Loading...
HomeMy WebLinkAboutElectric Board - Minutes - 07/21/1993Minutes to be Approved by the Board at the August 18, 1993 Meeting. FORT COLLINS ELECTRIC BOARD MEETING MINUTES July 21, 1993, 5:00 - 6:30 P.M. BOARD MEMBERS PRESENT: Jeff Eighmy, Barbara Rutstein, Richard Smart, and Jim Welch. 13i7_\t7O751051:1gt7Va-*Y Qw John Allum, Mark Fidrych and Larry Walsh. STAFF PRESENT: Ellen Alward, Don Botteron, Allen Boushee, Delynn Coldiron, John DeHaes, Ron King, Bob Kost, Tim Sagen, and Dennis Sumner. OTHERS PRESENT: Alan Apt. BOARD LIAISONS: Council Liaison -- Alan Apt Staff Liaison -- Don Botteron 1. INTRODUCTIONS OF NEW BOARD MEMBERS: New Board Members, Jeff Eighmy and Jim Welch, were introduced to other Board Members and staff and welcomed to the Board. 2. APPROVAL OF MINUTES: There were no additions or corrections to the June 16, 1993 Minutes. Board Member Smart made a motion that the Minutes be approved. Board Member Welch seconded the Motion. The Motion carried unanimously and the Minutes from the June 16, 1993 meeting were approved. 3. BUDGET: Don mentioned that budget packets were submitted to the Budget office on June 24th. The budget is currently subject to Council revision. As part of the revision process, Council may request staff members to attend work sessions in the near future to respond to Council questions, make clarifications, etc. Dennis provided an overview of the Energy Services budget. —1— In answer to a question, Don mentioned that a factor in the success of the Utility being able to keep rates low is that Platte River Power Authority is a preference power customer of Western Area Power Administration. This allows Platte River to get a certain amount of its power requirements at an advantageous price and the rates have been stable. Also contributing to low rates is the fact that Platte River made prudent economic decisions when they built Rawhide and when they bought into the Craig, Colorado power plant. The challenge facing the Utility is to operate the Utility so that the CPI is offset against operating efficiencies in order to keep rates low. In response to a question on why net income decreases from 1993 through 1998, Ellen mentioned that during the audit process for 1992, the depreciation schedules were adjusted resulting in a reduction in projected net income. Don added that the increased depreciation expense did not impact reserve levels. The increases shown for meters and related devices are to accommodate growth in new housing units. There was some discussion on load research and rate development. Alan Apt requested some written information on rate development. Staff will provide this. There was also some discussion on the lighting lending library. Alan Apt was interested in seeing money budgeted to help commercial customers convert to more efficient lighting, etc. There was some concern that there was not enough money budgeted in the Energy Services' budget for new programs and enhancements to existing programs. Alan Apt mentioned that the existing programs are very good, and he would like to see them expanded. Possibilities on how to expand existing programs were discussed. Staff plans to discuss ZILCH particulars with the Board at some point in the future. Council wants a budget statement from the Electric Board. Don will prepare a statement for the Board to review at next month's meeting. Dennis gave a presentation on IRP. He started with background information, and then talked a little about the National Energy Policy Act and proposed process for Council consideration in addressing the National Energy Act requirements. Board Members provided feedback and comments. A copy of an IRP analysis done for Ft. Collins, Loveland, Longmont, Estes Park, and Platte River was given to Board Members. This report was done by NEOS Corporation in May, 1992. Alan Apt commented that the Utility is headed in the right direction with the IRP process. He suggested scheduling a work session on this issue. Alan mentioned that staff should go ahead and prepare the necessary paperwork to get this item on a Council Agenda. Staff will give a brief presentation on IRP requirements imposed on the City at a regular Council session where public input on this issue can be provided to Council. -2- Once we get to the implementation stage, a work session or sessions may be scheduled if Council feels this is appropriate. There was discussion on environmental impacts associated with power purchases or power production and whether or not there were any provisions for this in the IRP standard definition. Board Members mentioned that language which requires the Utility to look at environmental externalities, i.e., environmental costs associated with IRP resources that are not direct cost based expenses of providing electric service, should be considered as an addition to the definition. There was concern that all Board Members should have a chance to provide feedback on this issue prior to sending a recommendation to Council. Board Members decided not to take any action on this item and will re -address this at next month's meeting. Staff will prepare a revised IRP definition including reference to environmental externalities for the Board to discuss at next month's meeting. Board Member Welch offered to help. 5. ROCKY MOUNTAIN INSTITUTE PRESENTATION OR ALTERNATIVES: Alan Apt had intended to get several copies of information on the Rocky Mountain Institute, plus some energy conversation articles, to share with the Board prior to having this discussion. The copies were never received. Alan asked that this item be postponed until the August meeting. 6. STAFF REPORTS: Dennis mentioned that he had been dealing with Joel Baker of Stoner Realty on some ground they are developing out behind Jax. There are numerous utility lines near this property and Stoner Realty had an appraiser discount a property's economic valuation because of EMF concerns. Dennis provided Joel with various materials to assist him in pointing out that this was an unjustifiable adjustment. Post Note: Joel advised, after the Board meeting, that the materials provided by the City helped the appraiser and the "EMF discounting" was removed from the property valuation. 7. OTHER BUSINESS: Delynn mentioned that Board workbooks need to be updated. Necessary items will be updated and included with next month's meeting packets. -3- CRITIQUE MEETING/NEXT MEETING'S AGENDA: Agenda: - IRP -- Environmental Externalities - Budget/Board Recommendation - Rocky Mountain Institute ADJOURNMENT: Meeting adjourned at 7:45 p.m. Coldiron, Board Secretary -4-