WEBVTT 00:00:00.000 --> 00:00:10.080 Okay, it is 902 on May 24th, so we're called to get to order the three of Denton Public 00:00:10.080 --> 00:00:12.920 Utilities Board meeting. 00:00:12.920 --> 00:00:18.560 We do have a quorum, but Mr. Rebeck is trying to get back on so you can see him. 00:00:18.560 --> 00:00:24.480 The first item is the consent agenda. 00:00:24.480 --> 00:00:25.480 Can we hear your voice? 00:00:25.480 --> 00:00:26.480 Can you speak? 00:00:26.480 --> 00:00:30.180 I know you said you wanted to pull item A, correct? 00:00:30.180 --> 00:00:31.960 Yes, ma'am. 00:00:31.960 --> 00:00:32.960 Okay. 00:00:32.960 --> 00:00:36.680 Does any other board member wish to pull an item? 00:00:36.680 --> 00:00:37.680 Item E. 00:00:37.680 --> 00:00:38.680 Yes, ma'am. 00:00:38.680 --> 00:00:39.680 E. 00:00:39.680 --> 00:00:40.680 E is an echo. 00:00:40.680 --> 00:00:41.680 E is an echo. 00:00:41.680 --> 00:00:42.680 Got it. 00:00:42.680 --> 00:00:43.680 Anything else? 00:00:43.680 --> 00:00:48.120 Alrighty then, I'm going to go ahead and try to reboot and get my video back. 00:00:48.120 --> 00:00:57.720 Okay, so then, well, first we'll approve items B, C, D, F, G, H, I. 00:00:57.720 --> 00:01:04.320 I know my elf of that, but we have a motion to approve those items. 00:01:04.320 --> 00:01:06.320 Motion to approve, move. 00:01:06.320 --> 00:01:07.320 Second. 00:01:07.320 --> 00:01:08.320 Was that you, Billy? 00:01:08.320 --> 00:01:09.320 Yes. 00:01:09.320 --> 00:01:10.320 Okay. 00:01:10.320 --> 00:01:11.320 And Barbara, second. 00:01:11.320 --> 00:01:13.040 All in favor say aye. 00:01:13.040 --> 00:01:14.040 Aye. 00:01:14.040 --> 00:01:15.040 Aye. 00:01:15.040 --> 00:01:16.040 Opposed? 00:01:16.040 --> 00:01:20.880 Why don't we take item E first, since Lee is still having an issue? 00:01:20.880 --> 00:01:21.880 Thank you, ma'am. 00:01:21.880 --> 00:01:22.880 I'll be right back. 00:01:22.880 --> 00:01:28.320 And Susan, before you go there, I think we skipped the item A on the agenda. 00:01:28.320 --> 00:01:31.080 I don't know if there's any public comment or not. 00:01:31.080 --> 00:01:35.040 Oh, oh, I am so sorry. 00:01:35.040 --> 00:01:36.040 Yes. 00:01:36.040 --> 00:01:39.040 Let's go back to that. 00:01:39.040 --> 00:01:44.560 Is there anyone on? 00:01:44.560 --> 00:01:45.560 I didn't hear you, Susan. 00:01:45.560 --> 00:01:46.560 Anybody? 00:01:46.560 --> 00:01:51.880 Is there anybody on the phone for public comment? 00:01:51.880 --> 00:01:57.040 Let's not be. 00:01:57.040 --> 00:01:58.040 Can people hear me? 00:01:58.040 --> 00:02:01.040 Billy or tech staff, are you aware? 00:02:01.040 --> 00:02:03.560 Yes, ma'am. 00:02:03.560 --> 00:02:08.280 Let us check real quick, Susan. 00:02:08.280 --> 00:02:09.280 Okay. 00:02:09.280 --> 00:02:10.280 Okay. 00:02:10.280 --> 00:02:11.280 Thank you. 00:02:11.280 --> 00:02:14.280 Thank you for reminding me. 00:02:14.280 --> 00:02:17.280 Thank you. 00:02:17.280 --> 00:02:22.280 Thank you. 00:02:22.280 --> 00:02:45.280 Thank you. 00:02:52.280 --> 00:03:06.280 , sir. 00:03:06.280 --> 00:03:28.360 Susan, we don't believe that we have anyone online, but if there is someone, we'll come 00:03:28.360 --> 00:03:29.360 back to you. 00:03:29.360 --> 00:03:31.400 But we don't believe there's anyone. 00:03:31.400 --> 00:03:32.400 Absolutely. 00:03:32.400 --> 00:03:33.400 Thank you. 00:03:33.400 --> 00:03:34.400 All right. 00:03:34.400 --> 00:03:38.040 Let's move on to item B. What was your question, Ben? 00:03:38.040 --> 00:03:39.040 Yeah. 00:03:39.040 --> 00:03:42.200 I had a couple of things. 00:03:42.200 --> 00:03:49.560 So if I understand right, Aeropur is, I guess, is that the product is basically just sprayed 00:03:49.560 --> 00:03:52.080 onto the area, correct? 00:03:52.080 --> 00:03:55.840 We have Brian Burner on the line. 00:03:55.840 --> 00:03:57.600 This is Brian Burner. 00:03:57.600 --> 00:03:58.600 Can you hear me? 00:03:58.600 --> 00:03:59.600 Yes. 00:03:59.600 --> 00:04:00.600 Okay. 00:04:00.600 --> 00:04:01.600 Yeah. 00:04:01.600 --> 00:04:02.600 Brian Burner, solid waste director. 00:04:02.600 --> 00:04:03.600 I appreciate the question. 00:04:03.600 --> 00:04:13.120 The Aeropur system is, it's what we call a low volume, high pressure system. 00:04:13.120 --> 00:04:15.800 So it's actually aspirated into the atmosphere. 00:04:15.800 --> 00:04:21.480 So it's not sprayed on like you might spray on with a spray bottle or a aerosol can. 00:04:21.480 --> 00:04:27.480 It's actually put into the air and used to capture odor molecules and destroy them. 00:04:27.480 --> 00:04:34.160 It is a sole source product and it's very effective at controlling landfill odors. 00:04:34.160 --> 00:04:35.160 Okay. 00:04:35.160 --> 00:04:41.680 So to follow up on that, what kind of environmental impact or even health impact might we expect 00:04:41.680 --> 00:04:42.680 from that? 00:04:42.680 --> 00:04:53.280 Well, based on the information we get from the manufacturer, there is minimal impacts 00:04:53.280 --> 00:05:00.880 to the surrounding community and to the environment in that, from what I understand, when it meets 00:05:00.880 --> 00:05:07.280 with the odors, it destroys them and at the end of the day, it ends up reducing itself 00:05:07.280 --> 00:05:08.920 down biologically. 00:05:08.920 --> 00:05:10.400 Okay. 00:05:10.400 --> 00:05:17.440 Finally, as I was digging through the paperwork there, documentation, it looks like there's 00:05:17.440 --> 00:05:23.400 multiple flavors of the spray, I guess what it smells like that costs different things. 00:05:23.400 --> 00:05:27.720 Is there any reason we settled on the berry flavor, which is, I think I saw that. 00:05:27.720 --> 00:05:28.720 Is that correct? 00:05:28.720 --> 00:05:35.440 I believe that is correct and again, based on the offensive net for lack of a better 00:05:35.440 --> 00:05:44.800 term, just what the odor is, while it is considered quote unquote berry flavored, it is aesthetically 00:05:44.800 --> 00:05:46.640 neutral in the area. 00:05:46.640 --> 00:05:52.040 So it's not an overwhelming, it's not like you're standing in a berry patch, mind you. 00:05:52.040 --> 00:05:54.560 It basically smells neutral in the area. 00:05:54.560 --> 00:05:55.560 Very good. 00:05:55.560 --> 00:05:56.560 Thank you. 00:05:56.560 --> 00:05:57.560 Okay. 00:05:57.560 --> 00:05:58.840 And Barbara, did you have a question also? 00:05:58.840 --> 00:06:01.560 No, I thought item A had been pulled. 00:06:01.560 --> 00:06:02.920 That's the reason I didn't say anything. 