Special Meeting of Commissioners of
Public Utility District No. 1 of Clark County, Washington
July 2, 2024

A special meeting of Commissioners of Public Utility District No. 1 of Clark County was held at 1200 Fort Vancouver Way on Tuesday, July 2, 2024.

Present: President Jim Malinowski, Vice President Nancy Barnes, Secretary Jane Van Dyke Commissioners, CEO/General Manager Lena Wittler, Director of Finance Melissa Ankeny, Director of Operations/Interim Director of Water Gene Morris, Director of Customer Service Lisa Fix, Director of Energy Resources Steve Andersen, General Counsel John Eldridge, Director of Information Services Jeff Groff, Director of Engineering Cal Morris, Materials and Purchasing Manager Cathy Wannamaker, PIO/Media Specialist Dameon Pesanti, Community Engagement Specialist Morgan Van Fleet, Senior Human Resources Generalist Faye Hansen, Security Manager Greg Eckhart, Clean Energy Project Manager Matt Babbitts and Assistant to the CEO/General Manager Margaret Anderson.

Staff via digital conference (phone or video): None

Others present in person or via digital conference (phone or video): Peter Harrison, James Oneil, Gordon Matthews, Sherry Erickson, Don Steinke, Rick Marshall, Valerie Dewitz, John Dewitz and Tom Gordon.

At 8:00 a.m., President Malinowski called the meeting to order for the transaction of formal business and the agenda was approved as presented (Materials B).

Executive Session
The meeting was recessed into executive session at 8:05 a.m. in accordance with the Open Public Meetings Act – RCW 42.30.110 (1)(g) – to evaluate the qualifications of an applicant for public employment or to review the performance of a public employee. Commissioner Malinowski stated the Executive Session would end at 9:00 a.m.

Commissioner Malinowski reconvened the public meeting at 9:00 a.m.

Public Comment
Don Steinke shared his thoughts on solar growth in the Northwest and the future of battery storage.

Peter Harrison shared his support for nuclear power.

Valerie Dewitz provided comment on the customer-owned water meter program discontinuation. Commissioners shared that they are responsible for setting policy and that this is a decision that is for staff to make and execute. Director of Operations/Interim Director of Water Gene Morris agreed to meet with the Dewitzs.

Full written comments if provided are available upon request – please email [email protected] for a copy.

Consideration of the Minutes of June 18, 2024
The minutes were approved as presented.

Consideration of Accounts Payable
The board, by a unanimous vote, approved the following payment amounts as listed on the Letter of Transmittal dated July 2, 2024 from the District Auditor (Materials C):

Electric Revenue Fund – $6,523,430.78
Water Revenue Fund – $252,636.24
Generating System Fund – $772,961.15

For a total of $7,499,028.17

Consideration of Performance Review and Resolution for the General Manager Salary
Commissioner Barnes expressed appreciation for the summary of utility accomplishments over the past year that CEO/General Manager Lena Wittler provided to the board. She added that in her 30 years as a utility commissioner, 2023 was perhaps one of the most challenging and recognized Ms. Wittler and her team as having navigated with diligence and an unwavering focus on customers’ best interests. Seeing challenging times ahead, Commissioner Barnes has confidence in the leadership strength of our General Manager.

Commissioner Van Dyke shared that along with utilities across the region, Clark Public Utilities is facing new regulatory constraints, growing energy demand and increased financial pressures, but thanks to the hard works of Ms. Wittler and staff, the utility continues to function extremely well.

Commissioner Barnes moved to increase Ms. Wittler’s salary to $351,750 annually, provide a $400 monthly car allowance, a one-time award of 100 hours of comp time in recognition of 2023 utility goals achieved, and all other benefits provided employees of the utility. Commissioner Van Dyke seconded the motion and it passed unanimously (Materials D).

Ms. Wittler thanked the board for their continued confidence and thanked all the excellent employees on staff for the work that they do to provide reliable and affordable water and electricity, along with consistently outstanding and compassionate service to our customers.

