MOUNTAIN PARKS ELECTRIC, INC.
Regular Meeting of the Board of Directors
Granby, Colorado
June 9, 2022
8:00 A.M.
Attendance
Present: Liz McIntyre, Kristen Taddonio, Jeff Hauck, Mark Volt, Carl Trick, Cray Healy, Mark Johnston, Scott Simmons, Joe Palmer, Adam Paulson, Leah McClain, and Levi Williamson, all in person. Director Justin Fosha was present via video conference.
Call to Order
President Jeff Hauck called the meeting to order at 8:00 a.m.
Determination of Quorum
A quorum was declared.
Minutes
The Board reviewed minutes from the May 12, 2022 meeting.
MOTION: It was properly moved, seconded, and carried to approve the minutes for the May 12, 2022 board meeting as presented.
Attorney Summary Fees Report
The Board reviewed Attorney Williamson’s fees summary report for May 2022.
Public Comment
Dennis Carpenter addressed the Board about his experience with an electric line locate job at the Kremmling airport. He also shared concerns about MPEI management and staff turnover. He asked the board to consider revisions to the electric line locate policy concerning behind-the-meter locates. He would like MPEI to locate member-owned facilities when locating MPEI facilities. The board listened to Mr. Carpenter’s comments and asked questions regarding the experience. The Board will consider his concerns when reviewing the policy and appreciates hearing from members.
Manager’s Report
General Manager Johnston reported on the status of the community solar project. Cloudbreak is exploring alternative sites for the project. Johnston reported that the FERC ALJ ruled that Tri-State’s Policy 119 regarding community solar is unduly discriminatory because it advantages smaller members over larger members and relieves participating members of costs borne by non-participating members. The ALJ outlined two ways Tri-State can revise the policy to make it non-discriminatory. Johnston believes the ruling will negatively impact MPEI’s proposed community solar project and therefore MPEI is in a “hold” status on this project until the impacts of the ruling are fully realized.
Johnston reported on the status of the FERC Tri-State CTP matter. The final hearing is complete and if necessary, oral arguments related to post-hearing briefs will be heard July 26. The ALJ is expected to issue an order within 90 days of oral arguments.
Johnston reported on personnel matters. Adam Paulson was promoted to Operations Manager and Leah McClain to Assistant Operations Manager. Adam White was hired as the Safety Coordinator.
Johnston reported on the status of the Winter Park Vasquez Road property. MPEI received an offer substantially below asking price. Johnston and Director Volt will visit the site to investigate whether MPEI should have a formal wetlands study performed.
Approximately 150 members attended the outdoor electric equipment event on June 7th, which included demonstrations of electric lawn mowers, leaf blowers, chainsaws, and bikes.
Safety Report
General Manager Johnston presented the Safety Report. There were no accidents in May. It was noted that the reference to a line being 2” away from the XCEL locators’ marks should be three feet away.
MOTION: It was properly moved, seconded, and carried to accept the Safety Report with the noted correction.
President Hauck recessed the meeting for a ten-minute break.
Discussion/Action Item A: CFC LOAN RESOLUTION
Consideration of the CFC loan was tabled. MPEI is waiting for CoBank and CFC to complete the loan documents.
Discussion/Action Item B: Policy B-3 Financial Management
Consideration of Policy B-3 was tabled. Staff is waiting to hear from MPEI’s auditors regarding Policy B-3.
Discussion/Action Item C: Policy B-8 Release of Corporate Information
General Manager Johnston presented revised Policy B-8.
MOTION: It was properly moved, seconded, and carried to approve Policy B-8 as presented and to make the policy public.
Discussion/Action Item D: B-10 Interconnection of Distributed Generation Resources
General Manager Johnston presented revised Policy B-10.
MOTION: It was properly moved, seconded, and carried to approve Policy B-10 as presented and to make it public.
Discussion/Action Item E: Policy B-12 Business Credit Cards
General Manager Johnston presented Policy B-12.
MOTION: It was properly moved, seconded, and carried to approve Policy B-12 as presented.
Discussion/Action Item F: Award of the Highway 125 Rebuild Project
Scott Simmons reported that MPEI issued an RFP for the Highway 125 rebuild project through Bidnet.com. Four contractors expressed interest and two contractors submitted bids. Simmons reported on his discussions with the State of Colorado regarding FEMA eligibility for the project.
MOTION: It was properly moved, seconded, and carried to accept the low bid from Altitude Energy and to authorize staff to execute a contract with Altitude.
Discussion/Action Item G: Officer Election
Attorney Williamson conducted the election of the President of the MPEI Board of Directors at the direction of the Board. Liz McIntyre was elected by secret ballot.
MOTION: It was properly moved, seconded, and carried to elect Justin Fosha as vice president by acclamation.
