Public Utilities 2025/07/23CITY OF ANAHEIM
PUBLIC UTILITIES BOARD
MINUTES
July 23, 2025
The agenda having been posted on Thursday, July 17, 2025, the Regular Meeting of the Public Utilities Board
was called to order by Chairperson J. Seymour at 5:00 p.m. on Wednesday, July 23, 2025, 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 M. Lee, A. Pham, T. Ibrahim
Board Members Absent: A. McMenamin, (Two Board Member seats are currently vacant)
City Staff Present: D. Lee, B. Beelner, J. Lonneker, M. Avelino -Walker, P. Starr, A. Lee, J. Sanks,
P. Bogdanoff, B. Mendoza, M. Seifen, A. Nguyen, S. Whitlock, M. Nguyen
Guests Present: C. Rubio, Anaheim High School; and R. Wilson, Esperanza High School;
C. Garcia, Kassandra R., S. Salvador, Riley S., E. Sampilo
AGENDA ITEM ACTION TAKEN
1. RECOGNITION: 2025 STUDENT SCHOLARSHIP RECIPIENTS.
Chairperson J. Seymour convened the Public Utilities Board (Board)
meeting. M. Avelino -Walker, General Services Officer, introduced
S. Whitlock, Resource Programs Specialist, to provide an overview of
the selection process of the High School Scholarship Recipients.
S. Whitlock thanked the Board Members who served on the ad hoc
Scholarship Selection Committee for their contributions during the
selection process. The recipients received a scholarship and a paid
internship through the partnership with Workforce Development and
Hope Builders, to obtain firsthand experience in the workplace.
S. Whitlock congratulated X. Ramos, Magnolia High School; C. Rubio,
Anaheim High School; and R. Wilson, Esperanza High School; as the
2025 High School Student Scholarship recipients. The students then
gave a brief presentation about their internship experience. S. Whitlock
provided a summary on behalf of X. Ramos' internship experience, who
was unable to attend the Board meeting.
The Board recognized and congratulated the 2025 High School Student
Scholarship recipients.
2. PUBLIC COMMENTS.
There being no electronic or oral
public comments, Chairperson
J. Seymour closed the public
comments portion of the
meeting.
2025 - 45
3. ELECTIONS FOR PUBLIC UTILITIES BOARD CHAIRPERSON M. Lee moved to close the
AND VICE -CHAIRPERSON. ** nominations. T. Ibrahim
seconded the motion. By voice
Chairperson J. Seymour opened the floor for nominations for Chairperson vote, the Board elected
of the Board. A. Pham nominated J. Seymour to continue as the Board's J. Seymour as Chairperson of
Chairperson, who accepted the nomination. By voice vote, the Board the Board.
unanimously voted to close the nominations and voted to elect J. MOTION CARRIED: 4-0.
Seymour to the position of Chairperson of the Board. ABSTAINED: 0.
ABSENT: 1 [A. McMenamin].
Chairperson J. Seymour opened the floor for nominations for Vice -
Chairperson. Chairperson J. Seymour asked M. Lee if he would like to T. Ibrahim moved to close the
continue as Vice -Chairperson, and M. Lee declined and recommended nominations. M. Lee seconded
that another member have an opportunity to serve. Chairperson J. the motion. By voice vote, the
Seymour nominated A. Pham, who accepted the nomination. By voice Board elected A. Pham as Vice -
vote, the Board unanimously voted to close the nominations and voted to Chairperson of the Board.
elect A. Pham to the position of Vice -Chairperson of the Board. MOTION CARRIED: 4-0.
ABSTAINED: 0.
ABSENT: 1 [A. McMenamin].
4. ELECTION FOR THREE UNDERGROUND CONVERSION
Vice -Chairperson A. Pham
SUBCOMMITTEE MEMBERS. **
moved to close the nominations.
Chairperson J. Seymour
Chairperson J. Seymour opened the floor for nominations for three
seconded the motion. By voice
Underground Conversion Subcommittee Members. Chairperson J.
vote, the Board elected A. Pham,
Seymour nominated A. Pham, M. Lee, and T. Ibrahim. M. Lee
T. Ibrahim, and A. McMenamin
nominated A. McMenamin. A. Pham and T. Ibrahim accepted their
to serve on the Underground
nominations, and A. Lee, Deputy City Attorney, accepted A.
Conversion Subcommittee.
McMenamin's nomination subject to his confirmation.
MOTION CARRIED: 4-0.
