HomeMy WebLinkAboutEnergy Board - Minutes - 05/07/2015Energy Board Meeting Minutes
May 7, 2015
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Fort Collins Utilities Energy Board Minutes
Thursday, May 7, 2015
Energy Board Chairperson City Council Liaison
Peter O’Neill, 288-4562 Ross Cunniff, 420-7398
Energy Board Vice Chairperson Staff Liaison
Phil Friedman, 493-2959 Lisa Rosintoski, 416-2432
Roll Call
Board Present Chairperson Peter O’Neil, Vice Chairperson Phil Friedman, Board Members Greg
Behm, Darrin Johnson, Nick Michell, Stacey Baumgarn, and Margaret Moore.
Board Absent: Michael Doss, Peggy Plate,
Board chair Pete O’Neill left the meeting at 7:03 pm
Staff Present Lisa Rosintoski, John Phelan, Lucinda Smith, Cyril Vidergar, Pablo Bauleo, SeonAh
Kendall, Katy Bigner, and Katherine Martinez
Guests Rick Coen, John Fassler, Craig Hibberd, Paul Davis/Plate River Power Authority
Meeting Convened
Chairperson Peter O’Neill called the meeting to order at 5:30 p.m.
Public Comment
Rick Cohen commented that the state legislative session just finished and (Senate Bill) SB 254
passed, which extended the 3x multiplier for local solar credit towards the Colorado Renewable
Energy Standard. Mr. Cohen commented that he hopes the Energy Board and City Council will
discuss it. He stated he’s been working on a Colorado State University (CSU) project that’s a direct
result of that initiative, producing 1.2 MW (megawatts). A board member inquired how long the
program has been extended. Mr. Cohen replied it’s been extended to 2016.
Approval of April 2, 2015 Minutes
A board member asked for one correction to the April 2 minutes, from “every house” to “every
estate lot house” in the following sentence: “Solar shingles are automatically included on every
estate lot house in the new Bucking Horse development.”
Board Member Margaret Moore moved to approve the April 2 minutes.
Board Member Nick Michell seconded the motion.
Vote on the motion: It passed unanimously. Board Member Stacey Baumgarn abstained due to
his absence at the April meeting.
Staff Reports
Environmental Services Director Lucinda Smith distributed durable canvas bags with a “Zero
Waste” message to board members. The bags are 100% organic cotton, made in the U.S.A., and
were funded by her department to help the community think of bags in a different way. A tag lists
the website portal for all environmental programs at the City: www.fcgov.com/enviro. The City’s
Energy Board Meeting Minutes
May 7, 2015
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Creative Director Grant Smith designed the bag, which features a drawing of Old Town, a bicycle,
and the City’s website address.
Staff Reports
(Attachments available upon request)
Update on Boards & Commissions Energy Policy Presentations
Utilities Customer Connections Manager Lisa Rosintoski stated that the earliest City Council could
hear a presentation on the draft Energy Policy is the September 22 Work Session. She gave on
update on Public Engagement activity for the policy. The timeline includes presentations to the six
remaining boards and commissions through May and June, with the last presentation on July 2.
Presentations were completed for the Air Quality and Transportation boards, with the Water Board
presentation tonight. Ms. Rosintoski highlighted comments and suggestions from the Air Quality
and Transportation boards.
Discussion Highlights
A board member commented that there are so many plans and policies in the works by
various City groups that it’s impossible to coordinate them on the same timeline. Mr. Phelan
agreed and stated that staff and boards must deal with it as best they can.
The board member inquired where to turn to if the Energy Policy or any other plan or policy
is silent on a particular topic. Mr. Phelan replied it’s not necessary to wait for the regularly
scheduled five years before revising a policy.
A board member suggested not allowing comments from other boards to sway the Energy
Board from their work of the past two years; some comments may be valuable but the board
had already solicited input from other boards over past two years.
A board member commented that we don’t need to be overly specific regarding some topics
because they’ll be addressed in the Climate Action Plan. Another board member commented
that they’ll rely on staff for updates and direction on these issues.
Peak Partners Update (Demand Response Program)
(Attachments available upon request)
Energy Services Engineer Pablo Bauleo highlighted Peak Partners tasks that have been completed
and those that remain. The Peak Partners program gives customers with Wi-Fi and air conditioners
the ability to monitor and control their thermostat and related energy usage from mobile devices.
