WEBVTT 00:00:00.000 --> 00:00:09.760 Good morning. It's 9 o'clock. I'd like to call the Public Utility Board of Monday, March 00:00:09.760 --> 00:00:17.640 28th, 2022 to order. With that, we will accept any presentation from members of the public. 00:00:17.640 --> 00:00:24.200 Is there anyone out there that would like to address the Public Utility Board? Seeing 00:00:24.200 --> 00:00:31.720 none, we'll move on to the consent agenda. Would any member of the board like to move 00:00:31.720 --> 00:00:41.280 one of them out for discussion? Mr. Beck? Yes, I just want a little clarification on the 00:00:41.280 --> 00:00:49.600 wording in item A. Item A? Yes, sir. Okay. Any others? If not, we'll entertain a motion 00:00:49.600 --> 00:00:59.920 to approve item B. So moved. Second. We have a motion and a second. All those in favor, 00:00:59.920 --> 00:01:06.160 please say aye. Aye. Any opposed? There being none, we'll move on to consent agenda item 00:01:06.160 --> 00:01:11.800 A. Thank you, Chair. The wording in it just kind of caught my attention. It says that 00:01:11.800 --> 00:01:20.920 this energy market price data, ETERM, is the sole provider of this software, which provides 00:01:20.920 --> 00:01:25.120 that procurement of commodities and service that are available from one source are exempt 00:01:25.120 --> 00:01:32.040 from competitive bidding. So are we saying that there's no other source and therefore 00:01:32.040 --> 00:01:46.440 competitive bidding isn't a factor or what? I'm Smith Day. I'm the regulatory risk division 00:01:46.440 --> 00:01:54.480 manager with DME and I've got a little bit of knowledge on this item. Okay. We're actually 00:01:54.480 --> 00:02:01.200 not saying that this is the only source of this data. There are providers. However, given 00:02:01.200 --> 00:02:10.240 the procurement regulations, it can be treated as sole source if it's, as a practical matter, 00:02:10.240 --> 00:02:16.600 the only practical way to get the data that works for us. And the reason that this data 00:02:16.600 --> 00:02:21.840 is in that category, that unique category, is because the ETERM system, and I don't want 00:02:21.840 --> 00:02:26.800 to kill you with acronyms, but it's energy trading and risk management system. That's 00:02:26.800 --> 00:02:33.640 the actual software and that's where we put our power and energy portfolio in to gauge 00:02:33.640 --> 00:02:41.320 it against the market. The only way that tool works is if we feed it market data. And this 00:02:41.320 --> 00:02:46.720 market data provider provides us market data, and they're not the only one, but they provide 00:02:46.720 --> 00:02:53.580 us market data in a unique configuration that would match when we implemented the software. 00:02:53.580 --> 00:03:00.760 So to get a different vendor means we would have to tear out the current configuration 00:03:00.760 --> 00:03:07.360 and get a great expense to get a different vendor. You said the key element, great expense. 00:03:07.360 --> 00:03:15.720 Okay. All right. Thank you. If there's any more questions, I can... Thank you, Smith. 00:03:15.720 --> 00:03:20.840 All right. Thank you. You okay with that, Mr. Beck? Everything okay for you? Everything 00:03:20.840 --> 00:03:28.480 okay for you on that? Okay. All right. Well, if there is no further discussion, entertain 00:03:28.480 --> 00:03:39.080 a motion for item A. Motion? Second. And a second. Any further discussion? If not, all 00:03:39.080 --> 00:03:46.640 those in favor, please say aye. Aye. Any opposed? Passes unanimously. Now we'll move on to items 00:03:46.640 --> 00:03:51.440 for individual consideration, the first one being item A, which is the approval of March 00:03:51.440 --> 00:04:00.800 14th minutes. Any corrections or discussion on those? There being none, entertain a motion 00:04:00.800 --> 00:04:12.360 for item A. So moved. Motion