HomeMy WebLinkAboutMinutes - City Council - Special - 2/14/2017 CITY OF LUBBOCK
SPECIAL CITY COUNCIL MEETING
February 14, 2017
11:00 A.M.
The City Council of the City of Lubbock,Texas met in special session on the 14th of February,
2017,at Lubbock Power& Light(LP&L), 1301 Broadway-2nd Floor Conference Room,Lubbock,
Texas at 11:00 a.m.
11:07 A.M.CITY COUNCIL CONVENED
Lubbock Power& Light(LP&L), 1301 Broadway- 2nd Floor
Conference Room,Lubbock,Texas
Present: Mayor Daniel M. Pope; Mayor Pro Tem Latrelle Joy; Council Member Karen
Gibson; Council Member Jeff Griffith; Council Member Steve Massengale; City
Manager W. Jarrett Atkinson; City Secretary Rebecca Garza; City Attorney Chad
Weaver
Absent: Council Member Juan A. Chadis; Council Member Shelia Patterson Harris
Note: Mayor Tian Pope arrived during Executive Session at 11:10 a.m.
fThis was a meeting of the Electric Utility Board.A quorum of Council Members attended and
participated in discussions daring the meeting which the board considered the following topics as
i shown below.
Nate, The Electric Utility Board addressed agenda items in the following order:
•Executive Session; Public Comment; 4.1-4.5; and 5.1-5.2.
No quorum, of the City Council, was present for item 1.1.
i
1. MINUTES
1. 1. The Board will approve the minutes from the Regular Electric Utility Beard.Meeting of January
17, 2017.
This item was deleted.
2. EXECUTIVE SESSION
The meeting was called into a closed session at 11:07 a.m. under the provisions of Section
551,Texas Government Code.The meeting was called back into a public session at 12:33
z ! p.m.
3
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.
Special City Council Meeting
February 14,2017 Page 2 of 4
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
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.
2.2. 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 a matter 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) Project to Identify Issues Pertaining to Lubbock Power and Light
Proposal to Become Part of the Electric Reliability Council of Texas, Public Utility Commission
Docket No.45633; (ii)Application of Southwestern Public Service Company to Amend a CCN
for a Proposed 345-KV Transmission Line within Hale, Lubbock,Terry and Yoakum Counties,
Public Utility Commission Docket No.46042; (iii)Texas Commission on Environmental Quality
Comprehensive Compliance Investigation, Cooke Generating Station, Permit Number WQ
0001895000;and (iv)Jillian Standley v. City of Lubbock and Lubbock Power& Light, Cause No.
2016-523689-72nd District Court.)
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.
4. REGULAR AGENDA
4. 1. 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, billing
procedures and LP&L staffing and performance.
David McCalla, Director of Electric Utilities/CEO for LP&L, gave a presentation and answered
questions from the Board.
Special City Council Meeting
February 14,2017 Page 3 of 4
Andy Burcham,Assistant Director of Electric Utilities,gave comments and answered questions
from the Board.
4.2. 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, and customer service issues of Lubbock
Power&Light.
Chad Sales, Electric Utility Financial Analyst,gave a presentation and answered questions from
the Board.
4.3. Discuss and the Board will take action regarding EUB Resolution No. 2017-R0008, an EUB
resolution accepting the Lubbock Power& Light Annual Financial Report for fiscal year ended
September 30, 2016.
Andy Burcham,Assistant Director of Electric Utilities; and David Coleman, partner with BKD,
LLP., gave comments and answered questions from the Board.
Motion by Jerry Bell, seconded by Don Boatman to approve EUB Resolution No.2017-R0008,
the Lubbock Power& Light Annual Financial Report for fiscal year ended September 30,2016,
as presented.
Vote: 8-0 Motion carried by the Board
Other:James Conwright(ABSENT)
4.4. EUB Resolution No.2017-R0009,an EUB resolution authorizing the Director of Electric Utilities
to execute that certain Standard Form Market Participant Agreement, between the City of
Lubbock,acting by and through Lubbock Power& Light,as an Independent Market Information
System Registered Entity of ERCOT,and the Electric Reliability Council of Texas, Inc.
("ERCOT"),related to activities necessary to migrate a portion of LP&L's,load to ERCOT.
Richard Casner,General Counsel for Lubbock Power& Light,gave comments and answered
questions from the Board.
Motion by Don Boatman,seconded by Stephanie Hill to approve EUB Resolution No.
2017-80009.
Vote: 8-0 Motion carried by the Board
Other: James Conwright(ABSENT)
4.5. EUB Resolution No. 2017-R0010, an EUB resolution appointing the Director of Electric Utilities
to act as Authorized Representative, and the Assistant Director of Electric Utilities/Chief Financial
Officer to act as Backup Authorized Representative, of LP&L related to any submittals of any
kind to be made at ERCOT related to the migration of the ERCOT Load.
Richard Casner, General Counsel for Lubbock Power& Light, gave comments and answered
questions from the Board.
Motion by Don Boatman, seconded by Stephanie Hill to approve EUB Resolution No.
2017-80010.
Special City Council Meeting
February 14,2017 Page 4 of 4
Vote: 8 - 0 Motion carried by the Board
Other: .)arnes Conwright(ABSENT)
5. CONSENT AGENDA
Motion by Jerry Bell, seconded by Drew Tucker to approve iters 5.1-5.2.
Vote: 8 - 0 Motion carried by the Board
Other: James Conwright(ABSENT)
5. 1. EUB Resolution No. 2017-8001 1, an EUB resolution authorizing the Director of Electric Utilities
to award RFP # 7102-17-ELP, to KoneCranes, Inc-, for LP&L Production Crane Inspection,
"I'esting and Maintenance Services - Annual Pricing.
5. 2. EUB Resolution No. 2017-80012, an EUB resolution authorizing the Purchasing Manager to
execute a purchase order, RFP# 7105-17-ELD, to Virginia Transformer Corporation for LP&L 50
MVA Substation Power Transformers.
1:35 P.M. CITY COUNCIL ADJOURNED
There being no further business to corne before Council, the mecting was adjourned.
The February 14, 2017 Special City Council Meeting Minutes were approved by the City Council on
the 27th day of April, 2017.
DANIEL M. POPE, MAYOR
A'I'TEST:
Rebec a Garza, City Secretar