Public Utilities 2024/12/18CITY OF ANAHEIM
PUBLIC UTILITIES BOARD
MINUTES
December 18, 2024
The agenda having been posted on Thursday, December 12, 2024, the Regular Meeting of the Public
Utilities Board (Board) was called to order by Chairperson J. Seymour at 5:00 p.m. on Wednesday,
December 18, 2024, in the Gordon Hoyt Conference Center, 2nd floor, Anaheim West Tower, 201 S.
Anaheim Blvd., Anaheim, California.
Board Members Present: Chairperson J. Seymour, Vice -Chairperson A. Abdulrahman,
A. Pham, T. Bilezikjian, A. McMenamin, T. Ibrahim
Board Members Absent: M. Lee
City Staff Present: D. Lee, P. Starr, B. Beelner, C. Parker, J. Lonneker, J. Lehman,
M. Avelino -Walker, B. Mendoza, M. Seifen, A. Lee, H. Munoz,
A. Nguyen, T. Castaneda, Y. Ceniceros, S. Whitlock, M. Martin,
A. Garcia, A. Markis, J. Trujillo, R. Dowell
Guest(s) Present: S. Rao, G. Tadros, C. Friesen, A. Garcia, B. Navarro, A. Denison, S. Powers,
H. Hobbs, K. Hobbs, F. Lalap, C. Lalap, S. Todd, J. Harrold, A. Garcia,
S. Alvord, R. Huskey
AGENDA ITEM ACTION TAKEN
1. RECOGNITION: AB ABDULRAHMAN FOR HIS SERVICE TO
THE ANAHEIM COMMUNITY AS VICE -CHAIRPERSON OF
THE PUBLIC UTILITIES BOARD.
A. Abdulrahman was recognized for his service as Vice -Chairperson of
the Public Utilities Board. While on the Board, A. Abdulrahman
participated in Board recognitions of students and schools, supported
projects and programs that benefit the community, and participated in
tours to City of Anaheim (City) and regional facilities. A. Abdulrahman
thanked fellow Board members and staff for the recognition and
expressed that he appreciated his time on the Board.
Following the Board recognition of A. Abdulrahman, D. Lee, Public
Utilities General Manager, recognized R. Dowell, Financial Services
Manager, who will retire at the end of 2024, after working with Anaheim
Public Utilities (APU) for 22 years.
D. Lee recognized A. Markis, Senior Integrated Resources Planner; J.
Trujillo, Customer Service Representative; S. Rao, Security Guard; and
G. Tadros, Security Guard; for their efforts in de-escalating a civilian in
distress and thanked them for safely handling the situation.
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2. PUBLIC COMMENTS.
3. APPROVE THE MINUTES OF THE REGULAR MEETING OF
NOVEMBER 20, 2024. *
4. RECOGNITION: SUSTAINABLE FOOTPRINT WINNERS.
Y. Ceniceros, Resource Program Specialist, recognized the Sustainable
Footprint Contest Winners. The Sustainable Footprint Contest was
established in response to survey feedback from customers, who
wanted to make improvements to help the environment, but needed
financial assistance.
Y. Ceniceros shared that this year's Sustainable Footprint Contest
continues to raise awareness among customers about sustainability in
their homes, and daily habits to use energy and water responsibly. The
survey was open from June to August 2024, and 57 responses were
received. APU staff selected the top fifteen candidates, with nine
respondents electing to continue participating in the award selection
process. The ad hoc Board selection committee reviewed the nine
finalists and selected the grand prize winner.
The Board and APU staff congratulated Scott Alvord, Alexander
Garcia, Blanca Navarro, Autumn Denison, Haden Hobbs, Frances
Lalap, Scott Todd, Josh Harrold, and Amy Garcia for their
sustainability efforts. The grand prize winner, Scott Alvord, will
receive energy and water efficiency measures valued at $5,000. The
remaining finalists will each receive energy and water efficiency
measures valued at $3,000.
5. PRESENTATION: NUCLEAR INDUSTRY UPDATE.
B. Beelner, Assistant General Manager — Finance and Energy
Resources, provided an overview of the nuclear power industry history,
from its onset in the 1950's, the technological advancements over the
past 70 years, and its current state in response to a request by the Board.
B. Beelner explained APU's participation in the San Onofre Nuclear
Generating Station (SONGS), including APU's initial purchase of its
3.16% share in 1983, APU's exit from SONGS in 2006, the shutdown
of the plant in 2013, and finally the decommissioning of the plant
which began in 2016. B. Beelner informed the Board that APU is
responsible for 2.5% of the approximately $4.5 billion in total
There being no electronic or
oral public comments,
Chairperson J. Seymour
closed the public comments
portion of the meeting.
T. Bilezikjian moved the
approval of the Minutes of the
Regular Meeting of November
20, 2024. A. McMenamin
seconded the motion.
