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HomeMy WebLinkAboutMinutes_GTEU_02.17.2022Minutes of the Meeting for the Georgetown Electric Utility Board Thursday, February 17th at 4:00 PM at the Friends Room at Georgetown Public Library, 402 W. 8th St. Georgetown, TX 78626 Board Members Present: Robert Case - Chairman, Rick Woodruff- Vice-Chairman, Sam Jones- Secretary, Ben Butler Board Members Absent: Mike Triggs Staff Present: Daniel Bethapudi, Daniel Potter, Daniel McReynolds, Mike Westbrook, Cindy Pospisil, Kress Carson, Jennifer Flor, Jose Torres, and Richard Pajestka Public Attendees: None Regular Session (This Regular Session may, at any time, be recessed to convene an Executive Session for any purpose authorized by the Open Meetings Act, Texas Government Code 551.) A. Call to Order -- Robert Case, Board Chairman • Meeting called to order at 4:00 pm by Case. B. Roll Call of Board Members -- Robert Case, Board Chairman. • Triggs absent C. Introduction of Visitors -- Robert Case, Board Chairman D. Public Wishing to Address the Board • None present Legislative Session E. Review and Approval of Minutes- Kress Carson, Board Liaison • January 26th Meeting- Motion to approve by Jones; seconded by Butler • Minutes approved as read 4-1 (Triggs absent) Regular Session (cont.) F. General Managers Monthly Report- Daniel Bethapudi- General Manager of Electric Utility • Customer Service and Billing- Cindy Pospisil-Customer Care ERP Applications Administrator o 30,922 Available Services o 30,009 Electric customers/accounts, 188 estimated “bad meter reads” o 30,326 Billed Electric Meters o Overall Residential January 2022 bills nearly identical compared to January 2021 as there hasn't been a change in rates o Average monthly and YTD electric bills for January 2022 compared to January 2021 are roughly $23 lower ▪ Billing numbers lower than last year due to a combination of higher monthly temperatures and reduced PCA o Electric Revenue Breakdown and Receivables presented- roughly 24% of yearly budgeted amount collected o 92% of 1st Quarter billings (Oct, Nov, Dec) collected and 12% of 2nd Quarter (Jan, Feb, Mar) billings collected o $65,000 increased total in Aged Receivables o Roughly $100,000 collected in outstanding bills since the collection agency commenced collections in May to collect the bad debt o Case asks what the typical reason is why customers are missing payments on their bills. ▪ Pospisil answers that they simply don’t have the money in most cases ▪ Bethapudi adds that as the Utility has gained insight on the aged receivables, the Utility will begin taking a more proactive approach to try to collect the outstanding receivables from certain types of accounts o Case asks if there is an application of which someone could apply to receive funds for payment assistance, particularly the fund in which customers can donate a dollar or on their bills to help fund this type of assistance. ▪ Pospisil answers that Customer Care does not vet who receives these funds and is done through a third party called Caring Place. The utility simply collects them. This service provided an additional $42,000 to help relieve the outstanding funds • Electric Operations Report- Electric Operations Manager and Danny Potter- Electric Safety and Employee Development Manager o Westbrook delivers the following report: o Electric Reliability (SAIFI)- .447 (Good Metric) o Electric Outage Duration (CAIDI)-73.78(Good Metric) o Training- 100% (Good metric) o Safety, 100% attendance o Service Order Completion, 100% o Preventative Maintenance, % o Corrective Maintenance, 100% o Top 5 Outages Report ▪ No major outages, primarily typical; largest was due to a car hitting a padmount transformer. o Potter delivers a report over Winter Storm Landon ▪ Emergency Operations was on standby from 2/3 from 2/3 through 2/5 ▪ No major outages witnessed throughout the event ▪ There were a total of 4 outages through out the event and none of the outages lasted more than two hours ▪ Woodruff asks if the outages were residential. ▪ Potter answers one of the four was commercial, and the other three were residential outages ▪ Woodruff follows is there a way for the City to determine who is using gas versus electric heating. ▪ Bethapudi answers at this time, the City does not have that information ▪ Westbrook follows that the majority of new developments are a combination of the two services. ▪ Case asks if the City markets all electric services to new customers or construction ▪ Bethapudi answers that the only push for marketing comes withing the dually certified areas of Georgetown ▪ Richard Pajestka, Electric Engineering Supervisor, adds that it primarily depends on the builder ▪ Case follows that is this something that