The URL can be used to link to this page

Home My WebLink AboutCorrespondence i c o o K ASSOCIATES ENGINEERING CONSULTANTS 2060 PARK AVENUE OROVILLE• CALIFORNIA 95965 PHONE (916) 533-6457 January 4, 1980 Board of Directors Truckee Donner Public Utility District P.O. Box 309 Truckee, California 95734 Re: Adequacy of the 1.6 Million Dollar Letter of Credit Dear Directors: Please let this letter confirm in writing the verbal assurance that I gave you at your December 17, 1979 Board Meeting, that the value of the letter of credit provided by the 1973 Supple- mental Agreement is adequate to cover the completion cost associated with bringing the Airport Well on line. My verbal assurance and this writing are based on our 11-16-78 = letter which was attached to your December 17, 1979 Engineer's two of that letter states "attached as Report. Paragraph /0--- Exhibit B is a preliminary cost estimate which indicates $1,300,000 is required to bring the Airport Well on line, based on 1980 construction cost indexes." It is important to note that the November 1978 estimate was based on 1980 projected cost indexes and therefore valid as expressed December 17, 1979. During the intervening 14 months , several items have occurred that have reduced the dollar value needed to bring the Airport 5 Well on line, including: A. Dart has acquired the well B. Dart has installed Phase III ~,..* C . Dart has awarded the construction contract for Phase V D. Dart has completed the design of Phase IV E_ Dart has completed about 50% of the design on the remaining elements . 4- Board of Directors Truckee, California January 4, 1980 Page 2. The value of the work completed is $595,500 and the balance of the work was estimated to cost $805,500 to complete and make operational. The Apparent overage provided by the letter of credit is $794,500. Dart has elected to provide a higher first cost facility that will have substantially lower operational cost than that which I anticipated they would provide as described in our letter of November 16, 1978. Extra cost items include the following: A. 14" main in lieu of 1211 diameter. B. Surface storage at the Airport C. Multi stage booster pumping plants D. Simplified airport pumping facilities The extra cost item totals $550,000 above the minimum system anticipated in my November 16, 1978 letter. The current January 1980 apparent overage of excess coverage provided by the letter of credit is approximately $244,500. The above is simply academic unless the letter of credit is transferred to the airport transmission main and related facilities . The existing letter of credit applies onl to the Donner Creek filtration plant with Donner Lake as the. source of water. Considering the above, I restate my often made recommendation t _ that the agreement to transfer the 1.6 million dollar letter of credit to the Airport Well Transmission Main and Related 't Facilities be approved. Very truly yours , COOK ASSOCIATES DJC/cab cc: Milt Seymour Steve Grumer an J. Cook Martin McDonough Civil Engineer coo ASSOCIATES ENGINEERING CONSULTANTS 2050 PARK AV EN U E OROVILLE•CALIFORNIA 05955 PHONE (916) S33-6457 December 19, 1979 3 Milt Seymour Truckee Donner Public Utility District Post Office Box 309 Truckee, California .95734 Re: Financing Possibilities Dear Milt: Enclosed for your consideration are some thoughts on the funding '.' possibilities that appear to present themselves at this time. S , There are, of course, many ramifications to the accomplishing of any one of the alternatives and legal advice is recommended and I do not purport to provide legal advice. 41 s Very truly yours, COOK ASSO IATES 's Dan Cook DJC:nj Enclosure cc : Steve Grumer Board of Directors R E C G 1 V-fuDEE DONNER PUBLIC UTILITY DISTRICT jA"1 7 1980 ENGINEER'S REPORT TRUCKEE DONNER P.U.D. J'ANUARY 7 , 1980 UNFINISHED BUSINESS NO. 3, DART. LETTER OF CREDIT ,. Enclosed as page 4 of this report is a letter supplementing . ;�. the data provided in the December 17 , 1979 Engineer's Report regarding the adequacy of the 1.6 million dollar letter of ' credit. The current cost to complete the airport well, pump, <>; boosters , transmission main and all related facilities , is U approximately one quarter of a million dollars less than the face value of the letter of