ABSTAINED: 0.
By voice vote, the Board unanimously voted to close the nominations
ABSENT: 1 [A. McMenamin].
and voted to elect A. Pham, T. Ibrahim, and A. McMenamin to serve on
the Underground Conversion Subcommittee.
Staff will follow up with
A. McMenamin to confirm his
acceptance prior to the next
regular Board meeting. If
declined, the Board will hold an
election for one Underground
Conversion Subcommittee
Member at the next regular
Board meeting.
5. APPOINTMENT OF UP TO THREE MEMBERS FOR THE AD
HOC LEGISLATIVE WORKING GROUP AND APPOINTMENT
OF THREE MEMBERS AND ALTERNATES FOR THE PUBLIC
UTILITIES HEARING BOARD. **
Chairperson J. Seymour appointed himself along with A. Pham and M.
Lee to serve on the ad hoc Legislative Working Group. Chairperson
J. Seymour, Vice -Chairperson A. Pham and Board Member M. Lee
accepted their appointments to the ad hoc Legislative Working Group.
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Chairperson J. Seymour appointed himself along with A. McMenamin,
subject to confirmation, and T. Ibrahim, who accepted the nomination, to
serve on the Public Utilities Hearing Board. Chairperson J. Seymour
then appointed Vice -Chairperson A. Pham and M. Lee to serve as
alternates on the Public Utilities Hearing Board, who accepted their
appointments as alternates. Chairperson J. Seymour confirmed all
appointments to the Public Utilities Hearing Board.
6. APPROVE THE MINUTES OF THE PUBLIC HEARING /
REGULAR MEETING OF DUNE 25, 2025.
7. RECOMMEND AUTHORIZING BY RESOLUTION THE
ISSUANCE OF NOT -TO -EXCEED $275,000,000 AGGREGATE
PRINCIPAL AMOUNT OF ANAHEIM HOUSING AND PUBLIC
IMPROVEMENTS AUTHORITY REVENUE BONDS, SERIES
2025-A (ELECTRIC UTILITY DISTRIBUTION SYSTEM
IMPROVEMENTS) AND REVENUE REFUNDING BONDS,
SERIES 2025-B (ELECTRIC UTILITY DISTRIBUTION SYSTEM
REFUNDING).
B. Beelner, Assistant General Manager — Finance and Energy Resources,
provided the Board with an overview of why Anaheim Public Utilities
(APU) issues bonds, noting that such financing allows municipalities to
borrow at lower tax-exempt rates, aligns long-term assets with the
ratepayers who benefit from them, and safeguards operational liquidity.
B. Beelner indicated that Electric's debt -to -asset ratio has fallen
significantly over the past decade, reflecting the use of cash and other
means to finance capital projects. This ratio is well below the industry
benchmark tracked by the American Public Power Association (APPA).
B. Beelner discussed five different bond series proposed for refinancing.
While two of the bonds did not offer savings when the presentation was
prepared, B. Beelner explained that this could change by the time of
pricing, which is why they remain part of the proposal. In response to the
Board's questions about current market rates, he discussed rates for
bonds with varying tenors (maturities), noting that some of the bonds
proposed for refinancing now have shorter tenors and can be refinanced
at rates lower than those originally issued and added that refinancings
over the past decade have produced financial savings and increased
operational flexibility.
B. Beelner briefed the Board on the proposal to issue $100 million in
new bonds and outlined that the five-year electrical capital improvement
plan includes substation upgrades to meet higher capacity demands and
M. Lee moved the approval of
the Minutes of the Public
Hearing/Regular Meeting of
June 25, 2025. T. Ibrahim
seconded the motion.
MOTION CARRIED: 4-0.
ABSTAINED: 0.
ABSENT: 1 [A. McMenamin].
Vice -Chairperson A. Pham
moved the recommendation to
approve the proposed resolution
and bond transaction.
T. Ibrahim seconded the motion.
MOTION CARRIED: 4-0.
ABSTAINED: 0.
ABSENT: 1 [A. McMenamin].
2025 - 47
other infrastructure improvements to maintain reliability. B. Beelner
reiterated that cash remains the primary means of funding infrastructure.
The Board inquired how long APU can wait for better market conditions
after receiving City Council approval. B. Beelner explained that this
depends on whether the required disclosures remain valid, which could
be influenced by legislative or regulatory changes, but the timeframe is
approximately 90 days. The Board commented that APU's bond strategy
over the past decade appears both effective and financially beneficial.
