all the March 26 2018 public utility board meeting to order
we have work
session three items and work session to begin with so let's
go ahead and get
started on those
just item a is going to be to receive a report and hold a
discussion and give
staff direction regarding the use of unbudgeted capital
project funds for
stormwater drainage projects so mr. chairman and pb members
my name is Tony
point I'm the director finance for the city thank you for
having me tonight
first of all let me just say that over the last several
months really beginning
back in August we had a lot of staff internal meetings to
go over all the
city's CIP programs including those that are geo funded and
as a result of many
of those discussions we were able to identify shortfalls as
well as some
savings and a number of other issues throughout the city's
financial system
that allowed us to aggregate dollars from projects they
hadn't been so it
hadn't been completed so there's just been a whole team
effort over the last
several months on that front and so so this particular item
was one of those
items that we were able to identify back in January of this
year late January
30th this year we did meet with the 2014 bond oversight
committee to go over the
specific projects that were included in the 2014 bond
program we also included
projects from the 2012 and even for the 2005 to make some
recommendations to
them regarding the funding for those projects and so what
we're gonna I'm
gonna go over to with you today will be specific to those
drainage projects so
what I want to cover real quick with you is the 2014 geo
bond programs that are
pertaining to drainage projects the shortfall and that we
've identified in
those projects so what it would take to get those projects
fully completed and
fully funded I'm gonna go through also as well through the
history of the
drainage division division and the associated drainage fee
which is really
where some of these proposed the proposal we're gonna make
to you today
where where the money is coming from to get these parts
completed and then
finally just go ahead and discuss with you just the status
of where the money's
coming from which is the channel rehab funds so the 2014
bond program included
a number of projects that are listed here I think many of
those you're
familiar with I will say that the pecan Creek drainage
project is a project that
we feel is fully funded and so there is no shortfall in
that project there is
so an associated project that not listed here for phase
three and four of that
project and we've identified funds previously with the
council to fully
fund that particular project thing the design work on that
is an in in process
this particular project is specific to pecan Creek phase
phase two and that is
located west of Locust to Prairie so again in identifying
these projects with
the bond oversight committee we found that these projects
were there was a
shortfall for mingo and a hinkle drainage as you know that
was a major
project that both the bond oversight committee and also the
associated blue
ribbon committee had identified we and we estimate that the
shortfall for that
project is approximately 1.9 million dollars the following
three projects
you'll see that Oak Street was not a project listed
previously but we've
aggregate we've put together we've combined these three
projects and we've
called them now the drainage downtown drainage projects
felt that that was a
an aspect of that of those projects that need to be
completed as well and that's
to some degree contributed to some of the shortfall but the
shortfall for
those three projects we've estimated at four hundred
seventy thousand dollars the
total shortfall that we want to discuss with you today is
two point three
almost two point four million dollars really quickly the
drainage fee the
drainage fee was adopted actually back in 2002 prior to
that in 2001 the city
had to recognize and adopt the municipal drainage utility
system act in order to
be able to to set that particular fee so that fee was
established by ordinance
2002 019 back in 2002 I will tell you that that fee and the
associated
schedule has not changed since 2002 that has remained and I
've provided in your
backup the establishing ordinance and that has continued
through the 2017 rate
ordinance that was adopted last year in conjunction with
the city's budget and
also with the with the wastewater fund in particular the
intended use of those
drainage dollars was to cover the O&M component of not just
the drainage but
also the watershed protection that was in existence at that
time also associated
general obligation debt that had been issued and was
outstanding and also some
additional debt that was subsequently issued after that
time out of the
wastewater fund as revenue bonds and so I'll be able to
kind of walk you through
any questions you have on that but I will tell you that
this is the final
year of debt service on the geo bond debt we anticipate
that the remaining
wastewater bonds are scheduled they're scheduled to be paid
off in 2022 so what
you've seen and the backup that I provided you you've seen
a decrease in
that annual debt service that has contributed to some of
the money that's
been transferred over to both capital projects and
specifically to the channel
rehab funds the other component as well is that over the
years there's been some
additional work that has that the watershed protection
group has
undertaken one of those is mosquito abatement those are
those costs are
allocated to the general fund so the general fund has
actually increased his
contribution to to that particular operation and that's
also resulted in
some of the additional revenue that has gone into our
capital project program
just really quickly approximately 5.5 million over the last
10 years has been
transferred to to this drainage channel rehab account 1.7
million has been
utilized in various drainage projects and as of February of
this year we had
approximately 4.1 million dollars that 4.1 million dollars
in the 1718 CIP have
not been budgeted there are a number of projects that staff
is anticipating
bringing forward to the PUB and also the City Council for
consideration to be
funded out of that 4.1 million but again we anticipate that
that will continue to
grow even beyond potentially those specific projects and so
what we're
proposing today for you is to to allocate 2.2 million or to
authorize 2.2
million from this drainage channel account that is unbudget
ed to be utilized
to fund the gap of those projects that were included 2014
bond program again
those are drainage projects we feel that they are very
appropriate to be to be
funded from this particular source and again we don't
anticipate that using
these funds in this particular manner will have any
negative impact on any
anticipated projects to be brought forward to you for the
2019 and 2020 CIP
program so just in just in wrapping up we're requesting the
use of 2.2 million
dollars from the drainage rehab fund to be used on these
particular projects
that will be included in a wider budget amendment that we
're anticipating to
bring forward to the council tomorrow that we identify a
number of other
funding sources for a number of other projects beyond these
drainage projects
for council's consideration and so we did want to let you
know we did not bring
that budget amendment to you as an individual item because
it'll be
included in a much wider budget amendment so that really
kind of wraps up my my
presentation to you be happy to answer any questions I know
we have some folks
here from from drainage as well so if you have specific
questions about those
projects be happy to go through that with you.
What accounts for the shortfall in the Magnolia Hinkle
drainage project that's
a significant shortfall? Chad let me ask Chad he's our
drainage engineer.
I'm I'm Chad Allen I'm the deputy city engineer I think it
's it was listed in
the AIS there's increased construction costs over the years
we're seeing very
high construction costs more than 10% a year inflation on
construction costs and
when that budget was originally put together they did not
foresee that also
I think previously when establishing those budgets we might
not have been
conservative enough as we should have been so we might not
have used higher
contingency numbers as high as we should we might we may
not have included that
all aspects of the project like design or inspection so we
're much better
nowadays about trying to predict when we're going to go to
construction and
then escalating our costs up to that date and that might
not have been done so
well in the past. Okay thank you. Well I want to follow up
on that is a lot of
concrete in here is that because is that the main material
that you're using for
these drainage projects because I know that's just yes
there's a shortage well
it's not really street concrete that's not really shown on
the AIS and the
numbers you're looking at but there's big concrete box cul
verts that are putting
into Hinkle and all of that storm drain cost has increased
like it's like we
said we've been seeing 10 to 12 percent a year over the
last three to five years
so and the original estimate was put together what year?