00:06:02.920 --> 00:06:10.040 I guess they said it was pulled, but Lee pulled it and he wasn't on. 00:06:10.040 --> 00:06:14.000 We couldn't see him visually, so that's why we just rearranged it. 00:06:14.000 --> 00:06:16.960 I had a question on that one. 00:06:16.960 --> 00:06:17.960 On item A? 00:06:17.960 --> 00:06:18.960 Yes. 00:06:18.960 --> 00:06:19.960 Okay. 00:06:19.960 --> 00:06:20.960 All right. 00:06:20.960 --> 00:06:22.840 Any further questions for item E? 00:06:22.840 --> 00:06:26.520 Do we have a motion to approve item E? 00:06:26.520 --> 00:06:28.880 I'll move. 00:06:28.880 --> 00:06:29.880 Thank you. 00:06:29.880 --> 00:06:30.880 And the second? 00:06:30.880 --> 00:06:31.880 Is that you, Ben? 00:06:31.880 --> 00:06:32.880 Ben, second. 00:06:32.880 --> 00:06:34.280 All in favor say aye. 00:06:34.280 --> 00:06:35.280 Aye. 00:06:35.280 --> 00:06:36.280 Aye. 00:06:36.280 --> 00:06:37.280 Opposed? 00:06:37.280 --> 00:06:38.280 Okay. 00:06:38.280 --> 00:06:39.760 Back to item A. Lee. 00:06:39.760 --> 00:06:42.920 Thank you, ma'am, for your consideration on that. 00:06:42.920 --> 00:06:52.000 It seems like everything worked this time, so the item in question was for the Archer 00:06:52.000 --> 00:06:55.960 contingent energy risk outage insurance. 00:06:55.960 --> 00:07:01.560 I would just like a little explanation, if possible, about what that is, how it works. 00:07:01.560 --> 00:07:05.920 I did read the attached materials, but I found myself a little confused as to whether it 00:07:05.920 --> 00:07:09.960 was a plus, a minus, or both. 00:07:09.960 --> 00:07:12.080 We got Terry Nolte on the line. 00:07:12.080 --> 00:07:17.880 Good morning, PUB, Terry Nolte, Assistant General Manager. 00:07:17.880 --> 00:07:23.040 I do have a quick presentation I can run through, Mr. Rybak, if that would help you. 00:07:23.040 --> 00:07:24.040 I think it would. 00:07:24.040 --> 00:07:25.040 Thank you. 00:07:25.040 --> 00:07:26.040 Okay. 00:07:26.040 --> 00:07:32.040 Let me share. 00:07:32.040 --> 00:07:39.160 Okay. 00:07:39.160 --> 00:07:43.440 Can everyone see that? 00:07:43.440 --> 00:07:44.440 Yes, sir. 00:07:44.440 --> 00:07:45.440 Okay. 00:07:45.440 --> 00:07:53.440 So, you know, basically the policy is to provide protection in the event of forced outages 00:07:53.440 --> 00:07:57.280 during the summer month when we see high prices. 00:07:57.280 --> 00:08:07.160 This is different from the property insurance that was before you at your last meeting and 00:08:07.160 --> 00:08:09.840 that the Council approved last week. 00:08:09.840 --> 00:08:17.000 Property insurance would cover the loss of the deck from a property like a storm or something 00:08:17.000 --> 00:08:21.160 like that that would actually destroy the facility or a fire. 00:08:21.160 --> 00:08:29.440 This particular type of insurance basically is a financial settlement that provides the 00:08:29.440 --> 00:08:34.400 difference between the operating costs of the generator and the market price in the 00:08:34.400 --> 00:08:38.600 event of a forced outage. 00:08:38.600 --> 00:08:46.460 So we have a requirement within the energy risk management policy to procure this. 00:08:46.460 --> 00:08:54.120 We will also be procuring similar product for the winter, January, February, and that 00:08:54.120 --> 00:08:57.640 will be done in the December timeframe. 00:08:57.640 --> 00:09:02.600 So this will be back in front of you again for the winter. 00:09:02.600 --> 00:09:08.700 So these are the types of events that the outage insurance covers. 00:09:08.700 --> 00:09:11.920 Most importantly, loss of fuel. 00:09:11.920 --> 00:09:17.040 We don't expect that in the summer, but that was obviously the issue that got us in the 00:09:17.040 --> 00:09:19.360 winter. 00:09:19.360 --> 00:09:26.440 Any type of control system failures, any type of cooling water system failures. 00:09:26.440 --> 00:09:34.820 And so the way that the policy works is there is a deductible amount. 00:09:34.820 --> 00:09:42.040 So for the first hour, we have 12 units each rated at 18.75 megawatts. 00:09:42.040 --> 00:09:48.760 We would have a deductible amount in the first hour of 18.75 megawatts before the policy 00:09:48.760 --> 00:09:50.360 would kick in. 00:09:50.360 --> 00:09:56.520 And as I said, the settlement basis is the difference between the spot hourly clearing 00:09:56.520 --> 00:09:58.800 price and established price. 00:09:58.800 --> 00:10:07.020 So in the example here, if our established price was $50 and the clearing price was $5,000, 00:10:07.020 --> 00:10:11.880 then you see what the settlement would be. 00:10:11.880 --> 00:10:19.000 The maximum payout that we're suggesting during this term is $18.5 million. 00:10:19.000 --> 00:10:27.440 The premium is $629,550 through somewhere up to as high as $800,000. 00:10:27.440 --> 00:10:33.240 And that is determined by the market on the day that we bind the coverage because it's 00:10:33.240 --> 00:10:40.200 based upon the forward price of energy for that June through September period. 00:10:40.200 --> 00:10:41.200 It is an increased issue. 00:10:41.200 --> 00:10:49.160 >> If I may, sir, so what we're looking at here, this is the typical summer, I don't 00:10:49.160 --> 00:10:53.320 know if adjustment's the right word, but insurance policy. 00:10:53.320 --> 00:10:59.420 So we will be reconsidering or you will be representing something similar for the upcoming 00:10:59.420 --> 00:11:01.720 winter later this year. 00:11:01.720 --> 00:11:03.160 >> That is correct. 00:11:03.160 --> 00:11:04.160 >> Okay. 00:11:04.160 --> 00:11:10.520 So just from my understanding, had we had such insurance in force last winter, we would 00:11:10.520 --> 00:11:14.840 have received a settlement as you describe here on this page. 00:11:14.840 --> 00:11:15.840 >> Yes. 00:11:15.840 --> 00:11:18.360 Whatever -- >> I'm sorry to interrupt. 00:11:18.360 --> 00:11:20.720 Can you pull the presentation down? 00:11:20.720 --> 00:11:23.720 >> Yes, ma'am. 00:11:23.720 --> 00:11:26.480 >> Thank you. 00:11:26.480 --> 00:11:27.480 Go ahead. 00:11:27.480 --> 00:11:28.480 >> Oh, I'm sorry. 00:11:28.480 --> 00:11:37.000 I thought you had -- yes, so Mr. Ryback, yes, so if we had had that policy in place, whatever 00:11:37.000 --> 00:11:44.920 the deductibles were, we would have obviously incurred the deductible before the payout 00:11:44.920 --> 00:11:45.920 would have occurred. 00:11:45.920 --> 00:11:50.140 But then whatever the max cap would have been, that's what we would have received. 