to approve. We have a second. All those in favor, please 00:04:12.360 --> 00:04:29.600 say aye. Aye. Okay. I'm going to recuse myself on item B. Good morning. Item B for individual 00:04:29.600 --> 00:04:35.520 consideration is to consider recommending adoption of an ordinance. The City of Denton, 00:04:35.520 --> 00:04:39.200 Texas Home-ruled Municipal Corporation authorizing the city manager to execute a contract with 00:04:39.200 --> 00:04:43.800 Texas Materials Group DBA tech spit for the construction of the Southeast Denton Package 00:04:43.800 --> 00:04:50.280 A project consisting of 22 roadway segments, including water and wastewater main replacement 00:04:50.280 --> 00:04:55.120 located in Southeast Denton in the Southeast Denton neighborhood. I believe we have a presentation. 00:04:55.120 --> 00:04:58.840 Yes, sir. Good morning, board members. My name is Seth Garcia. I'm a program manager 00:04:58.840 --> 00:05:03.080 with Capital Broadchecks. As he stated, I have a brief presentation for you for Southeast 00:05:03.080 --> 00:05:09.120 Denton Package A. So just quickly, this package is a part of our neighborhood rehabilitation 00:05:09.120 --> 00:05:13.280 program, which is associated with the 2019 bond program. And this is for the award of 00:05:13.280 --> 00:05:19.600 the construction contract. So for a brief project scope, Southeast Denton Package A 00:05:19.600 --> 00:05:24.320 is reconstruction of the first 22 segments of a total of 72 segments we're going to be 00:05:24.320 --> 00:05:30.160 doing in Southeast Denton. It includes full street reconstruction, replacement of aging 00:05:30.160 --> 00:05:34.520 water and wastewater mains. We also have some improved sidewalk connectivity. So we're going 00:05:34.520 --> 00:05:39.160 to be filling some gaps. We're correcting all noncompliant ADA ramps on the segments 00:05:39.160 --> 00:05:44.000 that we're touching, as well as some various traffic calming measures. So currently on 00:05:44.000 --> 00:05:48.680 that section of Mill and Moore Street that you can see, the width is about 40 feet. So 00:05:48.680 --> 00:05:53.200 we're instituting some bump outs that's actually going to narrow the roadway to about 30 feet 00:05:53.200 --> 00:05:57.320 at the intersections to give the appearance of a smaller roadway to kind of discourage 00:05:57.320 --> 00:06:07.840 speeding there. So with this project, we did receive five proposals. It was bid using CSP. 00:06:07.840 --> 00:06:16.720 The highest ranked firm was Texas BIT, and their total base proposal was just over $6.3 00:06:16.720 --> 00:06:22.640 million. So quickly to touch on the schedule of this project. So this is the first-- 00:06:22.640 --> 00:06:28.120 Excuse me, sir. Could you go back to the previous slide for a moment? Yes, sir. I just didn't 00:06:28.120 --> 00:06:36.120 see your scoring while you were talking. Yeah, I'm sorry. Thank you. Absolutely. So quickly 00:06:36.120 --> 00:06:40.600 just to touch on the schedule of this project. So the first 22 segments we began design in 00:06:40.600 --> 00:06:46.480 March of 2021. We had made a commitment to city council and to the representatives in 00:06:46.480 --> 00:06:50.800 district one that we were going to advertise this project by the end of the year. So we 00:06:50.800 --> 00:06:57.560 did meet that promise. It advertised in quarter four of 2021. We opened bids in January. We 00:06:57.560 --> 00:07:03.800 are anticipating that construction is going to begin in quarter two of 2022. It's a 365 00:07:03.800 --> 00:07:08.980 day project for substantial completion. And that would put us completing the project somewhere 00:07:08.980 --> 00:07:18.000 near quarter two of 2023, of course, pending weather. So with that staff recommends a contract 00:07:18.000 --> 00:07:23.560 between the city of Denton and Texas bit and just over $6.6 million. And this does