g) Installation of lighting fixtures and electrical outlets at the discretion of the Manager (Paragraph 9). h) The County is to handle its own remodeling (Paragraph 10). i) No change to any permanent part of the building (Paragraph 10). i) Two weeks notice by the County before doing work that will necessitate the removal or modification of existing walls (Paragraph 10). k) The District will handle cleaning twice weekly only (Paragraph 11). 1) The District will not perform repairs or replacement of lighting fixtures (Paragraph 12). m) The District will pay all taxes assessed (Paragraph 14). n) The County shall maintain a certain amount of insurance to protect the District and the District should be named as an additional insured; the District will maintain certain coverage as required by the County (Paragraph 15). o) The District is to have the same right as the County concerning termination of the lease (Paragraph 18). p) The County is to acknowledge that County zoning ordinances may allow the premises to be assigned or sublet only to another government entity (Paragraph 22). q) The attorneys' fees suggested by Counsel Phelps is to be added. CONSIDERATION OF BIDS FOR COMPLETION OF SECOND STORY OF DISTRICT HEADQUARTERS BUILDING -5- ,...,, Mr. Holzmeister advised that two bids for completion of the second story were received - both seemed very high, he said; one in the approximate amount of $120,000 from Correa Construction and the other in the amount of $1509000 from Value Builders. He noted that Correa's bid was unsatisfactory since no bid bond or deposit was included. Architect Dale Cox estimated the improvements at $70 ,000. Mr. Cox noted that Bill Roberts , owner of Value Builders , informed him that he had added 20% to his figures "because of the necessity to make so many submittals to satisfy the P.U.D. Board of Directors." Reference was made to Public Contract Code Section 20206.1 ; it states that, upon determination of the board by an affirmative vote of two-thirds of its members that all bids submitted are unsatisfactory or are excessive, the district may do any necessary and proper work and make any necessary and proper expenditures in lieu of contracting for the performance of such proposed work. After some discussion, Director Maass moved that the Board make a determination that the bids submitted for completion of the second story are unsatisfactory or excessive, and that direction be given to do the necessary work and make proper expenditures on a time and material basis in lieu of contracting for the performance of such proposed work; the Manager and Architect are to supervise the project. The estimated cost is between $15 and $18 per square foot. Director White seconded the motion. ROLL CALL: Sutton, absent; all other Directors, aye. SO MOVED. The Architect was asked to provide a timetable for completion of the project. (This direction was given during discussion of Proposition 55.) STATUS REPORT ON PROSSER HEIGHTS WELL PROJECT, CONSIDERATION OF TWO CHANGE ORDERS, POSSIBLE AUTHORIZATION TO PERFORM ADDITIONAL HYDROGEOLOGIC INVESTIGATION Consulting Engineer Sauers summarized the work to date on the Prosser Heights Well Pump Project and reviewed the budget in the amount of $52,646. He noted that the Water Committee recommends that the well pump be increased to 200 gallons per minute and that testing be performed for future planning. Mr. Sauers recommended proceeding with a 100 horsepower submersible motor at a cost of $12,196. The work can be done within the existing contract schedule. Also , the prelubrication system originally called for will not be necessary. The well testing will show whether the well can be expected to serve a greater amount in the future. The cost is $121000. Costs related to engineering services associated with the proposed changes are approximately $2 ,500. The Manager advised that the entire project can be paid for out of the restricted fund. -6- Director Maass moved, and Director Aguera seconded, that the Board approve Contract Change Order No. 1 for Resource Development Company on the Prosser Heights Well Pump Project in the amount of $181916. ROLL CALL: Sutton, absent; all other Directors , aye. SO MOVED. STATUS REPORT ON PROPOSITION 55 FUNDING, POSSIBLE DIRECTION ON PREPARATION OF DETAILED PROJECT REPORT Manager Holzmeister advised that the District's application for funding under Proposition 55 has been reviewed and approved by the State Department of Water Resources. Water Resources has now requested from the State Department of Health certification of the actual projects to be construction. Engineering Technician Black stated that, in order for the State Department of Health to certify the project, the District must submit a detailed report on the proposed projects with itemized components and corresponding costs. The associated engineering, legal, project management costs , and contingencies must also be itemized (all estimated at 1990 figures). She reviewed the proposed projects and costs with the Board. At the recommendation of the Water Committee, Ms. Black requested authorization to proceed with preparation of the report with the assistance of Consulting Engineer Sauers. After some discussion, Director Maass moved that staff be authorized to proceed with preparation of a detailed report on the proposed Proposition 55 projects, itemized components, and corresponding costs with Consulting Engineer Sauers' assistance; seconded by Director Aguera. ROLL CALL: Sutton, absent; all other Directors, aye. SO MOVED. The Board asked the Engineering Technician to prepare a timetable of events leading up to funding. CONSIDERATION OF PROPOSALS FOR RENEWAL OF DISTRICT INSURANCE Office Supervisor Chapman noted that quotations from three different insurance companies were requested; Nationwide and Frank Be Hall/Reliance Provided quotes. Mrs. Chapman made a comparison, and said that they are not exactly the same in that the maximum excess liability insurance that Nationwide can provide is $8 ,000,000. Given the size of the District , between $10,000,000 and $20,000,000 in liability insurance is recommended. Directors and officers coverage is only available if the District purchases the primary and excess liability coverage - the PUD cannot purchase the primary and excess liability insurance from one company and the Directors and officers insurance from the other company. After discussion, Director Maass moved that the Board approve insurance renewal with Frank Be Hall/Reliance in the amount of $156 ,419, This is to include payment to NRECA for membership in the amount of $49186; seconded by Director White, ROLL CALL: Sutton, absent; all other Directors , aye. SO MOVED. CONSIDERATION OF AN ORDINANCE ESTABLISHING CROSS CONNECTION CONTROL -7- -� REGULATIONS, WATER RULE NUMBER 23, SETTING A PUBLIC HEARING It was noted that as of July 1 , 1988, utilities must have in place a cross connection program. After brief discussion, Director Maass moved, and Director White seconded, that a public hearing to discuss the proposed ordinance be scheduled for 7 :30 P.M. at the next regular meeting and advertised appropriately. All Directors, aye , by voice vote. SO MOVED. CONSIDERATION OF RELEASE OF FUNDS TO VALUE BUILDERS INC., RELEASE OF LIEN REGARDING PREVAILING WAGES After some discussion, Director Maass moved that the Board authorize release of $8,515.36 to Value Builders , which was previously retained because of failure of Diversified Electrical to pay prevailing wages. Director Aguera seconded the motion. ROLL CALL: Sutton, absent; all other Directors, aye. SO MOVED. ADJOURNMENT There being no further business before the Board , motion was made , seconded and passed unanimously to adjourn the meeting at 9:23 P.M. TR7CK DO R PU IC UTIL TY DISTRICT h 'L. Corbett, P siden� pared b Susan M. Cra g, Deputy District Cle smc/5d.10 -g-