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HomeMy WebLinkAbout7 GM Update AGENDA ITEM #7 Public Utility District m MEETING DATE: November 1, 2023 TO: Board of Directors FROM: SUBJECT: This item provides time for the General Manager to update the Board APPROVED BY: Brian C. Wright, General Manager RECOMMENDATION: BACKGROUND: ANALYSIS AND BODY: General Manager Updates: • Staff attended the Utah Associated Municipal Power Systems (UAMPS) annual board retreat in Page, AZ (October 15-16). The retreat provided an opportunity to meet with the UAMPS membership and staff for strategic discussions related to UAMPS updated Integrated Resource Plan (IRP), review of pooled power projects, communication strategies and assessment of future services to be offered to UAMPS membership. The retreat included rich discussions among the membership related to energy procurement opportunities and challenges across the western region. • 2nd Annual "District Day" was held at the TDPUD main facility on Thursday, October 26th. An exciting opportunity for all staff to attend various training opportunities here at our main office facility! The day kicked off with an all-hands staff meeting, shortly thereafter breaking out into some annual compliance training, and then included a schedule of multiple workshops for staff to select from, offering opportunities to learn more about the different operational departments within the organization they may be interested in, or would like to explore opportunities for professional development. The idea of District Day developed out of the desire to facilitate cross-departmental training opportunities for all to gain a better understanding of all that we do here at the District and how their individual roles play an important part of the overall success of the community. The District Day finale was a staff "Corn-Hole Tournament" where Page 1 of 10 Page 4 of 143 many staff members demonstrated their impressive skills! Congratulations to District Lineman Kyle Whiteley and Conrad Kraus for taking the championship! Legislative and Regulatory Affairs: CARB ACF Update: District staff and partners (CMUA, NCPA, SCPPA, and ACWA) continue to engage in Sacramento regarding the California Air Resources Board's (CARB's) Advanced Clean Fleets (ACF). This including pushing AB 1594 (E.Garcia) to a successful vote in the Assembly and Senate floors with almost unanimous support and successfully lobbying the Governor's office to sign AB 1594 which did occur. The District and our partners continue to engage with CARB for the implementation of AB 1594 along with the overall final regulation. One key development is regarding sub-committees that CARB is establishing to implement the final regulation. Two key sub-committees are the Rules Provisions and Infrastructure, and we are pleased to share that CMUA staff has been selected for the infrastructure sub-committee and NCPA and ACWA staff were selected for the Rules Provisions sub-committee. Staff will continue to engage on this important topic and provide updates as new information becomes available. Electric Utility Updates: • General Manager and Electric Utility Director attended the annual UAMPS conference. Highlights include: o Wind projects are progressing but seeing delays due to turbine blade supply. o Potential geothermal projects are seeing delays due to interconnection requirements and environmental studies. o UAMPS is investigating new methods to operate their power generators with the changes to the energy financial markets. o Toured the Glen Canyon hydroelectric dam. It was built in the 1960's, has 1,320 MW's of capacity, is 720 feet tall, and while better after this winter the water levels are still visibly low. • Electric Utility Director and Public Information Officer & Strategic Affairs Director attended the NCPA annual conference. Highlights include: o Supply chain and staffing remain significant challenges to our industry. o Power supply will remain volatile until 2030 if not longer. o The interconnection process of new clean generation is still time consuming and challenging. o There are some very encouraging transmission projects to interconnect wind generation from the mid-west to CA, but will take time to build. o Northern CA offshore wind projects are still progressing including plans to interconnect in Northern CA and not just Southern CA. Page 2 of 10 Page 5 of 143 • Solar eclipse provided very interesting data including: o Generators located outside of CA (Utah, Nevada) experienced significant ramping down and ramping up causing voltage instabilities. o Due to potential grid voltage instabilities, CA was running many gas powerplants resulting in very little need for solar power that day (negative markets). o While the solar event happened outside of CA, the result is it was a day to store as much energy as possible through batteries, dams releasing less water, and a general "throttling down" of generators with capability. • Power pole inventory order recently arrived putting us in an acceptable