include 00:07:23.560 --> 00:07:30.640 the 5% contingency. So it's the base bid of 6.3 plus the 5% contingency for a total NTE 00:07:30.640 --> 00:07:44.120 of 6.6. And with that, I can take any questions. Any questions? I do have one. I wasn't here 00:07:44.120 --> 00:07:53.260 for the initial project approval. I'm just curious on the very first map, first slide 00:07:53.260 --> 00:08:01.200 with the map, what are the red dotted lines? Yeah. So the red dotted lines represent wastewater 00:08:01.200 --> 00:08:04.680 lines that we're going to be replacing. So if you see a red dash line, that means the 00:08:04.680 --> 00:08:09.640 wastewater line was due for replacement. The blue lines represent the water main. So I 00:08:09.640 --> 00:08:14.800 believe of the 6.3 million, we had just over 1.7 million in water main replacement and 00:08:14.800 --> 00:08:20.480 1.6 million in wastewater main replacement. And then the bond segments, sidewalks, all 00:08:20.480 --> 00:08:27.680 that was just over $3 million of the total contract price. And on the sidewalk connectivity, 00:08:27.680 --> 00:08:32.260 is it only where existing sidewalks were or will all of the streets receive sidewalks? 00:08:32.260 --> 00:08:37.320 No. So it's only we're filling a couple gaps. One of the major gaps was on Robertson. So 00:08:37.320 --> 00:08:42.400 we have continuous sidewalk coming down Bell. We had an area of about 100 feet left out 00:08:42.400 --> 00:08:47.520 on Robertson. So we're proposing to connect that gap. It'll provide then continuous sidewalk 00:08:47.520 --> 00:08:52.040 kind of going over to the Fred Moore High School. One other piece of sidewalk that we're 00:08:52.040 --> 00:08:57.320 installing that is not currently there is the little triangle shape on Y Street. So 00:08:57.320 --> 00:09:02.680 that's actually owned by Parks and Recreation. So we're proposing to put in two legs of sidewalk 00:09:02.680 --> 00:09:07.520 there with the thought that there may be a future community garden or something that 00:09:07.520 --> 00:09:11.920 could go into that small area. And so since we're coming in with the project, we're going 00:09:11.920 --> 00:09:15.840 to utilize the economies of scale to go ahead and put in a couple legs of sidewalk there 00:09:15.840 --> 00:09:20.940 for them. And does Mill Street currently have sidewalks? Mill Street does not. So it does 00:09:20.940 --> 00:09:27.760 behind the Fred Moore School. So that's where we're instituting those bump outs. We are 00:09:27.760 --> 00:09:32.960 putting ramps on the bump outs. So there will be a potential for in the future to put an 00:09:32.960 --> 00:09:37.280 on street path that will be protected by those bump outs. 00:09:37.280 --> 00:09:47.400 Thank you. Yes, sir. If there are no further questions and entertain a motion. Motion to 00:09:47.400 --> 00:09:55.520 approve. Second. Second. Second. All in favor? Aye. Motion passes unanimously. Great. Thank 00:09:55.520 --> 00:10:17.520 you all. We'll take just a moment to get our acting chair back in the meeting. Okay. Next 00:10:17.520 --> 00:10:32.760 item for individual consideration is item number C. Randy? Oh, yes. I'm sorry. Yes. 00:10:32.760 --> 00:10:37.520 Item C and D need to be called together. Voted on separately. So Randy is going to present 00:10:37.520 --> 00:10:43.520 C and D together with one presentation. Yes, sir. Thank you. Randy Klingel, Treasury Manager 00:10:43.520 --> 00:10:48.280 within the Finance Department. I am going to speak a little bit about the notice of 00:10:48.280 --> 00:10:52.640 intent process for issuing CO debt for the city of Denton. This is a standard process 00:10:52.640 --> 00:11:00.080 we have for the CO sale anytime the city goes out for a bond sale. The purpose of a notice 00:11:00.080 --> 00:11:05.160 of intention is by the local government code chapter C of the Certificate