NOTICE OF REGULAR MEETING CITY OF ALAMEDA PUBLIC UTILITIES BOARD Alameda Municipal Power Service Center 2000 Grand Street, Conference Room A/B (Corner of Clement Avenue) Alameda, CA 94501
Monday, May 18, 2020 at 7:00 P.M.
Notice: Due to Governor Executive Order N-29-20, Board members can attend the meeting via teleconference. Members of the public can follow the meeting via web (https://bit.ly/3b2l5SY) and teleconference (+1 510-358-3865 Conference ID: 251 059 944#) and address the Public Utilities Board during the meeting via email ([email protected]) or text (510-715-9930). Comments submitted during the meeting will be read into the record (subject to speaker time limits). Comments submitted prior to the meeting will be included in the meeting record. Comments submitted through the Microsoft Teams meeting chat window will not be monitored. Any requests for reasonable accommodations from individuals with disabilities should be made by contacting Alameda Municipal Power at [email protected].)
The Alameda Municipal Power Service Center will be NOT be open to the public during the meeting
1. ROLL CALL
2. ORAL COMMUNICATIONS - NONAGENDA (PUBLIC COMMENT) Members of the public are invited to address the Board on any subject related to the activities of Alameda Municipal Power not otherwise appearing on the Agenda.
3. SPECIAL PRESENTATION
4. CONSENT CALENDAR Consent Calendar items are considered routine and will be enacted, approved or adopted by one motion unless a request for removal for discussion or explanation is received from the Board or a member of the public.
4.I. A1. Minutes – Special Meeting Budget Workshop – April 27, 2020
Documents:
CONSENT CALENDAR ITEM A1.PDF
4.II. A2. Minutes – Regular Meeting – April 27, 2020
Documents:
CONSENT CALENDAR ITEM A2.PDF
4.III. B. Listing Of Bills Paid – April 2020
Documents:
CONSENT CALENDAR ITEM B.PDF
4.IV. C. Financial Report – March 2020
Documents:
CONSENT CALENDAR ITEM C.PDF
4.V. D. Treasurer’s Report For The Month Ending March 31, 2020
Documents:
CONSENT CALENDAR ITEM D.PDF
4.VI. E. By Resolution, Authorize The General Manager To Purchase Solid Dielectric Pad- Mounted Switches For A One Time Purchase To Innovative Switchgear Solutions In An Amount Not To Exceed $450,000 Per Material Specification No. MS 03-20-01
Documents:
CONSENT CALENDAR ITEM E.PDF
4.VII. F. By Motion, Authorize The General Manager To Issue A Purchase Order To The Okonite Company In An Amount Not To Exceed $659,000 With A Contingency Of $30,200 For A Total Amount Not To Exceed Of $689,200 To Purchase 90,000 Feet Of 1/0 AWG, 20,250 Feet Of 500 KCMIL, And 7,800 Feet Of 1000 KCMIL Underground Distribution 15 Kilovolt Power Cable Per Material Specification Nos. MS 07-16-01 And MS 09-18-01
Documents:
CONSENT CALENDAR ITEM F.PDF
5. AGENDA ITEMS
5.I. A. Business Risk Quantification Report – Information Only
Documents:
AGENDA ITEM A.PDF
6. GENERAL MANAGER'S REPORT
6.I. A. General Manager’s Report – April 2020
Documents:
GENERAL MANAGERS REPORT.PDF
7. COUNCIL COMMUNICATIONS
8. BOARD COMMUNICATIONS
9. ORAL COMMUNICATIONS - NON AGENDA (PUBLIC COMMENT) Members of the public are invited to address the Board on any subject related to the activities of Alameda Municipal Power not otherwise appearing on the Agenda.
10. ADJOURNMENT
l Each member of the public who wishes to speak is afforded up to 5 minutes per agenda item, which may be increased or limited by the presiding officer. l Sign language interpreters will be available on request. Please contact Hayley Wise at 748-3908 or 522-7538 (TDD number) or EMAIL at least 72 hours before the meeting to request an interpreter. l Accessible seating for persons with disability (including those using wheelchairs) is available. l Minutes of the meeting are available in enlarged print. l Audiotapes of the meeting are available upon request. l Please contact Hayley Wise at 748-3908 or 522-7538 (TDD number) or EMAIL at least 72 hours prior to the meeting to request agenda materials in an alternative format, or any other reasonable accommodation that may be necessary to participate in and enjoy the benefits of the meeting.
Documents related to this agenda are available for public inspection and copying at Alameda Municipal Power’s Service Center – 2000 Grand Street during office hours.
Know Your Rights Under the Sunshine Ordinance
Government’s duty is to serve the public, reaching its decisions in full view of the public.
Commissions, boards, councils and other agencies of the City of Alameda exist to conduct the citizen of Alameda’s business. This ordinance assures that deliberations are conducted before the people and that City operations are open to the people’s review.
For more information on your rights under the sunshine ordinance or to report a violation of the ordinance, contact the Open Government Commission:
l 2263 Santa Clara Avenue Room 380 Alameda, CA, 94501 l Phone: 510-747-4800 l Fax: 510-865-4048 l EMAIL CITY CLERK LARA WEISIGER
In order to assist the City’s efforts to accommodate persons with severe allergies, environmental illnesses, multiple chemical sensitivity or related disabilities, attendees at public meetings are reminded that other attendees may be sensitive to various chemical based products. Please help the City accommodate these individuals.
[Section 2-91.13 (d) - Sunshine Ordinance] NOTICE OF REGULAR MEETING CITY OF ALAMEDA PUBLIC UTILITIES BOARD Alameda Municipal Power Service Center 2000 Grand Street, Conference Room A/B (Corner of Clement Avenue) Alameda, CA 94501
Monday, May 18, 2020 at 7:00 P.M.
Notice: Due to Governor Executive Order N-29-20, Board members can attend the meeting via teleconference. Members of the public can follow the meeting via web (https://bit.ly/3b2l5SY) and teleconference (+1 510-358-3865 Conference ID: 251 059 944#) and address the Public Utilities Board during the meeting via email ([email protected]) or text (510-715-9930). Comments submitted during the meeting will be read into the record (subject to speaker time limits). Comments submitted prior to the meeting will be included in the meeting record. Comments submitted through the Microsoft Teams meeting chat window will not be monitored. Any requests for reasonable accommodations from individuals with disabilities should be made by contacting Alameda Municipal Power at [email protected].)
The Alameda Municipal Power Service Center will be NOT be open to the public during the meeting
1. ROLL CALL
2. ORAL COMMUNICATIONS - NONAGENDA (PUBLIC COMMENT) Members of the public are invited to address the Board on any subject related to the activities of Alameda Municipal Power not otherwise appearing on the Agenda.
3. SPECIAL PRESENTATION
4. CONSENT CALENDAR Consent Calendar items are considered routine and will be enacted, approved or adopted by one motion unless a request for removal for discussion or explanation is received from the Board or a member of the public.
4.I. A1. Minutes – Special Meeting Budget Workshop – April 27, 2020
Documents:
CONSENT CALENDAR ITEM A1.PDF
4.II. A2. Minutes – Regular Meeting – April 27, 2020
Documents:
CONSENT CALENDAR ITEM A2.PDF
4.III. B. Listing Of Bills Paid – April 2020
Documents:
CONSENT CALENDAR ITEM B.PDF
4.IV. C. Financial Report – March 2020
Documents:
CONSENT CALENDAR ITEM C.PDF
4.V. D. Treasurer’s Report For The Month Ending March 31, 2020
Documents:
CONSENT CALENDAR ITEM D.PDF
4.VI. E. By Resolution, Authorize The General Manager To Purchase Solid Dielectric Pad- Mounted Switches For A One Time Purchase To Innovative Switchgear Solutions In An Amount Not To Exceed $450,000 Per Material Specification No. MS 03-20-01
Documents:
CONSENT CALENDAR ITEM E.PDF
4.VII. F. By Motion, Authorize The General Manager To Issue A Purchase Order To The Okonite Company In An Amount Not To Exceed $659,000 With A Contingency Of $30,200 For A Total Amount Not To Exceed Of $689,200 To Purchase 90,000 Feet Of 1/0 AWG, 20,250 Feet Of 500 KCMIL, And 7,800 Feet Of 1000 KCMIL Underground Distribution 15 Kilovolt Power Cable Per Material Specification Nos. MS 07-16-01 And MS 09-18-01
Documents:
CONSENT CALENDAR ITEM F.PDF
5. AGENDA ITEMS
5.I. A. Business Risk Quantification Report – Information Only
Documents:
AGENDA ITEM A.PDF
6. GENERAL MANAGER'S REPORT
6.I. A. General Manager’s Report – April 2020
Documents:
GENERAL MANAGERS REPORT.PDF
7. COUNCIL COMMUNICATIONS
8. BOARD COMMUNICATIONS
9. ORAL COMMUNICATIONS - NON AGENDA (PUBLIC COMMENT) Members of the public are invited to address the Board on any subject related to the activities of Alameda Municipal Power not otherwise appearing on the Agenda.
10. ADJOURNMENT
l Each member of the public who wishes to speak is afforded up to 5 minutes per agenda item, which may be increased or limited by the presiding officer. l Sign language interpreters will be available on request. Please contact Hayley Wise at 748-3908 or 522-7538 (TDD number) or EMAIL at least 72 hours before the meeting to request an interpreter. l Accessible seating for persons with disability (including those using wheelchairs) is available. l Minutes of the meeting are available in enlarged print. l Audiotapes of the meeting are available upon request. l Please contact Hayley Wise at 748-3908 or 522-7538 (TDD number) or EMAIL at least 72 hours prior to the meeting to request agenda materials in an alternative format, or any other reasonable accommodation that may be necessary to participate in and enjoy the benefits of the meeting.
Documents related to this agenda are available for public inspection and copying at Alameda Municipal Power’s Service Center – 2000 Grand Street during office hours.
Know Your Rights Under the Sunshine Ordinance
Government’s duty is to serve the public, reaching its decisions in full view of the public.
Commissions, boards, councils and other agencies of the City of Alameda exist to conduct the citizen of Alameda’s business. This ordinance assures that deliberations are conducted before the people and that City operations are open to the people’s review.
For more information on your rights under the sunshine ordinance or to report a violation of the ordinance, contact the Open Government Commission:
l 2263 Santa Clara Avenue Room 380 Alameda, CA, 94501 l Phone: 510-747-4800 l Fax: 510-865-4048 l EMAIL CITY CLERK LARA WEISIGER
In order to assist the City’s efforts to accommodate persons with severe allergies, environmental illnesses, multiple chemical sensitivity or related disabilities, attendees at public meetings are reminded that other attendees may be sensitive to various chemical based products. Please help the City accommodate these individuals.
[Section 2-91.13 (d) - Sunshine Ordinance] NOTICE OF REGULAR MEETING CITY OF ALAMEDA PUBLIC UTILITIES BOARD Alameda Municipal Power Service Center 2000 Grand Street, Conference Room A/B (Corner of Clement Avenue) Alameda, CA 94501
Monday, May 18, 2020 at 7:00 P.M.
Notice: Due to Governor Executive Order N-29-20, Board members can attend the meeting via teleconference. Members of the public can follow the meeting via web (https://bit.ly/3b2l5SY) and teleconference (+1 510-358-3865 Conference ID: 251 059 944#) and address the Public Utilities Board during the meeting via email ([email protected]) or text (510-715-9930). Comments submitted during the meeting will be read into the record (subject to speaker time limits). Comments submitted prior to the meeting will be included in the meeting record. Comments submitted through the Microsoft Teams meeting chat window will not be monitored. Any requests for reasonable accommodations from individuals with disabilities should be made by contacting Alameda Municipal Power at [email protected].)
The Alameda Municipal Power Service Center will be NOT be open to the public during the meeting
1. ROLL CALL
2. ORAL COMMUNICATIONS - NONAGENDA (PUBLIC COMMENT) Members of the public are invited to address the Board on any subject related to the activities of Alameda Municipal Power not otherwise appearing on the Agenda.
3. SPECIAL PRESENTATION
4. CONSENT CALENDAR Consent Calendar items are considered routine and will be enacted, approved or adopted by one motion unless a request for removal for discussion or explanation is received from the Board or a member of the public.
4.I. A1. Minutes – Special Meeting Budget Workshop – April 27, 2020
Documents:
CONSENT CALENDAR ITEM A1.PDF
4.II. A2. Minutes – Regular Meeting – April 27, 2020
Documents:
CONSENT CALENDAR ITEM A2.PDF
4.III. B. Listing Of Bills Paid – April 2020
Documents:
CONSENT CALENDAR ITEM B.PDF
4.IV. C. Financial Report – March 2020
Documents:
CONSENT CALENDAR ITEM C.PDF
4.V. D. Treasurer’s Report For The Month Ending March 31, 2020
Documents:
CONSENT CALENDAR ITEM D.PDF
4.VI. E. By Resolution, Authorize The General Manager To Purchase Solid Dielectric Pad- Mounted Switches For A One Time Purchase To Innovative Switchgear Solutions In An Amount Not To Exceed $450,000 Per Material Specification No. MS 03-20-01
Documents:
CONSENT CALENDAR ITEM E.PDF
4.VII. F. By Motion, Authorize The General Manager To Issue A Purchase Order To The Okonite Company In An Amount Not To Exceed $659,000 With A Contingency Of $30,200 For A Total Amount Not To Exceed Of $689,200 To Purchase 90,000 Feet Of 1/0 AWG, 20,250 Feet Of 500 KCMIL, And 7,800 Feet Of 1000 KCMIL Underground Distribution 15 Kilovolt Power Cable Per Material Specification Nos. MS 07-16-01 And MS 09-18-01
Documents:
CONSENT CALENDAR ITEM F.PDF
5. AGENDA ITEMS
5.I. A. Business Risk Quantification Report – Information Only
Documents:
AGENDA ITEM A.PDF
6. GENERAL MANAGER'S REPORT
6.I. A. General Manager’s Report – April 2020
Documents:
GENERAL MANAGERS REPORT.PDF
7. COUNCIL COMMUNICATIONS
8. BOARD COMMUNICATIONS
9. ORAL COMMUNICATIONS - NON AGENDA (PUBLIC COMMENT) Members of the public are invited to address the Board on any subject related to the activities of Alameda Municipal Power not otherwise appearing on the Agenda.
10. ADJOURNMENT
l Each member of the public who wishes to speak is afforded up to 5 minutes per agenda item, which may be increased or limited by the presiding officer. l Sign language interpreters will be available on request. Please contact Hayley Wise at 748-3908 or 522-7538 (TDD number) or EMAIL at least 72 hours before the meeting to request an interpreter. l Accessible seating for persons with disability (including those using wheelchairs) is available. l Minutes of the meeting are available in enlarged print. l Audiotapes of the meeting are available upon request. l Please contact Hayley Wise at 748-3908 or 522-7538 (TDD number) or EMAIL at least 72 hours prior to the meeting to request agenda materials in an alternative format, or any other reasonable accommodation that may be necessary to participate in and enjoy the benefits of the meeting.
Documents related to this agenda are available for public inspection and copying at Alameda Municipal Power’s Service Center – 2000 Grand Street during office hours.
Know Your Rights Under the Sunshine Ordinance
Government’s duty is to serve the public, reaching its decisions in full view of the public.
Commissions, boards, councils and other agencies of the City of Alameda exist to conduct the citizen of Alameda’s business. This ordinance assures that deliberations are conducted before the people and that City operations are open to the people’s review.
For more information on your rights under the sunshine ordinance or to report a violation of the ordinance, contact the Open Government Commission:
l 2263 Santa Clara Avenue Room 380 Alameda, CA, 94501 l Phone: 510-747-4800 l Fax: 510-865-4048 l EMAIL CITY CLERK LARA WEISIGER
In order to assist the City’s efforts to accommodate persons with severe allergies, environmental illnesses, multiple chemical sensitivity or related disabilities, attendees at public meetings are reminded that other attendees may be sensitive to various chemical based products. Please help the City accommodate these individuals.
[Section 2-91.13 (d) - Sunshine Ordinance] AGENDA ITM NO.: 4.A1.1 MEETING DATE: 05/18/2020
DRAFT MINUTES OF THE SPECIAL MEETING CITY OF ALAMEDA PUBLIC UTILITIES BOARD MEETING
Monday, April 27
1. ROLL CALL
President McCormick called the meeting to order at 5:30 p.m. On roll call, the following commissioners were present: President McCormick, Commissioner Serventi, Commissioner Gould, Commissioner Giuntini and City Manager Levitt.
2. ORAL COMMUNICATIONS – NON AGENDA (Public Comment)
None
3. SPECIAL PRESENTATION
None
4. CONSENT CALENDAR
None
5. COUNCIL COMMUNICATIONS
None
6. AGENDA ITEMS
A. Workshop - Budget
During staff’s budget presentation, President McCormick said the revenue from operations is a relatively flat 1% change. She said it was appropriate that AMP is basing it on the adopted load forecast.
The Board is in a “wait and see” mode on the near- and mid-term impacts of the shelter- in-place order on the forecast, she said.
Independent of this budget, President McCormick said, the Board will be watching the COVID-19 impacts closely and tracking them to see if there are any other mid-year adjustments that need to be made as a result.
Staff responded that staff has been closely monitoring receipts.
On the topic of sales of renewable energy credits (RECs), President McCormick said that the PUB planned the sales several years ago. One of the benefits of REC sales was that
AGENDA ITM NO.: 4.A1.2 MEETING DATE: 05/18/2020
the Board could leverage its early investments and use the money to buy more renewable power later. She underscored that the REC sales ensured that AMP had the resources to advance to 100% clean energy in the future.
On the topic of AMP’s expenditure makeup for the fiscal year 2021 budget, President McCormick asked if there was a benchmark for labor. Staff said that each utility is different, as far as the utility’s makeup, governance, and its relationship to cities and special districts. President McCormick said that if staff comes across any benchmarks, moving forward, the Board would be interested to learn more.
Commisioner Serventi asked a clarifying question about the city’s cost allocation and direct payments for human resources and information technology.
Commissioner Gould said he agreed with a 0% increase on rates. He said a previous AMP communication was confusing because it had said the rate increase could be up to 2%. He also thanked staff for fixing AMP’s electric vehicle (EV) chargers in the Service Center’s customer parking lot.
Regarding the impact of COVID-19, Commissioner Gould said he would hope that AMP would not propose rate increases.
City Manager Levitt said that Alameda does not have as many large customers as other communities do. He asked whether staff was evaluating the COVID-19 impacts in the first quarter or first half of the year.
General Manager Procos said staff had been tracking the revenue numbers and has the billing data for March. Though COVID-19 began in March, staff is not seeing a lot of fluctuation, overall. In April’s preliminary data, there is some variation, depending on the customer classes.
Staff is reviewing the receipts on a daily basis, and March’s receipts were similar to receipts for the same period last year. Staff has seen a slight drop in revenue for April. In addition, staff will be analyzing the differences, between 2019 and 2020, on a monthly basis, and examining the impacts of the shelter in place.
