HomeMy WebLinkAboutMinutes - October 24, 2011 - UB A7U& EASA
LIGHT ' TER
CITY OF AZUSA
MINUTES OF THE REGULAR MEETING
OF THE AZUSA UTILITY BOARD/CITY COUNCIL
MONDAY,OCTOBER 24,2011 —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 Hanks called the meeting to order. Call to Order
Assistant Director of Utilities Kalscheuer led in the Flag Salute. Flag Salute
ROLL CALL Roll Call
PRESENT: BOARD MEMBERS: GONZALES, CARRILLO, HANKS, ROCHA
ABSENT: BOARD MEMBERS: MACIAS
ALSO PRESENT: Also Present
City Attorney Ferre,City Manager Delach, Director of Utilities Morrow,Assistant to the Director of Utilities
Kalscheuer,Assistant Director of Water Operations Anderson,Assistant Director of Resource Management
Lehr,Associate Engineer Barbosa,Electric Engineer Vuong, Public Works Director/Assistant City Manager
Haes, Captain Momot, City Clerk Mendoza, Deputy City Clerk Toscano.
PUBLIC PARTICIPATION Pub Part
Mr. Art Morales addressed the Board Members asking the feasibility of setting a Light and Water Bill Drop A. Morales
Box on Azusa Avenue for easier access,placing a light at Senior center deposit for recyclables,set aside funds Comments
to lend people in order to pay bills,and noted the courteousness of Light and Water employees.
UTILITIES DIRECTOR COMMENTS Dir Comment
Director of Utilities Morrow addressed the Board Members stating that the House of Representatives and Dir of Utilities
Senate have approved a 30 year extension of contract with Hoover Dam, which is part of the renewable Comments
portfolio. He responded to questions posed regarding upgrade. He stated that there will be an Athens'
proposal at the next meeting regarding automated trash collection. Assistant Director of Water Operations
Anderson introduced new Light and Water employee of the Water Division Melisa Barbosa Associate
Engineer.
UTILITY BOARD MEMBER COMMENTS Brd Mbr Corn
Board Member Rocha welcomed the new Light and Water employee Associate Engineer Melisa Barbosa to the Rocha
City of Azusa. Comment
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 Gonzales and unanimously* carried. Appvd
1. The minutes of the regular meeting of September 26, 2011, were approved as written. Minutes
2. Approval was given for the purchase of a new engineering plan copier/large document scanner from Purchase
ARC Imaging Resources Company in amount not-to-exceed$14,201.98 including applicable tax and Engr Copier
trade in value of old equipment.
3. Approval was given for the termination of contract with PMR Progressive,LLC collection agency and Term PMR
authorization was given to issue a Request for Proposals for a new collection agency. New RFP
4. Approval was given for the purchase of a rugged handheld industrial thermal imager for Electric Purchase
Division from B&K Electric Wholesale in amount not-to-exceed $9,475.32 plus applicable tax. Imager
SPECIAL CALL ITEM Spec Call Item
None. None
SCHEDULED ITEMS Sched Items
Financial Security Agreements with the ISO for Congestion Revenue Rights(CRR)Auction. Fin Sec Agmts
Assistant Director of Resource Management Lehr addressed the item stating that Azusa Light and Water is Asst Dir Res
working with the California Independent System Operator (ISO) to purchase Congestion Revenue Rights Mngmt Lehr
(CRR). These rights allow Azusa to manage transmission congestion. Azusa routinely purchases additional Comments
CRRs at the ISO auctions to protect against unforeseen transmission costs associated with importing energy
from remote resources. This year the ISO is requiring a Security Agreement along with financial collateral via
Certificate of Deposit or cash account to enable Azusa to participate in the ISO CRR auction.
Moved by Board Member Carrillo,seconded by Board Member Rocha and unanimously*carried to authorize Financial
the Director of Utilities to execute periodic Financial Security Agreements with the California Independent Security Agmts
System Operator(ISO)in amount not-to-exceed$500,000;and authorize the City Treasurer to establish cash Approved
deposits or other instruments sufficient to fulfill the agreement obligations on behalf of Azusa Light&Water.
STAFF REPORTS/COMMUNICATIONS Staff Rpts
Local Adoption of SBX 1 2 SBX 1 2
Assistant Director of Resource Management Lehr presented Renewable Portfolio Standard law that will Assist Dir Res
become effective on December 10,2011. He stated that regulations regarding the law are not finalized yet,not Mngmt Lehr
until June or July of 2012,but the law requires that governing bodies of publicly-owned electric utilities adopt Presentation
an RPS "Enforcement Program" by January 2012. He stated that SBX 1 2 requires a 30-day notice be
published in the local newspaper as well as posted on the Azusa L&W website to advise the public that on
November 28,2011 the Board will be considering adoption of a RPS Enforcement Program,he advised that
that will be completed.
10/24/11 PAGE TWO
State Mandated Commercial Recycling Program Requirements Com Recycle
Assistant to the Director of Utilities Kalscheuer addressed the issue providing information on the regulatory Assist to Dir
and legislative efforts by the State to mandate commercial recycling by 2012. Assembly Bill 32 requires GHG Util Kalscheuer
emissions reduced to 1990 levels by 2020, and in the areas of solid waste sector it was determined that Presentations
significant source of Greenhouse Gas emissions,mainly methane was emitted from landfills is 20 times more
effective for trapping heat in atmosphere than CO2 and so is important to reduce. While the regulation was
under development the State enacted AB 341 which parallels AB 32 and it sets a 75%waste diversion target
by 2020. Regulations pertaining to commercial recycling have been under development with a targeted date of
January 1,2012 and implementation by local jurisdiction and businesses by July 1,2012.In Azusa there is the
MRF program where all the commercial materials are going through Athens Materials Recovery Facility which
allows compliance with regulations.
Utilities Director Morrow provided an Update on Vulcan Water Rights usage stating that in 1996 Vulcan Dir of Utilities
granted a permit to maintain and operate City Well No. 1903119,the permit was amended in 1999 to allow Update Vulcan
Vulcan to borrow water for up to 5 years and small amounts were borrowed and repaid annually. However, Water Rights
there was no record of repayment for FY02 and FY03. Light & Water staff recently met with Vulcan to Transfers
discuss outstanding water repayments and Vulcan researched its records to see what payments were made.
Utilities Director Morrow provided an update on SCPPA, Southern California Public Power Authority, and Dir of Utilities
Legislative Briefing as he and Chairman Hanks attended a Legislative Lunch Briefing on September 30,2011. SCPPA
He talked about projects, energy centers, financial activities, its speakers, etc. He responded to questions
posed regarding Hoover Dam and invited Board Members to take a tour some time. He provided an update on
San Juan stating there was a small fire there and it may be as long as April 2012 to be able to go into the coal
mine and last week the MOU,Letter of Intent for the sale of San Juan was signed.
It was consensus of Board Members to adjourn. Adjourn
TIME OF ADJOURNMENT: 7:05 P.M.
SECRETARY
NEXT RESOLUTION NO. 11-C75.
* Indicates Macias absent.
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