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Home My WebLink AboutAgenda_GTEU_02.17.2022Notice of Meeting for the Georgetown Electric Utility B oard of the City of Georgetown F ebruary 17, 2022 at 4:00 P M at F riends Room at Georgetown P ublic L ibrary 402 W. 8th Street Georgetown, Texas 78626 T he C ity of G eorgetown is committed to compliance with the Americans with Disabilities Act (ADA). If you require as s is tance in partic ipating at a public meeting due to a disability, as defined under the ADA, reas onable as s is tance, adaptations , or ac commodations will be provided upon request. P leas e c ontact the C ity S ec retary's O ffic e, at leas t three (3) days prior to the sc heduled meeting date, at (512) 930-3652 or C ity Hall at 808 Martin Luther King Jr. S treet, G eorgetown, T X 78626 for additional information; T T Y users route through R elay Texas at 711. The Geor getown E le ctr ic U tility A dvisory B oard is now me eting in per son. A quor um of the B oard will be in attendance at the F riend's Room at Geor getown P ublic L ibr ary locate d at 402 W. 8th S tre et. Geor getown, T X 78626. It is possible that one or mor e board me mber s may attend via video Confe re nc e using the Zoom clie nt. Regular Session (T his R egular S es s ion may, at any time, be rec es s ed to c onvene an Exec utive S es s ion for any purpose authorized by the O pen Meetings Act, Texas G overnment C ode 551.) A C all to O rder- R obert C as e; Board C hairman B R oll C all of Board Members- R obert C as e- Board C hairman C Introduc tion of Visitors - R obert C ase; Board C hairman D P ublic wishing to Addres s the Board- R obert C as e; Board C hairman E R eview and Approval of Minutes from 01/26/2022 Meeting- Kres s C arson; Board Liais on F G eneral Manager's Monthly R eport- Daniel Bethapudi; G eneral Manager of Electric Utility G C ons ideration and possible action to approve Line Extension P olic y updates - Daniel Bethapudi; G eneral Manager of Electric Utility and Daniel Mc R eynolds ; Electric Engineering Manager H C ons ideration and possible recommendation to approve of R is k Management C redit P olicy- AC ES E xecutiv e Session In c omplianc e with the O pen Meetings Ac t, C hapter 551, G overnment C ode, Vernon's Texas C odes, Annotated, the items listed below will be dis cus s ed in c los ed session and are s ubjec t to action in the regular s es s ion. I S ec . 551.086 C ompetitive Matters P urchas ed P ower R eview Page 1 of 41 Adjournment Adjournement Ce rtificate of Posting I, R obyn Densmore, C ity S ecretary for the C ity of G eorgetown, Texas, do hereby c ertify that this Notic e of Meeting was posted at C ity Hall, 808 Martin Luther King Jr. S treet, G eorgetown, T X 78626, a plac e readily acc es s ible to the general public as required by law, on the _____ day of _________________, 2022, at __________, and remained s o posted for at leas t 72 c ontinuous hours prec eding the s cheduled time of said meeting. __________________________________ R obyn Dens more, C ity S ec retary Page 2 of 41 City of Georgetown, Texas Electric Utility Board February 17, 2022 S UB J E C T: G eneral Manager's Monthly R eport- Daniel Bethapudi; G eneral Manager of Elec tric Utility IT E M S UMMARY: C ustomer S ervice and Billing- Letic a Zavala C us tomer C are Manager Electric O perations R eport- Mike Wes tbrook- Elec tric O perations Manager Winter S torm Landon Update- Daniel P otter- Elec tric S afety and Employee Development Manager F IN AN C IAL IMPAC T: N/A S UB MIT T E D B Y: Daniel Bethapudi-G eneral Manager of Electric Utility AT TAC H ME N T S: Description Type 2/17 Presentation Pres entation Page 3 of 41 Georgetown Electric Utility Advisory Board 02/17/2022 Page 4 of 41 22 AGENDA I.Regular Session: (* -indicates legislative action) A.Call to Order B.Roll Call C.Introduction of Visitors D.Public Wishing to