DCPUD Commissioner Meeting Reports

Douglas PUD Commission Meeting Report

Mon, 30 Aug 2010 08:00:00 GMT

Douglas County PUD Commissioners Jim Davis, Lynn Heminger and Ron Skagen executed the following actions during the August 30, 2010 Commission meeting held at the District’s East Wenatchee Headquarters office:

Approved execution of agreement for occupation of easement, Eastmont – Valhalla, ET – 17. This allows Waste Management of Washington, Inc. to temporarily store soil within the easement. (10-165)

Confirmed addendum No. 1 to bid document 10-18-W, PBX upgrade. This addendum clarifies items in the bid document and extends the bid opening date to September 20, 2010. (10-166)

Authorized negotiation of an Agreement for Professional Services regarding RFP 10-17-W, bird hazing at Wells hatchery and Wells tailrace with Columbia Research. (10-167)

Approved continuation of an agreement with the U.S. Geological Survey for 2010-11 river-gaging station maintenance and operation costs. River gaging is related to the operation of the Wells Hydroelectric Project and the cost is not to exceed $32,300. (10-168)

Received the preliminary budgets for the Distribution System for calendar year 2011 and for the Wells Hydroelectric Project for the fiscal year ending August 31, 2011.

The Distribution System budget estimates revenues for 2011 at $38.7 million, a decrease of 4.8%. The estimate includes a previously approved 6% rate adjustment. Operating expenses are estimated at $38.5 million, a decrease of 1.3%. Net additions to retained income are estimated at $900,000, a decrease of 75% from the 2010 budget. The capital budget is $10.6 million, of which $8.4 million is for electrical facilities. The electrical facilities budget includes $6 million for substation improvements to benefit a single customer that would reimburse the District for the cost of the improvements. The balance of the capital budget is for engineering and permitting work on a new transmission line and for equipment and right-of-way easement costs.

At $52,308,100 the total Wells Hydroelectric Project Operating Expense Budget amounts to a $2,742,173 increase from last year’s estimate. The Wells Project Revenue Budget estimate is equal to the Operating Expense Budget as required by contract. Financing costs related to the generating unit refurbishment account for the majority of the increase. The Wells Project Capital Budget totals $1,094,700. Major items include replacing the mapping and payroll systems, battery room HVAC and a new lathe.

Reviewed the Environmental Reviews for the 2011 Distribution System Capital Budget and the 2010-2011 fiscal year Wells Hydroelectric Project Operating, Capital and Extraordinary Expense Budget.

A budget hearing has been set for October 4^th at 2:00 p.m. at the District’s East Wenatchee office.

The next meeting of the Commission is scheduled for 2:00 p.m. September 7, 2010 at the District’s East Wenatchee Headquarters office.

Douglas PUD Commission Meeting Report

Mon, 09 Aug 2010 08:00:00 GMT

Douglas County PUD Commissioners Jim Davis, Lynn Heminger and Ron Skagen executed the following actions during the August 09, 2010 Commission meeting held at the District’s Bridgeport office:

Approved the acceptance of an engagement letter with KPMG LLP for the audit of the Wells Hydroelectric Project fiscal year ended August 31, 2010. KPMG LLP has provided Douglas PUD with consistent certified public accounting services. (10-155)

Authorized District staff and Counsel to pursue a refund of privilege tax paid on the fixed daily charge portion of customer revenue. A lawsuit by other utilities clarified that the tax should only apply to revenue related to power charges. The District will seek approximately $87,000 from the Department of Revenue in coordination with Chelan and Grant PUDs. (10-156)

Reminded those in attendance the August 16, 2010 Commission Meeting has been rescheduled to Thursday, August 19, 2010 due to the Wells Hydroelectric Project bond issuance. That meeting will be held at 1p.m. in the East Wenatchee Headquarters Building. The August 23, 2010 Commission Meeting has been canceled.

The next meeting of the Commission is scheduled for 1:00 p.m. August 19, 2010 at the District’s East Wenatchee Headquarters office.

Standard and Poor’s Confirmed Douglas PUD’s Outstanding AA rating

Thu, 05 Aug 2010 08:00:00 GMT

Standard and Poor’s has informed the District that it has completed its recent evaluation of the District’s Distribution System and Wells Project and confirms the outstanding rating of AA for both systems. “The confirmation of these ratings accurately reflects the financial performance of Douglas PUD as well as the utility’s ability to deliver benefits to Douglas County residents well into the future,” said Douglas PUD general manager Bill Dobbins.

