1 2 3 4 5 6 7  MINUTES OF THE MEETING BOUNTIFUL CITY POWER COMMISSION November21,023-8.00 a.m. Those in Attendance  OFTHE  8 Power Commission 9 Paul C. Summers, Chairman 10 Susan Becker, Commissioner 11 Dan Bell, Commissioner 12 Richard Higginson, Councilman 13 David Irvine, Commissioner 14 John Marc Knight, Commissioner 15 Jed Pitcher, Commissioner 18 Gary Davis, City Resident 19 Ron Mortensen, City Resident  Power Department Allen Johnson, Director Dave Farnes Tyrone Hansen Jess Pearce Luke Veigel Recording Secretary Nancy T. Lawrence  16 17 Visitors 20 21 22 WELCOME 23 25 27  Chairman Summers called the meeting to order at 8:00 a.m. and welcomed those in  24 attendance. Theinvocation was offered by Commissioner Becker.  26 MINUTES- October2 24,2023  Minutes of the regular meeting of the Bountiful Power Commission held October 24,  28 2023, were presented, and unanimously approved as written on ai motion made by 29 Commissioner Knight and seconded by Commissioner Becker. Commissioners Becker, 30 Bell, Irvine, Knight, Pitcher and Summers, and Councilman Higginson voted "aye".  31 33  32 BUDGET REPORT-) YEARTODATE3-MONTH PERIOD  Mr. Hansen presented a summarized Budget Report for the Fiscal Year-to-date 3-  34 Month period ending September 30, 2023. Total revenues Year-to-Date were $10,245,863 35 below its HAB by ($137,206). Major items (below) their HABS were: Electric Metered 36 Sales (EMS), by $(36,428), 0.4 percent below its HAB. This included the $600,000 37 estimate for EMS to more accurately represent the Income Statement. Air Products was 38 below its HAB with an average load factor of6 64.8%, at $(40,194); Contribution in Aidt to 39 Construction was below its HAB at $(127,844), which included the $7,000 line extension at 40 1227 Lorien Court, the $10,000 line extension at 952 E. 500 S, and the $12,000 line 41 extension at 344 S.500 W.; Sundry Revenues was above its HAB by $13,021; and Interest 42 Income on. Investments was above its HAB by $3,170. September interest allocation was  43 $54,000. 44 45  Total Operating Expenses, YTD, were $8,466,002, below its HAB by $974,901.  46 Major items (above) or below their HABs included: Power Expense was below by  Page 1 of6    (PC minutes. November 21, 2023)  $859,287; with Power Generation being under by $38,000 and Power Resources being 2 $821,000 under. Distribution Expense was above its HAB by $(14,377); Computer Expense 3 was below its HAB by $3,726; Street Light expense was below its HAB by $55,960; Meters 4 expense was below its HAB by $31,761. Other expenses above the HAB were: Credit Card 5 Merchant Fees by $(16,370); and Insurance Expense (which had been budgeted higher, but  the annual payment was still over budget) by $(35,023).  7 8 10 11 14 15  Total Capital Expenditures YTD were $102,861 and included $28,000 for the 2055 Total Labor and Benefits was $1,106,694. Asof1 16 September 2023 (the last pay  9 South Main Townhomes and $75,000: for a service truck (partial payment).  12 period paid in the YTD period), 21.4% or $1,133,520 of the TL&B could have been spent;  13 the actual TL&B was $26,827 below that target.  The Net Margin for the YTD was $1,677,001. Total Cash & Cash Equivalents were  16 anet $17,362,215 at month end, up $915,250 from $16,446,965 at 30. June 2023, and 17 $916,215 above the $16,446,000 total reserved cash requirement. Major sources and (uses) 18 ofcash at month end compared toi fiscal year-end 2023 included the net margin YTD of 19 $1,677,001 and $(427,100) increase in total accounts receivable; and decrease in total 20 Inventories, $16,134; increase in total Accounts Payable, $325,241; and decrease in  21 Accrued Benefits and Payroll, $(87,313).  22 23  Commissioner Bell noted that power costs looked much better and Mr. Hansen said  24 this was attributed to several factors - the rate increase, hedging on purchases, favorable 25 weather, and favorable hydro conditions. Following al brief discussion, Commissioner Bell 26 motioned to accept the Budget Report, as presented. Councilman Higginson seconded the 27 motion and voting was unanimous. Commissioners Summers, Becker, Bell, Irvine Knight,  28 and Pitcher and Councilman Higginson voted "aye".  29 31  30 FISCAL YEAR 2023 ANNUAL COMPREHENSIVE REPORT  Mr. Hansen presented the. Annual Comprehensive Financial Report of] Bountiful  32 City, Utah for the fiscal year ended June 30, 2023 and reported that in the auditors opinion: 33 ...the financial statements referred to above present fairly, in all material respects, the 34 respective financial position of the governmental activities, the business-type activities, each 35 major fund, and the aggregate remaining fund information ofl Bountiful, Utah, as ofJune 30, 36 2023....". He then reviewed financial highlights included in the Management's) Discussion 37 and Analysis, with specific focus on the business-type activities of the Light and Power 38 Fund. The assets and deferred outflows ofthe City exceeded its liabilities and deferred 39 inflows by $289,038,742, which includes the unrestricted net position of $98,664,560. 