Jan 09, 2025 Utilities Commission

NUMBER TWO, APPROVE CONTRIBUTION IN THE AMOUNT OF $10,000 FOR THE CITY OF LONG BEACH.

ITEM

[2. 25-54008 Recommendation to approve contribution in the amount of $10,000 for the City of Long Beach State of the City Address to be held on Tuesday, January 14, 2025. Suggested Action: Approve recommendation. ]

STATE OF THE CITY ADDRESS TO BE HELD ON TUESDAY, JANUARY 14TH, 2025.

I CALL ON ANNA GAN.

YES, THE COMMISSION IS FAMILIAR WITH THIS EVENT.

IT HAS, UH, HISTORY AND WE NOTED IT IN THE LETTER.

THE PREVIOUS CONTRIBUTIONS CONTRIBUTION THIS YEAR HAS BEEN, UH, REQUESTED, IS REDUCED.

IT'S AT $10,000 DOWN FROM WHAT HAD BEEN HISTORICALLY A SEQUENCE OF YEARS WHERE IT WAS 15,000.

THE, UH, I NOTED UNDER FISCAL IMPACT THAT AT ITS AUGUST 17TH MEETING, THE BOARD HAD ALREADY DISCONTINUED CONSIDERATION OF SPONSORSHIPS FOR OUTSIDE INSTITUTIONS AND EVENTS.

HOWEVER, THE BOARD DID CHOOSE TO CONTINUE CONSIDERATION OF BOTH PARTICIPATION AND CONTRIBUTIONS, THE MAJOR CITY SPONSORED EVENTS OF WHICH THIS IS WHAT.

SO I'LL, I'LL BE HAPPY TO ANSWER ANY ADDITIONAL QUESTIONS THAT ANY PUBLIC COMMENT ON THIS.

ANY COMMISSIONER COMMENT, IT'LL BE IN THE RECORD.

OH, GOOD.

WE HAVE A MOTION? MOTION.

I HAVE A MOTION TO, OR ANY OTHER COMMISSIONER COMMENT I THAT MOTION? I HAVE A MOTION TO APPROVE.

AND A SECOND.

ALL IN FAVOR? AYE.

AYE.

ANY OPPOSED? MOTION CARRIES.

I'LL LET YOU OFF THE HOOK, BOB.

[3. 25-54009 Recommendation to adopt Resolution UT-1528 authorizing the General Manager to execute an agreement and any amendments with InPipe Energy Inc., to provide predevelopment services for an energy recovery project, in an amount not to exceed $110,500. Suggested Action: Approve recommendation. ]

ITEM NUMBER THREE, TO ADOPT RESOLUTION UT 1528 AUTHORIZING THE GENERAL MANAGER TO EXECUTE AN AGREEMENT AND ANY AMENDMENTS WITHIN PIPE ENERGY, INC.

TO PROVIDE PRE-DEVELOPMENT SERVICES FOR AN ENERGY RECOVERY PROJECT CALL.

GOOD MORNING COMMISSIONERS.

HAPPY NEW YEAR.

UH, SO FOR ITEM NUMBER THREE, UM, OUR RECOMMENDATION IS TO ADOPT RESOLUTION UT 1528 AUTHORIZING THE GENERAL MANAGER TO EXECUTE THE AGREEMENT AND ANY AMENDMENTS WITH IN PIPE INC.

ENERGY INC.

TO PROVIDE PRE-DEVELOPMENT SERVICES FOR ENERGY RECOVERY PROJECT IN AMOUNT NOT TO EXCEED $110,500.

SO TO GIVE YOU SOME BACKGROUND, I HAVE A SHORT PRESENTATION HERE.

THIS IS, UH, ENERGY RECOVERY PROJECT.

SO HERE'S A QUICK OUTLINE OF THE PRESENTATION.

WE START WITH THE PROJECT BACKGROUND AND THEN GO WITH THE PROJECT PROPOSAL AND WE'LL FINISH WITH RECOMMENDATION THE NEXT STEP AND THE PROJECT BACKGROUND.

SO AS WE ALL KNOW THAT, UH, ENERGY USE IS VERY CRITICAL FOR WATER SYSTEM TO OPERATE BECAUSE POWER IS NEEDED FOR US TO PUMP, TREAT AND DELIVER WATER TO OUR CUSTOMERS.

AND FOR OUR WATER SYSTEM, OUR ANNUAL AND, UH, ELECTRICITY COST IS OVER $4 MILLION.

SO THAT'S ACTUALLY THE THIRD LARGEST COST FOR OUR OPERATION COST AFTER THE COST OF PURCHASING MAD WATER AND THE PAYING FOR THE PUMPING ASSESSMENT.

SO IT'S VERY IMPORTANT FOR US TO MANAGE THIS COST.

AND THE ENERGY USE HAS MANY DIFFERENT ASPECTS AND FACTORS WE HAVE TO CONSIDER AS SHOWN OVER HERE.

UM, WE HAVE SOME GENERAL ENERGY GOALS AND WE

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HAVE LOOKED INTO DIFFERENT WAYS TO MANAGE THIS, TO MEET THOSE GOALS.

JUST TO GIVE YOU SOME EXAMPLES, UH, FIRST WE WANT TO IMPROVE EFFICIENCY AND REDUCE COST.

UM, THIS CAN BE DONE FOR EXAMPLE, BY MINIMIZED PEAK TIME PUMPING, AND WE HAVE THE CAPACITY TO DO THIS TO SHIFT PUMPING TO OFF PEAK HOURS AT THE TREATMENT PLANT.

AND ALSO WE WANT TO REDUCE THE ENERGY USE, USE PER UNIT WATER PRODUCED.

AND THIS IS PRIMARILY DONE BY INCREASE OUR EFFICIENCY.

FOR EXAMPLE, WE DO A LOT ENGINEERING REHAB PROJECT TO REPLACE PUMP AND MOTORS AT WELL, AND WE ALSO REPLACE PUMP AND MOTORS AT THE BOOSTER PUMP STATIONS.

THIS CAN ALL HELP INCREASE OUR EFFICIENCY AND WE ALSO, UM, LOOK AT DIFFERENT ADDISON PROGRAMS AND PARTICIPATE WHEREVER WE CAN.

AND WE ALSO WANT TO EXPLORE NEW TECHNOLOGIES AND RENEWABLE, UM, ENERGIES SUCH AS SOLAR AND ENERGY RECOVERY DEVICES.

AND AS WE HAVE EXPERIENCED IN THE PAST COUPLE DAYS, WE UNDERSTAND THE IMPORTANCE OF, UH, ENSURE RELIABILITY AND RESILIENCY OF, UH, POWER SYSTEM.

FOR OUR, UH, CRITICAL INFRASTRUCTURE, WE KNOW THAT SOME OF THE UTILITIES DID EXPERIENCE POWER LOSS AND THEY HAVE TO RELY ON REDUNDANT POWER.

AND THIS CAN BE DONE BY, UH, INSTALLING BATTERY ENERGY STORAGE SYSTEM, WHICH WE HAVE ONE AS A TREATMENT PLAN.

AND WE ALSO WANT TO TRY TO BUILD MICRO GRIDS.

SO MICROGRIDS USUALLY IS A COMBINATION OF, UH, LIKE SOLAR BATTERY AND GENERATORS.

