Public Utilities Board

City Hall City of Denton 215 E. McKinney St. Denton, Texas 76201 www.cityofdenton.com Meeting Agenda Public Utilities Board Monday, June 11, 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, June 11, 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: 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. PUB18-098 Deliberations regarding Real Property - Under Texas Government Code Section 551.072; Consultation with Attorneys - Under Texas Government Code Section 551.071. Discuss, deliberate and receive information from staff and provide staff with direction pertaining to the potential purchase of certain real property interests out of the Alexander Hill Survey, Abstract No. 623, Denton County, Texas, and generally located in the 1200 block of Johnson Street, Denton, Texas. Consultation with the City’s attorneys regarding legal issues associated with the potential acquisition or condemnation of the real property interests described above where a public discussion of these legal matters 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, or would jeopardize the City’s legal position in any administrative proceeding or potential litigation. [Spencer to Locust Transmission Line project - Parcels 34 & 37] B. PUB18-102 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, opportunities and agreements for the City to acquire natural gas for the DEC from ConocoPhillips Company and Tenaska Marketing Ventures. 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 Page 1 Printed on 6/8/2018 Public Utilities Board Meeting Agenda June 11, 2018 of Texas. C. PUB18-106 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 competitive and financial public power information from staff related to Power Purchase Agreements between the City of Denton, as the seller of power and electric energy services, and Texas Woman’s University and the University of North Texas, both as buyers of power and electric energy services; discuss, deliberate, and make recommendations to City Council regarding the same. Consultation with the City’s attorneys regarding legal issues associated with the above matters where a public discussion of these legal matters 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, or would jeopardize the City’s legal position in any administrative proceeding or potential litigation. 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 – D). 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 – D 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. Page 2 Printed on 6/8/2018 Public Utilities Board Meeting Agenda June 11, 2018 A. PUB18-095 Consider recommending adoption of an ordinance of the City of Denton, Texas, a Texas home-rule municipal corporation, authorizing the approval of a second amendment to a professional services agreement between the City of Denton and D&S Engineering Labs for the construction of Cell 3B, C, D and associated site improvements for the City of Denton Landfill; providing for the expenditure of funds therefor; and providing an effective date (File 6508- second amendment expenditure amount not-to-exceed $29,648.95 for a total contract amount not-to-exceed $129,548.95). Attachments: Exhibit 1 - Agenda Information Sheet Exhibit 2 - Amendment 2 Exhibit 3 - Ordinance B. PUB18-100 Consider recommending adoption of an ordinance of the City Council of the City of Denton, a Texas home-rule municipal corporation, providing for, authorizing, and approving the execution by the City Manage, or his designee, of a Base Contract for Sale and Purchase of Natural Gas, between the City of Denton and Conoco Philips Company (“Conoco”), a Delaware corporation headquartered in Texas; approving the execution of such other and further related documents deemed necessary to effectuate the transactions allowed under this agreement by the City Manager or his designee; determining that specific information contained in documents involved in this transaction pertain to a “competitive electric matter” as set forth under the provisions of §§551.086 and 552.133 of the Texas Government Code, as amended; allowing the public to inspect, but not reproduce, the base contract as redacted; providing an effective date. Attachments: Exhibit 1 - Agenda Information Sheet Exhibit 2 - Ordinance Exhibit 3 - NAESB Copyright policy Exhibit 4 - Public Viewing Notice C. PUB18-104 Consider recommending adoption of an ordinance of the City of Denton, Texas, a Texas home-rule municipal corporation, authorizing the City Manager to execute a contract for the supply of Underground Utility Line Locating Services for the City of Denton to USIC Locating Services, LLC; providing for the expenditure of funds therefor; and providing an effective date (IFB 6736- awarded to USIC Locating Services, LLC, in the three (3) year not-to-exceed amount of $1,200,000). Attachments: Exhibit 1 - Agenda Information Sheet PUB Exhibit 2 - Bid Tabulation Exhibit 3 - Contract Exhibit 4 - Ordinance D. PUB18-108 Consider recommending adoption of an ordinance of the City of Denton, Texas, a Texas home-rule municipal corporation authorizing the City Manager, or his designee, to execute a Waiver Agreement Relating to the Global Settlement Agreement between Texas Municipal Power Agency and its Member Cities to waive the September 1, 2018 start-up date for previously agreed upon changes in handling ERCOT postage stamp charges and to begin implementation of such changes on January 1, 2019; and, providing an effective Page 3 Printed on 6/8/2018 Public Utilities Board Meeting Agenda June 11, 2018 date. Attachments: Exhibit 1 - Agenda Information Sheet Exhibit 2 - Waiver Agreement relating to the TMPA Global Settlement Agreement Exhibit 3 - Proposed Ordinance 2. ITEMS FOR INDIVIDUAL CONSIDERATION A. PUB18-099 Consider approval of the Public Utilities Board Meeting minutes of May 21, 2018. Attachments: PUB Draft Minutes 5-21-18 B. PUB18-105 Consider recommending adoption of an ordinance of the City of Denton, Texas, a Texas home-rule municipal corporation, authorizing the City Manager to execute a Professional Services Agreement with Nelson + Morgan Architects, Inc. for Architectural Design Services for renovation of Service Center and 651 Mayhill as set forth in the contract; providing for the expenditure of funds therefor; and providing an effective date (RFQ 6748- Professional Services Agreement for Architectural Design Services awarded to Nelson + Morgan Architects, Inc., in the not-to-exceed amount of $918,402.53). Attachments: Exhibit 1 - Agenda Information Sheet Exhibit 2 - Evaluation Exhibit 3 - Contract Exhibit 4a - Project Budget Sheet- 651 Mayhill Exhibit 4b - Project Budget Sheet- Service Center Exhibit 5 - Staff Presentation Exhibit 6 - Ordinance C. PUB18-107 Consider recommending approval of an ordinance of the City of Denton, Texas, a Texas home-rule municipal corporation, authorizing the City Manager to execute a Professional Services Agreement with Burgess & Niple, Inc. for Design Services of the Morse Street Loop 288 to Mayhill Road street improvement as set forth in the contract; providing for the expenditure of funds therefor; and providing an effective date (RFQ 6590-009- Professional Services Agreement for design services awarded to Burgess & Niple, Inc. in the not-to-exceed amount of $255,000). Attachments: Exhibit 1 - Agenda Information Sheet PUB Exhibit 2 - Map Exhibit 3 - Contract Exhibit 4 - Ordinance D. PUB18-110 ACM Update: 1. 2018 Texas Water Conference Asset Management Plan Presentation 2. Future Agenda Items 3. Matrix Page 4 Printed on 6/8/2018 Public Utilities Board Meeting Agenda June 11, 2018 Attachments: 1. Future Agenda Item List 2. New Business Matrix - PUB 3. 2018 AMP Texas Water Presentation 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 5 Printed on 6/8/2018