President McCormick said AMP is very fortunate to be in a year where it is are not raising rates. AMP is in very good shape as it weathers the COVID-19 storm. She said she appreciates the commitment AMP has made to its customers with bill payment and energy efficiency options, as well as its decision to ensure that customers will not have their power shut off for non-payment during the crisis.
Commissioner Serventi thanked staff for its budget work. Commissioner Giuntini said the budget presentation was well done.
President McCormick said the next steps include final comments from the Board in May.
AGENDA ITM NO.: 4.A1.3 MEETING DATE: 05/18/2020
7. BOARD COMMUNICATIONS
None
8. ORAL COMMUNICATIONS - NON AGENDA (PUBLIC COMMENT)
None
9. ADJOURNMENT
President McCormick adjourned the meeting at 6:51 p.m.
AGENDA ITEM NO.: 4.A2.1 MEETING DATE: 05/18/2020
DRAFT MINUTES OF THE REGULAR MEETING CITY OF ALAMEDA PUBLIC UTILITIES BOARD MEETING
April 27, 2020
1. ROLL CALL
President McCormick called the meeting to order at 7:00 p.m. On roll call, the following commissioners were present: President McCormick, Commissioner Serventi, Commissioner Gould, Commissioner Giuntini and City Manager Levitt.
2. ORAL COMMUNICATIONS – NON AGENDA (Public Comment)
None
3. SPECIAL PRESENTATION
None
4. CONSENT CALENDAR
A1. Minutes – Special Meeting – February 24, 2020
A2. Minutes – Regular Meeting – February 24, 2020
B1. Listing of Bills Paid – February 2020
B2. Listing of Bills Paid – March 2020
C1. Financial Report – January 2020
C2. Financial Report – February 2020
D1. Treasurer’s Report for the Month Ending January 31, 2020
D2. Treasurer’s Report for the Month Ending February 29, 2020
E. By Motion, Approve and Adopt Alameda Municipal Power’s Transformer Art Policy and Guidelines
F. By Motion, Approve Amendment #2 to Professional Services Agreement PS 09-15-01 with Ecology Action to Extend the Term of the Contract to February 28, 2021, and Update the Scope of Service
G. By Resolution, Commend Ed Schneider for His Long and Distinguished Service to Alameda Municipal Power
AGENDA ITEM NO.: 4.A2.2 MEETING DATE: 05/18/2020
H. By Motion, Authorize the General Manager to Extend a Profession Services Agreement with US Bank in the Amount of $4,000 per Month for an Additional Three Year Term for Banking Services Through June 30, 2023
I. By Motion, Authorize the General Manager to Purchase New Time Division Multiple Access Radios and Associated Equipment from the County of Alameda, in an Amount Not to Exceed $166,500 and Authorize the General Manager to Transfer Funds from Unused Capital Improvement Project Budget Funds to Cover the Cost
J. By Motion, Authorize the General Manager to Issue Purchase Orders to Howard Industries, Inc., in an Amount Not to Exceed $90,500, and ABB, Inc., in an Amount Not to Exceed $96,100 to Purchase Distribution Transformers per Material Specification No. MS 05-18-01
K. By Motion, Authorize the General Manager to Make the Annual Maintenance Payment for the Harris Northstar Customer Information System for a Total Amount Not to Exceed $92,694.09
L. For Information Only, Summary of 10-Year Pro Forma Analysis
President McCormick pulled item L, and Commissioner Gould pulled item A2.
With a motion from Commissioner Giuntini and a second from Commissioner Serventi, the Public Utilities Board (Board) approved the balance of the consent calendar.
Commissioner Gould then said he had pulled item A2 in error.
For item L, staff presented highlights of the analysis.
With a motion from Commissioner Giuntini and a second from City Manager Levitt, the Board unanimously approved items L and A2.
5. AGENDA ITEMS
A. By Resolution, Approve Alameda Municipal Power Rate Schedules and Riders for Fiscal Year 2021
During a staff presentation, President McCormick commented on a slide that said Alamedans will save $15 million on their utility bills in fiscal year 2021 because they are served by AMP instead of PG&E. She noted that AMP also provides about $6 million in transfers to the city of Alameda.
Commissioner Gould asked for more information about net energy metering (NEM) and eligible renewable generation (ERG) credits.
AGENDA ITEM NO.: 4.A2.3 MEETING DATE: 05/18/2020
In response, staff said the NEM and ERG compensation rates are calculated each year. The ERG rate is based on the offsetting cost, while the NEM rate is an average of the cost of the renewable portfolio that we have, staff said.
Commissioner Gould then asked for a review of the ERG program.
He also said he was concerned about the agenda item’s resolution. The third paragraph refers to the Board going along with projected future rate increases. These projected rate increases may be less relevant, in terms of the COVID-19 situation, he said.
President McCormick said the information in the resolution came from a standing, board- adopted policy to cap rate increases at 5%. The resolution reflects an existing Board policy and is an appropriate part of the agenda item.
Commissioner Serventi said the Board is voting on a 0% rate increase, so the language in the resolution referring to future increases does not come into play.
General Manager Procos said there is an established Board policy of capping rate increases at no more than 5%. There is also a pro forma, he said, which provides a projection based on the best available financial information and can change dramatically.
While preparing next year’s budget, staff will evaluate the numbers and other factors, such as the possibility of continuing impacts from COVID-19, he said. Then, staff will bring a proposal to the Board for rate changes in the 0-5% range.
President McCormick said that Commissioner Gould’s comment is noted. The language in the resolution gives the Board flexibility and is not intended to send signals. Rather, the language states the board’s standing policy, which can be revisited at another time, she said.
Commissioner Serventi said the Board needs to have the flexibility to make the changes. He thanked staff for their efforts.
President McCormick said it was an opportune time to hold AMP’s rates steady.
Commissioner Serventi said this is an apropos time for a 0% rate increase. He added that it is important for AMP to get the word out that the utility puts money back into the community, he said.
President McCormick said that the 0% rate increase and 100% clean energy are good messages. She also suggested highlighting that Alamedans will save $15 million on their utility bills in fiscal year 2021 because they are served by AMP instead of PG&E.
With a motion from Commissioner Serventi and a second from Commissioner Giuntini, the Board unanimously approved the item.
AGENDA ITEM NO.: 4.A2.4 MEETING DATE: 05/18/2020
6. GENERAL MANAGER'S REPORT
A. General Manager's Report – March 2020
General Manager Procos reported to the Board on the steps the utility is taking to address COVID-19 impacts on customers, such as suspending service disconnections for non- payment, launching a payment installment program, and providing payment extensions. He acknowledged staff for their work during this difficult time.
7. COUNCIL COMMUNICATIONS
City Manager Levitt noted that the Alameda City Council has taken several actions recently related to COVID-19, including the launch of a small business grant program.
8. BOARD COMMUNICATIONS
None
9. ORAL COMMUNICATIONS - NON AGENDA (PUBLIC COMMENT)
None
10. ADJOURNMENT
President McCormick adjourned the meeting at 7:47 p.m.
AGENDA ITEM NO.: 4.B.1 MEETING DATE: 05/18/2020
Alameda, California From Check Date: 04/01/2020 - To Check Date: 04/30/2020 The following bills payable out of the Alameda Municipal Power funds were approved for payment. SUPPLIER DESCRIPTION AMOUNT NO CALIF POWER AGENCY ALL POWER BILL-APRIL(P) 2,592,559.00 ALAMEDA, CITY OF PAYROLL(A) 1,009,489.18 ALAMEDA, CITY OF TRANSFER TO GENERAL FUND(A) 397,113.60 ALAMEDA, CITY OF UTILITY TAX(A) 320,070.71 U S BANK TRUST NA 2010A&B SERIES REVENUE BOND(A) 217,179.24 ALAMEDA, CITY OF PILOT & ROI CHARGES(A) 125,333.33 SOUTHERN ELECTRICAL ELECTRICAL SPLYS(O) 57,178.23 HARRIS ANNUAL MAINTENANCE(A) 51,222.81 ANIXTER INC. ELECTRICAL SPLYS(I) 42,039.08 3 DEGREES, INC. ALAMEDA GREEN PGM(P) 31,880.70 1835 ALAMEDA PROPERTY LLC LEASE-BLDG(A) 26,204.23 CALIFORNIA DEPARTMENT SURCHARGE TAX-1ST QTR(A) 25,312.53 KOPPERS UTILITY AND ELECTRICAL SPLYS(I) 23,025.58 DATAPROSE, LLC. PRINTING SVCS(A) 17,894.28 TELE-WORKS INC ANNUAL SERVICE(A) 13,400.00 QUADIENT, INC. MAIL MACHINE(A) 11,354.74 RKS RESEARCH & CONSULTING CONSULTING SVCS(M) 9,500.00 SMART ENERGY WATER PROFESSIONAL SVCS(A) 8,700.00 PAUL HAMPTON COMMERCIAL EV CHARGE REBATE(P) 8,408.05 AMERICAN WHOLESALE LIGHTING LED RETROFIT(P) 6,852.00 LANDIS+GYR TECHNOLOGY, INC DATA SVCS(A) 6,292.21 ALAMEDA, CITY OF GAS CHARGES(O) 5,859.98 ALAMEDA, CITY OF WORKERS COMP(A) 4,924.02 THE CREATIVE GROUP TEMP SVCS(M) 4,500.00 LEVEL 3 COMMUNICATIONS, LLC TRANSPORT CIRCUIT(A) 4,210.37 UNIVERSAL BUILDING JANITORIAL SVCS(A) 3,916.00 AT&T PHONE SVCS(A) 3,809.97 ALAMEDA, CITY OF GARAGE CHGS(O) 3,550.12 CARAHSOFT TECHNOLOGY CORP. PROFESSIONAL SVCS(E) 3,510.60 US BANK GOV SVCS CAL CARD PAYMENT(V) 3,365.26 FARWEST LINE SPECIALTIES ELECTRICAL SPLYS(I) 3,185.24 FORSTER & KROEGER LANDSCAPE LANDSCAPING SVCS(A) 3,050.00 COOPER COMPLIANCE CORP CONSULTING SVCS(O) 3,020.00 VERIZON WIRELESS SERVICES, LLC DATA SVCS(A) 2,954.43 BLAISDELLS OFFICE SPLYS(V) 2,886.61 ALAMEDA CHRISTMAS TREE LANE SPONSORSHIP(M) 2,500.00 NORTHWEST LINEMAN COLLEGE TRAINING(O) 2,319.60 QUEST MEDIA & SUPPLIES INC CONSULTING SVCS(M) 2,160.00 JOHNSON CONTROLS FIRE PROT. LP FIRE ALARM(A) 2,109.00 EIDE BAILLY LLP AUDIT SVCS(A) 2,100.00 JACKSON LEWIS PROFESSIONAL SVCS(A) 1,924.00 VALLEY POWER SYSTEMS INC MAINTENANCE(E) 1,880.11 HILTI INC ELECTRICAL SPLYS(I) 1,804.90 MATRIX HG INC. MAINTENANCE(A) 1,499.00 ONE SOURCE DISTRIBUTORS ELECTRICAL SPLYS(I) 1,493.36 GREAT AMERICA FINANCIAL SVCS. COPIER LEASE(A) 1,446.82 MYTHICS, INC. SUPPORT RENEWAL(A) 1,374.17 AGENDA ITEM NO.: 4.B.2 MEETING DATE: 05/18/2020
Alameda, California From Check Date: 04/01/2020 - To Check Date: 04/30/2020 The following bills payable out of the Alameda Municipal Power funds were approved for payment. SUPPLIER DESCRIPTION AMOUNT GRAINGER INC ELECTRICAL SPLYS(I) 1,216.18 SMART UTILITY SOLUTIONS SYSTEM ADDITIONS(O) 1,180.00 UNITED RENTALS EQUIPMENT RENTAL(O) 1,041.55 ALAMEDA MARINA RENTAL PARKING SPACES(A) 1,000.00 SEEDS COMMUNITY SERVICE FEE(A) 1,000.00 ALAMEDA LEGACY HOME TOUR SPONSORSHIP(M) 1,000.00 ALTEC INDUSTRIES, INC. ELECTRICAL SPLSY(O) 980.47 ROSS NATON MEALS(O) 667.89 ALAMEDA, CITY OF FINGERPRINTING(A) 586.84 FASCO FASTENER CO INC ELECTRICAL SPLYS(I) 499.36 UNITED PARCEL SERVICES SHIPPING(A,M) 488.47 COMCAST CABLE & INTERNET SVCS(A) 334.92 SHRED-IT SHREDDING SVCS(A) 285.12 PGI CONFERENCE CALL(A) 194.74 EAST BAY BLUEPRINT & SUPPLY SERVICE CONTRACT(E) 175.25 PROTECTION 1 / ADT ALARM MONITORING(A) 158.22 GERALD M. SERVENTI EXPENSE REIMB(G) 150.00 UNDERGROUND SVC.ALERT OF MEMBERSHIP FEE(A) 150.00 SAFEGUARD BUSINESS SYSTEMS BANK SPLYS(C) 132.24 UNITED TEXTILE INC ELECTRICAL SPLYS(I) 122.91 STELLAR MEDIA GROUP, INC. ADS(A) 101.25 PROCOS, NICOLAS EXPENSE REIMB( 89.24 ALAMEDA MAIL BOXES PLUS COMMISSIONS(C) 88.50 LARM'S READY-MIX INC ELECTRICAL SPLYS(E) 87.80 ARAMARK INC JANITORIAL SVCS(A) 82.00 NO CALIFORNIA JT POLE ASSO MONTHLY ASSESSMENT FEE(O) 53.82 E B M U D WATER CHARGES(A) 52.46 REGAN, MARK MEALS(O) 32.00 WREGIS TRANSFER FEE(P) 13.30 5,088,327.59
The above claims in the amount of $5,088,327.59 have been examined, certified correct, and approved for payment by the secretary of the Public Utilities Board.
/S/ ______Secretary of the Public Utilities Board AGENDA ITEM NO: 4.C.1 MEETING DATE: 5/18/2020
Monthly Financial Report
with data through March 2020 (Unaudited)
The data contained in this report has not been independently audited. AGENDA ITEM NO: 4.C.2 MEETING DATE: 5/18/2020 Alameda Municipal Power Financial Report With Supporting Documentation For the Month of March 2020
Table of Contents
Management Summary ...... 3 Financial Summary of Selected Totals ...... 4 Revenue Graphs ...... 5 Expense Graphs ...... 6 Gross Earning, Wage & Benefits Graphs ...... 7 Purchased Power Billing From Northern California Power Agency ...... 8 Analysis of Capital Spending ...... 9 Special Revenue Summary ...... 10
Financial Reports In Detail ...... 11
Financial Notes ...... 12 Monthly & Year To Date (YTD) Performance Versus Budget ...... 13 Monthly & YTD Performance Versus Last Year’s Actual...... 14 Balance Sheet ...... 15-16 Statement of Cash Flow ...... 17 Utility Plant Detail ...... 18 Electric Non-Power Costs Analysis/Balancing Account Update ...... 19 AGENDA ITEM NO: 4.C.3 MEETING DATE: 5/18/2020
MANAGEMENT SUMMARY
AGENDA ITEM NO: 4.C.4 MEETING DATE: 5/18/2020
Alameda Municipal Power Financial Summary of Selected Totals For Fiscal Year (FY) 2020 Year to Date as of March 2020
Over/Under % Change Over/Under % Change YTD Actual FY2020 Budget Budget with Budget Prior Year Prior Yr with Prior Yr Prorated YTD Actual Electric Sales (KWH): 260,270,264 259,575,747 694,517 0.3% 250,279,288 9,990,976 4.0% Residential (D1 & D2) 95,366,233 93,196,757 2,169,476 2.3% 95,958,434 (592,201) -0.6% General Service (A1) 41,611,077 38,922,949 2,688,128 6.9% 36,438,359 5,172,718 14.2% Demand Metered (A2 &A3) 112,197,163 117,800,607 (5,603,444) -4.8% 108,042,941 4,154,222 3.8% Municipal & Other ( M1, M2, M3, OL & CT) 11,095,791 9,655,435 1,440,356 14.9% 9,839,554 1,256,237 12.8% Commercial & Industrial 153,808,240 156,723,555 (2,915,315) -1.9% 144,481,300 9,326,940 6.5%
Electric Revenue - see 4.C.13 & 14 for Income Statement 50,973,739 50,005,073 968,666 1.9% 48,827,216 2,146,524 4.4% Residential (D1 & D2) 19,061,221 18,613,470 447,751 2.4% 18,629,418 431,803 2.3% General Service (A1) 8,425,567 7,906,577 518,990 6.6% 7,312,585 1,112,982 15.2% Demand Metered (A2 &A3) 18,230,637 18,794,226 (563,589) -3.0% 17,237,515 993,122 5.8% Municipal & Other ( M1, M2, M3, OL & CT) 2,081,681 1,817,704 263,977 14.5% 1,885,573 196,108 10.4% Solar Rebate Surcharge - - - 0.0% 25 (25) -100.0% Energy Adjustment Revenue 17,014 25,474 (8,460) -33.2% 43,410 (26,396) -60.8% Other Operating Revenue 310,208 277,356 32,852 11.8% 368,912 (58,705) -15.9% Revenue from REC*, Cap&Trade & LCFS** Credit Sale 2,796,864 2,508,162 288,702 11.5% 3,295,440 (498,576) -15.1% Alameda Point Telephone 50,547 62,105 (11,557) -18.6% 54,336 (3,789) -7.0% Electric Sales 47,799,106 47,131,977 667,129 1.4% 45,065,091 2,734,015 6.1%
Electric Operating & Non-Operating expenses - see 4.C.13 & 14 for Income Statement (45,381,289) (46,608,584) 1,193,002 -2.6% (43,397,449) (1,983,839) 4.6% Purchased Power (24,630,616) (22,784,733) (1,845,883) 8.1% (23,700,075) (930,540) 3.9% Customer Programs & Services (2,853,385) (3,484,332) 630,947 -18.1% (2,930,875) 77,490 -2.6% Operations & Maintenance (3,626,887) (5,532,881) 1,905,994 -34.4% (3,692,907) 66,020 -1.8% Administration (6,761,288) (6,842,551) 81,263 -1.2% (5,187,885) (1,573,403) 30.3% Expenses Funded by Special Revenue (717,390) (1,411,500) 694,110 -49.2% (674,707) (42,682) 6.3% Depreciation & Amortization (2,867,711) (2,550,000) (317,711) 12.5% (2,876,767) 9,055.56 -0.3% Other Nonoperating Revenue (Expenses)-Net 1,398,073 1,122,228 275,845 24.6% 833,010 565,064 67.8% Debt Related Charges (955,340) (955,602) 262 0.0% (1,007,027) 51,687 -5.1% PILOT*** & City Transfer (4,363,538) (4,131,712) (231,826) 5.6% (4,160,217.00) (203,321) 4.9% Alameda Point Telephone (3,207) (37,500) 34,293 -91.4% - (3,207.31) #DIV/0!
