BOARD OF PUBLIC UTILITIES - REGULAR SESSION APRIL 16, 2025 ~ 5:30 P.M. LOS ALAMOS COUNTY MUNICIPAL BUILDING COUNCIL CHAMBERS 00:00:07.000 --> 00:00:12.000 Okay. Okay, good evening. 00:00:12.000 --> 00:00:19.000 16th of April 2025. Board of Public Utilities meeting is called to order. 00:00:19.000 --> 00:00:28.000 Thanks, everyone, for coming to participate this evening. In spite of what it looks like, we actually do have a full board here this evening. 00:00:28.000 --> 00:00:36.000 Matt Huebner and Eric Stromberg, both with us online. You do have everybody tonight. 00:00:36.000 --> 00:00:49.000 The first thing we'll do is A little bit of housekeeping. We need to make a statement regarding the closed session that we had two weeks ago. 00:00:49.000 --> 00:00:55.000 Would one of you like to make the statement that's on page six of our agenda doc? 00:00:55.000 --> 00:01:06.000 I'll make the motion excuse me. I move that the Board of Public Utilities approve the following statement for inclusion in the minutes. 00:01:06.000 --> 00:01:14.000 The matters discussed in the closed sessions on April 2nd, 2025 were limited only to those topics specified in the notice of the closed session. 00:01:14.000 --> 00:01:20.000 And no action was taken on any matter during the closed session. 00:01:20.000 --> 00:01:25.000 All right, I'll second. I assume there's no discussion on this. 00:01:25.000 --> 00:01:36.000 And this would be procedural. So all in favor I see all five. Motion passes five to zero. 00:01:36.000 --> 00:01:47.000 Then we go to public comment. Where we make the floor available to The folks we work for for items that are not otherwise on our agenda this evening. 00:01:47.000 --> 00:01:55.000 Or items on the consent calendar. If you wish to make public comment, please give your name so we know who to thank. 00:01:55.000 --> 00:02:01.000 And we'll have that for the record also and limit your comments to three minutes. 00:02:01.000 --> 00:02:15.000 Do we have any public comment? We do. 00:02:15.000 --> 00:02:22.000 Thank you for all you do. I'm not happy about the rate increases. 00:02:22.000 --> 00:02:28.000 Well, I'm very glad to have all the services, all the utilities. 00:02:28.000 --> 00:02:35.000 I really am. So what I'm going to talk about tonight, and I can talk about anything, right? 00:02:35.000 --> 00:02:52.000 Utility related. Yes. And not otherwise on our agenda. No, this is for anything is what it says on the agenda. I'll make it utility rated. 00:02:52.000 --> 00:03:01.000 The water from a sewer plant is class A1F fluid. I'm very happy about that. 00:03:01.000 --> 00:03:12.000 And there's a plan to put AstroTurf in instead of using the effluent water. I'm totally against that plan. 00:03:12.000 --> 00:03:20.000 And I'd like to make you aware of the hazards of astroturf AstroTurf is banned in the European Union. 00:03:20.000 --> 00:03:26.000 Because it emits microplastics. Which are in everybody's body now. 00:03:26.000 --> 00:03:46.000 And breast milk and breasts and testicles and liver and kidney And… everywhere and everywhere If you want to dump that over the side of the of the cliff and let them drink it in cochiddy. I'm totally against that. They're forever chemicals. 00:03:46.000 --> 00:03:50.000 Is what's in that thing and they need to be dumped on the ground. 00:03:50.000 --> 00:04:03.000 And the grass. Absorbs co2 use photosensus, turn CO2 into vegetation for that animals to eat. 00:04:03.000 --> 00:04:17.000 And for we're blessed here to have all that well water and not have to drink recycled water. 00:04:17.000 --> 00:04:24.000 Astroturf doesn't have a cradle to grave solution. It doesn't there. There's some stuff out there. 00:04:24.000 --> 00:04:41.000 But they don't know how to recycle it. I don't know if you saw the AstroTurf piled up at the ski hill when they're filming a movie up there They weighed 10 times what they started out with. They covered the first little cannon to the right in AstroTurf for filming. 00:04:41.000 --> 00:04:53.000 It got all muddy. And it stayed there for three months and it never dried out. I don't even know how they moved it. 00:04:53.000 --> 00:05:06.000 That's a turf made out of crude oil. I'm surprised that anybody would want that in this town. 00:05:06.000 --> 00:05:12.000 My little countdown thing not showing 13 seconds I thank you for your time. 00:05:12.000 --> 00:05:17.000 I don't even know how many square yards are going to be put down. Does anybody know that here? 00:05:17.000 --> 00:05:26.000 Connie paid $305,000 for the study. Thank you. Thank you. 00:05:26.000 --> 00:05:35.000 See, do we have any other public comment in chambers? I don't see any. Do we have any online? 00:05:35.000 --> 00:05:43.000 Thank you, Chair Gibson. For members of the public who are joining us tonight on Zoom, when Chair Gibson calls for public comment like he just did. 00:05:43.000 --> 00:05:50.000 Please use the raise hand function if you'd like to speak. And if you're participating by phone, you can press star nine to raise your hand. 00:05:50.000 --> 00:05:58.000 Does anybody want to make public comment? I see no hands raised. Thank you. 00:05:58.000 --> 00:06:11.000 All right. We'll move to approval of the agenda. Do we have a motion to approve the agenda tonight? 00:06:11.000 --> 00:06:17.000 I move that we approve tonight's agenda as presented. Thank you. I second. 00:06:17.000 --> 00:06:22.000 Thank you. Comment or discussion. 00:06:22.000 --> 00:06:30.000 If not, all in favor again His hand, I see five Motion passes five to zero. 00:06:30.000 --> 00:06:39.000 We move on to the consent agenda. Someone like to make the consent motion. 00:06:39.000 --> 00:06:53.000 I move that the Board of Public Utilities approve the items on the consent agenda as presented and that the motions in the staff reports be included in the minutes for the record. 00:06:53.000 --> 00:06:58.000 Thank you. I'll second. 00:06:58.000 --> 00:07:05.000 Any discussion? If not, Kathy, would you call the roll, please? 00:07:05.000 --> 00:07:10.000 Remember Hollings work? Yes. Member Nochley? Yes. Member Stromberg? Member Hefner? 00:07:10.000 --> 00:07:13.000 Yes. 00:07:13.000 --> 00:07:14.000 And Member Gibson. Yes. Thank you. Motion passes five to zero. 00:07:14.000 --> 00:07:19.000 Yes. 00:07:19.000 --> 00:07:28.000 That moves us to the first to a presentation NMED on the nature extent and remediation of the chromium plume. 00:07:28.000 --> 00:07:35.000 And we'll start with Philo on that one. Yes, Chair, members of the board. 00:07:35.000 --> 00:07:49.000 I have here tonight Michael Peterson. He's a hydrogeologist with ned And also online is also online Caitlin Martinez, who will be available to answer questions at the end of the presentation. 00:07:49.000 --> 00:07:56.000 So invite Mike to make his presentation and We'll go from there. So thank you. 00:07:56.000 --> 00:08:07.000 For being here tonight. Yeah, thank you. Thank you to the board and everybody here and online As he said, my name is Mike Peterson. I'm a hydrogeologist. 00:08:07.000 --> 00:08:20.000 With the Hazardous Waste Bureau. And we oversee the cleanup of lanel mental corrective actions waste. 00:08:20.000 --> 00:08:33.000 Tonight I'm just going to… I'm sure you guys have heard most of us in here have have somewhat of an understanding on the chromium source, but I will spend a couple slides on that for those who aren't aware. 00:08:33.000 --> 00:08:48.000 We're going to go over some… some updates on what we call the interim measures, which is a pump and treat system And we're going to be looking at upcoming monitoring well priorities and areas of uncertainty. 00:08:48.000 --> 00:09:12.000 Hopefully some basic next steps. And then we've also One of our big updates this year is that we updated the compliance order on consent which is the document that guides NMED and LANL on the cleanup efforts. 