40 These funds may be used to meet the City's ongoing obligations to citizens and creditors, 41 which includes the City's only bonded debt obligations with an outstanding balance of  42 $7,225,000 and upon which we: maintain our bond rating.  43 44  Mr. Hansen then summarized The Changes in Net Position ofr revenues and expenses  45 noting specifically the position oft the Light and Power and made a general review oft the  Page 2 of6    (PC, minutes November. 21, 2023)  financial statements of the Proprietary Funds (including and specifically referring to Light  2 and Power funds) and the supporting Notes and Statistical Tables.  3 4 6 8  A brief discussion followed relating to the cost of the audit and the procedures used  5 ins securing the services oft the auditors. 7 POWER POLE PURCHASE APPROVAL  Mr. Pearce presented ai request to the Commissioners to purchase 75 poles (25 ea.  9 35-ft. and 50 ea. 45-ft.) to replenish inventory. He said the poles will be used for 10 maintenance and future construction projects. Delivery on the poles will be 8-10 weeks. It 11 ist the recommendation of staff to approve the single source bid from Stella-Jones (Tacoma, 12 Washington) for butt treated Western Red Cedar poles for the total sum of $83,400. He 13 noted that this bid is in line with what we expected the poles to cost. Commissioner Knight 14 made ai motion to approve the bid, as presented. Councilman Higginson seconded the motion 15 and voting was unanimous in the affirmative. Commissioners Becker, Bell, Irvine, Knight,  16 Pitcher and Summers, and Councilman Higginson voted "aye".  17 19  18 EXPLORER PURCHASE APPROVAL  Mr. Pearce reviewed that the 2023-24 budget includes the purchase ofa 2024 Ford  20 Explore, XLT, 4x4 SUV. Bids were: requested from two vendors and it is the 21 recommendation ofs staff to accept the low bid from Performance Ford Lincoln (in 22 Bountiful) of$42,641.52 with a delivery date of4-6 61 months. The overall budget for this 23 vehicle is $50,000. This vehicle will be replacing a 2000. Jeep Cherokee which will be sent 24 to auction. Commissioner Irvine made a motion to approve the recommendation of staff. 25 Councilman Higginson seconded the motion and voting was unanimous with 26 Commissioners Becker, Bell, Irvine, Knight, Pitcher and Summers, and Councilman  27 Higginson voting "aye".  28 30  29 ALTECSINGLE BUCKET TRUCK APPROVAL  Mr. Pearce explained that the Light and Power Department would like to replace an  31 existing 43-foot single bucket truck with ai new unit with an extended reach of 48 feet, which 32 will give the capability ofworking on the distribution systems more easily. This unit will be 33 mounted on a 2025 Ford 600, 4x4, diesel cab and chassis provided by Altec. He noted that 34 this unit will be used for approximately the next fifteen years and recommended that the 35 single source State bid be approved. He noted that the single source was recommended 36 because it will allow for fully functional use by the employees who work on energized lines 37 up to 46,000 volts and need to be comfortable the controls and functions oft the unit. 38 Currently most of our equipment is Altec and our employees understand how they work and 39 are comfortable with the functionality oft the overall unit. Itist the recommendation ofs staff 40 to approve the State bid from Altec Industries, Inc. for a AT48M single bucket truck at a 41 total price of $233,873 with a lead time of29 to 32 months. The price is] projected two years 42 out. Issuing aj purchase order will commit to the truck and the lead time. Commissioner 43 Bell made ai motion to approve the purchase oft the single bucket truck from Altec, as 44 presented. Commissioner Becker seconded the motion and voting was unanimous in the 45 affirmative. Commissioners Becker, Bell, Irvine, Knight, Pitcher and Summers, and  46 Councilman Higginson voted "aye".  Page 3of6    (PC minutes November 21, 2023)  ALTEC DOUBLE BUCKETTRUCK APPROVAL  2  Mr. Pearce presented the request to replace a 2005 Altec AM55 double bucket truck  3 and the current State bid contract from Altec Industries, Inc. reflects a 5-year lead time on a 4 new TA60 double bucket truck. This truck is proposed for the fiscal year 2028-29 budget 5 and has an extended 65-foot reach with an incorporated telescopic boom. It will be mounted 6 ona 2028 freightliner and used for transmission projects. Also included is a material 7 handling device for setting equipment and added storage space for tools and safety 8 equipment. The unit will be mounted on a 2028 freightliner M2 10 2x4 cab and chassis 9 provided by Altec. Altec will require a Purchase Order and no payments will be required 10 until we take delivery oft the truck. Itis the staff recommendation to approve the State bid 11 from Altec Industries, Inc. as presented, at a1 total price of $365,310 with a lead time of5 12 years. Mr. Pearce noted that Altec has a service center located in Salt Lake City and has 13 eight mobile service trucks throughout the State. Altec Industries is a viable growing 14 company that should be around well into the future. Following al brief discussion, 15 Commissioner Becker motioned to approve the recommendation ofs staff and award the bid, 16 as presented. Commissioner Irvine seconded the motion and voting was unanimous. 