00:11:50.140 --> 00:11:55.080 So in this particular example, had we had this policy in place, we'd have collected 00:11:55.080 --> 00:11:56.080 $18.75 million. 00:11:56.080 --> 00:11:57.080 >> Mm-hmm. 00:11:57.080 --> 00:11:58.080 >> Okay. 00:11:58.080 --> 00:12:04.120 Which obviously wouldn't have covered the total shortfall, but it would have been of 00:12:04.120 --> 00:12:05.120 some benefit. 00:12:05.120 --> 00:12:06.120 >> Correct. 00:12:06.120 --> 00:12:07.120 >> Okay. 00:12:07.120 --> 00:12:09.440 Well, this is probably why I didn't understand. 00:12:09.440 --> 00:12:13.680 I thought the insurance was for both, the winter and the summer, but this was only for 00:12:13.680 --> 00:12:14.680 the summer. 00:12:14.680 --> 00:12:15.680 Okay. 00:12:15.680 --> 00:12:16.680 So thank you for the clarification. 00:12:16.680 --> 00:12:17.680 I appreciate it. 00:12:17.680 --> 00:12:18.680 >> No problem. 00:12:18.680 --> 00:12:19.680 >> Any other questions? 00:12:19.680 --> 00:12:22.320 >> And, Barbara, you had a question. 00:12:22.320 --> 00:12:23.320 Correct. 00:12:23.320 --> 00:12:26.200 >> Well, that -- I just wanted to hear that explanation. 00:12:26.200 --> 00:12:27.200 That was my question. 00:12:27.200 --> 00:12:28.200 >> Okay. 00:12:28.200 --> 00:12:30.920 And then, Billy, you had your hand up. 00:12:30.920 --> 00:12:37.800 And Terry, the question is, what is outstanding, what would not be covered, what kind of outage 00:12:37.800 --> 00:12:47.380 would not be covered? 00:12:47.380 --> 00:12:49.040 >> Pretty much covers anything. 00:12:49.040 --> 00:12:53.880 I'm trying to think of something, Mr. Chief, but I can't think of anything that would not 00:12:53.880 --> 00:12:54.880 be covered. 00:12:54.880 --> 00:12:58.400 We try to write the policies as broadly as possible. 00:12:58.400 --> 00:13:05.960 I guess, you know, a force majeure event could -- you know, a tornado or something that destroyed 00:13:05.960 --> 00:13:09.640 a unit might not be covered. 00:13:09.640 --> 00:13:16.440 But again, we've tried to keep it as broad as possible in order to include as many things 00:13:16.440 --> 00:13:18.040 as we possibly can. 00:13:18.040 --> 00:13:19.040 >> Okay. 00:13:19.040 --> 00:13:27.520 Of course, I'm sure the insurance company is pretty well versed with our air permit, 00:13:27.520 --> 00:13:31.200 so they're aware of what our limitations are there, too. 00:13:31.200 --> 00:13:32.200 >> Yes, sir. 00:13:32.200 --> 00:13:37.560 There's an exhaust of due diligence process that we go through with the policy -- with 00:13:37.560 --> 00:13:42.960 the carriers on this particular insurance coverage. 00:13:42.960 --> 00:13:48.240 It takes us -- you know, they review all of our outage information, all of our permit 00:13:48.240 --> 00:13:55.640 information, our maintenance history, all that before they offer the premium for the 00:13:55.640 --> 00:13:57.800 policy. 00:13:57.800 --> 00:13:58.800 >> Okay. 00:13:58.800 --> 00:13:59.800 Thank you. 00:13:59.800 --> 00:14:00.800 >> Other questions? 00:14:00.800 --> 00:14:01.800 All right. 00:14:01.800 --> 00:14:05.520 Do we have a motion to approve item A? 00:14:05.520 --> 00:14:08.840 >> I move approval. 00:14:08.840 --> 00:14:09.840 >> Seconded by Lee. 00:14:09.840 --> 00:14:11.840 All in favor, say aye. 00:14:11.840 --> 00:14:12.840 >> Aye. 00:14:12.840 --> 00:14:13.840 >> Opposed? 00:14:13.840 --> 00:14:17.960 Earlier, I forgot to mention that we are pulling the work session item. 00:14:17.960 --> 00:14:23.640 They are not prepared with everything for today, so before we go into items for individual 00:14:23.640 --> 00:14:27.160 consideration, I wanted to have that item pulled. 00:14:27.160 --> 00:14:33.680 And also we have a closed session that is available to us only if we have somebody who 00:14:33.680 --> 00:14:39.800 has questions on item B. So will somebody have any questions on the hedge plan for item 00:14:39.800 --> 00:14:40.800 B? 00:14:40.800 --> 00:14:41.800 Okay. 00:14:41.800 --> 00:14:46.560 I see none, so we don't need to go into a closed session. 00:14:46.560 --> 00:14:47.560 Okay. 00:14:47.560 --> 00:14:49.560 Items for consideration. 00:14:49.560 --> 00:14:54.880 First item is consider approval of the May 10th minutes. 00:14:54.880 --> 00:14:56.080 And Katherine, I wasn't there. 00:14:56.080 --> 00:14:57.480 Do I just vote, or do I -- 00:14:57.480 --> 00:14:58.480 >> Abstain. 00:14:58.480 --> 00:14:59.480 >> Abstain. 00:14:59.480 --> 00:15:00.480 Abstain. 00:15:00.480 --> 00:15:01.480 Thank you. 00:15:01.480 --> 00:15:02.480 All right. 00:15:02.480 --> 00:15:08.000 Do we have a motion to approve the minutes of May 10th? 00:15:08.000 --> 00:15:09.520 >> I move. 00:15:09.520 --> 00:15:10.520 >> Okay. 00:15:10.520 --> 00:15:11.520 Thank you. 00:15:11.520 --> 00:15:12.520 Mr. Rybak, second? 00:15:12.520 --> 00:15:13.520 Billy's a second. 00:15:13.520 --> 00:15:14.520 All in favor, say aye. 00:15:14.520 --> 00:15:19.520 >> Aye. 00:15:19.520 --> 00:15:24.320 >> Now abstain. 00:15:24.320 --> 00:15:25.320 Okay. 00:15:25.320 --> 00:15:30.160 Item B. Consider recommending the adoption of an ordinance for the City Council of the 00:15:30.160 --> 00:15:37.400 City of Denton, Texas, repealing Ordinance Number 2420, approving and adopting the 2021 00:15:37.400 --> 00:15:40.760 Denton Municipal Energy Risk Management Policy. 00:15:40.760 --> 00:15:47.080 Confirming authority as approved in the 2021 ERMP, authorizing and approving the subsequent 00:15:47.080 --> 00:15:54.000 execution of such ancillary and related documents, including without limitation contracts, nominations, 00:15:54.000 --> 00:16:00.600 certificates, assignments, licenses, directions, instruments, confirmations, orders, and statements 00:16:00.600 --> 00:16:06.760 as are authorized by the 2021 ERMP, which are incident to or related there to confirming 00:16:06.760 --> 00:16:13.200 that the City of Denton, Texas, its Mayor, its City Council members, its City Manager 00:16:13.200 --> 00:16:19.360 or designees, its City Attorney or designees, and the City Secretary or designees are authorized 00:16:19.360 --> 00:16:23.920 to perform such acts and obligations as are reasonably required to consummate the future 00:16:23.920 --> 00:16:29.480 transactions which are provided for and authorized by the 2021 ERMP. 00:16:29.480 --> 00:16:33.480 Finding that the purchase of electricity, natural gas, and related commodities and instruments 00:16:33.480 --> 00:16:36.880 are exempt from the requirements of competitive bidding. 