00:09:12.000 --> 00:09:33.000 So just really quick, we're going to go over the chromium source like I talked about that started up at the TA3 power plant up um And from 19… mid-1950s to mid-1970s, they were using uh potassium dichromate to control corrosion. 00:09:33.000 --> 00:09:38.000 Within the power plant and at the end of the process it would be blown down to the canyon. 00:09:38.000 --> 00:09:49.000 And that's We ended up finding it down in the regional aquifer back about 2005. 00:09:49.000 --> 00:09:59.000 A couple of areas of interest on this map obviously The red dot, that's the main campus of the lab, as I call it. 00:09:59.000 --> 00:10:21.000 Los Alamos town site is to the north. The area that Lionel owns is that light blue color And then the Pueblo de San Eldefonso owns the yellow color And you can see that there's a portion of the plume that's very close to this Pueblo del Sana. 00:10:21.000 --> 00:10:40.000 Pueblo, the center of the frontal boundary. This is a geologic cross-section view of the of the transport so we started up here at the chromium at the source towers It ran down the Sandia Canyon bottom. 00:10:40.000 --> 00:10:52.000 Ended up percolating through the uh through either cracks or pores in and okay the pink up here is the uh is the bandolier tough? 00:10:52.000 --> 00:10:59.000 The checkerboard kind of things that we're looking at, those are going to be basalts and day sites. 00:10:59.000 --> 00:11:09.000 And then this conglomerate looking thing further lower is the Poulier formation where the water table is. 00:11:09.000 --> 00:11:25.000 And then there's deeper sediments as well. So we had it moving along the canyon bottom found an infiltration source and then it wound up in the regional in the regional aquifer. 00:11:25.000 --> 00:11:37.000 So since last update, it was An independent technical review was requested by the The RAD has committee. 00:11:37.000 --> 00:11:48.000 They held a meeting here and it was requested due to an impasse because NMED had ordered the IM system shut down due to unfavorable responses. 00:11:48.000 --> 00:12:06.000 We were finding contamination at different depths than expected. We didn't know if we didn't know if we theorized that that was because of the injection And it was pushing the plume around. 00:12:06.000 --> 00:12:13.000 So, so… We were at an impasse between NMED and DOE. 00:12:13.000 --> 00:12:39.000 And it was recommended we reach out to an independent technical review That did end up happening this year. So we are That was started at the beginning of the summer And then we received… NMED and EMLA received draft reports for factual accuracies 00:12:39.000 --> 00:13:08.000 And it was before the September 30th date, but I think it was earlier in september One of the recommendations in the initial The initial report from irt And ITR, IRT, everybody that's on it kind of calls it both. So if I crosswalk that just follow me on it independent review team, independent technical review 00:13:08.000 --> 00:13:21.000 So what was recommended was that we need to turn it back on to do something to predict protects an eye to protect to keep the plume somewhat in place. 00:13:21.000 --> 00:13:32.000 So what was agreed upon is that And there's a map coming up on the next slide, so I'll point these out. 00:13:32.000 --> 00:13:38.000 Extraction wells, corrects two, CREX 4, and CREX 5 would be operated. 00:13:38.000 --> 00:13:43.000 And then it would be pumped through, ran through the treatment plant. 00:13:43.000 --> 00:13:53.000 And then injected into Wells CRIN 3, 4, and 5. 00:13:53.000 --> 00:14:12.000 Sorry, I just can't read that lower dot right there. And then, okay. The other one is that the other major update is that the compliance order on consent was updated, finalized also on September 24th. So we were pretty busy in September. 00:14:12.000 --> 00:14:19.000 There's a slide that gets into the the consent order stuff later here too. 00:14:19.000 --> 00:14:32.000 Okay, so here's a map of the plume. We have a bunch of monitoring wells We also have in the centroid of the plume a series of extraction wells. 00:14:32.000 --> 00:14:37.000 And then on the south and eastern portion of the plume. 00:14:37.000 --> 00:14:47.000 We have injection wells. So as I mentioned, it was wells Woods, Cricks. 00:14:47.000 --> 00:14:59.000 Crick's two, four, and five. Which basically go kind of along here Along that line. 00:14:59.000 --> 00:15:07.000 And those are good. Those are some of the wells that have the highest concentrations. So we get the maximum efficiency out of those. 00:15:07.000 --> 00:15:22.000 To turn those on and then we are injecting in these southern wells here cringe three four and five We're leaving CRINS 1 and 2 out of it because we found our unfavorable responses The purple dot just kind of dot 00:15:22.000 --> 00:15:39.000 In the in that little oval. That's our monitoring well our 45 We ended up finding a spike in concentration in the lower screens Basically due to the injection process. 00:15:39.000 --> 00:15:46.000 And um and that rising concentration was not expected at that rate. 00:15:46.000 --> 00:15:58.000 So we are. Keeping the R45 area clear as we move forward with groundwater qualities, groundwater qualities. 00:15:58.000 --> 00:16:02.000 Bureau's corrective action plan sorry 00:16:02.000 --> 00:16:14.000 The green dashed line is where the contamination is above the standard of 50 parts per billion In the upper 50 feet of the aquifer? 00:16:14.000 --> 00:16:24.000 And the blue dashed line is where the contamination is greater than the standard in portions of the aquifer 50 feet or deeper. 00:16:24.000 --> 00:16:32.000 We're showing this because one of the original assumptions of the plume is that Everything was in the upper 50 feet. 00:16:32.000 --> 00:16:40.000 And we're really starting to discover that things are starting to move a little bit deeper than originally hoped for. 00:16:40.000 --> 00:16:48.000 Could you point out in your cross section, where is that 50 foot level? You had a couple of slides back. You had the geologic cross-section. 00:16:48.000 --> 00:16:58.000 I mean, it's a rough cross-section. You know, it's with this, it would probably be 00:16:58.000 --> 00:17:09.000 Looking at the scale here you know trying to find 50 feet when we're okay you know we're looking at 2000 feet in that section. 00:17:09.000 --> 00:17:15.000 It would be a pretty minimal amount. It was kind of Expected, you know. 00:17:15.000 --> 00:17:24.000 Described as kind of a pancake that it was just kind of floating on the top like a like a elen apple if you will. 00:17:24.000 --> 00:17:33.000 But the plume itself is sort of there right at the regional water table dash line. Is that kind of where it's floating, living? Yeah. Yeah. 00:17:33.000 --> 00:17:45.000 Yeah. And it seems to be being pulled a little bit down or moving down due to gravity or other flows yeah 00:17:45.000 --> 00:18:00.000 Okay, so data gap wells. Before we can proceed with corrective measures and put in a final system, we need to know. We still don't understand where all of the contamination is. 00:18:00.000 --> 00:18:09.000 We have this, I'm calling it a, I like to call it a nose this that the dark blue lines. 00:18:09.000 --> 00:18:26.000 It's kind of it kind of almost looks like you know it's not just a standard plume. It's being pulled out a little bit to the north So what we are looking at And I'll try to go through these in more of the priority as we're going to be drilling them. 00:18:26.000 --> 00:18:31.000 The first well that's closest to us right now is simmer three. 00:18:31.000 --> 00:18:48.000 Which is another well on Pueblo del defono lands And that's to help us define Another possible source coming in here and also to help us understand if there's any contamination on Pueblo lands. 