D. Lee, Public Utilities General Manager, added that such financial
flexibility will help APU significantly in the future.
8. RECOMMEND APPROVAL OF A PROFESSIONAL SERVICES M. Lee moved the
AGREEMENT WITH RICHARD HEATH & ASSOCIATES, INC., recommendation to approve the
FOR COMMERCIAL CUSTOMER ENERGY EFFICIENCY agreement with Richard Heath
CONSULTING SERVICES, WITH AN INITIAL TERM OF FIVE & Associates, Inc. Vice -
YEARS AND UP TO TWO OPTIONAL ONE-YEAR Chairperson A. Pham seconded
EXTENSIONS, AT AN ANNUAL NOT -TO -EXCEED COST OF the motion.
$488,734, WITH AN ANNUAL CONSUMER PRICE INDEX MOTION CARRIED: 4-0.
ESCALATOR CAPPED AT 3% COMMENCING WITH THE ABSTAINED: 0.
FIRST EXTENSION YEAR, PLUS A 20% CONTINGENCY FOR ABSENT: 1 [A. McMenamin].
AS -NEEDED EXTRA SERVICES. *
M. Avelino -Walker briefed the Board on the energy efficiency
consulting services proposed agreement with Richard Heath &
Associates (RHA). M. Avelino -Walker described the commercial
program and its intention to reduce energy consumption and lower utility
costs through multiple avenues, for business customers, schools,
municipal buildings, and multifamily properties.
D. Lee made the Board aware that the proposed agreement with another
firm was recommended for approval by the Board at a previous Board
meeting, however, the highest ranked proposal was subsequently
disqualified for failing to meet the City's terms and conditions and was
deemed non -responsive. Staff proceeded to negotiate with the second
highest -ranked proposal that satisfied the contractual requirements.
The Board asked for a comparison of the costs between both proposals.
D. Lee estimated that there would be a $80,000 difference. The Board
asked if APU has existing contracts with the non -responsive firm. D. Lee
clarified that APU has worked with them in the past but does not
currently have active contracts.
9. APPROVE UPDATES TO DEPARTMENT ORDERS 151 T. Ibrahim moved the
(ISSUANCE AND USE OF MOBILE TECHNOLOGY), 501
approval of Department
(NORTH AMERICAN ELECTRIC RELIABILITY
Order 151, Issuance and Use of
CORPORATION (NERC) AND WESTERN ELECTRICITY
Mobile Technology; Department
COORDINATING COUNCIL (WECC) REGULATORY
Order 501, North American
COMPLIANCE PROGRAM), 510 (HAZARDOUS MATERIALS
Electric Reliability Corporation
SECURITY), AND 513 (EMERGENCY RESPONSE PLAN).
(NERC) and Western Electricity
Coordinating Council (WECC)
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M. Avelino -Walker provided an overview of APU's Department Orders
(DO) that establish and document guidelines and procedures. The DOs
align with the City's policies and facilitate staff efficiency, effectiveness,
accountability, and include department -specific procedures. M. Avelino -
Walker explained that DOs are updated as needed to reflect changes in
procedures, roles or responsibilities that can impact operational readiness
in different areas throughout APU. APU is requesting approval to update
four DOs: DO 151, Issuance and Use of Mobile Technology; DO 501,
NERC and WECC Regulatory Compliance Program; DO 510,
Hazardous Materials Security; and DO 513, Emergency Response Plan.
Vice -Chairperson A. Pham thanked APU staff for providing red -lined
versions of the proposed updates to the DOs and noted that it made the
proposed updates easily identifiable.
10. QUARTERLY STATUS REPORT FOR PRE -QUALIFIED
PROFESSIONAL SERVICES, CONSTRUCTION, AND
MATERIAL PURCHASES (APRIL-DUNE 2025).
D. Lee provided an update on the different strategies APU is utilizing to
procure materials as industry -wide supply chain issues continue.
Although the number of spot bids for material purchases is comparable
to previous years, the total dollar amount is significantly higher. APU is
still making progress toward finding the materials needed to serve
customers.
J. Lonneker, Assistant General Manager — Electric Services, shared that
the progress made on the Electric Capital Improvement Program (CIP)
fell within 83% of completion for the fiscal year (FY), noting these are
multiyear projects resulting in remaining budget allocation to carry-over
into FYs. J. Lonneker highlighted a line extension at Harbor Substation
that will relieve heavily loaded circuits and allow for efficient power
restoration during outages, a security project to enhance security at
Katella Substation due to copper theft, and an ongoing streetlight
improvement project that improves roadway visibility throughout the
City.
