Lane Electric - A Touchstone Energy Cooperative

05-01-17

Minutes of the Board of Directors’ Regular Meeting

May 01, 2017

 

The Lane Electric Cooperative, Inc. (LEC) Board of Directors convened its regular board meeting on May 01, 2017 at the LEC corporate office at 787 Bailey Hill Road in Eugene Oregon.

 

Call to Order

President Christopher B. Seubert called to order the LEC Board regular monthly meeting around 9:00 am with a quorum present. Directors present were: Vice-President J. Ingrid Kessler, Secretary Hugh Buermann, Treasurer Susan Knudsen Obermeyer and directors Jack Billings, Kathy Keable, and Jerry Shorey.

 

Also present at different times in the meeting were: Charles N. Fadeley, LEC attorney (arrived at 9:00 am); General Manager, Matt Michel; Tony Toncray, Manager of Engineering & Operations; Dave D’Avanzo, Manager of Member & Regional Affairs; Debi Wilson, Manager of Office & Staff Services; Cynthia Scoble, Todd True, Earth Justice; and Fred Huette, NW Energy Coalition.

 

Communications/Executive Assistant Brenda Everts acted as recording secretary.

 

Member Input

None

 

Approval of Agenda

President Seubert asked if there were additions or amendments to the agenda. President Seubert declared the agenda approved as presented.

 

Approval of Minutes

President Seubert asked if there were additions or corrections to the March 27, 2017 board meeting minutes.  President Seubert declared the March 27, 2017 board meeting minutes approved as presented. 

 

Safety Report

Manager Toncray reported on the March Inside and Outside Safety Meeting Minutes. Discussion occurred. He presented the safety graphs and noted 293 days without a workplace accident. He further reported on any monthly personal injuries and vehicle accidents including totals month-to-date. Director Shorey will attend next month’s Office Safety meeting. Director Keable will attend the next month’s Construction & Maintenance Safety meeting.

 

General Managers Report

General Manager Michel reported on: PNGC and BPA rates matters; PPC matters; Policy 401 expenditures; pre-pay; net metering; marijuana loads and staff responses; economic development activity; Apprentice lineman Curt Edwards advancing to Step 4 hot work; and upcoming events.

 

Executive Session

The directors along with General Manager Michel and Attorney Fadeley entered executive session.

The Board convened regular session.

 

 

Financial Report

Manager of Office & Staff Services, Debi Wilson, along with Controller Cynthia Scoble reported on LEC’s financial condition for the period ending March 2017. Discussion occurred.

 

Manager Wilson also presented a resolution authorizing the retirement of the 2014 & 2015 capital credits.  Upon a motion made and properly seconded, the Board adopted Resolution 1-17 authorizing the retirement of outstanding 2014 and 2015 capital credits as presented in the board packet.

 

Manager Wilson then presented the financial outlook for the remaining fiscal year and several rate structure options for consideration. After discussion, the Board directed staff to develop rate structure options with a focus on optimal equity-to-assets ratio levels to be reviewed at a May 24th work session

 

Manager Wilson presented the E-Series rate structure for members who have transitioned from Emerald PUD to Lane Electric due to Emerald PUD’s rate restructuring.  Upon a motion made and properly seconded, the Board adopted the rate schedules applicable to certain Lane Electric Cooperative service transfers from Emerald PUD as presented in the board packet and effective with bills rendered on and after June 1, 2017.

 

Controller Scoble reviewed the Cooperative’s IRS Form 990 for the Board’s approval prior to filing the return.  Upon a motion made and properly seconded, the Board accepted the 2016 tax return Form 990 for Lane Electric Cooperative and directed the Cooperative’s general manager to timely sign and file the tax return.

 

Guest Speakers

Salmon & Power, Todd True, Earth Justice; Fred Huette, NW Energy Coalition presented information on efforts to encourage the removal of the four lower Snake River dams and renewable energy’s availability to provide replacement power for those dams. Discussion occurred.

 

Policy Review

General Manager Michel presented Policy 104 (Board of Directors / General Manager Relationship) for review. Discussion occurred. Upon motion made and seconded, the Board adopted Policy 104 (Board of Directors / General Manager Relationship) as amended in the board packet.

 

General Manager Michel presented Policy 105 (Board of Directors / Attorney Relationship). Upon motion made and seconded, the Board adopted Policy 105 (Board of Directors / Attorney Relationship) as presented in the board packet. 

 

Reports

Annual/District Meeting Committee: Committee Chair Kathy Keable facilitated a check-in on how the first District Meeting went and asked for suggestions.  Discussion occurred.

 

ORECA: None

 

Director Reports: Directors offered comments on their recent activities.

 

Donations

President Seubert presented the following donations for consideration:

  • NRECA International Foundation
  • Northwest Youth Corps
  • Lane Pamona Grange
  • CoBank Sharing Success Program

 

Following discussion, the donation request for the NRECA International Foundation was tabled for development of a statewide effort.

 

Motion made and seconded to donate $400 to the Northwest Youth Corps.

 

Motion made and seconded to donate $125 to the Lane Pomona Grange.

 

Motion made and seconded to match $5,000 for the CoBank Sharing Success Program.

 

Appointments

President Seubert called for action on a National Cooperative Services Corporation (NCSC) 2017 voting delegate. Upon motion made and seconded, the Board appointed Director Billings as Lane Electric’s 2017 voting delegate for National Cooperative Services Corporation (NCSC).

President Seubert called for action on an Energy Northwest Participant’s Review Board 2017 voting delegate.  Following discussion, Attorney Fadeley advised Lane Electric take no action.

Agenda Topics for May 30, 2017

President Seubert reviewed next month’s agenda items.

Travel Check-In: Brenda Everts gave a travel and training update.

 

Action Review

General Manager Michel reviewed Board actions: approval of agenda, approval of minutes; Director Shorey to attend the Inside safety meeting, Director Keable to attend the Outside safety meeting; adoption of Resolution 1-17 retiring capital credits for fiscal years 2014 & 2015; set May 24th 9AM to 11:30AM for a rate making work session focusing on maintaining an optimal equity-to-assets ratio; adoption of E-Series rate schedules for members transferred from Emerald PUD to Lane Electric Co-op; accepted the 2016 IRS Form 990 for Lane Electric and directed the General Manager to sign and file the return; adoption of Policy 104 (Board of Directors / General Manager Relationship) as amended; adoption of Policy 107 (Board of Directors / Attorney Relationship) as presented; tabled a donation request from NRECA International Foundation to await statewide action; donated $400 to Northwest Youth Corps; donated $125 the Lane Pomona Grange; donated $5,000 to match a donation from CoBank’s Sharing Success Program; appointed Director Billings as 2017 NCSC voting delegate.

 

Adjournment

Being no further business to come before the Board, Presid