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HomeMy WebLinkAboutMinutes - March 25, 2019 - UBCITY OF AZUSA MINUTES OF THE REGULAR MEETING OF THE AZUSA UTILITY BOARD MONDAY, MARCH 25, 2019 – 6:30 P.M. Chairman: Robert Gonzales Vice Chairman: Edward J. Alvarez Board Member: Joseph R. Rocha Board Member: Angel A. Carrillo Board Member: Uriel E. Macias Secretary: Jeffrey Lawrence Cornejo, Jr. The Utility Board/City Council of the City of Azusa met in regular session, at the above date and time, in the Azusa Light and Water (ALW) Conference Room, located at 729 North Azusa Avenue, Azusa, California. Chair Gonzales called the meeting to order at 6:30 P.M. Pledge to the flag was led by Mr. Jorge Rosales. ROLL CALL: Roll call was taken by Secretary Cornejo. PRESENT: BOARD MEMBERS: GONZALES, ALVAREZ, ROCHA, CARRILLO, MACIAS ABSENT: BOARD MEMBERS: NONE ALSO PRESENT Elected Officials: Secretary Cornejo City Attorney: Jeff Ferre Staff Members: Utilities Director Robledo, Assistant Director of Water Operations Macias, Assistant Director of Electric Operations Palmer, Utilities Programs Specialist Reid, Public Works Director Bobadilla, Storekeeper Alvarez, Chief Deputy City Clerk Garcia A. PUBLIC PARTICIPATION None. B. UTILITIES DIRECTOR COMMENTS Utilities Director Robledo reported the advanced metering infrastructure (AMI) project is progressing. A three-month testing phase will begin in April. Customers will be able to see their daily usage of water and electricity compared day to day and hourly usage of electricity. Customers do not need a separate login to access their data. Recruitments are underway for Customer Service Supervisor and Business Information Specialist. C. UTILITY BOARD MEMBER COMMENTS Chair Gonzales thanked his colleagues for allowing him to serve as Chairman of the Utility Board over the past year. D. SCHEDULED ITEMS 1. Election of Officers Utilities Director Robledo related the Municipal Code provisions for selecting the officers of the Utility Board. Chair Gonzales advised that Board Member Alvarez was named Mayor Pro Tem at the most recent Council meeting. Moved by Board Member Gonzales, seconded by Board Member Rocha, to approve the nominations of Board Member Alvarez as Chairman and Board Member Carrillo as Vice Chairman of the Azusa Utility Board and to affirm City Clerk Cornejo as Secretary of the Azusa Utility Board by the following vote of the Board: AYES: BOARD MEMBERS: GONZALES, ALVAREZ, ROCHA, CARRILLO, MACIAS NOES: BOARD MEMBERS: NONE ABSENT: BOARD MEMBERS: NONE ABSTAIN: BOARD MEMBERS: NONE PAGE 2 – 03/25/2019 E. CONSENT CALENDAR Moved by Vice Chair Carrillo, seconded by Board Member Gonzales, to approve the Consent Calendar by the following vote of the Board: AYES: BOARD MEMBERS: GONZALES, ALVAREZ, ROCHA, CARRILLO, MACIAS NOES: BOARD MEMBERS: NONE ABSENT: BOARD MEMBERS: NONE ABSTAIN: BOARD MEMBERS: NONE 1. The minutes of the regular meeting of February 25, 2019 were approved as written. 2. Project plans and specifications for Project W-347, Citrus Avenue and Foothill Boulevard 830 Tie-In, were approved; and the advertisement and solicitation for bids for Project W-347 were authorized. 3. Project plans and specifications for the Azusa Light and Water Customer Service Remodel Project were approved; and the advertisement and solicitation of bids for the project were authorized. 4. The use of non-exclusive brokerage services in the competitive solicitation and procurement of electrical energy and capacity was approved; and the Director of Utilities was authorized to execute Non-Exclusive Brokerage Agreements, as required, in a form acceptable to the City Attorney. 