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HomeMy WebLinkAboutAgenda_GUS_11.14.2014Notice of Meeting for the Georgetown Utility System Advisory Board and the Governing Body of the City of Georgetown November 14, 2014 at 2:00 PM at Georgetown Municipal Complex, 300-1 Industrial Avenue, Georgetown, Texas The City of Georgetown is committed to compliance with the Americans with Disabilities Act (ADA). If you require assistance in participating at a public meeting due to a disability, as defined under the ADA, reasonable assistance, adaptations, or accommodations will be provided upon request. Please contact the City at least four (4) days prior to the scheduled meeting date, at (512) 930-3652 or City Hall at 113 East 8th Street for additional information; TTY users route through Relay Texas at 711. 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 The Board may, at any time, recess the Regular Session to convene in Executive Session at the request of the Chair, a Board Member, the City Manager, Assistant City Manager, General Manager of Utilities, City Council Member, or legal counsel for any purpose authorized by the Open Meetings Act, Texas Government Code Chapter 551, and are subject to action in the Regular Session that follows. B Reminder to Board about Thursday, December 11, 2014 Meeting. - Sheila K. Mitchell, Board Liaison C Introduction of Visitors Employee Recognition -- EAM Team D Discussion regarding the Project Progress Report, timelines including projects and Council Actions. – Michael Hallmark, Project Manager -- Drought Survivability Study -- Kathy Ragsdale, Conservation Services Manager -- Status and timeline update on the Customer Information System (CIS) billing system replacement project. -- Leticia Zavala, Customer Care Manager/Micki Rundell, Chief Financial Officer E Industry Updates Legislative Regular Agenda F Review and possible action to approve the minutes from the regular GUS Board meeting held on October 10, 2014. - Sheila K. Mitchell, GUS Board Liaison G Discussion and possible recommendation to clarify inconsistencies and amend requirements in the distributed renewable electric generation section 13.04.083 of the Electric Rate Ordinance pertaining to solar installations. -- Leticia Zavala, Customer Care Manager/Kathy Ragsdale, Conservation Services Manager/Mike Babin, Deputy General Manager of Utilities H Discussion and possible recommendation regarding a franchise agreement for Atmos Energy. -- Christopher Foster, Manager of Resource Planning and Integration Adjournment CERTIFICATE OF POSTING I, Jessica Brettle, City Secretary for the City of Georgetown, Texas, do hereby certify that this Notice of Meeting was posted at City Hall, 113 E. 8th Street, a place readily accessible to the general public at all times, on the ______ day of __________________, 2014, at __________, and remained so posted for at least 72 continuous hours preceding the scheduled time of said meeting. ____________________________________ Jessica Brettle, City Secretary City of Georgetown, Texas SUBJECT: Discussion regarding the Project Progress Report, timelines including projects and Council Actions. – Michael Hallmark, Project Manager -- Drought Survivability Study -- Kathy Ragsdale, Conservation Services Manager -- Status and timeline update on the Customer Information System (CIS) billing system replacement project. -- Leticia Zavala, Customer Care Manager/Micki Rundell, Chief Financial Officer ITEM SUMMARY: GUS Projects: EARZ 2013-14 Park Lift Station and Miscellaneous Lift Station Improvements Public Training Facility Offsite WW Sequoia Spur EST Snead Drive Streets and Wastewater Improvements Tin Barn Alley/17th & Austin Avenue Waterline Improvements Council Actions -- Drought Survivability Study -- Kathy Ragsdale, Conservation Services Manager -- Status and timeline update on the Customer Information System (CIS) billing system replacement project. -- Leticia Zavala, Customer Care Manager/Micki Rundell, Chief Financial Officer FINANCIAL IMPACT: N/A SUBMITTED BY: Michael Hallmark ATTACHMENTS: Description Type Project Report and Council Actions Backup Material Drought Survivability Study Presentation CIS Replacement Project Update Backup Material Participation in TAMU’s Drought Survivability Study Two-year project to identify the water requirements of native plants during extended drought conditions. Map Identifying Drought Bed Site Westside Service Center Drought Test Beds Woods Pump Station Originally a Chisholm Trail SUD Pump Station Drought Simulating Enclosure Customer Information System (CIS) Replacement Project Update GUS Board Meeting 11/14/14 The current system is a COBOL based system purchased in the mid-90’s with a major upgrade in 2001. The existing system