HomeMy WebLinkAboutMinutes_GUS_09.11.2015Minutes of the Meeting of the
Georgetown Utility Systems Advisory Board and the
Governing Body of the City of Georgetown, Texas
September 1.1, 2015 at 2:44PM
at Georgetown Municipal Complex, 300-1 Industrial Avenue, Georgetown, TX
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Board Members Present: Bill Stump — Chair, Ed Pastor — Vice Chair, Mike Cunningham —
Secretary, Robert Kostka, Steve Fought, Joyce Mapes
Board Members Absent: Ty Gibson
Staff Present: Mike Babin, Glenn Dishong, Paul Elkins, Jimmy Sikes, Michael Hallmark, David
Thornison, David Munk, Chelsea Soloman, Leticia Zavala, Chris Foster, Trina Bickford, Mike
Stasny, Casey Lane, Bridget Chapman, Sheila Mitchell
Others Present: Neil McAndrews (joined at 2:07PM)
Regular Session
(This Regular Session may, at any time, be recessed to convene an Executive Session for any purpose
authorized by the Open Meetings Act, Texas Government Code 551.)
A. Call to Order --Called to order by Chair at 2:OOPM. Chair noted Item Lis being pulled ftom the
agenda.
The Board may, at any time, recess the Regular Session to convene an Executive Session at the
request of the Chair, a Board Member, the City Manager, Assistant City Manager, General Manager
of Utilities, City Council Member, or legal counsel for any purpose authorized by the Open Meetings
Act, Texas Government Code Chapter 551, and are subject to action in the Regular Session that
follows.
B. Introduction of Visitors — none
Employee Recognition
-- Paul Elkins — Stump announced Elkins resignation from the City to begin work for M&S
Engineering. Stump noted some of Elkins accomplishments and projects worked on while
employed with City and thanked him for his service.
-- Casey Lane -- Dishong introduced Lane as Utility Safety and Training Coordinator. Lane was
recognized as being the first responder and providing critical aid to a citizen involved in a
serious auto/motorcycle accident near the Recreation Center. We would like to thank Casey for
immediately stopping to assist with the accident until emergency personnel could arrive.
Dishong also noted Lane is the current manager of the Lineman Training Program, which Elkins
helped to establish.
--Management changes: Mike Stasny, Jimmy Sikes
Dishong stated some management changes were taking place as a result of Elkins departure and
part of some reorganization of the departments. Sikes will be taking over Elkins' position as
Electric Engineering Manager and Sikes' current position is to be filled in near future. With some
of the restructure, some groups will now fall under Technical Services, which will be managed by
Stasny. Dishong introduced Stasny stating he will attend board meetings as needed.
C. Discussion regarding the Project Progress Report, timelines including projects and Council Actions. —
Michael Hallmark, Project Manager
Discussion: Hallmark stated updated reports included in packets. Kostka asked for update on
EARZ project that was out for bid. Hallmark stated bids came in, evaluations are being done on
lowest bidder and update should come to GUS Board next month. No further discussion.
D. Industry Updates
Discussion: Babin updated on CTSUD CCN hearing. Lawyers for both sides have filed their
briefs, summaries and responses. Judge's ruling expected in October; PUC final ruling in
December. Wind update: LCRA seeking to exit a large wind deal they had on the coast, mostly
due to pricing; seeking a ruling to limit their damages of liability on early exit. Update on our
wind turbines — they are construction complete, operational and delivering power to ERCOT. We
are waiting to receive commercial delivery and daily scheduling from them. We are within a
couple of weeks of receiving delivery of power officially from our wind farm. There are 97
turbines. Stump asked and Foster responded regarding pricing and stability of pricing. Further
discussion continued on efficiency and demand. Babin spoke on increased customer growth rate,
home sizes and efficiencies. Stump, Foster and Cunningham spoke on Green Building industry,
US rates and usages, and weather patterns vs. what is happening in other countries. No further
discussion.