position for winter. • UAMPS NEBO plant was offline for maintenance for two weeks but is back online. • Electric Crew has completed a significant amount of pole upgrades to support system reliability before winter. • Vegetation Management is exceeding annual forecasted work plans. Water Utility Updates: Water Deliveries: As the days are growing colder in Truckee, we have seen water demand in September drop by more than 23%when compared to August.The demand for the month of September was 4.7 mgd (million gallons per day) whereas the peak day this year was 6.78 mgd (7/21/23). The following graphic also shows the overall demand for 2023 has been less than 2022. Currently we are tracking 17% less when 2023 is compared to 2022. Water Production(Gallons) 611 'yob 9,tp'1. PS� e f 059 200,000,000 ti01' 9ti6 °;G. .cif 59� :X ° T a g ok tma«,, r x ebruary Apnl May lone luty August 5eptembe Oclobe November 11111111112023Productlen �2022Production WPi3Year Average-Total Water Sold Page 3 of 10 Page 6 of 143 The construction season of 2023 is concluding for the Water Department, which has been extremely productive due to the support of the entire District. Several of these capital projects were multi-phase, multi-year projects that rely on one another to be a success. One example of this is the Pioneer Trail Pipeline, Pump Station and Storage Project which will provide redundancy and could potentially lower the Carbon footprint of the Department once all these projects are complete. Project Updates: The following Capital Improvement Projects were addressed during the summer construction season of 2023: Tank(s) Roundhill Tank rehabilitation project has been completed and returned to service. 6170-B Tank is being erected to add additional storage and redundancy to the system. During the past month,the erecting of the tank has concluded. However, due to the approaching cooler weather,the coating system has been delayed till spring.The coating system requires climate control and a steel wall temperature of nearly 70 degrees. Page 4 of 10 Page 7 of 143 4 I 1 I - Ja Jim Figure I Tank 6170 B being erected and weathered in for the approaching winter Pioneer Pump Station Pioneer Pump Station has finished construction on the building (roof will be installed on 10/24/23) and external grounds. Work on the internal electrical system has commenced but the project was delayed by several weeks due to the switch gear manufacturer supply chain issues. The electricians are continuing to wire the rest of the station and putting pressure on the switch gear manufacture to minimize the delays. During the next few weeks, electrical work will be the primary focus. The Page 5 of 10 Page 8 of 143 contractor is striving to commission the pumps in November. r r 4 c s Ww n Figure 2 Pioneer Pump Station Building is near completion and interior electric work is still underway. Pipeline Projects • Pioneer Pipeline project is complete and is on the current agenda to be accepted. • Glenshire Pipeline project is complete with the exception of one Pressure Reducing station that will be finished in Spring. • Ski Run Pipeline project is still behind schedule and will not be completed this season.The contractor stopped excavation work on October 17th and began repaving exposed sections on October 23rd.The current plan is to have the contractor come back in the spring and finish the project. Administrative Services: Finance & Accounting: 1. On 10/3 the team had a demonstration of a NISC-integrated barcoding solution for warehouse inventory management. The project will improve operational efficiencies for the entire district. Targeting implementation Q1 of 2024. 2. The NISC upgrade to a cloud-based timesheet system (phase 2 of 2 of digital time-keeping upgrades) is on track for live implementation in Q4 of 2023. This upgrade will significantly enhance the front-end user experience. Page 6 of 10 Page 9 of 143 3. Budget Workshop #3 on October 18th was held and included a comprehensive review of operating expenses by utility and cost center, as well as, preliminary Cost of Service Analysis for the Electric Utility. 4. Interim financial audit work for FY 2023 is scheduled for November 6-10th. Moss Adams will be conducting field work remotely again this year, but plans to be on site for the final fieldwork for audit in April of 2024. 5. A financial snapshot report titled "By the Numbers for September 2023" is included in attachment 1. 6. 54 new construction applications initiated YTD September 2023, notably down from 149 last year to date. Panel upgrades and small projects are up from last year. Conservation: 1. Steven Keates attended conference, CMUA Annual Customer Engagement Summit (ACES), 10/25-26 in Colton, CA. Customer Service: 1. RemitPlus Software for in-house check processing was launched last week. We will be sunsetting our check lockbox vendor in December. 2. 83% of accounts are paperless and 89% of accounts are enrolled in SmartHub. 3. Implementation of Multichannel Messenger for inbound and outbound message campaigns is currently underway. 