00:18:48.000 --> 00:19:08.000 Interesting thing to consider is that Pueblo is not They don't use New Mexico water quality Water Quality Commission control standards they want water as close to background as possible. 00:19:08.000 --> 00:19:12.000 Background in this case is about seven and a half parts per billion. 00:19:12.000 --> 00:19:28.000 Rather than our standard of 50. Beyond that, the next two wells and i think there's a little bit of wiggle room which one goes in first, but it's going to be either R79 or R80. 00:19:28.000 --> 00:19:38.000 Those are um R79, that's the drill pad that you guys see right across from the shooting range on the truck route. 00:19:38.000 --> 00:19:46.000 And then R80 is going to be down gradient of R45, which I talked about earlier. 00:19:46.000 --> 00:19:54.000 We want to see if things moved further down. And if those trends continue further off. 00:19:54.000 --> 00:20:06.000 R79 and R80 are part of the Groundwater Quality Bureau's Corrective Action Plan due to the unfavorable responses found at R45. 00:20:06.000 --> 00:20:14.000 So those are the highest priority next wells. One other thing I meant to mention with simmer 3. 00:20:14.000 --> 00:20:20.000 The state is providing courtesy reviews, even though we don't regulate those lands. 00:20:20.000 --> 00:20:31.000 Pueblo has requested that we perform a standard review for drilling practices Both us in New Mexico Office of the State Engineer. 00:20:31.000 --> 00:20:46.000 So we are going to be reviewing those plans and if we haven't already to make sure that we have… that the well going in will fulfill the purposes that we're looking for. 00:20:46.000 --> 00:21:04.000 Beyond that, we need to get our 73 redrill. Redrilled. We talked last year about R-73 and having to plug and abandon it That's an unfortunate data point to lose for the time being. 00:21:04.000 --> 00:21:12.000 So we want to get on that. And then R77 That's going to be a deeper well in the centroid of the plume. 00:21:12.000 --> 00:21:34.000 Very well characterized The Poulier formation and maybe some of the permissible spaces, but we haven't really been able to dive into the chimeda formation, which is a deeper formation And actually probably produces the majority of water for the PM well fields. 00:21:34.000 --> 00:21:43.000 So we need to get more monitoring wells that actually penetrate and are successfully completed in the Chumida formation. 00:21:43.000 --> 00:21:49.000 Beyond this, as we go through and we analyze this data. 00:21:49.000 --> 00:22:01.000 From these new wills we may just determined that, you know, hey, we got five new wells But we still don't have enough information. 00:22:01.000 --> 00:22:05.000 Shows us, you know, this is we don't know yet. 00:22:05.000 --> 00:22:12.000 But we may need more wells before we can move to final remedy. 00:22:12.000 --> 00:22:23.000 Okay. Consent order modifications this is Not so much in my wheelhouse, but I'll do my best here. 00:22:23.000 --> 00:22:40.000 So as I said earlier, this is the document that regulates the RCRA cleanup requirements for corrective action activities at landl Including remediation of the chromium plume And RDX plume and plenty of other things we're looking at. 00:22:40.000 --> 00:22:53.000 One of the big things that got added into it is if we're having a technical dispute and MED and DOE, Like we were with that impasse. 00:22:53.000 --> 00:23:00.000 They've outlined a new process to reaching a resolution much quicker than we were dealing with earlier. 00:23:00.000 --> 00:23:05.000 And that's basically going to be kind of similar to the IRT. 00:23:05.000 --> 00:23:15.000 Where we are going to bring in So the old The old way was basically reaching agreement or going to court. 00:23:15.000 --> 00:23:20.000 And going through litigation. And nothing moves faster. 00:23:20.000 --> 00:23:28.000 So we moved into a different model and there's a nicer process. 00:23:28.000 --> 00:23:35.000 So there's technical disputes and non-technical disputes. I'm only talking to technical disputes at the moment. 00:23:35.000 --> 00:23:48.000 So if we have another technical dispute. Then we are going we're going to first attempt resolution between ourselves. 00:23:48.000 --> 00:23:55.000 At technical levels and at managerial levels. If the negotiations are not successful. 00:23:55.000 --> 00:24:06.000 Then we are going to enter into to help to bring an expert or a panel of experts in to help us resolve that technical dispute. 00:24:06.000 --> 00:24:12.000 The experts similar to the IRT will be jointly agreed upon by both parties. 00:24:12.000 --> 00:24:15.000 The cost will be shared. I think that might be a little different. 00:24:15.000 --> 00:24:32.000 Both parties will provide the expert with everything that we have available that can help them understand what we're, you know, what our positions are Records, maps, documents. 00:24:32.000 --> 00:24:44.000 And the people who know this stuff, you know, make them available to the to the experts so that they can explain their 00:24:44.000 --> 00:25:01.000 The expert's going to issue a draft report and then we're similar to IRT, we will have a chance to do a factual review and make sure that what the expert understood and is recommending follows, you know, makes sense. 00:25:01.000 --> 00:25:08.000 And then at the end of it, this decision is binding to the parties. 00:25:08.000 --> 00:25:32.000 Proof of concept. This is where we use the irt as a positive example. We jointly selected a panel of experts. I think it was on the order of like 17 experts in various fields of hydrology and mapping, I mean, I'm sorry to the panel because there was some very 00:25:32.000 --> 00:25:43.000 Very skilled people on that. But we had a wide wide range of expertise is on that panel. 00:25:43.000 --> 00:26:06.000 And we so we had a joint jointly determine the scoping questions The information was provided to the panel by both NMED and DOE and their subcontractors. 00:26:06.000 --> 00:26:25.000 And then, sorry about that. So as we're going through this, you know, with the IRT, we've got a lot of information out of there they provided a ton of of a ton of review and a lot of it is actually is very good 00:26:25.000 --> 00:26:38.000 Basically, this indicates the technical disputes can be resolved using expert recommendations and helping us past those impasses. 00:26:38.000 --> 00:26:45.000 I should have put that one back with the… the well slides. 00:26:45.000 --> 00:27:07.000 I went over most of this simmer three that's going to inform potential contamination on prevalidus and aldefonso R79 and R80. One thing that you know, I think is of note here is that we've only had one successful monitoring well completion since January or so of 2022. 00:27:07.000 --> 00:27:20.000 When R-71 and R-72 were completed. So we do want to see that see an acceleration in the drilling schedule. 00:27:20.000 --> 00:27:37.000 So that we can move towards and as we can move towards Sooner that we have this poem characterized the nature and extent understanding how far the contamination is spread how much and how deep and where is it all that kind of stuff. 00:27:37.000 --> 00:27:56.000 Once we understand that and have a then we can move to a better final remedy with a stronger treatment system that can really attack this so to date you know we've there was about a estimated 160,000 pounds of potassium dichromate that went down canyon 00:27:56.000 --> 00:28:03.000 To date, the IM has removed about 2,000 pounds of that. 00:28:03.000 --> 00:28:13.000 So 1%. And yeah, we need to keep moving. 00:28:13.000 --> 00:28:24.000 Yeah. And then, like we said, additional wells may be required if we still determine that nature ended extent is not defined with these new walls. 