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Home My WebLink AboutMinutes - City Council - Special - 6/18/2019 CITY OF LUBBOCK SPECIAL CITY COUNCIL MEETING June 18, 2019 11:00 A.M. The City Council of the City of Lubbock,Texas met in special session on the 18th of June,2019,at Lubbock Power& Light{LP&L}, 1301 Broadway Avenue,2nd Floor Conference Room, Lubbock, Texas at 11:00 a.m. 11:06 A.M. CITY COUNCIL CONVENED Lubbock Power& Light(LP&L), 1301 Broadway Avenue,2nd Floor Conference Room, Lubbock,Texas Present: Mayor Daniel M. Pope; Mayor Pro Tem Jeff Griffith; Council Member Juan A. Chadis; Council Member Randy Christian; Council Member Latrelle Joy; Council Member Steve Massengale; Council Member Shelia Patterson Harris; City Manager W. Jarrett Atkinson; City Secretary Rebecca Garza; City Attorney Chad Weaver This was a meeting of the Electric Utility Board. A quorum of Council Members attended and participated in discussions during the meeting in which the board and City Council considered the fallowing topics as shown below. Note: The Electric Utility Board addressed agenda items in the,followingorder: • 1.1; Executive Session; Public Comments; and 4.1-4.6. •No quorum, of the City Council, was present for all other items. 1. MINUTES 1. 1. The Board will approve the minutes from the Regular Electric Utility Board Meeting of May 21, 2019,and the Special Called Electric Utility Board Meeting of June 3,2019, Motion by Kevin McMahon, seconded by Jane Henry to approve the minutes of the Regular Electric Utility Board Meeting held on May 21,2019, and the Special Called Electric Utility Board Meeting held on June 3, 2019. Vote: 9-0 Motion carried by the Board 2. EXECUTIVE SESSION This meeting was called into a closed session at 11:09 a.m. under the provisions of Section 551,Texas Government Code. The meeting was called back into a public session at 11:58 a.m. Special City Council Meeting June 18,2019 Page 2 of 5 2. 1. Hold an executive session in accordance with V.T.C.A. Government Code § 551.086 on the following competitive matters of Lubbock Power& Light: 2. 1. 1. Discuss and deliberate generation unit specific and portfolio fixed and variable costs, including forecasts of those costs, capital improvement plans for generation units, and 17 generation unit operating characteristics and outage scheduling. 2. 1. 2. Discuss and deliberate proposals and strategies related to plans, studies,and analyses for system improvements,generation additions,or sales(other than transmission and distribution system improvements inside the service area for which LP&L is the sole certificated retail provider). 2. 1. 3. Discuss and deliberate bidding and pricing information for purchased power,generation and fuel,purchased power agreements,and related services and strategies. 2. 1. 4. Discuss and deliberate customer billing, contract,and usage information,electric power pricing information, system load characteristics, and electric power marketing analyses and strategies. 2. 1. 5. Discuss and deliberate: risk management information,contracts, and strategies, including fuel hedging and storage. 2.2. Hold an executive session in accordance with V.T.C.A. Government Code § 551.071,seeking the advice of its legal counsel about pending or contemplated litigation or settlement offers and hold a consultation with the attorney on matters in which the duty of the attorney under the Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas conflicts with Chapter 551 of the Texas Government Code ((i)Certificate of Convenience and Necessity issues, including but not limited to Public Utility Commission Docket Nos.48625,48668,48909, and 49151 related to Order issued in the Application of the City of Lubbock through Lubbock Power& Light for Authority to Connect a Portion of its System with the Electric Reliability Council of Texas, Public Utility Commission Docket No. 47576; (ii) Project to Monitor Lubbock Power&Light's Transition to ERCOT, Public Utility Commission Project No. 48113; (iii) Federal Energy Regulatory Commission, Public Service Company of Colorado and Southwestern Public Service Company, Docket No. ERI 9-675-000 and related matters; (iv)Federal Energy Regulatory Commission, Docket No. ERI 9-1727, Southwestern Public Service Company and related matters; (v) real property acquisitions and acquisitions processes; (vi) Power Purchase Agreements; (vii) legal issues related to legislative support contract;and (viii) legal issues related to statutory changes. 3. PUBLIC COMMENT -This period, of up to thirty minutes, is dedicated to citizen comments. Each citizen will have three minutes to speak. All comments must be limited to only those items posted on the Electric Utility Board agenda. Any citizen wishing to speak shall sign up on the citizen comment sheet on the day of the Electric Utility Board Meeting. The Electric Utility Board shall follow the order of citizens wishing to speak as listed on the sign-up sheet. If everyone who signed up to speak has been given an opportunity to speak and the thirty minutes designated for citizen comment has not been exhausted, the Electric Utility Board may,at its discretion, open the floor to anyone else wishing to address the Electric Utility Board, subject to all the same procedures and guidelines. No one appeared to speak. Special City Council Meeting June 18,2019 Page 3 of 5 4. REGULAR AGENDA 4. 1. EUB Resolution No.2019-R0037, an EUB resolution amending the FY 2018-19 Capital Program to amend Capital Improvement Project(CIP)#92472, Substation Rebuild—Slaton; CIP#92560, I I 5kV Line Construction—Red Raider Tap. Andy Burcham, assistant director of electric utilities, gave comments and answered questions. Motion by Greg Taylor, seconded by Kevin McMahon to approve EUB Resolution No. 2019-110037. Vote: 9 - 0 Motion carried by the Board 4.2. Lubbock City Council will consider and take action on the following matter: 4.2. 