HomeMy WebLinkAboutAgenda Packet 11/08/1999 UTILITY ADVISORY COMMI3-rEE
PUBLIC WORKS CONFERENCE ROOM
PORT ANGELES, WA 983(~2
NOVEMBER 8, 1999
3:00 P,H,
AG EN DA
I. CALL TO ORDER
II. ROll CAll
III. APPROVAL Of ~VIINUTES Of SEPTEMBER I 3, 1999, REGULAR MEE-FING.
IV. DISCUSSION IteMs
A. WAtER~/ASTEWateR COSt OF SERVICE STUDY
B, DISCUSSION Of EXPANDINg UAC iVieMbERSHIP - VERBAL ONLY - NO RePORt
C. PRoceDuRES FOR SURPLUSING PROPERTY HELD BY tHe UTilities - VERBAl ONlY
V. INFORMATION ONlY ITEMS
ELWHA DAM TRANSMISSION LINE
VI. LATE Items
VII. NEXT MEeTINg - DECemBER I 3, 1999
VIII, ADJOURNMENT
UTILITY ADVISORY COMMITTEE
Port Angeles, Washington
September 13, 1999
L Call to Order:
Acting Chairman Myers called the meeting to order at 3:10 p.m.
IL Roll Call:
Members Present: Councilman Doyle, Councilman Williams, and Bill Myers.
Members Absent: Councilman Campbell and Joe Michalczik.
Staff Present: Craig Knutson, Glenn Cutler, Becky Upton, Tom McCabe, Steve
Evans, and Scott McLain.
III. Approval of Minutes:
Councilman Doyle moved to approve the minutes of the August 23, 1999, meeting. The
motion was seconded by Councilman Williams and carried unanimously.
IV. Discussion Items:
A. Right-of-Way Use Permits - Interim Policy for Communication Lines
Scott McLain, Power Manager, advised the Committee members that the City has received
requests from Olympic Memorial Hospital, as well as Pacific Office Equipment, to install
fiber optic communication lines. The City would like to remain cooperative; however,
because the City may build a City-wide fiber optic network in the future, it would be
advisable to not create a conflicting situation. Staff is recommending that the City issue
Right-of-Way Use Permits for a one-year period that would be renewable until the time the
City's feasibility study is complete and a fiber optic system installed that could serve as a
replacement.
In the ensuing discussion, Committee members spoke in support of the recommendation.
Mr. McLain indicated that the City may want to contribute to some of the cost as long as the
fiber optic installation is done to the City's specifications. It was noted the offer was made
to install another conduit for the City's use. Lengthy discussion followed, at which time the
Committee considered pole rental agreements and relationships with the companies involved
in telecommunications. Bill Myers expressed the opinion that the City make it very clear
that anyone installing fiber optics would need to join the City's system once it is complete.
Attorney Knutson indicated that Right-of-Way Use Permits are presently issued by staff, but
it may be advantageous to take the matter to the City Council because of the fiber optics
Utility Advisory Committee
September 13, 1999
Mitigation Alternatives and Integration with Regional Supply Objectives", and they are
being asked to provide comments by September 17, 1999. Once the comments have been
received, a summary will be prepared for the Utility Advisory Committee and a
determination made as to whether any changes need to be made to the report.
Attorney Knutson reported that the Council will be receiving a copy of the follow-up
response prepared subsequent to the visits of Senator Gorton and Congressman Dicks on the
matter of Elwha Dam removal impacts. Staff has responded to questions raised with the
legislators, particularly those posed by Senator Gorton with respect to the City's position that
permanent treatment facilities are necessary, how long it will take to design mitigation
measures, and whether appropriations can be spread out over a period of two years. Bill
Myers asked that he and Joe Mmhalczik be provided with copies of the response document.
Lengthy discussion followed, and it was noted that the law specifies the money be in hand
before dam removal can proceed. Congressman Dicks has suggested it may be necessary to
change the law to allow incremental budgeting.
V, Other Business:
Brief discussion was held with regard to the history and value of the Utility Advisory
Committee. Director Cutler felt the Committee's input is most valuable in obtaining a sense
of direction. Bill Myers suggested that consideration be given to expanding the membership
of the committee, perhaps with community representatives.
Attention was directed to the tour of the Port Townsend compost facility tomorrow, and
Councilman Doyle indicated he would appreciate a tour of the City's facility as well. It
would provide him with a point of comparison.
VIL Next Meeting:
The next meeting of the Utility Adviso~ Committee will be held on Monday, October 11,
1999.
VIII. Adjournment:
The meeting adjourned at 4:10 p
Bill Myers, Acting Chairman Becky J. Upton, City Clerk
3
pORTANG .L S
WASHINGTON, U.S.A.
PUBLIC WORKS DEPARTMENT
DATE: November 8, 1999
To: Utility Advisory Committee
FROM: Scott McLain, Power Manager
SUBJECT: Water/Wastewater Cost-of-Service study
During the last UAC meeting, Economic and Engineering Services presented a revenue requirements
analysis for Water and Wastewater. General direction was also given regarding use of rate
stabilization funds (cash reserves), minimum cash balances to maintain, and capital spending levels.
This UAC meeting will discuss the second phase of the study, which deals with allocating costs fairly
among the customer classes and rate design, which specifies the actual rates to the various customer
classes.
The actual rate options weren't available at the time this memo was distributed, but will be available
in your City Hall mailbox by Friday afternoon. By utilizing rate stabilization reserves, overall
combined increases for the six year period were 40% for water and 31.5% for wastewater.
Cost of Service allocations were reviewed for CY 2000 and also for 2001-2003. The analysis
confirmed that the various customer classes were receiving services on a "cost-to-serve" basis. It
appears that across-the-board increases with some very minor modifications between classes are
prudent for rate adjustments that will be necessary during the rate period.
Action to be taken: Recommend rate adjustment package to Council.
Estimated time: 30 min.
N:~PWKS\LIGHTXPOWM~MEMOS\UAC 1108.WPD
pOR?ANGELES
W A $ H ~ N (3 T O N,
PUBLIC; WORKS DE~PART~E~IT
D~(TE: NOVEMBER 8, 1999
To: UTILITY ADVISORY COMMITTEE
FROM: JIM HARPER
SUB~mCT: ELWHA DAM OWNERSHIP TRANSFER
INFORMATION ONLY
The transfer of ownership of the Elwha and Glines dams from the Fort James Company to the US
Park Service is currently scheduled for February 2000. The final decision of whether to continue
generation activities until the dams are removed or not is scheduled for the end of 1999. If the Park
Service continues generation, the 69kV transmission lines will be required to transmit the power to
the BPA Transmission grid.
The ownership transfer issue of concern to the City is the 69kV transmission lines historically
operated and maintained by City customer, Dalshowa, may also transfer to the Park Service.
Approximately 30 of the poles in question are underbuilt with City Light distribution circuits. Future
transfer of ownership from the Park Service, after generation is terminated, may be difficult and
expensive.
The transmission facilities within the City will continue to be needed to serve Daishowa long after the
Elwha and Glines dams are removed. Plans are underway for a joint proposal by representatives of
Daishowa, City Light and PUD to be presented prior to a coordination meeting scheduled for
November 24. This proposal will hopefully meet the legal requirements of the Park Service and the
long term operating requirements of the City and Dalshowa.
Action to be taken: None at this time.
Estimated time: 20 min
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