MOTION CARRIED: 6-0.
ABSTAINED: 0.
ABSENT: 1. [M. Lee]
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decommissioning liabilities, and that APU set aside sufficient funds in a
trust to cover its required obligation.
B. Beelner then discussed recent challenges the nuclear industry has
faced, including large budgetary increases at the Alvin W. Vogtle
Electric Generating Plant (Vogtle Plant) in Georgia and the Virgil C.
Summer Nuclear Power Station (Summer Plant) in South Carolina. The
construction of the Summer Plant was abandoned due to the budgetary
increases.
The Board asked if Europe has had similar issues with developing and
building nuclear plants. B. Beelner responded that Europe has not, as
they have standardized the design of plants so that the consistency
allows for quicker design and construction where in the U.S. each plant
is unique causing design and construction delays and budgetary issues.
B. Beelner explained the various types of nuclear plants including
traditional light -water reactors (LWR), small modular reactors (SMR),
and microreactors. B. Beelner then briefed the Board on advanced
technology in the industry, including the development of molten salt
cooled reactors which allow for safer, more efficient production of
nuclear power. Since salt has a much higher boiling point, the chance
for a meltdown is lower than traditional water-cooled plants.
TerraPower, LLC, a company founded by Bill Gates, has broken
ground on a molten salt cooled plant in Wyoming on the site of a
former coal fired plant.
B. Beelner then discussed the fact that spent nuclear fuel must be stored
on the site of nuclear power plants as the Federal Government has yet
to identify a facility to store this fuel. The State of California has
implemented a moratorium on any new nuclear power plants in the
state until the Federal Government of the U.S. establishes a permanent
repository for the spent fuel. B. Beelner also mentioned that the U.S.
does not allow for the re -conditioning of spent fuel so that it can be
used again as they do in Europe. B. Beelner mentioned that this
decision was made because re -conditioning spent nuclear fuel produces
plutonium as an output. The Government feared that plutonium could
end up in the wrong hands if it was produced at such a large scale.
The Board asked if Europe had encountered any issues with plutonium.
B. Beelner was unaware of any issues. The Board asked what
percentage of power can be produced from re -used fuel compared to the
original fuel. B. Beelner will research the question and get back to the
Board with an answer.
Vice -Chairperson A. Abdulrahman left the meeting at 5:53 p.m.
APU staff will provide an
update to the Board.
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6. UPDATE ON ELECTRIC SYSTEM ITEMS.
J. Lonneker, Assistant General Manager — Electric Services, updated
the Board on the repairs made to the graffiti abatement wrapping
around ground -mounted electrical equipment along Brookhurst
Avenue. In addition, APU's contractor is piloting a liquid coating on
the wraps for areas with high frequency of damage. The liquid film
solution, currently used in the City of Los Angeles, will protect against
application of adhesive stickers for easier removal.
J. Lonneker shared street lighting improvements in an older
neighborhood, along Alberta Street. The street had deficient lighting,
and improvements were requested by the community.
J. Lonneker informed the Board that APU has been selected to receive
approximately $7.45 million in grant funding from the California
Energy Commission (CEC) for the Distribution Switch Reliability and
Automation Upgrade project proposal submitted in October 2024,
under the Community Energy Reliability and Resilience Investment
(CERRI) Program. An overview of the grant award will be provided at
a later Board meeting.
7. UPDATE ON WATER SYSTEM ITEMS.
C. Parker, Assistant General Manager — Water Services, shared that the
Orange County Groundwater Basin and the State Water Project storage
are in good condition. Metropolitan Water District of Southern
California (MWD) recently approved continued funding of the Delta
Conveyance Project (DCP), which will construct a tunnel around the
Delta. The project will reduce environmental issues in the Delta and
provide additional water to storage during wet periods. MWD has 3.9-
million-acre feet in storage now, which provides multiple years of
storage during droughts and emergencies. Precipitation is about average
in Northern California and Colorado River Basin, but under average in
the Orange County area.
C. Parker discussed the proposed consolidation of Orange County
Water District (OCWD) and Metropolitan Water District of Orange
County (MWDOC). OCWD has been dissatisfied with MWDOC's
service and has proposed consolidating. A draft report has been
released by the Local Agency Formation Commission (LAFCO)
regarding the consolidation. It states that it is feasible and could save $4
to $6 million per year. C. Parker informed the Board that the report
simplifies many issues that are very complicated. C. Parker indicated
that these consolidations do not typically go through without both
parties in agreement — currently MWDOC does not agree with the
consolidation. If OCWD wants to proceed, they would first have to
change their OCWD Act at the State Legislature to be able to import
water. They would then file an application formally with LAFCO for
consolidation. The LAFCO Board would then decide whether
consolidation would move forward.