1. Ordinance No.2019-00068 approving a budget amendment,amending the FY 2018-19 Budget for municipal purposes respecting the Capital Program to amend Capital Improvement Project(CIP)#92472, Substation Rebuild—Slaton; CIP#92560, I15kV Line Construction—Red Raider Tap; providing for filing; and providing for a savings clause. Andy Burcham, assistant director of electric utilities;and David McCalla,director of electric utilities/ceo for LP&L, gave comments and answered questions. Motion by Mayor Pro Tern JeffGriffith,seconded by Council Member Shelia Patterson Harris, to approve Ordinance No. 2019-00068. Vote: 6- I Motion carried NAY: Council Member Randy Christian Note: 2nd reading of this ordinance was made on June 25, 2019 at the Regular City Council Meeting. 4.3. Presentation and discussion of the update/report by the Director of Electric Utilities,or his designee, regarding customer service, business center practices, procedures and policies,customer concerns and complaints, billing forms and procedures, status of transmission and distribution projects, and LP&L staffing and performance. David McCalla, director of electric utilities/ceo for LP&L; Todd Stocker, with TMG Consulting, Inc.; and Jason Avent,with Principle Services, LLC., gave a presentation and answered questions. Andy Burcham, assistant director of electric utilities, gave comments and answered questions, 4.4. Presentation and discussion of financial and capital statements, financing options, audits, and financial policies of Lubbock Power& Light relating to debt issuance issues, reserve account funding, cost allocation, revenue and expense projections, purchased power cost recovery factor, customer metering, tariff and billing,and service issues, Ranu Manik, financial services manager for LP&L, gave a presentation and answered questions. Special City Council Meeting June 18,2019 Page 4 of 5 4. 5. EUB Resolution No. 2019-R0038, an EUB resolution approving the Lubbock Power& Light Fiscal Year 2019-20 Operating Budget and Capital Program and making appropriate recommendations to the City Council of the City of Lubbock pursuant to §2.03.415(a)of the Code of Ordinances, City of Lubbock, Texas. Andy Burcham, assistant director of electric utilities; and Kevin McMahon, chair of the EUB finance committee, gave comments and answered questions. Motion by Jerry Bell,seconded by Don Boatman to approve EUB Resolution No. 2019-110038. Vote: 8- 0 Motion carried by the Board Other: Greg Taylor(AWAY) 4.6. EUB Resolution No. 2019-80039, an EUB resolution approving the Fiscal Year 2019-20 Electric Rate/Tariff Schedule and making appropriate recommendations to the City Council of the City of Lubbock pursuant to §2.03.415(a) of the Code of Ordinances, City of Lubbock,Texas. Andy Burcham,assistant director of electric utilities,gave comments and answered questions. Motion by Gwen Stafford,seconded by Jane Henry to approve EUB Resolution No.2019-110039. Vote: 8 -0 Motion carried by the Board Other: Greg Taylor(AWAY) 5. CONSENT AGENDA 5. 1. The Board will consider a resolution authorizing the Director of Electric Utilities,or his designee, to execute a public works contract on behalf of the City of Lubbock,acting by and through Lubbock Power& Light, with The Brandt Companies, LLC, RFP#7135-19-ELD, for LP&L Vicksburg Substation Construction Services. *This item was deleted. 5.2. The Board will consider a resolution authorizing the Director of Electric Utilities,or his designee, to execute a public works contract on behalf of the City of Lubbock, acting by and through Lubbock Power&Light, with Utility Construction Services, RFP#7138-19-ELD, for LP&L Red Raider Tap Transmission Line Construction Services. *This item was deleted. 5.3. The Board will consider a resolution authorizing the Director of Electric Utilities, or his designee, to execute a public works contract on behalf of the City of Lubbock, acting by and through Lubbock Power& Light, with Utility Construction Services, RFP# 7139-19-ELD, for LP&L Slaton Tie-in Transmission Line Construction Services. *This item was deleted. Special City Council Meeting June 18,2019 Page 5 of 5 5. 4. The Board will consider a resolution aLlthOriZing the Director of Electric Utilities to execute for and on behair of the City ofLUbbock, acting by and through Lubbock Power& Light ("LP&L") that certain Third Amendment to Government and Public Affairs Agreement, by and between LP&I, and I-lil]Co Partners, regarding; professional government and public affairs related consulting services. C) *This item was deleted. 5. 5. 'Elie Board will consider a MSOILItion authorizing l the purchasing manager, 01, his designee, to 0 execute a Purchase Order to Stuart C. Irby, RFP# 7140-19-ELD, for LP&L Oliver Substation Structures and Equipment. *This item was deleted. 5. 6. 'rhe Board will consider a resolution authorizing the Lubbock Power & LigI.- bt Purchasing Manager, or his designee, to CXMIte a revised purchase order to Valmont Utility, RFP #7149-18-ELD, LP&L'I'ransinission Line Steel Poles for Red Raider Tap. This item was deleted. 5. 7. The Board will consider a resolution authorizino, the Director oft7lectric Utilities or his deli-nee to execute a Partial Cancellation of Public Works Contract, by and between the City of Lubbock, acting by and through Lubbock Power & Light and Plaska Transmission Line Construction, LLC, for RI P# 7124-1 8-ELD, LP&L Chalker to Oliver and Thompson Transmission Line Construction Set-vices. *This item was deleted. 1:28 P.M. CITY COUNCIL ADJOURNED There being no fi-it-ther business to come before Council, the meeting was adjourned. The June 18, 2019 Special City Council Meeting minutes were approved by the City Council on the l3th day o f August, 2019. 11, ITA, MAYOR PRO T13 M ATTEST: Rcbe(-, a Garza. Cit Se, -et City Sed T *This item was discussed, by the Board, without a quorum OfCOUnCil Members present.