Approximately? Not so sure about that. Between 2010 and
2012. Okay all right all right thank you.
Was it a completion time problem? I mean so if it was
budgeted or bid or
estimated in 2012 and approved in a 2014 bond and here it
is 2018 it's not done
so is that that's definitely a part of it. I think that's
fair and one of the
things that we've done over the last six or eight months is
go back all the way
to the 2005 bond package cleaned out all those projects as
well as everything in
2012-14 lifted them up on the spreadsheets in trying to
balance the
remaining bond programs I think we're there on 99% of the
programs now but
you're absolutely correct the time value of money is
definitely been a
major obstacle for us and so a couple of things that we're
doing at this point is
making sure that we're trying to get up to a point where we
've got plans on the
shelf before we meet with the bond committees in the future
and we've also
just recently gone through a pretty exhaustive RFQ process
where we've
pre-qualified a number of engineering firms within seven
different areas so
we're able to get these projects designed and on the street
quickly and
not lose that 1% cost that we're seeing every month in the
escalation of these
projects. Okay and so you feel like those changes will help
us complete the
project with these additional budgeted funds in a time
where we won't have to
come back and ask for more? I mean it's your question is
right on in terms of
having these projects you know estimated and then waiting
four or five six years
to get them constructed you know they've got to go back to
re-engineer
everything make sure the designs are up to speed and with
the construction
estimate the cost that we're seeing escalating right now
many of our
projects have been you know several hundred thousand
dollars short plus so I
do think that the improvements that Chad and Todd Estes our
city engineer
working on are gonna have a major impact moving forward.
Thank you. Other questions?
This is for Tony I guess. So the drainage fees that we see
on our utility
bill have been funding this account that this money is
going coming out of is that
correct? That's correct. And I notice you said there's no
impact on 2019-2020
capital improvement programs for drainage what about
because we normally
look five years out on that is that do we anticipate other
debt are we gonna
have enough money to fund these out of fees going forward
do you think? Well I
think that you know there's certainly some opportunities
here now with with
this capacity to potentially fund some additional bond
issues if we wanted to
do that and maybe get some of these additional projects out
the door
certainly I think over the next couple of months we'll be
having those
discussions coming back to you with a recommendation in
that area in
conjunction with the wastewater budget.
Okay I guess at some point in time we'll determine if we've
done all the all the
drainage projects and wastewater projects we need that day
ever comes I
don't know. Pretty staggering numbers. Yeah you know at
some point in time I
know this was when this was in act put in place in 2002 I
know it was kind of
first time it ever been done so it's not first of all it's
nice to see that it's
actually going towards projects as opposed to debt service
that's that's
good to see so hopefully these things can be we can manage
it where there's a
lot of revenue funded projects in the future for these
things. Any other
questions comments? So Mr. Chairman we are asking for for
direction from the PUB to
move forward again we are planning to have this same
discussion with the City
Council tomorrow night not just specific to these drainage
projects but all the
projects that are included in the in the bond program. Okay
so everybody
understand the request? Do we need a motion? It's not
actually an action item.
It's not an action motion you just need direction. I'm
comfortable in using those funds to finish these projects.
Me too. All right I think you've you've got our all the
head nods. Thank you.
Okay item B is to receive a report, hold a discussion and
give staff direction
regarding a proposed rate reduction for residential solid
waste customers. So Mr.
Chairman and members of the PUB a lot of good news tonight
for you. First of all
before I begin I do want to acknowledge you know all the
hard work that our
staff at the solid waste department have done over the last
several months in
particular you know Mr. Ethan Cox is our director over that
area and also you know
Dr. Kenny Banks both as well as a number of financial staff
members that have been
involved throughout that process have been doing a lot of
work. You've seen
over the last several months a number of items that have
come through you to you.
Changes that we've made to specifically the capital
improvement program but also
some operating changes as well. I think all of that has
been a culmination in
getting us to where we are today and and the recommendation
that we want to
discuss with you this evening. So just really quickly you
know our
recommendation to you will be to decrease the residential
rates an amount
of 12%. They're listed there for you you can see that both
the standard and large
carts will be reduced by that amount and just request that
come in. We anticipate
that that if approved tomorrow by the City Council tonight
by you and tomorrow
by the City Council that that will go into effect for those
for those meters
that are actually rare actually for the billings that go
out on the 28th of
March so those will be kind of the first cycle we call
cycle 19. So the bills that
are due April 1st will be the bills that will actually have
that reduced rate. Just
really quickly for a standard cart if you know if this is
approved and goes
into effect we anticipate about a $20 savings in total for
that six six month
period. That's about $40 per year on a standard cart. If
you're on a large cart
service that's going to be about 23 almost $24 over that
six month period or
about $47 almost $48 that our residential customers will
see. And again
that will be an immediate impact. So I do want to cover
with you some of the
staff efforts that have gone on that resulted in this
recommendation today as
well as changes to our capital plan and debt service. What
that means for the
particular funds reserves and working capital and what the
budget impact will
be for this for the rest this year for 17-18. Finally we'll
cover just cover
quickly some next steps and also just what the general
impact is of this of
this rate decrease in the context of our of our projections
. So speaking about
staff efforts over the last several months so we've done a
business unit
realignment in preparation for a new management study and
also cost of
service. We'll talk a little bit more about that with you
to just better align
what those service streams and revenues are as well as the
expenditure
expenditures. We've revised a capital program and and also
the budget process
and so there's a multi-step review through the department
that was a
recommendation if you remember from one of the consultants
we're trying to make
sure that our staff out there are involved and engaged in
the review of
programs and costs that are happening out in the solid
waste department so that
so that we can appropriately vet those programs and efforts
that may be going
on. I want to make sure that we strengthen our business
case and
financial analysis that goes on with this particular
programs one of the
changes that was made recently this was before mr. Springer
left all the
finance all the finance individuals staff members that are
in the utilities
now report to the city's director finance and so there is
that additional
layer and oversight that really hadn't been there
previously. Again we continue
to work very closely with with our staff members in the
operating department but
many of those discussions happen in tandem with our finance
group as well.
So for the CIP over the next five years that's CIP and you
'll see that coming to
you as well as part of the proposed budget for you when we
come back to you
we've been able to reduce that over the five years by 12.2
million dollars.
