HomeMy WebLinkAboutElectric Board - Minutes - 08/17/1994Minutes to be Approved by the Board at the September 21, 1994 Meeting.
FORT COLLINS ELECTRIC BOARD
MEETING MINUTES
August 17, 1994, 5:00 - 7:30 P.M.
BOARD MEMBERS PRESENT:
John Allum, Bill Brayden, Jeff Eighmy, Barbara Rutstein, Richard Smart, and Jim Welch.
BOARD MEMBERS ABSENT:
Mark Fidrych
STAFF PRESENT:
Don Botteron, Delynn Coldiron, John DeHaes, Bob Kost, Jon McHugh, Bob Nastan, Tim Sagen,
Rich Shannon, Dennis Sumner and Doug Swartz.
OTHERS PRESENT:
None
BOARD LIAISONS:
Council Liaison -- Alan Apt
Staff Liaison -- Don Botteron
1. APPROVAL OF MINUTES:
A Motion was made by Board Member Rutstein to approve the Minutes as submitted.
Board Member Allum seconded the Motion. The Motion passed unanimously and the
Minutes from the June 15, 1994 meeting were approved.
2. INTRODUCTION OF NEW BOARD MEMBER:
Don introduced and welcomed new Board Member, Bill Brayden. Introductions of the
other Board Members and staff followed.
Bill is president/owner of Brayden Automation Corporation, where he is involved in
demand control and load management systems. Bill has been in the demand side industry
for approximately 16 years and his interest in the Electric Board is to learn as much as
possible about the supply side of the electrical industry and to provide any expertise he has
gathered over the years on the demand side of the industry. Bill mentioned that he is
particularly interested in public power.
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3. IRP/DSM UPDATE:
A. Home Energy Rating System Update:
Dennis provided Board Members with a flyer on the Smart House located at 120
South Sherwood. The Energy Score rating for this house came in at 94; the
highest rating for any house to date. Typical Energy Score ratings for new homes
range from 72-78. New homes that have somewhat upgraded energy features have
typical Energy Score ratings ranging from 82-84. Although not all of the
improvements that allowed the Smart House to rate so high were necessarily cost-
effective, these improvements provide a benchmark for what can be achieved.
Dennis next drew Board's attention to Doug Swartz's report on home energy rating
which summarized activities that are occurring on national, state and local levels.
The conclusion is to continue with our current efforts. Changes to our current
efforts will be dependent on determinations made resulting from the national and
state activities. Staff responded to questions concerning blower door testing, air
infiltration testing, proposed changes to the federal guidelines, and upgrading and
expanding the current Energy Score program. There was discussion on forming
a closer tie between home energy improvements and the mortgage market --
"energy efficient mortgage" concept which would allow people to qualify for a
larger mortgage than normal based on the idea that the customer would be spending
less money on utility bills, therefore having more money to spend on a mortgage.
Another potential of this type of mortgage is to include the price of energy
improvements in the first mortgage as an attractive financing mechanism to achieve
increased energy efficiency. The Utility's ZILCH program also provides a
significant energy efficiency incentive because of the 0% interest and because it
does not have to be done at the time the house is bought. There was also
discussion on other ideas being explored by the state. These include subsidizing
the home energy rating fee, having a guaranteed savings program for energy
improvements on existing homes and having a guaranteed bill program for new
homes. The guaranteed savings would be offered by private weatherization
contractors.
B. Energy Code Update:
Doug Swartz is taking the lead on residential; Jon McHugh is taking the lead on
commercial. There was discussion on code prescriptions, on establishing
guidelines and providing training to certify and/or license contractors, and on
quality control ideas. Building Inspection has responsibility for code issues and
plans to start public process on this issue next month and anticipates having
something to forward to Council in December or January. Staff will provide Board
with more information as it becomes available -- should be within the next couple
of months.
Dennis mentioned that Doug has been invited to speak at a workshop for the Rocky
Mountain Institute on utility and local government coordinated energy programs.
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C. IRP Update:
Dennis mentioned that timing has been delayed to permit a higher level of public
process, including the survey that was conducted, as well as some public meetings.