Operating expenses excluding Purch power, depreciation (13,958,950) (17,271,264) 3,312,315 -19.2% (12,486,373) (1,472,577) 11.8% Electric Net Income (Loss) - See 4.C.13 & 14 5,592,451 3,396,490 2,195,961 64.7% 5,429,766 162,684 3.0%
* REC - Renewable Energy Credits ** LCFS - Low Carbon Fuel Standard *** PILOT - Payment in Lieu of Taxes AGENDA ITEM NO: 4.C.5 MEETING DATE: 5/18/2020
$60,000,000
50,005,073 $50,000,000 50,973,739
$40,000,000
$30,000,000
19,061,221 18,794,226 $20,000,000 18,613,470 18,230,637
7,906,577
$10,000,000 8,425,567 2,081,681 2,796,864 327,222 1,817,704 2,508,162 302,830 $0 General Service Demand Metered Solar Surcharge & REC/Cap&Trade Revenue Total Residential Municipal (A1) (A2 &A3) Other Oper. Rev Revenue FY2020 Budget 50,005,073 18,613,470 7,906,577 18,794,226 1,817,704 302,830 2,508,162 FY2020 Actual 50,973,739 19,061,221 8,425,567 18,230,637 2,081,681 327,222 2,796,864
Electric Revenue through March 2020 FY2020 Budget FY2020 Actual
300,000,000
259,575,747 260,270,264 250,000,000
200,000,000
150,000,000 117,800,607 95,366,233 112,197,163 93,196,757 100,000,000
41,611,077 50,000,000 38,922,949
9,655,435 11,095,791 0 Demand Metered (A2 KWH total Residential General Service (A1) Municipal &A3) FY2020 Budget 259,575,747 93,196,757 38,922,949 117,800,607 9,655,435 FY2020 Actual 260,270,264 95,366,233 41,611,077 112,197,163 11,095,791
Electric Sales (KWh) through March 2020 FY2020 Budget FY2020 Actual AGENDA ITEM NO:4.C.6 MEETING DATE: 5/18/2020
$30,000,000 24,630,616 22,784,733 $25,000,000
$20,000,000
$15,000,000
$10,000,000 6,842,551 6,761,288 5,532,881 4,363,538 3,484,332 3,626,887 4,131,712 $5,000,000 2,853,385 1,411,500 955,602 717,390 955,340 $0 Customer Exp. Funded Operations & Purchased Debt Related PILOT & City Administration Programs & by Special Maintenance power Charges Transfer Services Rev FY2020 Budget 6,842,551 3,484,332 5,532,881 1,411,500 22,784,733 955,602 4,131,712 FY2020 Actual 6,761,288 2,853,385 3,626,887 717,390 24,630,616 955,340 4,363,538
Electric Expense through March 2020 FY2020 Budget FY2020 Actual
$8,000,000 $7,544,930 $6,834,608 $7,000,000 $6,853,277
$5,945,496 $6,000,000
$5,000,000 (1) Labor $4,000,000 $6,834,608 49.19%
$3,000,000 $1,615,931 $2,000,000 $1,112,841 $1,000,000
$- (3) Material (2) Service $1,112,841 (1) Labor (2) Service (3) Material $5,945,496 8.01% 42.80%
YTD Budget YTD Actual (1) Labor - Wages (2) Service - Benefits & Other Services Provided by Ouside Vendors Electric Operating Expenses (3) Material - Purchased Supplies & Energy Efficiency Through March 2020 (Purchased Power & Depreciation Excluded)
AGENDA ITEM NO: 4.C.7 MEETING DATE: 5/18/2020
Alameda Municipal Power Fiscal Year (FY) 2020 Total Wages & Benefits Through March 2020
$16,000,000
$14,000,000
$12,000,000 $10,000,000 $8,000,000
$6,000,000
$4,000,000
$2,000,000
$0
TOTAL WAGES & BENEFITS FY 2019 actual FY 2020 actual FY 2020 budget
$12,000,000
$10,000,000
$8,000,000
$6,000,000
$4,000,000
$2,000,000
$0
GROSS WAGES FY2019 actual FY2020 actual FY2020 budget
Budgeted Employees: 92 Actual Employees: 85 + 2 Temp AGENDA ITEM NO: 4.C.8 MEETING DATE: 5/18/2020
Alameda Municipal Power Selected Information - Purchased Power Billing From NCPA for the Month of March 2020
AMP pays purchase power invoices through Northern California Power Agency (NCPA). Generally, the monthly purchased power cost consists of NCPA's estimated power billing invoice for the current month, and an adjustment for the preceding months.
The monthly gross purchased power billing is listed below:
Fiscal Year (FY) 2020 FY 2020 FY 2019 FY 2019 Power Cost per bill/ Mo. Monthly Year-to-Date Monthly Year-to-Date July 2,178,322 2,178,322 2,806,808 2,806,808 August 2,221,466 4,399,788 2,391,145 5,197,953 September 2,197,127 6,596,915 1,487,463 6,685,416 October 2,201,959 8,798,874 2,137,841 8,823,257 November 2,435,602 11,234,476 2,646,808 11,470,065 December 2,875,992 14,110,468 3,299,869 14,769,934 January 3,975,350 18,085,818 3,423,412 18,193,346 February 3,764,184 21,850,002 2,736,251 20,929,597 March 2,779,563 24,629,565 2,785,374 23,714,971 April May - - June - -
Mar./Prior Year Net Metering Purchase - Solar 772 18,297 301 12,229
Mar./Prior Year Payment to NCPA for Energy Efficiecy Programs & Other - 26,595 (3,032) (27,750) Mar./Prior Year Miscellaneous (8) (43,842) - 626 Prior Year NCPA Refund for Prior Year Settlement - - - - 2,780,327 24,630,615 2,782,643 23,700,076
.
$4,000,000
$3,500,000
$3,000,000
$2,500,000
$2,000,000
$1,500,000
$1,000,000
$500,000
$-
Monthly Purchased Power Billing Invoice From NCPA FY2020 Monthly Billing FY2019 Monthly Billing AGENDA ITEM 4.C.9 MEETING DATE: 05/18/2020
8,000,000.00
7,000,000.00 November 2012
6,000,000.00
5,000,000.00
4,000,000.00
3,000,000.00
2,000,000.00
1,000,000.00
- JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN Electric Capital Additions Budget vs. Actual and Forecast Budget Forecast Actual YTD through March, 2020
9 Total Budget This Month YTD Actual Utility System Capital Projects System Replacements 820,215 36,399 224,120 System Additions 515,000 0 0 New Loads 1,860,442 84,292 1,235,921 Underground Conversions 489,500 6,152 120,372 Funded by Cap & Trade 583,100 2,299 36,069 Funded by REC 1,650,000 0 14,631 AMI Deployment - Rates Funding 0 0 12,253 $5,918,257 $129,142 $1,643,366
System Enhancements (Capitalized) Transmission 0 0 0 Distribution 620,013 0 0 Substation Equipment 269,650 11,975 54,257 Subtotal - System Enhancements Projects $889,663 $11,975 $54,257
Information Systems Capital Projects Subtotal - Information Systems Projects $202,000 $0 $231,525
Support Services Capital Projects Subtotal - Support Services Capital Projects $0 $0 $0
Total Capital Projects for FY 2020 $7,009,920 $141,117 $1,929,147 4/14/16 Per Sophie, budget will not match budget book total still. Collected This Month YTD Actual
Total Outside Billing Projects for FY 2020 $ 2,264,778.24 $13,922 $259,494 AGENDA ITEM NO: 4.C.10 MEETING DATE: 5/18/2020 Special Revenue Summary - FY2020 Year To Date through March 2020
Cap & Trade Revenue Funding from Operating Capital Total Reserve - 10 2114 Cash Receipts Power Costs Expenses Projects Expenditures Reserve Balance
Reserve Beginning Balance 6-30-2019 3,127,934 Jul-19 - (588) (588) 3,127,347 Aug-19 - (83,334) (2,604) (85,938) 3,041,408 Sep-19 269,635 (41,667) (930) (42,597) 3,268,446 Oct-19 - (41,667) (18,249) (59,916) 3,208,530 Nov-19 - (41,667) (5,395) (47,062) 3,161,468 Dec-19 267,138 (41,667) (4,279) (45,946) 3,382,660 Jan-20 - (41,667) - (41,667) 3,340,993 Feb-20 - (41,667) (1,725) (43,392) 3,297,601 Mar-20 280,845 (41,667) (2,299) (43,966) 3,534,480 Apr-20 - 3,534,480 May-20 - 3,534,480 Jun-20 - 3,534,480 Total To Date 817,618 (375,003) - (36,070) (411,073) 3,534,480
Renewable Energy Credits Funding from Operating Capital Total Revenue Reserve - 10 2113 Cash Receipts Power Costs Expenses Projects Expenditures Reserve Balance
Reserve Beginning Balance 6-30-2019 19,327,911 Jul-19 170,516 (2,000) (61,643) - (63,643) 19,434,784 Aug-19 194,673 - (116,780) - (116,780) 19,512,677 Sep-19 151,514 (34,515) (2,544) - (37,059) 19,627,132 Oct-19 160,258 (4,483) (72,655) - (77,138) 19,710,252 Nov-19 184,717 (4,000) (22,440) - (26,440) 19,868,528 Dec-19 190,662 (111,600) (345,729) - (457,329) 19,601,862 Jan-20 191,425 (116,950) (19,880) (14,631) (151,461) 19,641,826 Feb-20 191,938 (111,600) (27,708) - (139,308) 19,694,456 Mar-20 138,653 (4,428) (9,498) (13,926) 19,819,183 Apr-20 - 19,819,183 May-20 - 19,819,183 Jun-20 - 19,819,183 Total To Date 1,574,356 (389,576) (678,878) (14,631) (1,083,085) 19,819,183
Low Carbon Fuel Standard Funding from Operating Capital Total Revenue Reserve - 10 2115 Cash Receipts Power Costs Expenses Projects Expenditures Reserve Balance
Reserve Beginning Balance 6-30-2019 942,892 Jul-19 - - 942,892 Aug-19 990,000 - (25,919) - (25,919) 1,906,973 Sep-19 (1,250) - - - - 1,905,723 Oct-19 - - (10,972) - (10,972) 1,894,751 Nov-19 - - (30,432) - (30,432) 1,864,319 Dec-19 - - (31,250) (31,250) 1,833,070 Jan-20 - - (8,154) (8,154) 1,824,916 Feb-20 - - (8,093) - (8,093) 1,816,822 Mar-20 - - (9,960) - (9,960) 1,806,862 Apr-20 - 1,806,862 May-20 - 1,806,862 Jun-20 - 1,806,862 Total To Date 988,750 (124,780) (124,780) 1,806,862
Combined Total 3,380,724 (764,579) (803,657) (50,701) (1,618,937) 25,160,525 AGENDA ITEM NO: 4.C.11 MEETING DATE: 5/18/2020
FINANCIAL REPORT DETAIL AGENDA ITEM NO: 4.C.12 MEETING DATE: 5/18/2020
Alameda Municipal Power Financial Notes For the Month of March 2020
1. Sales of Electricity: Electricity sales for the month were 6.7 percent under budget and 5.5 percent lower than the same month last year. Residential sales were 8.0 percent under budget for the month and 12.3 percent lower than the same month last year. General Service A1 sales were 0.1 percent over budget for the month and 3.7 percent higher than the same month last year. Demand Metered Services A2 & A3 sales were 4.8 percent over budget for the month and 7.5 percent higher than the same month last year. Municipal and Other Service sales were 30.4 percent over budget for the month and 46.9 percent higher than the same month last year.
Overall KWh sales were 0.8 percent under budget for the month and 2.3 percent lower than the same month last year. Residential KWh sales were 8.1 percent under budget for the month and 14.3 percent lower than the same month last year. General Service A1 KWh sales were 2.0 percent over budget for the month and 4.2 percent higher than the same month last year. Demand Metered Services A2 & A3 KWh sales were 2.4 percent over budget for the month and 4.5 percent higher than the same month last year. Municipal and Other Service KWh sales were 29.0 percent over budget for the month and 33.7 percent higher than the same month last year.
2. Purchased Power: Purchased power costs for the month were $218,296 over budget and $2,316 higher than the same month last year (see 4.C.13 & 4.C.14 Income Statement) due to prior month negative adjustments of $214,085. The NCPA monthly billing includes estimates for the current month and adjustments for preceding months.
3. Operating Expenses: Monthly operating expenses, excluding purchased power and depreciation, were 29.0 percent under budget and 28.9 percent lower than the same month last year. For year to date, Labor was 9.4 percent under budget, Service was 13.2 percent under budget, and Material was 31.1 percent under budget.
4. Non-Operating Revenues and Expenses: Net non-operating revenue/expenses were 33.8 percent under budget. And, 26.1 percent higher than the same month last year due to higher interest income on investments.
AGENDA ITEM NO: 4.C.13 MEETING DATE: 5/18/2020 Alameda Municipal Power FY20 Income Statement - Budget vs Actual For March 1, 2020 through March 31, 2020
Current Current Actual Less YTD Actual YTD Actual Less Month Actual Month Budget Budget Amount Budget Budget Operating Revenues Sale of Electricity 5,027,522.84 5,047,467.00 19,944.16- 0.4- 47,799,106.11 47,131,977.00 667,129.11 1.4 Electric Other Operating Sales 24,665.56 33,647.75 8,982.19- 26.7- 327,222.12 302,829.75 24,392.37 8.1 Cap & Trade Net Revenue 86,438.00 86,438.00- 100.0- 817,618.00 777,942.00 39,676.00 5.1 REC Revenue 55,967.00- 55,967.00- 100.0- 990,496.00 1,167,720.00 177,224.00- 15.2- Low Carbon Fuel Standard Credit Sale 187,500.00 187,500.00- 100.0- 988,750.00 562,500.00 426,250.00 75.8 Telephone Revenues 6,570.34 6,900.51 330.17- 4.8- 50,547.24 62,104.59 11,557.35- 18.6------Total Operating Revenue 5,002,791.74 5,361,953.26 359,161.52- 6.7- 50,973,739.47 50,005,073.34 968,666.13 1.9 ------Operating Expense Purchased Power 2,780,326.99 2,562,030.64 218,296.35 8.5- 24,630,615.62 22,784,733.12 1,845,882.50 8.1- Energy Efficiency 26,813.73 30,758.33 3,944.60- 12.8 223,779.09 276,825.01 53,045.92- 19.2 Customer Assist, Solar Rebate & Other 10,320.31 10,750.00 429.69- 4.0 108,993.17 96,750.00 12,243.17 12.7- Telephone Expenses 4,166.67 4,166.67- 100.0 3,207.31 37,500.03 34,292.72- 91.4 Operations & Maintenance 342,616.46 614,764.60 272,148.14- 44.3 3,626,886.90 5,532,881.20 1,905,994.30- 34.4 Customer Service 188,209.53 278,414.69 90,205.16- 32.4 2,044,395.27 2,459,732.37 415,337.10- 16.9 Administrative and General 723,333.85 760,051.95 36,718.10- 4.8 6,761,288.05 6,842,550.80 81,262.75- 1.2 Depreciation and Amortization 316,522.18 283,333.34 33,188.84 11.7- 2,867,711.08 2,550,000.06 317,711.02 12.5- Customer Relations 49,384.31 67,225.00 17,840.69- 26.5 476,217.48 651,025.00 174,807.52- 26.9 Expenses Funded by Special Revenue 20,808.07 156,833.33 136,025.26- 86.7 717,389.59 1,411,499.97 694,110.38- 49.2 ------Total Operating Expense 4,458,335.43 4,768,328.55 309,993.12- 6.5 41,460,483.56 42,643,497.56 1,183,014.00- 2.8 ------Operating Income (Loss) 544,456.31 593,624.71 49,168.40- 8.3- 9,513,255.91 7,361,575.78 2,151,680.13 29.2 ------Nonoperating Income (Expense) Return on Investments 55,571.37 100,000.00 44,428.63- 44.4- 1,042,419.42 900,000.00 142,419.42 15.8 Return on restricted investments 3,074.57 3,074.57 100.0- 36,457.97 36,457.97 100.0- Debt-related charges 106,148.89- 106,178.00- 29.11 955,340.01- 955,602.00- 261.99 Net Nonoperating Income (Exp) 23,881.24 24,691.98 810.74- 3.3- 319,195.82 222,227.82 96,968.00 43.6 Payment in Lieu of Taxes 125,333.33- 126,560.09- 1,226.76 1.0- 1,127,999.97- 1,139,040.83- 11,040.86 1.0- Misc. Credits & Debits to Surplus ------Total Nonoperating Income 148,955.04- 108,046.11- 40,908.93- 37.9 685,266.77- 972,415.01- 287,148.24 29.5------Income before Transfer to the City 395,501.27 485,578.60 90,077.33- 18.6- 8,827,989.14 6,389,160.77 2,438,828.37 38.2 ------Transfer to the City 397,113.60- 332,519.00- 64,594.60- 19.4 3,235,538.28- 2,992,671.00- 242,867.28- 8.1 ------Net Income (Loss) 1,612.33- 153,059.60 154,671.93- 101.1- 5,592,450.86 3,396,489.77 2,195,961.09 64.7 ======AGENDA ITEM NO: 4.C.14 MEETING DATE: 5/18/2020 Alameda Municipal Power FY20 Comparative Income Statement For March 1, 2020 through March 31, 2020