scalability, customer pricing options, and integration potential with other utility systems is severely limited. A workshop was presented to Council in May 2014 that provided an overview of the project. The timing of this project has been impacted by the implementation of other utility software systems such as the Enterprise Asset Management and Advanced Metering Infrastructure completed in October, as well as, the acquisition of the Chisholm Trail Special Utility Water District. GUS released a request for proposal (RFP) on September 26, 2014 for Consulting Services to assist in assessing the City’s current utility objectives, evaluating current technology and CIS products to determine the necessary requirements for a replacement CIS , and to assist in acquiring and implementing such a system. Responses were received in late October and evaluated in early November. The evaluation committee was comprised of a multi-divisional team from Customer Care & Finance, Utility Operations, and Information Technology. A contract with the committee’s unanimous choice will be presented at the December GUS meeting for discussion and recommendation to Council in January. The deliverables within the RFP scope included the following: Phase I: Assessment, Evaluation, Implementation Planning, & Acquisition – Cost $141,870  Documentation of customer service vision and objectives  Diagraming & Documentation of Business Processes  Translating Business Processes into System Requirements  Provide Industry Overview on CIS systems meeting our System Requirements  Development of an estimated project budget based on CIS systems in marketplace  Development of implementation strategy for CIS system  Development of a Request for Proposal for software acquisition Completion Timeline: January 2015 – May 2015 Phase II: Procurement & Contract Negotiations – Cost $51,380  Proposal Evaluations & Review  Reference Checks  Demonstration Scripts  Final Selection Workshops  Technical Scope of Work & Contract assistance Completion Timeline: May 2015 – August 2015 City of Georgetown, Texas SUBJECT: Review and possible action to approve the minutes from the regular GUS Board meeting held on October 10, 2014. - Sheila K. Mitchell, GUS Board Liaison ITEM SUMMARY: Board to review, revise and/or approve the minutes from the regular meeting held on October 10, 2014. FINANCIAL IMPACT: N/A SUBMITTED BY: Sheila K. Mitchell/GUS Board Liaison ATTACHMENTS: Description Type GUS Oct 10 2014 DRAFT Minutes Backup Material Notice of Meeting of the Georgetown Utility Systems Advisory Board and the Governing Body of the City of Georgetown, Texas October 10, 2014 at 2:00PM The City of Georgetown is committed to compliance with the Americans with Disabilities Act (ADA). If you require assistance in participation at a public meeting due to a disability, as defined under the ADA, reasonable assistance, adaptations, or accommodations will be provided upon request. Please contact the City at least four (4) days prior to the scheduled meeting date, at (512)930-3652 or City Hall at 113 East 8th Street for additional information: TTY users route through Relay Texas at 711. Board Members Present: Robert Kostka – Vice Chair, Patty Eason, Steve Fought, Bill Stump, Joyce Mapes, Ed Pastor Board Members Absent: Arthur Yaeger, Chair Staff Present: Micki Rundell, Chris Foster, Laura Wilkins, David Thomison, Michael Hallmark, Jimmy Sikes, Kathy Ragsdale, Trina Bickford, Leticia Zavala, David Munk, Glenn Dishong, Jim Briggs, Mike Babin, Paul Elkins, Terry Crain, Others Present: Neil McAndrews – Neil McAndrews & Associates 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 – Called to order by Vice Chair Kostka at 2:00PM Georgetown Utility Systems Advisory Board may, at any time, recess the Regular Session to convene an Executive Session at the request of the Chair, a Board Member, the City Manager, Assistant City Manager, General Manager of Utilities, City Council Member, or legal counsel for any purpose authorized by the Open Meetings Act, Texas Government Code Chapter 551, and are subject to action in the Regular Session that follows. B. Introduction of Visitors Discussion: McAndrews was introduced. Employee Recognition – Jason Casey – Spencer Green Discussion: Recognition by Dishong for Customer Service and Public Service: Jason Casey – Lineman – Public Service Recognition: Letter to City Manager – helped with traffic accident. Spencer Green – Water Service – Customer Service Recognition: Letter to City Manager from business owner in Georgetown. Resolved 20-year sewer back-up issue. C. Discussion regarding the Project Progress Report, timelines including projects and Council Actions. – Michael Hallmark, Project Manager Discussion: Hallmark noted reports