Public Utilities 2010/02/24CITY OF ANAHEIM
PUBLIC UTILITIES BOARD
MINUTES
FEBRUARY 24, 2010
The Agenda having been posted on Thursday, February 18, 2010, the Regular Meeting of the Public
Utilities Board was called to order by Chairperson Lon Cahill at 5:05 p.m. on Wednesday, February 24,
2010, in the 1 lth Floor Large Conference Room, Anaheim West Tower, 201 S. Anaheim BIvd.,
Anaheim, California.
Board Members Present: L. Cahill, K. Murray, J. Brandman, P. Carroll, J. Machiaverna,
D. Morgan, C. Peltzer
Board Members Absent: None
Staff Present: M. Edwards, A. Kott, D. Calkins, M. Ward, E. Zacherl, J. Roosevelt,
B. Beelner, R. Dowell D. Lee, B. Moorhead, D. Shen, P. Oviedo
Guest(s) Present: P. Bos, Resident; P. Beckman, B. Chuchus, and D. Wain - Residents
and Members of the East Anaheim Neighborhood Council
AGENDA ITEM ACTION TAKEN
1. PUBLIC COMMENTS.
P. Beckman, Chairman of the East Anaheim Neighborhood
Council and Property Manager for the Anaheim Hills Planning
Community Association, indicated that the monthly reading
concept with the estimated billing for the irrigation landscaping
system has created a cashflow problem and budgeting issues for
the Association and requests that the Association be placed
back on the old system of billing every two months. He has
been working with Jeremy Brown and other Utility Staff to
resolve this situation.
E. Zacherl will meet with J. Brown and other staff members to
review the situation and seek a resolution.
2. APPROVAL OF THE MINUTES OF THE REGULAR
PUBLIC UTILITIES BOARD (PUB) MEETING HELD
ON JANUARY 27,2010.*
There being no further public
comments, L. Cahill closed the
public comments portion of the
meeting.
P. Carroll moved approval of the
January 27, 2010, Public Utilities
Board Meeting Minutes as
written. K. Murray seconded the
motion. MOTION CARRIED: 6-0.
ABSTAINED: I (C. Peltzer).
ABSENT: 0.
2010-7
AGENDA ITEM
3. APPROVAL OF AN AGREEMENT WITH AAC UTILITY
PARTNERS, LLC FOR SELECTION AND OVERSIGHT
SERVICES FOR THE CUSTOMER INFORMATION
SYSTEM (CIS).*
M. Edwards gave a brief explanation as to the purpose of hiring
a consultant for CIS oversight services.
E. Zacherl added that the current system has been in place since
1996, and this Agreement will provide the Department with
consulting expertise to find solutions that will provide
flexibility to provide better customer service, as well as the
ability to respond to legislative requirements and/or
policymaker requests, and manage the operation properly.
E. Zacherl responded to questions from the Board such as
integration of this system with the City's other Request for
Proposal (RFP) system, possible partnership with other
agencies, length of time the study will take and implementation
of the program, and clarification of the program pricing as well
as Exhibit A (referred to in the Agreement and not attached).
4. PRESENTATION REGARDING THE NOHL CANYON
WATER STORAGE TANK CONSTRUCTION.
B. Moorhead, Project Manager, gave a presentation regarding
the Nohl Canyon Water Storage Tank Project, providing an
overview of construction activities since the last update at the
September 2009 meeting. The tank concrete work has been
completed, and the contractor is wrapping the tank with four
layers of steel cable and shotcrete (DYK technology), which
gives it the necessary strength to prevent leaks and sustain
seismic events. Remaining work includes testing, painting,
final grading and landscaping. The Project is expected to be
completed by November 2010.
During discussion with the Board, B. Moorhead responded to a
variety of questions such as the purpose in using the DYK
technology to build the tank, interaction with the nearby
community, earthwork fill around the tank, and the anticipated
date that the tank will be placed into service.
5. UPDATE ON WATER SYSTEM ISSUES.
Water Supply Conditions Update.
D. Calkins indicated that water supply conditions have
improved over the last month or so. Orange County has
received thirteen inches of rain this winter, which is the average
for an entire year and 170% of normal year -to -date. Northern
ACTION TAKEN
J. Machiaverna moved approval
of the Agreement with AAC
Utility Partners, LLC for selection
and oversight services for the
Customer Information System as
stated in the staff report.
L. Cahill seconded the motion.
MOTION CARRIED: 7 -0.