Standard and Poor’s believes the credit rating outlook for the District's Distribution System and Wells Project bonds is stable because of the District's consistently strong financial performance, operational practices that substantially minimize power production curtailment risk, and exceptionally competitive power supply quantity and cost.

Moody’s Investors Service rated the District’s Distribution System and Wells Project at Aa3 which is one step change from the prior rating of Aa2. Moody’s has changed its ratings approach, evaluating the District on a consolidated basis rather than as two separate credits as has been done in the past. In Moody’s view low Columbia River run off, reduced wholesale power price due to recessionary pressure, and resulting lower cash reserves have a negative effect on the District’s credit.

“Standard and Poor’s confirmed rating is a strong sign to investors of the strength of Douglas PUD bonds and the District continues to be strongly rated by Moody’s, even with the rating change,” said Dobbins. The rating activity is a result of a planned August 19^th sale of Wells Hydroelectric Project Revenue Bonds.

Douglas PUD Commission Meeting Report

Mon, 02 Aug 2010 08:00:00 GMT

Douglas County PUD Commissioners Jim Davis, Lynn Heminger and Ron Skagen executed the following actions during the August 2, 2010 Commission meeting held at the District’s East Wenatchee Headquarters office:

Approved execution of Interlocal Cooperative Agreement with Douglas County for Airport Way realignment, CRP 927. This agreement will coordinate the placement of conduit and vaults in Douglas County’s road project. (10-147)

Authorization of land use permit Rapids -03. This permit will allow temporary staging of construction materials on District property with the guarantee of restoring the property to prior condition after use. (10-148)

Approved a boundary line adjustment for Strider EW, LLC. In exchange for the adjustment, the District will gain an access easement providing easier access to District property. (10-149)

Authorized call for bids under bid document 10-18-W, PBX upgrade. Necessary to take advantage of technological advancements resulting in increased productivity. (10-150)

Approved agreement for professional services with Washington Department of Fish and Wildlife regarding 2010-2011 Twisp River steelhead spawning success study. This study is required by the Habitat Conservation Plan and the cost is not to exceed $51,703. (10-151)

Authorized consent to assignment of agreement with Dow Jones and Company Inc. to CME Group Index Holdings LLC. (10-152)

Approved release of money accrued in the Wells Hydroelectric Project Relicensing Fund. Current financial estimates indicate at least $3.9 million in excess to the needs of the relicensing process which would be beneficial to the Distribution System capital budget.(10-153)

Rescheduled the August 16, 2010 Commission Meeting to August 19, 2010 due to the Wells Hydroelectric Project bond issuance. That meeting will be held at 1p.m. in the East Wenatchee Headquarters Building.

Canceled the August 23, 2010 Commission Meeting.

The next meeting of the Commission is scheduled for 1:30 p.m. August 9, 2010 at the District’s Bridgeport office.

Douglas PUD Commission Meeting Report

Mon, 26 Jul 2010 08:00:00 GMT

Douglas County PUD Commissioners Jim Davis, Lynn Heminger and Ron Skagen executed the following actions during the July 26, 2010 Commission meeting held at the District’s East Wenatchee Headquarters office:

Approved amendment No. 1 to professional services agreement with Harris Northstar for Customer Information System (CIS) replacement. The amendment adds customization for District needs at a cost of $14,000, raising the not to exceed limit to $262,320. (10-143)

Authorized negotiation of agreement for professional services under RFQ 10-13-D, consulting engineering services for Douglas-Rapids 230 kV Transmission Line Project with Commonwealth Associates, Inc. (10-144)

Authorized District Attorneys to institute and prosecute action for acquisition by condemnation of certain real property and interests in real property necessary for the operation and maintenance of the Wells Hydroelectric Project. (10-145)

Approved request for proposals, bird hazing at Wells hatchery and Wells tailrace (RFP 10-17-W). The purpose of the request for proposals is to protect salmon and steelhead from fish-eating birds. (10-146)

The next meeting of the Commission is scheduled for 2:00 p.m. August 2, 2010 at the District’s East Wenatchee Headquarters office.

Douglas PUD Commission Meeting Report

Mon, 19 Jul 2010 08:00:00 GMT

Douglas County PUD Commissioners Jim Davis and Ron Skagen executed the following actions during the July 19, 2010 Commission meeting held at the District’s East Wenatchee Headquarters office:

Held a hearing to consider condemnation action. With no public present and no written comment received, the hearing was declared closed.

Approved release of easements, LDV Wenatchee Properties, LLC. With alternate easements in place, these easements are no longer necessary. (10-142)

The next meeting of the Commission is scheduled for 2:00 p.m. July 26, 2010 at the District’s East Wenatchee Headquarters office.

