HomeMy WebLinkAboutMinutes - February 28, 2022 - UBCITY OF AZUSA
MINUTES OF THE REGULAR MEETING
OF THE AZUSA UTILITY BOARD
MONDAY, FEBRUARY 28, 2022– 6:30 P.M.
Chair person: Jesse Avila, Jr.
Vice Chair person: Andrew N. Mendez
Board Member: Robert Gonzales
Board M ember: Edward J. Alvarez
Board Member: Dennis Beckwith
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 Light and
Water Conference Room located at 729 N. Azusa, Azusa, California.
Cha ir person Avila , Jr. called the meeting to order at 6:32 P.M.
ROLL CALL: R oll call was taken by Secretary Cornejo.
PRESENT: BOARD MEMBERS: ALVAREZ, GONZALES, AVILA Jr.
ABSENT: BOARD MEMBERS: BECKWITH, MENDEZ
Pledge to the flag was led by Chair Avila Jr.
ALSO PRESENT
Elected Officials: Secretary Cornejo
City Attorney: Monica Castillo
Staff Members: Interim General Manager Torres, Assistant General Manager of Water Operations Macias, Assistant
General Manager of Customer Service Holmes, Assistant General Manager of Electric Operations Vuong, Administration
and Finance Manager Smith, City Manager Gonzalez, Interim Chief Wenrick, Chief Deputy City Clerk Garcia
A. PUBLIC PARTICIPATION
None
B. UTILITIES DIRECTOR COMMENTS
Interim General Manager Torres reported that the Athens refuse service bins have been deployed and there have been no
issues with the transition. The North Tank Coding project is on schedule and expected to be completed mid to late March.
There was above average rainfall in December versus a record dry January, substantial rainfall will be needed to make up
for the shortfalls, but they are still in a better place than in 2021. Customer water bill credit assistance is available through
311 customer assistance and the SGVMWD grant is still available for additional assistance. The goal is to eliminate water
arrearages accumulated during the last two years. The Azusa substation repair from the January windstorm will require
additional repairs in March and there will be another planned outage yet to be determined. The Utility Board will be
reviewing mid-year budget to actuals, operating revenues are covering operating expenses, non-operating costs have a
couple of concerns with limited capital outlay and CIP projects and debt service coverage. He has been discussing their
options with the City Manager and they are looking at the possibility of doing a rate study on the sustainable outlook.
PAGE 2 – 2/28/2022
C. UTILITY BOARD MEMBER COMMENTS
Member Alvarez questioned if there is different number than the customer service number to pay the bill via phone.
Assistant General Manager of Customer Service Holmes replied customers call the main number and follow the prompts
for bill pay. Chair Avila Jr. commented he uses the online option and it’s very easy to navigate.
D. SCHEDULED ITEMS
None
E. CONSENT CALENDAR
1. A Purchase Order to Alpine Exterminators in an amount not -to-exceed $27,450 plus a contingency allowance of
$2,745 (10%) for potential change orders required for unforeseen conditions while treating, fumigating, and
tenting the ALW administration building was approved.
2. The Notice of Completion for Furnishing and Installing Underground Electric Substructures at 1151 West Arrow
Highway in Accordance to Plan and Specification LD2021-03 was approved, to include the following:
1) An amendment of $6,870 to the original Purchase Order 036430; and
2) TSR Construction & Inspection has completed the 1151 West Arrow Highway Project in accordance with
plans and specifications LD2021-03; and
3) Approve the Notice of Completion and authorize the Mayor to execute the Notice of Completion on
behalf of the City; and
4) Authorize the City Clerk to submit the Notice of Completion for recordation to the Office of the County
Recorder of Los Angeles County, within ten days of the Utility Board approval, as required by Section
3093 of the California Civil Code.
3. An Amendment to the Fiscal Year 2021/22 Blanket Purchase Order 035435 Issued to Southern California Edison
from $80,000 to $160,000 for Joint Pole and Miscellaneous Services was approved.
4. The allocation of funding received from the California Department of Community Services & Development’s
(CSD) California Arrearages Payment Program (CAPP) was approved.
5. The allocation of funding received from the California State Water Resources Control Board’s (SWRCB)
California Wastewater Arrearages Payment Program (CWWAPP) was approved.
6. Authorization to Amend Blanket Purchase Order 035476 for Invoice Cloud, Incorporated during fiscal year
2021/2022 to a not-to-exceed amount of $190,000 was approved.
7. A Second Amendment to the Maintenance Service Agreement with Sedaru, Inc., for a one-year extension of
Sedaru licens es and maintenance services, effective February 1, 2022 through January 31, 2023; authorization for
the Mayor to execute, in a form acceptable to the City Attorney, amendments to the Maintenance Service
Agreement was approved.
Moved by Board Member Gonzales, seconded by Board Member Alvarez, to approve Items 1-7 of the Consent Calendar
by the following vote of the Board:
AYES: BOARD MEMBERS: ALVAREZ, GONZALES, AVILA Jr.
NOES: BOARD MEMBERS: NONE
ABSENT: BOARD MEMBERS: BECKWITH, MENDEZ
ABSTAIN: BOARD MEMBERS: NONE
PAGE 3 – 2/28/2022
F. STAFF REPORTS/COMMUNICATIONS
Fiscal Year 2021-22 Second Quarter Budget Reports for Water and Electric Funds were received and filed.
G. VERBAL COMMUNICATIONS
1. Power Supply Update
Interim General Manager Torres reported power resources are running well while navigating through droughts
and fuel price spikes. They have reached 38.5% of the 2021 Azusa Light and Water generation composition
renewable target , January stayed in a normal trend. Seventy-five plus experts are urging the state to delay the
plant closure to pace prudent replacement of energy. Diablo Canyon equals 10% of California generation. The
fuel markets are rattled due to international events adding to the commodity market spikes, especially in the
liquefied Natural Gas (LNG) sector . The Azusa Light & Water’s Mesa Wind is on schedule for late 2022. A new
major resource was added to the division’s operating budget. Power supply costs will reflect Mesa addition to the
portfolio. P ower resources mid-year budget amendment in March of 2022 will be due to the inbound natural gas
transmission pipeline issues in 2021, 45% increase in market prices, drought conditions caused reduced to no
hydroelectric output, and Lodi Energy Center went offline for major maintenance.
2. Water Supply Update
Interim General Manager Torres related that the groundwater basin level is currently 182.3 feet, a decrease of 0.6
feet from the prior month; the local reservoirs capturing storm water are at 17,599 feet as of January 1, 2022; there
was record rainfall between October -December. Drought severity levels have improved however, were not
eliminated. January saw historic low rainfall and water conservation measures are in effect.
H. CLOSED SESSION
None
I. ADJOURNMENT
The meeting was adjourned by consensus of the Utility Board.
TIME OF ADJOURNMENT: 6:53 P.M.
__________________________________________
CITY CLERK/SECRETARY