HomeMy WebLinkAbout14 Draft MinutesAgenda Item # 14
M 1 N UTES
To: Board of Directors
From: Barbara Cahill Deputy District Clerk
Date: March 18, 2015
Minutes for the Meeting Dates
Approval of Minutes for February 11, 2015
SPECIAL MEETING
February 11, 2015
In accordance with DlstrlCt Code Section 2.08.010 the TDPUD minutes are action
only minutes. All Board meetings are recorded on a digital format which is
preserved in _perpetuity 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 6:01 PM in the TDPUD Board room by Vice -President Aguera.
ROLL CALL: Directors Joe Aguera, Jeff Bender, and Paul Warmerdam were present.
Directors Bob Ellis and Tony Laliotis were absent.
PLEDGE OF ALLEGIANCE
Director Bender led the Board and public in the Pledge of Allegiance.
EMPLOYEES PRESENT Sanna Schlosser, Steve Hollabuagh, Steven Poncelet, Brian
Wright, Trisha Ruby, Kim Harris, Neil Kaufman, Bob Mescher, Michael Holley and Barbara
Cahill
CONSULTANTS PRESENT None
OTHERS PRESENT Ji
CHANGES TO THE AGENDA
General Manager Holley stated
PUBLIC INPUT
There was no aublic com
Director ``E
events on
R UPDATE
ender ater
February 2
with Northern Ct
what will
come u
net with Assem
is
Director Bender also wanted
of March. One of the District's
n and
were no changes to the agenda.
�lifornia Municipal Utilities Association (CMUA) Capital Day
strict Public Information Manager Steven Poncelet. They met
:r Agency and CMUA. It was a very productive day to discuss
with Governor Brown. Director Bender and Steven Poncelet
Brian Dahle and attempted a meeting with Senator Gaines.
to mention an NRECA Director workshop in Reno at the end
Directors should attend since it is so close.
Director Warmerdam thanked PUD personnel for the tour of the water and electric facilities
on January 29. It gave him a mental map of the PUD properties and working of the delivery
systems.
Director Aguera thanked staff for getting the power back on after the power outage last
Friday.
1 Minutes: February 11, 2015
CONSENT CALENDAR
CONSIDERATION OF AWARDING A CONTRACT FOR INSURANCE BROKERAGE
SERVICES This item concerns the District's insurance brokerage services for
annual property, liability and workers compensation.
CONSIDERATION OF THE PURCHASE OF ELECTRIC DISTRIBUTION SWITCHES
This item involves on -going purchases of electric distribution switches necessary
for maintenance of overhead lines.
CONSIDERATION OF FINAL COMPLETION FOR THE SCADA RELIABILITY
IMPROVEMENT PROJECT PHASE 3 This item involves the notice of completion of
installation of 7 miles of District owned fiber resource for District use.
CONSIDERATION OF THE PURCHASE OF FOUR REPLACEMENT SPORT UTILITY
VEHICLES This item concerns:
a) The purchase of four replacement vehicles.
b) Declare four vehicles as surplus.
CONSIDERATION OF THE PURCHASE OF A REPLACEMENT HEAVY DUTY SERVICE
TRUCK This item concerns:
a) The purchase of a heavy duty service truck for the Water Department
b) Declare vehicle surplus
CONSIDERATION OF THE DISTRICT'S FUEL CONTRACT FOR 2015 This item
involves:
a) Termination of the existing District fuel contract with Hunt and Sons Inc.
b) Approval of a new contract with Flyers Energy
Director Bender moved, and Director Warmerdam seconded, that the Board approve the
consent calendar. ROLL, CALL: ,Directors Ellis and Laliotis were absent; all other Directors
aye; by voice vote. SO
ACTION ITEM
MID -CYCLE BUDGET
A) FY14 YEAR-END, FINANCIAL RESULTS
B) CONSIDERATION_ OF ROUTINE TRANSFERS
This item involves the comparison of the actual year-end financial results to the
FY14 Budget; and consideration of routine transfers.
Director Bender moved, and Director Warmerdam seconded, that the Board Authorize the
following transfers:
a) Transfer $545,000 from the Electric General Fund to the Electric Capital
Replacement Reserve
b) Transfer $113,000 from the Water General Fund to the Water Capital Replacement
Reserve
2 Minutes: February 11, 2015
c) Accept FY14 Year-end financial results
ROLL CALL: Directors Ellis and Laliotis were absent; all other Directors aye, by voice vote.
