HomeMy WebLinkAbout9 Appeal of fees Agenda Item #
Memorandum
To: Board of Directors
From: Peter Holzmeister
Date: November 6, 2001
Subject: Appeal of Mark Steiner
Attached is correspondence from Mr. Mark Steiner in which he appeals the District policy
that fees paid are good for one year. Our water facilities and connection fees were
increased in May 2001. In order to pay the lower fees, the fees in effect prior to the
increase, Mr. Steiner paid his fees on May 5, 2001. Attached is a copy of our policy that
says if a developer pays fees he must have received permanent connection within one
year or be subject to payment of increased connection fees.
Mr. Steiner paid $27,000 in water connection fees, which was the amount due under the
old rate (sixty units times the old fee of $450 per unit). On May 6, 2002, Mr. Steiner
would be asked to pay to the District an additional $32,400 in water connection fees; our
water connection fee increased to $990 per unit (60 units times $990 less the $27,000
already paid equals $32,000)
The question before you is (1) whether to waive District policy or(2) apply the
District policy If you waive the policy Mr. Steiner will save $32,000. If your retain the
policy he will end up paying an additional $32,000 after May 6, 2002.
CHAPTER 5.28
WATER FEES AND CHARGES
Sections:
5.28.010 Water Service Fees
5.28.015 General
5.28.020 Connection Fee
6.28.030 Tapping Fee
5.28.040 Facilities Fee
5.28.010 Water Service Fees -Any customer requesting work for their sole convenience will be
charged the actual cost of the service performed, including material, labor, equipment and
overhead, and in no instance less than $25. This policy is applicable, but not limited to, the following
services:
5.28.010.1 Relocation of water services.
5.28.010.2 Disconnection or reconnection of service.
6.28.010.3 If a customer requests the water to be shut off and/or reconnected because of frozen
pipes, there is no charge during regular business hours.
5.28.010.4 If a customer backfills the trench when installing a new service prior to the District
installing its facilities.
(Res. 8406)
5.28.015 General -All applicants for water service are subject to three charges when applicable:
a connection fee, tapping fee, and a facilities fee, in accordance with Water Connection and
Facilities Fee Schedule C-1.
5.28.015.1 Fees paid will be effective for a period of one year from the date of application.
Applicant may be subject to payment of increased fees if the permanent connection has not been
made within the specified time period.
5.28.015.2 This rule applies to those applicants who have previously paid connection fees but have
not yet received permanent service. Such applicants may be subject to payment of increased
connection fees if the permanent connection has not been made within one year from the effective
date of this rule. (Rule effective August 18, 1986.)
November 2, 2001
Mark A. Steiner
5006 Sunrise Boulevard
Fair Oaks, California 95628
Dear Mr. Steiner;
We spoke on the telephone yesterday about your objection to signing our water
development agreement because of the requirement that you would be expected
to pay updated facilities and connection fees if your project was not at the point
of permanent connection by May 5, 2002. This requirement stems from our
policy that fees paid are good for one year from the date paid. You stated that
you could not achieve permanent connection, as required by our policy, by May
5, 2001. We set up a meeting to discuss your concerns for 9:00 AM on
Thursday, November 8, 2001. You said that you would like to proceed with
construction of the ten-inch water line at this time pending resolution of the
development agreement issue on November 8. 1 agreed to allow construction of
the ten-inch line at this time without an executed development agreement in good
faith to help you try to meet the May 5, 2002 deadline.
We had a second telephone discussion today in which you made clear to me that
if the development agreement issue is not resolved to your satisfaction at the
November 8 meeting you would commence legal action. In light of that
discussion I feel that I should advise you that I will not waive the one year
limitation on the water facilities and connection fees. You can make formal
application to the Board of Directors to waive that requirement by addressing that
request to the President of the Board, Truckee Donner PUD, P.O. Box 309,
Truckee, California 96160. If we receive that request by Wednesday evening,
November 7, 2001 the Board may be able to act on it that evening.
If you proceed with construction of the ten-inch water line at this time, without
having a fully executed development agreement with this District, you do so at
your own risk. District staff will not inspect construction of the line prior to
execution of the development agreement, and you will be required to re-excavate
the line for purpose of inspection when the development agreement issue is
resolved.
Very truly yours,
Peter L. Holzmeister
NOV-05-01 NON 16:27 M A STEINER DEVELOPMENT FAX NO. 9169621662 P. 01/04
X
M . A. Stainer Development, Inc.