00:28:24.000 --> 00:28:36.000 Okay. Now we're kind of moving back over to the IRT here um we're This is incorporating the key recommendations. As I understand it. 00:28:36.000 --> 00:28:55.000 The IRT presented to the county. I don't know if it was this board um but Back in, I think, either January or February of this The IRT came and did a presentation there's obviously going to be a lot more information 00:28:55.000 --> 00:29:09.000 In that presentation. But… The thing that we're doing right now is we're negotiating there's a there was a a great deal of recommendations at the IRT. 00:29:09.000 --> 00:29:26.000 Gave us. So we're negotiating with DOT to determine deadlines on the on One of the things is the interim measures work plan How do we approve the document that they write that says, how are we going to operate this I am? 00:29:26.000 --> 00:29:33.000 How are we going to do it effectively to remove as much chromium And keep the plume in place. 00:29:33.000 --> 00:29:41.000 Before we reach that area where that step where we can move to a final remedy. 00:29:41.000 --> 00:29:47.000 So things that we're looking at is an alternative injection location. 00:29:47.000 --> 00:29:56.000 To increase the treatment capacity. 00:29:56.000 --> 00:30:04.000 I'll get into that a little bit more in a touch. Another thing we're looking at is a lot of comments were made on the model. 00:30:04.000 --> 00:30:16.000 Both by NMED and by public because it's a uh it is a open source code but it's not the most standard code to use for a groundwater modeling program. 00:30:16.000 --> 00:30:38.000 And it has some limitations. Fehm is a DOE derived. It stands for finite element heat and mass transfer And what the IRT recommended is that we move over to Modflow. Modflow is the geologic standard of modeling and what that means 00:30:38.000 --> 00:30:56.000 Is that we as the state can take the model And run it independently or contract independently modelers to run it independently and test sensitivities and test correctness. And so can members of public. 00:30:56.000 --> 00:31:06.000 With FEHM, it's It's not like it's locked, but it's not a commonly used code. So it makes it much less accessible. 00:31:06.000 --> 00:31:28.000 Things that we also need to Include in ModFlow is to further parameterize aquifer properties like hydraulic conductivity the anisotropy of that and storage. So think about Across from Tatavid gas station. That's the Pouye Formation. That's our water table. 00:31:28.000 --> 00:31:35.000 Right across from it. On the ground or on the lower level You got a bunch of cobalts and conglomerate. 00:31:35.000 --> 00:31:42.000 Just above that, you have a 10 plus foot thick unit of very, very fine sediments. 00:31:42.000 --> 00:31:53.000 So the anisotropy, it's all the same formation But the changes in hydraulic properties and how the water will move through those formations is quite different. 00:31:53.000 --> 00:31:58.000 So if we put one value in. For the PUI ANC. 00:31:58.000 --> 00:32:03.000 This is it you know it's just averaged. We're missing a lot of information. 00:32:03.000 --> 00:32:08.000 So we want to increase the anisotropy drive in that model. 00:32:08.000 --> 00:32:19.000 Another thing we want to do is incorporate local pumping. The FEHM model It has the PM wealth. 00:32:19.000 --> 00:32:34.000 But it doesn't show they're pumping. You know, imagine what three or four wells pumping at at least a thousand gallons per minute a piece is going to do to a water table, is going to do to a water system. 00:32:34.000 --> 00:32:40.000 It's going to pull it towards the well. It's going to change the direction of floats. 00:32:40.000 --> 00:32:47.000 So adding that in is a very, very important step for us. 00:32:47.000 --> 00:33:00.000 And then also we need to determine the location Look, we need to figure out where more of that chromium is. We know we've got a ton of it in the aquifer. 00:33:00.000 --> 00:33:09.000 That's probably not where it all is. We probably got a bunch in the Vedo zone, in the unsaturated zone between the water table and the ground surface. 00:33:09.000 --> 00:33:21.000 So we need to do further characterization and or at least help use some modeling to kind of help figure out where some of those higher fluxes could be. 00:33:21.000 --> 00:33:27.000 Um. So that's, you know. 00:33:27.000 --> 00:33:34.000 Beyond that, we need to still define lateral and vertical extent of the plume. That's the data gap wholes we're discussing. 00:33:34.000 --> 00:33:46.000 And the beta zone characterization kind of coming around back to that flux 00:33:46.000 --> 00:33:50.000 That just covers the… 00:33:50.000 --> 00:34:13.000 Okay. And then the Appendix b that is For the compliance order, Appendix B is the document or a table that describes the projects and gives them deadlines. And if they become a milestone then it has to be met. The requirements of that project have to be met. 00:34:13.000 --> 00:34:18.000 By an agreed upon deadline. If they don't, then we can stipulate penalties. 00:34:18.000 --> 00:34:39.000 Beyond that, if we go more than three years out. Then we go to targets which are hopes but you know that's a little bit further back in the little out in the future, and we can't be sure what exactly will be happening then, but that can be kind of the overall plan. 00:34:39.000 --> 00:34:48.000 And that is due to us by the end of July of this year. 00:34:48.000 --> 00:35:02.000 Discussing alternate injection locations. As I said, IoT recommended that iot that. 00:35:02.000 --> 00:35:11.000 Irt recommendations actually evaluated five different disposal options for for for injecting the treated water. 00:35:11.000 --> 00:35:24.000 From the chromium plant. One option is the doe constructs their own deep well purely for the sake of injection of the treated water. 00:35:24.000 --> 00:35:33.000 And this all relates all relates to water rights and you guys probably, I'm sure Philo has a better understanding of this than I do. 00:35:33.000 --> 00:35:43.000 But as I understand it, you know, DOE and Los Alamos County water rights are are connected. 00:35:43.000 --> 00:35:51.000 And the amount of water that's being used for the chromium plume may or may not be receiving the return flows. 00:35:51.000 --> 00:35:58.000 So if we can get an injection location to the deep groundwater. 00:35:58.000 --> 00:36:18.000 Then those return to flow, you can get that return flow credit So DOE can construct their own weld that's deep, whether it's in the deep Shamita or even deeper than that you know we can look into that. It's a recommendation from the committee. 00:36:18.000 --> 00:36:25.000 Another option is repurposing well PM3 as a high capacity injection location. 00:36:25.000 --> 00:36:44.000 Pm3 has been shut down since my Somebody's former colleague presented to you in October of 2021 and pointed out that leading nose of the plume that darker blue or the darker blue the blue oval that I was pointing out on the map earlier. 00:36:44.000 --> 00:36:53.000 That we were seeing things moving at depth in areas where we weren't expecting to see them. 00:36:53.000 --> 00:37:12.000 So PM and there's plenty of Yeah, all of these there's all of these the science of it, right? And then there's the politics of it. And the politics in my experience is much more complicated than the science so uh 00:37:12.000 --> 00:37:19.000 I can definitely recommend something that I'm sure would work, but there's plenty of reasons why it wouldn't. 00:37:19.000 --> 00:37:30.000 So another one is surface water disposal where we could just Basically, the treated water could be basically put into a water course into the canyon. 00:37:30.000 --> 00:37:36.000 And it would run down maybe to the real maybe it would percolate through or dry up before then. 00:37:36.000 --> 00:37:45.000 One other option is land application, large sprinklers spreading the water out over a large area. 00:37:45.000 --> 00:38:03.000 We also could do vadostone injection wells where it's a large series of injection wells that inject into the they do probably it would probably be the bandolier tough And then spreading basin. 