SO MOVED
WORKSHOPS
DISCUSSION OF 2014 PURCHASE POWER LOAD, RESOURCES, PEAKS, AND
COMPARISON TO 2014 BUDGET FORECAST This item in
of 2014 Actual versus Budget Purchase Power Information.
Stephen Hollabaugh gave a presentation:
• Purchase Power Plan was approved on November
• FY 14&15 Budget included "Purchase Power Plan"
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 2014
o Risk analysis and 2014 forecast
o FY14 Purchase Power Plan included
Cost Component and De-
scription Cost
Total Energy Supply- Various $11,191344
Transmission Wheeling - SPPC $1,204,628
Scheduling - NCPA $753423
Central Valley Project - WAPA $ - 28,012
Totals $12A4148
• 2014 Plan was based on a forecast of 164,713 MWh
• Summa budget vs. actual
13
the annual review
$ per MWh
$67.95
$7.31
$0.46
$ - 0.17
$75.55
Description
Budget
Actual
Total Energy Cost
$1214431484
$11,552,145
Total Energy Consumption, MWh
164713
158,245
Cost per MWh
$75.55
$73.00
• Energy cost:7.2% less than budget
• Energy consumption:3.9% less than forecast
3 Minutes: February 11, 2015
20,000
181000
16, 000
M 14,000
iN 12,000
h 10,000
8,000
6,000
4,000
2,OOo
0
2014 Monthly Energy Consumption
JAN MAR MAY JULY SEPT NI�V
2014 Resource Mix
Natural Gas
s/
•, III Gas ld Pool
ta Small
Hydra
Wind
5 Minutes: February 11, 2015
180,000
160,000
140,000
120,000
100,000
80,000
60,000
40,000
20,000
0
Resources tmwn) By Year 2014 - 2025
with veyo Heat Recovery 2017 &
2017-2022 Market Purchase
rl; ° rVo ry
• RPS compliance periods and targets:
o 2011 thru 2013; _20% of retail sales
o 2014 thru 2016; 25% of retail sales
o 2017 thru 2020; 33% of retail sales
• 2014 Estimated RPS*
Open Position -DAMPS
Pool/Mkt
Veyo Heat Recovery
2017
Horse Butte Wind -
Nebo Power Plant -
Natural Gas
Pleasant Valley -Wind
ELIGIBLE RENEWABLES (CPUC)
MWH REC'S
%SALES
SMALL HYDRO*
31000
2.2%
LANDFILL GAS*
233326
17.3%
WIND*
43,753
32.4%
SOLAR
0
0.0%
TOTALS
70,079
5109%
* REC (Renewable Energy Credit) amounts will be finalized after 1st quarter 2015
6 Minutes: February 11, 2015
• Detailed budgeted vs. actual amounts for FY 14
s
Power Purchases. MWh
Total Energy Purchase, MWh
Percent Difference. Actual vs. Budget
Power Purchase Costs
Total Power Purchase Cost
$ Over/(Under) Budget
Percent Difference, Actual vs. Budget
Purchase Cost per MWh
Percent Difference, Actual vs. Budget
There was no public input.
Board discussion
• The PUD has an ownership share in Horse.
• How and where are resources transferred tc
Stampede resource? Does UAMPS send m
• What happens if the Veyo Heat Recovery F
the District just expand the open UAMPS pc
• How do you feel about not having the 5 Ye
to look for another 5 year product as we get
Budget i Actual
F 164, 713 158, 245
-3.9%
ir
Budget Actual
$ 12,443484 I $ 11,552,145
L $ (891, 339)
I -7.2%
in exchange for the PUD having the
to Fallon?
�oject does not come on line in 2017? Can
I market purchase through 2022?
r mix from 2022 and beyond? Is your plan
,loser to 2022?
• Renewable energy portfolio looks great- over 50%
• What amount,of renewables should the District have for this time of year by law?
• How will the future renewable project impact the renewable number?
• What is the projection of natural gas prices- are they going to be lower or higher, I saw
a budget of $7.00?