00:16:36.880 --> 00:16:41.160 Finding that the purchase of electric energy, natural gas, and related commodities and instruments 00:16:41.160 --> 00:16:47.800 made by the City under the terms of the 2021 ERMP are in the public welfare of the citizens 00:16:47.800 --> 00:16:53.080 and electric rate payers of the City, authorizing the expenditure funds, therefore providing 00:16:53.080 --> 00:16:56.040 an effective date. 00:16:56.040 --> 00:16:57.600 Item B, who's presenting? 00:16:57.600 --> 00:17:02.080 We have Smith Day, who's going to go through a very short presentation. 00:17:02.080 --> 00:17:05.200 Thank you. 00:17:05.200 --> 00:17:08.200 Good morning, TV. 00:17:08.200 --> 00:17:17.800 That's quite a handful, but let me let me get to the presentation screen here so I can 00:17:17.800 --> 00:17:20.000 share that. 00:17:20.000 --> 00:17:33.360 And away we go, hopefully, you can all see that. 00:17:33.360 --> 00:17:52.480 Okay, a couple weeks ago, I promised we'd be back for the conclusion of this item. 00:17:52.480 --> 00:17:57.960 We introduced it, we had questions and answers, you've had it in your hands. 00:17:57.960 --> 00:18:02.240 And just to recap real quick, we didn't want to belabor this too long. 00:18:02.240 --> 00:18:06.160 What we're asking today is your recommendation to approve this. 00:18:06.160 --> 00:18:13.160 Again, to reiterate, the 2020 version of the risk policy was introduced and explained. 00:18:13.160 --> 00:18:14.620 This is an annual thing. 00:18:14.620 --> 00:18:17.560 We've had this policy for many years. 00:18:17.560 --> 00:18:20.520 We update it every year. 00:18:20.520 --> 00:18:23.400 We try to continuously improve it. 00:18:23.400 --> 00:18:33.760 The policy is designed to give a governance structure for the operation of the hedging 00:18:33.760 --> 00:18:40.920 and financial portfolio for the energy costs of DME. 00:18:40.920 --> 00:18:46.040 So it's pretty straightforward. 00:18:46.040 --> 00:18:52.280 The plan, again, to recap, the policy changes for 2021 are largely driven by the hedge plan. 00:18:52.280 --> 00:18:57.520 So the hedge plan is connected to the policy, the policy is, of course, connected to the 00:18:57.520 --> 00:19:02.560 risk committee, the risk committee is connected to the BUB, et cetera, on up to the council. 00:19:02.560 --> 00:19:10.920 So what we had to do was make adjustments for accommodate the changes in the hedge plan. 00:19:10.920 --> 00:19:13.760 We did that to this risk policy. 00:19:13.760 --> 00:19:23.160 The other big change was to remove the outage insurance from EMO authorized products to move 00:19:23.160 --> 00:19:25.040 that over to city risk and legal. 00:19:25.040 --> 00:19:31.880 And that was done as a decision to keep that area traditional. 00:19:31.880 --> 00:19:36.880 And that's really the risk area of whether we have a tornado that blows the building 00:19:36.880 --> 00:19:37.880 down. 00:19:37.880 --> 00:19:40.760 That's a different policy than the one Terry just explained. 00:19:40.760 --> 00:19:46.440 And what we're doing today is just simply asking for you to recommend approval so we 00:19:46.440 --> 00:19:53.080 can move forward with our 2021 version of our risk policy. 00:19:53.080 --> 00:19:57.560 Lee, you have a question. 00:19:57.560 --> 00:19:59.320 Yes, I do. 00:19:59.320 --> 00:20:04.320 One of the things I read in this ordinance and the attached materials had to do with 00:20:04.320 --> 00:20:07.080 noncompetitive pricing. 00:20:07.080 --> 00:20:11.600 Now I'm assuming that's because the utilities you're connected to, you're connected to, 00:20:11.600 --> 00:20:12.600 and that's that. 00:20:12.600 --> 00:20:16.720 But I would like to at least ask for some clarification. 00:20:16.720 --> 00:20:22.640 Is that something that I'm looking at, Catherine, is that something that we can answer? 00:20:22.640 --> 00:20:23.640 Okay. 00:20:23.640 --> 00:20:24.640 Yes, sorry. 00:20:24.640 --> 00:20:25.640 Yep. 00:20:25.640 --> 00:20:26.640 Thank you. 00:20:26.640 --> 00:20:30.960 Can you direct me to the area specifically? 00:20:30.960 --> 00:20:31.960 Was it in the policy? 00:20:31.960 --> 00:20:32.960 Do you have that? 00:20:32.960 --> 00:20:35.920 Oh, you're going to make me reread this? 00:20:35.920 --> 00:20:39.520 No, it's a big policy. 00:20:39.520 --> 00:20:40.520 I've got it here though. 00:20:40.520 --> 00:20:41.520 It is a big policy. 00:20:41.520 --> 00:20:48.240 I think what Lee was asking about, captive shipper is our noncompetitive pricing. 00:20:48.240 --> 00:20:51.680 Correct, Smith? 00:20:51.680 --> 00:20:52.680 Which one? 00:20:52.680 --> 00:20:53.680 I'm sorry? 00:20:53.680 --> 00:20:54.680 He was referring to... 00:20:54.680 --> 00:20:57.240 Exempt from the requirements of competitive bidding. 00:20:57.240 --> 00:20:59.600 That was what I was asking about. 00:20:59.600 --> 00:21:00.600 Oh, I'm sorry. 00:21:00.600 --> 00:21:03.720 So that's the products that are exempt, right? 00:21:03.720 --> 00:21:11.800 So under the statutory framework of Texas, there are certain exemptions to the public 00:21:11.800 --> 00:21:13.320 procurement laws. 00:21:13.320 --> 00:21:15.200 Energy is one of them. 00:21:15.200 --> 00:21:19.760 One of the big reasons that energy is exempted is because it's a real time product. 00:21:19.760 --> 00:21:26.920 There's no way you can go through a multi-week procurement process when you need that energy 00:21:26.920 --> 00:21:27.920 right this minute. 00:21:27.920 --> 00:21:34.480 And that was a great example, was the tropical winter storm, Yuri. 00:21:34.480 --> 00:21:39.400 So winter storm, Yuri, we needed tremendous amounts of excess power. 00:21:39.400 --> 00:21:40.960 We needed it right then, right there. 00:21:40.960 --> 00:21:44.960 So you really have to go procure it on the spot. 00:21:44.960 --> 00:21:49.800 And that's why the exception exists in the statute. 00:21:49.800 --> 00:21:50.800 Okay. 00:21:50.800 --> 00:21:51.960 Well, thank you. 00:21:51.960 --> 00:21:52.960 Again, I read it. 00:21:52.960 --> 00:21:57.800 I was like, why would it be exempt and that it makes sense for connected utilities? 00:21:57.800 --> 00:22:03.880 Power, obviously power and gas and the crisis situation you're procuring in real time. 00:22:03.880 --> 00:22:07.640 Again, I just wanted to ask the question for clarification. 00:22:07.640 --> 00:22:08.640 Thank you. 00:22:08.640 --> 00:22:09.640 Yes, sir. 00:22:09.640 --> 00:22:11.680 Thank you. 00:22:11.680 --> 00:22:13.240 Any other questions? 00:22:13.240 --> 00:22:15.120 All right. 