Public Utilities 2017/08/23CITY OF ANAHEIM
PUBLIC UTILITIES BOARD
MINUTES
AUGUST 23, 2017
The agenda having been posted on Thursday, August 17, 2017, the Regular Meeting of the Public Utilities
Board (Board) was called to order by Vice -Chairperson J. Seymour at 5:00 p.m. on Wednesday, August
23, 2017, in the 11th Floor Large Conference Room, Anaheim West Tower, 201 S. Anaheim Blvd.,
Anaheim, California.
Board Members Present: Vice -Chair J. Seymour, A. Abdulrahman, V. Baroldi, V. Ramirez,
R. Nelson
Board Members Absent: E. Medrano, J. Showalter
Public Utilities Department
Staff Present: D. Lee, L. Quiambao, M. Moore, J. Lonneker, B. Beelner, A. Kott,
G. Bowen, J. Lehman, P. Oviedo, D. Albaugh, A. Kanzler, M. Seifen,
L. Nugent, P. Garcia, M. Jouhari, J. McBride, A. Nguyen, Y. Gaytan,
F. Barvarz
Guest(s) Present: None.
AGENDA ITEM
1. PUBLIC COMMENTS.
None.
2. APPROVE THE MINUTES OF THE REGULAR PUBLIC
UTILITIES BOARD MEETING OF JULY 26, 2017. *
There being no public
comments, Vice -
Chairperson J. Seymour
closed the public comments
portion of the meeting.
A. Abdulrahman moved
approval of the Minutes of
the Regular Public Utilities
Board Meeting of July 26,
2017. V. Baroldi seconded
the motion.
MOTION CARRIED: 5-0.
ABST ED:O.
ABSENT: 2 (E. Medrano
and J. Showalter).
D. Lee requested and the
Vice -Chair agreed to have
the Board entertain the
approval items ahead of the
presentation items because
two Board Members had
previously indicated they
would be leaving before the
meeting concluded.
3. PRESENTATION ON STREET LIGHT OVERVIEW.
F. Barvarz, Transmission and Distribution Manager, presented an
overview of the Street Light Program. F. Barvarz described the
different types of street light poles in Anaheim. He listed the
Public Utilities Department's (Department) responsibilities
including annual funding of $3.7M to maintain, manage, upgrade,
and install street lights. F. Barvarz also discussed that an
additional $2.7M funding from non -utilities sources pay for street
lights' electric service charges and the Matching Fund Program
that uses a combination of Community Development's Federal
grants and Neighborhood Services funding to install additional
street lights to address on-going street light improvement requests
by residents. Lastly, F. Barvarz discussed the new LED street
lights and their improved visibility for Anaheim's neighborhoods.
The Board asked how the funds are being distributed and if there
was a way to obtain additional funding for street lights. D. Lee
responded that the Department will continue to review requested
street light upgrades so that high priority requests are
implemented. Additional funding opportunities will also be
evaluated as part of future capital improvements.
4. PRESENTATION ON CUSTOMER SERVICE.
L. Nugent, Customer Service Manager, reviewed the structure of
the Customer Service Division and shared various performance
metrics for each of the four sections in the Division. L. Nugent
described how the Department Call Center maintains an
appropriate balance between the needs of individual customers
with the relative cost impacts to the entire customer base,
and how Call Center representatives manage the vast majority of
situations so that customers are satisfied with the outcome, and
only a small percentage require escalation. L. Nugent also
mentioned the Department's roll out of monthly billing and how
that program is an additional tool that is provided to customers to
manage their utility bills.
The Board asked why the call volumes increased in Fiscal Year
(FY) 2017 compared to FY 2016, and what contingencies has the
Department implemented to mitigate long hold times when call
volumes spiked. D. Lee responded that customers are calling
more often to request assistance with payment options in light of
their financial circumstances. B. Beelner indicated that the
2017-61
Department makes use of an external service, CallNet, in the
event of spikes in call volume in order to mitigate long hold
times.
5. PRESENTATION ON WATER DISTRIBUTION SYSTEM
J. Seymour adjourned the
RELIABILITY.
regular PUB meeting at 6:41
CALIFORNIA AND MUNICIPAL WATER DISTRICT OF
p.m. for lack of a quorum.
