HomeMy WebLinkAboutMinutes - November 22, 2010 - UB •
AZUSA
UGIT & NATER
CITY OF AZUSA
MINUTES OF THE REGULAR MEETING
OF THE AZUSA UTILITY BOARD/CITY COUNCIL
MONDAY, NOVEMBER 22,2010—6:30 P.M.
The Utility Board/City Council of the City of Azusa met in regular session,at the above date and time, at the
Azusa Light and Water Conference Room, located at 729 N.Azusa Avenue, Azusa, California.
Chairman Gonzales called the meeting to order. Call to Order
ROLL CALL Roll Call
PRESENT: BOARD MEMBERS: GONZALES, CARRILLO, MACIAS, HANKS, ROCHA
ABSENT: BOARD MEMBERS: NONE
ALSO PRESENT: Also Present
City Attorney Ferre,City Manager Delach,Assistant City Manager Makshanoff,Director of Utilities Morrow,
Assistant to the Director of Utilities Kalscheuer, Business Development/Public Benefits Coordinator Reid,
Assistant Director of Electric Operations Langit, Captain Momot, City Clerk Mendoza, Deputy City Clerk
Toscano.
PUBLIC PARTICIPATION Pub Part
None. None
UTILITIES DIRECTOR COMMENTS Dir Comments
Director of Utilities Morrow provided information regarding upcoming item regarding an update on a Power Dir of Utilities
Sales Agreement between the City and the Southern California Public Power Authority for the La Paz Solar Comments
Tower Project. He also provided an update on the San Juan project and alternatives.
UTILITY BOARD MEMBER COMMENTS Brd Mbr Cmts
' Moved by Board Member Carrillo,seconded by Board Member Hanks and unanimously carried to approve a Cert of Recog.
Certificate of Gratitude from the City of Azusa to Mr. Bill Baca, field Representative for Senator Gloria B. Baca
Romero, to be awarded at the December 6th City Council Meeting.
Board Member Rocha wished all a Happy Holidays and safe Thanksgiving. Rocha Hpy Hol
Chairman Gonzales asked that the Utility Board Meeting of December 27,2010, be cancelled in light of the Gonzales
Holidays. City Attorney Ferre responded stating that no vote was needed, only direction to Staff in order to Cancel Mtg
post the notice of cancellation of the meeting.
The CONSENT CALENDAR consisting of Items D-1 through D-4, were approved by motion of Board Consent Cal
Member Carrillo,seconded by Board Member Hanks and unanimously carried.Hanks abstained from Minutes. Appvd
1. The minutes of the regular meeting of October 25, 2010, were approved as written. (Hanks abstn) Minutes
2. Approval was given for the selection of Applied Engineering Concepts(AEC)to perform maintenance on Circuit Breaker
seven outdoor vacuum circuit breakers at the Azusa Substation 12kV East in amount not-to-exceed Maint AEC
$16,660.
3. Approval was given for the purchase of a new 40' insulating hydraulic aerial service truck for Electric Pur Aerial Svs
Division and the bid was awarded to Terex Utilities Incorporated in amount not-to-exceed$ 124,984.40 Truck
including tax.
4. Approval was given for the lease of City owned property at the Heck Reservoir on San Gabriel Canyon Site Lease
Road and the City Manager was authorized to enter into and sign the communication lease agreement T-Mobile
with T-Mobile.
SCHEDULED ITEMS Sched Items
Net Generator Payment Schedule. Net Generator
Assistant to the Director of Utilities Kalscheuer presented the background information regarding the item and C. Kalscheuer
stated that staff is proposing a"net"solar energy buy-back rate of 9.041 cents per kWh for FY11. The rate Comments
equals AL&W's average power supply cost for FY11 and rate applies only if customers generate more than
they consume over a 12 month period and rate would be administratively recalculated based on future fiscal
year budgets. He responded to questions posed by the Board Members.
Board Member Hanks offered a Resolution entitled:
A RESOLUTION OF THE AZUSA UTILITY BOARD OF THE CITY OF AZUSA,AMENDING AZUSA Res. 10-C88
b-- LIGHT & WATER'S RULES AND REGULATIONS TO INCLUDE A NET GENERATOR PAYMENT Amend L&W
SCHEDULE FOR ELECTRIC UTILITY CUSTOMERS. Rules/Regs
Include Net
Moved by Board Member Hanks, seconded by Board Member Rocha to waive further reading and adopt. Generator
Resolution passed and adopted by the following vote of the Board Members: Payment
Schedule
AYES: BOARD MEMBERS: GONZALES, CARRILLO, MACIAS, HANKS,ROCHA
NOES: BOARD MEMBERS: NONE
ABSENT: BOARD MEMBERS:
Modification of Distributed Solar Program in Compliance with State Senate Bill 1 (SB1). Solar Pgrm
Business Development/Public Benefits Coordinator Reid addressed the item stating that in 2006 Senate Bill 1 P. Reid
was adopted to make available up to$3 billion in solar rebates over ten years to promote distribution solar in Comments
California. Azusa's share of the state rebate goal is $3 million or about $3000K per year. In June 2006,
Utility Board approved implementation of a solar rebate program in compliance with Senate Bill 1. Since
program inception, Azusa has paid $330K in rebates for 83 KW of production. Current rebate reservations
total$403K for about 125 KW of solar power. He talked about the Solar Rebate Levels and Other Program
Updates. He responded to questions posed by Board Members.
