Gainesville Regional Utilities Authority

Gainesville Regional Utilities Authority MINUTES September 10, 2025, 5:30 p.m. GRU Administration Building 301 SE 4th Avenue Gainesville, FL 32601 Members Present: Chair Lawson, Vice-Chair Haslam, Jack Jacobs, Robert Skinner _____________________________________________________________________ A. CALL TO ORDER B. ROLL CALL C. INVOCATION D. PLEDGE OF ALLEGIANCE E. ADOPTION OF THE AGENDA Public Comment: Chuck Ross, Jim Konish, Donald Sheppard Moved by Robert Skinner Seconded by Jack Jacobs Approved F. APPROVAL OF MINUTES Moved by Vice-Chair Haslam Seconded by Jack Jacobs Approved G. CHAIR COMMENTS Chair Lawson announced that the performance evaluation process for CEO Ed Bielarski is now underway. In collaboration with Ms. McBride, Chair Lawson has 1  developed the evaluation form and provided clear guidance to board directors regarding its completion and submission timeline. The completed evaluations will be reviewed and discussed at the upcoming GRUA meeting scheduled for October 2025. H. GENERAL PUBLIC COMMENT Public Comment: Jim Konish, Chuck Ross, Raymond Mobley, Donald Sheppard I. DIRECTOR COMMENTS Director Skinner reported that he has contacted officials in Tallahassee regarding the upcoming expiration of his term on October 1, 2025. At this time, there is no update on the appointment of a replacement for Director Carter. Director Skinner has submitted a new application and expressed his willingness to serve an additional term, pending approval. He also consulted with Utilities Attorney Mr. Perry and referenced a legal brief indicating that board members may continue to serve in a de facto capacity until formally reappointed or replaced. Mr. Perry provided further clarification on this matter. Vice Chair Haslam offered remarks addressing concerns raised during the public comment portion of the meeting. Director Jacobs also provided commentary in response to issues brought forward during public comment. J. CONSENT AGENDA 1. 2025-713 State of the Utility, Monthly Update July 2025 (B) 2. 2025-714 GRU Financial Communications (B) Recommendation: Informational item only. K. CEO COMMENTS CEO Ed Bielarski addressed several concerns raised during the public comment portion of the meeting. Vice Chair Haslam inquired about a handout distributed to the Board during public comment. Mr. Bielarski acknowledged the inquiry and stated he would follow up with the Board at a later time. A video presentation was shared with the Board, demonstrating the installation of an aerator at the Main Street Water Reclamation Facility. 2 L. ATTORNEY COMMENTS Kiersten Ballou, of Folds Walker, provided an update on the ongoing legal proceedings involving GRU and the GRU Authority in relation to the City of Gainesville. Utilities Attorney Derek Perry added that all parties are actively engaged and working diligently to advance the necessary business matters. M. BUSINESS DISCUSSION ITEMS 1. 2025-715 GRU Review August, 2025 (B) CEO Ed Bielarski delivered a presentation highlighting key developments and operational updates at GRU for the month of August 2025. Chair Lawson inquired about the approximate number of meter reader positions affected by the implementation of Advanced Metering Infrastructure (AMI). CEO Bielarski responded. Energy Delivery Officer, Chad Parker responded further. Director Skinner asked whether there was data available on the number of customers opting out of AMI in favor of traditional monthly physical meter readings. He also requested an update on the customer portal designed to provide real-time usage data. CEO Bielarski responded with the latest information regarding both inquiries. Recommendation: The Authority hear a presentation from the CEO and ask questions, if desired. Heard 2. 2025-716 Main St. Water Reclamation Facility Capacity and Renewal Upgrade – Contract Modification for Phase 2 Construction Water/Wastewater Director Debbie Daugherty delivered a comprehensive presentation outlining the planned upgrades at the Main Street Wastewater Facility. She provided historical context on GRU’s wastewater infrastructure and emphasized the operational challenges associated with performing repairs, noting that the facilities operate continuously without scheduled outages. CEO Ed Bielarski supplemented the presentation with additional remarks regarding the scope and significance of the proposed improvements. 