17 Commissioners Becker, Bell, Irvine, Knight, Pitcher and Summers and Councilman  18 Higginson voted "aye". 20 RESOURCE UPDATE  19 21 22 23 24 25 26 27 28 29 30  Mr. Johnson reported the following anticipated operation dates for generation:  Pineview December 12, 2023 Echo - November 22, 2023  Red Mesa - Pinto Line outage 11-20-23 to 12-12-23 experiencing some problems with a wiring harness. Future power options which are being considered are:  Steel Solar is expected to be operational in February 2024, however they are  The geothermal projcct through UAMPS (ncar Fallon, NV). Wc arc looking at 5  31 MW: for 25 years which would start in 2027; Freemont Solar and' batteries is a 99MW 32 resource with 50 MW ofbattery storage for 4 years. This would come on line in June, 2026. 33 The coal supply iss struggling inasmuch as the Lila Canyon mine is still not producing coal 34 and Hunter (scheduled via UAMPS), has no power scheduled from October through 35 November. The coal shortage is affecting IPP with limited deliveries by Union Pacific, 36 lower that needed deliveries from Wyoming coal. IPP has approximately 30 days of coal for 37 two units and pressures from the legislative regarding repowering are having a negative  38 impact. 39 40  The IPP legislative audit, the Jackson report, and the proposed legislative bill were  41 discussed and noted to be ai major problem for optimal use oft the IPP project. We have no 42 power recalled for Winter 2023-24, 141 MW's called back for Summer 2024. IPP is planning 43 oni running one unit through the winter months. We have the ability to put or call 4 MW's 44 for Summer 2024, we need to call back power for Sumer 2025, and Winter 2025-26. We are 45 still hopeful that IPP Renewed project can move forward and are working on the gas 46 procedures for that project. It was noted that Cindy Crane is the new CEOofPacifiCorp.  Page 4 of6    (PC, minutes November. 21, 2023)  The CFPP project has been terminated due to additional pricing costs oft the project. This 4 Thej following items were included in the packet, but not discussed. in the meeting:  2 may result in some costs to NuScale that cities may have to pay.  3 5 7 8 9 10 11 13 15  6 POWER SYSTEMS OPERATIONS REPORT  a. September 2023 Resource Reports b. October 2023 Lost Time/Safety Reports c.October 2023 Public Relation Reports d. September 2023 Outage Reports  12 2024CALENDAR  The Power Commission calendar for 2024 was approved in the October Power  14 Commission meeting, and included in this packet for information purposes. 16 Mr. Johnson presented the 2024. Power Commission schedule, noting that it follows the 17 typical fourth Tuesday for the normal meetings. He noted that he had taken in to account 18 known budget meeting schedules, and. July, December with no meeting,  19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 42  The proposed schedule is as follows:  January 23, 2024 February 20, 2024 March 26, 2024 April 16, 2024 May 28, 2024 June 25,2024 July 2024 August 27, 2024 September 24, 2024 October 22, 2024 November 26, 2024 December 2024  Tuesday - 8:00 a.m. Tuesday - 8:00 a.m. (3td Tuesday) Tuesday = 8:00 a.m. Tuesday - 8:00 a.m. (3mdTuesday - joint budget meeting with City Council, pending CC schedule confirmation) Tuesday - 8 a.m. Tuesday - 8 a.m. No PC meeting scheduled Tuesday - 8:00 a.m. Tuesday - 8:00 a.m. Tuesday - 8:00 a.m. Tuesday - 8:00 a.m. No PC: meeting scheduled  APPA National Conference June 9-12 San Diego CA UAMPS Annual Meeting Aug 18-21,2 2024 Heber, UT  December 3, 2024 IPA Annual Meeting December 18, 2024 UAMPS Annual Meeting  41 OTHER BUSINESS  Mr. Johnson gave an update on1 the Utopia fiber optic project currently underway in  43 the City, stating that it should be done in three years. Approximately 80: requests for 44 location are being done each. Century Link, the parent company, currently does not have a 45 franchise agreement and that matter is being addressed by the City. This has resulted in an  46 additional presence of Comcast as well.  Page 5of6    (PC minutes November 21, 2023)  1 3 4 5 welcome. 6 7 8 welcome. 9 11 13 14 ADJOURN 15 18 19 20 21 22 23  Thel Light and Power Department party is December 14, 2023. All Commissioners The IPA meeting is December 5, 2023 - All Commissioners are invited and The UAMPS meeting is December 13, 2023 - All Commissioners are invited and  2 are invited and welcome.  10 NEXT POWER COMMISSION 12 a.m. (There will be no meeting in December).  The next meeting oft the Power Commission will be held on. January 23, 2023 at 8:00  The meeting adjourned at 9:55 a.m. on ai motion by Councilman Bell and seconded  16 by Commissioner Pitcher. Voting was unanimous with Commissioners Becker, Bell, Irvine,  17 Knight, and Summers, and Councilman Higginson voting "aye".  Paul C. Summers,  CPha  CHAIRMAN  Page 6 of6