00:22:15.120 --> 00:22:18.760 Do we have a motion to approve item B? 00:22:18.760 --> 00:22:23.360 Okay, Ben is moving in. 00:22:23.360 --> 00:22:24.360 Barbara is seconding. 00:22:24.360 --> 00:22:26.360 All in favor say aye. 00:22:26.360 --> 00:22:27.360 Aye. 00:22:27.360 --> 00:22:28.360 Opposed? 00:22:28.360 --> 00:22:30.400 That one carries. 00:22:30.400 --> 00:22:36.400 Item C. Thank you. 00:22:36.400 --> 00:22:40.320 Consider recommending the adoption of an ordinance for the City of Denton, the Texas Home Rule 00:22:40.320 --> 00:22:45.680 Municipal Corporation, authorizing the city manager or their designee to execute a public 00:22:45.680 --> 00:22:50.880 works contract with the Mountain Creek of Texas LLC for the construction of the Hickory 00:22:50.880 --> 00:22:56.560 Creek Interceptor Phase 1 and 2 project, providing for the expenditure of funds there for and 00:22:56.560 --> 00:23:04.960 providing for an effective date ISB 7252 awarded to Mountain Cascade of Texas LLC and the not 00:23:04.960 --> 00:23:09.200 to exceed amount of 7,534,784.25. 00:23:09.200 --> 00:23:25.800 If you'll give us a second, we have Tracy back with a couple of projects. 00:23:25.800 --> 00:23:27.800 If you could unmute Tracy. 00:23:27.800 --> 00:23:28.800 Yes. 00:23:28.800 --> 00:23:29.800 You're muted. 00:23:29.800 --> 00:23:30.800 There we go. 00:23:30.800 --> 00:23:31.800 I saw that. 00:23:31.800 --> 00:23:32.800 Just couldn't click hard enough. 00:23:32.800 --> 00:23:33.800 Thank you. 00:23:33.800 --> 00:23:34.800 Good morning, everybody. 00:23:34.800 --> 00:23:45.440 Let me share my screen with you and let me know if you can see. 00:23:45.440 --> 00:23:56.960 Excellent. 00:23:56.960 --> 00:23:57.960 All right. 00:23:57.960 --> 00:24:01.760 This morning, I'm going to speak to you about the Hickory Creek Interceptor Phases 1 and 00:24:01.760 --> 00:24:02.760 2. 00:24:02.760 --> 00:24:08.280 It's a construction award for an interceptor that's got some longevity on it. 00:24:08.280 --> 00:24:10.000 So we're excited today to bring this to you. 00:24:10.000 --> 00:24:11.000 Excuse me, Tracy? 00:24:11.000 --> 00:24:12.000 Yes, sir. 00:24:12.000 --> 00:24:13.000 We need that full screen, please. 00:24:13.000 --> 00:24:14.000 Oh, let's see. 00:24:14.000 --> 00:24:20.440 Oh, goodness, thank you. 00:24:20.440 --> 00:24:28.080 It's not working. 00:24:28.080 --> 00:24:29.080 One minute, please. 00:24:29.080 --> 00:24:32.080 We've got technical. 00:24:32.080 --> 00:24:36.000 Fantastic. 00:24:36.000 --> 00:24:37.000 Thank you. 00:24:37.000 --> 00:24:38.000 Very good. 00:24:38.000 --> 00:24:40.360 I apologize for that. 00:24:40.360 --> 00:24:41.360 My name is Tracy Beck. 00:24:41.360 --> 00:24:45.800 I'm the project manager for this project. 00:24:45.800 --> 00:24:49.960 The project scope and purpose, a little bit of background about this project is it's approximately 00:24:49.960 --> 00:24:52.640 13,000 linear feet. 00:24:52.640 --> 00:24:57.800 It's about two and a half miles ranging from approximately I-35 to the north, south to 00:24:57.800 --> 00:24:59.840 US-377. 00:24:59.840 --> 00:25:05.800 The purpose is because the project, the existing sewer line is under capacity, and it was built 00:25:05.800 --> 00:25:13.120 in the 1980s, and we've got a benefit to adding from a range of 30 to approximately 54 inch 00:25:13.120 --> 00:25:19.360 pipes to relieve the capacity needs. 00:25:19.360 --> 00:25:24.800 The schedule for this project recently is the advertisement took place in March 14th 00:25:24.800 --> 00:25:27.360 of 2021. 00:25:27.360 --> 00:25:30.200 We had a design amendment to address some items. 00:25:30.200 --> 00:25:36.280 We went through pre-bid, and now we're into the solicitation, passed the solicitation, 00:25:36.280 --> 00:25:40.840 and we went into the award and open bid. 00:25:40.840 --> 00:25:47.040 The bid response summary includes six applicants. 00:25:47.040 --> 00:25:52.680 The lowest bid using the invitation for bid, the IFB, also known as the low bid process, 00:25:52.680 --> 00:25:58.280 was granted to the Mountain Cascade of Texas for approximately $7.1 million. 00:25:58.280 --> 00:26:07.600 The OPCC, or the engineer's opinion of probable cost, was approximately $9.5 million. 00:26:07.600 --> 00:26:12.440 Staff's recommendation for this particular project is to award the project to Mountain 00:26:12.440 --> 00:26:15.240 Cascade Construction Company. 00:26:15.240 --> 00:26:20.240 In addition to the contract amount, staff has also added a 5% contingency that's outside 00:26:20.240 --> 00:26:27.160 of the actual contract that allows staff to work with a change board and other groups 00:26:27.160 --> 00:26:33.160 to review the change orders, if any, and approve those in turn. 00:26:33.160 --> 00:26:37.200 The project does have funding, and the project funding sources are from the Wastewater Project 00:26:37.200 --> 00:26:39.840 Funds. 00:26:39.840 --> 00:26:42.840 With that, I'd be glad to answer any questions you may have. 00:26:42.840 --> 00:26:46.440 Can you take the presentation down, please? 00:26:46.440 --> 00:26:47.440 Thank you. 00:26:47.440 --> 00:26:48.440 You sure can. 00:26:48.440 --> 00:26:49.440 Thank you. 00:26:49.440 --> 00:26:50.440 Go ahead, Barbara. 00:26:50.440 --> 00:26:58.920 Is there any penalty for not finishing on time, if it has to be extended? 00:26:58.920 --> 00:27:01.160 No, ma'am. 00:27:01.160 --> 00:27:04.840 Lee, go ahead. 00:27:04.840 --> 00:27:08.560 I have a question about the contingency. 00:27:08.560 --> 00:27:10.400 I noted it's 5%. 00:27:10.400 --> 00:27:12.760 Is that typical for projects? 00:27:12.760 --> 00:27:14.920 Yes, sir. 00:27:14.920 --> 00:27:20.920 Staff has worked through legal to make sure that we have an opportunity to use a changeboard 00:27:20.920 --> 00:27:23.280 program, which we didn't have about a year ago. 00:27:23.280 --> 00:27:28.240 So we will review those with finance and other departments to make sure that what we're approving 00:27:28.240 --> 00:27:35.840 has passed through the review of all the departments, and it's standard on all CIP projects going 00:27:35.840 --> 00:27:36.840 forward. 00:27:36.840 --> 00:27:37.840 Okay. 00:27:37.840 --> 00:27:38.840 Thank you. 00:27:38.840 --> 00:27:39.840 And I have a question. 00:27:39.840 --> 00:27:47.360 I know this has been in the works for a very long time. 00:27:47.360 --> 00:27:54.840 What's the difference between what the engineering estimate was versus how it came in? 00:27:54.840 --> 00:27:56.360 I mean, that's almost $2 million. 