AND THE GOAL OF THAT IS TO CONTINUE SUPPLY POWER IN CASE OF ADDISON OUTAGE.

AND FOR ENVIRONMENTAL, WE WANT TO REDUCE CARBON EMISSION.

FOR EXAMPLE, WE ARE MOVING TOWARDS ELECTRIFYING OUR FLEET AND WE WANT TO LOOK AT PARTICIPATING IN CARBON OFFSET AND GREENHOUSE GAS PROGRAMS. AND OF COURSE, FOR FINANCIAL, WE WANT TO MAXIMIZE THE GRANTS INCENTIVE FUNDING SOURCES.

SO CURRENTLY THE DEPARTMENT IS GOING TO AN ENERGY MASTER PLAN THAT'S LOOKING AT ALL THIS ASPECT CAN, UH, HOLISTICALLY AND DING AND HIS TEAM IS MANAGING THIS PROJECT.

BUT FOR TODAY, WE ARE ONLY LOOKING AT ONE PARTICULAR EN UM, TECHNOLOGY THAT'S, UH, ENERGY RECOVERY DEVICES.

SO YOU ARE PRETTY FAMILIAR WITH THIS MAP.

THIS IS OUR WATER SUPPLY MAP.

WE HAVE THE, ON THE WEST AND NORTH SIDE, UH, MWD ZONE.

THE WATER IS SUPPLIED BY METROPOLITANS TO MAINLAND LONG BEACH FORK CONNECTION.

AND WE ALSO HAVE THE BLENDED ZONE ON THE EAST SIDE.

AND THAT'S A BLEND OF WATER COMING FROM, UH, TREATED WATER FROM GROUNDWATER TREATMENT PLANT AND ALSO METROPOLITAN WATER TO LONG BEACH EIGHT.

SO METROPOLITAN SUPPLIES THE WATER TO US AT A MUCH HIGHER PRESSURE THAN OUR SYSTEM, UH, NEEDED OPERATIONAL PRESSURE.

WE HAVE THE OPERATION PRESSURE TARGET GOAL OF LESS THAN 80 PSI IN OUR SYSTEM.

AND, UH, AS YOU CAN SEE IN THIS TABLE DOWN HERE, UM, LONG BEACH FOUR PRESSURE IS SUPPLIED OVER 130 PSI AND LONG BEACH.

A PRESSURE IS MORE THAN 200 PSI WHEN IT'S DELIVERED TO US.

AND THIS EXCESS PRESSURE NEEDS TO BE REDUCED BEFORE IT GOES TO OUR SYSTEM.

SO THIS IS NORMALLY DONE BY GOING THROUGH A PRESSURE REDUCING VALVE OF A PICTURE.

OVER HERE SHOWS OUR, UM, FACILITIES WITH THIS.

SO WE HAVE THE HIGH PRESSURE WATER COMING IN AND IT GOES THROUGH THE PRESSURE REDUCING VALVE A PRV AND THE EXCESS PRESSURE IS DISSIPATED AND LOW PRESSURE COMES OUT.

SO THIS EXCESS PRESSURE THAT'S CURRENTLY DISSIPATED REALLY IS THE UNTAPPED ENERGY SOURCE, AND WE WANT TO LOOK INTO THE FEASIBILITY TO RECOVER THIS ENERGY.

AND HERE, SO IN PIPE'S ENERGY RECOVERY SYSTEM, HYDRO XX SYSTEM, UM, LOOKS LIKE IT WORKS VERY WELL IN THIS SITUATION.

I WANT TO SHOW YOU ON THE LEFT, UM, A PICTURE.

NORMALLY WE WOULD, AGAIN, HIGH PRESSURE COMING IN UPSTREAM OVER HERE, AND WE HAVE THE CONTROL VALVE REDUCE THE PRESSURE, AND THEN LOW PRESSURE WATER COMES OUT.

SO THE HYDRO ACCESS SYSTEM CAN BE INSTALLED AS A BYPASS.

SO BASICALLY REPLICATES A FUNCTION OF A CONTROL VALVE, BUT INSTEAD OF WASTING THAT EXCESS PRESSURE, THIS, THE DIFFERENTIAL PRESSURE IS TURNING THE TURN AND CONVERT THAT INTO ELECTRICITY, WHICH CAN BE FED INTO THE ELECTRIC GRID.

SO, UM, OVER HERE ON THE RIGHT WE HAVE A PICTURE OF A EXISTING INSTALLATION OF, UH, HYDRO XS SYSTEM IN ANOTHER UTILITY.

UM, AGAIN, WE HAVE, UH, EXISTING PRV

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OVER HERE AND THE HYDRO XX SYSTEM IS INSTALLED AT THE, AS A BYPASS TO THE EXISTING PRV.

AND OVER HERE IS A CONNECTION TO THE ELECTRIC, UH, ELECTRICITY GRID.

SO THE PROJECT PROPOSAL, UM, BECAUSE THIS IS A SO SOURCE PATENTED TECHNOLOGY, WE HAVE SOLICITED THE VENDOR TO PROVIDE THE PROPOSAL TO DESIGN SECURE FUNDING, SUPPLY INSTALL, AND THE SUPPORT OPERATION OF THE HYDROX AS ENERGY RECOVERY SYSTEM AT LONG BEACH FOUR AND LONG BEACH EIGHT SITES.

AND THE PROJECT IS SPLIT INTO TWO PHASE.

WE HAVE THE PHASE ONE PRE-DEVELOPMENT PHASE THAT INCLUDES APPLYING TO EDISON FOR INTERCONNECTION AND INCENTIVE PROGRAMS AND PERFORMS THE DESIGN AND THE GOING THROUGH PERMITTING PROCESS.

AND THIS CAN BE, UM, COMPLETED ESTIMATED IN SEVEN MONTHS AND COST A LITTLE OVER $110,000.

AND THE PHASE TWO IS A FULFILLMENT PHASE.

THAT'S TO FURNISH HYDROX AS SYSTEM INSTALL START UP AND TRAINING.

AND THE SCHEDULE IS EXPECTED TO COMPLETE IN 15 MONTHS AND COST OVER A LITTLE OVER $3.7 MILLION.

SO THE TOTAL PROJECT IS, UH, ABOUT 22 MONTHS AND OVER $3.8 MILLION.

UH, FOR TODAY'S ITEM, WE ARE ASKING THE APPROVAL FOR PHASE ONE PRE-DEVELOPMENT, UH, ACTIVITY THAT SHOULD LOOK INTO THE FEASIBILITY.

SO LOOKING AT THE PROJECT ECONOMICS, THE ESTIMATED ENERGY GENERATION AT LONG BEACH FOUR IS CLOSE TO UM, 980,000 KILOWATT HOUR.

AND AT LONG BEACH EIGHT, IT'S ESTIMATED 695,000, UM, KILOWATT HOUR.

IF WE ESTIMATE ABOUT 20 CENTS PER KILOWATT HOUR, UM, THAT WILL BE EQUAL TO ABOUT $370,000 ANNUALLY.

SO LOOKING AT THE TOTAL COST FOR THIS PROJECT, AND THAT WILL BE CONVERTED TO ABOUT PAYBACK TIME OF 8.5 YEARS.

