Agenda Benton County Public Utility District No. 1 Commission Meeting
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AGENDA BENTON COUNTY PUBLIC UTILITY DISTRICT NO. 1 COMMISSION MEETING Tuesday March 13, 2018 9:00 a.m. 2721 West 10th Ave., Kennewick 1. Pledge of Allegiance 2. Treasurer’s Report (pg.3) 3. Safety Minute Info. Only/Levi Lanphear 4. Public Comment (Public in attendance should read the “Guidelines for Public Participation at Commission Meetings”, available the day of the meeting, or at www.bentonpud.org, Guidelines. 5. APPROVAL OF CONSENT AGENDA (All matters listed within the Consent Agenda have been distributed to each member of the Commission for reading and study, are considered to be routine, and will be enacted by one motion of the Commission with no separate discussion. If separate discussion is desired by any member of the Commission, that item will be removed from the Consent Agenda and placed on the Regular Agenda by request.) a) Commission Minutes of February 13, 2018. (pg.5) b) Periodic Travel Report dated March 13, 2018. (pg.12) c) Vouchers dated March 13, 2018. (pg.13) d) Periodic Review -- Resolution No. 2441, Authorizing Investment of Monies in the Local Government Investment Pool. (pg.29) e) Periodic Review – Resolution No. 2442, Authorizing the General Manager to Declare a Pandemic Event . (pg.44) f) Periodic Review – Resolution No. 2443, Amending Emergency Response & Restoration Policies. (pg.51) g) Survalent Technology, Software Maintenance and Support for SCADA Software – Contract Award Recommendation. (pg.68) h) Robinson Brothers Construction, Vista & Orchardview Node Cabinet Replacement -- Contract Change Order, Increasing Not-to-exceed amount and extending term. (pg.72) i) Operations Dispatch Monitor Procurement and Installation, Bid Package No. 17-16 – Reject All Bids. (pg.76) j) Asphalt Replacement, Administration Building Parking Lot, Bid Package No. 18-01 – Reject All Bids. (pg.77) k) Annual Community Involvement Update. (pg.78) 6. REPORT FROM MANAGEMENT 7. BUSINESS AGENDA a) Annual Recognition of Conflict of Interest Requirements – Code of Conduct Acknowledgement, Governance of the Benton PUD Commission Info. Only/Chad Bartram (pg.81) b) Work Order No. 527436 – Cold Creek Feeder Upgrades Action Item/Evan Edwards (pg.94) c) Work Order No. 532564 – Metaline Underground Conduit and Vault System Installation Action Item/Evan Edwards (pg.97) d) Work Order No. 530087 – Metaline Overhead Powerline Relocation Action Item/Evan Edwards (pg.99) e) DJ’s Electrical, Joint Use, NESC Compliance, Cable Replacement and Construction Projects – Contract Change Order Action Item/Evan Edwards (pg.102) f) Sunheaven to Level 3 Fiber Build – Contract Award Recommendation. Action Item/Rick Dunn (pg.105) g) Twin City Foods, Authorization to Proceed Action Item/C. Johnson/T. Mapes (pg.109) h) Milne Fruit Products Authorization Action Item/C. Johnson/T. Mapes (pg.112) i) Lineage Logistics Authorization Action Item/C. Johnson/T. Mapes (pg.115) j) 2016-2017 Conservation Achievements Presentation/2018-2019 Preview Info. Only/T. Mapes (pg.118) k) Review Final Draft of 2017 Annual Financial Info. Only/J. Meyer/K. Zirker (pg.119) l) Performance Measurement – 4th Quarter 2017 Report Info. Only/J. Meyer/K. Zirker (pg.180) m) January 2018 Financials Info. Only/K. Zirker (pg.208) 8. Other Business 9. Future Planning 10. Meeting Reports 11. Executive Session (To request an accommodation to attend a commission meeting due to a disability, contact [email protected], or call (509) 582-1227, and the District will make every effort to reasonably accommodate identified needs.) 2 PUBLIC UTILITY DISTRICT NO. 1 OF BENTON CO., WA. TREASURER'S REPORT TO COMMISSION FOR FEBRUARY 2018 Mar 1 , 2018 FINAL REVENUE FUND RECEIPTS D¡SBURSEMENTS BALANCE 02101118 Cash Balance $ 3,700,229.55 Collections $ 12,422,663.20 lnvestments Matured 1,716,12933 Miscellaneous - BAB's Subsidy Transfer from Debt Service Fund EFT Taxes $ 771,114.43 ChecksMarrants Paid 1,181,262.67 Debt Service to Unrestricted - Debt Service to Restricted 516,129.83 lnvestments Purchased 2,048,683.43 Deferred Compensation 111,394.46 Purchase lnv Special Fund-Construction Funds Purchased Power 7,423,493.62 Miscellaneous - Transfer to GA from Bond Fund Direct Deposit - Payroll & AP 2,138,042.81 Credit Card Fees 28,449.05 Miscellaneous Sub-total $ '14,138,793.03 $ 14,2 18,570.30 02t28118 Gash Balance $ 3,620,452.28 Balance Balance lnvestment 02101118 Purchased Matured LGIP lnterest 02128118 Activity $54,447,195.36 2,516,129.83 1,716,129.83 $48,683.43 $55,295,878.79 Balance Check 02t01t18 lssued Redeemed Cancelled* Activity s477,783.42 $1 ,008,327.1 1 81,181,262.67 8129.27 $304,718.59 Unrestricted Reserves: 02to1t18 o2t28r18 