November 5, 2001
President of the Board
c/o Peter Holzmeister
Truckee Donner Public Utility District
P. O. Box 309
Truckee, CA 96160
Re: Riverview Townhomes—Truckee
Dear President of the Board and Peter Holzmeister:
On April 11, 2001, 1 received full entitlements from the Town of Truckee to
construct Riverview Townhomes. This sixty-unit housing development
incorporates a well-planned architectural theme with numerous design amenities.
Both the Town of Truckee Planning staff and our development team have worked
together to create housing that is an attribute to the community.
It was important that we pay the existing water fees by May 4. 2001, so that we
could lock in under the existing rates. In order to accomplish this goal, we moved
forward with our site improvement plans and architectural working drawings
before we even received approval on April 11th. This was very ambitious, since it
was possible that we could have not received approvals and all of the extra effort
could have been in vain. We were extremely fortunate that we did receive
approvals and in turn submitted for a grading permit. At the same time, we
moved forward to obtain a development agreement with Truckee-Donner Public
Utility District in order to not only lock in the old fees as previously mentioned, but
start construction as soon as possible.
In order to achieve our goals, our entire team including the civil engineers and
architects have worked overtime and Saturdays and Sundays. We felt that the
deadline of May 4th was not an insurmountable obstacle and working together
with numerous individuals at the District, we were successful; we signed the
development agreement on May 4`h and paid fees for the entire project in the
7t1fBf 66
karrfise Blvd., Su, e 1t12 e Fair Oaks, CA 95628 • E9163 �362-3A77 0 Fax (016) 962-t2
NOV-05-01 MON 16:28 M A STEINER DEVELOPMENT FAX NO. 9169621662 P. 02/04
Truckee-Donner Public Utility District
Page 2
November 5, 2001
amount of$85,034. 1 appreciate our team's and the District staffs efforts to
accomplish this Herculean task.
On page 10 of the development agreement, the District acknowledged the effort
that we put forward, but also 'condition two" stated that the entire project needed
to be completed by May 5, 2002, in order to be grandfathered in under the old
fee schedule. I felt compelled to protest"condition two", since it was physically
impossible to complete the project in twelve months. it also states in the
development agreement that the District does nave discretion"to increase any
and all fccs and costs to equal the district's current charges.
On October 25, 2001, after a meeting with other District staff members, Mike
Connell suggested to me the possibility of just completing the water system,
installing the meters and servicing the building pads even though all of the units
are not completed. I felt this was an excellent remedy to the situation, but it is
still impossible since from November 15 to May 1, 2002, 1 am not allowed to
install any water lines or service_
My request Is that the District allow me a six-month extension past May 5, 2002,
to install the water lines, meters and services to the building pads for the entire
project. I understand that I would have to pay the monthly services fees, even
though all of the buildings are not completed.
Thank you for your consideration of my request. Please feel free to call if I can
answer any questions.
Sincerely yours, ��n
Mark A. Steiner
President
M. A. Steiner Development, Inc.
Managing Member of
Riverview Truckee, LLC
NOV-06-01 NON 16:29 N A STEINER DEVELOPMENT FAX NO. 9169621662 P. 03/04
E A. Steiner Development, Inc.
November 5, 2001
Mr_ Peter Holzmeister
Truckee Donner Public Utility District
P. O. Box 309
Truckee, CA 96160
Re: Riverview Townhomes — Truckee
Dear Peter
I request that you reconsider your decision to cancel our oral agreement as
outlined in your November 2, 2001 letter.
It is very important that I complete the fire service in order to continue
construction of the Riverview Townhome development. This is a requirement of
the Fire Marshall, Bob Bena.
After our agreement, I mobilized in order to install the water line before expiration
of my grading extension, which is November 15tn . I also have a weather window
consideration, since my extension for grading could be rescinded upon
precipitation conditions.
It is possible for me to hire a private inspector that is approved by the District for
inspections?
sincerely yours,
Mark A. Steiner
President
M. A. Steiner Development, Inc.
Managing Member of
Riverview Truckee. LLC
iOOO Sunrise..91%1d., ,Stsite 102 ® Fair Oaks, CA 95629 - (916) 962-877 • Fax (916) 962-1602
Nov-06-01 17 : 28P Sylvester Engineering Inc 530 265 B736 P. 03
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March 1 2001
Via UPS,vr,i Day Aires
Mike C melt
Water Planner
Truckee, 1>onner Public Utility District
11750 Poriner Pass Road
P. O_ B-� 309
Truckee. <'A 96160-0309
Re: i\,erview Townhomes
F I Job No. 2944
Dear of Ike.