Current Last Year Current Less YTD Actual Last Year YTD Less Month Amount Curr Month Last Yr Curr Amount YTD Last Yr YTD Operating Revenues Sale of Electricity 5,027,522.84 5,051,374.69 23,851.85- 0.5- 47,799,106.11 45,065,091.07 2,734,015.04 6.1 Electric Operating Sales 24,665.56 46,792.99 22,127.43- 47.3- 327,222.12 412,347.86 85,125.74- 20.6- Cap & Trade Net Revenue 817,618.00 724,181.81 93,436.19 12.9 REC Sales Net Revenue 55,967.00- 187,769.00 243,736.00- 129.8- 990,496.00 1,688,058.50 697,562.50- 41.3- Low Carbon Fuel Credit Sale 988,750.00 883,200.00 105,550.00 12.0 Telephone Revenues 6,570.34 5,760.19 810.15 14.1 50,547.24 54,336.47 3,789.23- 7.0------Total Operating Revenue 5,002,791.74 5,291,696.87 288,905.13- 5.5- 50,973,739.47 48,827,215.71 2,146,523.76 4.4 ------Operating Expense Purchased Power 2,780,326.99 2,782,642.62 2,315.63- 0.1 24,630,615.62 23,700,075.25 930,540.37 3.9- Energy Efficiency 26,813.73 19,198.32 7,615.41 39.7- 223,779.09 140,657.31 83,121.78 59.1- Customer Assist, Solar Rebate & Other 10,320.31 19,762.11 9,441.80- 47.8 108,993.17 461,481.33 352,488.16- 76.4 Telephone Expenses 3,207.31 3,207.31 100.0 Operations & Maintenance 342,616.46 633,626.74 291,010.28- 45.9 3,626,886.90 3,692,906.69 66,019.79- 1.8 Customer Service 188,209.53 301,323.67 113,114.14- 37.5 2,044,395.27 1,943,219.63 101,175.64 5.2- Administrative and General 723,333.85 808,865.32 85,531.47- 10.6 6,761,288.05 5,187,884.62 1,573,403.43 30.3- Depreciation and Amortization 316,522.18 317,200.74 678.56- 0.2 2,867,711.08 2,876,766.64 9,055.56- 0.3 Customer Relations 49,384.31 49,641.26 256.95- 0.5 476,217.48 385,516.29 90,701.19 23.5- Expenses Funded by Special Revenue 20,808.07 81,447.22 60,639.15- 74.5 717,389.59 674,707.14 42,682.45 6.3------Total Operating Expense 4,458,335.43 5,013,708.00 555,372.57- 11.1 41,460,483.56 39,063,214.90 2,397,268.66 6.1------Operating Income (Loss) 544,456.31 277,988.87 266,467.44 95.9 9,513,255.91 9,764,000.81 250,744.90- 2.6------Nonoperating Income (Expense) Return on Investments 55,571.37 37,813.29 17,758.08 47.0 1,042,419.42 743,170.44 299,248.98 40.3 Return on restricted investments 3,074.57 5,216.36 2,141.79- 41.1- 36,457.97 41,087.58 4,629.61- 11.3- Debt-related charges 106,148.89- 111,891.88- 5,742.99 5.1- 955,340.01- 1,007,026.92- 51,686.91 5.1- Net Nonoperating Income (Exp) 23,881.24 22,425.22 1,456.02 6.5 319,195.82 48,819.04 270,376.78 553.8 Payment in Lieu of Taxes 125,333.33- 122,833.00- 2,500.33- 2.0 1,127,999.97- 1,105,497.00- 22,502.97- 2.0 Misc. Credits & Debits to Surplus 67.50- 67.50 100.0------Total Nonoperating Income 148,955.04- 169,270.01- 20,314.97 12.0- 685,266.77- 1,279,514.36- 594,247.59 46.4------Income before Transfer to the City 395,501.27 108,718.86 286,782.41 263.8 8,827,989.14 8,484,486.45 343,502.69 4.0 ------Transfer to the City 397,113.60- 381,840.00- 15,273.60- 4.0 3,235,538.28- 3,054,720.00- 180,818.28- 5.9 ------Net Income (Loss) 1,612.33- 273,121.14- 271,508.81 99.4- 5,592,450.86 5,429,766.45 162,684.41 3.0 ======
AGENDA ITEM NO: 4.C.15 MEETING DATE: 5/18/2020 Alameda Municipal Power FY20 Consolidated Balance Sheet As of March 31, 2020
Current Last Year Current YTD YTD Amount YTD Amount - Last YTD
ASSETS
Utility Plant 113,706,673.06 113,132,360.59 574,312.47 0.5 Construction Work in Progress 6,047,916.54 4,065,638.91 1,982,277.63 32.8 Accumulated Depreciation 80,724,552.66- 77,060,453.52- 3,664,099.14- 4.5 ------Utility Plant Net 39,030,036.94 40,137,545.98 1,107,509.04- 2.8------Restricted Investments 2010A&B Installment Fund 1,372,620.95 1,343,563.20 29,057.75 2.1 2010A&B Reserve Fund 2,751,613.91 2,710,419.09 41,194.82 1.5 ------Restricted Investments 4,124,234.86 4,053,982.29 70,252.57 1.7 ------Investments Reserved - Special Purposes Insurance Reserve 1,200,000.00 1,200,000.00 0.00 Underground Cons. Reserve 11,968,429.84 10,889,362.72 1,079,067.12 REC Net Revenue Reserve 19,819,182.85 19,164,836.45 654,346.40 3.3 CAP&Trade Net REV Reserve 3,534,480.02 3,136,108.85 398,371.17 11.3 Low Carbon Fuel St Rev Reserve 1,806,862.31 942,892.05 863,970.26 47.8 ------Investments Reserved - Special Purposes 38,328,955.02 35,333,200.07 2,995,754.95 7.8 ------Noncurrent Assets: NCPA projects and reserves 10,828,040.00 9,707,850.00 1,120,190.00 10.3 Notes Receivable Deposits 40,000.00 40,000.00 0.00 Debt Issue Costs (Net) 515,556.81 577,207.41 61,650.60- 12.0- Deferred outflows re to pension 2,657,801.00 6,670,267.00 4,012,466.00- 151.0- Deferred Outflows to OPEB 1,509.00 1,509.00 100.0 Interfund Advances 6.63 6.63 100.0 ------Non Current Assets 14,042,913.44 16,995,324.41 2,952,410.97- 21.0------Current Assets: Cash and equivalents 52,521,622.49 43,019,590.09 9,502,032.40 18.1 Interest Receivable 19,199.58 15,289.70 3,909.88 20.4 Accounts Receivable 7,670,585.22 7,153,504.31 517,080.91 6.7 Materials and Supplies 3,659,929.39 4,294,443.80 634,514.41- 17.3- Prepaid PILOT/ROI 411,909.75 0.00 411,909.75 100.0 Prepaid Power costs and others 25,441.00 24,700.00 741.00 2.9 ------Current Assets 64,308,687.43 54,507,527.90 9,801,159.53 15.2 ------Total Assets 159,834,827.69 151,027,580.65 8,807,247.04 5.5 ======
AGENDA ITEM NO: 4.C.16 MEETING DATE: 5/18/2020 Alameda Municipal Power FY20 Consolidated Balance Sheet As of March 31, 2020
Current Last Year Current YTD YTD Amount YTD Amount - Last YTD
CAPITALIZATION AND LIABILITIES
Capitalization: Earned surplus: Unappropriated 19,909,030.71 20,443,719.38 534,688.67- 2.7 Appropriated Earnings 38,882,466.82 35,333,200.07 3,549,266.75 9.1- Current Net Earnings and Expense 5,592,450.86 5,429,766.45 162,684.41 2.9------Total Earned Surplus 64,383,948.39 61,206,685.90 3,177,262.49 4.9------Equity in NCPA joint venture 10,673,031.00 10,824,961.00 151,930.00- 1.4 ------
Long Term Liabilities Long Term Debts 46,962,977.00 49,332,007.00 2,369,030.00- 5.0 Capital Lease Payables Deferred Inflows re to pension 446,536.00 83,417.00 363,119.00 81.3- Interfund Advances ------Long Term Liabilities 47,409,513.00 49,415,424.00 2,005,911.00- 4.2 ------
Current Liabilities A/P and Accrued Payroll 2,444,104.25 1,318,651.03 1,125,453.22 46.0- Litigation Judgement Interest Payable 303,033.39 320,262.50 17,229.11- 5.7 Purchase Power Balancing A/C 26,204,877.81 21,469,620.29 4,735,257.52 18.1- Deposits 6,350,070.22 4,211,624.64 2,138,445.58 33.7- Taxes Payable 345,493.32 359,771.16 14,277.84- 4.1 Other Accrued Liabilities 1,720,756.31 1,900,580.13 179,823.82- 10.5 ------Current Liabilities 37,368,335.30 29,580,509.75 7,787,825.55 20.8------Total Capitalization and Liabilities 159,834,827.69 151,027,580.65 8,807,247.04 5.5- ======AGENDA ITEM NO: 4.C.17 MEETING DATE: 5/18/2020
Alameda Municipal Power Electric & Alameda Point Phone Services Statement of Cash Flows For the Month of March 2020
Current Month Year to Date
Net Cash Flows from Operating Activities Net Income (Loss) - Electric (1,612) (2,267,513) Net Income (Loss) - Alameda Point Phone - 18,106 - Depreciation & Amortization expense 316,522 635,275 - Plant Asset Retirement Accum Dep. Adjustment (0) 2,232,436 - Debt Cost Amortization 5,138 46,238 - Balancing Account Year-end Adjustment 4,735,258 - (Increase) Decrease in Lease Deposit - - - ( Increase ) Decrease in Accounts Receivable 1,113,471 330,683 - ( Increase ) Decrease in Interest Receivable - - - ( Increase ) Decrease in Material & Supplies Inventory 139,263 444,230 - ( Increase ) Decrease in Prepaids 137,303 (411,910) - Increase (Decrease) in Accounts Payable 799,772 1,362,768 - Increase (Decrease) in Interest Payable 101,011 (337,492) - Increase (Decrease) in Customer Deposits 336,988 2,130,897 - Increase (Decrease) in Taxes Payable (8,031) 22,350 - Increase (Decrease) in Other Accrued Liabilities 20,396 (241,949) - Increase (Decrease) in Pension-related Liabilities - 3,374,962
Net cash provided (used) by operating activities 2,960,222 12,074,340
Cash Flows From Investing Activities (Increase) Decrease in Utility Plant - 2,500 (Increase) Decrease in Construction Work in Progress (164,287) (4,418,136) 2010A&B Bond Fund Debt Service Trustee A/C (217,984) 623,890 2010A&B Common Reserve Account Interest Income (2,270) (28,367) 2010 A&B Cost Issuance - Net Funding - - Plant Asset Retirement - 2,232,436 Sale Proceed of Obsolete Assets - - (Increase) Decrease in NCPA - GOR Value - (155,009) (Increase) Decrease in NCPA - Projects Value - - (Increase) Decrease in Northern California Power Agency Various Deposits - - Net cash provided (used) by investing activities (384,541) (1,742,686)
Cash Flows From Financing Activites 2010B Bond Principal Payment - (1,340,000) Net cash provided (used) by financing activities - (1,342,650)
Net Increase (Decrease) in Cash 2,575,681 8,989,004 Appropriation for Reserves (Increase) Decrease in Underground Fund Reserve (97,181) (809,628) (Increase) Decrease in Solar Photovoltaic Rebate Reserve - - (Increase) Decrease in Renewable Energy Credits Net Revenue Reserve (124,727) (491,271) (Increase) Decrease in Cap&Trade Net Revenue Reserve (236,879) (406,546) (Increase) Decrease in Low Carbon Fuel St Rev Reserve 9,960 (863,970) - Subtotal (Increase) Decrease in in Reserves (448,827) (2,571,416) Total Increase (Decrease) in Cash 2,126,854 6,417,588
Cash - Jun 30, 2019 46,104,034 Cash - Dec. 31, 2019 50,394,768 Cash - Mar. 31, 2020 52,521,622 52,521,622
Additional Information
Reserves for Special Purposes at 6/30/2019 35,757,539 Reserves for Special Purposes at 12/31/2019 37,880,128 Net Increase (Decrease) for the period 448,827 2,571,416 Reserves for Special Purposes at 03/31/2020 38,328,955 38,328,955 Alameda Municipal Power AGENDA ITEM 4.C.18 Utility Plant Detail--Electric MEETING DATE: 05/18/2020 For the Month of March, 2020
General Utility General Accumulated Net Utility Ledger Plant Ledger Depreciation Plant Transmission Land & Land Rights 350.101 2501 $69,332.79 2822 $0.00 $69,332.79 Structures & Improvements - West Crossing 351.101 2522 74,662.06 2822 65,001.32 9,660.74 Structures & Improvements - East Crossing 352.101 2522 68,948.27 2822 62,015.68 6,932.59 Transformer Towers & Fixtures 354.101 2522 461,706.86 2822 461,684.26 22.60 Transformer Poles & Fixtures 355.101 2522 816,565.71 2822 737,986.10 78,579.61 Overhead Conductors & Devices 356.101 2522 846,458.59 2822 627,462.50 218,996.09 Underground Conduits 357.101 2522 366,075.48 2822 351,119.97 14,955.51 Underground Conductors & Devices 358.101 2522 1,359,176.41 2822 1,319,276.19 39,900.22 Total Transmission $4,062,926.17 $3,624,546.02 $438,380.15 Distribution Land & Land Rights - Grand St. Station 360.101 2501 36,867.29 0.00 36,867.29 Structures & Improvements -Grand St.Cartwright & Jenny Substations 361.101 2511 2,498,155.22 2811 1,539,658.94 958,496.28 Station Equipment - Grand St. Station 362.101 2521 946,631.33 2821 436,482.74 510,148.59 Station Equipment - Cartwright Station 362.401 2521 2,610,553.90 2821 1,270,401.83 1,340,152.07 Station Equipment - Jenny Station 362.501 2521 3,792,042.01 2821 2,263,195.79 1,528,846.22 Storage Battery - Jenny Station 363.501 2521 51,194.42 2821 51,194.42 0.00 Poles Towers & Fixtures 364.101 2521 9,920,309.05 2821 7,487,598.86 2,432,710.19 Overhead Conductors & Devices 365.101 2521 9,810,070.89 2821 7,106,848.18 2,703,222.71 Underground Conduits 366.101 2521 13,362,896.17 2821 9,631,195.99 3,731,700.18 Underground Conductors & Devices 367.101 2521 22,035,317.10 2821 17,572,313.07 4,463,004.03 Line Transformers 368.101 2521 7,080,705.65 2821 5,030,940.68 2,049,764.97 Services 369.101 2521 4,137,156.18 2821 3,546,104.86 591,051.32 Meters 370.101 2521 9,174,645.96 2821 1,639,706.52 7,534,939.44 Land & Land Rights - Jenny Station (50 Years) 360.101 2501 66,500.00 2901 0.00 66,500.00 Total Distribution $85,523,045.17 $57,575,641.88 $27,947,403.29
General Plant Land & Land Rights - Grand St. Station 389.101 2501 $47,443.89 2811 $0.00 $47,443.89 Structures & Improvements 390.101 2511 5,669,913.39 2811 3,014,811.48 2,655,101.91 Office Mechanical Equipment 391.101 2551 1,288,301.07 2851 1,153,299.43 135,001.64 Office Furniture & Other Equipment 391.201 2571 899,921.88 2871 640,625.03 259,296.85 Computer Equipment & Software 391.301 2561 3,268,336.59 2861 3,165,118.83 103,217.76 Office Equipment-System Software-Cayenta 391.306 2591 1,012,361.62 2891 880,704.81 131,656.81 Dispatch Center Equipment 391.401 2551 350,720.11 2851 234,721.69 115,998.42 Transportation Equipment 392.101 2581 42,378.98 2881 42,378.98 0.00 Transportation Vehicles 392.105 2581 40,033.70 2881 36,465.07 3,568.63 Construction Vehicles 392.106 2581 3,107,112.92 2881 2,536,175.14 570,937.78 Electric Transportaion Vehicles 392.107 2581 210,615.13 2881 86,684.89 123,930.24 Electric Construction Vehicles 392.108 2581 0.00 2881 0.00 0.00 Stores Equipment 393.101 2551 128,116.93 2851 77,190.04 50,926.89 Shop & Garage Equipment 394.101 2551 25,712.82 2851 23,600.80 2,112.02 Tools & Work Equipment 394.201 2551 804,211.53 2851 772,303.07 31,908.46 Communication Equipment 397.101 2551 6,689,744.20 2851 6,509,138.90 180,605.30 Miscellaneous Equipment 398.101 2551 535,776.96 2851 351,146.60 184,630.36 Total General Plant $24,120,701.72 $19,524,364.76 $4,596,336.96 Subtotal $113,706,673.06 $80,724,552.66 $32,982,120.40
Construction Work In Progress (CWIP) 2701 2704 $6,047,916.54 $6,047,916.54 Grand Total $119,754,589.60 $80,724,552.66 $39,030,036.94 AGENDA ITEM NO: 4.C.19 MEETING DATE:5/18/2020
Alameda Municipal Power Calculation of Non-Power Costs for Balancing Account Fiscal Year (FY) 2020 Year To Date (YTD) through March 2020
FY 2019 FY 2020 FY 2020 FY 2020 Annual Annual Year-to-Date Year-to-Date Budget Budget Budget Actual Revenue Sale of Electricity - see Income Statement (4.C.13) 60,470,900 61,982,673 47,131,977 47,799,106 Other Revenue SB-1 Solar Surcharge - - - - Other Electric Operating Sales (minus line19) 356,487 403,773 302,830 327,222 Cap&Trade Sales Income & Low Carbon Fuel Standard Credit Sale 943,701 1,787,256 1,340,442 1,806,368 Renewable Eenergy Credits (REC) Sales Income 2,246,992 1,167,720 1,167,720 990,496 Interest Income 300,000 1,200,000 900,000 1,078,877 Less Restricted Interest Income for Trustee Account - (36,458) Non-Operating Income/Deduction Net 304,033 379,110 222,228 319,196 Reserves Reduction - Release Reserves funds for designated usages 3,946,600 4,550,600 3,412,950 1,739,308 8,097,813 9,488,459 7,346,170 6,225,010
Retainments: Underground Utility District Reserve Funding (1,209,000) (1,240,000) (930,000) (930,000) Retainments: Solar Surcharge - - - - Retainments: Cap&Trade and REC Sales Net Revenue (3,190,693) (2,954,976) (2,508,162) (2,391,974) Retainments: Low Carbon Fuel Standard - - - (988,750) (4,399,693) (4,194,976) (3,438,162) (4,310,724)
Adjusted Net Revenue 64,169,020 67,276,156 51,039,985 49,713,392
Purchased Power (29,209,024) (29,968,408) (22,784,733) (24,630,616)
Expense Items Included In Non-Power Costs Total Operating Expenses - see Income Statement (4.C.13) (53,838,377) (56,396,068) (42,643,498) (41,460,484) Remove Purchased Power included in Total Operating Expenses 29,209,024 29,968,408 22,784,733 24,630,616 Non-Power Operating Expenses (24,629,353) (26,427,660) (19,858,764) (16,829,868) Remove Depreciation 3,230,000 3,400,000 2,550,000 2,867,711 Non-Power Operating Expenses Excluding Depreciation (21,399,353) (23,027,660) (17,308,764) (13,962,157)
Debt Related Charges interest (1,343,052) (1,274,136) (955,602) (955,340) Less Debt Cost Amortization 62,000 62,000 46,500 46,238 Payment In Lieu Of Taxes /Return On Investment (1,488,942) (1,518,721) (1,139,041) (1,128,000) Non-Operating Revenue & Expenses (2,769,994) (2,730,857) (2,048,143) (2,037,102)
Capital Projects (see 4.C.9) (5,631,000) (7,009,920) (5,257,440) (1,929,147)
Total Non-Power Costs (29,800,348) (32,768,437) (24,614,347) (17,928,406)
Recap of Income and Expenses Sale of Electricity 60,470,900 61,982,673 47,131,977 47,799,106 Other Revenue Sources 8,097,813 9,488,459 7,346,170 6,225,010 Retainments (4,399,693) (4,194,976) (3,438,162) (4,310,724) Purchased Power Costs (29,209,024) (29,968,408) (22,784,733) (24,630,616) Total Non-Power Costs Excluding City Transfer (29,800,348) (32,768,437) (24,614,347) (17,928,406) Transfer to City of Alameda General Fund (3,818,400) (3,990,228) (2,992,671) (3,235,538) Over (Under) Collection 1,341,248 549,083 648,233 3,918,832 AGENDA ITEM NO: 4.D.1 MEETING DATE: 05/18/2020 ADMINISTRATIVE REPORT NO.: 2020-54
/S/ To: Honorable Public Utilities Board Submitted by: ______Robert J. Orbeta AGM - Administration From: Carolina E Mazilu Senior Utility Accountant Approved by: ______/S/ Nicolas Procos General Manager Subject: Treasurer’s Report for the Month Ending March 31, 2020 ______
RECOMMENDATION
For information, no action is recommended.