A public input session on the Resource Integration Study (RIS) is scheduled at
Platte River Power Authority, at 9:00 a.m. on August 25. The IRP will be
distributed from Platte River Power Authority on September 15. Public IRP
hearings are scheduled for 3:00 p.m. and 7:00 p.m. on October 27, also at Platte
River Power Authority.
It was concluded that the Board would have a discussion on the IRP with Platte
River staff at the October 19th meeting. Copies of the IRP will be distributed to
Board Members at the September 21st meeting.
D. Time of Use Rates:
There was discussion on the information that was included in Board packets. It
was noted that the conclusion of these studies -- time of use rates do not have a
significant impact on coincident demand -- may not be transferrable to Fort Collins
for a number of reasons. These include the fact that the studies were ten years old
and the Arizona study related to a summer peaking condition driven by air
conditioning.
E. Residential Electric Heat to Gas Conversions:
Dennis presented a pilot test program on residential electric heat conversions for
comment from the Board. This is one of the items the Board has shown interest
in and pilot testing can be implemented quickly. Staff has been working with
Public Service Company to identify neighborhoods where cost-effective electric
heat conversions to natural gas might be easily accomplished.
Board Members discussed this issue. There was some concern that moving
forward with this pilot might divert attention away from other priority items. Staff
assured the Board they felt this pilot could be implemented with no change in the
current time table for other DSM efforts. There was also discussion on the effects
of higher gas prices and whether or not the avoided repair costs for heat pumps had
been included in the analysis process.
Board Members were pleased a pilot program was being proposed and gave their
support. They encouraged staff to move forward with this.
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4. STAFF REPORTS:
A. Set Schedule for PRPA Discussion:
Rich mentioned that the electric utility industry is going through the process of
deregulation. The basics of the electric industry are changing. The monopolies
of generation, transmission and distribution and all working relationships that have
evolved out of this industry model are also changing. Generation is becoming
market driven, transmission access is becoming open and what will happen to
distribution systems is uncertain. It is appropriate for the Board and staff to begin
dialog about the future of the industry. It is important to look at the assumptions
that will be the basis for future decisions and to anticipate multiple scenarios so we
are in a position to respond should the industry move in one direction or another.
Over the next six to twelve months, staff will provide Board Members with
literature, information, etc., to help facilitate this dialog. This type of discussion
will also happen between Platte River and the four member cities to see if the
relationships that exist continue to make sense.
Rich next mentioned that the Mayor has asked about citizen discontent with Platte
River. The discontent has not been too specific, but surfaces from time to time.
She has asked that the Board entertain discussion of this issue at the November
Board Meeting. Mayor Azari, Council Member Horak and Council Member Apt
will join the meeting to try to get a sense of citizen perception of Platte River.
Board Members will talk with citizens between now and November to test their
perceptions/realities about Platte River.
B. Budget Schedule Update:
Don provided Board Members with a budget schedule. Council will accept public
input on the budget during their regular Council Meetings scheduled for September
20 and October 4. Staff will prepare the draft budget memorandum from the
Electric Board and will provide it at next month's meeting. Staff will incorporate
any suggested changes received from the Board during the September meeting and
will finalize the memorandum. Once Chairperson Smart has signed the
memorandum, staff will forward it to Council when appropriate during the first
part of October so Council will have it prior to the first reading of the budget
scheduled for October 18. Final reading of the budget is scheduled for November
15. Don will also share current budget situation information with the Board at next
month's meeting.
5. INFORMATIONAL REQUESTS:
Additional information on the rate reports that were included with Board Member packets
if not too voluminous.
Information on additional rate reports, if available.
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6. OTHER BUSINESS:
Board members were invited to the Utility's Environmental Fair scheduled for September
17 at Library Park.
7. CRITIQUE MEETING/NEXT MEETING'S AGENDA:
IRP/DSM Update
- Circulate IRP
- Status of Electric Heat to Gas Conversion Pilot
Budget:
- Current Situation
- Memorandum
Electric Utility Market Competition Workshop
Election of Officers
ADJOURNMENT:
Meeting adjourned at 7:32 p.m.
Del�R. Coldiron, Board Secretary
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