00:27:56.360 --> 00:28:00.680 Are we confident something wasn't missed in the bidding process? 00:28:00.680 --> 00:28:03.040 We've reviewed it, and we didn't see anything that was missed. 00:28:03.040 --> 00:28:07.960 There's a change in the time of when the bids were estimated, as well as the companies are 00:28:07.960 --> 00:28:10.280 also doing business in the local city. 00:28:10.280 --> 00:28:11.520 They've been on other projects. 00:28:11.520 --> 00:28:14.680 So they're a little bit closer to town. 00:28:14.680 --> 00:28:17.440 So it's going to be more advanced. 00:28:17.440 --> 00:28:19.320 Okay. 00:28:19.320 --> 00:28:22.920 Any other questions? 00:28:22.920 --> 00:28:26.880 Do we have a motion to approve this item? 00:28:26.880 --> 00:28:29.200 Barbara moved. 00:28:29.200 --> 00:28:30.200 And Lee seconded. 00:28:30.200 --> 00:28:32.000 All in favor say aye. 00:28:32.000 --> 00:28:33.000 Aye. 00:28:33.000 --> 00:28:34.000 Aye. 00:28:34.000 --> 00:28:35.000 Aye. 00:28:35.000 --> 00:28:37.840 We're going to move item E ahead of item D. 00:28:37.840 --> 00:28:45.440 Mr. Cheek is going to have to recuse himself on item E, so we'll have him do that and come 00:28:45.440 --> 00:28:46.920 back in for concluding items. 00:28:46.920 --> 00:28:49.840 So go ahead with management reports, Tony. 00:28:49.840 --> 00:28:50.840 Okay. 00:28:50.840 --> 00:28:55.640 So Madam Chair and members of the board, we have on here, the first item we have is a 00:28:55.640 --> 00:29:00.920 memo from finance regarding the upcoming CO bond sale. 00:29:00.920 --> 00:29:06.700 If there's any questions that you have regarding that memo, they'll be happy to walk you through 00:29:06.700 --> 00:29:11.160 any question and certainly we have staff from the utilities available as well. 00:29:11.160 --> 00:29:15.640 Are there any questions on the go ahead. 00:29:15.640 --> 00:29:17.720 I have a quick question. 00:29:17.720 --> 00:29:21.640 In looking through the list, there were some items in the bond and some items not in the 00:29:21.640 --> 00:29:22.640 bond. 00:29:22.640 --> 00:29:26.400 And I was curious what drives that having never seen one of these before. 00:29:26.400 --> 00:29:27.400 So you wouldn't mind. 00:29:27.400 --> 00:29:28.400 Yeah. 00:29:28.400 --> 00:29:32.800 Well, what I could tell you specific to DME, obviously, and we had originally planned to 00:29:32.800 --> 00:29:40.960 issue about 61 and a half million dollars worth of CEOs to fund projects as we started 00:29:40.960 --> 00:29:47.080 to go through that list again, some projects are delayed or we've kind of rethought the 00:29:47.080 --> 00:29:48.080 amount that we needed. 00:29:48.080 --> 00:29:52.080 And so there's just a reprioritization that happens every year. 00:29:52.080 --> 00:29:53.240 And so that's what's happened here. 00:29:53.240 --> 00:30:00.080 I'll be honest with you regarding DME specifically, we were very, very cognizant of the upcoming 00:30:00.080 --> 00:30:05.080 debt burden that our repairs are going to have and so we made a conscious effort to 00:30:05.080 --> 00:30:08.080 reduce and delay some of these projects. 00:30:08.080 --> 00:30:13.080 And so that's the difference and I'm sure that on the water and wastewater side, it 00:30:13.080 --> 00:30:16.040 was the same type of process that they went through as well. 00:30:16.040 --> 00:30:22.620 So it's not uncustomary that there's a divergence from what we originally had in the CIP adopted 00:30:22.620 --> 00:30:28.360 budget to what we ultimately end up going to sell primarily because of delays in some 00:30:28.360 --> 00:30:29.360 of these projects. 00:30:29.360 --> 00:30:30.360 Very good. 00:30:30.360 --> 00:30:31.360 Thank you. 00:30:31.360 --> 00:30:34.360 I was curious and I appreciate your explanation. 00:30:34.360 --> 00:30:35.360 Yes, sir. 00:30:35.360 --> 00:30:39.640 Okay, if there's no other questions on that, the next item that we have for you is just 00:30:39.640 --> 00:30:41.720 the future agenda items. 00:30:41.720 --> 00:30:45.400 Obviously, the name of the game here is budget, budget, budget, right? 00:30:45.400 --> 00:30:53.040 And so we will be coming to you starting on June 14th, I believe, and the finance group 00:30:53.040 --> 00:30:56.040 has already been working with the utilities on putting budget presentations together and 00:30:56.040 --> 00:31:03.400 budgets together and you'll be seeing those over the course of the next couple of months. 00:31:03.400 --> 00:31:09.920 And then finally, the last item that we have for you is just a recap of new business action 00:31:09.920 --> 00:31:10.920 items. 00:31:10.920 --> 00:31:12.400 These are the same two items that are on there. 00:31:12.400 --> 00:31:18.080 I did want to just simply inform you of two other items that aren't on here. 00:31:18.080 --> 00:31:26.020 The first one had met with the chair and she's requested a legislative wrap up on all these 00:31:26.020 --> 00:31:31.300 bills that may be going into effect, that may be impacting our utilities. 00:31:31.300 --> 00:31:35.560 We're going to plan to do that probably sometime in July. 00:31:35.560 --> 00:31:40.760 And then obviously the legislature is still meeting, this is the last week that bills 00:31:40.760 --> 00:31:45.440 can come out of committee to the full legislative body. 00:31:45.440 --> 00:31:51.440 So it's near the end and so hopefully we'll have resolution on many of those items. 00:31:51.440 --> 00:31:55.400 And then the only other item that I'll mention to you is I believe June 14th, and again, 00:31:55.400 --> 00:32:01.160 this is pending council direction tomorrow, but I believe June 14th will be our first 00:32:01.160 --> 00:32:07.260 basically hybrid meeting where we're going to have some of you here in the work session 00:32:07.260 --> 00:32:08.260 room. 00:32:08.260 --> 00:32:12.960 And I think a couple of you have asked that you continue to work virtually, and so there'll 00:32:12.960 --> 00:32:14.800 be a little bit of a hybrid approach to that. 00:32:14.800 --> 00:32:17.840 But again, that's pending council direction tomorrow. 00:32:17.840 --> 00:32:22.360 Once we have that, we'll certainly get that out to the board and all our other committees 00:32:22.360 --> 00:32:23.560 as well. 00:32:23.560 --> 00:32:27.160 So with that, I'll be happy to answer any questions that you may have on any of those 00:32:27.160 --> 00:32:28.160 items. 00:32:28.160 --> 00:32:29.160 Go ahead, Lee. 00:32:29.160 --> 00:32:35.040 Tony, just a quick comment since I'm new to the board and the process. 