Per yom request, enclosed are two (2) additional copies of the most recent Site Plan for the
above-*Aferenced project, to speaking with Bob Bena or the Truckee Fire Protection District, he
v mentiol—I that the required fire flow for this project is 2500 GPM for a 2-hour duration. He
indicated that a letter with that information was sent to your office in January, however, if you
need al-flier copy, he would be happy to send you one.
As ah+ 1�s, please contact our office if you have any questions or need additional information. I
can pro ide any information needed by you in order to process the Development Agreement in a
timely manner. Please let me know what we can do to expedite this process. We are currently in
the pro+ css of designing the Grading &Improvement Plans.
Very truly yours,
SVI,vrS-TER ENGINEERING, INC.
Robert 1 Wood
Assist:mf Planner
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March `7, 2001
Mike 4 '<mneli
District Water Planner
Truck-e Donner Public Utility District
P. O. 1'—' 309
11570 1lonner Pass Road
Truck'. CA 96160
Re: Riverview Townhomes Planned Development
`�CO Job 4 2944
Dear f like:
Purse n,u to a phone conversation with Robert Vaughan, the attorney for Riverview Towithomes
Plant } Development. Ed Taylor had indicated that it would he possible for our client to pay
additb,nal expenses for overtime to expedite processing the Development Agreement
Applie .itinn which was submitted to your office on February 26, 2001.
It is wi, understanding that the current agency fees for water connection is due to increase
signifi, :ntly on May 7, 2001, We hereby authorize additional expenses for overtime in order to
proce�r the Development Agreement under the cunent Water Connection and Facilities Fees
Sched-4-,
As ah,-+rs, please feel free to contact our office with any questions.
Very+r u 1 y yours,
SCO t'tanuning & En veering,INC.
47;
Robes F Wood
Assistant Planner
RE W
cc: jyt irk Steiner
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Nov-06-0I 1.2 : 28F Sylvester Engineering Inc 530 265 8736 P .04
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March 17. 2001
Ed Ta 1t>r
S uperi,rt endent
Truck-, Donner Public Utility District
P. O. 11"Y 109
11570 lJonner Pass Road
Trucke-. CA 96160
Re: Riverview Townhomes Planned Development
SCO Job 0 2944
Dear l ,f
Pursu-it to a phone conversation with Robert Vaughan, the attorney for Riverview Townhomes
Ptarme^ i Oevelopment, you had indicated that it would be possible for our client to pay additional
expen=<-s for overtime to expedite processing the Development Agreement Application which
was sul+mitted to your office on February 26. 2001,
It is onr understanding that the current agency fees for water connection is due to increase
signifi, antly on May 7, 2001. We hereby authorize additional expenses for overtime in order to
proces the Development Agreement under the current Water Connection and Facilities Fees
Sched-le-
As ah,iys,please feel free to contact our office with any questions.
Very tt l.f y yours,
�SCO 11nnnning & Engineering, INC.
Robert P Wood
Assist;+ot Planner
RE WI
cc: Marir Steiner
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Mike r -trivil
Water Planner
'Inrck,' Donncr Public Utility District
11-154 Cromer Pass Road
Truck, t_A 96 1 6 0-03 09
Re- 11iverview'l ownhomes Planned Development
M'Q Job No. 2944.3
Dear ^rl1,e:
It is oil, o derstanding that in conjunction with applying for a water service development agrecmcnt
for th" Amve-referenced project, we arc to also file water system improvement plans.
Acconllnnly, we are proceeding on a fast-track, overtime basis to complete such plans and expect to
stfomil them to the District by/on April 23, 2001, If it would be of assistance and expedite the
proces we would be happy to deliver the plans to your office and spend a few minutes reviewing
them �t, you to answer any obvious questions.
We at .ery aware of the pressures you and the District arc tinder to finalize similar development
agree^= rats prior to the rate change and appreciate your maintaining our place "in the (lucuc."
We will do everything possible to assist you in processing our client's application and will contact
you wllh the hope of meeting prior to/on April 23.
Your � )ntinued cooperation is greadv appreciated. As always. please feel free to contact our office
with am questions or if you desire additional information.
Veryr��rly ours,
SCW�,r A i��NG & ENGINEERING, INC.
dwi,d 8. ylvester, P.E.
Princir"1
BBS(i, `
cc: >-lark A. Steiner fs'lafi,cvw1coril3 to 916-9(il-100) /1
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April ;3. 2001
Nextlhw Or
Mike 1 ^nnell
Water Manner
Truck.-- Donner Public Utility District
1 1750 1 runner Pass Road
Truck- CA 96160-0009
Re: Riverview Townhomes Planned Development
"Co Job No. 2944.3
Dear ^-107P'
Enclo1 is one set of Improvement Plans for Riverview Townhomes that you requested. The
overall utilities sheet(SHT 4 of 11) shows all water and sewer utilities.