the City plans on doing in the future to help generate more revenue to the City. ▪ Bethapudi answers that one time the City had “key accounts” staff to help market this, and due to financial issues of the past, the City had to cut. This is on the Utility’s radar for future growth G. Electric Line Extension Policy and DER Updates/ Proposed Changes- Daniel McReynolds; Electric Engineering Manager • DER Updates: o DER interconnection policy adopted on 06/22/2021 in which new application requirements and an updated fee structure was implemented. o In additional, a new online application portal was implemented to process these applications o This process is being outsourced to Schneider Engineering to ensure the interconnection standards are enforced. This results in the Utility cost of application review and preliminary inspection of $325. o All costs are recovered by the DER application fees o Woodruff asks to what would trigger the $1,000 fee for a facilities study. ▪ Bethapudi gives an example for which there is an event in which electric infrastructure in a particular area may need to updated due to the load being put on the system after preliminary review. This recovers the internal costs to perform a study. o Butler asks if the DER meters allow the City to use the meters in the future or will that need to be changed out. ▪ Bethapudi answers that no change of the meters are necessary. In the past there used to be use of two meters for a DER facility, but this now done with one meter. • Line Extension Updates o The Electric Line Extension and Electric Meter Connect Policy was adopted on March 24, 2020, and revised July 27, 2021 o The policy outlined cost recover for electric infrastructure additions driven by customer requests. Costs were adjusted to cover material cost increases due to COVID-19 and supply chain interruptions. However, the analysis did not include labor cost adjustments for inflation. o Upon additional review, it was found that supply chain issues remain persistent and there is significant labor inflation costs. o As a result, the recommended changes are an increase of $400 to the single family per dwelling unit charge to a total of $3775, $100 to the multi-family per dwelling unit charge to a total of $1100 and a decrease for the single residential lot or residential upgrade application from $510 to $260 per application. o Case asks what is included in a line extension fee? ▪ Pajestka answers that is the flat-rate lot fee for any infrastructure that needs to be put on a lot in order for the area to receive power. ▪ Bethapudi adds that these fees are intended to cover the cost per unit charges. Anything that goes above that is charged at cost. o Woodruff and Case both ask what does the base fee of $3775 cover? ▪ Bethapudi answers the base fee includes a 75kVA transformer and the line needed. Essentially this includes the typical infrastructure o Case asks if that fee is what is charges if a customer were to transfer overhead service to underground and they have an existing home. ▪ Pajestka answers that this typically charged at cost in this situation. However, a new lot/ home would be subject to the charge. o Butler asks why was the line extension application reduced for the single family lots. ▪ Bethapudi answers because of the effort it takes. For instance, a business or a multifamily unit requires more management of the application, whereas a single unit family takes less effort. o Other changes include the recognition of validity of the cost estimate from 90 days to 45 days due to the volatility of material prices and lead times. o The payment of 50% of the estimated costs was also reduced to 45 days for this reason. o The complete payment of the line extension fees need to be collected no later than 90 days from the issuance of the cost estimate in order to ensure all outstanding fees are paid. o Case asks that are all estimated costs and fees paid prior to construction. ▪ McReynolds confirms this is the case • Motion to approve the Line Extension Policy Updates by Woodruff, seconded by Butler. Votes passes 4-1 (Triggs absent) H. Risk Management Credit Policy Updates • This item was removed from the agenda prior to meeting Board moves into Executive Session at 4:54 PM Executive Session In compliance with the Open Meetings Act, Chapter 551, Government Code, Vernon's Texas Codes, Annotated, the items listed below will be discussed in closed session and are subject to action in the regular session. I. Section 551.086: Competitive Matters • Purchased Power Update Board moves back into Regular Session at 5:28 PM. Adjournment MOTION by Jones, second by Butler to adjourn the Board Meeting APPROVED 4-1 (Triggs absent) Electric Board Meeting Adjourned at 5:28 PM.