BACKGROUND
This report is submitted in compliance with Alameda Municipal Power’s (AMP) policy and the State of California Government Code Sections 53607 and 53646(b).
DISCUSSION
Funds have been managed and invested in compliance with the Public Utilities Board’s Resolution No. 5162. AMP’s expenditure requirements for the next six-months are covered by anticipated revenues and the liquidity of current investments.
Investments The total book value of AMP’s investment portfolio is $75,711,122. The current market value of the portfolio totaled $76,787,184. Investments are held to maturity or may be sold when prices yield a gain on the sale. The overall portfolio has a weighted average interest rate of 1.863 percent.
Interest Rates During the period, the rate on 90-day T-Bills decreased 114 base points from 1.25 percent on February 29, 2020 to 0.11 percent on March 31, 2020. The rate on the 30-day London Interbank Offered Rate (LIBOR) decreased 14 basis points from 1.66 percent on February 29, 2020 to 1.52 percent on March 31, 2020.
BUDGET CONSIDERATION/FINANCIAL IMPACT
None
EXHIBITS
A. Investment Portfolio Summary and Detail B. Supplemental Schedule - Sources of Investments & Investment Portfolio Alameda Municipal Power INVESTMENT PORTFOLIO SUMMARY March 31, 2020
Current Book Unrealized Percent of Average Market Value Value Gain (Loss) Total Return
Local Agency Investment Fund $54,726,629 $54,320,259 $406,371 71.75% 1.787% U.S. Government Agencies 2,382,063 1,583,448 798,615 2.09% 0.694% U.S. Government Bonds 508,970 512,175 -3,205 0.68% 0.180% Cash & Money Market 415,191 415,191 0 0.55% 0.010% Municipal Bonds 6,430,423 6,479,848 -49,425 8.56% 2.007% Corporate Fixed Income 6,255,116 6,373,167 -118,051 8.42% 4.040% Certificates of Deposit(s) 6,068,791 6,027,035 41,757 7.96% 0.881%
Total Investment Portfolio and Weighted Average Return $76,787,184 $75,711,122 $1,076,061 100.00% 1.863%
Fiscal Year (FY) 2020 Budgeted Interest Income $1,200,000 FY2020 Year-to-date Interest Income Estimated $1,042,419 Percent of Interest Received To Date 86.9%
Actual Budgeted FY 2019 Interest Income $1,534,102 $300,000 FY 2018 Interest Income $826,098 $300,000 FY 2017 Interest Income $470,818 $120,000 FY 2016 Interest Income $316,332 $101,000 FY 2015 Interest Income $173,594 $105,000
AGENDA ITEM NO: 4.D MEETING DATE: 05/18/2020 EXHIBIT A: PAGE 1 of 4 Alameda Municipal Power DETAIL OF INVESTMENT PORTFOLIO March 31, 2020
Investment Custodian / Par Coupon Current Date of Date of % of Yield to Call Book Value Description S&P Rating Value Rate Market Value Investment Maturity Portfolio Maturity Date Purchase Price
Local Agency Investment Fund (LAIF) LAIF 1.787% $54,726,629 03/01/20 03/31/20 71.75% 1.787% $54,320,259
Cash & Money Market Funds $415,191 0.010% $415,191 03/01/20 03/31/20 0.55% 0.010% $415,191 Subtotal $415,191 $415,191 $415,191
U.S. Government Treasuries & Agencies Federal Agric Mtg Corp Mnts B - 2.500%, 1/30/2023 N/A $ 250,000 2.500% $ 262,195 09/03/19 01/30/23 0.34% 0.750% $ 259,198 Federal Farm Cr Bks - 2.240%, 07/30/24 AA+ 300,000 2.240% 301,323 09/30/19 07/30/24 0.40% 0.890% 07/30/20 301,239 FHLB 1.750% 5/20/2024 AA+ 500,000 1.750% 502,990 02/18/20 05/20/24 0.66% 0.810% 502,125 Federal Natl Mtg Assn 1.625%, 06/23/2022 AA+ 225,000 1.625% 225,500 05/16/19 06/23/22 0.29% 0.650% 03/23/20 220,781 Federal Home Ln Mtg Corp - 1.75%, 10/28/2021 - 300,000 1.750% 300,309 10/22/19 10/28/21 0.40% 0.370% 04/28/20 300,105 US Treasury Strip 8/15/2024 N/R 500,000 0.000% 490,160 10/08/19 08/15/24 0.62% 0.460% 469,315 US Treasury Strip 5/15/2021 N/R 300,000 0.000% 299,586 10/03/19 05/15/21 0.39% 0.100% 294,036 Subtotal $1,575,000 $2,382,063 2.09% 0.694% $1,583,448
U.S. Government Bonds US Department of Housing & Urban Development 5.660%, 08/01/23 - $ 500,000 5.660% $ 508,970 01/14/20 08/01/23 0.68% 0.180% 02/01/20 $ 512,175 $500,000 $508,970 0.68% 0.180% $512,175
Corporate Bonds Alibaba Group Hldg Ltd 2.800%, 06/06/2023 A $ 250,000 2.800% $ 254,228 01/24/20 06/06/23 0.34% 2.150% 05/06/23 $ 257,973 American Honda Fin Corp 2.150% 9/10/2024 A 250,000 2.150% 244,010 02/12/20 09/10/24 0.34% 2.660% 09/10/24 254,463 Amgen Inc 3.625%, 05/15/2022 A 225,000 3.625% 233,267 04/15/19 05/15/22 0.31% 1.890% 02/15/22 231,428 Apple Inc. 2.700%, 05/13/2022 AA+ 300,000 2.700% 317,085 11/16/17 05/13/22 0.40% 0.000% 305,188 Banco Santander S A 2.706%, 06/27/2024 A 200,000 2.706% 196,170 09/17/19 06/27/24 0.27% 3.280% 202,780 Bank New York Mellon Corp 3.45%, 08/11/2023 A 250,000 3.450% 259,940 09/17/19 08/11/23 0.35% 2.580% 263,130 Bank of Montreal 2.20% 4/28/2023 - 250,000 2.200% 230,718 12/10/19 04/28/23 0.33% 4.940% 04/28/20 250,813 Barclays Bank PLC 2.3025% 6/19/2023 A 250,000 2.303% 238,058 02/18/20 06/19/23 0.34% 25.620% 260,743 Bb&T Co Global Bk Mtn - 2.85%, 4/01/2021 A 250,000 2.850% 250,678 10/03/19 04/01/21 0.34% 2.520% 03/01/21 254,463 Bristol-Myers Sqibb Co 2.000%, 8/1/2022 A+ 250,000 2.000% 251,975 12/06/17 08/01/22 0.33% 1.610% 246,757 Capital Impact Partners 3.2% 3/15/2024 A+ 253,000 3.200% 269,964 12/05/19 03/15/24 0.34% 1.450% 261,139 Citibank NA 2.125%, 10/20/2020 A+ 250,000 2.125% 250,058 11/16/17 10/20/20 0.33% 2.170% 09/20/20 250,002 Credit Suisse New York 3.625% 9/9/2024 A+ 250,000 3.625% 264,013 12/05/19 09/09/24 0.35% 2.340% 266,703 International Business Machs Sr Glbl NT2 2.500%, 1/27/2022 A 75,000 2.500% 76,835 11/14/18 01/27/22 0.10% 1.340% 73,103 International Business Machs 3.625%, 02/12/2024 A 175,000 3.625% 186,989 03/10/20 02/12/24 0.25% 1.990% 189,835 Midamerican Energy Co 3.700% 9/15/23 A+ 250,000 3.700% 256,060 02/18/20 09/15/23 0.35% 2.860% 06/15/23 267,110 Mufg Union Bank N.A. 3.150%, 04/01/2022 A 250,000 3.150% 249,795 03/27/20 04/01/22 0.33% 2.280% 03/01/22 252,500 Oracle Corp 1.900%, 9/15/2021 AA- 250,000 1.900% 250,738 12/06/17 09/15/21 0.33% 1.500% 08/15/21 247,992 Public Storage 2.370%, 9/15/2022 A 250,000 2.370% 247,043 12/06/17 09/15/22 0.33% 2.880% 08/15/22 248,476 Royal Bank of Canada 2.550% 7/16/24 A 250,000 2.550% 254,215 11/27/19 07/16/24 0.34% 2.420% 255,223 Santander UK PLC 4%, 03/13/2024 A 225,000 4.000% 228,267 06/27/19 03/13/24 0.32% 3.610% 239,735 Schlumberger Invt Sa - 3.65% 12/1/2023 AA- 250,000 3.650% 248,323 09/13/19 12/01/23 0.35% 4.840% 09/01/23 263,475 Shell International Fin BV 3.400% 8/12/2023 AA- 250,000 3.400% 260,673 02/12/20 08/12/23 0.35% 2.710% 265,393 Simon Pppty Group LP 2.000% 9/13/2029 A 250,000 2.000% 240,725 02/12/20 09/13/29 0.33% 3.010% 06/13/24 252,118 Suntrust Bank 3.00% 2/2/2023 A 250,000 3.000% 256,013 12/10/19 02/02/23 0.34% 2.490% 01/02/23 257,990 United Parcel Service Inc 2.359%, 04/01/2023 A 250,000 2.359% 239,283 01/17/20 04/01/23 0.34% 19.900% 254,640 Subtotal $6,203,000 $6,255,116 8.42% 4.040% $6,373,167
Municipal Bonds Austin Tex Cmnty College Distpub Fac Corp Lease Rev - 5.703%, 8/1/21 AA $ 225,000 5.703% $ 228,161 01/28/19 08/01/21 0.32% 0.780% $ 241,002 Austin Tex Elec Util Sys Rev 2.524%, 11/15/2023 AA 100,000 2.524% 101,879 05/23/19 11/15/23 0.13% 1.810% 100,000 Brick Twp N J - 4.000%, 11/15/2023 - 250,000 4.000% 269,368 08/19/19 11/15/23 0.35% 2.440% 265,308 California St - GO High Speed PA 2017A 2.367%, 04/01/2022 AA- 250,000 2.367% 252,778 03/04/20 04/01/22 0.34% 1.390% 257,710 Camden Cnty N J Impt Auth Lease Rev - 6.720%, 7/1/23 A 225,000 6.720% 227,644 01/16/19 07/01/23 0.31% 1.770% 07/01/20 237,481 Clark Cnty Nev Sch Dist 5.51%, 6/15/2024 A+ 235,000 5.510% 259,308 08/19/19 06/15/24 0.35% 3.030% 264,464 Clark Cnty Nev Sch Dist - 5.51% 6/15/2024 A+ 225,000 5.510% 248,274 07/11/19 06/15/24 0.33% 3.030% 252,092 Connecticut St GO BDS A 5.690%, 3/15/2023 A 225,000 2.690% 243,488 02/25/19 03/15/23 0.33% 2.050% 246,600 Cuyahoga Cnty Ohio Economic Dev Rev 5.034%, 6/1/2023 AA 225,000 5.034% 226,224 12/07/18 06/01/23 0.31% 1.290% 06/01/20 232,553 Evansville Ind Redev Auth Rede Lease rental Rev BDS 5.950%, 2/1/2022 A 225,000 5.950% 228,245 11/28/18 02/01/22 0.31% 0.890% 08/01/20 236,617 Florida Hurricane Catastrophefd Fin Corp Rev 2.995%, 7/1/2020 AA 225,000 2.995% 225,045 12/13/18 07/01/20 0.30% 3.300% 225,767 Garfield Cnty 6%, 09/01/2024 A 250,000 6.000% 276,890 01/14/20 09/01/24 0.37% 2.920% 09/01/21 283,038 AGENDA ITEM NO: 4.D MEETING DATE: 05/18/2020 EXHIBIT A: PAGE 2 of 4 Alameda Municipal Power DETAIL OF INVESTMENT PORTFOLIO March 31, 2020
Investment Custodian / Par Coupon Current Date of Date of % of Yield to Call Book Value Description S&P Rating Value Rate Market Value Investment Maturity Portfolio Maturity Date Purchase Price
Greensboro N C LTD Oblig Tax Bds 2018 - 3.074%, 2/1/2024 AA+ 250,000 3.074% 261,790 08/22/19 02/01/24 0.35% 1.650% 263,275 Louisiana St Citizens Ppty Ins Corp Assmt Rev -2.64%, 06/01/2024 AA 225,000 2.640% 233,926 09/03/19 06/01/24 0.31% 1.350% 234,950 Mansfield Ohio City Sch Dist 3.000%, 12/01/2022 AA 225,000 3.000% 225,479 03/25/19 12/01/22 0.30% 1.780% 06/01/20 227,311 Massachusetts St Hsg Fin Agy - 3.300%, 06/01/2024 AA 250,000 3.300% 264,233 03/19/20 06/01/24 0.34% 1.610% 257,895 New York ST Dorm Auth St Pers 4.992%, 3/15/2022 AA+ 225,000 4.992% 239,771 02/12/19 03/15/22 0.32% 1.650% 239,756 Oneida CNTY NY Pub Impt BDS 6.500%, 04/15/2023 AA 225,000 6.500% 250,031 11/28/18 04/15/23 0.33% 3.740% 250,583 Pasadena Calif Pension Oblig 3.34%, 5/1/2024 AAA 250,000 3.340% 267,790 08/22/19 05/01/24 0.35% 1.800% 266,780 Plum Boro PA Sch Dist GO Bds B 2.976%, 09/15/2021 AA 200,000 2.976% 204,222 02/05/19 09/15/21 0.27% 1.860% 200,876 Pomona Calif Redev Agy Successor Agy Tax Allocation 3.406%, 2/1/2021 A+ 225,000 3.406% 229,111 12/07/18 02/01/21 0.30% 1.120% 228,220 Portl & Ore Pension Oblg Rev 7.701%, 06/01/2022 - 225,000 7.701% 240,737 02/20/19 06/01/22 0.33% 4.230% 251,381 Sacramento Cnty Calif Pensionoblig 5.730%, 08/15/2023 AA- 225,000 5.730% 248,843 03/18/19 08/15/23 0.33% 2.380% 246,094 University Alaska Univ Revs - 4%, 10/1/2023 AA- 225,000 4.000% 242,969 09/03/19 10/01/23 0.33% 1.900% 247,772 Washington Fed Hwy Grnt Anticrev - Sr 520 Corridor Prog 5%, 09/01/2021 AA 250,000 5.000% 263,803 03/12/20 09/01/21 0.35% 1.080% 263,888 West Covina Calif Pub Fing Auth Lease Rev 3.768%, 05/01/2022 A+ 225,000 3.768% 233,289 12/13/18 05/01/22 0.30% 1.370% 229,500 Yuba Cnty Calif Ctfs Partn - Clean Renew Energy Proj 3.750%, 12/01/2022 AA 225,000 3.750% 237,128 12/13/18 12/01/22 0.30% 1.970% 228,938 Subtotal $6,110,000 $6,430,423 8.56% 2.007% $6,479,848
Certificates of Deposit Allegiance BK Houston, TX $ 250,000 2.200% $ 255,028 10/26/17 11/03/22 0.33% 1.410% $ 250,000 Ally Bk Midvale Utah - Death Put 250,000 2.500% 256,070 05/28/19 06/06/22 0.33% 1.360% 250,000 American Express Centurion Salt Lake City, UT 72,000 3.593% 73,472 09/11/17 09/06/22 0.10% 1.540% 72,252 American Express Centurion Salt Lake City, UT 177,000 3.599% 180,636 09/08/17 09/12/22 0.23% 1.540% 177,000 BMO Harris Bk Natl Assn Chicago, IL 225,000 2.250% 225,241 07/11/19 01/31/24 0.30% 0.830% 10/31/19 225,000 BMW BK N Amer Salt Lake City, UT 250,000 1.800% 252,513 12/17/19 12/20/22 0.33% 1.420% 250,000 Capital One NA Mclean, VA 176,000 3.011% 177,037 09/16/15 09/23/20 0.23% 1.050% 176,000 Capital One NA Mclean, VA 74,000 3.389% 75,632 09/19/17 09/27/22 0.10% 1.390% 74,000 Celtic Bank Salt Lake City , UT 49,000 1.750% 49,233 12/27/17 12/24/20 0.06% 1.090% 48,503 Citibank NA Sioux Falls SD 250,000 3.550% 268,295 12/10/19 11/24/23 0.35% 1.480% 265,225 Discover BK Greenwood 250,000 3.000% 252,825 10/30/18 11/02/20 0.33% 1.050% 250,000 Everbank, Jacksonville, FL 100,000 2.965% 100,444 10/11/17 09/15/20 0.13% 1.010% 100,300 First Business, Madison WI 245,000 2.885% 245,380 05/27/15 06/11/20 0.32% 0.960% 245,000 Firstmerit Bk, Akron, OH 245,000 2.718% 245,916 07/08/15 07/23/20 0.32% 0.770% 245,000 Goldman Sachs Bk Usa 245,000 2.700% 256,785 07/26/19 06/05/24 0.33% 1.510% 249,628 JP Morgan Chase, Columbus OH 250,000 1.800% 250,478 12/17/19 12/24/21 0.33% 0.95% 250,000 Key Bank Cleveland, OH 247,000 2.982% 247,973 09/13/17 09/25/20 0.33% 1.020% 247,000 Liberty National Bk - 0.9%, 3/27/2023 250,000 0.900% 245,987 03/19/20 03/27/23 0.33% 1.450% 250,000 Merchants Hillsboro, OH 50,000 2.000% 50,212 12/27/17 08/05/20 0.07% 0.750% 49,872 Merrick Bank, South Jordan, UT 223,000 3.182% 225,357 10/03/17 10/12/21 0.29% 1.300% 223,000 Morgan Stanley Bank Na - 1.9%, 05/26/2023 250,000 1.900% 253,408 03/12/20 05/26/23 0.33% -7.240% 250,063 Rollstone Bank Fitchburg, MA 245,000 2.569% 245,108 04/01/15 04/15/20 0.32% 0.480% 245,000 Sallie Mae Bk Slt Lake City Ut 250,000 2.500% 255,985 05/20/19 05/23/22 0.33% 1.360% 250,000 State Bank of India New York 2.8%, 05/15/2024 200,000 2.800% 200,428 06/18/19 05/15/24 0.26% 0.980% 08/15/19 200,050 State Bk India New York N Y - 3.25%, 9/25/2023 250,000 3.250% 263,315 03/10/20 09/25/23 0.35% 1.670% 268,571 Synchrony Bank - 3.2%, 5/18/2023 250,000 3.200% 263,300 03/04/20 05/18/23 0.35% 1.450% 266,576 Texas Exchange Bank SSB 1.9%, 02/02/2024 250,000 1.900% 250,153 01/17/20 02/02/24 0.33% 0.900% 04/24/20 250,000 TIAA FSB Jacksonville, FL 149,000 1.900% 149,590 11/09/17 09/14/20 0.20% 1.020% 148,996 UBS BK USA Salt Lake City, UT 250,000 3.050% 252,995 10/30/18 11/09/20 0.33% 1.060% 250,000 Total $5,972,000 $6,068,791 7.96% 0.881% $6,027,035 Grand Total 76,787,184 1.863% $75,711,122
(1) Portfolio details are based on available third-party statements as of 03/31/20
AGENDA ITEM NO: 4.D MEETING DATE: 05/18/2020 EXHIBIT A: PAGE 3 of 4 Alameda Municipal Power Supplemental Schedule Sources of Investments & Investment Portfolio March 31, 2020
SOURCES FOR INVESTMENTS
Account Operating Funds $11,067,960 Liabilities Balancing Account 10 3401 26,204,878 Clean Future Fund 10 3147 100,439 Donations to Alameda United School District 10 3151 8,890 Reserves For Special Purposes Insurance Reserve Special Fund 10 2107 1,200,000 Underground Fund Carryforward 02/29/2020 10 2111 $ 11,871,248 Fiscal Year (FY) 2020 - March, 2020 Undergrounding Funding 10 2111 103,333 Underground Special Fund Used in March, 2020 - FY 2020 10 2111 (6,152) Net - Underground Fund Available (Deficiency) 11,968,430 Renewable Energy Credits Net Revenue Reserve 10 2113 19,819,183 Cap & Trade Net Revenue Reserve 10 2114 3,534,480 Low Carbon Fuel Standards Revenue Reserve 10 2115 1,806,862 Total Sources For Investments $75,711,122
Operating Funds, 11,067,960, 14%
Reserves, 38,328,955, 51%
Liabilities, 26,314,207, 35%
Source for Investments
AGENDA ITEM NO: 4.D MEETING DATE: 05/18/2020 EXHIBIT B: PAGE 4 of 4 AGENDA ITEM NO: 4.E.1 MEETING DATE: 05/18/2020 ADMINISTRATIVE REPORT NO.: 2020-55 ACTION: BY RESOLUTION
To: Honorable Public Utilities Board /S/ Submitted by: ______Andre Basler AGM-Engineering and Operations
From: Diosdado V. Hernandez, P.E. Engineering Manager Approved by: ______/S/ Nicolas Procos Tito R. Nagrampa Jr., P.E. General Manager Senior Electrical Engineer
Subject: By Resolution, Authorize the General Manager to Purchase Solid Dielectric Pad- Mounted Switches for a One Time Purchase to Innovative Switchgear Solutions in an Amount not to Exceed $450,000 per Material Specifications MS-03-20-01 ______RECOMMENDATION
By Resolution, authorize the General Manager to purchase solid dielectric pad-mounted switches for a one time purchase to Innovative Switchgear Solutions in an amount not to exceed $450,000 per Material Specifications MS-03-20-01.