P. Bogdanoff, Acting Assistant General Manager — Water Services,
provided an update on the per- and polyfluoroalkyl substances (PFAS)
design on Phase C for the remaining four wells with Orange County
Water District (OCWD). P. Bogdanoff shared that the Water CIP was
under budget for the FY, but several pipeline projects are currently being
encumbered, and construction should begin early FY 2026. D. Lee
shared that APU has pre -encumbrances that are still in the bidding stage
and yet to be awarded.
The Board asked about the project on Lincoln Avenue between the
intersections of East Street and State College Boulevard. D. Lee shared
that the Public Works Department (PW) is working on a street widening
project to provide traffic relief. Staff works closely with PW to move or
adjust APU's equipment on street improvement projects.
Regulatory Compliance
Program; Department Order 510,
Hazardous Materials Security;
and Department Order 513,
Emergency Response Plan.
Vice -Chairperson A. Pham
seconded the motion.
MOTION CARRIED: 4-0.
ABSTAINED: 0.
ABSENT: 1 [A. McMenamin].
2025 - 49
I I. UPDATE ON ELECTRIC SYSTEM ITEMS.
J. Lonneker updated the Board on several infrastructure security
measures underway, including the streetlight mounted security cameras
networked with the Anaheim Police Department's (APD) Real Time
Dispatch system and the Utility Operations Control Center. APU will
initially procure 38 streetlight cameras this year toward security measure
efforts. APU, in coordination with other City departments, will procure
cameras and focus installation at locations around construction areas,
facilities adjacent to public areas and freeway corridors with the highest
concentration of wire theft. The cameras are programmed with software
that alerts when someone loiters or enters a restricted area. Each camera
contains a battery backup in the event the power source is disabled that
allows continuity in recording for several hours.
In addition to the streetlight cameras, six mobile trailer security cameras
have been procured by the City, three of which are owned by APU, and
allow for the flexibility to tow to locations such as construction sites to
monitor infrastructure equipment or facilities with increased theft
activity where streetlight poles are not available.
The Board asked if both APU and APD have access to the recorded
footage; and J. Lonneker confirmed that both departments have access.
The Board inquired if APU would incur the software maintenance fees
for the mobile trailer security cameras and network. D. Lee shared that
each department would pay their proportional cost for the hardware,
software and maintenance of the cameras utilized by each department.
The Board asked how APU plans to determine the effectiveness of the
installation of security cameras and how APU plans on making their
locations known to the public. D. Lee explained that wire theft is
affecting many agencies in the area, and hardening efforts are underway
and will eventually reduce incident numbers. D. Lee also shared that the
City is placing the cameras in public areas along with blue flashing
lights and signage that states that the area is being monitored by APD.
J. Lonneker shared that APU is piloting alternatives to electrical vault
lids in heavy pedestrian areas that are non -slip, traffic -rated and have a
customized security lock with the added benefit of self -opening and
closing lids that would make it easier for APU crews to lift open.
12. UPDATE ON WATER SYSTEM ITEMS.
P. Bogdanoff briefed the Board on the current Water Supply Dashboard
and shared that rainfall was near normal for Northern California and that
the State Water Project's (SWP) storage is in good condition with the
snowpack above average. The SWP's allocation is at 50%, which will
allow the Metropolitan Water District of Southern California (MWD) to
maximize their storage reservoirs with a 200,000-acre-foot surplus. The
Orange County Groundwater Basin remains in good condition. The
Colorado River Basin is in adequate but declining condition, with
2025 - 50
precipitation and runoff being less than average. Negotiations on the
Colorado River are still ongoing but with no agreement in sight.
The Board asked if SWP and MWD's storage levels could offset
declining water supplies from the lower Colorado River. P. Bogdanoff
explained that MWD has implemented system improvements to be more
flexible in moving different water sources across its service area.
However, there are still many unknowns regarding conditions and
agreements on the Colorado River. Also, due to the investments made in
local water supplies, APU will continue to utilize local groundwater to
meet most demands and be less dependent on imported water supplies.
The Board asked if APU is impacted by the Water Reduction Plan going
from Level 2 to Level 1. P. Bogdanoff shared that APU saw about a 3%
increase in comparison to the previous year, but the increase is likely due
to the very low precipitation in Southern California.