00:38:03.000 --> 00:38:11.000 Just a large basin with an open bottom or a porous bottom where the water could infiltrate through. 00:38:11.000 --> 00:38:16.000 I will say with these bottom four from surface water disposal to spreading basin. 00:38:16.000 --> 00:38:23.000 Those would be surface flows and I don't think they would meet the return credit option. 00:38:23.000 --> 00:38:34.000 I'm not an expert on that you'd have to talked with OSC to make sure that it is most likely that that's the case. 00:38:34.000 --> 00:38:41.000 And with that, that is… I reached the questions part of the slide. 00:38:41.000 --> 00:38:47.000 Thank you very much for the presentation. Questions from the board. 00:38:47.000 --> 00:38:52.000 Charlie. Yeah, I have a couple of questions. Thanks again for the presentation. I found that super useful. 00:38:52.000 --> 00:39:07.000 Let's see, when did the interim measure get restarted? Was it in September of last year? It was, yes, September 30th of 2024. And it's been going since then. Yes, that's that partial restart. Not all five wells. Okay. Yeah. 00:39:07.000 --> 00:39:26.000 Second, just simple question. What's a VADOS zone? I don't know. So it's basically the dry zone between the saturated water table and the ground surface so for us it's about a thousand foot thick okay all right thanks In terms of 00:39:26.000 --> 00:39:38.000 The priorities for getting stuff done, you clearly laid out the well priorities, right? So I got that but I don't know. I would imagine drilling wells is expensive and time consuming, right? 00:39:38.000 --> 00:39:48.000 How much money and how long? Basic questions, right? Yeah, it depends. 00:39:48.000 --> 00:40:06.000 You know, to get a monitoring well in, the most recent is our 76 and That well took about a year, but there were some complications in the process i think a more standard rate of time is three to six months for a for from 00:40:06.000 --> 00:40:13.000 Turning the bid to having a functioning well. 00:40:13.000 --> 00:40:26.000 I'm sorry, was there a second part to your question? No, it's just, you know. Will you be able, do you have budget to do all of the things you need to do? The cost for We've been hearing somewhere between 00:40:26.000 --> 00:40:31.000 $5 to $8 million a well. For the monitoring wells. 00:40:31.000 --> 00:40:38.000 We don't see those papers That's what DOE is telling us. 00:40:38.000 --> 00:41:04.000 Okay. Okay. Now, looking forward, imagine you're getting these wells in and you're getting more information and you're improving your modeling and so on but I guess the question is how like how do you assess How does anyone assess whether you're making real progress in the sense of, I mean, you'll pull Chromium out and you'll add to your 2,000 pounds and you'll get 3000 pounds eventually for and so on. 00:41:04.000 --> 00:41:20.000 But I mean, how do you know whether um How do you make that assessment other than i mean I mean, of course, you have to look and model, but if the plume moves significantly then You can't move the well, so you'd have to drill a new well, right? Oh, that's correct. Things like that. Then that's why 00:41:20.000 --> 00:41:26.000 Keeping the plume keeping the plume as much in place as we can is important to us. 00:41:26.000 --> 00:41:36.000 Because if it moves out of the bounds of monitoring wells and extraction wells, then we've lost the plume and then we have to go chase it again. 00:41:36.000 --> 00:41:50.000 So there's a basic strategy then kind of we're going to hold that plume in place best we can. And we're just going to slowly pull out Chromium and until we go through whatever the 150, 160,000 pounds. I think that's what you said. Yeah. 00:41:50.000 --> 00:41:59.000 Is that the basic? Right. So it was originally designed to kind of you know think about that um And if we need to bring up the slides again, I can. 00:41:59.000 --> 00:42:09.000 But the centerid of the plume was where they would pump it and try to create a basically a cone of depression with those five pumping wells. 00:42:09.000 --> 00:42:14.000 And then they put the injection wells on the outside of the plume. 00:42:14.000 --> 00:42:29.000 Or what was expected to be the outside of the film, which might have caused its issues. And what that was supposed to do is kind of preserve create a hydraulic barrier to kind of keep the plume right back towards the uh 00:42:29.000 --> 00:42:35.000 The extraction wells. And so to keep feeding the extraction wells 00:42:35.000 --> 00:42:40.000 If… If I can jump in and help you out real quick, Mike. 00:42:40.000 --> 00:42:41.000 Yes, sir. Go for it. 00:42:41.000 --> 00:42:53.000 This is Caitlin Martinez with Haz Waste Bureau and This is kind of the whole point of the interim measures for us is this is a temporary solution. You know, this isn't going to be the final remedy. 00:42:53.000 --> 00:43:05.000 Upon final remedy, we anticipate to accelerate this significantly and we want a remedy that can be implemented and remove all of the chromium in a relatively quick time span. 00:43:05.000 --> 00:43:16.000 So this interim measures is to do the best we can to keep the plume in place and keep the furthest extent of the plume where it stands as of now. 00:43:16.000 --> 00:43:22.000 While we develop the information necessary to design a final system that can actually remove the chromium. 00:43:22.000 --> 00:43:25.000 Quicker than what we're seeing in this interim measures. 00:43:25.000 --> 00:43:32.000 Oh, that's great. That's super helpful. Can I ask, what triggers do you need to pass? 00:43:32.000 --> 00:43:38.000 When do you know, okay, we've got enough information to now make a decision on final remedy? 00:43:38.000 --> 00:43:54.000 This is part of what sent us into the IRT in the first place is that DOE's position was We have the information we need now to design that. And the state thought if we don't know how deep the contamination is and how can we adequately design 00:43:54.000 --> 00:44:03.000 A system that'll capture everything and protect the public water for future use, make sure we're guaranteeing success on a remedy. 00:44:03.000 --> 00:44:20.000 So it's a tough line with groundwater, right? Because there's so much information that goes into developing that but Our bare minimum is we need to know where source terms are and we need to know how much water is contaminated for us to make sure that we 00:44:20.000 --> 00:44:42.000 Design a system to address that. So our talk now about this alternative injection location is to expand the interim measures and we don't want this this nose extending any closer to that PM3 well or any closer You know, to impacting resource. So we want to increase capacity, have more extraction 00:44:42.000 --> 00:44:58.000 And make sure we contain it. Because we anticipate we need at least these data gap wells from the state's position, we have at least five years of work before we can consider the concept of final remedy. 00:44:58.000 --> 00:45:09.000 Okay, great. One last question, I think, from me. So PM3 file, maybe this is the Philo is our well right So the proposal is to use it as an injection well, I think, right? 00:45:09.000 --> 00:45:16.000 So how does that impact us? You know, on the board, what should we know about that? 00:45:16.000 --> 00:45:36.000 So I guess there's multiple fronts one is is it needs to be technically feasible to do it and prove it out so we had offered and presented to the board A couple of years ago um were receptive to that idea as long as 00:45:36.000 --> 00:45:48.000 The DOE EMLA presents a work plan so that And we know you know if they choose this as a remedy, we need a replacement well Just last month. 