Lane Electric - A Touchstone Energy Cooperative

2013 July

 

Minutes of the Board of Directors’ Meeting

Lane Electric Cooperative, Inc.

July 22, 2013

 

 

            The regular monthly meeting of the Board of Directors of Lane Electric Cooperative Inc. was called to order by President Jeri Nelson at 11:00 AM on Monday, July 22, 2013, at the Cooperative’s office at 787 Bailey Hill Rd, Eugene, Oregon.   Directors present were Christopher B. Seubert, Vice-President; Patricia C. Dymock, Secretary; Charles J. Leighter, Treasurer; and directors, Charles E. Bangle, Loy M. Sparks and James W. Hill. Also present were Charles N. Fadeley, Cooperative’s attorney; Rick Crinklaw, General Manager; Dave D’Avanzo, Manager of Member Services; Debi Wilson, Manager of Office & Staff Services;  Tony Toncray, Manager of Construction & Maintenance; Doug Stockdale, Manager of Engineering Services; and Brenda Everts, Executive Secretary, who acted as recording secretary. 

Member Input

Mr. Jack Billings, Central district member, was present to observe the meeting.  Five members representing the “Forest Land Dwellers” were present to observe the “Fox Hollow Substation Vegetation Management Plan Update”; Chris Berner, Lynn Bowers, Debra Sweet, Dick Lamster and Mary Milo. 

 

Approval of the Agenda

President Nelson asked if there were additions or amendments to the agenda. There was a request to move the “Fox Hollow Substation Management Plan Update” earlier in the agenda to directly follow the approval of the minutes.  Hearing no objections, President Nelson declared the agenda approved as amended.

 

Approval of Minutes

President Nelson asked if there were any additions or corrections to the minutes of the regular board meeting held on June 24, 2013. Hearing none, President Nelson then declared the minutes approved as presented. 

 

Fox Hollow Substation Vegetation Management Plan

 

Mr. Crinklaw reviewed the history between Lane Electric and the Fox Hollow members regarding the use of herbicides to control vegetation at the substation.  He showed several photographs showing the current conditions of the station.  He explained the condition is unacceptable and does not meet minimum standards.  The substation must be restored to at least minimum standards as soon as possible.  Mr. D’Avanzo explained several steps that have been taken in response to the Fox Hollow neighbor’s requests and the activities that have transpired since the previous month’s board meeting.

Reports – Director & Committee

 

·         Director:

 

            Facilities Committee:  Director Seubert gave an update on the facilities renovation.  He also reported on the progress of the repairs following the water damage to the building.

 

 

 

 

·         ORECA Mid-Year meeting: 

 

Directors Bangle, Seubert, Nelson, Dymock, and Sparks gave reports on the ORECA Mid-Year Meeting that was held in Gleneden Beach, July 15-18.

 

·         ORECA Director:

 

            Vice President Seubert, ORECA director, reported on the following items; Legislative Issues, Region 7-9 meeting in Portland, and the completion of the Audit.

 

·         ORECA Government Affairs Committee:

 

Mr. Crinklaw spoke on the following items; Oregon Legislature Adjourned, Pole Maintenance deferral, Carbon Tax Study (SB 306), ORECA Unity, and 2013 ACRE Membership Status.

 

Report – Manager’s

 

·         Thank You Cards:

Cards and thank you letters were shared with the board.

·         Veteran’s Work Experience:

Mr. Crinklaw introduced Ryan Doak and explained he served in the U.S. Army from 2008-2012.  Mr. Doak was deployed to Iraq in 2009 and served in a maintenance unit that included transport of equipment and supplies through combat zones.  He continues to serve in the Oregon National Guard.  Mr. Doak started his six month work experience on July 2. 

·         Biological Opinion (BiOp)/ Fish & Wildlife Status:

Mr. Crinklaw gave an update on the following items:

·         The DRAFT Bi-Op completion date is expected to be Mid-August.

·         The FINAL Bi-Op preparation date is expected to be prepared Mid-December.

·         The filing deadline for remanded Bi-Op to the court is Jan 1, 2014. 

·         The hydro forecast at The Dalles is at 102% and the Grand Coulee is 109%.

·         The progress of the CleanHydro television campaign.

 

·         Regional/Federal Power Issues:

 

Mr. Crinklaw reported on the following issues:

·         BPA’s Administrators Bill Drummond and Anita Decker being suspended from their positions.

·         BPA’s 2014-2015 power and transmission rate case.

·         The Columbia River Treaty.

 

·         PNGC Financial report:

 

Mr. Crinklaw reported on the current monthly and year-to-date financials for PNGC through May.

·         NRECA RS Plan Update:

 

Mr. Crinklaw reported 72 percent participation in the retirement plan pre-payment program resulting in $1.72 billion in additional contributions.  That increased the actuarial funding ratio from 70 percent to 91 percent. Therefore, it is very unlikely there will be a DRC in the years 2013, 2014, or 2015.  Also, there will not be a base billing rate increase for 2014.

·         CFC Financial Management Training:

 

Mr. Crinklaw reported he recently received a list from CFC listing the director training programs.  He asked the board to review them and identify topics they would like presented.  No topics were suggested.

·         CFC Key Ratio Trend Analysis (KRTA):

 

Mr. Crinklaw reported the 2012 KRTA’s were received late last month.  It was suggested to add the analysis to the August board meeting’s agenda.