SO JUST AS A REFERENCE, USUALLY WHEN WE, UM, ASK AS A, UM, EXPERT IN THE FIELD, A PAYBACK TIME FOR ENERGY PROJECT OF LESS THAN 10 YEARS IS CONSIDERED, UH, FAVORABLE TO MOVE FORWARD.

BUT BECAUSE THIS TECHNOLOGY IS, UH, UM, RENEWABLE TECHNOLOGY, IT QUALIFIES FOR QUITE A LOT.

INCENTIVE PROGRAM, FOR EXAMPLE, FOR SCE, THEY HAVE THE SG PROGRAM THAT'S A SELF GENERATION INCENTIVE PROGRAM.

AND THIS PROGRAM IS ESTIMATED TO BRING IN $1.7 MILLION TO THE PROJECT, WHICH WOULD CUT THE PAYBACK TIME DOWN TO FIVE YEARS.

AND THEN IT ALSO QUALIFIES FOR FEDERAL'S INFLATION REDUCTION ACT DIRECT PAY PROGRAM, AND THAT'S ESTIMATED TO BRING $1.9 MILLION.

SO OVERALL, THIS CAN REDUCE THE PAYBACK TIME TO AS LITTLE AS SIX MONTHS.

BUT OF COURSE ALL THOSE NUMBERS ARE, UM, ESTIMATED FOR NOW.

AND WE, WE WANT TO, UM, ASK FOR THE APPROVAL TO MOVE FORWARD WITH PHASE ONE AND IF PHASE ONE ACTIVITIES COMPLETED, WE WILL REVIEW PHASE ONE RESULTS TO CONFIRM THE PROJECT'S PAYBACK AND SCOPE, AND MAKE A RECOMMENDATION TO THE BOARD REGARDING PHASE TWO FEASIBILITY AT THE FUTURE BOARD MEETING.

AND, UH, FINISH WITH OUR RECOMMENDATION FOR TODAY TO ADOPT RESOLUTION UT 1528 AND AUTHORIZING THE GENERAL MANAGER TO DO THE AGREEMENT AND ANY AMENDMENTS WITH PIPE ENERGY INC.

TO PROVIDE PRE-DEVELOPMENT SERVICES FOR ENERGY RECOVERY PROJECT IN AMOUNT NOT TO EXCEED $110,500.

AND THAT CONCLUDES MY PRESENTATION.

I'LL BE HAPPY TO ANSWER ANY QUESTIONS.

COMMISSIONER REINI.

THANK YOU, JAN.

THAT'S A SELF GENERATION INCENTIVE PROGRAM, GENERATION INCENTIVE PROGRAM.

JEEZ.

MGD THAT'S A MILLION GALLONS PER DAY.

SO THAT'S A FLOW RATE WE USUALLY USE TO, UM, WE USE THAT FOR LIKE PRODUCTION.

DO I HAVE ANY PUBLIC COMMENT? OTHER COMMISSIONER COMMENT? YES, I HAVE A BRIEF COMMENT.

UH, AND IT'S DIRECTED TO THE CITY, UH, CITY ATTORNEY.

UH, CITY ATTORNEY IS SATISFIED THAT THIS QUALIFIES AS A SOLE SOURCE.

ENERGY IS ONE OF OUR RIGHT AND SURE, YES, YES.

ANY OTHER COMMENT? COMMISSIONER CORDERA? IJI JUST WANNA THANK YOU.

THIS IS, UM, REALLY INTERESTING AND UM,

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OPERATIONAL COST.

UM, SO THANK YOU FOR THIS.

I THINK THIS IS REALLY, UH, INTERESTING AND EXCITING AND, AND I WAS GLAD TO HEAR THIS HAVING COME FROM, WORKED FOR EDISON AND FOR MANY YEARS AND, UM, KNOWING HOW IMPORTANT THE NEXUS IS BETWEEN ENERGY AND WATER.

SO THANK YOU FOR THIS.

WITH THAT, I'LL, I'LL MAKE TO APPROVE.

SECOND, WE HAVE A, A MOTION AND A SECOND, ANOTHER COMMENT FROM COMMISSIONER SCOTT SPOKEN UP.

THAT'S OKAY.

EXCUSE ME.

UH, THIS IS FASCINATING.

THANK YOU FOR BRINGING THIS TO US.

YEAH, WE'RE VERY EXCITED ABOUT THIS PROJECT.

SUPER EXCITING.

I, I, YEAH, I, MY ONE QUESTION, IT MIGHT BE INAPPROPRIATE, UH, WHO GETS CREDIT FOR THIS IDEA? WONDERFUL IDEA, .

YEAH, SO FOR BOTH PROJECT, UM, WE, UH, WE ARE THE ONE THAT GETTING THE CREDITS, SO IT DOES MEAN THAT WE DO HAVE TO PAY UPFRONT IF WE MOVE FORWARD WITH THE WHOLE PROJECT, ESPECIALLY FOR THE, THE FEDERAL INCENTIVE, WE WON'T GET THE FUNDING BACK UNTIL AFTER THE PROJECT IS COMPLETED BECAUSE IT'S, IT'S ACTUALLY A TAX CREDIT IS PRESIDENT SCOTT WHO CAME CAME UP WITH THE LAW YEAH.

CAME UP WITH THE IDEA.

COMMISSIONER RAINEY, PRESIDENT MCGUIRE.

SO THE ASPECT OF, OF ENERGY RECOVERY WHEN YOU HAVE HIGH PRESSURE SITUATIONS OCCURRING IN PIPELINES IS, IS AN OKAY IDEA.

IT'S AROUND METROPOLITAN HAS IT IN ITS DISTRIBUTION SYSTEM FOR, FOR THIS IDEA.

THE CREDIT GOES TO THE ENTIRE STAFF WAS PUTTING TOGETHER AN ENERGY MASTER PLAN.

AND IN THE ENERGY MASTER PLAN, THEY WERE REVIEWING JUST OUR OVERALL ASPECTS OF ENERGY CONSUMPTION AND OPPORTUNITIES AND EVERYBODY'S INPUT THERE BEGAN TO EMERGE IN THIS IDEA.

OPERATIONS HAS HAD THIS IDEA FOR SOME TIME WE WANTED TO PUT IT INTO THE CONTEXT OF THE MASTER PLAN AND VALIDATE IT.

SO IT'S CREDIT TO SPREAD ALL AROUND, BUT COMING FORWARD FROM OUR STAFF SAYING, OKAY, THIS IS ONE OF THE KEY DIRECTIONS, KUDOS TO EVERYBODY INVOLVED.

COMMISSIONER RAINEY, THIS IS AN EXCELLENT, UM, PRESENTATION AS USUAL WHEN YOU, UM, MAKE THEM, THE ONLY THING IS JUST THAT MAYBE IT'S MY AGE OR NOT KNOWING THE TOPIC, UM, WHEN YOU GIVE US LIKE MGD OR OLD PEOPLE LIKE ME, IF THEY COULD HAVE SOME SORT OF RUBRIC THAT TELLS WHAT THEY ARE.

I THINK WE HAVE MOTION AND A SECOND ON THE FLOOR.

I CALL ON DINA FOR THE ROLL CALL VOTE VICE PRESIDENT SCOTT AYE.

SECRETARY CORDERO.