5. An amendment to increase the contract purchase order annual authorization with Infosend from $135,000 to $225,000 per year through July 31, 2012, was authorized. F. STAFF REPORTS/COMMUNICATIONS 1. Results of the California Air Resources Board's February 20, 2019 Auction of Greenhouse Gas Allowance Auction Utilities Director Robledo indicated ALW was awarded allowances to generate electricity. Because of changes in ALW's portfolio, ALW had surplus allowances, which were sold at auction for $943,800. The funds are required to be expended on measures that will reduce greenhouse gas emissions. Historically, auction proceeds have been used to purchase renewable energy, but some of these funds will may be recommended for the purchase of electric vehicles and electric vehicle infrastructure. In reply to Board Member questions, Utilities Director Robledo explained that the proceeds have been deposited into ALW's investment portfolio managed by the Finance Department. Moved by Vice Chair Carrillo, seconded by Board Member Gonzales, to receive and file staff's report regarding the results of the February 20, 2019 auction of greenhouse gas allowances by the following vote of the Board: AYES: BOARD MEMBERS: GONZALES, ALVAREZ, ROCHA, CARRILLO, MACIAS NOES: BOARD MEMBERS: NONE ABSENT: BOARD MEMBERS: NONE ABSTAIN: BOARD MEMBERS: NONE G. VERBAL COMMUNICATIONS 1. Power Supply Update Utilities Director Robledo reported the power resources portfolio contains less than 32% of renewable resources because the Metropolitan Water District (MWD) hydroelectric project has been offline and the Antelope DSR II facility suffered an outage. The percentage of renewable resources will increase through the year. Staff continues to negotiate a contract for power from the new wind project. The project is located in a good area and will provide a good price for renewable energy. 2. Water Supply Update Utilities Director Robledo advised that rainfall now totals almost 30 inches. Water is being stored in the Azusa Canyon Reservoirs for later use at the treatment plant. Approximately 97% of water in the Azusa Canyon watershed is either used or spread. The water table has risen 16 feet and continues to rise; however, the water table is still 40 feet below the average level. Staff continues to recommend conservation measures. The snow pack has reached an above-average level. Because of the amount of snow pack, the river should have water well into the summer. Because of the abundance of rainfall, the State Water Project has increased ALW's allocation to 70%, and ALW will purchase this water. In reply to Board Member queries, Utilities Director Robledo explained that the water table probably will not rise much more because rainfall is leveling off. Assistant Director of Water Operations Macias added that the San Gabriel Valley Watermaster believes the water table will rise about 3 feet a week for the next four weeks. The water table could be slightly less than 200 feet, which is the bottom of the operating range. Utilities Director Robledo indicated ALW has not considered the impact on water quality of the homeless encampment located above the spreading grounds; however, the Earth’s soil filters rainwater such that it is clean enough to drink when pumped from the ground. ALW's water complies with all drinking water standards. Assistant Director of Water Operations Macias reported the State requires the surface PAGE 3 – 03/25/2019 water treatment plant to remove contaminants such as viruses and many components of infectious diseases. The biggest environmental impact of homeless encampments is trash. Utilities Director Robledo added that Azusa’s well water is tested regularly and currently does not contain harmful levels of nitrates, which are found in areas near dairy farms. If the homeless encampment reached the size of a ranch or dairy farm, then it may impact water quality. 3. General Policy and Regulatory Updates Utilities Director Robledo reported SB 669 would create a safe drinking water trust that will help community water systems in disadvantaged communities provide safe drinking water. Staff prefers that the small water agencies be absorbed by competent operators rather than the State instituting a trust fund. Wildfire pevention continues to be an issue in the Legislature. Staff wants to prevent the assessment of a statewide wildfire prevention tax. ALW does not have the kind of electric lines discussed in the proposed legislation that would cause wildfires. The Legislature is also considering statewide procurement of energy. Staff opposes statewide procurement because ALW is fully resourced and capable of serving its customers. H. CLOSED SESSION None ADJOURNMENT The meeting was adjourned by consensus of the Utility Board. TIME OF ADJOURNMENT: 6:54 P.M. __________________________________________ CITY CLERK/SECRETARY