·         Net-Metering Installation:

 

Mr. Crinklaw reported on the latest residential net-metering installation, a 4.2 KW Solar system installation with a 13 percent capacity factor installed on Hidden Meadows Drive.   That brings the total net-metering participants to 49 residential and two commercial producing 210,584 kWh per year.

 

·         Pre-Pay Program Update:

 

·      Participants = 606

·      Energy Monitoring = 385

 

Mr. Crinklaw mentioned the goal is to have 10 percent participation by 12/31/13.  Currently, the participation rate is 4.9 percent.

·         King Estate Solar Project – Update:

Mr. Crinklaw gave a quarterly review of the King Estate Solar Project.

 

·         EPUD Rate Conversion Option:

 

Mr. Crinklaw reported there were 160 legacy customers eligible to receive the option.  To date there have been 27 that have accepted the option.

 

 

 

·         Salt Creek Tunnel Revenue:

 

Mr. Crinklaw reported the annual payment of $2,634 was received from Midstate Electric Co-op.  The amount represents 10 percent of the revenue collected from the Salt Creek Tunnel area territory transfer agreement.

 

·         Conferences & Meetings:

 

Mr. Crinklaw reported Region VII & IX Meeting will be held in Portland October 15-17.  ORECA is hosting the meeting and the cooperative will be contributing staff support for registration, ambassadors, etc.

 

·         Community Events & Meetings:

Mr. Crinklaw reported the Blackberry Jam Parade is scheduled for 11:00 am on Saturday, July 27.

 

·         Managers Report:

 

            Mr. Crinklaw reported on the following items:

 

·         2013 Director Elections

·         ORECA Mid-Year Meeting

·         Power Plays – by Ted Case

·         Strategic Plan Retreat

·         Directors Transition Plan Retreat

·         Talking Points – AMI History

·         Board of Director and Staff BBQ

·         Mr. Crinklaw invited everyone to his home following the strategic planning session on August 20 for a BBQ dinner.

·         Travel & Meetings Itinerary:

Each director received a copy of Mr. Crinklaw’s travel and meeting itinerary for July and August.  

Attorney Chuck Fadeley arrived for the meeting at 12:00 P.M

 

Policy Review

           

Mr. D’Avanzo, Manager of Member Service reported there were two Policies up for review this month, Policy 201 (Retirement) and Policy 205 (Employment of Relatives).  There were no proposed changes in either policy.  A motion was made and properly seconded to move to renew as presented Policy 201 (Retirement) and Policy 205 (Employee of Relatives).  The motion was approved by unanimous vote.

Strategic Plan Review

 

Mr. D’Avanzo gave the quarterly report and updates on the strategic plan goals and objectives.

Mr. Crinklaw reminded everyone of the upcoming Board/Staff Strategic Planning session August 20-21.  In preparation for the meeting, Mr. Crinklaw distributed a Strategic Planning Preparation Survey to be returned to Tom Hall prior to August 5, 2013. 

 

Donation Request 

 

Relay for Life – A motion was made and seconded to donate $500 to the Relay for Life. The motion was approved by unanimous vote.

Spencer Creek Grange – “Community Assistance Fund” – A motion was made and seconded to donate $500 to the Spencer Creek Grange – “Community Assistance Fund”.  The motion was approved by unanimous vote.

CoBank – “Sharing Success” Matching Grant Program –   A motion was made and seconded to donate $2,500 to the CoBank– “Sharing Success” Matching Grant Program, contingent on CoBank matching the funds. The motion was approved by unanimous vote.

 

Referral of Bylaw Amendments to Members

 

During the June 24 board meeting Attorney Fadeley and Mr. Crinklaw were directed to develop proposed language for several suggested amendments that emphasis protecting the election process and enhancing director qualifications. Upon motion made and properly seconded  Lane Electric Cooperative’s attorney was instructed to prepare the necessary amendments in the Cooperative’s bylaws, as discussed and presented for portions of ARTICLE III, ARTICLE IV, and ARTICLE VI; and that such amendments are to be referred to the Cooperative’s members for approval.  The motion was approved my unanimous vote.

 

Call for Candidates – “Member of the Year Award”

 

Mr. D’Avanzo reported it was time to nominate members for the “Member of the Year Award”.

The deadline to submit candidates will be August 16.  The board will select the recipient at the August 26 board meeting.

 

 

 

 

Financial Report

 

Ms. Scoble, Controller, along with Debi Wilson reported on the financial condition of the Cooperative for the period ending June 2013. 

 

Safety Program Report

 

Toncray, Manager of Construction & Maintenance, reported the Office safety meeting was held July 18 and the topic was “Self Defense”.  The Construction and Maintenance safety meeting will be held July 25.  The topic will be “Gas Safety”.  He also reported on the status of the Employee Safety Program through the end of May, and reported there have been 835 days without a time loss injury. 

 

Agenda Items for August 26

·         Donations

·         Review workers comp renewal proposals

·         Service territory transfer

·         CFC 2012 krta’s

·         Scholarships

Legal report and Executive Session

 

There being no further business to come before the board in open session, the directors along with Mr. Crinklaw and Mr. Fadeley, entered into executive session.

 

Adjournment

 

Meeting adjourned at approximately 3:00 PM.