Legislative Regular Agenda
The Board will individually consider and possibly take action on any or all of the following items:
E. Review and possible action to approve the minutes from the Regular GUS Board meeting held on
August 14, 2015. — Sheila K. Mitchell, GUS Board Liaison
Discussion: None. Motion by Kostka, seconded by Pastor to approve the minutes from the
Regular GUS Board meeting held on August 14, 2015. Approved 6-0-1 (Gipson absent)
F. Consideration and possible recommendation to renew the annual agreement for Material Acquisition
to purchase electric distribution, fiber and substation materials for the FY 2015-2016 from Techline
Ltd. under their contract with the Lower Colorado River Authority ("LCRA") Electric Material
Acquisition Program in the estimated amount of $4,000,000.00. — Paul Elkins, Electric Engineering
Manager and Wesley Wright, P.E., Systems Engineering Director
Discussion: Elkins explained program. We pay a small usage fee and pay a percentage over their
cost. Elkins provided update on amount spent this last year. Stated purchases are on an as
needed basis, based on project load. Stump stated this is repeat of contract we approve each year
and Elkins noted LCRA last bid out in 2003. This allows the City to purchase under their contract
and not have to bid each item out. Kostka stated the nominal fee charged by LCRA to utilize their
contract was well worth the expense. Motion by Cunningham, seconded by Kostka to approval
the renewal of the annual agreement for Material Acquisition to purchase electric distribution,
fiber and substation materials for the FY 2015-2016 from Techline Ltd. under their contract with
the Lower Colorado River Authority ("LCRA") Electric Material Acquisition Program in the
estimated amount of $4,000,000.00. Approved 6-0-1 (Gipson absent)
G. Consideration and possible recommendation to renew the contract for the Electric System
Underground Construction & Maintenance with Pedro S.S. Services, Inc. of Austin, Texas, in the
estimated amount of $3,050,000.00. -- Paul Elkins, Electric Engineering Manager and Wesley Wright,
P.E., Engineering Director
Discussion: Elkins explained underground contractor assistance for labor only; approximately
$450,000 less than requested last year. This is a renewable bid and this is first year renewal of the
bid. Work is paid on a job by job basis on unit cost. They have performed well the last several
years. Kostka asked and Elkins noted the 5% escalation is reasonable however doesn't always
cover the increase of labor however they are held to that rate per agreement. Further questions
about last year's bid, how determined, project work to be done; Elkins responded to all questions.
Contractor is responsible for their own insurance including workman's compensation. Elkins
noted they have done exceptional work when working in customer's property, leaving no trace of
recent work performed. Motion by Cunningham, seconded by Mapes to approve the renewal of
the contract for the Electric System Underground Construction & Maintenance with Pedro S.S.
Services, Inc. of Austin, Texas, in the estimated amount of $3,050,000.00. Approved 6-0-1 (Gipson
absent)
H. Consideration and possible recommendation to approve annual task orders: Task Order MEI -16-001
for Electric System & Planned Capital Improvement Projects in the amount of $750,000.00, Task
Order MEI -16-002 for Electric System Engineering Planning and Engineering Assistance in the
amount of $400,000.00 and Task Order MEI -16-003 for New Development Engineering and Design
Assistance in the amount of $550,000.00 with McCord Engineering, Inc., of College Station, Texas, for
professional engineering services. -- Paul Elkins, Electric Engineering Manager and Wesley Wright,
P.E., Engineering Director
Discussion: Elkins stated item covers three Task Orders. McCord has a Master Service agreement
with City. Each Task Order covers different services/scope of work. Some costs are captured
through developer reimbursements. They have been performing engineering assistance for the
City for numerous years and provide excellent service. Estimates are slightly increased from last
year; approx. $4,000.00. Total amount spent is projected based on previous year's work. Further
discussion continued regarding fee schedule and anticipated hours. Board requested such
information be brought back for consideration and approval of Task Orders to October meeting.
Motion by Cunningham, seconded by Kostka to approve continuance of the existing task orders
for the existing rates, for an additional month, with any work done under current Task Orders to
be approved or trued up if needed if new Task Orders are approved; with information on
requested fees and anticipated hours to be presented at the next board meeting, for consideration
and approval of new Task Orders presented. Approved 6-0-1 (Gipson absent)
Elkins departed meeting at 2:36PM
1. Consideration and possible recommendation to renew the annual contract for Tree Trimming and
Vegetation Management Bid to National Tree Expert Company, Inc., of Burnet, Texas, in the
estimated amount of $310,000.00. —Jimmy Sikes, T&D Services Manager
Discussion: Sikes presented item stating this was a renewal for fifth year of contract. Sikes stated
they have done a very good job and are very customer oriented. Stump stated and Sikes noted
same contract as before with renewal this year; this is last renewal. Cunningham asked and Sikes
confirmed rates are reflected in their purchase order. Motion by Mapes, seconded by
Cunningham to renew the annual contract for Tree Trimming and Vegetation Management Bid
to National Tree Expert Company, Inc., of Burnet, Texas, in the estimated amount of $310,000.00.