There's a number of projects one of those projects that
comes to mind is the
mining project if you remember that project was discontin
ued and so that
contributes to this 2.2 million dollars. In addition these
changes
have resulted in no debt issuances for 17-18 for the
current year or 18-19 and
so there's associated annual debt service savings from that
that are now
being stripped out of the financial forecast for that
particular fund. So the
reduced debt service expense over the next six years we
anticipate that that
would be 13.4 million dollars based on what we know today
and what's being
planned and what will come forward to you and you can see
that over that that
time horizon that I've listed up here where those savings
are and what those
in those years and so those are associated reduced debt
services that's
the annual debt service. So again this is an immediate rate
decrease you see right
here on the right hand side my left your right that we
think that this reduction
this total percent reduction still keeps this fund very
very healthy. We have
minimum fund balance requirements of 14 percent of budget
expenses and a
maximum of 18 and we're well above those those reserves
even even today. Again
we'll be coming back to you with some additional
recommendations in the near
future. So the growth in reserves is due to decrease debt
service again you go
had already echoed that for you. There'll be some
additional savings from some
operating changes that we're making certainly as we get
back our cost of
service and our management study there may be some
additional changes as well
that they have O&M impacts for that particular fund. So
just here just side
by side we've provided to you what the adopted budget was
when it was adopted
at the end of last year and then what the what we currently
project would be
that particular budget or what we anticipate spending at
the year of eight
fiscal year 17-18. You'll see that we do as a result of
some of the changes that
we've made in the capital program in particular the mining
we didn't just
strip out those related expenses but there were also some
assumptions on
revenues that we've also had to pull out and so that so
there's been changes on
both sides of this equation and then the total expenses
have been reduced by about
four point three million dollars again we anticipate some
drawdown in in that
fund balance but again staying well above the even the 18
percent maximum
that set for that particular fund. This 12 percent
translates to approximately a
six hundred thousand dollar revenue so about 1.2 million
full years that's six
hundred thousand for if it was implemented now mid-year.
Some financial
considerations that we just wanted to pose to you that we
've discussed
internally and just let me just quickly say to you that
this we believe that
this is a first step in in in the recommendation that we're
bringing to
you we anticipate over the next three to four months when
we come back to you the
possibility of some additional rate reductions potentially
both in
residential but also in some of our other classes. So in
doing this 12 percent
reduction again major consideration is to make sure that we
're staying within
those reserve targets of 14 to 18 percent. We also wanted
to make sure that
we safeguarded that fund we do have our wholesale revenue
that makes about two
million dollars we want to make sure that we that that we
have a better
understanding through our cost of service of what potential
impacts could
come to that particular source again two point two million
dollars is a
significant amount for that fund and then finally we've not
made any
recommendations to you today regarding commercial rates we
do anticipate that
there may be some changes there as well it's the largest
revenue stream for that
particular fund and so we want to be cognizant of the fact
that that we're
providing to you a conservative reduction today and and
come back to you
with a much more in-depth discussion about rates in total
once we have more
information from our cost of service and also our
management study. So next steps
is again we'll staff will be reviewing this management
study in addition to
that we'll be conducting a market study for all our rates
to make sure we
understand what we're able to do with those rates in
particular wholesale and
some of these large commercial rates that we have and then
finally we'll be
bringing back to you as part of the proposed budget
potential additional
rate decreases associated with with all these efforts we
anticipate that first
presentation to be for the PAB and the council be in early
summer so you know
we're just around the corner. You know council members of
the PAB that's that
wraps up my presentation I've covered a lot I'd be happy to
stand for any
questions again we have Ethan Cox here and if there's any
specific questions on
that operation we'll be able to provide those responses to
you. I don't have a
question but I have a comment I applaud you for going
through and doing cost
reductions and saying to have a rate decrease now not
waiting until next year
because it's our citizens money and it's not our money so I
applaud you for doing
that.
Questions? I mean I'll second that. That's pretty
incredible I mean 12%
decrease in rates is pretty incredible to find that kind of
operating
efficiency and that's that you're gonna be applauded for
that so and I'm gonna
I'm gonna hold you to it that there's more reductions to
come right? I guess I
do have a question you didn't reduce it even more because
the reserves are like
you said significantly above the 18% but I think that's pr
udent because you're
you're going through this whole commercial review too and
then once
you're done with that I think we'll have a more
comprehensive picture to then
tighten that up even a little bit better too. Yes ma'am
that is the plan. Thank you.
Any other questions? So you're I guess you're basing some
of the future
reductions on that the cost of service study for the
commercial rates will come
in and we will be able to reduce those as well I mean you
're not foreseeing
that we're undercharging them and somehow we won't be able
to offer that
reduction to our residential. Yeah our preliminary review
of those rates is
that there is opportunities to potentially lower those as
well.
Very good. I don't think anybody's gonna be against
reducing rates. Well and just
let me say to you Mr. Chairman that we do have you know
this particular
discussion as well with the City Council tomorrow there is
a an agenda item for
you tonight in individual consideration to amend the
current rate ordinance
and reflect these particular reductions now. Good very good
. Thank you Tony.
Appreciate it. Okay item C is to receive a report, hold a
discussion and give
staff direction regarding current city facilities and how
to proceed with
planning for future space needs regarding the Denton
Service Center
traffic operations building and storage facility located at
651 Mayhill Road.
Thank you Mr. Chairman, members of the PUB Mario Kanazaris,
assistant city manager.
I wanted to present some information to you that was given
to City Council back
in mid February about some existing space needs that we had
our service
center along with our transportation operations building
and some solutions
that we were proposing to utilize to help offset some of
those space needs
and the reason we're bringing it to to the PUB is because
it does affect
utility operations along with solid waste and so I'm going
to go through a
number of slides and let you see what we're proposing and
the assumptions
behind those proposals. So to give you a brief overview
with the presentation just
to give you some history of why we're here some of the
issues that were being
addressed again the space needs that we have in our
operations at the service
center and also at traffic operations. The assumptions that
were used
originally through our previous analysis, some of the
options that we're
utilizing to solve some of the issues that are being
presented, the financial
implications and Mr. Puente is here to to be able to answer
some of the
specifics if the PUB has those questions and then what we
believe will help
improve our overall overall operations along with customer
service that it
affects our community and our constituents and then some
next steps.
To give you an overview of the service center campus I've
outlined here in
yellow the campus itself is approximately 46 acres in size
it's an
industrial area off at Mingo Road I believe the PUB before
before I started
with the organization I had its meetings over there so you
should be relatively
familiar with with this building and and then the overall
campus.
