Public Utilities Board

City Hall City of Denton 215 E. McKinney St. Denton, Texas 76201 www.cityofdenton.com Meeting Agenda Public Utilities Board Monday, January 8, 2018 9:00 AM Work Session Room After determining that a quorum is present, the Public Utilities Board of the City of Denton, Texas will convene in a meeting on Monday, January 8, 2018 at 9:00 a.m. in the Council Work Session Room at City Hall, 215 E. McKinney Street, Denton, Texas at which the following items will be considered: WORK SESSION A. PUB17-252 Receive an informational report regarding the Denton Municipal Electric program for underground electric lines. Attachments: Agenda Information Sheet The Public Utilities Board (PUB) will convene in a Closed Meeting to consider specific items when these items are listed below under the Closed Meeting section of this agenda. When items for consideration are not listed under the Closed Meeting section of the agenda, the PUB will not conduct a Closed Meeting and will immediately convene its open meeting. The PUB reserves the right to adjourn into a Closed Meeting on any item on its open meeting agenda consistent with Chapter 551 of the Texas Government Code, as amended, or as otherwise allowed by law. CLOSED MEETING A. PUB18-007 Deliberations Regarding Certain Public Power Utilities: Competitive Matters - Under Texas Government Code Section 551.086; Consultation with Attorneys - Under Texas Government Code Section 551.071. Receive a presentation from staff regarding public power competitive and financial matters pertaining to the natural gas fuel supply for the Denton Energy Center (“DEC”); discuss and deliberate strategies and opportunities for the City to acquire natural gas for the DEC and enter into agreements regarding the same including a Contract for Sale and Purchase of Natural Gas with Enterprise Products Operating, LLC, a Texas limited liability company. Consultation with the City’s attorneys regarding legal issues associated with the agreements described above where discussion of these legal matters in an open meeting would conflict with the duty of the City’s attorneys to the City of Denton and the Denton City Council under the Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas. Make a recommendation to City Council on a Contract for Sale and Purchase of Natural Gas with Enterprise Products Operating, LLC, a Texas limited liability company. Page 1 Printed on 1/5/2018 Public Utilities Board Meeting Agenda January 8, 2018 ANY FINAL ACTION, DECISION, OR VOTE ON A MATTER DELIBERATED IN A CLOSED MEETING WILL ONLY BE TAKEN IN AN OPEN MEETING THAT IS HELD IN COMPLIANCE WITH TEXAS GOVERNMENT CODE, CHAPTER 551, EXCEPT TO THE EXTENT SUCH FINAL ACTION, DECISION, OR VOTE IS TAKEN IN THE CLOSED MEETING IN ACCORDANCE WITH THE PROVISIONS OF §551.086 OF THE TEXAS GOVERNMENT CODE (THE ‘PUBLIC POWER EXCEPTION’). THE PUBLIC UTILITIES BOARD RESERVES THE RIGHT TO ADJOURN INTO A CLOSED MEETING OR EXECUTIVE SESSION AS AUTHORIZED BY TEX. GOV’T. CODE, §551.001, ET SEQ. (THE TEXAS OPEN MEETINGS ACT) ON ANY ITEM ON ITS OPEN MEETING AGENDA OR TO RECONVENE IN A CONTINUATION OF THE CLOSED MEETING ON THE CLOSED MEETING ITEMS NOTED ABOVE, IN ACCORDANCE WITH THE TEXAS OPEN MEETINGS ACT, INCLUDING, WITHOUT LIMITATION §551.071-551.086 OF THE TEXAS OPEN MEETINGS ACT. Following the completion of the Closed Meeting, the Public Utilities Board will convene in a Regular Meeting at which the following items will be considered: REGULAR MEETING 1. CONSENT AGENDA Each of the items on the Consent Agenda is recommended by the Staff and approval thereof will be strictly on the basis of the Staff recommendations. Approval of the Consent Agenda authorizes the Assistant City Manager of Utilities, or his designee, to implement each item in accordance with the Staff recommendations. The Public Utilities Board has received background information and has had an opportunity to raise questions regarding these items prior to consideration. Listed below are bids, purchase orders, contracts, and other items to be approved for payment or other action under the Consent Agenda (Agenda Items A – B). This listing is provided on the Consent Agenda to allow Public Utilities Board Members to discuss or withdraw an item prior to approval of the Consent Agenda. If no items are pulled, Consent Agenda Items A – B below will be approved with one motion. If items are pulled for separate discussion, they may be considered as the first items following approval of the Consent Agenda. A. PUB18-003 Consider recommending adoption of an ordinance approving a contract for the purchase of one (1) Terex 47’Digger Derrick truck for the Denton Municipal Electric Distribution Department as awarded by Buy Board Cooperative Purchasing Network Contract# 521-16; providing for the expenditure of funds therefor; and providing an effective date (File 6670-awarded to Freightliner of Austin, in the not-to-exceed amount of $231,765). Attachments: Exhibit 1-Agenda Information Sheet Exhibit 2-Comparison and Quote Exhibit 3-Staff Memo Exhibit 4-Ordinance B. PUB18-006 Consider recommending adoption of an ordinance approving a contract for the purchase of one (1) John Deere Model 245G Hydraulic Excavator for the City of Denton Drainage Department