included in packet. No further discussion. One question by Pastor – Is this the project by Jim Hogg Park? Wes – Yes it is the same project and it will be addressed further - later on the agenda. D. Industry Updates Discussion: Briggs provided update on EPA Air Quality rule that will affect power providers. Update on merger with CTSUD – long range planning for service territory. Development of South Water Treatment Plant. Salamander rule might make that site a little bit difficult to develop. Look at options of coming from the north side where it is less environmentally sensitive. Very preliminary – nothing set in stone – but will begin discussing options South Water Treatment Plant. Zebra mussels in area lakes – but not in our lakes - Stillhouse or Georgetown yet. It is an invasive species – infiltrates pumps and pipes and clog things up. They also kill native species of mussels. This adds to the cost of water treatment to remove them from pipes and pumps. Legislative Regular Agenda The Board will individually consider and possibly take action on any or all of the following items: E. Review and possible action to approve the minutes from the Regular GUS Board meeting held on September 12, 2014. – Sheila K. Mitchell, GUS Board Liaison Discussion: Typo Kostka is not Chair, Yaeger is Chair. Motion by Fought, second by Pastor to approve the minutes from the Regular GUS Board meeting held on September 12, 2014, as amended. APPROVED 6-0 (Yaeger absent) F. Consideration and possible recommendation to approve the contract for the Outside Plant Fiber Optic Infrastructure, Construction Bid 201452, to JPC Construction, Cedar Park, TX, in the amount not to exceed $300,000. -- Jimmy Sikes, T&D Services Manager/Paul Elkins, Energy Services Manager Discussion: Elkins presented the item. Motion by Pastor, second by Mapes to approve the contract for the Outside Plant Fiber Optic Infrastructure, Construction Bid 201452, to JPC Construction, Cedar Park, TX, in the amount not to exceed $300,000. APPROVED 6-0 (Yaeger absent) G. Discussion and possible recommendation to amend section 13.04.083 of the Electric Rate Ordinance regarding requirements for distributed renewable electric generation clarifying inconsistencies and removing unnecessary requirements. -- Leticia Zavala, CGFO, Customer Care Manager Discussion: Item introduced by Zavala – turned over to Kathy since there was no monetary consideration. Ragsdale explained the item. Removing an unnecessary section of the ordinance that was overlooked when other changes were made. Discussion continued on various aspects of the requirements and the ordinance. Briggs added some additional information. Consensus by the board that the staff will go back and take the suggestions made during discussion today and clarify requirements, create the appropriate criteria and adjust the ordinance/forms; then bring the Ordinance back at the next meeting. NO ACTION H. Consideration and possible recommendation on a Water Agreement with Snow Woods, LLC. -- Wesley Wright, P.E., Systems Engineering Director Discussion: Wright explained the item. Pastor – this project is in CTSUD service area – should this not be approved by the CTSUD Board? Briggs – no this is an operational issue. CTSUD Board has a Management contract with the City and the City owns the assets and the water. The Board’s obligation to serve is honored by the City through the Management contract. Motion by Pastor, second by Mapes to approve the Water Agreement with Snow Woods, LLC. APPROVED 6-0 (Yaeger absent) Regular Session adjourned at 2:59PM Motion by Fought second by Pastor to go into Executive Session. Executive Session called to order at 3:10PM by Kostka. I. 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. Sec. 551.086 Competitive Matters -- Discussion and possible recommendation regarding the 2014 Solar RFP. Presentation of bid offers and final rankings. Recommendation on strategy moving forward. — Chris Foster, Manager of Resource Planning and Integration/Neil McAndrews, McAndrews and Associates Motion by Pastor second by Eason to adjourn Executive Session. APPROVED 6-0 (Yaeger absent) Executive Session adjourned at 4:09PM. RESUME REGULAR SESSION at 4:10PM by Kostka Return to Regular Session Action from Executive Session -- Motion by Pastor, second by Fought to recommend that the City Council authorize staff to enter into negotiations with the top two bidders for a contract for power supply in a range between 50 and 150 megawatts. APPROVED 6-0 (Yaeger absent) Adjournment Motion by Pastor, seconded by Eason to adjourn the meeting. APPROVED 6-0 (Yaeger absent) Adjourned at 4:14PM __________________________ _____________________________ Robert Kostka – Board Vice Chair Bill Stump – Secretary _________________________________ Laura Wilkins for Sheila K. Mitchell, GUS Board Liaison City of Georgetown, Texas SUBJECT: Discussion and possible recommendation to clarify inconsistencies and amend requirements in the distributed renewable electric generation section 13.04.083 of the Electric Rate Ordinance pertaining to solar installations. -- Leticia Zavala, Customer Care Manager/Kathy Ragsdale, Conservation Services Manager/Mike Babin, Deputy General Manager of Utilities ITEM SUMMARY: This item is a continuation of the discussion started at the 10/10 GUS Board meeting regarding changes to the solar section of the Electric Rate Ordinance and is bulleted below: (1) Removal of the requirement for a Master Electrician to obtain a certification from the North American Board of Certified Energy Practitioners (NABCEP) to provide solar installations in the City’s jurisdiction. a. Criteria needed to meet City solar installation standards: i. Journeyman designation + NABCEP certification; or ii. Master Electrician b. City to maintain a list of “Registered Program Installers” containing installers that have successfully: i. Completed 3 solar installations ii. Passed City’s solar permitting process (2) Clarify language associated with the billing of the net meter rate and credit. a. The billing and credit calculation for net metering is set at the residential retail rate. b. Energy is billed at the residential retail rate and a credit is calculated when energy is provided to the grid by the customer’s system, using the same residential retail rate. i. There is no longer a requirement to recover Transmission and Distribution costs in the credit amount. c. Any credit on the customer account, after all applicable charges are deducted, can be refunded back to the customer. (3) Remove the “not to exceed” amount of $7,500 from the cumulative system rebate on net metering. (4) Update the Photovoltaic Interconnection Package currently in use: Working to develop a more streamlined application, permitting, and inspection process. FINANCIAL IMPACT: N/A SUBMITTED BY: Leticia Zavala, Customer Care Manager ATTACHMENTS: Description Type Electric Rate Ordinance - REVISED Ordinance EXHIBIT A 13.04.010 Rates and Charges – Electricity - Schedule The monthly rates and charges for the sales made of services rendered by the electric system of the City are established, levied, fixed and prescribed as set forth in § 13.04.010 through 13.04.100 Service rendered under this Article is subject to the City’s Rules and Regulations. 13.04.083. Distributed renewable electric generation. A. Availability. Available only to residential and small commercial customers that own distributed renewable electric generation (D-REG) facilities of ten kW or less that are located within the Georgetown Utility System's (GUS) electric service area and are connected to GUS's electric distribution system. The D-REG facility shall exclusively serve a single residential or small commercial premise connected to the GUS electric distribution system. 1. Customers shall be required to review and complete the City's interconnection package and execute a distributed generation contract with the City to install a D-REG system. 2. Non-residential customers that are ten kW or larger may purchase or install a D-REG system, but must negotiate a more comprehensive contract with the City, before construction can begin. B. Application. Available to customers with a solar, wind, geothermal, biomass, hydrogen fuel cell or any renewable energy powered device that generates ten kW or less of electric power at a voltage of 600 volts or less from a residential or small commercial electric service at a customer's premise or at an off-site location that is connected to the City's electric distribution system. C. Method of Charge. 1. Definitions. NET Meter = City generated kWh less D-REG generated kWh that is used at the premise. DEL = City generated kWh that is delivered to and used at the premise. RCVD = D-REG generated kWh that is not used at the premise and pushed out to the grid. REC = Total renewable kWh generated by the D-REG system. Standard rate = The current adopted electric rate for the applicable rate class for which the electric service qualifies. 2. Aggregated Meter Rate. Customers installing a D-REG system will pay the sum of the following calculations: a. The customer will be charged at the standard electric rate for all kWh consumed at the premise: DEL + (REC-RCVD) x standard rate b. The customer will be credited the embedded power cost for all kWh generated by the D-REG system: REC x embedded power cost 3. Customers that choose to invest in a D-REG system that does not qualify for a City provided incentive, but does qualify for system installation (i.e. a low efficiency rating) will pay the aggregated meter rate. No incentive will be provided. D. Incentives. To encourage the installation of qualifying renewable generation, there are incentive programs for which qualifying applicants may apply, in order to defray a portion of the costs associated with the installation of a D-REG system. 