ABSTAINED: 0. ABSENT: 0.
Staff will provide the Board with
a copy of Exhibit A and an
explanation of pricing.
2010 -8
AGENDA ITEM
California and the Colorado River Basin are about normal for
this time of year.
The Department of Water Resources will be re- adjusting its
allocation on the State Water Project within a week or so,
which will help determine how much imported water the
Metropolitan Water District (MWD) will receive from northern
California.
Overall, Anaheim's total water use is down about 6% and is in
line with the rationing target set by MWD for this fiscal year.
Delta Conveyance
D. Calkins discussed a recent MWD Board letter regarding the
Bay Delta Conservation Plan Environmental Impact Report
(EIR)/EnvironmentaI Impact Study (EIS). A group of
stakeholders have agreed on the scope of the environmental
studies. Of the three main alternatives being considered, the
stakeholders selected the underground tunnel as the preferred
alternative. The draft EIR/EIS is scheduled to be completed
and distributed for public comment by the end of this calendar
year.
The Board discussed this item and asked questions such as why
the tunnel was selected as the preferred alternative, cost
differences between the various alternatives, volume of water
to be conveyed, mitigation efforts, and the EIRIEIS
timeline /process, to which D. Calkins responded.
6. UPDATE ON ELECTRIC SYSTEM ISSUES.
Underground Projects Update
M. Ward, referring to the Update on Major Electrical
Transmission and Distribution (T &D) Projects (FY 2009110)
and the accompanying map, noted that questions have been
asked over the years about the status of the T &D Projects, and
this information provides updates on the following:
underground conversion projects, development - related projects,
and reliability -based projects. Staff continues to coordinate
Projects in conjunction with the Public Works Department in
order to reduce the impact to Anaheim's residents and
businesses.
Power Outages
M. Ward indicated that although there have been some
challenges regarding power restoration, the frequency and
number of outages has been contained. M. Edwards noted that
there were a few minor power outages during the recent
rainstorms.
ACTION TAKEN
2010 -9
AGENDA ITEM
7. UPDATE ON FINANCE ISSUES.
FY 2010/2011 Budget
E. Zacherl indicated that Staff is wrapping up the
FY 2010/2011 Draft Budget, which will be presented to the
Board for its review prior to presentation in final form at the
subsequent PUB meeting for its consideration and
recommendation to City Council.
Canyon Power Plant Financing
E. Zacherl indicated that the final take out financing is in
process, and Staff is working with the underwriters and
financial advisors. There are multitude financing options
including Build America bonds that previously were not
available. Although there are some restrictions associated with
Build America bonds, we should be able to procure efficient
financing by using them for a portion of the issue.
In response to a question from the Board regarding the status of
the Canyon Power Plant Project (Project), M. Edwards
discussed the expected process over the next couple of months,
indicating that Staff anticipates to procure full unlimited
Notice -to- Proceed with the Project sometime in April 2010,
with the groundbreaking tentatively scheduled for May 2010.
8. UPDATE ON JOINT SERVICES ISSUES.
Delegation from Gumi. South Korea
J. Roosevelt, representing M. Long as Acting Assistant General
Manager, Joint Services, indicated that Staff hosted a
delegation from Gumi, South Korea. Mayor Nam and several
other high level figures in education were taken on a tour of
various facilities, and pictures of the Delegation observing the
Solar Tree at the Valley Christian School were shown.
J. Brandman, representing the PUB, welcomed the guests,
shared details of our Solar Flag Program, and presented Mayor
Nam with a Proclamation from the City.
Unitarian Universal Church Solar Dedication Event
J. Roosevelt shared pictures of the dedication, indicating that it
is the first Anaheim church to officially have its solar system
up and running. J. Brandman spoke at the event.
Marketing Information
J. Roosevelt shared the new marketing information regarding
water conservation, noting the literature has been well received.
Smart Home Energy & Water Efficiency Workshops
J. Roosevelt discussed the Workshops scheduled for Saturday,
March 27, 2010, from 8:00 a.m. to 1 :00 p.m., at the Downtown
ACTION TAKEN
2010 -10
AGENDA ITEM
Community Center, indicating that this is the first time that
solar, water, and energy efficiency workshops have been
combined into a one day event as well as having a Resource
Fair promoting local green vendors. Should any of the Board
Members want to attend, please either call or e-mail
J. Roosevelt.
"Spring Into Summer" Double Rebate Program
In order to stimulate participation in the Rebate Program,
rebates will be doubled for residents and commercial
businesses until June 30, 2010.