Address the Board E.Review and Approval of Minutes* F.General Manager’s Monthly Report G.Review of Net Energy Metering Policy H.Review of Energy Risk Management Policy II.Executive Session: M. Purchased Power Update *-indicates legislative action Page 5 of 41 33 Review of Minutes •January 26th Meeting Page 6 of 41 Customer Service and Billing – Electric Services Customer Service and Billing – Electric Services Customer Service and Billing – Electric Services Letica Zavala-Customer Care Director Page 7 of 41 55 •All Available Services* *Active & Inactive service delivery points Customer Statistics Available Electric Meters:December January Residential 27,002 27,110 Net Metering 538 541 General -Small 2,592 2,582 General -Large 342 343 Industrial 23 23 Industrial -Large 1 1 School Services 25 24 Municipal 254 256 Municipal -Pumping 42 42 Total Services Count 30,819 30,922 Available Security Lights December January Residential 95 95 Non-Residential 127 126 Municipal 4,132 4,132 Total Services Count 4,354 4,353 Page 8 of 41 66 •Breakdown by Active Electric Customers (unique) : •Electric Billing Collection: •Advanced Metering Infrastructure (AMI): 99.7% –Usage data automatically transmitted to billing office •Automated Meter Reading (AMR): .3% –Usage data is collected via a drive by system •# of Customer Estimations: 188 •Account did not get a “good” READ; or •Account did not get “ANY” READ (work order put in for metering to investigate) Customer Statistics December January Residential 26,515 26,586 Builder 680 713 Commercial & Industrial 2,408 2,414 Municipal/Schools 294 296 Total Electric Customers:29,897 30,009 Page 9 of 41 77 •Billed Meters/Services* *Meters billed during the month Customer Statistics Billed Electric Meters:December January Residential 26,754 26,810 Net Metering 524 528 General -Small 2,368 2,368 General -Large 335 336 Industrial 23 23 Industrial -Large 1 1 School Services 25 25 Municipal 196 197 Municipal -Pumping 38 38 Total Services Count 30,264 30,326 Billed Security Lights December January Residential 95 95 Non-Residential 127 126 Municipal 4,132 4,132 Total Services Count 4,354 4,353 Page 10 of 41 88 Customer Billing Statistics Average Monthly Electric Bill FY22 -Jan FY21 -Jan All Customers $195.76 $208.12 Average YTD Electric Bill FY2022 FY2021 All Customers $209.12 $223.84 Residential Customer -Jan FY2022 FY2021 Cost per 1000 kWh $134.35 $134.35 (including PCA + Base) Average kWh 752 763 Electric Bill (based on Average kWh)$101.03 $102.51 Page 11 of 41 99 Electric Revenue –FY 2022 Page 12 of 41 1010 Electric AR –Active & Inactive Accounts Electric AR –Combined Aging Breakdown Aged Receivables Report –thru 1/31/22 Electric Prior Month Variance 31 –60 Days $106,474.27 $92,436.15 $14,038.12 61 –90 Days $66,861.76 $77,048.39 ($10,186.63) 91 –120 Days $73,651.79 $67,653.39 $5,998.40 120 –365 Days $254,582.48 $215,444.62 $39,137.86 > 365 Days $106,131.66 $89,636.82 $16,494.84 Total $607,701.96 $542,219.37 $65,482.59 Customer Count 2232 1990 242 Electric Prior Month Variance Active Accounts $216,153.98 $174,840.01 $41,313.97 Inactive Accounts $391,547.98 $367,379.36 $24,168.62 Total $607,701.96 $542,219.37 $65,482.59 Page 13 of 41 1111 Collection Agency Review City of Georgetown Page 14 of 41 Electric Operations Report Mike Westbrook Electric Operations Manager Danny Potter Electric Safety and Employee Development Manager City of GeorgetownPage 15 of 41 13 Performance Metrics JAN. 2022 Dec.Jan.Good Caution Alert Training 100%100%>90%90%-80%<80% Safety 100%100%>90%90%-80%<80% SO OTC 100%100%>90%90%-80%<80% PM WO OTC 100%99%>90%90%-80%<80% CM WO OTC 100%100%>90%90%-80%<80% Electric Reliability (SAIFI)0.547 0.447 <1 1-2 >2 Electric Outage Duration (CAIDI)85.174 73.784 <116 116-200 >200 Page 16 of 41 14 Top Five Outages & Event Date Start Time Duration (min) Customers Affected Customer Minutes Cause Area 1/2/2022 3:57pm 