HomeMy WebLinkAbout2011-03-16 Min - Board REGULAR MEETING
March 16, 2011
In accordance with District Code Section 2.08.010, the TDPUD minutes are action only
minutes. All Board meetings are recorded on a digital format which is preserved
Perpetually and made available for listening to any interested party upon their request.
The regular meeting of the Board of Directors of the Truckee Donner Public Utility District
was called to order at 6:00 PM in the TDPUD Board room by President Bender.
ROLL CALL: Directors Joe Aguera, Jeff Bender, Ron Hemig, John Hillstrom and Tony
Laliotis were present.
PLEDGE OF ALLEGIANCE
Barbara Cahill led the Board and public in the Pledge of Allegiance
EMPLOYEES PRESENT: Nancy Waters, Mark Thomas, Kathy Neus, Bob Mescher, Rosana
Matlock, Joe Horvath, Steven Poncelet, Kathy Moore, Joe Horvath, Michael Holley and Bar-
bara Cahill
CONSULTANTS PRESENT: Steve Gross
OTHERS PRESENT: Peter Holzmeister, Bob Quinn, Ed Taylor, and Scott Parker
CHANGES TO THE AGENDA
General Manager Holley asked Item No. 17 be removed from the agenda: Closed Session,
Conference with Real Property Negotiator Pursuant to Section 54956.8 of the Government
Code. Property 10750 Bermgarten Rd, McGlashan Springs APN 18-010-10; District
Negotiator: General Manager; Negotiating Party: Tahoe Donner Association; Under
Negotiation: Price and Terms
PUBLIC INPUT
There was no public input.
DIRECTOR UPDATE
Director Hemig said he attended Frank Schneider's Funeral last Saturday. They even played
taps. Director Aguera and his wife Clare, and Katie Holley were also in attendance.
CONSENT CALENDAR
CONSIDERATION OF THE AWARD OF A CONTRACT TO PURCHASE CFL'S This item
involves awarding a contract to purchase Compact Fluorescent Lights.
1 Minutes: March 16, 2011
CONSIDERATION OF THE AWARD OF A CONTRACT TO PURCHASE WATER METER
BOX RETROFIT MATERIALS This item involves awarding a contract to purchase water
meter box retrofit materials.
Director Laliotis moved, and Director Hillstrom seconded, that the Board approve the consent
calendar. ROLL CALL: All Directors aye, by voice vote. SO MOVED
ACTION ITEMS
CONSIDERATION OF A REQUEST FOR POST-RETIREMENT HEALTH BENEFITS This
item involves Robert Quinn's request for Post-Retirement Health Benefits.
Director Bender moved, and Director Hillstrom seconded, that the Board deny Mr. Robert
Quinn's request for District paid post-retirement health benefits.
ROLL CALL: Director Hemig, no; all other Directors aye, by voice vote. SO MOVED
CONSIDERATION OF WRITE-OFF OF DELINQUENT ACCOUNTS RECEIVABLE This
action requests the Board of Directors to approve the current semi-annual write-off of
delinquent account balances for FYI 0.
Director Hemig moved, and Director Aguera seconded, that the Board approve the write-off
list totaling $78,046. ROLL CALL: All Directors aye, by voice vote. SO MOVED
CONSIDERATION OF SETTING A PUBLIC HEARING DATE TO BEGIN THE MARTIS
VALLEY GROUNDWATER MANAGEMENT PLAN PROCESS This item involves a
discussion about the Martis Valley Groundwater Management Plan and setting a public
hearing date to start the process.
Director Hillstrom moved, and Director Aguera seconded, that the Board authorize staff to
schedule a public hearing for the April 6, 2011 Board meeting to begin the Martis Valley
Groundwater Management Plan Process, and to advertise a notice for the public hearing.
ROLL CALL: All Directors aye, by voice vote. SO MOVED
WORKSHOPS
DISCUSSION REGARDING A LOCAL PROCUREMENT POLICY This items involves a
discussion about a local procurement policy.