COMMISSIONER SHANNON.

HEY, THE WORLD CALL VOTE CARRIES.

UH, TO RECEIVE AND FILE THE GENERAL MANAGER'S MONTHLY REPORT, I CALL ON A**L.

UM, ITEM NUMBER FOUR,

[4. 25-54015 Recommendation to receive and file the General Manager’s Monthly Report. Suggested Action: Receive and file. ]

THANK YOU PRESIDENT MA, PRESIDENT MCGUIRE.

THIS, THIS IS STILL, UH, A DOCUMENT IN EVOLUTION IN TERMS OF ITS FORMAT.

IT'S JUST INTENDED TO, UH, CAPTURE WHAT IN THE PAST HAVE BEEN VERBAL COMMENTS TOWARDS THE END OF THE MEETING.

AND INSTEAD TRY TO MAKE AN EFFORT TO GIVE YOU AS MUCH INFORMATION UPFRONT.

THAT WAY YOU HAVE A CHANCE TO REVIEW IT, SEE IT YOURSELF, ASK ME QUESTIONS.

UH, WHAT I ASSEMBLED FOR YOU IN THIS REPORT WAS SIMPLY TO LET YOU KNOW AGAIN, UH, IN THE TIMEFRAME SINCE THE LAST MEETING ON DECEMBER 10TH, UH, WE WERE ABLE TO PRESENT TO THE CITY COUNCIL THE AFTER ACTION REPORT.

THERE WAS, UH, EXTENSIVE COMMENTS RECEIVED AS COMPLIMENTS TO THE DEPARTMENT'S EFFORTS IN PREPARING THE AFTER ACTION REPORT.

I BELIEVE COUNCIL MEMBER KERR COMMENTED THAT SHE WAS GONNA HOLD ONTO THE REPORT BECAUSE IT'S BASIC OVERVIEW OF THE DEPARTMENT AND WHAT IT DOES WOULD SERVE HER WELL WHEN SHE HAD TO ADDRESS, UH, CUSTOMER'S, UH, QUESTIONS ABOUT THE DEPARTMENT.

SO OVERALL WELL RECEIVED.

UM, THERE WASN'T MUCH AFTER THAT.

AND SO AS FAR AS THAT ISSUE IS CONCERNED, I THINK IT'S KIND OF BEEN PUT IN AND BOOKENDED FROM BEGINNING TO END WATER RESOURCES YOU HAVE FOR YOU HERE.

UM, THAT DWR INCREASED THE STATE WATER PROJECT ALLOCATION UP TO 15% FROM AN INITIAL 5%.

UM, I COPIED FOR YOU THE CONTRACT, UH, NOTICE THAT WENT TO EVERYBODY.

UM, I THINK IT CONTINUES TO BE IMPORTANT, NOT JUST THE NOTICE, BUT THE TABLE ON THE BACKSIDE GIVES YOU A PERSPECTIVE OF THE CONTRACTED AMOUNT THAT STATE WATER CONTRACTORS ARE ENTITLED TO.

AND AT THE SAME TIME HOW AN ALLOCATION WORKS WHERE THEY MAY HAVE ALL KINDS OF RIGHTS, BUT DEPENDING ON HOW IT'S RAINING AND SNOWING, THEIR ESTIMATE IS CUT TO A CERTAIN PERCENTAGE.

IN ADDITION, THE TABLE, WHICH I THINK I'VE

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I'VE HIGHLIGHTED TO YOU BEFORE, THE TABLE HIGHLIGHTS FOR YOU THE STRENGTH OF THE CONTRACT.

THIS, IN ESSENCE, REPRESENTS THE WEIGHTED VOTING OF THE STATE WATER CONTRACTORS.

AND YOU CAN SEE THAT IN THE SAN JOAQUIN VALLEY, WHAT STANDS OUT AS ONE OF THE LARGEST CONTRACTORS IS KERN COUNTY WATER AGENCY AT AN ENTITLED RIGHT OF ABOUT JUST UNDER SHY OF A MILLION ACRE FEET, 982,000.

THEY'RE THERE ON THE SAN JOAQUIN VALLEY TOWARDS THE MIDDLE OF THIS, UH, GIANT TABLE.

AT THE SAME TIME, YOU CAN SEE THAT IN SOUTHERN CALIFORNIA, THE OVERWHELMING NUMBER IS METROPOLITAN WATER DISTRICT.

AT 1.9 MILLION, IF YOU HAD 1.9 MILLION AND FERN COUNTY, YOU GET 2.9 MILLION, YOU GET JUST SHY OF 3 MILLION ACRE FEET.

THE ENTIRE YIELD OF THE PROJECT IS 4 MILLION ACRE FEET.

THAT MEANS THAT WHEN YOU HEAR THINGS ABOUT THE DELTA CONVEYANCE PROJECT MODERNIZATION IMPROVEMENTS IN THE DELTA, ANY QUESTION WITH THE DELTA AND WHAT THE STATE WATER PROJECT IS GOING TO DO IS BY WEIGHTED VOTE.

AND CONSEQUENTLY, WHAT METROPOLITAN DECIDES, ALONG WITH CENTRAL VALLEY AG IN THE FORM OF KERN COUNTY WATER AGENCY, HAS EVERYTHING TO DO WITH WHAT ACTIONS WILL BE TAKEN ON THE STATE WATER PROJECT.

THAT KIND OF REINFORCES SOME OF THE, THE LEVEL OF REPORTING IN THE NEWSPAPERS AS TO WHY IS, WHY IS IT SO IMPORTANT, WHAT METROPOLITAN'S GOING TO DO OR NOT DO ON THE STATE WATER PROJECT.

WHY IS IT THAT THEY BELIEVE CENTRAL VALLEY AG SHOULD HELP THEM? AND IF SO, WHY IS THE EMPHASIS ON KERN COUNTY WATER AGENCY? BECAUSE IT REPRESENTS THREE QUARTERS OF THE WEIGHTED VOTE AS TO WHAT CAN OR CANNOT BE DONE IN TERMS OF FINANCING, IN TERMS OF INVESTMENTS AND THINGS LIKE THAT.

UM, SO THE ADDITIONAL ASPECT TO THAT IN THAT CONTEXT THEN IS THAT METROPOLITAN THEN ADOPTED, UH, THE ACTION TO SUPPLEMENT THE DELTA CONVEYANCE PROJECT EIR PROCESS WITH ADDITIONAL FUNDING FOR STUDIES.

AN ENVIRONMENTAL IMPACT REPORT ON THE SCALE OF MAGNITUDE OF A $20 BILLION PROJECT IS PRETTY EXTENSIVE.

IT, IT ALONE IS MILLIONS OF DOLLARS TO PREPARE THE ENVIRONMENTAL IMPACT REPORT.

THE NATURE OF THE, OF THE ACTION WITH THE METROPOLITAN BOARD WAS THAT THERE IS STILL A NUMBER OF STUDIES TO BE DONE TO ADDRESS QUESTIONS ABOUT THE REPORT, ABOUT THE PROJECT ITSELF.

IF YOU DON'T DO THOSE STUDIES, IN ESSENCE, YOU'RE LEFT WITH AN INABILITY TO CON TO PERFORM AN INFORMED ASSESSMENT OF WHETHER THE PROJECT DOES DELIVER THE BENEFITS OR NOT.

