HomeMy WebLinkAboutMinutes - May 28, 2024 - UB
CITY OF AZUSA
MINUTES OF THE REGULAR MEETING
OF THE AZUSA UTILITY BOARD
TUESDAY, MAY 28, 2024 – 6:30 P.M.
Chairperson: Edward J. Alvarez
Vice Chairperson: Jesse Avila, Jr.
Board Member: Robert Gonzales
Board Member: Andrew N. Mendez
Board Member: Dennis Beckwith
Secretary: Jeffrey Lawrence Cornejo, Jr.
The Utility Board of the City of Azusa met in regular session on the above date and time in the Azusa Light &
Water First Floor Conference Room, located at 729 N. Azusa Avenue, Azusa, California.
Chairperson Alvarez called the meeting to order at 6:30 P.M.
ROLL CALL: Roll call was taken by Secretary Cornejo.
PRESENT: BOARD MEMBERS: AVILA Jr., ALVAREZ, GONZALES, MENDEZ, BECKWITH
ABSENT: BOARD MEMBERS:
The pledge to the flag was led by Chair Alvarez.
ALSO PRESENT
Elected Officials: Secretary Cornejo
City Attorney: Marco Martinez
Staff Members: City Manager Gonzalez, General Manager Tikan Singh, Assistant General Manager Water
Operations Melissa Barbosa, Assistant General Manager Electric Operations Hien Vuong, Environmental
Programs Manager Paul Reid, Utilities Admin & Finance Manager Danny Smith, Police Captain Landeros, Chief
Deputy City Clerk Garcia.
PUBLIC PARTICIPATION
None
CLOSED SESSION
None
REGULAR UTILITY BOARD MEETING
Chairperson Alvarez called the Regular meeting to order at 6:30 P.M.
PAGE 2 – 5/28/24
GENERAL MANAGER COMMENTS
General Manager Singh advised that the Utility does not offer any free vehicle charging for the general public.
The City Hall is looking to create a policy for Staff to charge their vehicles.
UTILITY BOARD MEMBER COMMENTS
None.
SCHEDULED ITEMS
None.
CONSENT CALENDAR
Chair Alvarez asked if any Boardmembers wished to pull an item.
1. Minutes of the Utility Board meeting dated April 22, 2024, were approved as written.
2. Resolution No. 2024-UB03 adjusting water rates for IBY PROPERTY OWNER LLC, effective June 1,
2024, was approved.
3. Increase in the Fiscal Year 2023/24 blanket purchase order #039692 issued to MJ Starlite from $200,000
to $700,000 for additional services was approved.
4. Amendment of Bilateral Electric Power Trading Authority within the Energy Risk Management Policy was
approved.
5. Temporary Leasing Water Rights to the San Gabriel Valley Water Company was approved.
MOTION by Board Member Gonzales, seconded by Vice Chair Avila, Jr., to approve Items 1-5 of the Consent
Calendar.
AYES: BOARD MEMBERS: AVILA Jr., GONZALES, ALVAREZ, MENDEZ, BECKWITH
NOES: BOARD MEMBERS: NONE
ABSENT: BOARD MEMBERS:NONE
ABSTAIN: BOARD MEMBERS:NONE
Motion Passed 5-0-0
STAFF REPORTS/COMMUNICATIONS
1. Fiscal Year 2023-24 Third Quarter Budget Reports for Water and Electric Funds
Recommendation: 1) Receive and file Fiscal Year 2023-24 Third Quarter Budget Reports for Water and
Electric funds.
Utilities Admin & Finance Manager Danny Smith advised that the Third Quarter (Q3) report consists of July
2023 through March 2024. The Water Division Q3 report showed a positive cash flow of $5.9 million. Revenues
were at 74% of the budget while operating expenses were at 71% of the budget. Retail sales through Q3 were up
1.5% compared to the same period last year. The division's cash reserves were at $24.0 million with a $19.0
million minimum. Debt service coverage was at 1.96 with a 1.25 minimum. The Electric Division Q3 report
showed a positive cash flow of $6.0 million. Revenues were at 76% of the budget while operating expenses were
at 69% of the budget. Retail sales through Q3 were down 2.3% compared to the same period last year. The
PAGE 3 – 5/28/24
division's cash reserves were at $25.0 million with a $12.1 million minimum. Debt service coverage was at 8.62
with a 1.10 minimum.
Staff answered Board Member questions.
2. Detection of Perfluorooctanoic Acid (PFOA) and Perfluorooctanesulfonic Acid (PFOS) in the Groundwater
Recommendation: Receive and file Staff’s report – Detection of perfluorooctanoic acid (PFOA) and
perfluorootanesulfonic acid (PFOS) in the groundwater.
Assistant General Manager Water Operations Melissa Barbosa advised that there was detection in March and a
resample was conducted in April. Currently, the well is still operable. In April, the Federal EPA established a
maximum contaminant level of 4 parts per trillion, and the State Water Resources Control Board Division of
Drinking Water currently has not adopted an MCL (maximum contaminant level). Per the State the current
response and notification levels are still in effect.
Assistant General Manager Water Operations Barbosa answered Board Member questions.
VERBAL COMMUNICATIONS
1. Power Supply Update
General Manager Singh provided an update on the Mesa Wind Project and advised that all turbines are now
running. The test energy phase is nearing completion, and Staff will soon begin scheduling plant output with
CAISO. A ribbon-cutting ceremony is scheduled for June 19, 2024. CAISO is projecting no shortfalls this
summer. The Energy Risk Policy semi-annual compliance report will be presented at the next Utility Board
meeting.
General Manager Singh answered Board Member questions.
2. Water Supply Update
Assistant General Manager Water Operations Barbosa reported 29.25 inches of total rainfall this year. The Key
Well as of May 17, 2024, was 241 feet, which is the first time it has been at that level in over twenty years.
Currently, the Los Angeles County is conducting a dam clean-up project at San Gabriel and the water is being
stored at Morris Dam. All State reservoirs are currently full and the SWP 2024 allocation is at 40%.
Azusa Light & Water staff answered Board Member questions.
ADJOURNMENT OF THE AZUSA UTILITY BOARD
The Regular meeting of the Utility Board was adjourned by consensus of the Utility Board.
TIME OF ADJOURNMENT: 6:45 P.M.
________________________________________________
CITY CLERK/SECRETARY