Procurement materials management is housed there our fleet
services
operations are housed there we also have a number of areas
where we continue we
where we house our our fill and dirt materials so that can
be utilized for
our drainage and our street operations so again just to
keep kind of give you
an overview of the location which we're talking about the
two areas the two
buildings that we're covering this evening and it was
covered with City
Council was the the the first one we're going to be
covering is a service center
here in the on the I guess your top top left my right here
on the screen on the
on the left side and then the traffic operations here on
the opposite side of
of the screen there and again to give you some history the
service center was
built back in 1980 the traffic operations was the building
itself was
built in the 60s over time the the service center has been
renovated or
expanded slightly over the last number of years to give you
some statistics
about the city of Denton it was much smaller back then back
in 1980 when it
was constructed and as you can see the sizes of our
community now and it's
certainly much larger these numbers were from 2016 and as
you can also see just
the amount of square mileage that the city has expanded
over the years we we've
expanded three three times the size of our community since
this facility was
opened and then the most glaring issue is a fact that back
in 1980 we house a
little over a hundred employees and now we're certainly
double that 250 somewhat
employees now are our house there and and I would imagine
that as during
seasonal activity or during the summer months there's
probably additional
employees there especially at the parks department because
of the amount of
activities happening in and around the summer months of the
calendar year the
first facility wanted to cover was a service center as
again I was mentioned
it was built in 1980 it's been updated over the last number
of years 250
employees operate from that location it's very cramped
there's no room for
growth in existing configuration it's somewhat poorly
configured you all
familiar with it when you walk into the lobby it's not the
most user-friendly
location there's no one to greet you if you look behind the
the first wall
behind the stairs there's restroom facilities there it's
also it also has
shower facilities so if you can imagine the public walks in
and we don't have a
lot of public that utilize that facility but we do have
contractors
consultants that come in to do business there to have
meetings etc and so when
you walk in if you use restroom facilities you're greeted
with you know
your traditional restroom facilities also shower facilities
and so it does
create some awkwardness if field employees are utilizing
those
facilities if been out in the field working in a very muddy
dirty
environment and they're needing to clean off rinse off and
you're also
intermingling with folks from the public utilizing restroom
so not the ideal
situation so if so again just the current configurations of
spaces it's
not the most configured appropriately some previous
assumptions that we use
that to do some space needs back in 2015 2016 the city had
hired a
consultant to do a series of space needs analysis for the
entire organization
from City Hall to City Hall East to City Hall West our fire
stations etc
and one of these was for a service center and one of the
considerations
that was discussed was potentially having an annexed a
service center annex
on the southwest side of town close to fire station 7 near
Bonnie Bray and in
vintage and the idea behind it was to help move some of the
operations to that
location again as a city continued to grow but the cost of
those of that
facility was in a neighborhood of 21 to 22 million dollars
for 40,000 square feet
and so that would require bond issuance it would be years
in the making and so
at that time through a change of administration with the
new city manager
coming on board late in January the conversation was
resurrected as to what
options could we utilize to allow for better utilization of
our existing
space but also try to meet the needs of our staff as it
continues to grow and
again so here the last number of months we viewed a lot we
've analyzed all the
spaces that we have in the city knowing that trying to
build a 21 to 22 million
dollar facility or potentially more depending on as as mr.
Allen mentioned
about the cost of inflation would be higher in current
dollars what could we
do to better utilize existing spaces and some of that space
may be hiding in
plain sight so what we decided to do is look at the
existing service center and
I'll show you a slide here of what we decided to do and is
look utilizing the
existing service center and looking at materials management
as an opportunity
where if we have the option of moving materials management
out of the service
center could we utilize that vacant space and reconfigure
it into office
space and so what you have here before you basically are a
snapshot of the the
site layout the interior site layout of the service center
the first and second
floor and the bottom floor where it says materials
management is just under
30,000 square feet and again that is a warehouse operations
that is where where
departments are issued supplies from just from poles and
equipment for P for
DME and other types of cable to pipe fittings pipes blue
jeans it depends I
mean it's a it's a variety of things that are issued and
distributed at our
materials management warehouse but it does occupy about 40%
of our square
footage of the first floor of the service center and so
knowing that we
have some operations or some facilities and DME or excuse
me a DME at solid
waste we felt like we could potentially move that
operations over and just
wanted to show you here some photos of the existing service
center and just to
cramp nature in which our operations are being housed in
and and I don't need to
go through every single one of these pictures but but so
some of you that are
familiar with with the facility we have some of our parks
facilities and all the
other operations facility where they've been very been very
creative and
incorporating every single nook and cranny so they can
whether it's having
staff meetings or break room areas that also is
incorporated locker room area
locker room areas our restroom facilities that I'd
mentioned earlier on
the on the bottom right hand corner of the screen we
utilize some of our
equipment bays for staff meetings or areas for our staff to
to have lunch or
have breaks in our parks area which is in the top middle is
is is has equipment
and other supplies where they utilize to to maintain our
park system and so every
single bit of the space is utilized and so really it doesn
't create the necessary
work environment for our staff to have the space they need
to to meet during
the morning when they when they get when they begin their
shift to have a variety
of private conversations when it requires supervisor to
employee top
issues it just makes it very inconvenient very difficult to
have those
kinds of conversations and operate out of that cramped
space and so just wanted
to show you some of those current conditions so the thought
was with with
moving materials management out of that space would free up
quite a bit of space
at the service center and and I know we brought this
information before you to
the pub before but the thought was if we could utilize an
existing location
existing space 651 Mayhill is the one that came to mind
that's a space that is
owned by the city it's a solid waste facility over at the
Mayhill location
it's 81,000 square feet as a former Department of Defense
warehouse
location where as troops were were deployed overseas
depending on whatever
the theater of operation they were they would they would
maintain their
equipment their vehicles or personal vehicles in this space
and so as you can
see by the pictures it's very rectangular in size for the
most part
it's it's a very open space it's it's basically a blank
canvas we do house
some solid waste carts and I know DME has some of their
equipment there but
we'll leave that we can utilize that space and move
materials management over
into into this location and so the thought was if we can
move approximately
30,000 square feet of materials management out of the
service center and
put them into this 81,000 square feet it really would open
up quite a bit of
space we're looking at potentially doubling the size of
materials management
their footprint because some of this equipment that
materials management
houses over at service center is under awnings so it is
protected by the
elements but not completely and so the thought is if we can
move most of not
all of that material under a roof a would protect it would
protect the asset
and really give materials management the space they need to
to fully function in
that location it still provides some additional space for
future expansion
which I'll show you here in some subsequent slides it would
provide for
about just under five acres of a laydown yard as well
employee spaces parking
spaces for this location and so we believe that that would
again free up
some of the space and so as a result there is an investment
to be made what
we were thinking is if we could working with our architects
we believe we have
developed some at least high-level planning estimates on
probable costs on
this construction project to to allocate about a million
six for moving
materials management there is an investment to be made on
the laydown
yard and other parking that's required for that location so
all in with
construction it'd be right at two point five million
dollars we would require
some additional furniture fixtures and equipment to out
outfit that facility
some design fees would be incorporated into that and then
some minor
development fees cost that we pay for the city for as part
of its development
of that of that location and working with the finance
department we believe
we could utilize excess certificates of obligation in the