Consideration of Resolution for Distributed Generation Net Billing Program
Clean Energy Program Manager Matt Babbitts shared proposal details with the board (Materials E). Certain renewable generation facilities sized between 101 Kw and 1 MW would be permitted to generate power on site to offset their energy purchases from the utility, and would in turn sell the utility excess power.

Mr. Babbitts reviewed existing distributed generation programs and rates including the avoided cost rate. This new net billing program was developed to meet a specific customer request, Washington State Department of Social & Health Services; they are working to meet Governor Inslee’s Net Zero Energy Order.

An overview of the Net Billing Program was provided, including staff research, legal review both internal and external. Once approved staff will develop a Net Billing Customer Application and Interconnection Agreement.

Commissioner Van Dyke moved to approve the resolution establishing a Net Billing Program, Commissioner Barnes seconded the motion and it passed unanimously.

Consideration of Bid Award No. 675 – Felida Transmission Line Rebuild
Materials and Purchasing Manager Cathy Wannamaker reviewed the memo dated July 2, 2024 detailing the bid results (Materials F). Commissioner Barnes moved to recommend that Bid No. 675 be awarded to the low evaluated bidder Riverline Power LLC, in the amount of $539,999.99 plus applicable taxes. Commissioner Van Dyke seconded the motion and it passed unanimously.

Consideration of Resolutions of Intent to Establish LUD Nos. 1476, 1482 and 1484
Director of Engineering Cal Morris addressed the board regarding the Intent to Establish Local Utility District Nos. 1476, 1482 and 1484.

Resolution No. 7852 – LUD No. 1476 – NE 109th Street Subdivision
Resolution No. 7853 – LUD No. 1482 – Highlands at Whipple Creek
Resolution No. 7854 – LUD No. 1484 – Steven’s Glen

After the presentation by Mr. Morris, Commissioner Malinowski opened for public comment. There being no comment, a motion was made by Commissioner Van Dyke, seconded by Commissioner Barnes, and unanimously carried that Resolution Nos. 7852 – 7854 be adopted and a public hearing was set for August 6, 2024 (Materials G).

May Financials
Director of Finance Melissa Ankeny addressed the board (Materials H). Weather was drier and cooler than normal, which resulted in both electric revenues and off system sales above budget. May residential sales were 104.9% of budget, commercial sales were 104.2% and industrial sales were 91.9% of budget. May ended the month with a net income of $1.6 million compared to a budgeted net income loss of $1.7 million and a year-to-date net income of $4.4 million compared to a budgeted year-to-date net income of $2.5 million.

The Water System ended May with 323 new customers, which is a growth rate of 1.89% year-to-date. May ended with a net income of $100,000 compared to a budgeted net income loss of $196,000 for a year-to-date net income loss of $166,000 compared to a year-to-date budgeted net income loss of $1.5 million.

May Wholesale Operations
Director of Energy Resources Steve Andersen addressed the board (Materials I). Mr. Andersen provided an update on power supply noting that April Slice generation was 51 aMW below budget and loads in May were 9 aMW above budget. May Slice production was 158 aMW, 32% less than the budget of 209 aMW and 8% less than The Energy Authority forecast of 170 aMW.

Combine Hills I generation was 13.7 aMW, which was 13% more than the budgeted 12.2 aMW. Generation was 0 MW approximately 25% of all hours. Combine Hills II generation was 29.3 aMW, 59% more than the budgeted 18.4 aMW, and generation was 0 MW approximately 17% of all hours.

Commissioner Reports and Comments
Commissioner Van Dyke reported on her attendance at the Washington PUD Association meetings, include the Water meetings.

Commissioner Malinowski reported on his attendance at the Energy Northwest meetings.

Staff Reports
CEO/General Manager Lena Wittler introduced the utility’s new Security Manager, Greg Eckhart.

Other Business before the Board
There being no further business to come before the Board, the meeting was adjourned at 11:00 a.m.