M. Moore, Assistant General Manager — Water Services,
Vice -Chairperson J.
introduced P. Garcia, Water Field Superintendent, to present on
Seymour, A. Abdulrahman,
the Department's Water Reliability. The presentation highlighted
and R. Nelson asked to
the process on how the Department responds to main breaks in the
remain to hear the
water system. P. Garcia provided an overview of the different
Presentation On Water
steps in the Water Outage Management Plan for water main
Distribution System
breaks, beginning with the initial assessment, how customers are
Reliability.
notified, restoration of water services, and documenting the cause
MOTION CARRIED: 5-0.
of the break.
ABSTAINED: 0.
In addition, P. Garcia indicated that the Department's annual
number of main breaks per hundred miles of pipe is about 4.4
miles as compared to the national average of 11 miles. P. Garcia
made the Board aware that the Department's number of water
main breaks is among the lowest for local water agencies.
Lastly, P. Garcia mentioned the Department's future plans to
replace water mains by incorporating the latest technology in
corrosion protection and seismic resistance.
6. DISCUSSION ON UTILITIES SUCCESS INDICATORS, This item was not discussed
JANUARY THROUGH JUNE 2017 UPDATE. due to a lack of a quorum.
7. APPROVAL OF AN AGREEMENT WITH
R. Nelson moved approval
METROPOLITAN WATER DISTRICT OF SOUTHERN
of the Agreement with
CALIFORNIA AND MUNICIPAL WATER DISTRICT OF
MWD and MWDOC for
ORANGE COUNTY FOR FISCAL YEAR 2017/2018 IN -LIEU
Fiscal Year 2017/2018 In -
TREATED DELIVERIES TO RECEIVE SURPLUS WATER
Lieu Treated Deliveries to
SUPPLIES THAT HELP RESTORE GROUNDWATER
receive Surplus Water
LEVELS. *
Supplies that help restore
Groundwater Levels. V.
M. Moore indicated that the Metropolitan Water District (MWD)
Baroldi seconded the
and Municipal Water District of Orange County (MWDOC) In-
motion.
Lieu agreement is a one year agreement which helps replenish
MOTION CARRIED: 5-0.
groundwater levels with excess Northern California water due to
ABSTAINED: 0.
the heavy snow pack from this past winter. The agreement will
ABSENT: 2 (E. Medrano
allow the Department to utilize imported water instead of
and J. Showalter).
pumping groundwater at the same cost.
8. APPROVAL OF GENERAL SERVICES AGREEMENTS A. Abdulrahman moved
FOR CIVIL AND ELECTRICAL ENGINEERING approval of the General
SERVICES IN A NOT -TO -EXCEED AWARD AMOUNT OF Services Agreements for
2017-62
5400,000 PER WORK ORDER PACKAGE WITH
Civil and Electrical
AUTHORIZATION FOR UP TO 15% IN EXTRA WORK,
Engineering Services in a
WITH A LIMIT PER CONSULTANT OF $1 MILLION IN
not -to -exceed award amount
TOTAL AWARDS DURING EACH FISCAL YEAR OF THE
of $400,000 per Work Order
AGREEMENT'S THREE-YEAR TERM. (CONTINUED
Package with Authorization
FROM JULY 26, 201'7) *
for up to 15% in Extra
Storage Plan for 2017. He indicated that under Assembly Bill
Work, with a limit per
D. Lee indicated that this item was continued from the previous
consultant of $1 million in
meeting due to discussions that occurred involving similar
total awards during each
agreements at City Council. The revisions incorporate City
fiscal year. V. Baroldi
Council's request for an annual not -to -exceed amount per
seconded the motion.
individual consultant.
MOTION CARRIED: 5-0.
Storage Target of 1 Megawatt (MW) at the new Harbor
ABSTAINED: 0.
Substation by 2021 as a Pilot Project and an additional 10MW at
ABSENT: 2 (E. Medrano
Canyon Power Plant by 2026 depending on results of the Harbor
and J. Showalter).
9. APPROVAL OF UPDATED ENERGY STORAGE SYSTEM
R. Nelson moved approval
PLAN AND DETERMINATION OF ASSEMBLY BILL 2514
of the updated Energy
PROCUREMENT TARGETS. *
Storage System Plan and
EXPENDITURES AND ASSETS) 335 (TRAVEL, STAFF
Determination of Assembly
G. Bowen, Assistant General Manager -- Power Supply, provided
Bill 2514 Procurement
the Board with an overview of the Department's Updated Energy
Targets. A. Abdulrahman
Storage Plan for 2017. He indicated that under Assembly Bill
seconded the motion.