Minimum Operating Reserves (90 DCOH) lncl. RSA(1) 32, .41 $ 32,523,811.41 Designated Reserves (Bond lnsurance Replacement) 2,612,152.17 2,612,152.17 Designated Reserves (Power Market Volatility Account) 3,850,000.00 3,850,000.00 Designated Reserves (Special Capital Account) 15,376,052.33 15,376,052.33 Designated Reserves (Customer Deposits Account) 1,600,000.00 1,600,000.00 Undesignated Reserves (DCOH -1 days) (z) 252 776.33 Unrestricted Reserves Total 55.88 55,752,032.2 252,776.33 DCOH - (Unrestricted Reserves Total) 154 154 O.460/0 Restricted Reserves: Bond Reserve Account 1,107,865.13 1 ,1 07,865.1 3 Bond Redemption Accounts 1,540,303.90 $z 433.73 516,129.83 Restricted Reserves Total 169.03 3 1 51 r29.83 TOTAL RESERVES 147 16 (1) RSA (Rate Stab¡lization Account): $7,500,000.00 (2) Undesignated Rese/ves arc peiodicatty rev¡ewed to reallocate to the Designated Reserve accounts Prepared, Certified Kevin K. White, Treasurer Jon L. , Auditor 3 CASH & INVESTMENTS SUMMARY Average Weighted Yield 1..443% as February 28,20!8 of Average Days to Maturity 104 Maturity lnvestment Financial Call lnvestment Date lnstrument lnstitution Provisions Yield Date Amount 1 21-May-18 FNMA * Piper Jaffray Quarterly cail beg. lll2V13 1.00% 21-May-13 2,000,000 2 28-Feb-I9 FHLMC * MBS One time call2/28h8 138% 28-Feb-77 4,000,000 3 15-May-19 Treas * TimeValue Bullet L.27o/o 17-Nov-16 r,940,776 4 15-Nov-19 FHLB * Morgan Stanley Bullet t.36Yo 17-Nov-16 2,000,876 5 19-Dec-19 FFCB * Piper Jaffray Bullet 1.95% 22-Dec-t7 743,423 6 30-Mar-20 FNMA * TimeValue Quarterly call bee. 3/30/77 LsO% 17-Nov-16 t,997,700 TOTAL SECURITIES t2,676,775 Daily LGIP** N/A !.474Yo Varied 42,619,t05 TOTAL INVESTMENTS 55,295,879 CASH 3,620,452 * Held in custody at Wells Forgo Bonk TOTAL CASH & INVESTMENTS s s8,916,331 ** Locol Government lnvestment Pool Historical LGIP Rate lnvestment Portfolio 2.00% 7.50% 7.OO% o.50% 0.00% o.;u,.*r/¡"*"/r". r LGIP T FHLB T FNMA T FHLMC ¡ FFCB I CASh Daily Treasury Yield Curve 3.0 -2/28/20!8 -2/28/20t7 -2/28/20!6 0, 2.O t!¡0 c o c (¡, Â- 1.0 0.0 lmo 3mo 6mo 1Yr 2Yr 3yr 5yr Source: http://www.ustreos.gov/ofrices/domestic-Íinance/debt-monagement/interest-rote/yield.shtml 2018 2019 2020 M A M J J A s o N D J F M A M JJ A s o N D J F M A M J J A S o ND e(xD,qx) 1-FNMA ct 4q)o,(xx) 2-FHLMC 7,,9¿10,776 3-Treas 2,æO,876 ¿I.FHLB 741,421 5.FFCB 7,,98n,7(n GFNMA c* 4 PUBLIC UTILITY DISTRICT NO. 1 OF BENTON COUNTY Date: February t3,2OL8 Time: 9:00 a.m. Place: 272LWestLOth Avenue, Kennewick, Washington Attendees: Commissioners Bush, Hall and Sanders General Manager Bartram Assistant General Manager Hunter Legal Counsel Hultgrenn Senior Director of Engineering and Power M ent Dunn Director of Finanôe MeYer Director of Customer Programs and Services Ba Manager of Communications and nmental Re r Manager of Contracts & Pu Manager of Risk Management & Tre Manager of Human Resources Wenner Manager of Power Res nson Manager of Accou Manager of lnform echno Manager of Applicatio ntegr Holb Manager of u Supervi on sup n rving Power gy Progra lyst Guests: Wa n State or's e: Marcus Nelson and Jose Garcia; Tom Bernard, attending via nce call; Torelli, customer The Pledge of Allegiance State Audito/s office - Exit Conference,2o!6 Accountability and Legal Compliance Audit; 2016 Energy Independence Act (EIA) Renewable Energy Compliance Audit Manager of Accounting introduced Marcus Nelson and Jose Garcia of the Washington State Auditor's Office, and Tom Bernard, attending via conference call. Mr. Bernard gave a presentation on the results of the 20L6 Energy lndependence Act (ElA) Renewable Energy Compliance Audit and concluded the District complied in all material respects'with the specified requirements of the ElA. Mr. Nelson gave a powerpoint presentation addressing the 2016 Accountability and Legal Compliance Audit and stated there were no findings, management Commission Meeting Minutes February 13,2018 Page I of7 5 letters or exit recommendations. Mr. Nelson stated that the District has received no audit findings for the last L4 years. The next audit is scheduled for Fall 2018 which will be an accountability audit for fiscal year 2Ot7. General Manager thanked staff for their work in continuing to have successful audits at the District. Commission President Barry Bush stated that in order to accommodate public in attendance at today's meeting, Business Agenda ltem 7d, Resolution No. 2 0, Adopting Customer Service Policies, would be moved at the next item on the agenda Public Comment Mr. Chuck Torelli, customer, stated he apprecia s d information found on the District's website, stating it was very function easy to Commission President Barry Bush noted Karen Miller, Manager o unications, ha responsibility for the website.