solid waste fund to
help offset the cost of that process on that project so I
'll let that digest for
the minute so in turn what what does that do for us by
moving materials
management out of the service center what we believe it'll
do is it'll free
up quite a bit of space and to allow our parks operations
streets electric
communications water distribution utility safety training
it would allow
us to expand further into that vacant footprint of the
facility so before this
future this the space here where it says future expansion
again it showed
twenty nine thousand it allows for a future expansion of
our facility so what
I decided what I provided here is a table of the current
configuration of
the square footage and again these are how these are high
level planning
estimates of the square footage nothing has been designed
these are just
conversations that have been had with our architect at a
planning level from
a planning level estimate and just what could happen if
this space were vacated
so what I wanted to show you here is just the current
square footage and our
current operations and the proposed square footage with
materials management
moving out of the service center on the first floor so you
can see the
difference and this is then what would happen on the second
floor it would
allow for engineering to expand water wastewater
administration to to to be
reconfigured in a much more holistic fashion purchasing
administration the
actual purchasing manager along with her staff would stay
at the service center
at this point it was just be the materials management staff
that would be
moving over to the service center so as you can see it does
allow room for
expansion on the previous slide so as our staff continues
to grow we have
about 18,000 square feet to move into that over time and so
in essence it
would forego the need having to build a second service
center or a service
center annex in the near future for us to make that happen
it would be just
under a nine million dollar investment to make that change
to to renovate the
service center we're talking about five point eight million
dollars some
additional side improvements that would be necessary there
at the service center
so all in construction and hard costs would be just under
six point eight
million dollars along with furniture fixtures and equipment
to add into the
additional footprint that would be moving into that vacant
space what the
design fees and the development development fees for that
project so
we're talking right under nine million dollars for that
entire project to be
completed and on the opposite side our funding sources that
we've been working
with the finance department to to at least from a high-
level perspective from
an allocation of if we were to move forward with this
project what would be
estimated that those respective funds and those areas of
funding would come
from so from a service center perspective we believe that
moving
purchasing from the service center to 651 Mayhill makes
sense we believe that
it allow us to to allow us to utilize some existing space
that city already
owns no need to purchase anything else allowed us allows us
to expand into the
existing space and fully utilize all the space areas that
we have to date we
believe it will meet the shortages that we have at the
service center again it
would allows us to from a standpoint from a construction to
be minimal amounts of
construction because you're not having to build new
foundations you're utilizing
existing footprints of existing facility so a lot of it's
just renovation and
retrofitting into existing into an existing facility it's
scalable allows
for future growth we believe that it does provide some
efficiencies for city
staff it would must be a much more inviting environment for
our for the
visiting public that comes in to see and visit with city
staff when it comes to
doing business it would be coder it would meet code
requirements because we
would have to add additional restroom facilities at the
service center which
were highly needed and so overall we believe that it's a
good option for the
staff to consider and for the and then the way it was
presented to City Council
we're in the process of in fact we just closed your request
for qualifications
for architectural services so just to kind of keep in mind
that we have not
spent any money on any of these projects these are all high
level high level
planning estimates but we have done a request for
qualifications for
architectural services that has closed and so what would we
be doing and as
this as staff reviews these requests for qualifications
once an architect is
selected and we begin contract negotiations we would bring
that
contract to the PUB for your consideration and then if
voted favorably
would it then be presented to City Council at a subsequent
meeting any
questions about about the service center so far because
there are some more slides
but it's about the traffic operations. Just a question
about you were saying
that these buildings were old 1960 1980 well the service
centers 1980s but but
the traffic operations which I'll show you here in just a
moment that was built
in the 1960s okay what you've said is so far so it's it's
stable as far as you
know as far as you know it's stable to you know redesign
okay all right so
we're talking about the difference between eight or nine
million dollars
and thank you to 21 million dollars before start from
scratch. And we're
using a building that wasn't being used. I just wanted to
make sure that the
existing building was stable. Yes ma'am it's safe and sound
. Okay. I think this is the
building that was being used. 1960 isn't that old. Yes they
've been vacated from there.
Yes. How does it work from a location standpoint for
materials management to
be on Mayhill for all the I don't know I'm assuming at some
point in time
everybody has to go there to get something. Correct. Well
it is change so
that is it is I guess a con in the standpoint of the pros
and cons of that
facility but it will be an adjustment and we were working
with materials
management to make sure that that operations that are
maintained at the
service center that they have the adequate supplies they
need to make sure
they can leave from their location and work in a very
efficient manner but but
certainly it will be a change and it is the service center
where it's located
now in the central part of town moving it over to to May
hill will be a change
so there'll be an adjustment that will need to be made and
and we think we can
work through that. How many issues do you have during the
day? Sir. How many visitors do you have in and out
during a day? Of the service center? Material management.
Oh goodness I would
imagine just about every single operation probably comes in
and out of
materials management they just walk across and so it'll be
a lot of them
there'll be a lot more coordination that's needed. We're
not utilizing the
train for shipping right there are we because the train
goes right by the
existing location. Mostly it's all dropped by truck. So
moving on to
traffic operation this is the building that was built in
the 60s this is a one
of the entrances to the service center and that building
there is our traffic
operations facility. It was built in the 1960s is
approximately 4,000 square foot
it's the former former animal shelter facility. It's been
utilized by our
traffic operations folks since the mid 80s and again some
of the same
statistics that I showed you earlier about the size of Dent
on over the years
and again if you can imagine the amount of signals that we
've added over the
years and the amount of rows that are maintained stop signs
etc it's quite a bit
that's happened and they've been utilizing that same
footprint for for
30 plus years. Currently non full-time full-time equival
ents FTEs are housed at
our traffic operations building. While it does show no
vehicle bays I mean there
is a garage door but if you'll see a photo here in a minute
it does not act
as a base basically just another storage area for our folks
and so it's
very cramped there is no room for expansion and again it is
the former
animal control facility so it's time it's time to to
upgrade our facilities
for this for the staff and quite honestly they're really it
's not designed
for new technology as we replace several of our aging
traffic signals they are in
essence smart signals they can be worked remotely and
things that nature you can
operate those from a centralized location this facility
doesn't really
house it doesn't really lends itself for that type of
operation so it's very
manually oriented when it comes to working a traffic signal
for our staff
so any type of remote locate remote login to to to work
through these
signals it just doesn't happen at this location. So again
some photos so you can
see the location this is basically some of the control
centers that we have for
our traffic operations here and then here's some of our
staff areas where we
work in and and again that's that bay door area where we
have some of our
equipment and supplies and signs and that are that are
housed there so it's
it's a very cramped space it's very small and again doesn't
really allow for
our staff to work in the most in a good area for it for
what they need to do in
the amount of work that they have to do. To give you an
idea there was a bond
package item back in 2014 where the citizens voted to to
have the city build
a traffic operations facility and there had been some some
some planning
documents put together some planning level estimates that
were put together
of building a 10,000 square foot facility actually on the
service center
campus and so but one of the options that was going to
happen with that with
that process was to they were gonna the thought was to real
ign Roodale Road in
that location along with some other interior streets to to
to configure to
be reconfigured for traffic operations along with just just
the alignment of
Roodale Road for the ease of traffic through that location.