Moved by Board Member Carrillo,seconded by Board Member Macias and unanimously carried to approve Solar Partner-
the updated Solar Partnership Program,which includes a 7%reduction in solar rebate level. ship Program
Updated
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Advanced Utility Meter Infrastructure and Smarter Grid Plan Development. Smart Grid
Assistant Director of Electric Operations Langit presented the subject item providing background information F. Langit
regarding the Smart Meters also called "AMI" or Advanced Metering Infrastructure which allow 2 way Comments
communications between meter and utility. Uses include enhanced customer service,tamper detection,power
quality monitoring, outage management, load forecasting, etc. He stated that there is a need to obtain outside
tamer
expertise for the complex activity. The Scope of work would evaluate various facets of plan development.
Moved by Board Member Hanks,seconded by Board Member Carrillo and unanimously carried to approve the RFP Smarter
Request for Proposals(RFP)scope of work for Advanced Utility Meter Infrastructure and Smarter Grid Plan, Grid Plan
and authorize staff to finalize and issue the RFP to solicit proposals. Appvd
Agency Agreement Between Financing Authority for Resource Efficiency in California(FARECaI)and the FARECaI
City of Azusa.
Director of Utilities Morrow presented the FARECaI(Financing Agency for Resource Efficiency in California) G. Morrow
item providing background that it was formed in 1993, it is a Joint action agency under California law,they Comments
have the authority to issue debt for utility projects of which Azusa has outstanding indebtedness. California
Municipal Utilities Association is the administrator and Treasurer for FARECaI and has requested that Azusa
assist them by providing and overseeing auditing and accounting of FARECaI and staff would like to issue an
RFP for the services.
Moved by Board Member Carrillo,seconded by Board Member Hanks and unanimously carried to approve the Agmt
'Agency Agreement between FARECa1 and the City of Azusa and authorize staff to issue a Request for w/FARECaI
Proposal (RFP) on behalf of FARECaI for auditing,accounting and record-keeping services, in compliance And RFP
with the agreement. Auditing Svs
STAFF REPORTS/COMMUNICATIONS Staff Rpts
Assistant Director of Electric Operations Langit presented the Electric Vehicle Opportunities and Challenges Elect Vehicle
detailing the potential impact EV may have on the Azusa Light&Water. He stated that there will be increased Opportunities
electricity demand in existing residential homes or businesses,potential upgrades of existing electric facilities
serving the premises of EV owners when multiple EV chargers are used concurrently within the area,utilities
Rules & Regulation pertaining to sale of electricity solely used for EV charging, advanced metering and
accounting of EV charging consumption, integration of EV in the overall development of smarter electronic
distribution system and potential economic development for cities that embrace EV. Discussion was held
between staff and Board Members regarding potential impacts. He stated that staff will continue to work to
develop EV charging policies, return to Utility Board early in 2011 with recommendation issues which will
include whether to separately meter, whether to establish a special rate to encourage off peak charging,
AL&W's role, if any, in installing home charging equipment, who pays for external electric system
improvements if any, and promotion/funding of community charging stations.
Assistant to the Director of Utilities Kalscheuer presented the Electric and Water Funds FY 2010-11 First Electric&
Quarter Report summarizing first the Electric 151 quarter Statistics as follows: Sales at 26% of budget, Water
Revenue at 28% of budget, Operating Expenses at 26% of budget, Capital Outlays at 6% of budget, Net Quarter Report
"income"+$571K(vs-$3.1 M FY budget),Debt Coverage of 8.8(1.10 is min.),Cash of$11.7M($12.6M min.
target) and conclusion is modest progress. Water Summary 15t Quarter Statistics: Sales at 31%of budget,
Revenues at 28% of budget, Operating Expenses at 21% of budget, Capital Outlays at 2% of budget, Net
"income" +$1.1M (vs-$2.4M FY budget), Debt Coverage of 2.3 (1.5 min.), Cash of$26.2M ($25M min.
target), Conclusion is all is well.
Assistant to the Director of Utilities Kalscheuer presented the California Resource Connection River Walk and California
Compost Workshop Report stating that on January 25,2010 the Utility Board approved a request to fund the Resource
two programs. Connection
Programs
11/22/10 PAGE THREE Update
The River Walk&Litter Clean-up was held on April 17,2010 where the Clean-up was of a portion of the San River Walk
Gabriel River, total event cost was$31,912,AL&W share was$7,400,attendance was 85 people aged 3-65 &Litter Clean-
year old and 500 pounds of trash was collected. up
The Backyard Composting Workshop was held on April 10,2010 at the North Recreation Center,77 people Backyard
attended including 15 volunteers, the cost of the event was $17,925, AL&W share was $7,425, water Composting
conservation and composting education was provided and 55 composting bins were distributed. Workshop
Mr.Kalscheuer talked about the proposed Community Gardens and stated that information would be provided Community
at another meeting. Garden
Moved by Board Member Carrillo, seconded by Board Member Hanks and unanimously carried to adjourn. Adjourn
TIME OF ADJOURNMENT: 7:38 P.M.
SECRETARY J
NEXT RESOLUTION NO. 10-C89.
11/22/10 PAGE FOUR