Robert Mescher gave a presentation:
• Board requested staff to investigate the possibility of a local preference procurement
policy
• Purchasing procedure is defined in the District Code
• Annual procurements are about $10 million; $2 million could be eligible for local prefe-
rence procurements
• What are other agencies doing?
o California counties and cities offer a local preference, expecting sales and property
taxes to increase
2 Minutes: March 16, 2011
.. o Nevada, Placer, Sierra Counties typically offer preference of 5% of contract cost
o Town of Truckee
— Public works contracts: 5% local preference
— Commodities: in process of creating a local preference based on contribution to
local sales tax
o Nine neighboring local agencies do not have written local preference procurement
policies
— Alpine Springs County Water District
— North Tahoe Public Utility District
— Northstar Community Service District
— Placer County Water Authority
— Squaw Valley Public Service District
— Tahoe City Public Utility District
— Tahoe Truckee Sanitation Agency
— Truckee Fire Protection District
— Truckee Sanitary District
• Proposed policy:
o Encourage local business to provide goods and services
o Maintain healthy economy and encourage efficiency
o Provide 5% local preference
o Limit procurement to not exceed $100,000 per vendor or business
o Require that vendor or business must
— Be a District rate payer in good standing for past 6 months, or
— Receive power or water at business location for past 6 months when utilities are
a paid by a third party
• Eligible procurements:
o Commodities or Equipment up to $10,000
o Public works contracts up to $15,000
o Other service contracts up to $100,000
o Special services up to $100,000
o Consulting services up to $100,000
o Emergencies up to $100,000
• Next steps:
o March 25th: advertise proposed policy
o April 6th: receive public comment, adopt policy, and revise District Code
• Fiscal Impact
o Potential annual cost to the District could add up to $100,000 based on a 5%
preference adjustment on $2 million awarded to local businesses
o Estimated annual cost is less than $10,000 based on a 5% preference adjustment
on less than $200,000 awarded to local businesses
Public input:
• The Town of Truckee gives preference to local paving contracts, and also requires a
certain number of employees live within Truckee
Board discussion:
• The policy should read "more local competition% not "efficiency"
3 Minutes: March 16, 2011
�. • A natural vehicle to promote the policy would be through the Truckee Chamber of
Commerce
• Truckee Chamber has the ability to promote among their members
• Would be good idea for Steven Poncelet to meet with other agencies and share the
policy
• The idea is to get local providers to get into the bid process so there is more local
competition
• Are the dollar limits ok?
• Do we see any issues with determining local vendors
• Excited-there will be more competition- locals knowing they will have some leeway
• Fiscal impacts are immaterial- benefits outweigh
• Recommend: review the policy each year; report on the activities that took place within
the policy and level of impact; is the policy working or not or does it need changes
• What drove the dollar eligibility criteria; how did you come up with the list
• Like the whole thing
• Eligibility procurement limits are set for out District
• 5% break for$15K public works contract
• $1OK to $15K limits based on code; $100K based on proposals-should the limits be
higher
• What are special services
• If successful, want to see impact
� • Get good bids from locals
DISCUSSION OF 2010 PURCHASE POWER LOAD, RESOURCES, PEAKS, COMPARI-
SON TO 2010 BUDGET FORECAST This item involves a summary of 2010 Purchase
Power including Load, Resources, Peak and comparison of Budget Forecast to actual.
Joe Horvath gave a presentation:
• On October 21, 2009 the "Purchase Power Plan — 2010-2011 Budget Review" was
presented to Board and covered the following topics:
o Mission Statement and Objectives
o Renewable Portfolio Standard (RPS) Target
o Conservation as First Resource
o Diversified Power Supply Plan
o Future Renewable Resources
o Proposed Resources for 2010
o Risk to Budget and 2010 Forecast Cost
• Purchase Power Plan 2010 Budget was approved by Board on November 18, 2009
• The approved 2010 Purchase Power Plan included the following budgeted amounts:
Cost Component and Description Cost $ per MWh
Total Energy Supply-Various $9,765,024 $61.03
Transmission Wheeling -SPPC $1,043,766 $6.52
Scheduling- NCPA $759348 $0.47
"� Market Purchases - NCPA $0 $0
Central Valley Project-WAPA $39,616 $0.25
Totals $10,923,754 $68.27
4 Minutes: March 16, 2011
• 2010 Plan was based on a forecast of 160,000 MWh of energy purchases
• Summary budget vs. actual values for 2010:
Description Budget Actual
Total Energy Cost $10,923,753 $10,450,398
Total Energy Consumption, MWh 160,000 158,494
Cost per MWh $68.27 $65.94
• Energy cost: 4.3% less than budget
• Energy consumption: 1% less than forecast
• Cost per MWh: 3.4% less than budget
• Fiscal impact
o Detailed budgeted vs. actual amounts for 2010 are shown below:
Power Purchase Costs Budget Actual
Total Energy Supply- UAMPS, WAPA, Geo, etc $9,765,024 $9,414,832
Transmission - SPPCo. $1,043,766 $993,050
Scheduling - NCPA $75,348 $70,472
WAPA cost/(credit) $39,616 ($271956)
Total Power Purchase Cost $10,923,753 $10,4503398
$Over/(Under) Budget ($4732355)
Percent Difference, Actual vs. Budget -4.3%
Purchase Cost per MWh $68.27 $65.94
Percent Difference, Actual vs. Budget -3.4%
There was no public input.