As al- q vs. please feel free to contact our office with any questions or if you desire additional
infom,iNon.
Very t'Iv yours,
SCp I'L INNING & ENGINEERING,INC.
Robert fi_Wood
Plannm _, & Engineering Technician
RE W 1',
CC: r iark A_ Steiner(vta,lnesimfle only in 9(6-962-1662)
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Mike r -nnell
Water Manner
Truck,c Donner Public Utility District
H570 i>,,nnQr Pass Road
P. O. 11—( 309
Truck- CA 96160
Re: Piverview Townhomes Planned Development
',CO Job No. 2944.3
Dear P tike:
We «^,,,ld like to express our appreciation for all of your extra work in processing the water
develorment agreement and improvement plans for the Riverview'l'ownhomes project.
Our cPent is also very appreciative, as Ire is working diligently to keep costs reflective of the
gford';!,Ie nature of this project. Obtaining approval of the water development agreement at this
point I•+wributed significantly to that effort.
We a1 r .,ery aware of the tremendous work load you are under and all of the projects that must have
been in the same situation_ We will be responding with the additional information you requested as
soon 9- possible.
Again. thank you for all of your efforts and professionalism. We look forward to working with you
as this project progresses.
Very t dy yours.
SCO pt.A & ENGINEERPVG, INC.
jEdwwl�! 11 +
5 lveste P.E. �Cliarles A. (Tony)Ozanich, P.E.
Y
Princir , Principal
Martin 11. Wood Robert (Rob) I-. Wood
Civil I'-igner Planning & Engineering Technician
ItBS,j
'"3ERYER`^'^^ 1DNP54NKUNNELLL'[R03 DOC
Nov-02-2001 12:I7t' Prcm-"C'KEE DDNNEB PUD +5305871139 T-099 P.001/001 F-378
Truckee Donner Public Utility District geazd ofosephrR.Agues
J.Ronald Hemig
James A.Maass
Business OHice (530) 587.3896 FAX (530) 587-5056 Patricia S.Sutton
Nelson Van Gundy
General Manager
N' vember 2. 2001 Peter L.Hotmelster
Nl:,lk A. Steiner
5nnq Sunrise Boulevard
Fair Oaks, California 95628
D -r Mr. Steiner;
wa -spoke on the telephone yesterday about your objection to signing our water
cl—velopment agreement because of the requirement that you would be expected
to )gay updated facilities and connection fees if your project was not at the point
or permanent connection by May 5, 2002. This requirement stems from our
p,•li':y that fees paid are good for one year from the date paid. You stated that
v could not achieve permanent connection, as required by our policy, by May
,(to I. We set up a meeting to discuss your concerns for 9:00 AM on
T'a irsday, November 8, 200 1. You said that you would like to proceed with
c- nstruction of the ten-inch water line at this time pending resolution of the
e-,elopment agreement issue on November S. I agreed to allow construction of
th= ten-inch line at this time without an executed development agreement in good
fMli to help you try to meet the May 5, 2002 deadline.
V,- had a second telephone discussion today in which you made clear to me that
if ),e development agreement issue is not resolved to your satisfaction at the
H1 /ember 8 meeting you would commence legal action. In light of that
d.sr,ussion I feel that I should advise you that I will not waive the one year
liwiration on the water facilities and connection fees. You can make formal
ni 1plication to the Board of Directors to waive that requirement by addressing that
rrfplest to the President of the Board, Truckee Donner PUD. P.O. Box 309,
7:t Ickee, California 96160. if we receive that request by Wednesday evening,
rl ,iember 7, 2001 the Board may be able to act on it that evening.
II ou proceed with construction of the ten-inch water line at this time, without
it-wing a fully executed development agreement with this District, you do so at
vIr own risk. District staff will not inspect construction of the line prior to
P<Pcution of the development agreement, and you will be required to re-excavate
0 - line for purpose of inspection when the development agreement issue is
it ,lved.
""nr�truly yours,
f',ler L. Holzmeister
Post OHS•=A Sox 309 "
11570 Donner Pass Road Truckee, cam ornia 96160
M . A. Steiner Development, Inc®
Commercial-indusfriai
November 2, 2001
President of the Board
c/o Peter Holzmeister
Truckee Donner Public Utility District
P. O. Box 309
Truckee, CA 96160
Re: Riverview Townhomes —Truckee
Dear President of the Board and Peter Holzmeister:
Thank you for your letter dated November 2, 2001.