00:32:35.040 --> 00:32:41.600 I was wondering if during that first meeting we could get, if you will, a high level, sketchy 00:32:41.600 --> 00:32:47.160 overview of the budget process, how it works before we dive into all the details. 00:32:47.160 --> 00:32:49.040 Yes, sir, we could do that. 00:32:49.040 --> 00:32:52.280 I'm looking at Cassie Ogden, our director of finance, she says she'll be happy to get 00:32:52.280 --> 00:32:54.400 that to you. 00:32:54.400 --> 00:32:55.680 Okay. 00:32:55.680 --> 00:32:56.680 Thank you. 00:32:56.680 --> 00:32:58.320 Yes, sir. 00:32:58.320 --> 00:33:00.360 All right. 00:33:00.360 --> 00:33:06.160 Then we'll go into item D. Billy, you want to recuse yourself from this one? 00:33:06.160 --> 00:33:11.800 Consider recommending the adoption of an ordinance of the city of Denton, a Texas home roll municipal 00:33:11.800 --> 00:33:16.880 corporation authorizing the city manager or their designee to execute a contract with 00:33:16.880 --> 00:33:23.120 Jago Public Company for the construction of the 2020 Street Bundle Sector 2 project with 00:33:23.120 --> 00:33:25.600 geographical limits as follows. 00:33:25.600 --> 00:33:30.840 North Texas Boulevard from West Oak Street to Eagle Drive, Stella Street from South Bonnie 00:33:30.840 --> 00:33:36.400 Bray Street to North Texas Boulevard, Chestnut Street from the Welsh Street to Bernard Street, 00:33:36.400 --> 00:33:40.640 and Welsh Street from Fannin Street to Collins Street providing for the expenditure of funds 00:33:40.640 --> 00:33:48.160 therefore in providing for an effective date CSP 7582 awarded to Jago Public Company in 00:33:48.160 --> 00:33:57.960 the not to exceed amount of $5,044,681. 00:33:57.960 --> 00:33:58.960 You're muted. 00:33:58.960 --> 00:34:06.480 Dusty, maybe if you put your mic down a little bit, maybe. 00:34:06.480 --> 00:34:09.400 How about now? 00:34:09.400 --> 00:34:10.400 Can you hear me now? 00:34:10.400 --> 00:34:11.400 All right. 00:34:11.400 --> 00:34:12.400 There we go. 00:34:12.400 --> 00:34:13.400 Hold on. 00:34:13.400 --> 00:34:14.400 My name is Dustin Draper. 00:34:14.400 --> 00:34:15.400 Good morning. 00:34:15.400 --> 00:34:17.400 As I said, I will be bringing you the 2020 Bundle Sector 2. 00:34:17.400 --> 00:34:28.920 Let me bring in my presentation real quick. 00:34:28.920 --> 00:34:48.040 Again, good morning, this is the 2020 Street Bundle Sector 2 award for construction contract. 00:34:48.040 --> 00:34:53.920 My project overview is it's basically a roadway project with water and wastewater upgrades. 00:34:53.920 --> 00:34:59.280 My extents, as you can see on the map, are Stella Street from Bonnie Bray to North Texas, 00:34:59.280 --> 00:35:09.400 North Texas Boulevard from Oak all the way to Eagle, Chestnut Street, and Welsh. 00:35:09.400 --> 00:35:15.960 The method used in the proposal for this bid was a competitive sealed proposal, CSP. 00:35:15.960 --> 00:35:17.280 This bid is a little different than most. 00:35:17.280 --> 00:35:18.720 What you see is a low bid. 00:35:18.720 --> 00:35:25.160 The proposal is sent out to projective bidders, they place a proposal back and then they are 00:35:25.160 --> 00:35:30.440 scored in according order to make sure that we're not only getting the lowest bid, but 00:35:30.440 --> 00:35:34.400 we're also getting the best quality of construction out of our contractors. 00:35:34.400 --> 00:35:37.280 As you can see from my chart, there was four sent out. 00:35:37.280 --> 00:35:44.200 Those companies were Jago Public, Texas Bid, Seamen Construction, and Reliable Paving. 00:35:44.200 --> 00:35:48.760 As you can see, the categories are ranked in total score of 100 from everything from 00:35:48.760 --> 00:35:55.220 the price to safety record, schedule and written plan, quality and reputation, and key personnel. 00:35:55.220 --> 00:36:02.800 As you see in these categories right here, Jago Public does win a bid at a 76.05 as the 00:36:02.800 --> 00:36:05.320 most responsible and lowest bid. 00:36:05.320 --> 00:36:09.720 It's one of the things where, so to speak, the traditional low bid, you always get a 00:36:09.720 --> 00:36:15.800 low price, but you don't necessarily get the quality of contractor or work that you want 00:36:15.800 --> 00:36:17.840 to get. 00:36:17.840 --> 00:36:22.600 My project schedule is, this was prepared at the time this was, job was decided to be 00:36:22.600 --> 00:36:23.600 designed. 00:36:23.600 --> 00:36:28.280 It was current staffs that time, at IDEO at that time, to design it in-house. 00:36:28.280 --> 00:36:30.620 The in-house design was completed in February 2021. 00:36:30.620 --> 00:36:35.280 Of course, I'm taking it for y'all's approval today on May 24th. 00:36:35.280 --> 00:36:39.480 Council award hopefully on June 8th, pending y'all's decision today. 00:36:39.480 --> 00:36:47.440 Staffs proceed on June 21st and my construction complete in June of 2021, or sorry, June 21 00:36:47.440 --> 00:36:48.760 of 2022. 00:36:48.760 --> 00:36:53.800 The staff's recommendation is to authorize the approval of the contract with Jago Public 00:36:53.800 --> 00:37:03.960 and to not to exceed the amount of $5,044,681 with the 5% TGS traits explained in the earlier 00:37:03.960 --> 00:37:04.960 slide. 00:37:04.960 --> 00:37:05.960 Any questions? 00:37:05.960 --> 00:37:11.320 Well, I just want to say for clarification, the reason why this is coming for us is because 00:37:11.320 --> 00:37:12.320 of the water. 00:37:12.320 --> 00:37:13.320 Yes, ma'am. 00:37:13.320 --> 00:37:18.840 The reason why it's on there, it's a roadway project and there are, due to, yeah, due to 00:37:18.840 --> 00:37:21.840 aging infrastructure, there are water and wastewater needs that need to be replaced 00:37:21.840 --> 00:37:22.840 on these roads. 00:37:22.840 --> 00:37:23.840 Yeah. 00:37:23.840 --> 00:37:24.840 And that's why it's before us. 00:37:24.840 --> 00:37:25.840 Yes, ma'am. 00:37:25.840 --> 00:37:27.160 Normally, a road project would not come here. 00:37:27.160 --> 00:37:30.640 It just, we have some new members and just want to clarify. 00:37:30.640 --> 00:37:31.640 All right. 00:37:31.640 --> 00:37:34.480 Do I, do we have any questions on the project? 00:37:34.480 --> 00:37:37.840 Yes, Barbara, first. 00:37:37.840 --> 00:37:41.420 Go ahead, Barbara, I'm sorry. 