COMMISSIONER CORDERO AS, AS DIRECTOR, CORDERO FOR LONG BEACH WAS INVOLVED IN THAT PROCESS AND THE DELIBERATIONS.

AND SO THIS EXTENSIVE DOCUMENTATION HERE IS JUST SIMPLY THE CAPTURE OF THAT, THAT METROPOLITAN DID AGREE TO SPEND AN ADDITIONAL $141 MILLION, UH, TOWARDS THAT EFFORT.

AND THAT'S GONNA HAPPEN OVER THE COURSE OF ABOUT THREE YEARS.

UM, THEN ADDITIONALLY IN THE REPORT I HIGHLIGHTED TO YOU THAT METROPOLITAN IS GOING THROUGH AN EXTENSIVE, UH, BUSINESS MODEL, UH, PROCESS AND TREAT A WATER COST RECOVERY PROCESS.

THE GENERAL MANAGERS HAVE GOTTEN TOGETHER IN A SERIES OF DELIBERATIONS AND THEY CONTINUE THOSE DISCUSSIONS.

THE OUTCOME OF THE BUSINESS MODEL, UH, IS IMPORTANT BECAUSE IT WILL LEAD TO, UH, INFORMATION TO BE SHARED WITH METROPOLITAN'S BOARD SOMETIME IN MARCH.

THAT COULD LEAD TO POSSIBLY SOME REVAMPING OF THEIR RATE STRUCTURE, SOME REVAMPING OF SOME OF THEIR PROGRAMS TO MEMBER AGENCIES.

IT REPRESENTS A NEXUS POINT FOR THE BOARD AND ITS CURRENT STRUCTURE TO ENGAGE THE MEMBER AGENCY GENERAL MANAGERS AND ASK THEM FOR THEIR THOUGHTS AS TO WHAT CAN BE IMPROVED.

SO THAT PROCESS CONTINUES TO WIND ITS WAY TOWARDS MARCH.

IT'S QUITE POSSIBLE, UM, IN THOSE DELIBERATIONS.

IT'S QUITE POSSIBLE THAT THAT MEMBER AGENCY WORK GROUP OF GENERAL MANAGERS WILL CONTINUE PAST MARCH AND TO CONTINUE TO BE A VOICE OF INFORMATION AND INPUT INTO THE BOARD.

I'M GONNA PAUSE THERE.

I DON'T KNOW IF MR. CORDERO, DIRECTOR CORDERO HAS ANY SUPPLEMENTARY COMMENTS ON THINGS THAT YOU'VE EXPERIENCED THERE ON THE BOARD WITH REGARDS TO THESE ITEMS? NO, OTHER THAN, UM, I'M SURE YOU CAN ALL UNDERSTAND WHEN YOU, WHEN THERE'S A VOTE TO COME UP FOR 141 MILLION AND YOU'VE GOT LIKE 40 OR 50 PEOPLE SPEAKING, MOST A LOT OF THEM AGAINST IT, UM, BECAUSE OF COST, ENVIRONMENTAL ISSUES.

UM, AND ONE OF THE BIGGEST THINGS THAT I HEARD WAS FROM A TRIBAL LEADER SAYING, WHENEVER THERE'S A STAKE IN, WHENEVER YOU PUT A SHOVEL IN THE GROUND, THERE'S AN IMPACT TO TRIBAL COMMUNITY.

SO ALL OF THESE IN FRONT OF YOU AND THEN YOU HAVE TO MAKE A DECISION TO MOVE FORWARD.

UM, BUT HAVING SAID THAT, AND THANK YOU FOR THAT OVERVIEW, UM, AT SOME POINT, I, I THINK I'VE MENTIONED I WANTED TO SIT DOWN WITH ALL OF YOU TO GO OVER THIS WITH YOU BECAUSE IT HELPS ME ALSO UNDER BETTER UNDERSTAND, UM, THE PROCESS AND WHERE WE ARE WITH IT.

AND THEN WHERE I'D LIKE YOU TO ALSO UNDERSTAND THAT TOO AS WE MOVE FORWARD.

AND THE MAYOR HAS INDICATED THAT HE'S INTERESTED AS WELL.

SO I'LL BE MEETING WITH DONNA HERRERA AND HOPEFULLY HIM AT SOME POINT.

IT IS MY GOAL TO DO THAT TO, UM, BRING YOU A FEW YEARS AGO IN TERMS OF CAL WATER FIX, WHEN THAT WAS THE DOMINANT PROJECT AT THE TIME BEFORE THE BOARD, WE BROUGHT A SERIES OF VOICES TO, UH, OFFER PERSPECTIVES INCLUDING A VOICE FROM CENTRAL VALLEY AGRICULTURE TO CHARACTERIZE WHAT EXACTLY THEY WERE FACING AND HOW DID THEY FEEL ABOUT THE PROJECT.

AND, AND IT IS,

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SO IT WAS TO GIVE AN OVERALL PERSPECTIVE.

SO I DO HAVE THAT IN MIND.

THE DELTA CONVEYANCE PROJECT IS GONNA MAKE ITS WAY TOWARDS A DECISION SOMEWHERE AROUND THE 2027 TIMEFRAME.

IT SEEMS LIKE AN AMPLE AMOUNT OF TIME, NOTWITHSTANDING THAT IT'LL BE MY GOAL TO TRY TO BRING FORWARD A SERIES OF SESSIONS THAT OVER TIME PROVIDE YOU WITH BACKGROUND ON THE PROJECT AND THE, THE WEIGHTED ASPECTS OF THE DECISIONS THAT NEED TO BE MADE.

GREAT.

ANTO.

DO I HAVE ANY PUBLIC COMMENT ON THIS? ANY COMMISSIONER COMMENT? YES, JUST A, JUST A BRIEF COMMENT.

UM, I READ, UH, REPORT, WHICH IS VERY EXTENSIVE AND VERY MUCH APPRECIATED.

I AM SPECIFICALLY REFERRING, HOWEVER, TO THE SE A FINDINGS OF FACT, WHICH I READ FROM BEGINNING TO END.

AND, UM, I WOULD REQUEST THAT YOU PROVIDE EACH ONE OF US WITH A A, UH, SOMETHING THAT WILL, UH, MAGNIFY PRINT BECAUSE I CAN'T, YEAH.

READ THE DAMN THING IN SUPER TINY.

BUT, UM, I HOPE NOT TOO MUCH DISCUSSION TOOK PLACE ON THESE SIGN, UH, THESE FINDINGS OF FACT.

FRANKLY, I DON'T KNOW WHAT THEY SAY.

THANK YOU FOR A MOMENT.

I THOUGHT THAT YOU WERE NOT GONNA ASK ME FOR A MAGNIFYING GLASS.

I THOUGHT YOU WERE GOING TO ASK ME TO GO THROUGH.

THAT'S WHAT I MEANT TO SAY.

GO THROUGH IN DETAIL, UH, A JUSTIFICATION FOR EACH OF THE FINDINGS OF THE FACTS.

SO I WAS SCRAMBLING TO GO THROUGH THEM AND FIGURE OUT WHICH ONE I WOULD BEGIN TO EXPLAINING.

BUT MAGNIFYING GLASS IS APPROPRIATE.