4. Call center metrics reporting, continuing to refine. For September, 925 inbound calls handled (46 per day average), call handle time length 5 1/2 minutes average. 5. October kickoff meeting to launch a caller ID screen pop feature. Incoming callers can be identified and automatically pulled up in our NISC software. 6. A Customer Service seminar, Raise Your Energy IQ presented by Mark Gosvener from Energy Services Group, initially scheduled for October has pushed to mid-November. All departments are encouraged to attend. 7. Interviews for customer service representative position will occur in the last week of October. 8. Technical reporting issue with continuous flow water monitoring was identified and resolved through collaboration between Customer Service and IT. Facilities and Fleet: 1. Annual Procurements — Service contract extensions, competitive bid process, and government joint agency procurements 2. EV charging station installation at District HQ — collaborate with electricians 3. HVAC quarterly inspection and service in October 4. Staff have been working in partner with Cal-Fire to conduct vegetation management and defensible space across District owned facilities. Most recently, defensible space and fuel management was started at the District's Page 7 of 10 Page 10 of 143 • • • • • 1 • •-• • • ram. a �° _ 'i�- �• + 9 *g19� �� x. �I 1 _ � .�a • `I r .Wr iT 1a f J � . f 'Orq in o15To - I t V 7 Community Engagement District Participates in Annual Big Truck Day Oct. 21st: District staff from the Electric and Water Utilities, supported by staff from across the Page 9 of 10 Page 12 of 143 District, participated in the annual Big Truck Day on October 21 at the Town Corp Yard. This popular event with local families and visitors brings in the trucks that do the work that keep our community going. The District again had a very strong presence at the event with long lines at our trucks and booth. District activities included bucket truck rides (200+ kids in the air), water truck carnival games (dump truck fishing for candy/SWAG & fluorescent hula hope, 500+ participants), line worker photo booth (200+ toy hard hats distributed), and spin-to-win conservation booth (200+ participants). There were also two Learn of Burn electric safety demonstrations attended by dozens of kids and adults. The District activities were set up to share information about the District and introduce kids to the different kinds of work our District professionals do. GOALS AND OBJECTIVES: District Code 1 .05.020 Objectives: 1. Responsibly serve the public. 2. Provide a healthy and safe work environment for all District employees. 3. Provide reliable and high quality water supply and distribution system to meet current and future needs. 4. Provide reliable and high quality electric supply and distribution system to meet current and future needs. 5. Manage the District in an environmentally sound manner. 6. Manage the District in an effective, efficient and fiscally responsible manner. District Code 1 .05.030 Goals: 1. Manage for Financial Stability and Resiliency 2. Environmental Stewardship: Create a sustainable resilient environment for all our communities. 3. Engage with our customers and communities in a welcoming and transparent way to identify opportunities. 4. Take the best of private sector thinking to modernize the utility and add value to our communities. 5. Developing an inclusive culture drives organizational integration and success. FISCAL IMPACT: ATTACHMENTS: 1. By the Numbers Sep23 Page 10 of 10 Page 13 of 143 TRUCKEE DQNNER Public Utility District By the Numbers September 2023 Customer Billing Metrics Electric Change to Prior Year Average per Month Water Change to Prior Year 141668 80 0.5% Number of Accounts 13,590 83 0.6% 11007 48 5.0% Billed Volume per Account 7M 18 (640) -8.4% $ 0.1971 $ 0.011 6.2% Billed Dollars / Billed Volume $ 0.0153 $ 0.002 18.4% $ 197 $ 17.18 9.6% Average Bill $ 106 $ 6.61 6.6% $ 14.7 $ 0.5 3.4% Billed AR Past Due 90+ days $ 10.3 $ 1.3 14.1% $OOOs as of month end(not an Average per Month) Operating Financials Electric Variance to Budget Dollars in Thousands Water Variance to Budget $ 271230 961 3.7% Revenues $ 13X3 10 0.6% 111317 950 9.2% - Expenses 7X5 277 3.7% 101353 (8) -0.1 % - Purchased Power 1,172 35 3.1 % $ 51560 20 0.4% = Operating Net Result $ 4X7 (302) 0.6% Excludes Depreciation(non-cash)operating expense By the Numbers-Page 1 of 2 Page 14 of 143 �' TRUCKEE DONNER Public Utility District By the Numbers September 2023 Capital Expenditures and Key • . serve Balances Electric Variance to Budget Dollars in Thousands Water Variance to Budget $ 31087 (739) -19.3% Capital Expenditures $ 14,991 2,136 16.6% Variances-Red Over Budget Green Under Budget $ 111491 7,402 181 .0% Capital Reserve Balance $ 11059 1 ,059 - $ 61675 6,675 - ® 2022 Debt Project Funds Bal. $ 3,456 3,456 - $ 41799 (2,211 ) -31 .5% Rate Reserve Balance NA $ 81559 1 ,637 23.6% Operating Reserve Balance $ 10,439 4,650 80.3% By the Numbers-Page 2 of 2 Page 15 of 143