3  Chair Lawson requested clarification on the specific action being recommended for Board approval. Ms. Daugherty and Utilities Attorney Mr. Perry provided further explanation to ensure alignment and understanding. Director Skinner inquired about the financial strategy for funding the upgrades, specifically whether GRU intends to borrow funds for the project. Both CEO Bielarski and Ms. Daugherty addressed the inquiry and outlined the financial considerations. Public Comment: Donald Sheppard Moved by Jack Jacobs Seconded by Robert Skinner Recommendation: The GRU Authority authorize the CEO, or designee to execute required modifications to contract #2019-075, subject to approval of the Utility Attorney as to form and legality, for the total project cost not to exceed $170 million subject to and accordance with the annually approved budget and GRU procurement policy allowances. Approved as Recommended 3. 2025-717 Recommendation to Seek Waiver from FERC’s Independent Functioning Rule (B) Utilities Attorney Derek Perry delivered a presentation outlining the specific request being brought before the Authority, including the legal and procedural implications of the proposed waiver. Director Skinner inquired about the anticipated legal expenses associated with pursuing the waiver. Mr. Perry provided a response detailing the projected costs. Chair Lawson requested additional clarification regarding the scope and coverage of the waiver. Mr. Perry addressed the inquiry, and CEO Ed Bielarski supplemented the explanation with further context. Director Skinner subsequently made a motion to approve the recommendation, contingent upon the total cost not exceeding $20,000. Vice Chair Haslam raised a question concerning potential liability resulting from the waiver request. Mr. Perry responded with legal insight, and Mr. Bielarski offered additional clarification from an operational standpoint. 4  Director Jacobs observed that the granting of the waiver by FERC would signify their formal approval of the request.. Moved by Robert Skinner Seconded by Vice-Chair Haslam Recommendation: The GRU Authority authorizes the CEO or their designee to work with the Utilities Attorney and outside legal counsel to prepare and submit a request to the Federal Energy Regulatory Commission for a waiver from the Independent Functioning Rule, subject to legal review and approval as to form and legality. Cost to not exceed $20,000. Approved as Recommended 4. 2025-718 Sale of Cross Creek Water and Wastewater Systems (B) CEO Ed Bielarski delivered a presentation providing background and context on the Cross Creek Water and Wastewater systems, outlining the operational status and considerations for future disposition. Chair Lawson inquired whether the GRU Authority possesses the legal authority under House Bill 1645 to sell the asset. Utilities Attorney Derek Perry and Ms. Ballou confirmed that the Authority is indeed empowered to proceed with a sale under the provisions of HB 1645. Director Skinner requested clarification regarding the Florida Department of Environmental Protection’s (FDEP) position on the matter. He noted that if the City Commission is contemplating the sale, then the GRU Authority holds the jurisdiction to authorize it. Mr. Perry clarified that the Board is being asked to approve a motion authorizing the CEO or a designated representative to initiate a competitive process for the potential sale of the Cross Creek asset. He emphasized that GRU will return to the Board for final approval once bids have been received. Public Comment: Chuck Ross, Donald Sheppard Vice Chair Haslam addressed concerns raised during public comment, referencing HB 1645’s directive that the Authority must act in the best interest of the utility. He noted that this issue has been thoroughly discussed. CEO Bielarski further elaborated on points raised by Mr. 5  Ross, providing additional insight into the rationale and implications of the proposed sale. Moved by Jack Jacobs Seconded by Robert Skinner Recommendation: The GRU Authority authorize the CEO or designee, to initiate and conduct a competitive process for the potential sale of the CCMHP water and wastewater systems, subject to legal review and approval as to form and legality. Approved as Recommended N. RESOLUTIONS (Roll Call Required) O. DIRECTOR COMMENTS Chair Lawson reminded all Board Directors to collect the CEO performance evaluation form prior to departing the meeting. P. ADJOURNMENT Adjourned at 7:10pm _________________________ Kunti Nesbitt, GRUA Staff Liaison 6