Board discussion:
• Great results and report
• What is the amount we are budgeting for 2011 compared to 2010- does Stephen
Hollabaugh reforecast
• Good to hear we were under budget by one half million
• Home run—good information
• Excellent report
• Other than the number of people, why do we peak in December and January
• Interesting stats
• What about the affects of conservation programs- maybe they are not hitting the
second homeowners
• Will the cost to SPPC for the transmission ever go down
REVIEW OF DISTRICT 2010 WELLNESS PROGRAM AND 2011 WELLNESS/FITNESS
CHALLENGE This item involves the review of 2010 wellness program and 2011
wellness program activities.
Nancy Waters gave a presentation:
• TDPUD has provided a Wellness Program for many years
5 Minutes: March 16, 2011
,... o District's health insurance provider, NRECA, offers 6% discount on annual pre-
mium
o Discounted premium dollars pay for the wellness program
o Annual health screenings earn 2%
o Other activities earn remaining 4%
• 2010 Fitness Challenge
o Offered to all employees, Directors, and spouses
o Participants earned points for daily activities focusing on exercise, nutrition, and
weight-loss
o Meeting individual goals was rewarded
o Good participation rate
o Over 400 pounds reported lost by employees
• 2011 Wellness Program
o Health screenings were held in February
o Fitness challenge will begin in April and run through June
o Involvement is optional, but all are encouraged to participate
• Fiscal Impact
o Exact cost of the fitness challenge depends upon the level of participation
o Wellness program saves the District approximately 4.5% on the cost of the annual
health insurance premiums
o Sufficient funding for the wellness program is included in the FY11 budget
..., There was no public input.
Board discussion:
• Excellent program and participation
• Supportive; the payback is there
• Overall, employees feel better about their health- better work environment
• Thanks- this is a lot of hard work- appreciate it
• Great program
• What is a Body Bug
• Missed the health screening-what is it that starts on April 1
• Want more information on the program
ROUTINE BUSINESS
TREASURER REPORT: FEBRUARY, 2011
Approval of the report: Director Hemig moved, and Director Hillstrom seconded, that the
Board approve the treasurer's report for the month ended February 28, 2011.
ROLL CALL: All Directors, aye. SO MOVED.
Approval of disbursements: Director Aguera moved, and Director Hillstrom seconded, that
the Board approve the February 2011 disbursements report.
ROLL CALL: All Directors, aye. SO MOVED.
6 Minutes: March 16, 2011
,.. APPROVAL OF MINUTES FOR FEBRUARY 16 AND MARCH 2, 2011
Director Hemig moved, and Director Laliotis seconded, that the Board approve the minutes of
February 16 and March 2, 2011. ROLL CALL: All Directors, aye. SO MOVED
CLOSED SESSION
Item pulled from agenda: CONFERENCE WITH REAL PROPERTY NEGOTIATOR
PURSUANT TO SECTION 54956.8 OF THE GOVERNMENT CODE. PROPERTY 10750
BERMGARTEN RD, MCGLASHAN SPRINGS APN 18-010-10; DISTRICT NEGOTIATOR:
GENERAL MANAGER; NEGOTIATING PARTY: TAHOE DONNER ASSOCIATION;
UNDER NEGOTIATION: PRICE AND TERMS
PUBLIC EMPLOYEE PERFORMANCE EVALUATION - GOVERNMENT CODE SECTION
54957 (E): GENERAL MANAGER PERFORMANCE PLAN REVIEW SECTION 54957 (E):
GENERAL MANAGER PERFORMANCE PLAN REVIEW
RETURN TO OPEN SESSION
Report from Closed Session
By unanimous roll call vote, the Board approved a separation agreement with Jessica Wilson.
The essential terms which include a payment amount not to exceed $26,527.11 and
continuation of health benefits through May 31, 2011.
ADJOURNMENT
There being no further business before the Board, the meeting was adjourned at 8:55 PM.
TRUCKE IC UTILITY DISTRICT
Jeff B 'nder, Pr
Prepared by O
Barbara Cahill eputy District Clerk
7 Minutes: March 16, 2011