One chart showed the load profile of Peak Partners customers compared to regular customers, with
an average reduction of 1.1 kW per customer.
The summary of progress and status showed that the program can reduce demand during peak
hours, which leads to financial savings; Wi-Fi thermostats (summer) (single detached homes),
Electric water heaters (year round) (multifamily buildings), Commercial & Industrial (Open
Automated Demand Response [Open ADR], which was created to standardize, automate and
simplify demand response). Mr. Bauleo noted this summer will be the first field test of the Open
ADR protocol. He also gave a deployment update on progress; electric water heater controller
installation began March 16.
There are 55,000 residential home customers, but not all are qualified for the program (because they
don’t have air conditioning, or Wi-Fi, or both); the targeted population to enroll in the thermostat
program is 2,600. The current goal is to enroll 3,000. About 4,500 electric water heaters customers
exist; staff is trying to enroll 60 percent of them. Residents of apartment complexes are including in
the outreach efforts.
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May 7, 2015
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A board member inquired about the amount of load control demonstrated. Mr. Bauleo
replied that they deployed 160 devices last summer. The average response is about 1.16 kW
per thermostat and a total of 2 to 3 MW by the end of this year or beginning of next year.
AMI Data is used to verify demand reduction.
A board member requested an update on summer statistics after September. Mr. Bauleo
replied that he would do so.
A separate Time-of-Use pilot group is participating in a study that will occur over one year,
to understand connectivity and how it affects usage.
Integrated Utilities Services Model Status
(Attachments available upon request)
Energy Services Manager John Phelan reported that a pilot for the Integrated Utility Services model
is slated for fall. Measured results on energy performance will take longer.
A board member inquired whether the testing includes only single family homes initially.
Mr. Phelan replied yes, and commented that staff is studying on-bill financing for small
commercial customers.
Utilities Customer Segmentation Study
(Attachments available upon request)
Customer Account Manager Tiana Smith summarized the study and stated the purpose is to
understand customers and provide services and programs that improve Utilities’ relationship with
customers. The work in partnership with the Economic Health division, and will have study results
in the next three months. Extremely innovative, broad overview, more results later toward middle of
the year. Ms. Smith manages a team of five account representatives, and the scope is to manage
relationships with 66,000 residential Utilities customers. She noted most customers can be helped
through the customer service representatives for questions regarding billing, turning service on and
off, and similar requests.
Ms. Smith and her team determine how to better manage the customer relationships, including those
who are electric-only and water-only customers. Other categories of customers include mid-range,
large, and industrial depending on energy usage. “Key accounts” customers consist of 29 business
and industrial customers, such as local microbreweries.
The goal is to be more proactive, use targeted marketing, and take a customized approach.
Customer segmentation helps staff better understand customers’ behaviors, motivations, and
expectations. BBC in Denver is the consultant; the firm spent February through April analyzing
national trends in energy and water. National health care legislation has changed the health care
industry dramatically, and affects the way we use energy and water in our home and how we deliver
certain programs to customers. One question to consider is whether there are ways to reach
customers virtually. BBC will present a report to Utilities in June.
Discussion Highlights
A board member inquired how a team of five can connect with 66,000 customers. Ms. Smith
replied that analyzing customer segments and ways to approach them is a strategic way of
determining how to better align time and resources. Some customers will be interested in
one program but not others. Ms. Rosintoski stated the team will be able to quantify resources
and determine what’s working and not working for certain customers.
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A board member commented that a neighbor was upset Utilities – using Advanced Meter
Fort Collins (AFMC) data – sent an employee to investigate a water leak; privacy was the
concern. Staff replied that some customers are glad Utilities staff has the ability to
immediately spot water leaks, especially if they’re on vacation, for example. Customers can
request to be removed from the calling list.
A board member inquired whether Utilities can access information on what kind of water
heater a customer owns. Ms. Rosintoski replied not unless the customer has provided that
info in a survey. Ms. Smith stated she gave the consultants Census info, county records,
survey information from 1,500 customers, water and energy usage data, and other info that
customers volunteered.
A board member inquired about staff can know how to categorize and market to a customer
if they’re relying solely on voluntary and survey information. Ms. Smith replied they rely on
Census data; there’s not a lot of segmentation based on income level; rather, it’s based more
on property records.
The board member inquired whether staff will access and use customer info if a customer
calls. Ms. Smith replied that if it’s a cold call, the customer is directed to the appropriate
customer service representative based on which segment they’re in.