64 5 320 Bad Hot leg Georgetown South 1/9/2022 9:24pm 106 3 318 Partial Power/connection at trans Rivery 1/12/2022 9:05am 77 3 231 Connection at weatherhead Georgetown South 1/14/2022 10:05pm 153 42 6,426 Car verse padmount trans Glasscock 1/26/2022 5:00am 38 8 304 Blown Fuse Georgetown South Date Start of Event End of Event # of Outages Average Duration Cause Area Page 17 of 41 15 Winter Storm Landon Report Date Start Time Duration (min) Customers Affected Customer Minutes Cause Area 2/3/2022 2:36am 78 1 78 Broken Jumper Rivery -20 2/4/2022 2:42am 120 7 840 Partial Power/connection at transformer Rivery -40 2/4/2022 4:22am 94 9 846 Partial Power/connection at transformer Gabriel -40 2/5/2022 2:10am 87 4 348 Partial Power/connection at transformer Georgetown -30 •12 Months Out: Extensive tree trimming, and maintenance programs helped keep outages low •24 Hours out: Electric crews patrolled known trouble spots for tree related outages and cleared any limbs discovered •Crews were staged in town for the first 48 hours for faster response. Crews were placed on rotating shifts to avoid burn out . Page 18 of 41 Energy Risk Management- Credit Policy Daniel Bethapudi-General Manager of Electric Utility Page 19 of 41 Electric Line Extension Policy Updates/Proposed Changes Daniel McReynolds Electric Engineering Manager Richard Pajestka Electric Engineering Supervisor Jose E. Torres Electric Engineer Page 20 of 41 1818 Background •The Electric Line Extension and Electric Meter Connect Policy was adopted on March 24, 2020, and revised July 27, 2021. •The policy outlines the cost recovery for new electric infrastructure additions driven by customer requests. •It is important to recover these costs through the line extension policy if not these costs will be recovered through rates. •In July 2021, due to Covid-19 and related supply chain disruptions, our material costs went up significantly. The cost increases were as follows: •Single Family –30% || $775 •Multi Family –25% || $200 •The analysis in July 2021 did not include any labor cost adjustments for inflation. 18Page 21 of 41 1919 Policy Changes Adopted in July 2021 •Line Extension Fee Updates: •The fee per dwelling unit shall be reviewed at least annually to adjust for changes in labor, material and engineering costs required to provide standard electric distribution infrastructure at the service location. •Any proposed increases greater than 5% from the existing fee shall be approved by the City of Georgetown’s City Council. 19 Service Type 2020 July 2021 Single Family $2600 $3375 Multi Family $800 $1000 Page 22 of 41 2020 Policy Changes Adopted in July 2021 •DER Meter Fees moved to the DER Interconnection and Installation Policy (approved 6-15-2021) •Meter Connect Fees for multi-family developments and commercial developments shall be billed and collected along with the line extension fees. •Additional Costs (if applicable) included Line Extension Fees: •Advanced Metering Infrastructure Cost •Civil infrastructure installation (installed by developer/customer) City of Georgetown Electric inspection cost. •Any non-standard cost (for example disposal cost, specialized engineering studies etc.) necessitated by the customer’s/developer's service request 20Page 23 of 41 2121 FY 2022 Line Extension Cost Review •Supply chain issues are still persistent. •Significant inflation (7.5% as of 1/31/2022) •Significant increases in labor (internal and contractor) costs. •Review of ALL input costs (including labor costs) that impact the line extension fees. •While the Material Prices (transformers) did see a significant increase (~$3000), we were able to find a replacement transformer type that allowed us to keep the material costs under control. •The labor costs being used were from 2019, we adjusted the labor costs (internal and external) for inflation from 2019 -2021. 21Page 24 of 41 2222 Cost Analysis (Contd.) 