Lane Electric - A Touchstone Energy Cooperative

08-24-15

Minutes of the Board of Directors’ Regular Meeting
August 24, 2015

The Lane Electric Cooperative, Inc. (LEC) Board of Directors convened its regular board meeting on August 24, 2015 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 Susan Knudsen Obermeyer, Secretary -Treasurer Jack Billings, and directors J. Ingrid Kessler, Jerry Shorey, Kathy Keable, and Hugh Buermann.

Also present at different times in the meeting were: Charles N. Fadeley, LEC attorney (arrived at 9:00 am); Matt Michel, General Manager; Dave D’Avanzo, Manager of Member & Regional Affairs; Debi Wilson, Manager of Office & Staff Services; Cynthia Scoble, Controller; and Andy Cave, IT Coordinator.

Executive Secretary Brenda Everts acted as recording secretary.

Board Corporate Officers Elections
Attorney Fadeley conducted Board officer elections: Chris Seubert, President; J. Ingrid Kessler, Vice President; Jack Billings, Treasurer; and Hugh Buermann, Secretary.

Member Input
There was no member input.

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 July 27, 2015 board meeting minutes. President Seubert declared the July 27, 2015 minutes approved as presented.

President Seubert asked if there were additions or corrections to the August 5, 2015 special board meeting minutes. President Seubert declared the August 5, 2015 minutes approved as presented.

President Seubert asked if there were additions or corrections to the August 10, 2015 special board meeting minutes. President Seubert declared the August 10, 2015 minutes approved as presented.

Safety Program Report
General Manager Matt Michel reported on the July inside Office and outside Construction and Maintenance safety meetings, and the Employee Safety Performance graphs through July.

Financial Report
Controller Cynthia Scoble reported on LEC’s financial condition for the period ending July 2015.

Key Ratio Report
Manager of Office & Staff Services, Debi Wilson gave a detailed report on the Key Ratios.

Policy Review
General Manager Michel presented Policy 305 (Damage to Utility Property) for review. Discussion occurred. Upon motion made and seconded, the Board adopted Policy 305 (Damage to Utility Property) as amended, removing the depreciation credit in the replacement value of damaged utility property.

Workers Compensation Provider
General Manager Michel reported that SAIF has been selected as Lane Electric’s Workers Compensation provider.

Resolution 2-15 (Section 125 plan)
General Manager Michel explained the Section 125 participation deferral limit has increased by $50.00. Following discussion the Board adopted Resolution 2-15: A resolution to Amend the 125 plan to increase the limitation on Health FSA and Limited-Use Health FSA Salary Reduction Contributions.

Reports
President Seubert called for committee reports.

Bylaws Committee Report: None

Elections and Credentials Committee Report: None

Policy Committee Report: None

Annual/District Meeting Committee Report: Manager of Member and Regional Affairs, Dave D’Avanzo, reported on the three area District meetings and the Annual meeting held at the headquarters. The Board provided input.

Director Reports: None

Government Affairs: General Manager Michel reported on the following items: West Oregon’s annual meeting was held Saturday August 22nd, Consumers Power CEO Roman Gillen is a candidate on the CFC ballot, and the Oregon Department of Energy’s Energy Supplier Assessment’s rate increase.

ORECA: President Seubert reported NRECA’s CEO JoAnn Emerson suffered a severe stroke while on vacation in Italy and is still in a medically induced coma.

General Manager: General Manager Michel shared thank-you notes received and reported on: Pre-pay update, budget items over $10,000, dental insurance coverage, Community Solar Garden update, Capital Credit forfeiture, Cosmo’s popcorn/MAP program fundraiser, Columbia River Treaty, Umatilla Electric asking to acquire power outside of the PNGC pool, Northwest RiverPartners – Roll on Columbia effort, PNGC Annual Meeting October 5-6, PPC Washington D.C. rally, Oakridge’s LRAPA compliance issues and LEC’s ductless heat pump program, and several Federal issues.

Strategic Plan Quarterly update
General Manager Michel provided the Board with the quarterly strategic plan update. The Board added the Board of Directors to the tasks under Issue #5 Public Power Activism. Staff will evaluate marketing the Community Solar Garden on a kWh basis.

Information Technology & Cyber Security Review
Information Technology Coordinator Andy Cave reported on Cyber Security risks and what has been put in place to mitigate those risks to Lane Electric.
2016 Budget Process & Board Guidance
Manager of Office & Staff Services, Debi Wilson explained the budgeting process and asked for Board budget input at the next meeting.

Appointment of Voting Delegates
CFC
The Board appointed Director Susan Knudsen Obermeyer to be Lane Electric’s CFC Voting Delegate for calendar year 2015.

Resolution 3-15
The Board adopted Resolution 3-15: A resolution to Designate Matt Michel for Director of Pacific Northwest Generating Cooperative.

PNGC
The Board appointed General Manager Michel with Chris Seubert as Alternate, to be Lane Electric’s PNGC Member Representative for calendar year 2015.

Donation Requests
Lane Electric United Way Campaign Matching Donation Proposal – The Board approved a dollar-for-dollar match of employee donations to the United Way of Lane County.

Dave D’Avanzo explained the CoBank “Sharing Success” Matching Grant Program. This is the third year Lane Electric has applied for CoBank to match the dollar equivalent of the meat donation made to the food banks.

Agenda Items for September 28
President Seubert reviewed next month’s agenda items.

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

Regular Session
Action Review: Board officers elected; Agenda and minutes approved; Policy 305 adopted as amended; Resolution 2-15 (Section 125) adopted; Strategic Plan Issue #5 amended to include Board with General Manager for Task Leader; Staff will evaluate and report back on a solar power offering similar to LEC’s Green Choice wind power offering; Directors homework: programs or issues for budget consideration; Matt Michel with Chris Seubert as Alternate appointed to be LEC’s PNGC Member Representative; Resolution 3-15 (PNGC Director Nomination) adopted Matt Michel as nominee; Dollar-for-dollar match by LEC for 2015 United Way campaign employee donations approved.

Meeting Review: Directors offered feedback on the meeting.

Adjournment
Being no further business to come before the Board, President Seubert adjourned the meeting at approximately 4:20 p.m.