Kingsbury General Improvement District Board of Trustees

MINUTES OF THE REGULAR MEETING OF THE KINGSBURY GENERAL IMPROVEMENT DISTRICT BOARD OF TRUSTEES TUESDAY, APRIL 15, 2014

CALL TO ORDER – The meeting was called to order at the Tahoe Transportation Center located at 169 Highway 50, Stateline, Nevada at 6:02 p.m.by Natalie Yanish.

PLEDGE OF ALLEGIANCE – Yanish led the pledge to the flag.

ROLL CALL – Present were Chairman Yanish, Trustees Nelson, Norman, and Vogt. Also present were General Manager Cameron McKay, Counsel Scott Brooke, Operations Supervisor Eric Johnson, KGID employees Jason Hudak & James Warswick, Bill Misslin-CH2M Hill, Kara Thiel-Feldman, McLaughlin, Thiel LLP, Bill Kirschner-KGID Trustee Candidate, Craig Schorr-resident, Bruce Stuart- Resident of 182 Kingsbury Circle, Wes Henderson-Nevada League of Cities, and Matt Van Dyne - Farr West Engineering

PUBLIC COMMENT – Bruce Stuart, resident of182 Kingsbury Circle, stated that late penalties should be more clearly stated on monthly bills. McKay will look into Stuart’s suggestion.

APPROVAL OF AGENDA McKay requested Items 9, 10 and 11 be removed from the Agenda.

M-4/15/14-1 Motion by Nelson, seconded by Vogt, and unanimously passed to approve the revised Agenda.

APPROVAL OF CONSENT CALENDAR

M-4/15/14-2 Motion by Nelson, seconded by Vogt, and unanimously passed to approve Item A, the Minutes of February 18, 2014 and March 18, 2014.

CONSENT ITEMS BROUGHT FORWARD FOR DISCUSSION

Item B, the List of Claims was brought forward for discussion by Nelson.

Check #50152 to Ryan Brown includes payment for the majority of the work on the new office building, including the stairs. The project is projected to be completed under budget; however, not all of the construction invoices have been received.

Check #50208 to Summit Plumbing is a 10% retention payment.

M-4/15/14-3 Motion by Nelson, seconded by Vogt and unanimously passed to approve the List of Claims in the amount of $833,050.25 as represented on the List of Claims by check numbers 50081 through 50262.

NEW BUSINESS

For Possible Action; Discussion of selection of Trustee to represent KGID at the League of Cities and presentation by Wes Henderson, League of Cities - The Nevada League of Cities, a member of the National

1 KGID Board Meeting Minutes 0415/14 League of Cities, represents cities, towns and GID’s within the state. The organization advocates on the state and federal level for local issues. The League board of directors meetings occurs at least four times each year – rotating locations between the north, south and rural areas of the state. The board consists of representatives from all cities, towns and GID’s. All KGID trustees may attend Nevada League of Cities board meetings, but only the selected representative will be able to vote. If the representative is unable to attend a meeting, a proxy vote can be sent in their place. A representative may be nominated to sit on the legislative committee as well.

During the 2013 legislative session, five BDR’s were submitted by the League. The two which passed were Assembly Bill 44 (recycling containers) and Senate Bill 37 (increased penalties for scrap metal destruction).

Henderson has worked for the Nevada League of Cities since February 2013. He is continually working to review operation procedures within the organization, recruit new members, enhance education/training, expand technological capabilities and stabilize assets/reserves. Henderson noted that more benefits of League membership are realized with active participation within the organization.

McKay noted that travel for this representative has been budgeted. Henderson needs the board’s email addresses to be added to the City Courier mailing list.

M-4/15/14-4 Motion by Vogt, seconded by Norman unanimously approved to select Yanish to represent KGID at the League of Cities.

For Possible Action; Discussion of Warehouse Lease at 160 Pineridge - 160 Pineridge is utilized for heated vehicle storage space. The new lease is for a two year term without a rent increase. Each of the three spaces measures 683 square feet.

M-4/15/14-5 Motion by Vogt, seconded by Nelson and unanimously approved the Lease Proposal from JM Ranches and allow general manager to finalize the agreement when submitted by JM Ranches.

For Possible Action; Discussion of Farr West Task Order #24, Kingsbury General Improvement District 2014 Sealing Project - Road sealing is completed every two years. This is the first year in which Micro Paver has been used to determine which seal to use - slurry or fog.

Farr West has conducted the paving inspections in past and will continue that role this year with the added role of training Warswick to be an in-house inspector. Water line projects already have KGID staff inspecting, training Warswick will allow in-house inspections for paving too. McKay expects that all inspections will eventually be conducted in-house, allowing KGID better oversight on their projects. Warswick has already completed the Micro Paver classes, but inspectors are primarily trained through experience. Warswick may be sent to train with the Regional Transportation Commission (RTC) in Reno/Sparks to further his expertise with cold weather inspections.

McKay confirmed that this task order is for the combined total of engineering ($11,430) and inspection ($29,370). Historically, the entire district has been resealed every two years to ensure roads don’t deteriorate while keeping in mind financial restraints. Micro Paver will be utilized to strategically predict which areas need which type of work.

M-4/15/14-6 Motion by Nelson, seconded by Vogt and unanimously approved Farr West Task Order #24, Kingsbury General Improvement District 2014 sealing project not to exceed the amount of $40,803.00.