22 Single Family 07/2021 02/2022 Change Material $2228 $2242 $14 Labor $1147 $1532 $385 Total Cost $3375 $3774 $399 Multi Family 07/2021 02/2022 Change Material $513 $501 ($12) Labor $487 $601 $114 Total Cost $1000 $1102 $102 Page 25 of 41 2323 FY 2022 Recommended Changes 23 Per Dwelling Unit Changes Service Type 2021 (existing)2022 (proposed)Changes Single Family $3375 $3775 $400 Multi-Family $1000 $1100 $100 Line Extension Application Fee Changes Service Type 2021 (existing)2022 (proposed)Changes Single Residential Lot/Residential Upgrades $510 $260 ($250) Single Family(sub- divisions)/Multifamily/Commerci al $510 $510 No changes Page 26 of 41 2424 FY 2022 Recommended Changes 24 Other changes being recommended: •Change the validity of the cost estimate from 90 days to 45 days. The payment of 50% of the cost estimate also changed from 90 days to 45 days. •This is being recommended due to volatility of the material prices and lead times. •Require the complete payment of the line extension fees no later than 90 days from the issuance of the cost estimate. •Currently there is no deadline. We have a few instances where the outstanding fees were paid 12 months after the cost estimate was issued. Page 27 of 41 2525 Staff Recommendation 25 •The recommended changes will enable Georgetown Electric to recover all the costs associated with line extensions, infrastructure additions and upgrades needed. •Staff recommends accepting the line extension policy and fee changes. Page 28 of 41 Energy Risk Management- Trading Authority Policy Daniel Bethapudi-General Manager of Electric Utility Page 29 of 41 2727 Questions? Page 30 of 41 Executive Session: In compliance with the Open Meetings Act, Chapter 551, Government Code, Vernon's Texas Codes, Annotated, the item listed below will be discussed in closed session and is subject to action in the regular session. –Daniel Bethapudi, General Manager of the Electric Utility Sec. 551.086 Competitive Matters •Purchased Power Review Page 31 of 41 City of Georgetown, Texas Electric Utility Board February 17, 2022 S UB J E C T: C o nsideratio n and pos sible action to appro ve Line Extens ion P olicy updates- Daniel Bethapud i; G eneral Manager of Electric Utility and Daniel Mc R eynolds; Electric Engineering Manager ITE M S UMMARY: •T he Elec tric Line Extens ion and Electric Meter C onnect P o licy was adopted on March 24, 2020, and revised July 27, 2021. •T he p olicy outlines the cos t rec overy for new electric infrastructure additions driven by custo mer requests. •It is important to reco ver these costs through the line extension policy if not these c osts will b e rec overed through rates . •In July 2021, due to C ovid-19 and related supply chain disruptions, our material costs went up s ignificantly. T he cos t inc reases were as follows: •S ingle F amily – 30% || $775 •Multi F amily – 25% || $200 •T he analysis in July 2021 did not includ e any labo r cos t adjustments fo r inflation. FIN ANC IAL IMPAC T: R ecommend ed C hanges: P er Dwelling Unit C hanges S ervice Type 2021 (existing)2022 (pro posed)C hanges S ingle F amily $3375 $3775 $400 Multi-F amily $1000 $1100 $100 Line Extension App lication F ee C hanges S ervice Type 2021 (existing)2022 (p ropo sed)C hanges S ingle R esid ential Lot/R esid ential Upgrades $510 $260 ($250) S ingle F amily(sub - divisions)/Multifamily/C ommercial $510 $510 No changes S UB MIT TE D B Y: Daniel Bethapudi; G eneral Manager of Elec tric Utility and Daniel Mc R eynolds ; Elec tric Engineering Manager AT TAC HME N T S: Description Type Line Extens ion Presentation Presentation Page 32 of 41 Electric Line Extension Policy Updates/Proposed Changes Daniel McReynolds Electric Engineering Manager Richard Pajestka Electric Engineering Supervisor Jose E. Torres Electric Engineer Page 33 of 41 22 Background •The Electric Line Extension and Electric Meter