00:45:48.000 --> 00:45:57.000 The board approved a letter going to Senator Lujan to do the study for drilling a replacement well. 00:45:57.000 --> 00:46:07.000 I think you know more As we've been going through this process, you know, I've been at this will be six years here in June. 00:46:07.000 --> 00:46:14.000 We're not making any progress towards the end of containing the plume in any certainty. 00:46:14.000 --> 00:46:37.000 Of should we even operate PM3 well? We've suspended its operation given this nose type of situation, the depth is dropping and There's a lot of unknowns so that i think You know, we're open to those suggestions and ideas want to be part of the solution, but we also need to be 00:46:37.000 --> 00:46:59.000 Support our community and also laboratory with water resources that are necessary, especially if expanded swice goes through And we're going to need water sooner than later. We can't wait for this remedy to make some progress, but it doesn't look like it's going to be decades not 00:46:59.000 --> 00:47:02.000 Not a couple of years. Yeah. 00:47:02.000 --> 00:47:22.000 And for the state, we are in technical groups with DOE and with the Pueblo starting to evaluate all these alternatives and we're trying to lay out, I mean, first and foremost, the state's requirement to for them to implement some type of expansion on the interim measures. 00:47:22.000 --> 00:47:39.000 With an alternative injection location maintains and we won't move on that position that we will require this moving forward. So now we are looking at evaluating all technical alternatives you know and really placing everything that's a possibility out on the table. 00:47:39.000 --> 00:47:52.000 And we'll start kind of, you know, eliminating, like Mike said, you know, political water rights use. There's a whole lot of stuff that goes into it. But for now, we're throwing everything in the kitchen sink out there and we're going to technically evaluate and if there is a time 00:47:52.000 --> 00:48:11.000 Where we are considering the utilization of PM3 highly after this technical analysis then the state will make sure that the county is brought into those communications and we discuss that openly as that becomes a more viable opportunity. 00:48:11.000 --> 00:48:16.000 Great. Thank you. Thanks to our guests and colleagues for coming to talk to us tonight. Appreciate it. 00:48:16.000 --> 00:48:18.000 Thank you. Eric. You have a question? 00:48:18.000 --> 00:48:35.000 Yeah, I think it's probably already been answered because there was a lot of information there but If we drill a new well what's the chances of chromium being where we drill the new well and where we do and i'm talking about 00:48:35.000 --> 00:48:45.000 Say White Rock Overlook or wherever the new well is to give us water If chromium is detected, because I'm assuming we're going to look for it. 00:48:45.000 --> 00:48:48.000 What do we do then? 00:48:48.000 --> 00:48:57.000 Well, we'll have to keep stepping out. Our intention is that we would love to drill a well. We would love to not detect contamination. We would love to be able to say. 00:48:57.000 --> 00:49:04.000 Great, the plume is not this far and we have at least have a boundary condition in some respect. 00:49:04.000 --> 00:49:12.000 So, I mean, that's the hopeful response when we drill these wells is we get a clean screen, you know, we can at least have boundaries. But for now. 00:49:12.000 --> 00:49:26.000 Every time we have contamination detected in a well, we have to keep stepping out whether that's a deeper well, whether that's farther lateral Just to figure out and make sure that we can kind of put those boundaries on it. For now, there's these 00:49:26.000 --> 00:49:34.000 Dotted lines kind of in the open space here. And we want to solidify some of that and hopefully these wells will do so. 00:49:34.000 --> 00:49:35.000 Thank you. 00:49:35.000 --> 00:49:45.000 Yeah, I'd also say that, you know, you brought up white rock The plume is probably five miles away from White Rock. We've got quite a few monitoring wells in between. 00:49:45.000 --> 00:49:53.000 And we actually have monitoring well R16 at the overlook area. 00:49:53.000 --> 00:50:01.000 And that well has been coming up clean for Chromium and most other contaminants, I think all That's not anywhere on my watch list, I'll tell you that. 00:50:01.000 --> 00:50:18.000 So, um. Yeah, I think as long as you're not within the direct… vicinity of the plume, you're going to be pretty much okay. Auto weave Los Alamos canyon seems to be unaffected. 00:50:18.000 --> 00:50:24.000 Okay, thank you. I'll try to ask a question. I'm a little bit jet lagged, so I may have missed something important. 00:50:24.000 --> 00:50:35.000 In terms of what you observed with R45 around CRIN1 and 2, how did that impact your confidence in the hydraulic control? 00:50:35.000 --> 00:50:40.000 Model for keeping the plume in place. I kind of missed that. 00:50:40.000 --> 00:50:50.000 Well, I mean, it kind of showed us that we didn't have as great of control as we thought that we did when the IM was designed and implemented. 00:50:50.000 --> 00:50:51.000 And… 00:50:51.000 --> 00:51:00.000 But you got new knowledge now from we have new knowledge. And so one of the things that it did help us guide is that we didn't turn on CRINGS 1 and 2. 00:51:00.000 --> 00:51:12.000 In this latest restart Because that way we don't you know that doesn't offer the possibility for that possibility for for that movement. 00:51:12.000 --> 00:51:26.000 Okay, so not all five have been restarted, right? Only three, four, five. Correct. So yeah, there's five extraction wells they'll come to a certain central point, get pumped through a treatment system, the chromium is removed. 00:51:26.000 --> 00:51:32.000 And then it gets sent out to the injection balls. Okay, thank you. Five injection volts as well. 00:51:32.000 --> 00:51:49.000 Okay, and then a quick question regarding the modeling. It sounded like you're changing from what the FEHM to the mod flow and the mod flow being more standard um but To do that, you need to add in various parameterizations, the aquifer properties, et cetera, et cetera. Were those 00:51:49.000 --> 00:52:08.000 Already included in the previously used model? No, not as much. It was much more of a larger average. Geologists, we have lumpers and splitters. You look at this big thing, it's one thing yeah yeah you got some people, it's that. So we're trying to take it more to a splitting 00:52:08.000 --> 00:52:12.000 Rather than a lumpy. Got it. Thank you very much. 00:52:12.000 --> 00:52:17.000 And I will add that those were kind of two questions to the IRT. The first was. 00:52:17.000 --> 00:52:40.000 Is um you know a viable modeling option and they agreed that it you know could do the core concepts of what we did, but it's just not publicly available and people like stakeholders in the state wouldn't have as It's easy access to experts in that particular modeling field and 00:52:40.000 --> 00:53:03.000 The parameterization was the was evaluated as part of the state's position saying that we are not at a point where we can move to final remedy because we can't make predictive mechanisms in a safe manner utilizing the model with these shortfalls and things like you know source zone or like Mike was saying lumping geologic units so 00:53:03.000 --> 00:53:05.000 Kind of a twofold part of that, you know, just to clarify. 00:53:05.000 --> 00:53:20.000 Okay. Yeah, I heard him say that too. So I was concerned that maybe you were losing a better model potentially just because it wasn't publicly available, but it sounds like That's not the case. You have basically two reasons for changing. Right. 00:53:20.000 --> 00:53:21.000 Thanks. 00:53:21.000 --> 00:53:35.000 Exactly. Yeah. So they kind of thought as we're already changing it for that, let's make sure we make it a more robust model and let's account for these things that could you know, have significant implications on the results in a predictive manner. 