When those
planning level estimates were conducted back in 2018 the
construction
estimates came in at 2.2 million dollars which obviously is
higher than the 1.5
million that was approved by the bond by by the community
however it did not
include any furniture fixtures and equipment these high-
level planning
estimates and there was and the laid-out yard also was not
factored into that
cost so right then and there we were already 700,000 over
budget plus there
were other components that were still not not not taken
into account as part
of the project so it could very easily have been nearly
three million dollars
or twice the amount that was approved by the bond committee
and by the by the
community so at the time the thought was let's put the
project on hold let's
reassess and see what other options are considered could be
considered so again
with new city management we revisited the issue and and and
felt we needed to
what can we do to advance the conversation and see what
options were
made available and so the thought was again looking at the
existing facilities
as we talked about for materials management could we
incorporate 10,000
square feet into the into the leftover space for 651 May
hill and so again the
thought was could we take that the 10,000 square foot
facility renovate
651 Mayhill and incorporate traffic operations into that
location and so
that's one of the options that we considered so we we
believe that we can
incorporate the 1.5 million dollars retrofit the interior
of 651 Mayhill this
information was taken to the bond oversight committee in
late January and
they unanimously approved it and so I can show you here
just a kind of a
rudimentary site plan of here's materials management or
incorporating
their 61,000 square foot facility here's traffic control
incorporating 10,000
square foot allows for an additional 10,000 square feet of
future expansion if
needed over time and incorporate some additional parking
for that operation of
traffic here the financials moving that 1.5 million dollars
into 651 it would
include the parking stalls there would be some furniture
and fixtures cost that
were needed we would need to do some design elements for
that so in essence
all-in for that entire project we're estimating it just
under 2.2 million
dollars which is very similar to the previous budget we had
come in at but
this is all-in with all cost versus the other one there
were still some elements
that were missing so we think this is based on what we've
in conversations
with the architect we believe that this is a you know a
really a good project
and it would be all-in from the standpoint of moving that
operation
over and then again from a financials incorporating the 1.5
million dollars
general obligation bonds that were approved by by the
community and then
some excess CEOs and solid waste to make up the difference
so for the 2.2
million and that's just that doesn't include the technology
correct for the
traffic correct correct facility correct it'll include some
but not the whole
thing and the excess certificates of obligation if that's
because we're not
doing something solid waste that we plan to use this for
yes ma'am we have about
4.2 million dollars of excess CEOs that were planned we're
already issued we're
planned for something else and so the proposal here is to
use it for this
purpose and so then the city's materials management fund
and also then the general
fund traffic is housed in the general fund would pay a
rental back to solid
waste offset that debt and so it really you know helps
solid waste fund as
well the idea would be that that asset would continue to be
a solid waste asset
met with a with the city's bond council and we think it's
an appropriate use
there is no private activity issue that arises out of this
it's the city itself
and so it's an allowable use you read my mind Tony you knew
what my next question
was thank you so that that offset was taken into account
for the previous
item we had yes sir it's already built into that into that
forecast yes sir
so again some of the issues that it solves it does fulfill
the bond
commitment that was made to the community it's utilizing
with with
existing bond funds as budgeted utilize existing space that
the city already
owns allows for future growth it's scalable allows for the
state of the art
components that we need to maintain and and expand our
operations and expand our
footprint when it comes to replacing our traffic signals
and our community we
believe that it provides some efficiencies by centralizing
a lot of
these operations that right now are done manually on site
there at the
intersection so allows for safety allows for a lot of
different things to be done
from a remote location or centralized location again as I
mentioned earlier
this information was presented to the bond oversight
committee back in late
January it was approved unanimously and then really the
next steps is we're in
the process of reviewing architects so again not a single
penny has been spent
on any of these projects so again this information was
presented to council
back in February we wanted to present it to you tonight to
keep you informed of
what we were what we were wanting to do and like to do and
seek your
recommendation for moving this process forward and as and
as mentioned if as we
go through the process of selecting an architect we'll
bring that selection to
the pub with with the requisite funding to get your
recommendation and if
recommended favorably that would then be sent to the City
Council at one of their
upcoming meetings okay questions we with the technology
shortcomings that you say
that the existing traffic operations building has what can
you touch on what
those might be and how they'll be alleviated out on Mayhill
they're just
metal buildings so there's really not there's really not
much difference
between the building on Mayhill off of Mayhill and the
building that we
currently have well it in size right well right they're
they're both metal
buildings of the the one on Mayhill can be again with
working with an architect
will be insulated will be I mean it'll it'll look like an
office on the
interior would allow for some bays it'll allow for
workspace for our our sign
sign crews so they can create signs and change create stop
signs and sign blades
for street signs etc from a technology perspective and some
of the traffic
operation facilities I've been in I mean it literally looks
like NASA and you've
got all these flat panels and you're able to meet able to
see your your city
out your your intersections via cameras etc so while we do
have have some of
that technology there at the existing facility it's not to
the extent it could
be as we continue to expand our footprint and replacing
these older
older intersections with your traffic signals okay I have
one more question
it's just some clarification for me so the bond oversight
committee so they
meet and they reviewed the original intent of the bond
committee before and
they review the intent of the ordinance that the city voted
on and then
determined that the funds can be reallocated to a project
that the voters
didn't approve I'm just curious how that works so about
every five years the
council appoints a blue ribbon committee it's about 50 you
know citizens I think
each council member gets about seven that they can appoint
from that
generally speaking that that committee will break up into
subcommittees and so
once the committee's work's been done and the
recommendations been made and
elections been had generally speaking the chairman as there
's there's co-chairmans
of the entire committee and then the chairs of the of the
subcommittees then
become the bond oversight committee so it's the same
individuals that were
involved from the very beginning on what those projects
were and what was decided
they're fully in tune believe me on what what the intent
was for those
individual projects we do try to meet with them at least
annually that we have
been talking about meeting with them I believe quarterly
now because of some of
these changes so we do review this and from time to time
there are reallocations
that occur from one project to another but generally
speaking most of those
projects stay intact unless there's you know some other
extenuating circumstances and I will tell you in the 2005
bond program there was a
couple of projects where the city had issued bonds US 377
FM 1830 those
project was subsequently funded by other sources external
to the city so that
resulted in some dollars that we had available so you know
