Public Utilities 2014/05/28May 28, 2014
The agenda having been posted on Wednesday, May 21, 2014, the Regular Meeting of the Public Utilities
Board (Board) was called to order by Chairperson John Machiavema at 5:00 p.m, on Wednesday, May 28,
2014, in the 11 Floor Large Conference Room, Anaheim West Tower, 201 S. Anaheim Blvd., Anaheim,
California.
Board Members Present: J. Machiavema, B. Hernandez, S.E. Faessel, D.Wain, C. Monaco
Board Members Absent: D. Singer, L. Cahill
Staff Present: D. Lee, B. Beelner, S. Sciortino, J. Lonneker, R. Shintaku, A. Kott, J. Lehman,
L. Quiambao, P. Oviedo, M. DeSollar, M. Lopez, F. Barvarz, J. Coe, T. Bass
M. Robledo, S. Welch, J. McBride
Guest(s) Present: Wayne Darling, Project Manager for S&S; Sarah Denman, Project Manager
for AAC Utility Partners
AGENDAITEM ACTION TAKEN
1. PUBLIC COMMENTS. There being no public
comments, Chairman J.
None. Machiaverna closed the
public comments portion of
the meeting.
3. DETERMINE THAT THE FISCAL YEAR 2014/15 PROPOSED
D. Wain moved approval to
BUDGET IS REASONABLE AND PRUDENT, AND APPROVE
determine that the Fiscal Year
THE FISCAL YEAR 2014115 PROPOSED BUDGET.
2014115 Proposed Budget is
reasonable and prudent, and
Staff responded to questions by Board members on costs of services,
approve the Fiscal Year
revenue projections for both electric and water, and types of
2014115 Proposed Budget.
expenditures presented in the budget.
B. Hernandez seconded the
motion.
MOTION CARRIED: 5-0.
ABSTAINED. 0.
ABSENT: 2 (D. Singer, L.
Cahill).
4. . . , 1 APPROVAL OF
UNDERGROUND # " # FOR FISCAL YEARS
F. Barvarz, Transmission and Distribution Manager, presented the
2014/15 Update to the Five -Year Underground Conversion Plan for
the Board`s consideration. His update included 14 projects in the Plan
in which two were recently completed on Brookhurst and Douglass,
with other projects under construction, design, or preliminary
planning. The Plan includes one proposed project on Santa Ana,
between Vine and State College.
A Board member commented on the benefits of undergrounding,
especially during wind events. A Board member inquired about
future projects with ,Southern California Edison (SCE), and staff
responded that the projects in the current Plan substantially complete
SCE's franchise obligations.
APPROVAL 5. OF 1 # TO THE SECOND
AMENDED AND RESTATED METERED SUBSYSTEM
AGREEMENT BETWEEN THE CALIFORNIA
INDEPENDENT SYSTEM OPERATOR # AND THE
CITY OF ANAHEIM. *
S. Sciortino, AGM of Joint Services, provided the Board with a brief
summary on the Metered Subsystem (MSS) Agreement, which is the
contractual vehicle for all of Anaheim's operational activities within
the California Independent System Operator (CAISO) and is directed
by the CAISO's Tariff. On occasion, the CAISO needs to revise its
Tariff to accommodate changes necessary to maintain grid reliability.
The proposed amendment includes modifications to reflect the need to
change scheduling requirements at the interconnection points outside
of California. The Tariff allows those importing energy outside of the
state to change the level of imports on 15 minute increments, rather
than changing schedules on an hourly basis. The purpose of this
change is to better manage the variances caused by importing wind
energy to meet individual utility Renewable Portfolio Standard (RPS)
targets. S. Sciortino shared that by making this allowance, the CAISO
will better manage the variances in output caused by wind resources
imported into the state by having more accurate /predictable levels of
wind anticipated and allow the CAISO to react to changes in those
schedules more quickly to maintain reliability.
As a participant in the CAISO's grid, Anaheim is required to alter its
MSS Agreement to reflect these changes. There are no direct changes
in the Department's cost of operations as a result of these changes.
6. UPDATE ON 1 ' INFORMATION SYSTEM
PROJECT.
M. Lopez, Business Information Systems Manager, provided an
update on the Customer Information System (CIS) Project with the
Board. He shared that customers will see a simplified account
number on the billing statements, which was explained in the current
bill insert. M. Lopez shared that after meeting with the Los Angeles
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S.E. Faessel moved approval
of the Five -Year
Underground Conversion
Plan for Fiscal Years
2014115 to 2018/19.
C. Monaco seconded the
motion.
MOTION CARRIED: 5 -0.
ABSTAINED 0.
ABSENT: 2 (D. Singer, L.
Cahill).
B. Hernandez moved
approval of Amendment No.
1 to the ,Second Amended
and Restated Metered
Subsystem Agreement
between the California
Independent System
Operator (CAISO) and the
City of Anaheim. C.
Monaco seconded the
motion.
MOTION CARRIED: 5-0.
ABSTAINED: 0.
ABSENT: 2 (D. Singer, L.
Cahill).
2014-30
K. Shintaku further shared that Anaheim*s Annual Water Quality
Re rt was distributed to the Board. and indicated that water met aV.
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4. Lee shared that a customer recently inquired about fluoride being
naheinn' water and that staff thwrowhii exilained to the
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Staff will schedule a
CIS at a future Board
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B. Beelner, AGM of Finance and Administration, shared the monthly
dashboard, which showed revenue for both water and electric
winter coupled with lower than budgeted levels for controllable costs
such as labor and other operational costs.
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J. Lehman, Chief Risk Officer, invited the Board's attention to the
Wholesale Energy Risk Management (ERM) Program's Quarterly
Compliance report at their place settings. This Program sets forth the
criteria under which certain energy related transaction can be made
providing the framework for transactions to be made in an efficient
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* Senate bill 594 Electric Meter Aggregation
* 2003/04 Electric Revenue Bond Refunding
SONGS Decommissioning Agreement
D. Lee, Public Utilities General Manager, shared feedback provided
impacts to Anaheim. He shared the idea of providing restaurant car
to local restaurants, explaining to patrons that glasses of water are
available upon request.
Anaheim customers.
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and suggested everyone should see it. He also said that he enjoyed
the Linda Vista open house and that he was impressed with the
facility.
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had to leave early, She congratulated the winners of the Water
Awareness Poster Contest. She also thanked M. Jouliari and D.
Wilson for the personal tour • the Linda Vista Water Complex.
J. Machiavema said lie appreciates being a part of an organization
where staff always puts the needs of the customers at the forefront and
fecisions are made in the best interest of the customer.
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