of Obligation 00:11:05.160 --> 00:11:11.000 Act, which requires us to give the public notice of our intent to issue COs. We must 00:11:11.000 --> 00:11:15.000 publish this in the newspaper, our journal newspaper, the city of Denton will be published 00:11:15.000 --> 00:11:22.320 there along with our city website. The publication must be put out once a week in two consecutive 00:11:22.320 --> 00:11:27.840 weeks, which will start that around April 14th of next month, which we're almost on 00:11:27.840 --> 00:11:32.520 top of April. A passage of a bond ordinance, or sometimes we call it a parameter ordinance, 00:11:32.520 --> 00:11:38.640 it's kind of an interchangeable term, will be authorized in the sale of the COs for at 00:11:38.640 --> 00:11:44.000 least 46 days after the date of the first publication. So most of the slide presentation 00:11:44.000 --> 00:11:48.480 you'll see here are the list of projects for these CO sales. They are also listed in your 00:11:48.480 --> 00:11:55.240 AIS independently, depending on which utility that we're looking at. So the first one is 00:11:55.240 --> 00:12:00.920 the solid waste project list totaling $6.9 million, which is in your list. And these 00:12:00.920 --> 00:12:05.680 were also part of the CIP budget process. So it's not any new projects that you're seeing 00:12:05.680 --> 00:12:09.160 here, they are part of the process that you've seen throughout the year. So the solid waste 00:12:09.160 --> 00:12:24.200 total is at 6.9. There we go. Water is at 23.4 million. The wastewater projects usually 00:12:24.200 --> 00:12:29.320 take two slides, they're very detail oriented, so they have a lot going on over wastewater. 00:12:29.320 --> 00:12:35.720 They have $44.2 million coming up for the CO sale and rounding out with electric at 00:12:35.720 --> 00:12:43.640 52.9, bringing the total of the three utilities at $120.6 million. And these are pretty close 00:12:43.640 --> 00:12:48.100 to budgeted items. They have a couple of months to tweak their process and see what they still 00:12:48.100 --> 00:12:51.160 need to come up in the bond sale that won't happen until June. So these numbers are most 00:12:51.160 --> 00:12:58.360 likely to reduce. So my next step is I'll come back in May to this board to do the parameters 00:12:58.360 --> 00:13:02.640 or bond ordinance. Well, you'll see a final project list to go out for the CO sale. Then 00:13:02.640 --> 00:13:07.040 we'll take that recommendation following to council. We'll look at a preliminary date 00:13:07.040 --> 00:13:12.080 for the bond sale in June and then actually close the sale and receive the bond proceeds 00:13:12.080 --> 00:13:20.800 in late July. And that is my presentation today. Open for any questions. And we do have 00:13:20.800 --> 00:13:23.120 the department here as well if you have any project specific. 00:13:23.120 --> 00:13:25.800 Yes, ma'am. What are the terms of these bonds? 00:13:25.800 --> 00:13:30.940 The terms, it depends on the project, anywhere from five years to 30 years. 00:13:30.940 --> 00:13:34.840 So even though we're authorizing a pool for sale, they vary in length. 00:13:34.840 --> 00:13:38.000 Yes, sir. Thank you. 00:13:38.000 --> 00:13:44.960 So just to clarify, the PUB has already approved all these things and this is now how to pay 00:13:44.960 --> 00:13:48.240 for it. Is that correct? Correct. The notice of intent is to show out what 00:13:48.240 --> 00:13:53.840 we can go out and get in the bond sale. But again, we'll come back with a hard number 00:13:53.840 --> 00:13:56.880 in June. Thank you. 00:13:56.880 --> 00:14:05.520 Any further questions? That should be good. So we're going to take item C for consideration 00:14:05.520 --> 00:14:08.760 or consideration for a motion. If anyone would like to make a motion. 