part of our
recommendation to the council tomorrow will be to reall
ocate those dollars for
some other projects that are in existence and so so again
yeah we have a
lot of conversations with that committee but generally
speaking unless there's
some exchange circumstance those projects that were
identified for the
for the citizens are the ones that we work on okay and so
the current oversight
committee is made up of the chairpeople from the 2016 bond
or you actually have
multiple bond oversight committees that are made up of the
chairpeople from
those years that those bonds were presented the the only
committee that we
have currently is from the 2014 bond election and as a
matter of fact the pub
chairman is the chairman of that committee we do have a
2000
just trying to get some clarification now this work we also
had a an oversight
committee from the 2012 bond program we did late last year
attempted to get
those two committees together unfortunately some of those
members have
now moved on and so we've not officially dissolved it so
what we've asked the
2014 bond oversight committee because some of the projects
are very similar
street reconstruction was 2012 we've asked them to make a
recommendation on the 2005 projects 2012 projects and the
14 projects as well
okay thank you for sure okay I just have one comment and I
guess it's a concern
with some lost efficiency and in splitting your material
management area
away from your workforce having had some experience with
that and losing employees
on a much smaller campus than you guys are working with in
making those trips I
think it's something you need to take a deep look at with
your supervisors
absolutely we definitely will other comments questions you
need an
indication from us then as far as what what the committee's
preference is I say
go ahead thank you thanks yeah well on 22 million well yeah
plus it's the best
thing I mean you get you get a lot of room to grow if you
will yeah that you're
gonna need eventually anyway okay thank you thank you
okay see what we have we have a closed meeting is the next
thing on the agenda
I know we've got some people here that that really deals
with one one issue one
matter on the regular agenda yeah I'm thinking we could do
that and we yeah and
then come back and pick up the one that deals with closed
meeting after yeah
after okay okay trying to make sure buddy gets home in time
to watch part of
the North Texas basketball game tonight or listen to it
anyway okay so we'll
rather than going to close meeting we'll do the do the
regular meeting we have a
consent agenda with let's see five items on the consent
agenda is there any
member who would like to have any of those items pulled for
individual
consideration
hearing none then is there a motion to approve the consent
agenda so moved
second of a motion second to approve the items item a b c d
and e on the
consent agenda is there further discussion all in favor
then say aye any
opposed same sign okay consent agenda is approved items for
individual
consideration first item a which is to consider approval of
the public
utilities board meeting minutes of February 26 2018 are
there any questions
additions corrections for to those minutes if not then is
there a motion to
approve those as submitted so moved motion second and a
second discussion
all in favor say aye any opposed same sign okay item B
under items for
individual consideration is to consider recommending
approval of the watershed
protection division sponsorship agreement with keep didn't
beautiful
incorporated in the amount of $8,000
good evening pb my name is Deb Rivera I'm with
environmental services tonight
staff is requesting the recommendation for expanding $8,000
for sponsorship
watershed protection allocate fund annually for this
purpose and the
purpose though the reason why we do it is just for
promoting pollution
prevention it's on water and water quality awareness and to
meet the
requirements of the MS4 permit which is the municipal
separate sewer site or a
system I'm sorry separate storm sewer system with the CQ by
using the KDB
staff is able to capitalize in the network of contacts that
KDB already has
to use the volunteer base over 2,000 people that KDB
currently has and to
use establish events that the community would recognize
already in the last two
years staff have allocated between nine thousand ninety
five hundred dollars for
that purpose we are requesting to spend eight thousand
dollars for paying into
the Red One Festival the great American cleanup and the
environmental grant
program for a total of 8,000 however due to a rollover
funds from last year we
are actually requesting for eighteen I'm sorry fifteen
hundred dollars to be used
towards that so we will end up paying sixty five hundreds
to keep the kid
that and beautiful at this point the staff is recommending
on maintaining the
sponsorship to KDB to approve the requested expenditure of
sixty five hundred dollars and to adhere the resolution
passed in 2018 about how to expand
sponsorship funds that was ordinance I'm sorry resolution
eighteen zero nine five
any questions questions yes what is the MS4 MS4 is a permit
that the city has
with TCQ and it is for the municipal separate storm sewer
system and that's
a permit that the city have to maintain every five years
with TCQ every
municipal has to do that across the country and just to be
clear this is we
just approve the minutes from last time those were DME
funds that we looked at
last time this is a wastewater right watershed watershed
protection and I'll
make the same statement I made last time I think it's a
great way to leverage
keeping it beautiful is a good good job in leveraging
public money with private
donations and private volunteer hours and so they do a good
job so
2000 people 2000 people those on the events that we are
participating in have
been for 13 years the community already recognized them
they actually attend
those on a regular basis so it's definitely a win-win
situation for both
KDB and watershed protection okay we have a motion then on
item B
much to approve and a second further discussion all in
favor say aye any
opposed same sign thank you items passes
okay we can item C which is to consider recommending
adoption of an ordinance
for the city of Denton amending ordinance number 2017 273
to reduce solid waste
residential collection service rates and remove certain
administrative rate
setting provisions in providing an effective date of course
this relates
back to our work session item so Tony
I'll just want to just react read a right again this is a
first step stab at
these rates we will come back to you in the next three or
four months to have a
wider discussion about all the rates in solid waste but we
believe that that we
can immediately make this change for our residential
customers so we're here to
recommend a 12% decrease in those refuge and recycling
rates standard and large
carts and be happy to answer any questions that you may
have this is for
an effective date of the effective date it will be the 28th
28 correct you know
pending councils okay any other questions at Tony is there
a motion then
to approve we have a motion to second this time from the
side of the room
give them a turn any other discussion all in favor say aye
any opposed same
sign thank you item D is to consider recommending adoption
of an ordinance
of the city of Denton Texas excuse me authorizing the city
manager to execute a
contract for a utility assistance program supporting low-
income households
providing for the expenditure of funds therefore and
providing an effective
date RFP 6669 awarded to interfaith ministries of Denton
incorporated in the
not to exceed amount of three hundred and seventy five
thousand dollars customer
service manager I'm happy to report that I did not go to
the dentist prior to
this meeting so you should be able to understand me I'm
here tonight to talk
about the utility assistance program request for proposal a
little bit of
background the prevent loss of utility service also known
as the plus one
program helps our customers that are going through a
financial hardship to be
able to pay for their utilities and also to be able to
restore services if they
encountered an interruption of service I'm also happy to
let you know that we
had anticipated not coming back to you until June of this
year with this RFP so
we're three months ahead of schedule so we'll be able to
implement that enhanced
criteria sooner for our customers pending your approval
interfaith ministry
we did send this out to 295 organizations we had one