1. Renewable Energy Credits. a. In order to qualify for a renewable energy incentive, customers must assign all rights to any and all environmental attributes and/or credits, including any renewable energy credits (RECs,) carbon off-set credits, or similar environmental credits derived from the renewable energy production associated with this rebate, to the City for the City's use, as it may choose. b. Customers may petition, in writing, to retain the environmental attributes and/or credits, including any RECs, carbon off-set credits, or similar environmental credits derived from the renewable energy production in order to achieve or maintain LEED Certification or any other energy efficiency designation requiring the retirement of RECs in the customer's name. c. Revenue from the sale of RECs, by the City, is designated for renewable energy incentive programs sponsored by the City. 2. Net Metering. Net metering is an incentive program that is available to qualifying customers that have signed a distributed generation contract with the City and have successfully connected a D-REG system to GUS's electric distribution system. a. Customer must purchase the REC meter that is installed and used by the City to register the renewable kWh generated at the premise. b. If a premise uses more electricity than the D-REG system produces, within a single billing month, the customer pays for the non-netted, GUS provided electricity at the standard rate: (DEL kWh - RCVD kWh) x standard rate c. If a premise uses less electricity than the D-REG system produces, the customer is provided a credit equal to the embedded power cost for every the standard rate x the total D-REG generated kWh that flow back to the City's electric distribution system: (DEL kWh - RCVD kWh) x embedded power cost standard rate d. Payment for D-REG power is only available provided to the customer in the form of a credit against the customer's utility bill at the upgraded premise. Cash will not be paid for D-REG generated kWh. A credit on the customer account, after all applicable account charges are deducted may be refunded. e. D-REG credit balances for excess generation, still due when a customer disconnects all utilities from the City of Georgetown, and is not transferring to another City account, will forfeit the credit amount. f. Net metering is effective for the life of the D-REG system. g. Net metering is not available to D-REG systems that are awarded a GUS rebate. 3. Rebate. A rebate is an incentive that is available to qualifying customers that have signed a distributed generation contract with the City and have successfully connected a D-REG system to GUS's electric distribution system. a. Funding for rebates is limited to availability. Rebate offerings will be announced as they become available, and will remain active until the allotted funding is depleted or until the program is discontinued by the City. b. Calculation of Rebate. i. The GUS Rebate application must be completed, signed and returned to the City before a rebate will be issued. ii. The rebate is based on the smaller of the panel rating and the inverter rating (if they are different) and the efficiency of the system currently being installed. iii. Payment to customer will not exceed a total, cumulative system rebate of $7,500.00. c. The City may, at any time, discontinue a program or any of its components, change guidelines, or increase/decrease rebate calculation methods, without prior notice. d. Once funds are depleted, no additional applications for participation will be accepted until the next fiscal year, or until more funding becomes available. e. There is no waiting list for inactive or future programs. Applications that are submitted, but not addressed, before program funding is depleted, must resubmit the following year. i. Rebates are paid on a first come basis, within the pool of qualifying applicants. ii. Application for rebate will not be accepted retroactively to any offering period. f. Rebates are for residential and small commercial customers, only. g. Rebates are applicable for retrofits, only. New construction does not qualify for this rebate. h. All system equipment must be purchased. No leased or lease/purchase equipment will qualify for a rebate. i. The rebate application form must include a copy of the itemized and dated invoice from the contractor or retailer. j. D-REG systems will only qualify for this rebate once per 12-month period. After 12 months, an application for rebate may be submitted for expansion of the D- REG system. k. Customers that receive a rebate will pay the aggregated meter rate. E. Contractor Requirements. Registered Program Installer 1. Electrician must obtain an electric license issued by the City of Georgetown to install a D-REG system. 