BACKGROUND
Engineering staff prepared Material Specifications No. MS 03-20-01 for new solid dielectric pad-mounted switches in order to support new business as well as replenish the minimum inventories. In accordance with the specifications, vendors and manufacturers were asked to provide bids for various types of 15 kilo-Volt (kV) pad-mounted switches.
The Invitation for Bid was posted on March 5, 2020, on Alameda Municipal Power’s (AMP) website, which provides a direct link to AMP’s e-procurement system (PlanetBids). The PlanetBids e-procurement system notified 121 vendors registered with AMP based on selective criteria. Additionally, staff sent out email notifications to 30 pad-mounted switch distributors/manufacturers provided by AMP engineering. Notice-to-Bidders was also published in the Alameda Sun on March 5, 2020.
On April 8, 2020, a total of two bids were received and the results were made public in AMP’s e- procurement system. The summary of bid result and unit quantities recommended for purchase is presented in Exhibit A. AGENDA ITEM NO.: 4.E.2 MEETING DATE: 05/18/2020 ADMINISTRATIVE REPORT NO.: 2020-55
DISCUSSION
Staff carefully evaluated the quotations submitted by Pacific Utilities (manufacturer’s representative for G&W Electric), and Innovative Switchgear Solutions (ISG), based on conformance to the technical specification, current industry standards, cost, delivery, and supplier/manufacturer qualifications. All bidders submitted proposals for each type of required switch configuration.
ISG submitted the lowest bid and has met all the requirements of the specification and submitted all the documents required by the bid opening date. AMP has previously purchased ISG switches for installation in the 12kV distribution system. The new pad-mounted switches were delivered, tested, and accepted by AMP.
Staff recommends award of the contract to Innovative Switchgear Solutions based on price and conformance to the specification, in an amount not to exceed $450,000 including sales tax and transportation.
FINANCIAL IMPACT
Alameda Municipal Power has proposed sufficient funds in its fiscal year (FY) 2021 budget for the purchase of solid dielectric pad-mounted switches. The proposed funds for the FY 2021 budget will still have enough remaining funds after issuance of the purchase order to ISG. Per AMP Rules and Regulations, developers will reimburse AMP for sixty percent of the pad- mounted switch cost.
LINK TO STRATEGIC PLAN AND METRICS
None.
EXHIBIT
A. Resolution B. Bid Summary CITY OF ALAMEDA PUBLIC UTILITIES BOARD
RESOLUTION NO. ____
AUTHORIZE THE GENERAL MANAGER TO PURCHASE SOLID DIELECTRIC PAD- MOUNTED SWITCHES FOR A ONE TIME PURCHASE TO INNOVATIVE SWITCHGEAR SOLUTIONS IN AN AMOUNT NOT TO EXCEED $450,000 PER MATERIAL SPECIFICATIONS MS 03-20-01
WHEREAS, Material Specifications No. MS 03-20-01 was issued to obtain bids for purchase of solid dielectric pad-mounted switches; and
WHEREAS, on April 08, 2020, Staff received and opened bids from Pacific Utilities and Innovative Switchgear Solutions (ISG); and
WHEREAS, Staff carefully evaluated the proposals submitted by the two bidders based on conformance to the technical specification, current industry standards, cost, delivery, and supplier/manufacturer qualifications; and
WHEREAS, ISG submitted the lowest bid, conformed to the required technical specifications and provided acceptable technical information; and
WHEREAS, AMP has previously purchased ISG pad-mounted switches for installation in the 12kV distribution system which were delivered, tested, and accepted; and
WHEREAS, Staff recommends awarding the contract to ISG based on price and conformance to specifications; and
NOW, THEREFORE, BE IT RESOLVED that the Public Utilities Board of the City of Alameda hereby authorizes the General Manager to purchase solid dielectric pad-mounted switches for a one time purchase to Innovative Switchgear Solutions in an amount not to exceed $450,000 per Material Specifications No. MS 03-20-01.
Approved as to Form
/S/ By: ______Alan M. Cohen Assistant City Attorney
AGENDA ITEM NO: 4.E. MEETING DATE: 05/18/2020 EXHIBIT A: Page 1 of 1 AGENDA ITEM NO: 4.E BID SUMMARY MEETING DATE: 05/18/2020 (Bid Opening Date: April 8, 2020 3:00 p.m.) EXHIBIT B
SOLID DIELECTRIC PAD-MOUNTED SWITCH - MATERIALS SPECIFICATION NO. MS-03-20-01
VENDOR BID AMP UNIT INNOVATIVE ITEM ITEM DESCRIPTION QTY OF SWITCHGEAR PACIFIC NO. CODE MEAS SOLUTIONS UTILITIES (G&W) (See Note 1) Solid Dielectric Pad-Mounted Vacuum Switch and VFI Tap(s) 1 02390 Switchgear, 15kV Class, 600A Deadfront, 2-Way, Non-motorized 2 EA $140,830.00 $280,000.00 Solid Dielecric Pad-Mounted Vacuum Switch and VFI Tap(s) 2 02373C Switchgear, 15 kV Class, 600A Deadfront, 2-Way, Fully Motorized 3 EA $178,690.00 $206,000.00 Solid Dielecric Pad-Mounted Vacuum Switch and VFI Tap(s) 3 02366 Switchgear, 15 kV Class, 600A Deadfront, 1-Way, Fully Motorized 1 EA $89,845.00 $147,000.00 SUB-TOTAL $409,365.00 $633,000.00 Sales Tax @ 9.75% $39,913.09 $61,717.50 TOTAL $449,278.09 $694,717.50
Notes:
1. Recommended for awarding of contract. AGENDA ITEM NO.: 4.F.1 MEETING DATE: 05/18/2020 ADMINISTRATIVE REPORT NO.: 2020-56 ACTION: BY MOTION
To: Honorable Public Utilities Board Submitted by: ______/S/ Andre Basler, P.E. AGM – Engineering & Operations
From: Diosdado Hernandez, P.E. Approved by: ______/S/ Engineering Manager Nicolas Procos General Manager Chiara Hanna Utility Analyst
Subject: By Motion, Authorize the General Manager to Issue a Purchase Order to The Okonite Company in an Amount Not to Exceed $659,000 with a Contingency of $30,200 for a Total Amount Not to Exceed of $689,200 to purchase 90,000 Feet of 1/0 AWG, 20,250 Feet of 500 KCMIL, and 7,800 Feet of 1000 KCMIL Underground Distribution 15 kilovolt Power Cable per Material Specification Nos. MS 07-16-01 and MS 09-18-01
RECOMMENDATION
By motion, authorize the General Manager to issue a purchase order to The Okonite Company in an amount not to exceed $659,000 with a contingency of $30,200 for a total amount not to exceed of $689,200 to purchase 90,000 feet of 1/0 AWG, 20,250 feet of 500 KCMIL, and 7,800 feet of 1000 KCMIL underground distribution 15 kilovolt power cable per Material Specification Nos. MS 07-16-01 and MS 09-18-01.
BACKGROUND
By Resolution No. 5101, issued September 19, 2016, the Public Utilities Board (Board) authorized Alameda Municipal Power (AMP) to award purchases to The Okonite Company (Okonite) to supply 1000 circular mils (KCMIL) underground distribution 15 kilovolt (kV) power cable in accordance with Material Specification No. MS 07-16-01. By Resolution No. 5154, issued November 5, 2018, the Board authorized AMP to award purchases to Okonite to supply 1/0 American Wire Gauge (AWG) and 500 KCMIL underground distribution 15 kV power cable in accordance with Material Specification No. MS 09-18-01. These purchase awards were executed with initial one-time purchases with options to purchase additional materials for five years.
Staff last purchased 1000 KCMIL power cable in September 2016, 500 KCMIL power cable in November 2018, and 1/0 AWG power cable in June 2019. All power cables ordered under the previous purchases have been delivered. AGENDA ITEM NO.: 4.F.2 MEETING DATE: 05/18/2020 ADMINISTRATIVE REPORT NO.: 2020-56
DISCUSSION
The following table lists the proposed power cable purchase with the last column showing the quantity recommended for purchase in order to replenish stock for emergency repairs and based upon new development project needs such as Alameda Waterfront, Alameda Marina, Buildings 8 and 9, Del Monte, 4kV Conversion to 12 kV, College of Alameda, Lincoln Avenue, Seaplane Lagoon Ferry Terminal, Encinal High School, Franklin Elementary School, and Union Street.
Table 1: Power Cables AMP Item Recommended Description Vendor Code for Purchase 03676 1/0 AWG Underground Distribution Power Cable Okonite 90,000 feet 03865 500 KCMIL Underground Distribution Power Cable Okonite 20,250 feet 03867 1000 KCMIL Underground Distribution Power Cable Okonite 7,800 feet TOTAL 118, 050 feet
Staff requested current quotations from Okonite to supply power cable recommended for purchase. Okonite quoted unit pricing that conformed to the price adjustment indexes for future purchases outlined in the final awards and provided necessary supporting calculations and documentation. Therefore, Okonite conformed to the price adjustment requirements for future purchases outlined in final awards for Material Specification Nos. MS 07-16-01 and MS 09-18- 01.
Staff recommends issuance of a purchase order to Okonite in an amount not to exceed $659,000 including sales tax and shipping for 1/0 AWG, 500 KCMIL, and 1000 KCMIL underground distribution 15 kV power cable. In addition, staff recommends a contingency in an amount not to exceed $30,200 for 5 percent manufacturing tolerance band for 1/0 AWG and 500 KCMIL underground distribution power cable and 3 percent manufacturing tolerance band for 1000 KCMIL underground distribution power cable. Use of the contingency shall be for adjustments to quantity and cost if necessary to reflect actual cable reel lengths delivered in accordance with manufacturing tolerance bands.
FINANCIAL IMPACT
AMP has proposed sufficient funds in its fiscal year 2021 budget for the purchase of underground power cables. The proposed funds for the fiscal year 2021 budget will still have enough remaining funds after issuance of purchase order to Okonite. Per AMP Rules and Regulations, subdivision developers will reimburse AMP for 100 percent of underground distribution power cable cost and 60 pecent of trunk power cables cost.
LINKS TO AMP STRATEGIC PLAN
None.
AGENDA ITEM NO.: 4.F.3 MEETING DATE: 05/18/2020 ADMINISTRATIVE REPORT NO.: 2020-56
EXHIBITS
A. Underground Distribution Power Cable Purchase Cost Summary
Underground Distribution Power Cables Purchase Cost Summary AGENDA ITEM NO.: 4.F MS 07-16-01 and MS 09-18-01 MEETING DATE: 05/18/2020 EXHIBIT A Cost of Current Unit Cost Contingency for Awarded Unit Cost (Including 9.75% Unit Quantities Cost to Purchase Manufacturing Material Bid Item (Including 9.25% CA Sales Tax and Recommended for Recommended Tolerance Bands - Total Cost Including Specification Number AMP Item Code Description Vendor CA Sales Tax) Price Adjustments) Unit of Measure Purchase Quantities +3% or +5% Contingency 1/0 AWG Underground Distribution MS 09-18-01 1 3676 15 Kilovolt Copper Power Cables Okonite $3.94 $3.69 FT 90,000 $331,686 $16,584 $348,270 500 KCMIL Underground Distribution MS 09-18-01 3 3865 15 Kilovolt Copper Power Cables Okonite $9.89 $9.17 FT 20,250 $185,684 $9,284 $194,969 1000 KCMIL Underground MS 07-16-01 1 3867 Distribution 15 Kilovolt Copper Power Okonite $15.26 $18.15 FT 7,800 $141,599 $4,248 $145,847
*TOTAL $658,969 $30,116 $689,086
**TOTAL $659,000 $30,200 $689,200
*Note: Includes CA sales tax and shipping and handling **Note: Rounded up to next largest whole numbers. Includes CA sales tax and shipping and handling AGENDA ITEM NO.: 5.A.1 MEETING DATE: 05/18/2020 ADMINISTRATIVE REPORT NO.: 2020-57 ACTION: RY RESOLUTION
/S/ To: Honorable Public Utilities Board Submitted by: ______Vidhi Chawla AGM-Energy Resource Planning From: Alan Harbottle Senior Energy Resources Analyst Approved by: ______/S/ Nicolas Procos General Manager
Subject: Business Risk Quantification Report – Information Only
RECOMMENDATION
This report is for information only; no action is required at this time. The purpose of the Business Risk Quantification report is to provide information regarding the economic risks and uncertainty associated with Alameda Municipal Power’s power supply and other major costs and revenue for fiscal years 2021-2023.
BACKGROUND
Staff prepares assessments on a triennial basis of Alameda Municipal Power’s (AMP) energy risk over the subsequent three fiscal years. The types of risks inherent in energy resources stem from supply-side risk, transmission and distribution risk, wildfire risk, reduced demand, and the inability to comply with legislative and regulatory requirements. This update outlines anticipated risks for fiscal years (FY) 2021-2023 and includes the steps AMP has taken to mitigate such risks. AMP has policies in place to ensure that risks are managed. These include the Northern California Power Agency (NCPA) risk management program and AMP’s Financial Guidelines for Rates, Revenues, and Reserves.
DISCUSSION
The financial exposure averaged per year over the FY 2021-23 period, should each individual risk occur concurrently, ranges from $28 million to $29 million for the low and high market power price scenarios. This does not include several emerging risks for which quantification is challenging: extended coronavirus impacts; wildfire liability; and cybersecurity threats. Since each risk occurring at the same time has a low probability, the report focuses on the risks with high or significant cost exposure. For example, the exposed risk due to a reduction in hydro- electric generation from the Western Area Power Administration (WAPA) sites is large because we pay a fixed price, regardless of the amount of generation we receive. In addition, our exposed risk for a local distribution component failure is also large based on the cost of replacing key system components. AGENDA ITEM NO.: 5.A.2 MEETING DATE: 05/18/2020 ADMINISTRATIVE REPORT NO.: 2020-57 AMP has sufficient financial resources to cover all quantified risk events. There are financial guidelines adopted that require AMP to keep 145 days of cash-on-hand for each fiscal year. AMP’s projected reserves are listed at $48.5 million in the April 2020 Pro Forma Report. The greatest individual quantified risk, is $20 million from a failure of AMP’s transmission equipment, which could be covered by AMP’s $48.5 million in reserves.
1. Supply-Side Risks Background AMP sources its power supply from long-term contracts and participation in NCPA generation projects. Supply-side risk occurs when the generators’ output does not meet the contracted or expected amount. This analysis assumes that the replacement power is purchased from the market, exposing AMP to market price risk. In quantifying exposure to market prices, a high- case and low-case amount are shown, each including a premium for clean power. For AMP’s power purchase agreements (PPAs), not including WAPA, the risk to AMP is not the actual market price, but the difference between the contract price and the market price. A price higher than the contract price would mean higher power costs, while buying replacement energy at lower market prices would reduce AMP’s power costs during a risk event. For WAPA and AMP’s share of NCPA generators, a high percentage of AMP’s costs are fixed, therefore, for any loss of generation output, the risk exposure is equal to the market price of that power.
Chart 1: Alameda Municipal Power’s Generation Resources - Fiscal Years 2021 - 2023 Staff used NCPA’s February 2020 market price projections to determine the forecasted market prices shown in Table 1. The high scenario market prices are based on 90th percentile values; in other words, 90 percent of the values fell below this price over the past four years. The low case numbers are from the 50th percentile values, or most likely market prices. Current prices are below the most likely “Low Market Price” scenario. On-peak and off-peak periods are
AGENDA ITEM NO.: 5.A.3 MEETING DATE: 05/18/2020 ADMINISTRATIVE REPORT NO.: 2020-57 defined by the California Independent System Operator (CAISO) as follows: On-peak – 6am to 10pm M-Sat, Off-peak – all other hours. AMP has not forecasted impacts to market pricing as a result of any of the scenarios discussed in the report below. Previously, staff has included assessments of the lost value of AMP’s renewable resources represented as Renewable Energy Credits (RECs) in its analysis for risk exposure. Given AMP’s 100 percent clean energy commitment, AMP will no longer engage in the sale of excess renewable RECs and will therefore not include in this analysis any economic loss because of losing RECs. Staff has instead included a clean energy premium that is embedded in the purchase of any replacement energy from the market as shown in Table 1 below to maintain AMP’s 100 percent clean portfolio. Based on the timing of any unexpected loss of generation and the market conditions it may not be possible to find available replacement clean power for short term contracting.