Please accept this letter as my request to have our project placed on the
November 7, 2001 Board agenda.
I agree with you that a fair explanation to the Board of the issues involved would
be the best way to take care of this situation.
There will be additional information via an additional letter on Monday.
Sincerely yours,
Mark A. Steiner
President
M. A. Steiner Development, Inc.
Managing Member of
Riverview Truckee, LLC
5006 Sunrise Blvd., Suite 102 • Fair Oaks, CA 95628 ^ (916) 962-3877 e Fax (916) 962-1662
M . A. Steiner Development, Inc ®
Commercial-Industrial
November 5, 2001
Mr. Peter Holzmeister
Truckee Donner Public Utility District
P. O. Box 309
Truckee, CA 96160
Re: Riverview Townhomes —Truckee
Dear Peter:
I request that you reconsider your decision to cancel our oral agreement as
outlined in your November 2, 2001 letter.
It is very important that I complete the fire service in order to continue
construction of the Riverview Townhome development. This is a requirement of
the Fire Marshall, Bob Bena.
After our agreement, I mobilized in order to install the water line before expiration
of my grading extension, which is November 15`h . I also have a weather window
consideration, since my extension for grading could be rescinded upon
precipitation conditions.
It is possible for me to hire a private inspector that is approved by the District for
inspections?
Sincerely yours,
Mark A. Steiner
President
M. A. Steiner Development, Inc.
Managing Member of
Riverview Truckee, LLC
5006 Sunrise Blvd., Suite 102 • Fair Oaks, CA 95628 > (916) 962-3877 • Fax (916) 962-1662
A Steiner Development , Inc .
Commercial-Industrial
November 5, 2001
President of the Board
c/o Peter Holzmeister
Truckee Donner Public Utility District
P. O. Box 309
Truckee, CA 96160
Re: Riverview Townhomes — Truckee
Dear President of the Board and Peter Holzmeister:
On April 11 , 2001, 1 received full entitlements from the Town of Truckee to
construct Riverview Townhomes. This sixty-unit housing development
incorporates a well-planned architectural theme with numerous design amenities.
Both the Town of Truckee Planning staff and our development team have worked
together to create housing that is an attribute to the community.
It was important that we pay the existing water fees by May 4, 2001, so that we
could lock in under the existing rates. In order to accomplish this goal, we moved
forward with our site improvement plans and architectural working drawings
before we even received approval on April 11th. This was very ambitious, since it
was possible that we could have not received approvals and all of the extra effort
could have been in vain. We were extremely fortunate that we did receive
approvals and in turn submitted for a grading permit. At the same time, we
moved forward to obtain a development agreement with Truckee-Donner Public
Utility District in order to not only lock in the old fees as previously mentioned, but
start construction as soon as possible.
In order to achieve our goals, our entire team_including the civil engineers and
architects have worked overtime and Saturdays and Sundays. We felt that the
deadline of May 4th was not an insurmountable obstacle and working together
with numerous individuals at the District, we were successful; we signed the
development agreement on May 4th and paid fees for the entire project in the
5006 Sunrise Blvd., Suite 102 • Fair Oaks, CA 95628 - (916) 962-3877 = Fax (916) 962-1662
Truckee-Donner Public Utility District
Page 2
November 5, 2001
amount of$85,034. 1 appreciate our team's and the District staffs efforts to
accomplish this Herculean task.
On page 10 of the development agreement, the District acknowledged the effort
that we put forward, but also "condition two" stated that the entire project needed
to be completed by May 5, 2002, in order to be grandfathered in under the old
fee schedule. I felt compelled to protest "condition two", since it was physically
impossible to complete the project in twelve months. It also states in the
development agreement that the District does have "discretion" to increase any
and all fees and costs to equal the district's current charges.
On October 25, 2001, after a meeting with other District staff members, Mike
Connell suggested to me the possibility of just completing the water system,
installing the meters and servicing the building pads even though all of the units
are not completed. I felt this was an excellent remedy to the situation, but it is
still impossible since from November 15 to May 1, 2002, 1 am not allowed to
install any water lines or service.
My request is that the District allow me a six-month extension past May 5, 2002,
to install the water lines, meters and services to the building pads for the entire
project. I understand that I would have to pay the monthly services fees, even
though all of the buildings are not completed.
Thank you for your consideration of my request. Please feel free to call if I can
answer any questions.
Sincerely yours,
Mark A. Steiner
President
M. A. Steiner Development, Inc.
Managing Member of
Riverview Truckee, LLC