• Is the trend of the State- of California to raise the renewable target to over 50%? It is
hard to understand where the State gets it information. This target could be costly to
rate pavers.,,
DISCUSSION OF THE DISTRICT PIPELINE REPLACEMENT — 2015 PROJECT This
item involves a discussion regarding the replacement of 4,900 feet of pipeline in
Tahoe Donner funded by the Water Department Capital Replacement Fund.
Neil Kaufman gave a presentation:
• The Water Department has a need to replace existing pipelines in two categories:
o Pipes in poor condition requiring repeated repairs
o Pipes that are old, undersized (typically 4-inch diameter and smaller) and have
exceeded their useful life
7 Minutes: February 11, 2015
• The 2015 project includes about 4,900 feet of main at 3 locations along Northwoods
Boulevard
o From Viking Way to Norse Avenue: about 1,900 feet
o From Christie Lane to Davos Drive: about 2,300 feet
o At intersection with Swiss Lane: about 700 feet
• Work is coordinated with a Town of Truckee project to repave Northwoods Boulevard
• The District's overall communications plan calls for a fiber optic network to link the
District's remote facilities
• The pipeline project also includes installation about 7,800 feet of fiber optic inner duct
at 2 locations along Northwoods Boulevard
o From Viking Way to Christie Lane: about 5,400 feet
o From Innsbruck Tank to Davos Drive: about 2,400 feet
• Inner duct will be installed inside inactive water pipes
• Fiber optic cable will be installed at a later date
• Outside consultants
o Environmental services:
■ Proposal for 2015 has been requested from Inland_ Ecosystems
■ Current estimate is $3,000
o Geotechnical testing:
■ Holdredge & Kull selected through RFP process in 2013
■ Current estimate is $50,000
o Surveying: New RFP to be issued this week
■ Scope includes other surveying needs besides the pipeline project
■ Expected action at March 18, 2015 Board meeting
• Project is exempt under CEQA
• Current project schedule
o Project Overview Workshop — February 2015
o Advertisinq for Bids - February 2015
o Bid Opening -End of March 2015
o Bid Award —April 2015
o Begin Construction — May 2015
o Complete Construction — October 2015
• Fiscal- Impact
o Costfo-rthe water pipeline work is estimated at $1,200,000
■ Funding source is the Water Department Capital Replacement Fund
o Cost for -the innerduct work is estimated at $200,000
■ Funding source is the Electric Department General Fund
■ Other costs associated with inspection, geotechnical testing, surveying and
environmental services
Public input:
Bob McClendon asked what the impact would be of residents in Tahoe Donner for the
length of time for construction and how would they be impacted. Would water services be
continuous or interrupted?
8 Minutes: February 11, 2015
Board discussion:
• For the pipeline project, does the District have $1.2 million in the Water Department
budget? Is that going to spend the entire capital fund?
• Does the money for this come from the capital reserves only?
• This does not come under CEQA because we are using old pipes that are already
I
n there. Does this exemption also apply to the fiber optic work?
• Are there other agencies that would want to work in that same area at the same
time?
• The District does try to coordinate with other agencies in regards to projects.
• The interduct fiber savings could about 75% to install into inactive pipes.
• Swiss and Northwoods Boulevard has been problematic in the past. We are now
replacing pipe on Northwoods.
ROUTINE BUSINESS
TREASURERS REPORT: JANUARY 31,
APPROVAL OF THE FUND BALANCES AS OF""
moved, and Director Warmerdam seconded, that t
for the month ended December 31, 2014A ROLL
absent; all other Directors aye, by vo
Director Bender SE
report. ROLL CALL
voice vote. SO MO\
APPROVAL OF MIN
for Warmerdam seco
..ALL: Directors Ellis'
MOVED
ADJOURNMENT
There being no'further b
TRUCKEE DON
�BER 31, 2014: Director Bender
rd approve the treasurer's report
Directors Ellis and Lalitois were
� FOR JANUARY 2015 Director Aguera moved, and
e Board approve the January 2015 disbursements
and Lalitois were absent; all other Directors aye, by
ES FOR JANUARY 21, 2015 Director Bender moved, and Direc-
at the Board approve the minutes of January 21, 2015. ROLL
d Lalitois were absent; all other Directors aye, by voice vote. SO
before the Board, the meeting was adjourned at 7:05 PM.
IC UTILITY DISTRICT
Joseph Aguera, Vice -President
Prepared by
Barbara Cahill, Deputy District Clerk
9 Minutes: February 11, 2015