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C. Parker and J. Hester, Water Engineering Manager, were invited to
discuss Per- and polyfluoroalkyl substances (PFAS) at an American
Water Works Association (AWWA) conference in Chicago, due to
their expertise on PFAS treatment. C. Parker and J. Hester briefed
many agencies regarding how APU plans to comply with the new
federal regulations.
8. UPDATE ON FINANCE AND ENERGY RESOURCES ITEMS.
B. Beelner informed the Board that APU conducted the annual
borescope inspections at the Canyon Power Plant (Canyon). The results
of the inspections showed a crack in the high-pressure turbine, or hot
section, of Canyon Unit 3 which rendered the unit inoperable. At this
time, APU does not have a timeline or cost estimate, but staff is
researching Long Term Service Agreements, or other cost and
operation mitigation measures, to ensure timely maintenance and repair
as these issues continue to impact the operation of Canyon.
B. Beelner hosted a tour of the San Onofre Nuclear Generating Station
for Council Member C. Leon, which is now being decommissioned. D.
Lee added that any Board Members interested in touring the facility can
make arrangements with staff.
B. Beelner shared that the turbine from the Kraemer Power Plant has
been removed as part of its demolition.
9. UPDATE ON ADMINISTRATION AND RISK SERVICES
ITEMS.
J. Lehman, Assistant General Manager — Administration and Risk
Services, updated the Board on the Wholesale Energy Risk
Management (ERM) Program's Quarterly Compliance report for the
first quarter of Fiscal Year 2025. J. Lehman shared that during this
period there were no violations of the ERM Program, and that all
transactions were within the ERM requirements.
J. Lehman shared that while there were no legislative bills to report on,
that the upcoming State Legislative session will likely focus on
affordability concerns, and that for this session, legislators in the
Assembly have been limited to introducing 35 bills over the two year
session. The Legislative Working Group will be convened in January.
J. Lehman then reviewed the safety metrics and shared that there had
been no recordable injuries during the reporting period, and that all
goals were being met, except for the Days Away, Restricted, or
Transferred (DART) that results in time off from normal work duties.
Measures are underway to improve this metric, including training and
job site inspections.
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10. ITEMS BY SECRETARY.
D. Lee shared agenda items planned for next month:
• Election of PUB Vice -Chairperson;
• Public Hearing to Consider Modifications to the Water Rates,
Rules and Regulations;
• Love Anaheim recognition;
• Sustainable schools recognitions; and,
• Overview of the grant for high voltage switches.
D. Lee shared the following updates:
• APU hosted the annual Holiday Lights Drive-Thru event where
residents could drive up to receive new lights in exchange for
old lights or a donation to the toy drive;
• APU participated in a neighborhood Thanksgiving food
distribution;
• APU participated in a mobile home park holiday event;
• APU provided assistance for lighting improvements, billing, and
customer assistance programs at a neighborhood event;
• APU participated in the City's tree lighting event by providing
information on rebates and incentive programs;
• APU staff hosted a tour of the Sustainability Education Center
for Mayor Pro Tern N. Campos Kurtz; and,
• J.D. Powers evaluation of the top -ranked midsize electric utilities
in the West Region of the United States, in which APU was ranked
first.
Lastly, D. Lee requested that the Board meeting be closed in memory of
Vi Atiya, a former APU Senior Secretary who started in the water
division in 1981 and retired in 2009.
11. ITEMS BY BOARD MEMBERS.
Board Members T. Ibrahim and A. McMenamin wished everyone
happy holidays.
Board Member T. Bilezikjian thanked staff for the nuclear industry APU staff will provide
update and requested quarterly updates on emerging technology due to periodic updates on emerging
climate change. T. Bilezikjian thanked staff for the leadership technologies.
demonstrated on treating PFAS, and congratulated APU for placing
first on the J. D. Powers Customer Service Satisfaction Survey.
Board Member A. Pham thanked APU staff for strategizing additional
equipment wrap methods for ground -mounted electrical equipment, and
thanked APU staff for their service during the holidays.
Chairperson J. Seymour wished everyone happy holidays.
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12. ADJOURN: (NEXT PUBLIC HEARING/REGULAR MEETING
ON JANUARY 22, 2025, AT 5:00 P.M.)
Chairperson J. Seymour asked for a moment of silence in memory of
Vi Atiya.
Relpgctifully su i tted,
7
Dukku Lee
Public Utilities General Manager
T. Bilezikjian moved to
adjourn the Regular Meeting
in the Gordon Hoyt
Conference Center at 6:23
p.m. to the Board's Public
Hearing/Regular Meeting date
of January 22, 2025, at 5:00
p.m. A. Pham seconded the
motion.
MOTION CARRIED: 5-0.
ABSTAINED: 0.
ABSENT: 2.
[M. Lee, A. Abdulrahman]
* 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 the City Clerk and City Council for informational purposes.
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