Minutes of the Regular Meeting NRPPD Board of Directors, November 25, 2014, Unapproved

The regular meeting of Directors of Northwest Rural Public Power District (NRPPD) was held in the Conference Room of the District November 25, 2014 at 9:40 AM.

The meeting was called to order by the president, Robert Rickenbach.  Directors who answered the roll call were Robert Rickenbach, Bruce Troester, Gary Fuchser, Lee Ahrens, and  Mike Van Buskirk.

Also present were Chance Briscoe, manager; Arlene Lahaye, office manager; Russ Reichenberg, line superintendent; Ron Housh, planning engineer; Les Tlustos, consumer services, and Terry Curtiss, District Counsel.

The Open Meeting Law posting was acknowledged. 

All votes are unanimous upon a roll call vote unless noted.

A motion was made by Bruce Troester, duly seconded by Gary Fuchser to accept the order of business as published and supplemented at this meeting; motion carried.

A motion was made by Mike Van Buskirk, duly seconded Lee Ahrens, that the minutes of the meeting held October 23rd be approved as published and mailed to all directors on November 21st; motion carried.

Arlene Lahaye reviewed the October income statement. Revenue for October was $59,097 over budget and NRPPD’s cost of power was also under what was budgeted by $21,132. Total net margins were $120,563 for November.

Jim Jonson joined the meeting at 9:50 AM.

Chance Briscoe reviewed the Cash Flow from operating, investment and financing activities for the month of October. For the month of October there was $74,596 cash from all activities. A discussion followed with a motion being made by Mike Van Buskirk, duly seconded by Gary Fuchser to accept the October financial reports; motion carried.

Chance discussed the previously considered rate re-alignment for 2015. A discussion was held on several different options or methods to address the 2015 rates. A motion was made by Mike Van Buskirk, duly seconded by Bruce Troester to move forward with the rate re-alinement for 2015; motion carried. Specific rate recommendations to be implemented in 2015 will be added to the agenda of future meetings.

Robert Rickenbach reported on the IBEW Wage Negotiations. Chance informed the Board of the requests made by the Union and the outcome of each request. A total package increase of 1.7% for 2015 was agreed upon. A motion was made by Bruce Troester, duly seconded by Mike Van Buskirk to accept the proposal and for Chance Briscoe to sign the IBEW Contract; motion carried.

Russ Reichenberg reviewed the October safety report.  Russ discussed the injuries and the property 

Damage that occurred.  Non NRPPD incidents were also discussed. Russ reviewed the training that took place during October. A motion was made by Gary Fuchser, duly seconded by Mike Van Buskirk to accept the October safety report; motion carried.

Russ informed the Board that we have received the payment from FEMA for the 2013 October storm damage.

Wayne Cobb joined the meeting at 10:30 AM.

Russ discussed the outcome of the pole inspection program that has been completed by Osmose. One thousand poles were inspected and approximately 56 were rejected. Of the 56 rejected poles approximately 5 were priority rejects. The approximate age of the line inspected is 50 years and with the inspection and re-treats, the life of the line has been extended by about 20 years.

Ron Housh informed the Board that with the AMI and MDMS applications NRPPD was able to identify transformers that were over loaded and was able to change them out and avoid an outage situation. 

Chance Briscoe reported that he, Russ, Ron, and Arlene had a kick off conference call with Tom Kandel and Bill Edwards of CFC regarding a Cost of Service Study (COSS). The initial goals for completing a COSS were discussed along with the potential changes to NRPPD’s wholesale rate, and the type of data they would need form us. NRPPD intends to have a final product around April or May of 2015. CFC will complete the COSS at no cost to NRPPD.

Chance discussed the Tri-State Contract Committee and some of the polling questions presented to the committee. The buyout methodology was also discussed along with the cost of generation by Tri-State and purchased power on behalf of the Nebraska systems. 

Chance also reported on the Tri-State Rate Committee meeting. The Rate Committee discussed the current Patronage Capital Requirements, the allocations and the retirements. An alternative rate adopted by the Board, TR-1, was discussed with the Committee. The bulk of the Rate Committee was spent reviewing the progress made on the COSS.

Gary Fuchser reported on the Tri-State meeting he attended. The New Mexico settlement was discussed at the Tri-State Meeting.

Chance reviewed the proposed Tri-State TR-1 rate established as a temporary alternative for the Colorado PUC complaints.

There being no further business to come before the Board, the president declared the meeting adjourned at 12:10 PM. 

Approved: President

Signed: Secretary

Published: December 17, 2014