Meeting of Commissioners of
Public Utility District No. 1 of Clark County, Washington
November 5, 2024

A meeting of Commissioners of Public Utility District No. 1 of Clark County was held at 1200 Fort Vancouver Way on Tuesday, November 5, 2024.

Present: President Jim Malinowski, Vice President Nancy Barnes, Secretary Jane Van Dyke Commissioners, CEO/General Manager Lena Wittler, Director of Communications and Corporate Citizenship Erica Erland, Director of Finance Melissa Ankeny, Director of Energy Resources Steve Andersen, Director of Operations/Interim Director of Water Gene Morris, General Counsel John Eldridge, Director of Information Services Jeff Groff, Director of Customer Service Lisa Fix, Benefits Manager Nerissa Fallon, Engineering Manager – Water Tyler Clary, Public Information Officer/Media Specialist Dameon Pesanti, Community Engagement Specialist Morgan Van Fleet, Energy Resource Manager Terry Toland, Engineering Executive Assistant Hosanna Shergill, Senior Civil Engineer – Water Michelle Henry, Construction Services Supervisor Larissa Marini, Construction Services Manager Dana Allen and Assistant to CEO/General Manager Margaret Anderson.

Others present in person or via digital conference (phone or video): Water Operations Manager Andrew Holmes, Director of Engineering Cal Morris, Reliability Compliance Manager Zeecha Van Hoose, Gordon Matthews, Sherry Erickson, Rick Marshall, Don Steinke, Avatar and Tom Gordon.

At 9:00 a.m., President Malinowski called the meeting to order for the transaction of formal business and the agenda was approved as presented (Materials B).

Public Comment
Don Steinke provided comment on increased car charging capacity and potential grant opportunities to fund expansion.

Rick Marshall provided comment about how important it is to continue to promote rooftop solar and he would like to see more community solar projects.
Full written comments if provided are available upon request – please email [email protected] for a copy.

Consideration of the Minutes of October 15, 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 November 5, 2024 from the District Auditor (Materials C):

Electric Revenue Fund – $20,665,516.55
Water Revenue Fund – $1,120,500.57
Generating System Fund – $423,005.62

For a total of $22,209,022.74

Consideration of Resolution for Sole Source Designation – Anodamine Inc.
Director of Operations/Interim Director of Water Gene Morris reviewed the memo dated November 5, 2024 (Materials D) outlining the request for the Sole Source Designation for the purchase of non-toxic boiler chemical corrosion inhibitor to be used to treat and prevent Small Particle Erosion in the IP & LP Steam Turbines at the River Road Generation Plant.

Commissioner Van Dyke moved to approve a Sole Source Designation for Anodamine Inc. as outlined by Mr. Morris. Commissioner Barnes seconded the motion and it passed unanimously.

Consideration of Bid Award No. 679 – Water Main Replacement – NE 190th/NE 191st Ave
Director of Operations/Interim Director of Water Gene Morris reviewed the memo dated November 5, 2024 detailing the bid results (Materials E). Commissioner Barnes moved to recommend that Bid No. 679 be awarded to the low evaluated bidder Swofford Excavation LLC in the amount of $590,186.00 plus applicable taxes. Commissioner Van Dyke seconded the motion and it passed unanimously.

Consideration of Disposal 119 – Surplus Equipment
Director of Operations/Interim Director of Water Gene Morris reviewed the memo dated November 5, 2024 (Materials F) outlining the equipment being considered for disposal. The disposal will be handled by J Stout Auctions during various public auctions.

Commissioner Van Dyke moved for approval of Disposal 119 – Surplus Equipment, Commissioner Barnes seconded the motion and it passed unanimously.

Consideration of Resolutions of Establishment of LUD Nos. 1479 and 1485
Construction Services Manager Dana Allen addressed the board regarding the Establishment of Local Utility District Nos. 1479 and 1485.