response which
was the incumbent interfaith ministries Inc of Denton the
contracts going to be
increasing from 100,000 to 125,000 and the administrative
costs are going up
by 26% with this contract proposal the last two contracts
with interfaith we
did not see any price increase so this is the first price
increase with them in
the last seven years and it's specifically tied to their
personnel and
also their technology for their personnel they do spend an
hour with each of the
clients that are coming in to offer them a holistic
solution because usually it
isn't just a singular issue that that family may be
experiencing so they spend
time making sure that the customer knows about additional
resources and also how
that they can budget in the future with that so that's one
of the reasons why
the personnel expense is going up and then the phone and
technology they are
implementing a homeless management information system that
's going to help
us with the additional criteria that we're requiring and so
that is one of
the reasons why that technology is increasing as well so
the niche
criteria for the clients is they're going to be able to get
assistance on
security deposits now they'll be able to get assistance up
to three times a year
where it was only once a year and then also there's no
required tenure at that
address that they have to be there to get assistance those
are the top three
things that we pinpointed why our customers were being
declined to be able
to get assistance and so that criteria is in the new
contract in addition to
that we've updated the reporting criteria so we're going to
be able to
get richer data in order to understand what the barriers
are our customers are
facing so we know if we need to pull additional levers or
do the additional
criteria enhancements going forward and so tonight we are
asking for your
recommendation or consideration and improving this contract
and awarding it
to interfaith ministries we're going to report back to you
within one year on the
impact to our customers that this criteria change has had
what the data
results are and then if there's any additional adjustments
that we may need
to make with your direction and council's direction do you
have any
questions for me you're glad that you're doing this sooner
I imagine summer is
when most of these people hurt the most yes absolutely so
and what the deposits
being able to assist with the deposit you have a lot of
customers moving in
and hey and so I would actually anticipate our our May
assistance going
up and September and August are usually our big heavy hit
ter months because the
bills are starting to start creeping up a little bit
contingent on weather with
that so it'll be interesting how the enhancements and
criteria what it's
going to influence on those months for the assistant good
data so we have we
did we modify the budget to make it 125 this year this
fiscal year okay and
we'll revisit that we have the data back yes by the time we
adopt a budget for
next year yes yeah we'll come back here to know if we need
to make any
modifications to that but we'll be able to increase that
funding now with
savings budget so we're going to be able to absorb that I
guess I'm I am but I'm
not amazed at 295 organizations only one response
it's okay they do a good job so any other questions
comments do we have a
motion on the item so I have to approve okay second and a
second discussion is
just a point of clarification is this a three-year yes sir
it's one year and then
with two years any other discussion all in favor say aye
any opposed same sign
motion carries thank you okay I think we've gone as far as
we can with that
going into closed meeting so at this time we will go into a
closed meeting
to consider okay it is 742 so we'll are back in open
session and we have a
couple of items remaining one of which is item E which is
to consider
recommending adoption of an ordinance authorizing the city
manager or his
designee to sign a notice of extension of the TMPA power
sales contract for
seasonal operation from some September 1 2018 to September
3rd 2018 and then
for seasonal operation from some September 1 2018 to
September 30 2018
pursuant to section 5.1.3 of the TMPA amended joint
operating agreement and I
believe George has a presentation on this chairman and
members of the public
utility board George Morrow DME general manager as I was
mentioned I before you
tonight to talk about a possible 30-day extension of the
power sales contract
for the Gibbons Creek power plant presently we we have a 21
.3 percent
entitlement or about a hundred megawatts in that plant
based on a termination
notice given about two years ago by the city of Greenville
there's a trigger
date of September 1 for the other participants to extend
for an additional
month if they so desire and so far staff of the three
entities have shown
interest just wanted to show you that provision it was
approved by the utility
board and City Council I believe or came before you back in
September of last
year that did allow for this extension for seasonal
operation that were
here today to talk about so I have received an extension
letter for this
30-day period it will increase our entitlement from that 21
.3 percent to
23.7 because Greenville is departing the project after that
date and we'll
proportionally share their remaining entitlement that they
would have would
have taken so what I can say to you right now is that we've
done an
analysis of that plant operation for the month of September
and that the value
exceeds the the cost of operation and it's a one-time thing
it's only really
just for that month it has no obligation beyond that and if
there is a desire to
discuss possible operation for next year's seasonal then we
would take that
up at a later date so there is an ordinance that I'd like
you to consider
recommending to the City Council that would extend that
operation for the 30
day period we've been talking about and that's my
recommendation to you this
evening okay questions so this this is again an extension
30-day extension of
our existing contract with with no future obligation to
just if we want
correct the plan is still for this plant to be shut down at
some foreseeable point
in the future right okay okay any other comments questions
do we have a motion
on this item recommend okay we have a motion to approve
second and a second
further discussion all in favor say aye any opposed nay one
nay motion passes
thank you very much okay item F is ACM update yes mr.
chairman members of the
board in your packet you will have you have a number of
reports that were
provided by staff first of them is first of them is a first
quarter financial
review report the impact fee capital improvements advisory
committee and dr.
banked here is here to answer any questions you might have
as mr. Morrow
just presented the Gibbons Creek plant closure update so
that is provided as
well along with a DME transmission and substation update
that was requested
from a previous pub meeting mr. Morrow and mr. banks are
here to answer any
questions you may have about those items on your future ag
endas list we have a
number of items that are coming forward to you in the near
future I believe
there was a minor typo typographical error on the energy
risk policy it was
believe on the agenda it was scheduled to be presented
today that'll be
presented on April the 9th the the energy risk policy
update that should be for
April the 9th so at your next pub meeting not today so make
that correction
I think that's been changed it has been okay okay okay and
then and then for a
new business matrix believe everything has been covered
that has been requested
so far there are a couple of items that were requested as
far as reconnect fees
for meters and smart meters along with the revenue
reconnect fees as they're
lowered that will be information that will be presented at
a future meeting
for your during the budget process so that'll be covered
during that time
frame and we'll bring all that forward to you then all the
remaining items I
believe were covered tonight okay nothing further questions
on any of the
ACM items no hearing none okay if we're concluding items
under section five five
one point oh four to the Texas Open Meetings Act any inqu
iries from the
Public Utilities Board or the public with specific factual
information or
recitation of policy or accept a proposal to place a matter
on the agenda
for an upcoming meeting
hearing none is there a motion to adjourn motion second
Alan second all in
favor say aye any opposed thank you