Table 1: Forecasted Market Prices by Fiscal Year (FY) Value Description FY 2021 FY 2022 FY 2023 On-Peak Low Clean Energy Market Price [$/MWh] $44 $45 $44 Off-Peak Low Clean Energy Market Prices [$/MWh] $38 $41 $41 On-peak High Clean Energy Market Prices [$/MWh] $71 $73 $71 Off-Peak High Clean Energy Market Prices [$/MWh] $60 $63 $63
Dry hydrologic conditions affecting hydroelectric generation AMP serves 24 percent of its load from hydroelectric generation on average. AMP’s hydroelectric generation comes from NCPA’s Calaveras Project and from the WAPA’s Central Valley Project, with energy generated from both large and small volume reservoirs. While all hydroelectric generation is carbon-free, only the small volume reservoirs are Renewable Portfolio Standard (RPS) compliant. The RPS compliant, small volume hydroelectric energy provides approximately 7 percent of the total hydroelectric power in AMP’s portfolio. The amount of available generation varies considerably between years with dry and wet conditions. During dry conditions, mainly determined by the amount of snowpack in the Central California mountains, less water is available in the reservoirs to spin the turbines that generate electricity. During periods of dry hydro conditions, AMP replaces the reduced hydroelectric output by purchasing clean energy from the market and is exposed to market price risk. AMP’s cost exposure resulting from dry conditions is calculated by multiplying the projected volume of reduced energy over a 12-month period by the projected high and low market prices for electricity over the same period. The reduction in the project’s variable production costs are then subtracted from the calculated cost exposure to quantify associated cost for procuring market power in place of lost power from the hydroelectric facilities. As is the case for most non-fossil fuel generation, the variable production costs represent a small fraction of the total costs for hydroelectric generation and thus AMP still pays a substantial amount of fixed costs in the event of reduced generation. In the case of WAPA, AMP’s contract is a fixed amount
AGENDA ITEM NO.: 5.A.4 MEETING DATE: 05/18/2020 ADMINISTRATIVE REPORT NO.: 2020-57 that is completely independent of the amount of energy delivered. In dry years, power costs have been observed to increase up to $1 million due to low hydroelectric generation that year.
Table 2: Exposure from Hydroelectric Generation in Forecasted Dry Conditions for High and Low Market Pricing by Fiscal Year (FY) Exposure - ($Mi) Generation Resources FY 2021 FY 2022 FY 2023 Market Price Factor High Low High Low High Low Hydroelectric Generation $2.2 $1.3 $2.3 $1.3 $2.2 $1.3 [All]
Dry hydrologic conditions affecting landfill generation AMP expects to serve approximately 22 percent of the load from four landfill-gas facility projects. Dry hydrologic conditions can result in deteriorated gas quality and subsequent declines in electricity output. Under extended dry conditions, the cover over the landfill can fracture and form cracks, which allows air to be sucked into the landfill, also reducing gas quality. A 10 percent reduction in generation output is assumed during a critical dry hydro year from potential gas quality deterioration. On average, AMP’s landfill contracts exceed the cost of replacement clean power from the market resulting in limited financial risk.
Table 3: Exposure from Landfill Generation in Forecasted Dry Conditions for High and Low Market Pricing by Fiscal Year (FY) Exposure - ($Mi) FY 2021 FY 2022 FY 2023 Market Price Factor High Low High Low High Low Landfill - Dry conditions Risk $- $(0.2) $- $(0.2) $- $(0.2)
Geothermal steam field decline AMP serves approximately 37 percent of its load from the NCPA Geothermal Plants. Geothermal steam-field production at NCPA’s geothermal facilities has gradually declined over time as steam pressure drops due to power generation activity. NCPA forecasts the rate of decline as roughly 2 percent on an annual basis. NCPA prepares steam-field production forecasts to plan for declines in energy production in advance. Measures to mitigate steam-field decline risk, such as injection of treated effluent water, have helped to stem the decline. It is likely that such mitigation measures will maintain production at the projected levels. In the event of an unanticipated accelerated drop in production, AMP could face market price exposure as it seeks to replace the lost generation. Hydrologic conditions can also affect the production of energy from the geothermal facilities. Approximately 40 percent of the water utilized for re-injection is delivered from Clear Lake. AGENDA ITEM NO.: 5.A.5 MEETING DATE: 05/18/2020 ADMINISTRATIVE REPORT NO.: 2020-57 During dry periods when the level of water in the lake falls below a pre-determined level, NCPA may not have access to additional water from the lake. To calculate AMP’s annual cost exposure, the rate of decline in output was accelerated from 2 percent to 4 percent and the total cost is calculated by multiplying the volume of lost energy by the high and low case projected market prices and subtracting the variable production costs.
Table 4: Exposure from Geothermal Generation in Forecasted Dry Conditions for High and Low Market Pricing by Fiscal Year (FY) Exposure - ($Mi) FY 2021 FY 2022 FY 2023 Market Price Factor High Low High Low High Low Geothermal - Dry conditions risk $0.2 $0.1 $0.3 $0.2 $0.5 $0.3
Table 5: Consolidation of Exposure from Forecasted Dry Conditions for High and Low Market Pricing by Fiscal Year (FY) Exposure - ($Mi) FY 2021 FY 2022 FY 2023 Market Price Factor High Low High Low High Low Hydroelectric Generation [All] $2.2 $1.3 $2.3 $1.3 $2.2 $1.3 Landfill Generation $- $(0.2) $- $(0.2) $- $(0.2) Geothermal Generation $0.2 $0.1 $0.3 $0.2 $0.5 $0.3 Total Exposure $2.4 $1.2 $2.6 $1.3 $2.7 $1.4
Low Wind Year Risk AMP serves approximately 7 percent of its load from contracted wind resources in Solano County. Although staff estimates the expected output over the long-term to be constant, variations in weather patterns and wind speeds from year to year can result in higher or lower output from the wind projects. For this analysis, the risk is estimated as a 10 percent generation reduction, the cost of which is calculated by multiplying the lost energy production by the difference between market prices for clean energy and the contract cost. The results are summarized in Table 8. Curtailment Risk Excess solar and wind generation (the “duck curve”) periodically result in negative prices and increase the risk of curtailment of daytime generation sources to account for the glut of daytime generation. With all non-dispatchable contracts and NCPA generation there is a balance between paying negative prices to generate and losing out on RECs for renewable portfolio standard (RPS) compliance. In the case of AMP’s contracts, AMP would still be required to pay the contract rate for any curtailed power. The issue of curtailment risk is currently and for the foreseeable future primarily a risk for those utilities with large investments in utility scale solar and, to a lesser extent, wind. AMP has no utility scale solar currently in its portfolio and AMP’s wind contract is small enough to pose little curtailment risk. AGENDA ITEM NO.: 5.A.6 MEETING DATE: 05/18/2020 ADMINISTRATIVE REPORT NO.: 2020-57 Default Risk In the event of default, it is possible that the counterparty with which AMP has a PPA will not be able to perform under the energy delivery provisions of the agreement. AMP will therefore be exposed to market price risk as it seeks replacement power. Ameresco and Republic operate the landfill gas plants and analysis of the contract agreements in 2011 showed that AMP’s right to take over operation of a facility would provide little value in the event of a financial default by these two companies due to the limitation at AMP for running a generation facility and the additional costs involved. The risk is mitigated because the institutions funding these operators have a stake in the operation and would work with AMP to minimize disruptions to service. Additionally, it should be noted that while AMP’s power portfolio is diversified, a significant share of the supply portfolio (approximately 50 percent) is represented by NCPA projects. This concentration of risk is mitigated by NCPA’s robust and comprehensive risk management program and the strong weighted average credit rating of the various project participants (also municipalities). NCPA’s bond issues are rated as of June 30, 2019, at the following:
Debt Credit Ratings: Standard & Fitch Moody’s Poor’s
Geothermal A-, stable A+, stable A1, stable
Hydroelectric A+, stable AA-, stable Aa3, stable
Capital Facilities A-, stable Not rated A1, stable
When evaluating procurement transactions, AMP takes into consideration the financial strength and commercial viability of parties offering power supply services. AMP’s credit risk exposure is determined by monitoring credit ratings and financial statements of its counterparties. In addition, AMP can measure the percentage share of total energy provided by its various counterparties to gauge counterparty concentration risk. AMP’s largest counterparty is Ameresco. On average, AMP’s Ameresco landfill contracts exceed the cost of replacement clean power from the market resulting in limited financial risk. NCPA Plant Insurance - property damage or business interruption NCPA carries insurance for the joint facilities to cover catastrophic loss, property damage, and business interruption events. Possible events include generator failures, plant property damage caused by fires, or extended transmission outages causing NCPA plants to remain offline. AMP’s risk exposure is limited to the share of the insurance deductible and any uninsured costs to repair NCPA facilities. NCPA’s coverage is limited to $325 million in property loss in a policy year and subject to a $500,000 deductible. Alameda’s overall cost estimate of the amount AMP may reasonably expect to fund for insurance deductibles, self-insured retention, or uninsured risk in the event of property loss is $2 million per year. This does not represent the worst-case scenario. AGENDA ITEM NO.: 5.A.7 MEETING DATE: 05/18/2020 ADMINISTRATIVE REPORT NO.: 2020-57 Transmission and Distribution Risks The California Independent System Operator (CAISO) assesses high- and low-voltage Transmission Access Charges (TAC) for transmitting power over the CAISO-controlled grid. As additional high-voltage transmission lines are built to integrate renewable energy resources across California, the cost of these new lines will be added to the charges from the CAISO. The high- and low-voltage TAC is projected to increase to fund required upgrades and other transmission-related activities needed to integrate renewables. In recent years, TAC has already increased substantially. For the purpose of this analysis staff quantified the risk as a 10 percent increase over the forecast in each year going forward. The risk exposure associated with the distribution system is based on the unanticipated repair and/or replacement of the highest cost and most critical distribution system facilities. This risk is quantified by estimating the replacement cost of a 115 kilovolt (kV) submarine cable. This estimate has increased substantially in recent years.
Table 6: Exposure with a 10 Percent Increase in Transmission Charge Over Forecasted and the Cost for Replacement of a 115 kV Submarine Cable by Fiscal Year (FY) Exposure - ($Mi) FY 2021 FY 2022 FY 2023 Transmission Access Costs $1 $1 $1 @ 10% over forecast AMP Transmission and Distribution $20 $20 $20 equipment replacement cost Total $21 $21 $21 It is noteworthy that the loss of a 115kV submarine cable would require upwards of $20 million to replace. During the time the transmission line is not available to AMP (2-3 years), AMP would experience a significant degradation in reliability and ability to perform normal operations.
2. Demand-side Risk Loss of Electrical Load Customer load may be reduced due to commercial customers exiting service, reduction in usage due to energy efficiency or from onsite generation independent of AMP service. While AMP attempts to account for all of the above factors within the annual load forecast there still exists the possibility of a major shock such as a recession or rapid technology change that could reduce AMP’s load well beyond expectations. In the case of the current coronavirus crisis, the impacts to the commercial sector largely follow the expectations of a major recession with reduced load, while the residential sector has increased consumption. To estimate the additional risk of reduction in customer load, a 50 percent additional reduction has been calculated over the top ten customers who serve approximately 20 percent of AMP’s load. This amount of load is also approximately equal to a 10 percent reduction in total sales across all customer classes. AGENDA ITEM NO.: 5.A.8 MEETING DATE: 05/18/2020 ADMINISTRATIVE REPORT NO.: 2020-57 Net revenue is defined as the loss of revenue from sales minus power costs, which are lower because load is lower in this scenario. This is calculated by multiplying the kilowatt hour (kWh) sales decrease by the large commercial rate and subtracting the product of the load decrease (including losses) and the wholesale market power rate. The high and low range for wholesale market power prices are used to determine the range of impacts for this potential risk. The above scenario would amount to financial risk of an average of $3.2 million for the high market price case and $4.1 million for the low market price case over the next three years.
Table 7: Exposure with Losing 50 Percent of the Top 10 Commercial Customer’s Load with High and Low Market Pricing by Fiscal Year (FY) Exposure - ($Mi) FY 2021 FY 2022 FY 2023 Market Price factor High Low High Low High Low 10 % Loss of Customer $3.1 $4 $3.2 $4.1 $3.4 $4.3 Sales
3. Legislative and Regulatory Risk Federal AMP is registered with the Federal Energy Regulatory Commission (FERC) as a Distribution Provider (DP) and Load Serving Entity (LSE). As a result, AMP is formally exposed to risk during both spot audit and annual self-certification. Since the imposition of financial penalties is subject to litigation, the evaluation of AMP’s potential risk due to its current and possible future compliance requirements is not quantified. State California’s Cap and Trade (C&T) regulation imposes the cost of compliance on the power generator and on the first deliverer of power to the CAISO Balancing Area. As such, AMP’s exposure to this regulation is minimal, limited to AMP’s share of the emissions obligations from the two NCPA combustion turbine (CT) generation units and steam-injected gas turbines (STIG). Since the CTs do not run very often, they have thus far been exempted from the impacts of the regulations and NCPA intends to keep their generation below the threshold. The California Air Resources Board (CARB) now treats STIG and the Lodi Energy Center (LEC) as one unit so each kWh of STIG generation incurs a greenhouse gas (GHG) emissions compliance obligation. Senate Bill (SB) 100 is the latest update to California’s Renewable Portfolio Standard Program. The state now mandates LSEs provide 60 percent of their sales from renewable energy by 2030 and 100 percent of their sales from clean energy by 2045. With the end of AMP’s REC sales, AMP is well ahead of schedule in meeting current and future RPS compliance targets. There are numerous other federal and state regulatory mandates that have been proposed. The impact of these regulations has not been explicitly included in this analysis. Some mandates could have a future impact that has not been quantified. AGENDA ITEM NO.: 5.A.9 MEETING DATE: 05/18/2020 ADMINISTRATIVE REPORT NO.: 2020-57 4. Other risks Wildfire Liability While the City of Alameda does not include any areas of high wildfire threat within its territory, AMP is exposed to wildfire liability as a result of its participation in several NCPA projects as well as transmission lines. For the current policy year, NCPA maintains $60 million of wildfire liability insurance. However, even this low level of coverage is becoming increasingly difficult to source as the insurance industry is removing itself from California’s wildfire liability coverage. NCPA is currently seeking out options for self-insurance, similar to the City of Alameda’s participation in the California Joint Powers Risk Management Authority or the state’s newly formed Wildfire Fund for investor-owned utilities (IOUs). Other Coronavirus Impacts In addition to the reduced commercial sector load referenced in the Loss of Electrical Load section there is an increased risk of deferred, discounted, or uncollected payments. As many sectors of the economy struggle in the wake of the coronavirus it is increasingly likely that more customers will face difficulty paying their utility bill. AMP was one of the first utilities to cease all disconnections for non-payment in response to the current crisis. AMP continues to encourage customers to reach out to our customer service team to discuss payment assistance programs. Depending on an individual’s circumstances they will be directed to various payment assistance/deferral programs. As the coronavirus crisis extends AMP may see more substantial revenue impacts and staff has begun the process to evaluate these impacts Technology Risk As California and Alameda ramp up their efforts to reduce greenhouse gas emissions, electrification and energy storage are two broad categories of technologies with the potential to greatly change the operations of our industry. The City of Alameda introduced a requirement for the electrification of any new residential construction on City land. In the near-term, AMP sees no major risks with the additional electrification of load. In the medium to long-term, there could be scenarios where substation-expansions or new substations are required to meet large increases in load due to electrification. In the near-term, AMP sees no major risks with the adoption of distributed energy storage. In the medium to long-term, energy storage paired with distributed solar has the potential to substantially decrease electrical load and revenues. There will be opportunities for these two risks to offset with the adoption of more advanced rate design. Cyber Threats Utility assets are increasingly targeted with malicious cyber attacks. Cyber attacks bring a range of possible risks including data corruption, obtaining customer information, and even potentially interrupting AMP’s ability to deliver power to customers. AMP has responded by moving forward with a robust cybersecurity plan and an institutional commitment throughout the organization to cyber-awareness as AMP expands its use of technology to better serve customers. Compliance with California Renewable Portfolio Standard AGENDA ITEM NO.: 5.A.10 MEETING DATE: 05/18/2020 ADMINISTRATIVE REPORT NO.: 2020-57 As AMP presented to the Board this past September, because of AMP’s longstanding renewable portfolio AMP staff projects that we will have over 1,300,000 excess RECs at the end of Compliance Period 3. As AMP’s current portfolio is already above 60% renewable, staff sees no risk to comply with the Renewable Portfolio Standard.
SUMMARY This report outlines the financial risk that AMP is currently exposed to. When feasible, risk should be acknowledged and addressed with mitigation. The probability of simultaneous occurrence of all discussed risks is low. However, there is the possibility that multiple events happen like a fire that causes both facility repair and a loss of generation that would need to be paid for at market price. In these cases it would be beneficial to display the potential financial exposure together.
Table 8: Consolidation of Discussed Risk Exposure for High and Low Market Pricing by Fiscal Year (FY) Exposure - ($Mi) Risk event FY 2021 FY 2022 FY 2023 Market Price Factor High Low High Low High Low Dry conditions Risk $2.4 $1.2 $2.6 $1.3 $2.7 $1.4 Customer Load Loss Risk $3.1 $4 $3.2 $4.1 $3.4 $4.3 Low Wind Years Risk $- ($-) $- ($-) $- ($-) NCPA Plant Damage Risk $2 $2 $2 Transmission and Dist. Risk $21 $21 $21 Total Exposure $28.5 $28.2 $28.8 $28.4 $29.1 $28.7
Risk Mitigation AMP has policies and processes to assure that risks are managed. These include NCPA’s risk management programs as well as AMP’s Transaction Authorities and Guidelines, adopted by the Board in January 2012 through Resolution No. 4890. AMP staff have had a longstanding practice thatfunding adequate reserves is the key method for minimizing the impact from these risks. Reserves are maintained at both AMP and NCPA. NCPA maintains insurance for its facilities, with AMP’s exposure being a percentage share of the deductible on those facilities. AMP generally takes the position of locking in power resources and prices under long-term contracts, thus minimizing the exposure to market price volatility. Additionally, having a large percentage of renewable energy projects further reduces AMP’s exposure to penalties and costs for compliance with GHG and RPS mandates. AMP has implemented a fixed customer or meter charge for each rate class. This charge is not dependent on customer usage and thus helps to recover the costs of customer billing and overheads, independent of energy usage. Staff plans to continue to restructure rates to recover more of the fixed costs of the distribution system. AGENDA ITEM NO.: 5.A.11 MEETING DATE: 05/18/2020 ADMINISTRATIVE REPORT NO.: 2020-57 AMP’s Energy Adjustment Charge (EAC) is a charge per kWh to assist in the recovery of costs related to purchased power not adequately covered from the base rates. EAC assists in recovering unexpected losses stemming from purchasing market power due to the unavailability of scheduled generation, changes in load, and other power supply related issues. As a result of limited deviations in expected generation and load AMP has been able to keep EAC at $0/kWh for the past two years. AMP mitigates the risk of potential regulatory mandates through active participation in regional, statewide, and national forums that advocate for cost-effective and efficient regulation. Primary advocacy is through the California Municipal Utilities Association (CMUA), the NCPA Legislative and Regulatory program, the Transmission Agency of Northern California (TANC), and the American Public Power Association (APPA). To address wildfire liability, NCPA is continuously improving its already robust wildfire practices with increased vegetation management and additional infrastructure upgrades. NCPA is also currently seeking alternative forms of wildfire liability insurance to enhance coverage. To address cyber threats, AMP has pushed forward with cybersecurity plan to protects its systems. All AMP staff are routinely required to take Cyber training and are subjected to Phishing test emails to get a better understanding of this potential threat. Staff has completed three outside contractor cyber assessments in the past year and presented the results from one to the PUB in closed sessionAMP is also upgrading its IT hardware and software to provide further cyber threat protections.