Stimulus Funding Activities Update
J. Roosevelt indicated that the Department just received notice
from the State Energy Program that the Department did not
receive the $4.9 million funding requested. There were
seventy -one applications submitted to the California Energy
Commission (CEC) for this funding, and the Department's
application was ranked number six. Staff was pleased that the
Department scored that well, as the CEC only funded three
applications.
Electric Monthly Resource Adequacy Plan
The Electric Monthly Resource Adequacy PIan shows that the
Public Utility Department is fully resourced for the month of
March 2010.
9. AGENDA ITEM(S) FOR THE NEXT PUBLIC
UTILITIES BOARD MEETING ON MARCH 24, 2010.
• Water Supply Conditions Update
• Energy Portfolio Update
• AB 32 Presentation
• Adoption of Landscape Guidelines*
• Resolutions Amending Rules of the Electric and Water
Rates, Rules and Regulations*
• Second Amendment to Water Facility Design and
Installation Agreement for the Mountain Park
Development*
• Set Hearing Date for Water Rate Public Hearing * **
*Indicates item(s) will be forwarded to City Council for action
after presentation to the PUB.
*'"Indicates item(s) that will be forwarded to City Clerk and
City Council for informational purposes.
** *Indicates item(s) requiring Public Utilities Board action
only and will be forwarded to City Clerk and City Council for
informational purposes.
2010 -11
ACTION TAKEN
AGENDA ITEM ACTION TAKEN
10. ITEM(S) BY SECRETARY.
None.
11, ITEM(S) BY BOARD MEMBERS.
J. Machiaverna thanked Staff for the invitation to the State of
the City and found it very interesting and informative.
J. Machiaverna also wanted to thank the Department for
purchase of the Boys & Girls Club "Make a Difference"
Campaign that will provide the Department with advertising
opportunities.
J. Brandman indicated he enjoyed attending several solar
events (the SA Recycling, Victory Church, and Unitarian
Universalist Church) as well as the Cypress Americano Awards
Dinner, where Mr. and Mrs. L. Cahill received the Citizen of
the Year Award for their service to the community.
K. Murray indicated that she is working with MWD to organize
an inspection tour to Northern California and the Sacramento
Delta. She wants to make sure that important stakeholders,
particularly the business community, are invited to attend due
to the resulting major economic impact of fixing the Delta and
securing a reliable long -term water supply from Northern
California will have. She will be working with Staff to secure a
date for the trip.
K. Murray requested that there be future PUB meeting
discussion and review of the upcoming Water Bond Proposition
that will be on the November 2010 ballot.
D. Morgan reminded the Board and Staff that Form 700 needs
to be submitted by April 1, 2010.
D. Morgan will not be attending the March PUB meeting as he
will be out of town.
D. Morgan requested that the Board be provided with a list of
major electrical transmission and distribution projects
scheduled over the next eighteen months (FY 2009/2010 and
FY 2010/2011) as well a list of Public Works projects and
possible State Agency projects during this same timeframe in
the format of the update and map distributed by Mark Ward.
L. Cahill, D. Morgan, K. Murray, J. Machiaverna, J. Brandman
and P. Carroll each thanked P. Oviedo for the homemade
cookies.
L. Cahill then called for a motion to adjourn the meeting.
Staff will contact Public Works
Department to compile the list of
projects, including those
combined with the Public Utilities
Department.
2010 -12
AGENDA ITEM
12. ADJOURNMENT: (TO THE REGULAR MEETING
DATE OF MARCH 24, 2010, AT 5:00 P.M., IN THE 10
FLOOR LARGE CONFERENCE ROOM, ANAHEIM
WEST TOWER, 201 S. ANAHEIM BLVD., ANAHEIM,
CALIFORNIA).
Respectfully Submitted,
Marcie L. Edwards
Secretary, Public Utilities Board
ACTION TAKEN
P. Carroll moved to adjourn the
meeting at 6:15 p.m. to the
Regular Meeting date of March
24, 2010, at 5:00 p.m. in the I V
Floor Large Conference Room of
Anaheim West Tower, 201 S.
Anaheim Blvd, Anaheim,
California. C. Peltzer seconded
the motion. MOTION
CARRIED: 7 -0. ABSTAINED:
0. ABSENT: 0.