February Board Meeting Minutes
MOUNTAIN PARKS ELECTRIC, INC.
Regular Meeting of the Board of Directors
February 8, 2018
Present: Jeff Hauck, Carl Trick, Richard Zieff, Peggy Smith, Justin Fosha, Liz McIntyre, Tom Sifers, Stacie Dellamano, Susan Hunter, Scott Simmons, Rich Trostel, Rob Taylor, Joe Palmer, Jessica Rahn, and Levi Williamson.
Call to Order
President Jeff Hauck called the meeting to order at 8:00 a.m.
Determination of Quorum
A quorum was declared.
There was no public comment.
The Board reviewed the meeting minutes from the January 11, 2018 meeting.
MOTION: Director Trick moved to approve the minutes of the January 11, 2018 meeting as presented. The motion passed unanimously.
Attorney Summary Fees Report
The Board Reviewed Attorney Williamson’s fees summary report for January 2018.
MOTION: Director Trick moved to approve Attorney Williamson’s report. The motion passed unanimously.
The General Manager’s Report as prepared by Tom Sifers was reviewed. Sifers reported on his attendance at the Tri-State Managers’ meeting. Tri-State projects no rate increases for five years. Sifers reported that he is looking into leasing vehicles instead of purchasing them. He reviewed upcoming meetings.
Director Zieff reported on amendments to Western United’s articles of incorporation and bylaws. Western United rejected a merger offer from a Wisconsin co-op.
Sifers reported on Poudre Valley REA’s decision to build a fiber-optic system to provide middle mile service. Sifers led a discussion regarding MPEI installing a fiber-optic backbone for its own communications system and possible middle mile service. He recommends moving forward with the project.
MOTION: Director Smith moved to direct staff to move forward with the fiber-optic communications backbone. The motion passed unanimously.
President Hauck recessed the meeting at 9:30 a.m. and reconvened at 9:38 a.m.
The engineering report as prepared by Simmons was reviewed. He reported on the status of a potential development. Sandridge is discussing the possibility of building a 6-9MW flare-gas generation unit. Simmons reported on the status of MPEI’s technology planning.
Operations & Safety Report
The Operations and Safety report as prepared by Trostel was reviewed. Trostel reported on the status of the Grand Lake LED street light project. The Windy Gap transmission project is almost complete.
Trostel presented the Safety Report. There were no lost-time accidents.
MOTION: Director Trick moved to accept the Safety Report. The motion passed unanimously.
The Finance report as prepared by Dellamano was reviewed. Dellamano presented preliminary 2017 year-end financials. She is waiting on Tri-Sate’s 2017 allocation of capital credits to finalize the 2017 financials. She presented analysis of 2017 financials with and without deferral of 2017 revenue. Dellamano reviewed her proposed amendment to MPEI’s revenue deferral plan. The amendment would defer $500,000.00 of 2017 margins. The amendment is based on Tri-State’s preliminary 2017 capital credit allocation.
MOTION: Director Fosha moved to authorize staff to close the 2017 financials with $500,000.00 of 2017 margins deferred. The motion passed unanimously.
MOTION: Director Trick moved to accept the Finance Report. The motion passed unanimously.
Dellamano presented a summary of unretired MPEI capital credits and a proposed 2018 retirement.
Dellamano presented 2017 financials for the Education Trust, the Charitable Trust, and MPSI.
The IT Report as prepared by Palmer was reviewed. Palmer reported on PCI compliance testing, which MPEI passed.
Human Resources & Administration
The Human Resources & Administration report as prepared by Rahn was reviewed. Rahn reported on her review of the employee handbook. She reported on her meetings with other department managers and on the status of the HR portal. She is working on MPEI’s hiring and termination processes. She reported on training.
Member Relations & Communications
The Member Relations & Communications report as prepared by Rob Taylor was reviewed. Taylor reported on 2017 sales figures and a potential loss of load in 2018. He presented a summary of residential historical usage. He presented his analysis of the air source heat pump pilot project. Taylor presented a summary of the 2017 Green Power Program. He presented the results of the Fall 2017 on-line survey. He reported on his work with Tri-State to produce marketing materials for MPEI.
The Office Services report as prepared by Hunter was reviewed. Hunter reported on new Office Services personnel. She reported that $215,901.86 of unclaimed capital credits were transferred to the Educational Trust. Hunter is looking at re-organizing the Office Services department.
Bills for Payment
The Board reviewed the list of cash disbursements for January 2018.
MOTION: Director Fosha moved to ratify the January 2018 cash disbursements from general funds per the cash disbursement list presented to the Board. The motion passed unanimously.
Open Board Forum and Associated Organization Board Reports
Carl Trick reported on his attendance at the regular meeting of the Tri-State Board of Directors. WECC is analyzing the effects of distributed generation on grid frequency. Trick reviewed Tri-State’s 2017 highlights. Tri-State continues to pursue membership in SPP. United Power representatives presented information to the Tri-State Board regarding its proposed battery storage.
Director Zieff reviewed Western United Electric’s financials.
Director Hauck reported on his attendance at the regular meeting of the CREA Board of Directors. Senate Bill 64, which would require Colorado to be 100% renewable, died in committee. Xcel wants to offer an economic development rate.
President Hauck recessed the meeting at 12:02 p.m. for lunch and reconvened the meeting at 12:48 p.m.
MOTION: Director Zieff moved to go into executive session to receive confidential business information and confidential member information, with the following in attendance: All directors present at the meeting, all staff present at the meeting, Sifers and Attorney Williamson. The motion passed unanimously. Director Zieff moved to come out of executive session. The motion passed unanimously.
President Hauck recessed the meeting at 2:05 p.m. for the MPSI meeting and reconvened the meeting at 2:22 p.m.
Action Item #1
Hinman to Muddy Pass II Bids
Sifers and Simmons presented bids for the Hinman to Muddy Pass II rebuild. The Board discussed the possibility of installing fiber as part of the project. Action on the bids was tabled to allow staff to analyze fiber installation as part of the project.
Action Item #2
2018 Budget Adjustment
Dellamano requested an additional $61,000.00 to hire interns in the summer.
MOTION: Director Trick moved to amend the 2018 budget to increase the labor budget by $61,000.00. The motion passed unanimously.
Action Item #3
Green Power Advisory Board
Sifers presented proposed guidelines for the Green Power Advisory Board.
MOTION: Director Fosha moved to amend the guidelines by changing the name of the board to the Green Power Committee and to approve the guidelines as amended. The motion passed with Liz McIntyre abstaining and Carl Trick voting no.
Director McIntyre reported on her attendance at the Colorado Community Symposium. She reported on the Energy Smart program that other co-ops are participating in to help low-income households with energy efficiency. Colorado communities are establishing emissions and/or renewable energy goals.
MOTION: Director Fosha moved to go into executive session for discussion regarding confidential personnel matters with the following in attendance: all directors present at the meeting, General Manager Sifers and Attorney Williamson. The motion passed unanimously. Director Fosha moved to come out of executive session. The motion passed unanimously.