Douglas PUD Commission Meeting Report

Mon, 12 Jul 2010 08:00:00 GMT

Douglas County PUD Commissioners Jim Davis, Lynn Heminger and Ron Skagen executed the following actions during the July 12, 2010 Commission meeting held at the District’s Bridgeport office:

Awarded Storekeeper Barb Rains, with her twenty-year service award. Commissioner Davis thanked Barb on behalf of the citizens of Douglas County for her many years of service. Barb thanked the Commission and said she appreciated the opportunity and it is a great place to work.

Authorized a rate adjustment for the Agreement for Professional Services with Electrical Consultants, Inc. This agreement allows for the fee schedule to be negotiated annually to reflect any increase in the cost of doing business. (10-140)

Authorized an agreement for Professional Services with PBS Environmental for environmental monitoring services. PBS Environmental monitors air quality adjacent to projects such as asbestos removal. The cost of this work shall not exceed $50,000. (10-141)

The next meeting of the Commission is scheduled for 2:00 p.m. July 19, 2010 at the District’s East Wenatchee Headquarters office.

Douglas PUD Commission Meeting Report

Tue, 06 Jul 2010 08:00:00 GMT

Douglas County PUD Commissioners Jim Davis, Lynn Heminger and Ron Skagen executed the following actions during the July 6, 2010 Commission meeting held at the District’s East Wenatchee Headquarters office:

Approved video transport agreement with Turner Network Sales, Inc. These agreements are required by most networks to receive and transport the signal over the Douglas County Community Network.

Authorized change order No. 1 to contract 09-23-W, 2010-2011 heavy equipment services for Wells Hydroelectric Project. This change adds a rate schedule for equipment necessary for debris removal with no change in contract not to exceed amount.

Approved execution of applications for bond ratings from Moody’s and Standard and Poor’s. The applications are necessary to provide a rating for the District’s upcoming bond issue.

Authorized reimbursement of Public Utility District No. 1 of Douglas County. This resolution will allow previously incurred expenses related to a possible fire protection system upgrade at the Wells Project to be paid for by the upcoming bond issuance.

The next meeting of the Commission is scheduled for 1:30 p.m. July 12, 2010 at the District’s Bridgeport office.

Douglas PUD Commission Meeting Report

Mon, 28 Jun 2010 08:00:00 GMT

Douglas County PUD Commissioners Jim Davis, Lynn Heminger and Ron Skagen executed the following actions during the June 28, 2010 Commission meeting held at the District’s East Wenatchee Headquarters office:

Approved modification of land use permit Terry Substation – 01. The modification will allow for an additional underground route of conduit on District property. (10-131)

Accepted bids received for surplus District property sold by Northwest Auction Service. The auction raised $45,228.50 for Douglas PUD. (10-132)

Authorized negotiation of agreement for professional archaeological and cultural resource services with Historical Research Associates, Inc. under request for qualifications 10-14-W. (10-133)

Approved agreement for professional services with LGL Limited for 2010 Adult Pacific Lamprey Telemetry Study. The cost of the contract is not to exceed $155,810. (10-134)

Authorized execution of settlement agreement with Western Electricity Coordinating Council. This settlement resolves all outstanding issues arising from a North American Electric Reliability Corporation Reliability Standards assessment. (10-135)

Rescheduled the July 5, 2010 Commission Meeting to July 6, 2010 due to the forthcoming observation of the Independence Day Holiday. That meeting will be held at 2:00 p.m. in the East Wenatchee Headquarters Building.

The next meeting of the Commission is scheduled for 2:00 p.m. Tuesday, July 6, 2010 at the District’s East Wenatchee Headquarters office.

Douglas PUD Commission Meeting Report

Mon, 21 Jun 2010 08:00:00 GMT

Douglas County PUD Commissioners Jim Davis, Lynn Heminger and Ron Skagen executed the following actions during the June 21, 2010 Commission meeting held at the District’s East Wenatchee Headquarters office:

Awarded Potelco, Inc. of Sumner, contract 10-15-D, construct South Nile Substation expansion. Potelco, with a bid price of $474,999.98 was the lowest responsive bidder. (10-129)

Authorized change order No. 19 to contract 06-41-W, generator rebuild for unit refurbishment for the Wells Hydroelectric Project. Changes include repairs to the turbine shaft jack bolt holes on the first unit. This change order will increase the not to exceed limit $16,770 bringing the total not to exceed limit to $154,155,166. (10-130)

The next meeting of the Commission is scheduled for 2:00 p.m. June 28, 2010 at the District’s East Wenatchee Headquarters office.