00:37:41.420 --> 00:37:48.640 I just wanted to ask, I noticed that the design work was done in-house and I'm sure that 00:37:48.640 --> 00:37:51.600 is more cost-effective for the city. 00:37:51.600 --> 00:37:59.680 Is the reason more isn't done in-house because they're that busy or what's your criteria 00:37:59.680 --> 00:38:01.640 for going outside? 00:38:01.640 --> 00:38:07.280 Primarily, everybody likes to go outside because of the availability of the deal. 00:38:07.280 --> 00:38:11.400 We have a limited number of engineers here with inside the city that can draw on design 00:38:11.400 --> 00:38:12.400 prints. 00:38:12.400 --> 00:38:16.080 It is, even though you are correct, it is more cost-effective design. 00:38:16.080 --> 00:38:18.520 There is no way that we could design every project in-house. 00:38:18.520 --> 00:38:20.520 We just don't have enough staff. 00:38:20.520 --> 00:38:24.760 It also can be done a lot quicker by outside entities because they have the ability to 00:38:24.760 --> 00:38:29.120 have 10 or 12 engineers working on it as opposed to just one. 00:38:29.120 --> 00:38:30.120 Sure. 00:38:30.120 --> 00:38:31.120 Okay. 00:38:31.120 --> 00:38:32.120 Thank you. 00:38:32.120 --> 00:38:33.120 We appreciate it as much. 00:38:33.120 --> 00:38:34.120 Thank you. 00:38:34.120 --> 00:38:35.120 No problem. 00:38:35.120 --> 00:38:37.920 Lee, I think you had a question. 00:38:37.920 --> 00:38:41.160 Yes, I have a curiosity question. 00:38:41.160 --> 00:38:52.480 The company that selected J-Go public, their safety record score was reasonably low. 00:38:52.480 --> 00:38:59.200 And then, of course, the reliable commercial safety record was zero, which I was a little 00:38:59.200 --> 00:39:00.200 surprised at. 00:39:00.200 --> 00:39:05.320 Is there any particular reason that the selected company's safety record is a little bit lower 00:39:05.320 --> 00:39:06.560 than one might hope? 00:39:06.560 --> 00:39:07.560 Yes, sir. 00:39:07.560 --> 00:39:08.560 There is. 00:39:08.560 --> 00:39:09.560 Okay. 00:39:09.560 --> 00:39:12.520 As these criteria are graded, they are also graded by the information and the proposal 00:39:12.520 --> 00:39:14.180 that you supply. 00:39:14.180 --> 00:39:19.480 If you leave a portion out or you don't give all the information that was asked, you have 00:39:19.480 --> 00:39:20.600 to be scored accordingly. 00:39:20.600 --> 00:39:24.320 That's why some will get a zero because they didn't submit as much information or all the 00:39:24.320 --> 00:39:30.460 necessary information as the lower ones, some of them rank, some of them don't. 00:39:30.460 --> 00:39:33.520 It depends on how well you answer in the proposal. 00:39:33.520 --> 00:39:34.520 Okay. 00:39:34.520 --> 00:39:39.480 So it wasn't something related to like some kind of safety record report from the insurance 00:39:39.480 --> 00:39:40.480 industry or something. 00:39:40.480 --> 00:39:42.920 It's just on the documentation they provide. 00:39:42.920 --> 00:39:43.920 Yes, sir. 00:39:43.920 --> 00:39:45.280 Oh, very good. 00:39:45.280 --> 00:39:46.520 And just wanted to comment. 00:39:46.520 --> 00:39:54.560 I think this CSP process does beat the pants off a little bit only, so good on you guys. 00:39:54.560 --> 00:39:56.040 Yes. 00:39:56.040 --> 00:39:57.040 Thank you. 00:39:57.040 --> 00:39:58.040 All right. 00:39:58.040 --> 00:39:59.040 Any other questions? 00:39:59.040 --> 00:40:02.720 Do we have a motion to approve item D? 00:40:02.720 --> 00:40:03.720 Okay. 00:40:03.720 --> 00:40:05.760 I'll leave right back. 00:40:05.760 --> 00:40:06.760 Seconded by Barbara Russell. 00:40:06.760 --> 00:40:08.760 All in favor say aye. 00:40:08.760 --> 00:40:09.760 Aye. 00:40:09.760 --> 00:40:10.760 Aye. 00:40:10.760 --> 00:40:11.760 Aye. 00:40:11.760 --> 00:40:12.760 Okay. 00:40:12.760 --> 00:40:13.760 Motion carries. 00:40:13.760 --> 00:40:22.240 Let me, let Billy know that we're done. 00:40:22.240 --> 00:40:23.240 Okay. 00:40:23.240 --> 00:40:28.160 Then the final item is concluding items. 00:40:28.160 --> 00:40:37.800 Does any board member wish to have something added to the agenda or make any comments? 00:40:37.800 --> 00:40:41.160 Let's wait just for a second for Billy to come back in case he has something. 00:40:41.160 --> 00:40:42.160 Yes, Lee. 00:40:42.160 --> 00:40:43.160 Go ahead. 00:40:43.160 --> 00:40:44.160 Just a comment. 00:40:44.160 --> 00:40:50.720 I know Tony and Terry have talked a little bit about adding some meteorological muscle 00:40:50.720 --> 00:40:57.880 to the team at the DME, and I understand the benefits thereof, and I think Tony appropriately 00:40:57.880 --> 00:41:02.200 points out that there is a cost impact there for the long term. 00:41:02.200 --> 00:41:09.160 One thing I would like to ask is if there's some consideration of hiring a meteorological 00:41:09.160 --> 00:41:16.520 service that could provide alerts, updates, forward forecasting information. 00:41:16.520 --> 00:41:18.960 Is that something that's being looked at as well? 00:41:18.960 --> 00:41:19.960 Absolutely. 00:41:19.960 --> 00:41:26.560 100%, Mr. Rybak, we're actually having those conversations currently, and we'll be happy 00:41:26.560 --> 00:41:29.440 to speak with you a little more when we bring the budget to you. 00:41:29.440 --> 00:41:30.920 Oh, very good. 00:41:30.920 --> 00:41:34.660 I was just curious about it because it's come up at a couple of our sessions, and the thought 00:41:34.660 --> 00:41:39.280 had occurred to me in the meantime that maybe a service would be having nothing or having 00:41:39.280 --> 00:41:41.460 a person on staff. 00:41:41.460 --> 00:41:43.720 That's exactly the conversation we're having, sir. 00:41:43.720 --> 00:41:44.720 Okay. 00:41:44.720 --> 00:41:47.720 Thank you. 00:41:47.720 --> 00:41:52.360 Well, any other questions? 00:41:52.360 --> 00:41:57.200 I was waiting for Billy to hop back on, but maybe he's not going to. 00:41:57.200 --> 00:41:58.840 Okay. 00:41:58.840 --> 00:42:02.840 He just texted me that he has no concluding items, so there we go, but we have a motion 00:42:02.840 --> 00:42:03.840 to adjourn. 00:42:03.840 --> 00:42:06.680 Oh, there he is. 00:42:06.680 --> 00:42:12.440 He came back to adjourn, okay? 00:42:12.440 --> 00:42:13.640 Okay. 00:42:13.640 --> 00:42:14.640 Motion to adjourn. 00:42:14.640 --> 00:42:15.640 So moved. 00:42:15.640 --> 00:42:16.640 Okay. 00:42:16.640 --> 00:42:17.640 I second it. 00:42:17.640 --> 00:42:18.640 All right. 00:42:18.640 --> 00:42:19.640 We're concluded at 944. 00:42:19.640 --> 00:42:20.640 Thank you, everybody. 00:42:20.640 --> 00:42:21.640 Thank you. 00:42:21.640 --> 00:42:22.640 Thank you. 00:42:22.640 --> 00:42:22.640 Bye.