00:14:08.760 --> 00:14:11.560 Move to approve. Pardon me? 00:14:11.560 --> 00:14:15.480 Move to approve. Okay. Mr. Ryback second. All those in favor, 00:14:15.480 --> 00:14:17.520 please say aye. Aye. 00:14:17.520 --> 00:14:23.480 Any opposed? There being no, we'll move on to item D, consider a motion to approve this. 00:14:23.480 --> 00:14:28.760 So moved. So moved, Mr. Jumper. Mr. Beck seconds. 00:14:28.760 --> 00:14:31.540 All those in favor, please say aye. Aye. 00:14:31.540 --> 00:14:36.520 Any opposed? Item D and C, both passed unanimously. 00:14:36.520 --> 00:14:42.240 Okay, item E, management reports. So Mr. Chair, members of the committee, of 00:14:42.240 --> 00:14:47.200 the board, so we have a couple items for you. The first item, and members of the finance 00:14:47.200 --> 00:14:51.920 department are here if you have any questions. We've provided to you the deck update for 00:14:51.920 --> 00:14:58.280 the month of September. I will tell you that they are working on getting the most current 00:14:58.280 --> 00:15:02.680 months completed and out to you guys here in the next couple of weeks. But they're here 00:15:02.680 --> 00:15:09.320 if you have any questions on that item. The next item is just future agenda items. Of 00:15:09.320 --> 00:15:14.880 course, what we have on here is just some dates for budget presentations. And again, 00:15:14.880 --> 00:15:19.760 that'll include water, wastewater, electric, solid waste, and also utility customer service 00:15:19.760 --> 00:15:26.400 that will be coming to you over a series of meetings with ultimate requests to approve 00:15:26.400 --> 00:15:32.520 or make a recommendation to council on July 11th. And just for your information, the city 00:15:32.520 --> 00:15:39.280 manager's proposed budget is due to the city council by July 31st. And so those are the 00:15:39.280 --> 00:15:44.320 hard dates that we're kind of looking at. And then the final item is just new action 00:15:44.320 --> 00:15:48.000 items. Again, these are items that have been on here for a little while that we're working 00:15:48.000 --> 00:15:53.200 on. I will let you know that there is one additional item that we didn't put on here 00:15:53.200 --> 00:15:59.160 that we will be putting on here. And the chair has asked DME to come back to the board with 00:15:59.160 --> 00:16:05.440 a presentation on renewable energy, kind of a 101 on what a rec is and how recs operate 00:16:05.440 --> 00:16:09.600 and how that impacts our portfolio. So we are going to be working on that. We're going 00:16:09.600 --> 00:16:15.360 to shoot for the next meeting to have that for you. Really meant for your information 00:16:15.360 --> 00:16:20.360 only, but hopefully that gets you some good background and knowledge as we're preparing 00:16:20.360 --> 00:16:25.600 to eventually come back to you with a revision to the then renewable resource plan. So those 00:16:25.600 --> 00:16:28.720 are the management items. If you have any questions on any of them, we've got a number 00:16:28.720 --> 00:16:36.560 of staff people here that can address that. Okay. Anything for Mr. Puente? If not, item 00:16:36.560 --> 00:16:41.600 number two is future agenda items. Is there any future agenda items any of the board members 00:16:41.600 --> 00:16:57.340 would like to put on? No? There's none there. So new business action items. It appears we're 00:16:57.340 --> 00:17:00.800 going to move right along. I'm going to be -- Susan is going to be jealous how fast I 00:17:00.800 --> 00:17:08.320 can get these things done. So we'll move on to concluding items. I don't think there's 00:17:08.320 --> 00:17:14.640 any of that. Those should have been covered in the future agenda items. If not, take that 00:17:14.640 --> 00:17:20.880 motion to conclude this meeting. Way to go, Lee. Second? All those in favor, please say 00:17:20.880 --> 00:17:27.120 aye. Aye. Thank you. Thank you. A lot of y'all here got you out here quick.