00:53:35.000 --> 00:53:41.000 Okay. What confidence do we have? 00:53:41.000 --> 00:53:47.000 At this point in keeping the plume from San Eldefonso? 00:53:47.000 --> 00:54:05.000 Well, part of what simmer 3 is, is our monitoring well network isn't designed. We only have one well in that area that isn't very well positioned it's farther down gradient of the natural flow where we don't have detection yet. 00:54:05.000 --> 00:54:23.000 That well currently is kind of located in a clean space now. So we hope SIMR3 will help inform some of this potential preferential flow paths, like for R45, we saw the injection flow water going down further in a different direction than particularly 00:54:23.000 --> 00:54:40.000 Expected not towards the extraction well network. So SIMR 3 should inform if that kind of similar concern is happening at that southern boundary and then we'll be able to tell you now. But currently R50, the indications that the monitoring wells in the region kind of give us hope that 00:54:40.000 --> 00:54:47.000 We have better containment on the south than we do in that east. 00:54:47.000 --> 00:54:55.000 Okay. What happens if that plume really does spread to Sinai? 00:54:55.000 --> 00:55:02.000 And part of the answer to that is technical. And presumably you do some of the same kinds of things that you're already doing. 00:55:02.000 --> 00:55:13.000 But there's you have then a very different entity involved Which I would assume changes the politics and changes the procedures and so forth. 00:55:13.000 --> 00:55:19.000 What happens if in fact the plume does get down there. 00:55:19.000 --> 00:55:37.000 Yeah, absolutely. I mean, then it's contamination on sovereign land and in their sovereign water supply so The Pueblo likely would enter into some type of agreement formally with DOE to have you know to clarify what their roles in the remediation are. As of now. 00:55:37.000 --> 00:55:45.000 The consent order and the cleanup process is happening directly between the state and doe but If contamination is found above. 00:55:45.000 --> 00:55:50.000 Background is what we have heard from from the Pueblo at this time. 00:55:50.000 --> 00:55:59.000 Then they will likely find a path forward for being a required party into those remediation plans. 00:55:59.000 --> 00:56:05.000 Okay, thank you. Any other questions from the board? 00:56:05.000 --> 00:56:22.000 Okay. Mr. Dempsey, I saw your hand up there, but this is only a presentation We're not taking any action on it this evening, so I don't think really public comment is appropriate here. 00:56:22.000 --> 00:56:34.000 Well, we've also got other people with knowledge in the area I… I think we'll pass on that contribution, but thank you. 00:56:34.000 --> 00:56:45.000 Thank you very much. We're not going to get further into that discussion. We've had our presentation. Thank you. 00:56:45.000 --> 00:56:51.000 Thank you very much. Both of you this evening. We appreciate the update. 00:56:51.000 --> 00:56:57.000 It sounds like we're going to be getting a lot of updates over a long period of time. 00:56:57.000 --> 00:57:04.000 We'll be here a while. Well, we hope it gets done someday. As do we. 00:57:04.000 --> 00:57:21.000 Thank you. Thank you very much. All right, let's move on to Item 6A, which is a approval and recommendation of incorporated County of Los Alamos ordinance number 02365. 00:57:21.000 --> 00:57:35.000 Which has to do with electric rates. And that will be Karen Kendall and Joanne Gentry. 00:57:35.000 --> 00:57:44.000 Kathy, this will be the PDF that I sent earlier, the updated one. 00:57:44.000 --> 00:58:03.000 Thank you, Board. While Kathy's getting the presentation, there is one additional slide which is on the dais and also at the back of the room, but we'll walk through it it's not till item 20 in the presentation. 00:58:03.000 --> 00:58:17.000 Okay, so we tonight or having the electric rate ordinance hearing And the purpose of this is to Consider. 00:58:17.000 --> 00:58:22.000 Two actions. We have a recommended action and then there's an alternate action. 00:58:22.000 --> 00:58:32.000 And that is to recommend this ordinance be forwarded to council for introduction and then ultimate adoption. 00:58:32.000 --> 00:58:42.000 It would be going for introduction on May 6th. To council and then June 10th would be the public hearing on this at um Council. 00:58:42.000 --> 00:59:00.000 Next slide. Okay, from the ordinance that you saw during the introduction There was feedback we received from the board. So we did with the assistance of the attorney's office make changes where the ordinance was rearranged. 00:59:00.000 --> 00:59:05.000 But we did not do any substantive changes from last time. 00:59:05.000 --> 00:59:14.000 The amounts and methods of billing were not changed. And as I said before, there is an alternate action that was requested last time. 00:59:14.000 --> 00:59:31.000 That action supports the motion of removing time of use and demand and if that the vote tonight, then the items that are in yellow highlights would be removed. 00:59:31.000 --> 00:59:42.000 Next slide. Okay, this ordinance addresses two things. The first one it addresses is what was in the budget. 00:59:42.000 --> 00:59:51.000 That was approved by the board and will be presented to council On Monday night of next week. 00:59:51.000 --> 01:00:05.000 And that is an electric rate increase of 9%. For July 1st, 2025 and an increase of eight percent For July 1st, 26. We're going to talk about the reasons for that in a few slides. 01:00:05.000 --> 01:00:13.000 Also in this ordinance is the introduction, excuse me. Is the implementation of time of use and residential demand. 01:00:13.000 --> 01:00:24.000 Which staff feels very strongly go hand in hand That would be in place no sooner than July 1st of 26th. 01:00:24.000 --> 01:00:32.000 And is set up to be revenue neutral. So the 8% increase that would happen July 1st, 26th. 01:00:32.000 --> 01:00:46.000 Outcome is the same if it's that. Or if time of use and residential demand are in place. So it is not an increase of total revenues. 01:00:46.000 --> 01:00:50.000 Since we have a number of people from the public here and on Zoom. 01:00:50.000 --> 01:01:13.000 And we will be doing this presentation also to council. We did want to point out that This is something that the board and staff have been discussing for quite a long time In April 25th of 2023, So almost two years ago, the electric rate design kickoff 01:01:13.000 --> 01:01:20.000 Presentation was made. And that included time of use rate design. 01:01:20.000 --> 01:01:24.000 And then um in January 24th. 01:01:24.000 --> 01:01:32.000 April of 24. October of 24, we had discussions about time of use and residential demand. 01:01:32.000 --> 01:01:42.000 And talking about the trends across the country And then the next steps were to implement those new rates. In February. 01:01:42.000 --> 01:01:51.000 Fifth of this year. We did actually do a rate structure sample And a proposed timeline. 01:01:51.000 --> 01:01:56.000 I also want to point out that in the 2026 budget that you all just passed. 01:01:56.000 --> 01:02:05.000 And that's going to council. There is $250,000 for an update to the existing software that we have of Munis. 01:02:05.000 --> 01:02:12.000 As well as coordination with our Smart readers. 01:02:12.000 --> 01:02:20.000 So there's monies in the budget for that implementation, which is going to take about 12 months. 01:02:20.000 --> 01:02:36.000 In March, we did another overview of the time of use and demand description talked about the rate structure and what those proposed rates are. And then we did introduce this On March 19th and then tonight is the hearing. 01:02:36.000 --> 01:02:53.000 Okay, why are the 9% and 8% rate increases needed? There's a number of reasons. The first one is inflation. We have seen huge increases in equipment and capital projects, especially those related with electric distribution. 