Broadband Strategic Plan
(Attachments available upon request)
Economic Policy & Project Manager SeonAh Kendall focuses on business retention and expansion
and gave an update on the project investigating the feasibility of offering broadband. It was funded
in the City’s 2015-16 budget. She covered objectives, options, project scope, and deliverables.
Broadband is a 1,000 MG (megabyte) service; most local residents use 25 to 50 MB.
Project objectives include gathering information and investigating 12 to 18 communities that offer
broadband, and drawing on community engagement to understand what residents want. Staff will
analyze feasibility and present findings to City Council in July and December.
Options include maintaining the status quo, policy/code changes, policy changes and right of way
options, a public/private partnership, and creating an additional utility. Citizens want to make sure
they can still get Netflix, for example, and also download health medical records, which they have
to travel down to Longmont to do that. The City of Longmont is rolling out its broadband service
now on a neighborhood by neighborhood basis. Portland is another city offering 1 GB (gigabyte)
services soon? Senate Bill (SB) 152 became law in 2005, preventing Colorado municipalities from
offering such services. Overturning the law would require approval from local voters.
Key issues to address include partnership options, market desire (would citizens be willing to pay
for broadband?), risk associated with emerging technology (Wi-Fi/10 GB is possible but require
towers to be constructed, federal/state/local legislative consideration, and discussions with Platte
River Power Authority. The project’s core team includes staff from IT, Economic Health, Utilities
finance and community engagement. Staff will publish a list of Frequently Asked Questions (FAQ)
and the consultant will assist with the community engagement education phase. Information is
posted at www.fcgov.com/broadband.
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May 7, 2015
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Discussion Highlights
A board member inquired whether broadband would be net neutral. Staff replied that it is.
Board chair Pete O’Neill left the meeting at 7:03 p.m.
A board member inquired about latency and jitter, two important characteristics to measure
besides speed in describing quality of an internet connection. Low latency and jitter are
important to support voice and video services. A brand new 100% fiber-based network using
new gear and an appropriate network architecture will have very low latency and jitter in
comparison to current generation coax and copper networks.
The City of Longmont passed a bond of $45.3 million for broadband.
A board member inquired whether upload and download capacities were both 1 GB. Ms.
Kendall replied yes.
Ms. Kendall stated there are multiple ways to offer broadband; it depends on what the
community wants. Longmont is offering $49.99 1 GB service if residents sign up within the
next six months, then bumping the rate up to $75. The rate is locked in for life if the resident
stays in the same home. Citizens wanted broadband employees vetted through City, so the
contractor brings service up to the sidewalk and a City of Longmont employee does the work if
it involves the home or anything inside the home. Denver residents pay $250 for 1 GB service.
A board member inquired who would own the modem or Wi-Fi router. Ms. Kendall stated
Longmont owns their equipment; it’s located on the outside of the home. In researching other
communities, staff saw failures, such as Provo, Utah selling its infrastructure to Google for $1.
Cost would change significantly for a city like Fort Collins with electricity lines that are more
than 99% underground.
Board Member Reports
Chairperson Pete O’Neill, Vice Chairperson Phil Friedman, and Board Member Margaret Moore
attended a meeting with consultants on Utilities’ structure. This service offered by American Public
Power Association to its members brings consultants in to make suggestions on improvements.
They wanted to know how communications work between boards, staff, and City Council, and who
drives what.
Mr. O’Neill and Mr. Friedman attended a meeting with the recruiter for a new Light & Power
director, to gather ideas and learn their point of view in representing the board, to assist in
developing qualifications and selection criteria. The recruiter specializes in executive recruitment
for cities and counties, such as Austin, Portland, and similar-sized cities. They recruited for the
City’s chief sustainability officer position.
Board Member Stacey Baumgarn reported that 18,000 customers of the Colorado State University
(CSU) Bookstore refused plastic bags and donated a nickel for each, which paid for planting five
trees on campus. It was a fun and positive spin on encouraging the decreased use of plastic bags,
which are thick and heavy plastic bags that cost 18 cents each. CSU is also finishing construction on
five solar arrays on campus, to be completed by mid-June. The arrays will produce 1.2 MW total.
CSU is a host and part of the Senate Bill (SB) 3 solar purchase program. An update on this program
is on the board’s June agenda.
New Business
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