as awarded by Buy Board Cooperative Purchasing Network Contract# 515-16; providing for the expenditure of funds therefor; and providing an effective date (File 6684-awarded to RDO Equipment Company in the not-to-exceed amount of $215,236.57). Page 2 Printed on 1/5/2018 Public Utilities Board Meeting Agenda January 8, 2018 Attachments: Exhibit 1-Agenda Information Sheet Exhibit 2 - Comparison and quote Exhibit 3-Staff Memo Exhibit 4-Ordinance 2. ITEMS FOR INDIVIDUAL CONSIDERATION A. PUB17-248 Consider approval of the Public Utilities Board Meeting minutes of December 11, 2017. Attachments: 1. PUB Draft Minutes 12-11-17 B. PUB17-229 Consider recommending adoption of an ordinance of the City of Denton, a Texas home rule municipal corporation (“City”), approving a Real Estate Exchange and Abandonment Agreement (“Agreement”) between the City and Marsam Enterprises, Inc., a Texas corporation (“Marsam”), for (I) the conveyance to Marsam of a 0.098 acre fee tract, with a drainage and utility easement reserved by the City therein, (II) the conveyance to Marsam of a 0.016 acre fee tract, with a drainage and utility easement reserved by the City therein, (III) the abandonment and release by the City of (A) a 0.063 acre drainage easement, and (B) a 285 square feet drainage easement, and (IV) the payment by the City to Marsam of $5,000.00, all in exchange for the conveyance to the City of (I) a 0.031 acre fee tract, and (II) a 0.047 acre drainage easement, all cited tracts situated in the W. Loving Survey, Abstract No. 759, City of Denton, Denton County, Texas, generally located at the northeast corner of Myrtle Street and Eagle Drive; authorizing the City Manager in accordance with Local Government Code 272.001(B)(3) to execute the Agreement; authorizing the expenditure of funds therefore; and providing and effective date. (Eagle Drive Drainage project - Phase II - Marsam tract (Briscoe Tire)) Attachments: Exhibit 1 - Agenda Information Sheet - (Marsam) Exhibit 2- Location Map Exhibit 3 - Site Map Exhibit 4 - Ordinance - Marsam C. PUB18-002 Consider recommending adoption of an ordinance revising parameters within the Credit and Collection Policy of the City Utility System. Attachments: Exhibit 1- Agenda Information Sheet Exhibit 2- Ordinance Exhibit 3- Presentation D. PUB18-005 Consider recommending adoption of an ordinance approving a contract for the supply of Wärtsilä Gas Engine Lubrication Oil and Cooling System Glycol for the Denton Energy Center; providing for the expenditure of funds therefor; and providing an effective date (IFB 6632-awarded to the lowest responsive bidder for each line item, Reeder Distributors, Inc. for gas engine lubrication oil in the not-to-exceed amount of $330,030 and O’Rourke Dist. Co., Inc. dba O’Rourke Petroleum for cooling system glycol (antifreeze) in the not-to-exceed amount of $79,953 for a total award not-to-exceed $409,983). Page 3 Printed on 1/5/2018 Public Utilities Board Meeting Agenda January 8, 2018 Attachments: Exhibit 1-Agenda Information Sheet Exhibit 2-Bid Tabulation Exhibit 3-Wartsila Specifications Exhibit 4-Ordinance Exhibit 5-Staff Presentation E. PUB17-257 ACM Update: 1. 2017 DME Transmission Cost of Service Rate Filing 2. Future Agenda Items 3. Matrix Attachments: 1. TCOS Rate Filing 2. Future Agenda Item List 3. New Business Matrix - PUB 3. CONCLUDING ITEMS A. Under Section 551.042 of the Texas Open Meetings Act, respond to inquiries from the Public Utilities Board or the public with specific factual information or recitation of policy, or accept a proposal to place the matter on the agenda for an upcoming meeting AND Under Section 551.0415 of the Texas Open Meetings Act, provide reports about items of community interest regarding which no action will be taken, to include: expressions of thanks, congratulations, or condolence; information regarding holiday schedules; an honorary or salutary recognition of a public official, public employee, or other citizen; a reminder about an upcoming event organized or sponsored by the governing body; information regarding a social, ceremonial, or community event organized or sponsored by an entity other than the governing body that was attended or is scheduled to be attended by a member of the governing body or an official or employee of the municipality; or an announcement involving an imminent threat to the public health and safety of people in the municipality that has arisen after the posting of the agenda. CERTIFICATE I certify that the above notice of meeting was posted on the bulletin board at the City Hall of the City of Denton, Texas, on the ________day of ___________________, 2018 at ________o'clock (a.m.) (p.m.) __________________________________________ CITY SECRETARY NOTE: THE CITY OF DENTON CITY COUNCIL WORK SESSION ROOM IS HANDICAP-ACCESSIBLE IN ACCORDANCE WITH THE AMERICANS WITH DISABILITIES ACT. THE CITY WILL PROVIDE SIGN LANGUAGE INTERPRETERS FOR THE HEARING IMPAIRED IF REQUESTED AT LEAST 48 HOURS IN ADVANCE OF THE SCHEDULED MEETING. PLEASE CALL THE CITY SECRETARY'S OFFICE AT 349-8309 OR USE TELECOMMUNICATIONS DEVICES FOR THE DEAF (TDD) BY CALLING 1-800-RELAY-TX SO THAT A SIGN LANGUAGE INTERPRETER CAN BE SCHEDULED THROUGH THE CITY SECRETARY’S OFFICE. Page 4 Printed on 1/5/2018