13. UPDATE ON FINANCE AND ENERGY RESOURCES ITEMS.
B. Beelner discussed the monthly Finance Dashboard for the period
ending June 30, 2025. B. Beelner mentioned that the Electric Utility had
a preliminary $63 million operating expenditure budget variance for the
FY, B. Beelner then caveated that $17 million of that variance has been
carried over into FY 2026 causing a net positive budget variance of $46
million. B. Beelner mentioned that this positive variance would be used
to accelerate capital improvement projects and reduce reliance on bonds
for APU's capital plan.
B. Beelner then discussed the Finance Dashboard for the Water Utility,
pointing out a preliminary positive water operating expenditure budget
variance of $8.5 million. B. Beelner then informed the Board that $
3 million of this variance would be carried over into FY 2026 causing a
net variance of $5.5 million.
The Board asked if the City's general fund could access this budget
variance. B. Beelner informed the Board that this is not allowed per
Proposition 26 and Proposition 218.
B. Beelner then discussed the monthly Power Supply Dashboard noting
that the Canyon Power Plant's Unit 1 will cost approximately $2.7
million to repair with a contingency of $800,000. Unit 1 should be
placed back in service at the end of 2025.
B. Beelner then provided an update on the demolition status of the
Kraemer Power Plant, sharing that the site is fully graded and clean
since its demolition. B. Beelner mentioned that APU will, in the short
run, store equipment and material at the site as space has run low at the
Edwards Utilities Complex for the volume of equipment and materials
for all the development in the City. The Board asked if APU plans to sell
the former site of the Kraemer Power Plant. B. Beelner stated that APU
has no intention of selling the land at this time.
2025- 51
14. UPDATE ON ADMINISTRATION AND RISK SERVICES ITEMS.
J. Sanks, Environmental and Safety Services Manager, shared that APU
is following approximately 165 bills. The California legislature is on
summer recess until mid -August, and more legislative action is expected
later in the summer. J. Sanks highlighted the following bills:
SB 541— Energy Load Shifting: this bill is being opposed by APU;
SB 445 — High Speed Rail: Utilities Relocation and Local Permits:
this bill is being watched by APU; and
AB 476 — Metal Theft: Additional Requirements on Junk Dealers
and Recyclers: This bill is being supported by APU.
The Board inquired if AB 476 would increase the metal theft fine per
transaction or per item. J. Sanks shared he was unsure how California
would calculate the fine for specific offenders. The Board asked if the
fine was sufficiently high enough to deter copper theft. D. Lee noted that
copper theft is a widespread issue, and the bill will not solve all theft
issues, but it shows visibility at the legislative level, and it is a step in
the right direction.
J. Sanks gave an overview of APU's safety performance. Two reportable
injuries occurred; however, APU continues to provide training and job
site inspections to help minimize injuries and identify areas for
improvement.
15. ITEMS BY SECRETARY.
D. Lee shared agenda items planned for next month:
• Recognition of WaterSmart Landscape Award Winners;
• Utility Fraud Presentation;
• Approval of Design Build Agreement for a New Field
Maintenance Facility; and
• Response to Charter Spectrum on Undergrounding Projects.
D. Lee shared the following updates:
• APU staff provided a tour of Rebuild Beach to Council Member
R. Balius and City employees and allowed entry inside an
underground vault following safety protocols;
• APU participated in the Annual Fourth of July event at Peralta
Park by engaging with customers by offering rides on the electric
bucket trucks;
• APU's Community and Sustainability Program's team started a
Senior Outreach Program to inform residents of rebates and
incentives; and
• APU partnered with Love Anaheim to provide painting supplies
that were used to paint approximately 100 fire hydrants as part of
a service project.
2025 - 52
17. ADJOURN: (NEXT REGULAR MEETING ON AUGUST 27, 2025
AT 5:00 P.M.)
ectfuily su mitted,
i
Dukku Lee
Public Utilities General Manager
There being no items by Board
Members, Chairperson J.
Seymour moved to the
adjournment of the meeting.
M. Lee moved to adjourn the
Regular Meeting in the Gordon
Hoyt Conference Center at 6:25
p.m. to the Board's Regular
Meeting date of August 27,
2025, at 5:00 p.m. T. Ibrahim
seconded the motion.
MOTION CARRIED: 4-0.
ABSTAINED: 0.
ABSENT: 1 [A. McMenamin].
* 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.
2025 - 53