Connect Policy was adopted on March 24, 2020, and revised July 27, 2021. •The policy outlines the cost recovery for new electric infrastructure additions driven by customer requests. •It is important to recover these costs through the line extension policy if not these costs will be recovered through rates. •In July 2021, due to Covid-19 and related supply chain disruptions, our material costs went up significantly. The cost increases were as follows: •Single Family –30% || $775 •Multi Family –25% || $200 •The analysis in July 2021 did not include any labor cost adjustments for inflation. 2Page 34 of 41 33 Policy Changes Adopted in July 2021 •Line Extension Fee Updates: •The fee per dwelling unit shall be reviewed at least annually to adjust for changes in labor, material and engineering costs required to provide standard electric distribution infrastructure at the service location. •Any proposed increases greater than 5% from the existing fee shall be approved by the City of Georgetown’s City Council. 3 Service Type 2020 July 2021 Single Family $2600 $3375 Multi Family $800 $1000 Page 35 of 41 44 Policy Changes Adopted in July 2021 •DER Meter Fees moved to the DER Interconnection and Installation Policy (approved 6-15-2021) •Meter Connect Fees for multi-family developments and commercial developments shall be billed and collected along with the line extension fees. •Additional Costs (if applicable) included Line Extension Fees: •Advanced Metering Infrastructure Cost •Civil infrastructure installation (installed by developer/customer) City of Georgetown Electric inspection cost. •Any non-standard cost (for example disposal cost, specialized engineering studies etc.) necessitated by the customer’s/developer's service request 4Page 36 of 41 55 FY 2022 Line Extension Cost Review •Supply chain issues are still persistent. •Significant inflation (7.5% as of 1/31/2022) •Significant increases in labor (internal and contractor) costs. •Review of ALL input costs (including labor costs) that impact the line extension fees. •While the Material Prices (transformers) did see a significant increase (~$3000), we were able to find a replacement transformer type that allowed us to keep the material costs under control. •The labor costs being used were from 2019, we adjusted the labor costs (internal and external) for inflation from 2019 -2021. 5Page 37 of 41 66 Cost Analysis (Contd.) 6 Single Family 07/2021 02/2022 Change Material $2228 $2242 $14 Labor $1147 $1532 $385 Total Cost $3375 $3774 $399 Multi Family 07/2021 02/2022 Change Material $513 $501 ($12) Labor $487 $601 $114 Total Cost $1000 $1102 $102 Page 38 of 41 77 FY 2022 Recommended Changes 7 Per Dwelling Unit Changes Service Type 2021 (existing)2022 (proposed)Changes Single Family $3375 $3775 $400 Multi-Family $1000 $1100 $100 Line Extension Application Fee Changes Service Type 2021 (existing)2022 (proposed)Changes Single Residential Lot/Residential Upgrades $510 $260 ($250) Single Family(sub- divisions)/Multifamily/Commerci al $510 $510 No changes Page 39 of 41 88 FY 2022 Recommended Changes 8 Other changes being recommended: •Change the validity of the cost estimate from 90 days to 45 days. The payment of 50% of the cost estimate also changed from 90 days to 45 days. •This is being recommended due to volatility of the material prices and lead times. •Require the complete payment of the line extension fees no later than 90 days from the issuance of the cost estimate. •Currently there is no deadline. We have a few instances where the outstanding fees were paid 12 months after the cost estimate was issued. Page 40 of 41 99 Staff Recommendation 9 •The recommended changes will enable Georgetown Electric to recover all the costs associated with line extensions, infrastructure additions and upgrades needed. •Staff recommends accepting the line extension policy and fee changes. Page 41 of 41