credit provided by Dart in accordance with the 1973 Supplemental Agreement. UNFINISHED BUSINESS NO. SA ALTERNATE FUNDING ARMSTRONG TRACT ?: Attached as page & of this report for your ready reference is a letter directed to Milt December 19 , 1979 listing various financing alternatives-. The overview summary, attached as page 10, =; may- be most useful in the ferreting out of the alternative you y< wish to follow up: UNFINISHED BUSINESS NO. SB, SOUTHSIDE IMPROVEMENTS Enclosed as page // of this report is a summary of funding alternatives for the Southside improvements together with a paraphrasing of the recommended method of financing the improve ments that was contained in the near term Southside Source Analysis and Recommendations. UNFINISHED BUSINESS NO. 6 TRUCKEE MOUNTAIN TOWNHOUSES/GOLDTOWN j < The project proponents of the Goldtown Condominium project have not submitted any additional materials to our office other tY* those that were indicated on the check list of December 3 We have had additional telephone conversations with At' SpIller and with Steve Mitchell, one of the project owe;`_ is my understanding that the owners have changed engineering firms and that Cranmer Engineering Inc. of Grass Valley will complete the project. It is also my understanding that at the m present time building permits have been issued for the 30 easterly condominium units . It is my understanding that the building permit was issued on the strength of representations made by Mitchell and Caverhill that compliance with the fire flow directives of the Truckee Fire Protection District would be accomplished. The attorneys for the project have scheduled a meeting in our office at 10:00 A.M. January 7, 1980, and therefore a verbal update on the project will be provided at your meeting of January 7. } = UNFINISHED BUSINESS NO. 7 SOUTHSIDE WELL NO. 2 Included in this Engineer's Report as page 13 is a copy of the Draft Resolution for your consideration calling for bids on the reconstruction of the Southsi.de Well pump house No. 2. Also included in this Engineer's Report as page 14- is the Advertisement for Bids that should be published not less than twice in a newspaper of general circulation within the project area, between now and the bid opening time, which is suggested as February 29, 1980. Presumably, other things being equal, the award would be made at your regular board meeting on March 3, 1980. The reason for the long lead time is to allow for Farmers Home Administration to endorse the reconstruction plans and specifica- tions. The plans, specifications , bidding documents and all related information has been forwarded to Farmers Home Adminis- tration for their review, comment and concurrence. There will be extensive legal gymnastics that must be accomplished to accommodate all of the various insurance companies, bonding r companies , contractors claims and counterclaims before the Notice of Completion on the reconstruction can be filed. ENGINEER'S REPORT 1. PONDEROSA PALISADES TANK SITE TRESPASS As directed at your December 17 , 1979 Board Meeting, we established the common property line between Mr. Garbutt and the Truckee Donner Public Utility District's Ponderosa Palisades Tank Site. Mr. Garbutt is in trespass as you very clearly pointed out to his construction contractor during the December Board Meeting. Attached as page !!v to this report are a series of photographs taken in the vicinity of the property line and hopefully depicting the ramifications of the trespass . i fF i F N wwrorort � rt ooc0, � P) 00m0Nmnrt0 0 rt Nxr m rt rtG ° tjxG o H rownCDwn cra ca H. r 5wo�� w0 � N 0 ro ~ m H o p' rGrw n rtrt G' w r-� H,r1 O rn m rt G rt w rt uwi rt 0 o � b m IdEla • a � x0 tDGn w p rt o �• N• ►] � xm rt rt p w mr� ro aH °t m Hm0 rt mm H• rnny m rt E G rt tl ho � °,bn '� ro onawo40 0 rt 14 rt o Nn H rtH. 0 rt o4 a. m H �D m o' a r t v�D, CL H.ro H• m ro H H• n o n � wrt Nw > pH. rt 00 p. rt n0 N G x rt V0 Co N • rortrtro nrt oarH(D o xo co rt c � o m H ° m an N• n ° oa N � \ x E3ro H. w 0 rt H. 0 C � �.� n oH• w rt �' ww o rt m rt 0 H � m P3GQ0 0 c� n r� �a N H G n Hro o rt x' G m m o rtrtw a rt G Grt. 0 rt N w G, G' G+N00 o+ nmrt � mrDmm � p, rpi rrtt rt N G (D rt H• H• m r �' ro rr � CFI ro � ° ftrrt• aw 0 n0N m H. o o rn rt rn n fD i