HomeMy WebLinkAboutAgenda Report - June 15, 2016 I-04TM
CITY OF LODI
COUNCIL COMMUNICATION
AGENDA ITEM lain Li
AGENDA TITLE: Provide Direction Regarding Lodi Electric Utility Customer Advisory Board
MEETING DATE: June 15, 2016
PREPARED BY: Business Development Manager
RECOMMENDED ACTION: Provide direction regarding Lodi Electric Utility customer advisory
board.
BACKGROUND INFORMATION:
At the January 6, 2016 City Council meeting the concept of
establishing a customer advisory board for the Electric Utility (EU)
was discussed as a possible means of improving transparency and
customer service.
Council directed staff to contact other publicly -owned utilities with advisory bodies established with similar
intent. Included was an interest in learning about advisory body composition, manner in which they were
selected, as well as the amount of staff support time involved and cost. Council directed staff to return
with additional details for further consideration.
Following the meeting, staff reached out to several publicly -owned utilities, including those within the
Northern California Power Agency and American Public Power Association. While the vast majority of
utilities reported they do not use these types of advisory bodies, staff was able to identify five examples
of utilities that do. They are diverse in nature, with a variety of organizational structures, and each has its
own purpose and membership composition. A summary table is attached.
Alameda Municipal Power Board — Alameda, California
The City of Alameda has established the Alameda Municipal Power (AMP) Board as a separate authority
and governing board for the control and management of Alameda's electric utility; whereas, in Lodi the
governing board for the EU is the City Council. The AMP Board establishes goals, approves major
purchases, sets strategic direction, and creates the framework for local control of the utility. The AMP
Board consists of five commissioners, four of which represent four distinct fields of engineering. They are
appointed to the AMP Board by the Mayor with the concurrence of the City Council, in accordance with
Alameda's City Charter. The City Manager also sits on the AMP Board, as an ex officio fifth
commissioner. Although considerable staff support is necessary to hold the monthly meetings, they are in
lieu of council meetings in terms of governing the utility.
Electric Utility Commission — Austin, Texas
The City of Austin established the Electric Utility Commission (EUC) as an advisory body to review and
analyze all policies and procedures of the electric utility, including the electric rate structure, fuel costs
and charges, customer services, capital investments, new generation facilities, selection of types of fuel,
budget, strategic planning, regulatory compliance, billing procedures, and the transfer of electric utility
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revenues from the utility fund to the general fund. Ten of the EUC's appointed members are appointed by
council members and the 11th at -large member is appointed by the Mayor. Members are not required to
be residents but may live within the service areas. Staff support is extensive and includes an assigned
staff member from the government relations office as well as the utility staff making presentations at each
meeting. Monthly meetings are typically three to four hours in length.
Imperial Irrigation District Energy Consumer Advisory Committee – El Centro, California
IID's Energy Consumers Advisory Committee provides advice and recommendations to the IID Board of
Directors regarding fiscal, strategic planning, and board policy matters that affect the Energy Department.
The committee comprises 20 representatives. In the Imperial Valley, each director is responsible for the
selection of two appointees for his or her division—totaling 10 representatives. The Coachella Valley is
also represented by 10 members; however, they are nominated by the cities and the county of Riverside.
Indio, Coachella and La Quinta are allowed two nominations each, while Palm Desert and Rancho
Mirage share a delegate. The unincorporated areas are served by three representatives nominated by
the county. After nomination, each representative is then ratified by the IID board. All members must
reside within the IID's electrical service area. IID staff supports the meetings and depending upon the
agenda, the staff time involved with preparing and making presentations can be considerable. Monthly
meetings are typically one to two hours in length.
Naperville Public Utilities Advisory Board – Naperville, Illinois
The Board serves in an advisory capacity to the City Council, City Manager and the Public Utilities
Director in matters relating to rates, budgets and capital improvements for electric, water and wastewater
systems. The Board also reviews plans for facilities expansion and system improvements. Members
include one Council Member, and five residents or persons with their primary employment in Naperville.
The six -member Board is supported by staff and gathers as needed during their three-year terms;
generally every other month.
Stockton Water Advisory Group – Stockton, California
The Water Advisory Group was formed by the City Council to foster citizen input and transparency in the
operations of the Municipal Utilities Department. The Water Advisory Group reports directly to the Council
Water Committee and is tasked with advising the Committee on current and future issues impacting
water, wastewater, and storm water utilities for the City of Stockton, including the review of the
Department of Municipal Utilities monthly Operations and Maintenance Report. Each of the seven
members must reside in one of the Stockton Municipal Utilities' three utility service areas. Candidates are
nominated by the Mayor and each Council Member then approved by the full Council. The term of
service is the same as that of the Council Member. Staff time includes the regular support and/or
involvement of up to 15 employees, including the Municipal Utilities Director serving as the Ex -Officio
Secretary. Cost to support the Group has ranged from approximately $10,000 to $20,000 per year.
FISCAL IMPACT: Unknown at this time. Additional staff time will be required.
FUNDING AVAILABLE: Not applicable.
Adam Bru - - r
Business Development Manager
UTILITY BOARD EXAMPLES
UTILITY
PURPOSE
COMPOSITION
APPOINTMENT
MEETINGS
Alameda Municipal Power Board
Alameda, California
Governing board to
establish goals, approve
major purchases, set
direction, and create the
framework for local control
for the utility
5 Commissioners:
Civil Engineer, Electrical
Engineer, Mechanical
Engineer, Mining
Engineer, Member -at -
Large (City Manager)
4 — Mayor appoints w/
City Council concurrence
1 — City Manager
4 -year terms
Monthly
3rd Mon
7 p.m.
Electric Utility Commission
Austin, Texas
Review and analyze all
policies and procedures of
the electric utility
11 Commissioners
Residency not required
1 — Mayor
10 — Council
4 -year staggered terms
Monthly
3rd Wed
10 a.m.
Energy Consumer Advisory Committee
El Centro, California
Provide advice and
recommendations to the
Board of Directors of the
Imperial Irrigation District
20 Representatives:
10 — Imperial Valley
10 — Coachella Valley
Imperial District Director;
City Councils; Board of
Supervisors; General
Manager
4 -year staggered terms
Monthly
St
1 Monday
6:00 p.m.
Public Utilities Advisory Board
Naperville, Illinois
Advisory capacity to the
City Council, City Manager
and the Public Utilities
Director in matters relating
to rates, budgets and
capital improvements for
electric, water and
wastewater
1 — Councilmember
5 - residents or persons
with their primary
employment in
Naperville
Mayor nominates w/
approval by full Council
3 -year terms
As needed
5:00 p.m.
Water Advisory Group
Stockton, CA
Foster citizen input and
transparency in the
operations of the Municipal
Utilities Department
7 - must reside in one of
the Stockton Municipal
Utilities' three service
areas
Mayor and each City
Council Member
nominates w/ approval by
full Council
Term coincides with
Council Member
nomination
Monthly
1St Wed
3:30 p.m.
Quarterly
Council
Water
Committee