SO I'LL KEEP THAT IN MIND, UH, FOR THE NEXT TIME.

UM, AND ACTUALLY TALK TO MY COLLEAGUES AT METROPOLITAN TOO, FOR THAT MATTER.

BUT THERE, THERE IS STILL THE, THE BENEFIT OF A PHYSICAL SHUTOFF, LIKE THE INSURANCE COMPANY SAID, UH, BECAUSE AT THE END OF THE DAY, LEAKS HAPPEN AND, UM, THE ABILITY TO INSTANTLY SHUT OFF THAT WATER, UH, IS, IS BETTER THAN HOURS OR A DAY OR TWO THAT THE MI SYSTEM WILL BE ABLE TO RESPOND.

UM, , SO, YES, UH, WELL SAID COMMENT.

ANY OTHER COMMISSIONER COMMENT? YES.

I JUST, UH, WANTED TO BRING THIS UP.

I, I MAY HAVE TOLD ANNA TOLD THIS, UM, IT WAS REALLY INTERESTING FOR OUR, WHEN WE RECEIVED OUR RENEWAL FROM FARMER'S INSURANCE FOR OUR HOMEOWNER'S INSURANCE, WE, IN, IN THIS LETTER, IT SAID THAT WE HAD TO, BY THIS MONTH, THIS WAS LAST MONTH, THEY SENT IT, OR A MONTH AND A HALF AGO, WE HAD TO INSTALL A WATER LEAK DETECTION WITH A EMERGENCY SHUTOFF.

SO I CALLED AND I SPOKE TO THE WOMAN AT FARMER'S INSURANCE AND I SAID, WELL, I'M WITH THE WATER COMMISSION DEPARTMENT AND WE ACTUALLY HAVE, WE CAN TELL WE HAVE A LEAK DETECTION IF WE GO ONLINE AND BLAH.

SHE SAID, BUT IT DOESN'T HAVE AN EMERGENCY SHUTOFF, SO YOU NEED TO INSTALL IT, OR WE LET YOUR, YOUR INSURANCE LAP.

SO SHE SAID, HERE'S WHAT YOU CAN DO.

YOU EITHER BUY A WATER LEAK DETECTION SYSTEM AND HAVE SOMEONE INSTALL IT, OR YOU CAN CALL MOEN.

WE RECOMMEND IF YOU WANNA GO THROUGH THEM.

AND THEN THEY'LL COME OUT AND THEY'LL INSTALL IT.

SO $850 LATER, THEY'RE INSTALLING IT TOMORROW.

SO, AND I SAID, WELL, IS EVERYBODY ELSE DOING THIS? AND SHE SAID, NO.

SHE SAID, WE ARE DOING IT.

IT WASN'T A MANDATE, IT WASN'T AN ORDINANCE, IT WASN'T LEGISLATION.

IT WAS BECAUSE THEIR CLAIMS HAVE GOTTEN SO HIGH WITH REGARDS TO WATER DAMAGES THAT THEY'VE NOW IMPLEMENTED THIS.

SO, UM, I WOULD'VE PROBABLY NOT GONE WITH IT HAD I NOT BEEN SITTING IN THIS ROOM AND LEARNED SO MUCH FROM ALL OF YOU.

BUT I THOUGHT, WELL, THIS IS KIND OF A GOOD THING.

I'M GONNA, WE'RE GONNA DO THIS.

SO THAT'S WHERE WE ARE WITH THAT.

HAVE YOU HEARD MUCH ABOUT THIS? I HEARD A LITTLE BIT.

I'M GONNA ASK DEAN.

DEAN, CAN YOU COME UP AND JUST GIVE A, A SNAPSHOT? 'CAUSE YOU AND I TALKED ABOUT THIS AS, AS TO HOW THIS IS EMERGING ACROSS THE SPECTRUM FOR EVERYBODY IN SOUTHERN CALIFORNIA.

SURE.

SO I'M NOT SURE EXACTLY ALL THE DIFFERENT INSURANCE COMPANIES ARE, ARE STARTING TO REQUIRE THIS, BUT I DON'T THINK IT'S ONLY STATE FARM IS AN ACTIVE TOPIC OF DISCUSSION AMONG THE, UH, WATER CONSERVATION COMMUNITY.

AND, UH, WE WE'RE TRYING TO ASSESS HOW TO, UH, BEST SUPPORT CUSTOMERS WITH THIS, THESE NEW REQUIREMENTS.

I HOPE YOU APPLIED FOR THE REBATE 'CAUSE THERE IS A REBATE AVAILABLE FOR, FOR THESE TYPE OF DEVICES.

UM, BUT, BUT IT IS KNOWN AND UH, WE JUST DON'T HAVE QUITE, UM, I GUESS A, A FOCUSED, UH, PROGRAM YET TO ADDRESS THIS.

BUT THERE IS A REBATE AVAILABLE AND, AND WE ARE TRYING TO ASSESS HOW TO GO ABOUT THIS.

AND THE FACT THAT YOU MENTIONED WE HAVE OUR A MI SYSTEM THAT DETECTS LEAKS AGAIN, IS, IS A BENEFIT TO OUR CUSTOMERS AND WE'RE HOPING TO, TO STOP A LOT OF LEAKS THAT WAY.

UH, I IS NOT A SYSTEM THAT ALL, UH, WATER AGENCIES HAVE.

I I I'D SAY IT'S IN, STILL IN THE MINORITY OF AGENCIES THAT HAVE THAT.

AND SO, UH, I THINK THAT IS PART OF THE DISCUSSION IN THE PROFESSIONAL INDUSTRY TO SEE, YOU KNOW, IF THAT IS A, UH, PREVENTION AGAINST FURTHER NEED FOR SHUTOFF.

[00:30:01]

THANK YOU FOR THAT.

AND YOU KNOW, I KNOW WE HAVE AN ITEM ON AND MATT, UM, THAT'S GONNA TALK ABOUT, I'M NOT SURE IF IT'S SPECIFIC TO THIS 'CAUSE I MADE A CALL TO METROPOLITAN AND B, ZINC HAD NOT.

SHE GOES, THAT'S REALLY INTERESTING.

I DIDN'T, HADN'T HEARD ANY OF THIS.

SO, BUT THE CONCERN THAT I WOULD HAVE, MORE IMPORTANTLY, 'CAUSE I THINK IT'S A GOOD THING, IS FOR DISADVANTAGED COMMUNITIES AND PEOPLE THAT CAN'T PAY $800 OUT OF THEIR POCKET IN A MONTH OR TWO TIME TO GET THIS THING DONE.

SO YEAH.

THANK YOU DEAN FOR CLARIFICATION.

THAT REBATE IS THROUGH METROPOLITAN'S WATER SMART SOCAL WATER SMART PROGRAM THROUGH, THROUGH SOCAL WATER SMART PARTICIPATING.

SO IT'S NOT, UH, IT'S NOT US DIRECTLY PROVIDING THE REBATE.

IT'S METROPOLITAN, WHICH MEANS THAT THE COMMISSIONERS ALL QUALIFY.

CORRECT.

WE, WE GET PAST SOME OF THESE ASPECTS OF WHETHER YOU'RE ACTUALLY ENTITLED TO THE REBATE IF YOU'RE ONE OF THE DECISION MAKING ENTITIES.