2. Installer must be a journeyman electrician with a NABCEP Installer Certification; or 3. A Master Electrician with at least 3 successful D-REG system installations within the GUS electric distribution system. 4. The contact information for Registered Program Installers wil be provided on the City website. 1. The contractor that installs the prescribed and approved D-REG system must be registered as a City authorized contractor, at the time of the installation. 2. To become a registered program installer, the contractor must submit a GUS Rebate program contractor registration form, which includes the installer's NABCEP certification, to the program manager. F. General Requirements for Interconnection. 1. Applicant must be the homeowner or property owner at the location being improved. 2. A D-REG system will not be designed to generate more energy than the average annual usage of the home for which it provides power. 3. All installations and improvements must be at locations with electric service provided by GUS and must meet all applicable national, local, and manufacturers’ codes and specifications. 4. All necessary permits must be acquired from the City prior to installation. 5. The City does not compensate the installer for the equipment installation or for processing the necessary paperwork. 6. A pre-inspection by the City that entails a site evaluation of the proposed location for the D-REG system may be required. 7. Post –inspection by the GUS Building Inspection Department are required on all installations, before the issuance of the rebate. Failure to follow these or other requirements of the City building code may render the system ineligible for the incentive and the system will not be allowed to interconnect with the City electrical grid. G. Regulations Specific to Photovoltaic (PV) Systems. 1. Customers must provide a copy of their system design analysis, as calculated by PV Watts, the online calculation tool used for estimating the energy production and cost savings of grid connected PV systems. (This analysis is used to verify the optimal placement of the panels.) a. 100% - 80% of optimal placement = Full per DC Watt rebate b. 79% - 70% of optimal placement = Full per DC Watt rebate x .66. c. No incentive is provided for efficiency less than 70% 2. The City interconnect package must be reviewed, completed, and approved by City staff, prior to installation of PV system. 3. A pre-inspection site evaluation of the proposed location for the PV system to verify that the orientation and shading of the buildings are appropriate for adequate solar energy capture and conversion may be required. This evaluation may be performed on-site or by using the Google Maps satellite and street view applications or an equivalent online mapping service. 4. All equipment must be new when installed and must come with, at the least, a five-year warranty on the inverter and a 15-year warranty on the panels. 5. The itemized and dated invoice from the contractor or retailer that is included with the application form must include the serial numbers for all panels and inverters. 6. Requests for rebates must be received by the City within 30 days of installation. 7. Payments will be made to the property owner that purchased the qualified equipment, unless authorized, in writing, by the program manager and the property owner. City of Georgetown, Texas SUBJECT: Discussion and possible recommendation regarding a franchise agreement for Atmos Energy. -- Christopher Foster, Manager of Resource Planning and Integration ITEM SUMMARY: Atmos’ current Franchise Agreement was originally signed in 2000, amended in 2008, and is set to expire December 31st, 2014. This agreement allows Atmos to build infrastructure and serve customers’ demand for natural gas in the City of Georgetown in return for annual payments based on the gross revenues of the utility generated in the City. The current payment is based on 5% of gross revenues as defined in Georgetown’s code of ordinances, Chapter 14. The City and Atmos haven’t come to agreement on the terms of a new franchise agreement, but neither wishes to stop service at the end of the year. Both parties are requesting to extend the current franchise agreement one year. FINANCIAL IMPACT: For 2013 Atmos paid the City $432,985.56. SUBMITTED BY: Christopher Foster, Manager of Resource Planning and Integration