Approved 6-0-1 (Gipson absent)
J. Consideration and possible recommendation to amend the contract with CH2M HILL for the
management, operation and maintenance of the City's water and wastewater treatment facilities for
the period starting October 1, 2015 through September 30, 2016 for a total combined operating budget
of $3,377,222.69. — David Thomison, Water Services Manager
Discussion: Thomison provided update on taking plant operations back in-house, which has
been in the works for quite some time and evaluations have been done for cost savings.
Thomison noted details of staff proposal to contractor for turnover time frame, which contractor
is not in agreement with. With Board approval, staff proposes to continue with negotiations to
reach a final agreement and present for Council approval. Dishong noted additional negotiations
are under way between the City and OMI to reach an agreement. Cunningham asked who
initiated contract change and why? Dishong stated City evaluated and had an engineering firm
confirm City's evaluation that City could save a substantial sum to bring services in-house.
Further discussion continued about timing, cost savings, evaluation and staffing. Stump asked
what Board was being asked to approve? Cunningham asked about copy of engineer's report and
Dishong will provide information. Stump asked if CH2M was not in favor of current proposed
amendment and Dishong confirmed. Cunningham referred to various sections of the agreement
noting he would like additional information to be provided to Board before making a
determination. Stump asked if not approved today, will there be issues and Dishong stated they
would be operating without an amended contract, which is approved each year to spend
additional funds; operating at risk. Further discussion continued. Cunningham asked if first visit
to GUS and Dishong stated yes; Fought noted it was brought previously in concept but not full
detail. Fought felt the Council would prefer to have GUS Board's recommendation prior to
approving. Cunningham asked to bring item back to GUS Board in October with review of
engineer's report and response to questions regarding the various areas of the agreement in
question. Further discussion continued with options to be considered. Babin discussed options
for full year amendments to contract and future amendments for consideration later in year.
Cunningham asked further questions and asked for information to be brought back to GUS in
October for final consideration. Motion by Fought, seconded by Cunningham to postpone
consideration and approval of item and return item to GUS Board meeting in October for
consideration and approval upon review of additional information requested. Approved 6-0-1
(Gipson absent)
K. Consideration and possible recommendation to approve the purchase of Bioxide from Evoqua Water
Technologies LLC of Sarasota, Florida, in an amount not to exceed $50,000.00, for Fiscal Year
2015/2016. — David Thomison, Water Services Manager
Discussion: Thomison provided information on treatment material and process. Cunningham
spoke about his knowledge of facilities. Feels city is being very cost effective at using this process.
Stump asked and Thomison explained type of solution. Motion by Cunninghm, seconded by
Mapes to approve the purchase of Bioxide from Evoqua Water Technologies LLC of Sarasota,
Florida, in an amount not to exceed $50,000.00, for Fiscal Year 2015/2016. Approved 6-0-1
(Gipson absent)
L. Consideration and possible recommendation to allow the proposed Ranchito Subdivision, (aka 12.98
acres in the William Roberts Survey, A-524, Williamson County, Texas) the use of an onsite sewer
system (septic system) in lieu of a public wastewater system according to Section 13.06.030A.4 of the
City's Unified Development Code. -- Jordan Maddox, Acting Planning Director and David Munk,
Utility Engineer
Discussion: ITEM WAS PULLED FROM AGENDA AT MEETING
M. Consideration and possible recommendation to procure consulting services with Neil McAndrews
and Associates for Resource Price Risk Management. — Chris Foster, Resource Planning & Integration
Manager
Discussion: Foster introduced McAndrews and noted that the Board doesn't see McAndrews
service contact every year due to work load and industry involvement. He has been working
with the City since at least 2000. Most of his work costs have fallen under amount to be approved
by the Board. Services will increase this year due to changes in the industry and needs. No
discussion. Motion by Kostka, seconded by Pastor to procure consulting services with Neil
McAndrews and Associates for Resource Price Risk Management. Approved 6-0-1 (Gipson
absent)
Adjournment
Motion by Cunningham, seconded by Kostka to adjourn the meeting at 3:13PM. Approved 6-0-1
(Gipson absent)
c
Bill Stump — Board Chair
4eila K. Mit el , GUS Board Liaison