RIGHT.

I THAT I DON'T KNOW THE LEGAL I, I'D ASK MARSHA THE LEGALITY OF THAT, BUT WELL, I IT IS AVAILABLE TO LONG BEACH CUSTOMERS.

RIGHT.

I WAS JUST GONNA ASK THAT IN GENERAL FOR SOCAL WATER SMART, I THINK THAT CAN BE APPLIED IN, EVEN IF IT'S ALREADY BEEN PURCHASED, THE RECEIPT CAN BE SUBMITTED, CORRECT? I BELIEVE UP TO SIX MONTHS OR NINE MONTHS AFTER.

AND SO WHEN WATER SUPPLY UPDATES AS WE GO FORWARD, UH, AND AS YOU GET MORE INFORMATION, THEN WE CAN HAVE THAT AS A TOPIC OR AN ITEM TO COME UP SIMPLY AS A MATTER OF INFORMATION.

CERTAINLY.

YOU'RE WELCOME.

WAS THAT, WAS THAT STATE FARM OR FARMERS? REALLY INTERESTING.

I'M GONNA HAVE TO, MUST HAVE MISSED THAT IN THE MAIL.

YEAH, I DIDN'T CHECK.

I'M NOT READING MY MAIL RIGHT NOW.

UM, ANY OTHER COMMISSIONER COMMENTS? DO I HAVE A MOTION TO APPROVE? THANK YOU.

THANK YOU COMMISSIONERS.

I HAVE A MOTION AND A SECOND.

OH, IT'S SAID RECEIVE AND FILE.

OH, RIGHT.

MOTION TO RECEIVE AND FILE APPROVED OR HOW DO, DO I HAVE, UM, ALL IN FAVOR? AYE.

ANY OPPOSED? THANK YOU.

MOTION CARRIES.

IS THERE ANYONE WISHING TO SPEAK ON A NON AGENDA ITEM? SEEING NONE, THE PUBLIC COMMENT PERIOD IS NOW CLOSED.

PUBLIC COMMENT, PERIOD.

[PUBLIC COMMENT Opportunity to address the Utilities Commission on non-agenda items. Each speaker is limited to three minutes to make their comments unless extended by the Board.]

UH, ARE THERE ANY

[ANNOUNCEMENTS]

ANNOUNCEMENTS? UH, I HAVE, I HAVE A COMMENT, COMMISSIONER.

UM, I'D LIKE, UH, TO ACKNOWLEDGE, UH, AND, UH, DURING THIS MEETING IN HONOR OF SOMEONE, USUALLY WE, UH, ACKNOWLEDGE SOMEBODY THAT'S DEAD.

AND IN THIS CASE, THIS IS AN EXCEPTION.

UM, THIS IS SOMEONE WHO'S GIVEN A GREAT DEAL OF SERVICE OVER A NUMBER OF YEARS TO THE NAACP.

AND I ALWAYS HAVE TO WRITE NAACP DOWN.

'CAUSE EVERY TIME I THINK OF IT, I THINK AGAINST WAY, BUT IT'S THE NAACP.

UH, AND YOU KNOW WHO I'M GONNA TALK ABOUT.

I WANNA HONOR AND ADJOURN THIS MEETING IN HONOR OF NAOMI RAINEY.

LOVELY, THANK YOU.

BOB.

ARE THERE ANY OTHER ANNOUNCEMENTS? ANATOL, DID YOU HAVE A REPORT? , THANK YOU.

AND WORK THAT OUT WITH YOU ALL.

UM, FOR THE EVENT ITSELF, IF YOU CHOOSE TO GO.

SO WE HAVE A BLOCK OF 10 TICKETS, UH, TO USE THERE.

SO THEY'LL BE SET ASIDE AND THEY'LL BE FEATURED THERE IN, IN THE AUDITORIUM.

UM, WE WILL HAVE, UH, A BOOTH THERE.

UM, AND THEN AS PART OF THE STATE OF THE CITY WITH OUR CONTRIBUTION, I BELIEVE WE'LL BE, UH, ADVERTISED AS ONE OF THE CONTRIBUTORS, UH, TO IT.

IN TERMS OF THE GM REPORT, I KNOW THAT IN TERMS OF THE, UH, THE BOARD RETREAT AND THE INFORMATION SESSIONS, UH, ONE OF THE THINGS IS THAT WE'RE RETAINING TWO CONSULTANTS THAT ARE COM GONNA PROVIDE YOU THESE BRIEFINGS.

UM, FIRST UP FRONT IS ED MEANS WITH ED MEANS CONSULTING.

HE'S GOING TO BE CONTACTING YOU INDIVIDUALLY TO HAVE BRIEF CONVERSATIONS WITH YOU, UM, AND THE TONE HERE AND THE, UH, STRESSING HIS CONVERSATIONS TO SHARE INFORMATION FROM

[00:35:01]

HIS PART.

AND AT THE SAME TIME GET INFORMATION FROM YOU ON CRITICAL THINGS THAT YOU BELIEVE ARE IMPORTANT, UH, FOR THE UTILITY DEPARTMENT, ESPECIALLY IN HIS AREA.

IN THE AREA OF WATER AND SEWER THAT'LL BE HAPPENING SHORTLY, I'LL BE SENDING OUT AN EMAIL, WHICH YOU'LL BE NOTIFIED OF THAT.

AND THEN DINO WILL BE FOLLOWING UP SIMILAR FASHION, DWGP, UH, WHO YOU HAD RETAINED AS OUR ADVISORS IN GAS.

THEY'LL BE DOING A SIMILAR FORMAT AS WELL.

THE GOAL HERE IS TO GET AS MUCH INFORMATION FROM YOU AS POSSIBLE.

FIRST BRING YOU AN INFORMATION SESSION THAT GIVES YOU AN OVERVIEW WITH THEM AS AN EXPERT.

AND THEN IN ESSENCE SET YOU UP THEN FOR THE BOARD RETREAT ITSELF TO HAVE A MORE FOCUSED DISCUSSION AT THE RETREAT AND NOT SPEND TOO MUCH TIME THERE TRYING TO GIVE YOU A BUNCH OF BACKGROUND INFORMATION.

THIS AT THE SAME TIME THAT I'M TRYING TO DO A COUPLE OF OTHER THINGS, WHICH IS I'M TRYING TO TAKE A CONCEPT OF A BUSINESS PLAN AND THAT BASIC STRUCTURE, PUT IT IN THE CONTEXT OF THE EXISTING BUDGET THAT WE'RE CURRENTLY WORKING WITH.

NOT THE MOST IDEAL SITUATION, IT IS WHAT IT IS, BUT I WANT THAT CONCEPT TO BEGIN TO INFORM YOU.

WHEN WE TALK ABOUT PROGRESS IN THE BUDGET AND HOW IT'S DOING, IT'S ALSO CONSISTENT WITH ACTIVITIES, ACCOMPLISHMENTS, GOALS THAT WE'RE TRYING TO ACHIEVE WITH THAT BUDGET.

AT THE SAME TIME, AS WE GET INTO BUDGET AND RATES FOR FISCAL YEAR 26, THEN I HAVE STAFF COMMITTED THAT WE'RE GOING TO ENGAGE IN THE DEVELOPMENT OF A BUSINESS PLAN.

