A 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 23rd day of February at the hour of 9:00 a.m. 

Present: President Nancy Barnes, Vice President Jane Van Dyke, Secretary Jim Malinowski, Commissioners; Director of Finance Rick Dyer, Director of Water Doug Quinn, Director of Customer Service Lisa Fix, Director of Engineering Cal Morris, Director of Communications Lena Wittler, Director of Operations Dan Krebs, Corporate Communications Manager Erica Erland, Materials and Purchasing Manager Cathy Wannamaker, Manager of Energy Planning and Operations Tom Haymaker, Transmission and Distribution Manager Ben Feliz, Senior Electrical Engineer Dave Sanders, Administrative Assistant Terri Angel, Working Foreman Zeek McCarthy, Senior Customer Service Representative Angie Wolfe and Assistant to CEO/General Manager Margaret Anderson.

Press Representatives: None

Others Present: Rick Marshall, Tedine Roos and Mike Hightower (Materials A)

The order of business recorded below reflects the published agenda (Materials B)

At 9:00 a.m., President Barnes called the meeting to order for the transaction of formal business. 

General Manager/CEO Wayne Nelson was excused from the meeting.

Consideration of the Minutes of February 9, 2016
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 February 23, 2016 from the District Auditor:
     Electric Revenue Fund – $18,464,549.78
     Water Revenue Fund – $188,151.87
     Generating System Fund – $300,762.27

For a total of $18,953,463.92

Recognition of Employee Service Awards
Director of Engineering Cal Morris introduced Dave Sanders, Senior Electrical Engineer. Dave was recognized for 35 years of service with the utility.

Director of Operations Dan Krebs introduced Zeek McCarthy, Working Foreman and Terri Angel, Administrative Assistant. Both were recognized for 20 years of employment with the utility. 

Director of Customer Service Lisa Fix introduced Angie Wolfe, Senior Customer Service Representative. Angie was recognized for 25 years of employment with the utility. 

The board thanked all the employees for their service to the utility (Materials C).

Consideration of Bid Award #979 – Fiberglass Fluted Decorative Streetlight Poles
Materials & Purchasing Manager Cathy Wannamaker reviewed the memo dated February 16, 2016 which detailed the bid results (Materials D). Commissioner Van Dyke moved to recommend that Bid No. 979 be awarded to PLP Composite Technologies, Inc., in the amount of $332,000.00 plus applicable taxes. Commissioner Malinowski seconded the motion. The motion passed unanimously. 

Consideration of Bid Award #980 – Treated Douglas Fir Distribution Poles
Materials & Purchasing Manager Cathy Wannamaker reviewed the memo dated February 23, 2016 which detailed the bid results (Materials E). Commissioner Malinowski moved to recommend that Bid No. 980 be awarded to Cox Industries, Inc., in the amount of $219,018.00 plus applicable taxes. Commissioner Van Dyke seconded the motion. The motion passed unanimously. 

December Financials
Director of Finance Rick Dyer addressed the board (Materials F). December had warmer and wetter weather on average. System sales were below budget, off system sales were above budget resulting in electric revenue coming in over forecast. December residential sales were 98.4% of budget; commercial sales 97.3% of budget and industrial sales were 92.2% of budget. Year-to-date totals were 98.0% for residential, 99.8% for commercial and 97.0% for the industrial sector. Residential growth year to date was 1.61%. 

For the month of December, the Electric System showed a net income of $1.9 million compared to a forecasted loss of $4,000. Year to date, the electric system has recorded a net income of $22.4 million compared to a budgeted net income of $1.4 million. The board will hear a final year-end report and recommendations for allocation of that budget surplus in the coming months. 

Mr. Dyer provided year-end summaries of utility conservation programs and electric system capital projects. 

The Water System has added 671 new customers year to date resulting in a growth rate of 2.05%. Net income for December came in at $150,000 against a budgeted income loss of $70,000. Year-to-date net income showed $4.3 million against a budgeted net income of $2.3 million. 

To end the presentation, Mr. Dyer reviewed a new governmental accounting standard that applies to pension accounting. The utility is now required to show estimates of prior and future pension costs. 

December Wholesale Operations
Energy Planning and Operations Manager Tom Haymaker addressed the board (Materials G). Slice performed slightly under the prompt month forecast but above budget forecast. Loads were below budget forecasts due to higher temperatures on average. 

Mr. Haymaker reviewed the process of calculating weather adjustments for load showing an average of 0.5% per customer reduction in use each year since 2006. 
A new graph showing the implied heat rate calculation for the River Road Generating Plant was reviewed with the board. The plant will be displaced April and June for economic purposes and in May for scheduled maintenance. 

Commissioner Reports and Comments
Commissioners Barnes and Malinowski reported they would be attending the Washington PUD Association meetings later in the week. 

Commissioner Van Dyke reported she would miss the board meeting on March 8; she would be attending American Public Power Association and Washington PUD Association Legislative Rallies in Washington D.C.

Staff Reports
Director of Communications Lena Wittler gave an update on legislative matters related to solar and carbon. 

Other Business before the Board 
Member of the public Mike Hightower reported that he had contacted his local legislators to share is support of the solar incentives and hoped they would continue. He thinks it is important to become less dependent on fossil fuels.

Member of the public Rick Marshall said he and his wife participate in the community solar project and came to hear any updates on the incentives and the legislative process.

There being no further business before the Board, the meeting was adjourned at 10:50 a.m.