FINANCIAL IMPACT
There is no direct or immediate financial impact. The results of the annual utility business risk quantification update serve to inform subsequent activities, which include next year’s 10-year Pro Forma, the rate adjustment process, and future risk management and reserves policy. NEXT STEPS
Staff will continue to monitor the level of reserves against AMP’s risk exposure. Additionally, staff will work with NCPA to expand wildfire liability coverage and enhance AMP’s resilience to cyber threats. Lastly, staff will continue to evaluate the impacts of the current coronavirus crisis and develop new risk mitigations strategies if needed.
LINKS TO STRATEGIC PLAN AND METRICS
Business Resiliency Strategy 2: AMP will develop financial planning processes that provide fiscal stability and clearly communicate service priorities with their associated costs. T1: Include a longer-term outlook of the Capital Improvement Plan in the annual budget. T2: Improve rate design to reflect AMP’s Strategic Plan.
AGENDA ITEM NO.: 5.A.12 MEETING DATE: 05/18/2020 ADMINISTRATIVE REPORT NO.: 2020-57 KPI: Maintain rates at 15 percent or more below PG&E and 10 percent or more below local CCAs.
EXHIBIT
A. Power Point Presentation
AGENDA ITEM NO.: 5.A MEETING DATE: 05/18/2020 EXHIBIT A
Fiscal Years 2021 – 2023 Business Risk Quantification Report
May 18, 2020
-1- Overview
• Background • Risk exposure and mitigation o Examples of risk events o Cost exposure o Mitigation reserves and policy • Summary • Next Steps
-2- Background
Historical risk quantification reports • Reports generated every three years; first report issued in 2009 • Present report examines risk from fiscal years (FY) 2021 - 2023
Reasons for quantifying risk • To develop a metrics for estimating exposure through risk events • To ensure that potential risk is mitigated through reserves and policy
-3- Quantifying Risk
How risk exposure is quantified
• Exposure through supply-side risk is measured as the cost of buying clean energy at market price. • Exposure through transmission is measured as unexpected increases in transmission charges. • Exposure through distribution, and customer risk is measured as the loss of major equipment and/or customers. • Other new and emerging risks are identified but not quantified. ‒ AMP and NCPA follow best industry practices to minimize these risks
-4- Examples of Risk Events
• Supply o Drought conditions o Landfill-gas field decline o Facility failure, damage, or interruption
• Distribution and load o Increase in transmission cost o Distribution system component failure o Reduction in customer load
• Emerging Risks o COVID - 19 o Wildfire Liability o Cyber Threats
5 Financial exposure
Exposure - ($Mi) Risk event FY 2021 FY 2022 FY2023 Market Price Factor High Low High Low High Low Dry year $2.4 $1.2 $2.6 $1.3 $2.7 $1.4 Customer Load Loss $3.1 $4 $3.2 $4.1 $3.4 $4.3 Low Wind Years Risk $- ($-) $- ($-) $- ($-) Uninsured Loss $2 $2 $2 Transmission & $21 $21 $21 Distribution Risk Total Exposure $28.5 $28.2 $28.8 $28.4 $29.1 $28.7
-6- Transmission and Distribution Risk
• 10 percent additional transmission access charge on top of forecast • Estimated cost for 115 kilovolt (kV) submarine cable ‒ The estimate doesn’t include cost of business interruption
Exposure - ($Mi) Category FY 2021 FY 2022 FY2023 Transmission Access Costs $1 $1 $1 @ 10% over forecast AMP Transmission and Distribution equipment $20 $20 $20 replacement cost Total $21 $21 $21
-7- Risk Management Strategies
Measures and policy to mitigate risk • Alameda Municipal Power (AMP) funding adequate reserves • Northern California Power Association (NCPA) risk management program • Long-term power purchase agreements • Legislative and regulatory advocacy • Fixed customer charge • Energy Adjustment Charge (EAC)
-8- Emerging Risks and Mitigations
• Loss of Revenues due COVID – 19 – AMP plans to use it’s reserves to manage any impacts to revenues in the short- term. – AMP will develop additional mitigation measures in future if needed. • Wildfire Liability – NCPA follows best practices for vegetation management and infrastructure maintenance. – NCPA is seeking alternative forms of wildfire liability insurance to enhance coverage. – NCPA is seeking legislative changes to protect public utilities from wildfire liability. • Cyber Threats – AMP follows industry best practices for cybersecurity protocols and infrastructure. – AMP has worked extensively on educating its employees about cybersecurity threats.
9 Risks and Reserves
• AMP has enough reserves to meet the total value of quantified risk exposure in any given year. o Reserve levels below $24.7 million would require funding in subsequent years to meet the Board-approved days of cash- on-hand requirement.
Source ($000) Average Total Quantified Risk, Annually ($28,500) AMP Projected FY2021 Reserves $48,500 Coverage through reserves $20,000
FY 2021 Reserve Requirement based on Board-approved 145 days of cash-on-hand: $24.7 million
-10- Next Steps
• Continue to monitor AMP’s reserve levels against AMP’s risk exposure • Continue to evaluate impacts due to COVID-19 • Continue to pursue expanded wildfire liability coverage and legislative changes with NCPA • Continue to enhance AMP’s resilience to cyber threats
11 Questions?
Alan Harbottle Energy Resources Analyst (510) 814-6403 [email protected]
-12-
To: Honorable President and Members of the Public Utilities Board
From: Nicolas Procos, General Manager Re: General Manager’s Report – April, 2020
PUB Highlights Economic Development Highlights– o The City of Alameda has established a COVID-19 business relief grant program to assist small businesses in Alameda with relief from the COVID-19 economic disaster. The goal of the COVID-19 grant program is to mitigate barriers to capital for the most vulnerable Alameda small businesses and restaurants by providing one-time emergency working capital grants. Businesses can receive a one-time grant of $7,500. A total of $502,500 in grant funding (or 67 grants) will be available for award in all areas of the City excluding Alameda Point. A total of $97,500 (or 13 grants) will be available for award at Alameda Point. The total amount available for small business relief grants will be $600,000 (or 80 grants).
Alameda Municipal Power Launches New Electric Vehicle Web Pages– Alameda Municipal Power (AMP) is happy to announce the launch of a new electric vehicle (EV) focused addition to our website. The new EV pages will provide users with information ranging from the benefits of owning an EV to how to choose, charge, and purchase an EV. The new site contains a calculator to learn about how much money one can save by switching from a gas vehicle to an electric vehicle, as well as a shopping guide for both battery electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs). One of the highlights of the new pages is a comprehensive list of all the EV incentives provided by AMP along with those provided locally, state-wide, and nationally. Finally, the new web pages include a live EV charger finder, so our customers can easily identify where to find chargers in Alameda and beyond.
AMP Launches New Rebates for Used EVs– On May 1, AMP launched a new rebate to help our residential customers buy a used (pre-owned) EV. The rebate varies based on the type of vehicle: customers buying a BEV can receive $1,000 back, while customers choosing a PHEV are eligible for a $500 rebate. AMP customers who are enrolled in our Energy Assistance Program (EAP) will qualify for an additional $500 for each of these rebates. The rebate only applies to used EVs with a purchase price below $22,000.
AMP Launches New Rebates for Electric Forklifts– On May 1, AMP also launched a new rebate for non-residential customers to help lower the purchase price of a new electric forklift. Customers who buy a new class-1 or class-2 electric forklift are eligible for a rebate up to $2,000.
GENERAL MANAGER’S REPORT AGENDA ITEM NO.: 6.A.2 REPORTING PERIOD: April 2020 MEETING DATE: 05/18/2020
Customer Resource Division Stats During Shelter-in-Place–
Safety: o 2020 Lost Time Cases: 0 o 2020 Recordable Injuries: 2 o 2020 First Aid Cases: 0 o 2020 Vehicle Accidents/ Incidents: 0
GENERAL MANAGER’S REPORT AGENDA ITEM NO.: 6.A.3 REPORTING PERIOD: April 2020 MEETING DATE: 05/18/2020 CUSTOMER PROGRAMS & EXPERIENCE Table 1: Summary of Energy Efficiency Programs as of April 29, 2020 SUMMARY OF ENERGY EFFICIENCY PROGRAMS AS OF APRIL 29, 2020* Annual Cumulative Percent Savings Apr- Energy of Program 1st Q 2nd Q 3rd Q Target 20 Savings Annual kWh/yr kWh/yr Target Residential 34,000 4,076 6,676 11,628 1,622 24,002 71% Refrigeration Residential 136,000 2,554 2,825 2,756 403 8,538 6% Lighting Residential 2,062 3,129 4,016 1,753 10,960 Other EAP+ (Low Income 0 47,625 20,461 0 68,086
Residential)** Energy Plus 461,746 381,619 762,559 29,562 0 1,173,739 254% Non- Residential 89,840 0 150,576 29,789 0 180,365 201% Lighting, Custom Non- Residential 88,334 0 48,474 42,091 0 90,565 103% Customized, Other Non- Residential 21,080 0 0 0 0 0 0% New Construction Non- Residential, 0 0 0 0 0
Other TOTAL 831,000 390,311 1,021,863 140,30 3,778 1,556,255 187% *Numbers represent gross savings ** EAP Plus is AMP’s energy efficiency upgrade program for low-income customers who are enrolled in the utility’s Energy Assistance Program (EAP). November 2019 is the first month of reported energy savings.
GENERAL MANAGER’S REPORT AGENDA ITEM NO.: 6.A.4 REPORTING PERIOD: April 2020 MEETING DATE: 05/18/2020
Figure 1: Electric Vehicle Charger Rebates
Figure 2: Electric Vehicle Discount Program Participation * Six applications for the EV discount were received in April 2020.
GENERAL MANAGER’S REPORT AGENDA ITEM NO.: 6.A.5 REPORTING PERIOD: April 2020 MEETING DATE: 05/18/2020
Figure 3: Residential Solar Interconnections *There were zero residential solar installations completed in April 2020.
Figure 4: Commercial Solar Interconnections *There were zero commercial solar installations completed in April 2020.
GENERAL MANAGER’S REPORT AGENDA ITEM NO.: 6.A.6 REPORTING PERIOD: April 2020 MEETING DATE: 05/18/2020
Figure 5: Battery Storage *There were zero storage installations completed in April 2020.
GENERAL MANAGER’S REPORT AGENDA ITEM NO.: 6.A.7 REPORTING PERIOD: April 2020 MEETING DATE: 05/18/2020 FINANCIALS Table 2: Monthly and Year to Date Total Operating Revenue and Expense Report as of April 30, 2020
Report Status as of: Annual (Fiscal Year) April 30, 2020 Monthly To Date Goal Result Goal Result Total Operating Revenue - Electric 5,361,953 5,002,792 50,005,073 50,973,739 (March 2020) Total Operating Expense - Electric 4,768,502 4,458,335 42,644,192 41,460,484 (March 2020) Note: Shaded areas indicate the data is
displayed on the accompanying graphs
GENERAL MANAGER’S REPORT AGENDA ITEM NO.: 6.A.8 REPORTING PERIOD: April 2020 MEETING DATE: 05/18/2020
Figure 6: Fiscal Year 2020 Cumulative Net Income – Electric
Figure 7: Fiscal Year 2020 Monthly Operating Revenue – Electric
GENERAL MANAGER’S REPORT AGENDA ITEM NO.: 6.A.9 REPORTING PERIOD: April 2020 MEETING DATE: 05/18/2020
Figure 8: Fiscal Year 2020 Monthly Operating Expense – Electric
Figure 9: Fiscal Year 2020 Cumulative Operating Revenue – Electric
GENERAL MANAGER’S REPORT AGENDA ITEM NO.: 6.A.10 REPORTING PERIOD: April 2020 MEETING DATE: 05/18/2020
Figure 10: Fiscal Year 2020 Cumulative Operating Expense – Electric
GENERAL MANAGER’S REPORT AGENDA ITEM NO.: 6.A.11 REPORTING PERIOD: April 2020 MEETING DATE: 05/18/2020
Table 3: Special Revenue Summary – Fiscal Year 2020 Year to Date Through March 2020
Cap & Trade Revenue Funding from Operating Capital Total Reserve - 10 2114 Cash Receipts Power Costs Expenses Projects Expenditures Reserve Balance
Reserve Beginning Balance 6-30-2019 3,127,934 Jul-19 - (588) (588) 3,127,347 Aug-19 - (83,334) (2,604) (85,938) 3,041,408 Sep-19 269,635 (41,667) (930) (42,597) 3,268,446 Oct-19 - (41,667) (18,249) (59,916) 3,208,530 Nov-19 - (41,667) (5,395) (47,062) 3,161,468 Dec-19 267,138 (41,667) (4,279) (45,946) 3,382,660 Jan-20 - (41,667) - (41,667) 3,340,993 Feb-20 - (41,667) (1,725) (43,392) 3,297,601 Mar-20 280,845 (41,667) (2,299) (43,966) 3,534,480 Apr-20 - 3,534,480 May-20 - 3,534,480 Jun-20 - 3,534,480 Total To Date 817,618 (375,003) - (36,070) (411,073) 3,534,480
Renewable Energy Credits Funding from Operating Capital Total Revenue Reserve - 10 2113 Cash Receipts Power Costs Expenses Projects Expenditures Reserve Balance
Reserve Beginning Balance 6-30-2019 19,327,911 Jul-19 170,516 (2,000) (61,643) - (63,643) 19,434,784 Aug-19 194,673 - (116,780) - (116,780) 19,512,677 Sep-19 151,514 (34,515) (2,544) - (37,059) 19,627,132 Oct-19 160,258 (4,483) (72,655) - (77,138) 19,710,252 Nov-19 184,717 (4,000) (22,440) - (26,440) 19,868,528 Dec-19 190,662 (111,600) (345,729) - (457,329) 19,601,862 Jan-20 191,425 (116,950) (19,880) (14,631) (151,461) 19,641,826 Feb-20 191,938 (111,600) (27,708) - (139,308) 19,694,456 Mar-20 138,653 (4,428) (9,498) (13,926) 19,819,183 Apr-20 - 19,819,183 May-20 - 19,819,183 Jun-20 - 19,819,183 Total To Date 1,574,356 (389,576) (678,878) (14,631) (1,083,085) 19,819,183
Low Carbon Fuel Standard Funding from Operating Capital Total Revenue Reserve - 10 2115 Cash Receipts Power Costs Expenses Projects Expenditures Reserve Balance
Reserve Beginning Balance 6-30-2019 942,892 Jul-19 - - 942,892 Aug-19 990,000 - (25,919) - (25,919) 1,906,973 Sep-19 (1,250) - - - - 1,905,723 Oct-19 - - (10,972) - (10,972) 1,894,751 Nov-19 - - (30,432) - (30,432) 1,864,319 Dec-19 - - (31,250) (31,250) 1,833,070 Jan-20 - - (8,154) (8,154) 1,824,916 Feb-20 - - (8,093) - (8,093) 1,816,822 Mar-20 - - (9,960) - (9,960) 1,806,862 Apr-20 - 1,806,862 May-20 - 1,806,862 Jun-20 - 1,806,862 Total To Date 988,750 (124,780) (124,780) 1,806,862 Combined Total 3,380,724 (764,579) (803,657) (50,701) (1,618,937) 25,160,525
GENERAL MANAGER’S REPORT AGENDA ITEM NO.: 6.A.12 REPORTING PERIOD: April 2020 MEETING DATE: 05/18/2020 OPERATIONAL STATISTICS
Figure 13: System Average Interruption Duration Index (SAIDI) Fiscal Year 2020
*Based on Benchmark study of APPA Region 6
SAIDI= Sum of customer-minutes off for all interruptions Total number of customers served
System Average Interruption Duration Index (SAIDI): SAIDI is defined as the average duration of interruptions for customers served during a specified time period. Similar to CAIDI, but the number of customers served instead of affected is used. The unit is minutes. A common usage of SAIDI is "If all customers were without power the same amount of time, they would have been out for _____ minutes.
GENERAL MANAGER’S REPORT AGENDA ITEM NO.: 6.A.13 REPORTING PERIOD: April 2020 MEETING DATE: 05/18/2020
Figure 14: System Average Interruption Frequency Index (SAIFI) Fiscal Year 2020
*Based on Benchmark study of Western Regional Utilities
Total # of customers affected by SAIFI= interruptions Total number of customers served
System Average Interruption Frequency Index (SAIFI): SAIFI describes the average number of times a customer experiences a sustained interruption during a specified time period. The unit for SAIFI is 'interruptions per customer'. A common usage of SAIDI is "On average, customers experienced _____ interruptions".
GENERAL MANAGER’S REPORT AGENDA ITEM NO.: 6.A.14 REPORTING PERIOD: April 2020 MEETING DATE: 05/18/2020
Figure 15: Customer Average Interruption Duration Index (CAIDI) Fiscal Year 2020 *Based on Benchmark study of Western Regional Utilities
Sum of customer-minutes off for all sustained CAIDI= interruptions Total # of customers affected by the sustained interruptions
Customer Average Interruption Duration Index - CAIDI CAIDI is the weighted average length of an interruption for customers affected during a specified time period. The unit of CAIDI is minutes. A common usage of CAIDI is "The average customer that experienced an outage is out for _____ minutes.
GENERAL MANAGER’S REPORT AGENDA ITEM NO.: 6.A.15 REPORTING PERIOD: April 2020 MEETING DATE: 05/18/2020
Figure 166: Call Volume Through April 30, 2020 * IVR calls are higher this month due to AMP’s closure on Fridays and reduced staffing in the call center as a result of COVID-19 social distancing measures.