MOTION: It was properly moved, seconded, and carried to elect Kristen Taddonio as secretary by acclamation.
MOTION: It was properly moved, seconded, and carried to elect Jeff Hauck as treasurer by acclamation.
Discussion/Action Item H: Elect Western United, Tri-State, and CREA Representatives
MOTION: It was properly moved, seconded, and carried to elect Mark Volt as MPEI’s representative to the Western United Electric Board of Directors.
MOTION: It was properly moved, seconded, and carried to elect Carl Trick as MPEI’s representative to the Tri-State Generation & Transmission Board of Directors.
MOTION: It was properly moved, seconded, and carried to elect Jeff Hauck as MPEI’s representative to the CREA Board of Directors.
Engineering Report
Manager Simmons presented the engineering report to the Board. The Board asked questions regarding Tri-State policies 115, 117, and 119. Discussion followed. REC values have increased.
Operations Report
Manager Paulson presented the Operations Report. Paulson reported on the status of the member-owned line that MPEI requested be cleared of vegetation. Paulson also reported on the Heeney land slide. He reported on pole wraps and other fire mitigation projects. Paulson reported on personnel matters.
Finance Report
The Board reviewed the Finance Report as prepared by Manager Dellamano. Revenues and expenses are higher than budget. Warnings of disconnect have increased since the pandemic ended. General Manger Johnston reported on the status of the changes to MPEI office hours.
Information Technology Report
Manager Palmer presented the IT report. MPEI is implementing additional cybersecurity measures and staff training to mitigate cybersecurity risks. MPEI is also working to improve metering system accuracy and reliability through testing and preventative maintenance.
Human Resources & Administration Report
The Board reviewed the Human Resources and Administration report as prepared by Manager Rahn. MPEI is moving forward with a new HR system, Paylocity. MPEI qualified for a 5% discount on its worker’s compensation premium.
Member Relations & Communications Report
The Board reviewed the Member Relations and Communications Report prepared by Manager Taylor. MPEI staff reached out to local school districts about state grants of up to $375,000 for electric buses.
Bills for Payment
The Board reviewed the list of cash disbursements and credit card bills for May 2022.
Board Open Forum
Director Trick reported on his attendance at the regular meeting of the Tri-State Board of Directors. Carl reported on his attendance at the meeting of the E&O committee. Tri-State and Basin do not expect rolling brownouts in Tri-State’s service territory this summer. Tri-State has approximately 725 MW’s worth of solar projects planned for 2023, but due to current economic and market factors, Tri-State does not believe any of the projects will be completed in 2023. Tri-State expects Xcel to join the SPP Day-Ahead market this summer. Tri-State implemented a strategic re-organization as part of cost-savings efforts. Tri-State approved a load development rate for a cryptocurrency mining facility in Highline Electric Association’s territory.
President McIntyre recessed the meeting at 11:40 a.m. for lunch and reconvened at 12:10 p.m.
Jeff Hauck reported on his attendance at the regular meeting of the CREA Board of Directors. The meeting was held at PVREA, where the directors toured an experimental hydrogen generator at the Colorado State University powerhouse. There is a managers’ meeting in Durango in August, where there will be a discussion of Xcel’s resource adequacy bill proposal.
Director McIntyre reported on her attendance at the Tri-State Rate Committee meeting. The committee discussed assignment of transmission cost and the tilt in the rate. The next meeting will focus on the “tilt” in Tri-State’s rate. The committee is also looking at whether the eastern and western interconnects should have the same rate.
Director Taddonio reported that Mitsubishi is offering the same heat pump incentives to people rebuilding from fires in MPEI Service Territory.
The board discussed the recent MPEI election, what went well, and opportunities for improvement. General Manager Johnston will investigate to determine if MPEI can set up the member portal to allow members to update voting information more easily.
Emergency Business
The Board discussed dates for a special meeting to consider MPEI director districts. The meeting will be facilitated by NRECA’s Ty Thompson.
MOTION: It was properly moved, seconded, and carried to hold a special meeting of the Board of Directors on August 23, 2022 to consider MPEI’s director districts.
A consent of shareholder approving the election of MPEI Directors as Directors of Mountain Parks Services, Inc. was presented.
MOTION: It was properly moved, seconded, and carried to approve the consent as presented.
President McIntyre recessed the meeting at 12:49 p.m. and reconvened at 12:53 p.m.
MOTION: It was properly moved, seconded, and carried to go into Executive Session for consideration of employee housing, partial requirements, personnel matters, fiber, member concerns regarding locates, Tri-State legal costs, and former directors, with all Directors, staff, and Attorney Williamson present for consideration of locates. Attorney Williamson and all Directors were present for the personnel discussion. General Manager Johnston, all Directors, and Attorney Williamson were present for the remainder of executive session. It was properly moved, seconded, and carried to exit executive session.
Old business
None
New business
None