THEN THAT BOTH GIVES YOU HAND IN HAND THE MONEY THAT WE'RE PROJECTING FOR THE COMING YEAR AND THEN WHAT WE INTEND TO ACCOMPLISH WITH THAT, AT LEAST AT ONE OF THE HIGHEST LEVELS.

I THINK THAT IF WE DO ALL THAT, THEN WE IN ESSENCE ARE WALKING OUR WAY TO MID-YEAR, MID CALENDAR YEAR OF 2025.

AND BY THAT TIME WITH ALL OF THIS ACTIVITY, I BELIEVE THAT STAFF AND THE BOARD WERE PROBABLY IN THE MOST OPPORTUNE TIME THEN TO BEGIN TALKING ABOUT A STRATEGIC PLAN FOR THE UTILITIES DEPARTMENT.

I BELIEVE IT'S IMPORTANT TO HAVE THAT WE ARE AFTER ALL NOW POST CONSOLIDATION WHERE WE BROUGHT TOGETHER THE DIFFERENT DEPARTMENTS.

IT'S IMPORTANT TO HAVE ONE GOING FORWARD.

I THINK EVERYTHING THAT I'VE JUST SAID IN THE PAST FEW MOMENTS IS KIND OF A PATHWAY TO BRING YOU INTO THE RIGHT SPOT TO HAVE THAT DISCUSSION.

HAVING SAID ALL THAT, MY INTENTION IS TO BRING ALL THAT TO YOU IN AN ACTUAL FORMAL PRESENTATION AT THE NEXT BOARD MEETING UNDER THE GM REPORT, OR IF NOT SEPARATELY.

AND THAT WAY YOU'LL AGAIN, HAVE A CHANCE TO DIGEST EVERYTHING I'VE SAID, GIVE YOU A LITTLE MORE BACKGROUND, AND KIND OF SET IN STAGE FOR US, KIND OF LIKE A PATH AND HOW ALL THINGS FIT AS WE WALK OUR WAY THROUGH 2025.

AND THAT CONCLUDES MY REPORT.

I'D LIKE TO MAKE A BRIEF COMMENT AND UM, AND THIS IS SOMEWHAT UNFAIR TO YOU, BUT I HAVE, AND I'M GONNA SAY IT A LITTLE BIT AMBIGUOUSLY.

UM, THERE WERE ONLY TWO MEMBERS OF THE COMMISSION THAT WERE ON THE COMMISSION AT THE TIME.

WE LAST DID A, UH, RETREAT AND, AND HIRED CONSULTANTS.

AND, UH, I'LL JUST SAY IT WAS SOMEWHAT CONTROVERSIAL BECAUSE OF THE COST INVOLVED.

UM, I'D LIKE TO HAVE SOME INPUT WITH REGARD.

AND AGAIN, THIS MAY BE UNFAIR TO YOU BECAUSE I THINK YOU MAY HAVE GOTTEN THE WRONG AND WRONG MESSAGES FROM US.

UH, IF WE COULD HAVE SOME, UH, SOME MECHANISM WHEREBY YOU CAN COMMUNICATE TO US THE COST TO HIRE THESE CONSULTANTS.

KEEPING IN MIND, AND YOU SHOULD REMEMBER, YOU MIGHT REMEMBER THIS, IT WAS SOMEWHAT CONTROVERSIAL AND THIS WAS WHAT, NINE, 10 YEARS AGO.

UM, AND ONLY GLORIA, GLORIA AND I WERE ON THE COMMISSION.

SO WHATEVER YOU MIGHT WANNA CHOOSE FOR THE MECHANISM, UH, IF YOU COULD DO PROVIDE US WITH THAT, I'D REALLY APPRECIATE IT.

HAPPY TO DO THAT.

ARE YOU TALKING ABOUT, I'M SORRY? ARE YOU TALKING ABOUT THE ONE WE HAD AT THE RANCHO OR THE ONE THAT WE HAD HERE? ONE THAT WE HAD, UH, HERE WE HAD, OH, EXACTLY.

LET ME INTERJECT AND THEN AND SEE IF THIS CONVERSATION HELPS.

SO WE HAD, WE HAD IT, WE INVITED A CONSULTANT TO HELP US DRAFT A STRATEGIC PLAN.

AND SO THE OUTCOME OF THAT WAS A PRINTED DOCUMENT CALLED THE STRATEGIC PLAN ADMISSION.

KAREN COMPTON AND ASSOCIATES.

IT WAS FACILITATED BY A CONSULTANT, UH, KAREN COMPTON.

THAT WAS THE PERSON WHO DID IT.

KAREN WAS A, A FORMER COLLEAGUE OF MINE.

SHE DID THAT.

AND WE WENT THROUGH THAT PROCESS.

SO THE RETENTION OF THE CONSULTANT, THE PAYING FOR THEM IN THAT CONTRACT, AND THEN THE OUTCOME AND THE RESULT OF THAT THERE WAS YES.

[00:40:02]

WASN'T HERE.

RIGHT, RIGHT.

I DON'T, I I CANNOT, I REMEMBER, REMEMBER THE ROOM AND I, IT WAS AT THE RANCHO, IT WAS OKAY, THERE'S TWO THINGS.

WELL, THERE'S THERE'S DIFFERENT, YEAH.

IT WAS A WORKSHOP, RIGHT? JUST US SITTING AROUND THE TABLE AND SOME OF THE STAFF CAME IN AND BIG PRESENTATIONS.

I THINK YOU MIGHT BLACKBOARD.

AND THEN, BUT THEN THERE WAS A SECOND ONE LATER ON YES.

IN THE BIG RANCHO ROOM WITH THE RIGHT, WITH THE MAP ON THE BOTTOM.

AND WE ALL SAT AROUND RIGHT IN A BIG, HUGE TABLE THAT THAT ONE'S DIFFERENT.

SO LET ME, LET ME INTERJECT.

AND ALSO FOR THE BENEFIT, COMMISSIONER MCGUIRE, SCOTT AND RAINEY.

SO TY, YOU WERE GONNA SAY YOU RECALL WHERE THE STRATEGIC PLAN, THERE YOU GO.

OH, THAT'S RIGHT.

THAT'S RIGHT.

AND WE DID NOT HAVE A FACILITATOR AT THOSE.

AND THAT WAS NOT THE DISCUSSION OF THE STRATEGIC OR THE FORMATION OR CREATION OF THE STRATEGIC PLAN.

RIGHT.

AND SO I, I DON'T DISAGREE IN, IN TERMS OF TRYING TO PUT SOMETHING TOGETHER.

IT'S IMPORTANT TO HAVE YOU WITH STUFF WITH STAFF IN THE DRIVER'S SEAT OF CREATING THIS.

AND SO THAT IS IN PART, PART OF MY DISCUSSION HERE OF BRINGING PIECES OF INFORMATION FORWARD THAT PUT YOU IN THE MIDDLE OF MAKING THAT DECISION OF HOW WE DO IT.

EVEN TO THE POINT OF SAYING A CONSULTANT, YES, NO, WHY AND ALL THOSE THINGS.

IT'S IMPORTANT TO HAVE YOU PARTNERING WITH US AND DOING THAT.

SO THAT'S MY INTENTION.

I WANTED TO ASK IT WILL.