A regular meeting of Commissioners of Public Utility District No. 1 of Clark County was held in the District offices, 1200 Fort Vancouver Way, Vancouver, Washington, on Tuesday, the 10th day of February at the hour of 9:00 a.m.
Present: President Jim Malinowski, Vice President Nancy Barnes, Secretary Jane Van Dyke, Commissioners; Director of Water Doug Quinn, Director of Finance Rick Dyer, Director of Energy Resources Pat McGary, Director of Customer Service Lisa Fix, Director of Engineering Cal Morris, Director of Information Services Mike Harris, Director of Communications Lena Wittler, Director of Operations Dan Krebs, Corporate Communications Manager Erica Erland, Risk and Power Manager Lynn Latendresse, Materials and Purchasing Manager Cathy Wannamaker, Manager of Energy and Planning Operations Tom Haymaker, Energy Services Project Manager Matt Babbitts, Communications Services Manager Heather Allmain, Communications Coordinator Maxie Lofton and Assistant to CEO/General Manager Margaret Anderson.
Press Representatives: None
Others Present: None (Materials A)
The order of business recorded below reflects the published agenda (Materials B)
At 9:00 a.m., President Malinowski called the meeting to order for the transaction of formal business.
Consideration of the Minutes of January 27, 2015
There were no changes or corrections.
Consideration of Accounts Payable
The Board, by a unanimous vote, approved the following payment amounts as listed on the Letter of Transmittal dated January 6, 2015 from the District Auditor:
Electric Revenue Fund – $7,458,407.69
Water Revenue Fund – $343,508.35
Generating System Fund – $1,300,080.27
For a total of $9,101,996.31
Consideration of Bid Award #960 – Underground Connect Services
Materials & Purchasing Manager Cathy Wannamaker reviewed the memo dated February 3, 2015, which detailed the bid results (Materials C). Ms. Wannamaker explained that we moved to a bid process with these items, as the utility was running up against small works roster limits and the bid process provides more flexibility. Commissioner Barnes moved to recommend that Bid No. 960 be awarded to Magnum Power LLC in the amount of $308,380.00 plus applicable taxes. Commissioner Van Dyke seconded the motion. The motion passed unanimously.
Consideration of Bid Award #961 – Photovoltaic System Installation #2
Materials & Purchasing Manager Cathy Wannamaker reviewed the memo dated February 3, 2015, which detailed the bid results (Materials D). Commissioner Van Dyke moved to recommend that Bid No. 961 be awarded to A and R Solar Corp. in the amount of $284,290.00 plus applicable taxes. Commissioner Barnes seconded the motion. The motion passed unanimously.
Consideration of Bid Award #962 – Treated Douglas Fir Distribution Pole Requirements
Materials & Purchasing Manager Cathy Wannamaker reviewed the memo dated February 3, 2015, which detailed the bid results (Materials E). Commissioner Barnes moved to recommend that Bid No. 962 be awarded to McFarland Cascade Holdings, Inc., in the amount of $295,903.00 plus applicable taxes. Commissioner Van Dyke seconded the motion. The motion passed unanimously.
Consideration of Bid Award #963 – Photovoltaic System Installation #3
Materials & Purchasing Manager Cathy Wannamaker reviewed the memo dated February 3, 2015, which detailed the bid results (Materials F). Commissioner Van Dyke moved to recommend that Bid No. 963 be awarded to A and R Solar in the amount of $276,950.00 plus applicable taxes. Commissioner Barnes seconded the motion. The motion passed unanimously.
December Financial Report
Director of Finance Rick Dyer addressed the board (Materials G). December had warmer and wetter weather resulting in electric revenue above forecast and power supply costs coming in below forecast. December residential sales were 92.5% of budget; commercial sales 95.4% of budget and industrial sales were 98.3% of budget for the month of December. Year-to-date totals were 101.5% for residential, 95.5% for commercial and 96.8% for the industrial sector. Residential growth year to date was 1.51%.
For the month of December, the Electric System had net income of $2.3 million compared to a forecasted loss of $16,000. Year to date, the electric system has recorded a net income of $22.6 million compared to a budgeted net income of $5.3 million. The board will hear recommendations for allocation of that budget surplus in March. Commissioners asked to have a discussion at that time regarding the rate stabilization fund and the process surrounding allocations to and from that fund.
The Water System has added 549 new customers year to date resulting in a growth rate of 1.741%. Net income for December came in at $22,000 against a budgeted income of $1.3 million. Year-to-date net income showed $1.9 million against a budgeted net income of $2.69 million.
December Wholesale Power Operations Report
Manager of Energy Planning and Operations Tom Haymaker addressed the board (Materials H). For the month of December, the Slice product was well above prompt month forecast and budget. Loads in December were well below forecast, with only six days above average loads; this was due to the above normal temperatures for the month. Prices remained stable at relatively low levels throughout the month.
Mr. Haymaker reviewed with the board transactions made October 31, 2014, through February 7, 2015, as well as gas prices and hedging to date.
Commissioner Reports and Comments
Commissioners Malinowski and Van Dyke are planning to attend the Washington PUD Association meetings this month.
Commissioner Barnes reported on her attendance at the Public Power Council meeting earlier in the month.
Commissioner Malinowski reported on his attendance at the Energy Northwest meetings and shared that there will be an outage in May at Columbia Generating Station for refueling purposes.
Proposed 2015 Meeting Schedule
CEO/General Manager Wayne Nelson reviewed the schedule (Materials I) provided and asked the board for suggestions regarding topics for power supply workshops.
Race for Warmth Update
Communications Services Manager Heather Allmain shared a recap of the weekend’s Race for Warmth fundraising run/walk benefitting Operation Warm Heart (Materials J). Nearly 600 walkers and runners participated resulting in nearly $19,000 (est.) in net proceeds to be contributed to Operation Warm Heart. The event was a resounding success with contributions both monetary and in-kind from partners to help provide for event needs. The Commissioners offered kudos to the planning team, specifically Communication Coordinator Maxie Lofton who took the lead of the first annual event.
Other Business before the Board
There being no further business before the Board, the meeting was adjourned at 11:05 a.m.