2 KGID Board Meeting Minutes 04/15/14 For Possible Action; Discussion of Farr West Task Order #25, KGID Well #4 Phase 2 – Long Term Pumping Test - McKay explained how it would be more cost effective to rehabilitate well #4 than to pump and treat lake water. Farr West has completed the engineering of Phase 1. Phase 2 will allow for an assessment of the feasibility of drilling a new well by bringing in a well contractor to clean and rehabilitate the existing well, drop a pump and begin test pumping for water quality analysis and aquifer capacity testing. McKay believes that the well can produce at least 50 gallons of water per minute, possibly higher. Old records are inconclusive about the actual production of the well.

The project budget covers the costs for the six month testing period. Some of these costs will be deferred to the next fiscal year. Van Dyne explained that the aquifers are affected by weather and it would thus be good to conduct the test now since the aquifers may be at a lower point due to low snowfall the past two years. The two options for testing are fissure and aquifer tests, but the aquifer test holds up longer. Well drilling costs would be between $30-40,000 depending upon the size.

M-4/15/14-7 Motion by Nelson, seconded by Vogt and unanimously approved Task Order #25 to proceed with Phase #2 of the Station #4 well project for a price not to exceed $30,600.

For Possible Action; Discussion of 2014 Waterline and Paving Project – Beverly & Virginia - Project was discussed at length at the April 1 budget meeting. This project has been on the backburner for some time due to a lack of funding. Now that “use it or lose it” grant funding of $103,000 is available, it is time to commence work. Initially there were concerns with the Kingsbury construction interference, but those concerns have been resolved. A few homes in the project area are still on propane. It is the responsibility of the residents to approach Southwest Gas to install gas lines- the cost would be split amongst those residents. Residents will be contacted door to door to be made aware of KGID’s construction timeline - the waterline to be completed by summer 2014 and the paving by summer 2015. Southwest Gas typically takes between 30-90 days to start a project; it would most economical to install the new gas lines before the summer 2015 repaving is completed.

The estimated out of pocket cost after the grant funding is between $350,000 and $375,000. It has been a significantly long time since the road has been redone. The current waterlines are not up to fire protection standards – these lines will be enlarged to meet the standards. The estimated costs were derived under the assumption that the dirt and rock will be very hard to dig out. Nelson commented that the project is expensive, but necessary.

M-4/15/14-8 Motion by Vogt, seconded by Nelson and approved unanimously to authorize staff to proceed with bidding for construction of the 2014 waterline and paving project for Beverly Road and Virginia Drive.

NO ACTION TOOK PLACE ON THE FOLLOWING ITEMS:

Board Reports – None

General Manager Report: McKay felt that the recent meeting with the UNR Board of Regents went well. LT2 information will be presented to the UNR Board of Regents in September regarding the easement.

Kingsbury Grade construction passes have been obtained. Johnson explained that Kingsbury will be shut down beginning May 1 until the last or second to last weekend in May. An electronic gate will be installed at Tramway Drive, but KGID will still be able to access the yard. Signage notifying drivers of the closure will be posted at the bottom of Kingsbury. The next session of construction will commence after Labor Day Weekend and continue until the end of the construction season on Oct. 15 (possibly later if season is extended). NDOT

3 KGID Board Meeting Minutes 04/15/14 plans to complete all paving this year with the majority of paving being done at night. Public transit will continue up and down Kingsbury through the closure.

The office move will commence on April 16. The answering service and cell phones will be available to communicate during the move. Ed the IT Guy will be handling the transport of all computer equipment. Old conference tables are the only item that will not be moved to the new office. A total of 25 square feet of signage can be placed on the Kingsbury side of the new building. The new antenna and radio have been installed in the new building.

Runtzel handles project contracts; Johnson manages projects through completion in coordination with engineers and contractors.

Approximately four years ago, during a waterline project, complications arose with the Labor Commissioner regarding incorrect certified payroll reporting. Farr West logs certified payroll hours and Runtzel verifies it. Runtzel invested a significant amount of time in investigating the situation.

KGID is allowed to conduct up to 20% of the snow removal; McKay has directed Eric and James to create a policy regarding documentation for all snow removal to protect against legal issues if an incident were to occur.

Johnson verified that Terrace View was plowed later in the day after the last storm. KGID monitors and attends to all resident snow removal complaints. There is supposed to be a minimum of 4 inches on the ground in order for the snow plows to start. Warswick manages the snow removal contractors and monitors the TMDL program. KGID has significantly improved its TMDL program ranking due to diligent snow removal monitoring.

No progress has been made on the Investment Policy. A line item will be added to the budget to better track investments.

Operations Supervisor Report: Johnson communicated with Q&D to obtain a draft of a specification book for emergency procedures. Johnson plans to attend weekly Q&D Kingsbury construction meetings to stay updated on progress. Johnson is communicating with Q&D about the need to replace the manhole covers during the Kingsbury construction. Kingsbury access issues are on track to be solved.

Q&D will replace the waterlines at the Palisades/Terrace View crossing in May. The Pineridge project is scheduled for June. Project managers are assigned to the waterline projects to manage the shutdown for minimum interruption. There will be slight customer interference at Palisades/Terrace View. The Pineridge project should have minimal interruptions lasting no more than six hours.

Attorney’s Report – A written report was provided.

Engineer’s Report – Overviewed projects earlier.

Correspondence – One piece.

ADJOURNMENT

M-4/15/14-9

Motion by Norman, seconded by Vogt and unanimously approved to adjourn the meeting at 7:26P.M.

4 KGID Board Meeting Minutes 04/15/14 Respectfully submitted,

______Natalie Yanish – Chairman Attest:

______Robert McDowell, Secretary

5 KGID Board Meeting Minutes 04/15/14