2514 that every 3 -years all utilities must initiate a process to
MOTION CARRIED: 5-0.
determine appropriate energy storage targets and report findings
ABSTAINED: 0.
and recommendations to the California Energy Commission
ABSENT: 2 (E. Medrano
(CEC) by October 2017. G. Bowen indicated the Department was
and J. Showalter).
recommending that the Board and City Council adopt an Energy
Storage Target of 1 Megawatt (MW) at the new Harbor
Substation by 2021 as a Pilot Project and an additional 10MW at
Canyon Power Plant by 2026 depending on results of the Harbor
Substation Pilot Project. The recommendations do not authorize
future expenditures, which will be subject to Board review and
City Council approval.
The Board asked if other types of ownership arrangements are
being considered, and staff responded that they are open to
looking at third -party ownership, similar to power purchase
agreements currently used to procure energy.
10. APPROVAL OF PUBLIC UTILITIES DEPARTMENT
A. Abdulrahman moved
ORDERS 236 (RECRUITMENTS, SELECTIONS, AND
approval of the Public
PROMOTIONS), 311 (CAPITALIZATION OF
Utilities Department Orders
EXPENDITURES AND ASSETS) 335 (TRAVEL, STAFF
236, 311, 335, and 340. V.
DEVELOPMENT, AND MEETING EXPENSE), AND 340
Ramirez seconded the
(PETTY CASH FUNDS). *
motion.
MOTION CARRIED: 5-0.
D. Albaugh, Administrative Services Manager, provided the
ABSTAINED: 0.
Board with an introduction to Department Orders (DOs) 236, 311,
ABSENT: 2 (E. Medrano
335, and 340. He discussed how DOs are consistent with the
and L Showalter).
2017-63
MANUMMIM I
Illyi�,�Xt�;-,�VI&I�Wl'YK~@W,4w-i�ll)wl@r-I VIVIVIV" I
to the Department's operation.
D. Albaugh provided an overview of four DOs: (1) Department
Order 236 — Recruitments, Selections and Promotions, which
establishes the Department's policy and procedures for initiating
the recruitment process and filling. OL
promotion; (2) Department Order 311 — Capitalization of
Expenditures and Assets, which establishes the Department's
accounting policies and recommended accounting treatment for
the appropriate classification of the Utility expenditures and
assets; (3) Department Order 3 3 5 — Travel, Staff Development,
and Meeting Expense, which establishes the Department's
procedure for differentiating between and obtaining approval for
travel, meeting expenses, staff development, industry education,
seminars, conference, and training; and (4) Department Order 340
— Petty Cash Funds, which establishes the Department's
procedure for administration, accounting, and replenishing of
petty cash funds. The Board concurred with the need for DOs to
provide necessary guidance for Department personnel.
The Board asked how the Department determines the amount
needed for travel expense reimbursements. Staff indicated that
the amount is based on the
based on geographic area.
11. UPDATE ON ELECTRIC SYSTEM ISSUES. This item was not discussed
due to a lack of a quorum.
12. UPDATE ON WATER SYSTEM ISSUES. This item was not discussed
due to a lack of a quorum.
13. UPDATE ON FINANCE ISSUES. This item was not discussed
due to a lack of a quorum.
14. UPDATE ON POWER SUPPLY ISSUES. This item was not discussed
due to a lack of a quorum.
15. UPDATE ON ENTERPRISE RISK, COMPLIANCE, AND This item was not discussed
LEGISLATIEVE & REGULATORY AFFAIRS ISSUES. due to a lack of a quorum.
16. ITE (S) BY SECRETARY: This item was not discussed
due to a lack of a quorum.
17. ITEM(S) BY BOARD MEMBERS: This item was not discussed
due to a lack of a quorum.
2017-64
18, ADJOURNMENT: (REGULAR MEEETING ON J., Seymour adjourned the
SEPTEMBER 27,2017, AT 5:00 P.M., IN THE I ITR FLOOR regular PUB meeting at 6:41
LARGE CONFERENCE ROOM, ANAHEIM WEST p . rn. for lack of a quorum.
TOWER, 201 S. ANAJ-IEIM[ BOULEVARD, ANAHEIM,
CALIFORNIA).
D Lee
Public Utilities General Manager
Indicates item(s) that will be forwarded to City Council for action upon recommendation by the
Board.
Indicates item(s) that will be forwarded to City Clerk and City Council for informational purposes.