Resolution No. 7865 – LUD No. 1479 – Blackbird Corner Subdivision
Resolution No. 7866 – LUD No. 1485 – Lalonde West Cottages

After the presentation by Ms. Allen, Commissioner Malinowski opened for public comment. There being no comment, a motion was made by Commissioner Barnes, seconded by Commissioner Van Dyke, and unanimously carried that Resolution Nos. 7865 and 7866 be adopted (Materials G).

Consideration of Water System Plan Update
Engineering Manager – Water Tyler Clary reviewed a memo dated November 5, 2024 (Materials H) outlining the updates requested by the State Department of Health. These updates included boundary clarifications for Yacolt and La Center, inclusion of the signed and dated SEPA, inclusion of the 2011 version of the Satellite Management Agency plan and the inclusion of a signed local Government Consistency form from Clark County.

Commissioner Barnes moved to approve the updates to the Water System Plan as presented, Commissioner Van Dyke seconded the motion and it passed unanimously.

Consideration of Drinking Water State Revolving Fund Loan Application Approval
Engineering Manager – Water Tyler Clary reviewed a memo dated November 5, 2024 outlining the request for approval to apply for a Drinking Water State Revolving Fund (DWSRF) Loan (Materials I). The loan will be used to fund the Yacolt Consolidation Water Main Project. There is a potential for all or a portion of this loan to be forgiven in the form of a grant.

Commissioner Van Dyke moved to approve staff applying for a DWSRF loan to be used for the Yacolt Consolidation Water Main Project. Commissioner Barnes seconded the motion and it passed unanimously.

Proposed 2025 Utility System Budget
Director of Finance Melissa Ankeny reviewed the timeline for the 2025 budget process and budget assumptions (Materials J).

September Financials
Director of Finance Melissa Ankeny addressed the board (Materials K). Weather was warmer and drier than normal, which resulted in electric revenues and off system sales above budget. September residential sales were 107.1% of budget, commercial sales were 100.8% and industrial sales were 92.1% of budget. September ended the month with a net income loss of $4.3 million compared to a budgeted net income loss of $3.5 million and a year-to-date net income loss of $7.6 million compared to a budgeted year-to-date net income loss of $6.5 million.

The Water System ended September with 584 new customers, which is a growth rate of 1.89% year-to-date. September ended with a net income of $690,000 compared to a budgeted net income of $924,000 for a year-to-date net income of $3.1 million compared to a year-to-date budgeted net income of $1.1 million.

September Wholesale Operations
Director of Energy Resources Steve Andersen addressed the board (Materials L). Mr. Andersen provided an update on power supply noting that September Slice generation was 3 aMW above budget and loads in September were 8 aMW above budget. September Slice production was 132 aMW, 2.3% more than the budget of 129 aMW and 18.8% less than The Energy Authority forecast of 157 aMW.

Combine Hills I generation was 7.8 aMW, which was 16% less than the budgeted 9.3 aMW. Generation was 0 MW approximately 44% of all hours. Combine Hills II generation was 16.7 aMW, 19% less than the budgeted 14.1 aMW, and generation was 0 MW approximately 41% of all hours.

Commissioner Reports and Comments
Commissioner Barnes reported on her attendance at the Energy Northwest Energy Forum and thanked Commissioner Malinowski for all his work over the years with Energy Northwest. Commissioner Barnes also reported on her attendance at the Columbia River Economic Development Council Interstate Bridge forum.

Commissioner Van Dyke reported on her attendance at the American Public Power Association Legal Conference and the utility’s Make a Difference Day Tree Planting event.

Commissioner Malinowski reported on his remote attendance at the Energy Northwest Energy Forum and commended staff on the article about Clark Public Utilities’ StreamTeam in the Northwest Public Power Association magazine.

Staff Reports
CEO/General Manager Lena Wittler reported on the industry meetings that she will be attending this week and the upcoming Budget Workshop.

Final Board Comments
There being no further board comments, the meeting was adjourned at 11:37 a.m.