01:02:53.000 --> 01:03:03.000 Such as transformers and we did show a slide in the past about how much that increases some of our costs associated with some of the equipment. 01:03:03.000 --> 01:03:15.000 Associated with electric distribution have gone up like 400%. So it's not been just a small amount equal to inflation, it's actually been hundreds of percentages points. 01:03:15.000 --> 01:03:20.000 Historically. There were no rate increases. 01:03:20.000 --> 01:03:36.000 From February of 2015 until October of 2023. In both FY23 and FY24, Electric distribution, even with those increases that we put in place, did have net losses. 01:03:36.000 --> 01:03:42.000 It was 3.1 million in 23 and 1.4 million in 24. 01:03:42.000 --> 01:03:49.000 And that's despite us keeping are spend down on capital projects for electric distribution. 01:03:49.000 --> 01:04:01.000 Additionally, at the end of FY23, cash and reserves combined For electric distribution was negative 1,154,000. 01:04:01.000 --> 01:04:13.000 266. In FY24, At year end, electric distributions, cash and reserves were 6.1 million. 01:04:13.000 --> 01:04:18.000 That was after a $10 million transfer from Electric Productions Uniper Settlement. 01:04:18.000 --> 01:04:25.000 So had that settlement not happened, we would have been up to 4 million in the hole. 01:04:25.000 --> 01:04:35.000 I do want to point out that there's been some questions about LIHEAP and our utility assistance program. 01:04:35.000 --> 01:04:53.000 Liheap in the last year has provided $10,000. In utility assistance, which is for electric as well as gas primarily during the winter months, they provided $10,000 to in total to 45 families. 01:04:53.000 --> 01:05:04.000 Or households in Los Alamos. During that same time, UAP provided approximately $24,000 And that was to 57 families. 01:05:04.000 --> 01:05:10.000 So just to put some perspective on the assistance that we try to make sure is available out there. 01:05:10.000 --> 01:05:29.000 Okay, the electric snapshot you saw this last time and this was providing some history of the net income the cash and then the components that make up the expenses. What I wanted to point out here is last time I had combined all the reserves together 01:05:29.000 --> 01:05:39.000 And I wanted to be sure it was clear. The reserve that we had in 2015 of 8.4 million was bond money. It was not cash that we set aside. 01:05:39.000 --> 01:05:47.000 But when you get a bond, when if there's a bond In this case, there was $11.2 million bond that had been issued. 01:05:47.000 --> 01:05:52.000 When you get that bond. The money is on your books, but it's in a reserve. 01:05:52.000 --> 01:05:57.000 And then you draw it as you do the capital projects that were approved. 01:05:57.000 --> 01:06:03.000 As part of that bond series. So that 8.4 million was the bond. 01:06:03.000 --> 01:06:08.000 We did not actually put anything into reserves until FY 2020. 01:06:08.000 --> 01:06:14.000 When 1.4 million was put in. With the exception of the debt reserve. 01:06:14.000 --> 01:06:23.000 When you have bonds and we've had bonds in electric distribution since 2004, When you have bonds. 01:06:23.000 --> 01:06:34.000 You are required to take an amount that is detailed in the bond agreement and have that set aside as a reserve. 01:06:34.000 --> 01:06:47.000 Okay. A few meetings ago, we had UAMPs come in and they had done a financial assessment of the electric fund. 01:06:47.000 --> 01:07:00.000 And I did want to point out here, so the electric fund on our financial statements is both electric production and electric distribution combined. So it's the combined electric fund. 01:07:00.000 --> 01:07:04.000 And I just wanted to highlight a couple of things that they said. These are their slides. 01:07:04.000 --> 01:07:13.000 That were presented before. So in terms of rate of return, they said the utility has had operating losses for the past three or four years. 01:07:13.000 --> 01:07:26.000 Current revenues are not meeting operating expenses. And then on the next slide on the rate observations. They said the utility does not seem to have consistent rate adjustments. 01:07:26.000 --> 01:07:47.000 Which has resulted in operating losses. And although they refer to us as a city the county Fixed residential charge is $12.60. In general, for all classes, the rates are typically is a typical structure but is lower than what they're seeing nationwide. 01:07:47.000 --> 01:07:54.000 Next slide. Okay, we've shown this slide before in a couple different variations. 01:07:54.000 --> 01:08:07.000 The actual cpi between February 2015 and December 2024, the total combined increase has been 34.5%. 01:08:07.000 --> 01:08:19.000 Our increases during that same time period just through December of 2024 Word 19.6%. So we were not keeping up with CPI. 01:08:19.000 --> 01:08:34.000 We have had, that's right. We have had Increases, however, from between there weren't any between February of 2015 and October of 23 In October of 23, we did do 9.3%. 01:08:34.000 --> 01:08:42.000 And in July of 24, it went up 9.4. We're recommending the 9% and 8%. 01:08:42.000 --> 01:08:46.000 And that is also what was in our budget that you did. 01:08:46.000 --> 01:08:51.000 Approve. 01:08:51.000 --> 01:08:58.000 You're testing me. Okay. 01:08:58.000 --> 01:09:07.000 We've had a lot of discussion in our rate design discussions with the with board and staff about the residential service charge. 01:09:07.000 --> 01:09:20.000 If you recall, we looked at income levels and whether electric usage changes with increases or decreases in income levels. 01:09:20.000 --> 01:09:34.000 And we found that in Los Alamos, that wasn't the case, that it was pretty even if you had a street with people who are receiving UAP and people who are not, that the usage was fairly similar And we did not find that to be 01:09:34.000 --> 01:09:39.000 An issue in our city. It depends on the area. 01:09:39.000 --> 01:09:49.000 Places across the country do find there is a difference. And in fact, the lower income Homes often use more electricity and or gas. 01:09:49.000 --> 01:09:57.000 Because of the inefficiencies of how the houses are necessarily built were able to be maintained. 01:09:57.000 --> 01:10:05.000 In FY25 and prior. Our service charge covered our DPU administrative allocation. 01:10:05.000 --> 01:10:20.000 So that's our customer care center, engineering, admin, et cetera. In FY26, what we're proposing is as was recommended by our consultants when we had our Cost of service study. 01:10:20.000 --> 01:10:26.000 That we're taking the admin allocation plus half of the county IDCs that we receive. 01:10:26.000 --> 01:10:33.000 Which are the interdepartmental charges. That's for things like the attorney's office, HR, finance. 01:10:33.000 --> 01:10:39.000 The building maintenance building depreciation, that type of thing. 01:10:39.000 --> 01:10:46.000 Half of that. So in 26, we're proposing that it go to $17.60. 01:10:46.000 --> 01:10:51.000 And in July of 26, we're recommending that it go to 2250. 01:10:51.000 --> 01:10:57.000 Which fully covers those two pieces and was recommended. The national average. 01:10:57.000 --> 01:11:12.000 For service charges based on the information from UAMS and APPA is between $15 and $25 a month. That still puts us in that range. 01:11:12.000 --> 01:11:20.000 Okay, this is only the monthly service charge. What we wanted to look at as we normally do is how do we compare to our neighbors? 01:11:20.000 --> 01:11:26.000 So if you take the average of the neighboring communities. We're currently at 1260. 01:11:26.000 --> 01:11:37.000 Again, we're recommending 1760 and then 2250 Excuse me. In July of 25 will still be below what our neighbors are at today. 01:11:37.000 --> 01:11:55.000 And in July of 26, we would be above it. However, we did not presume any increases although we know PNM has recommended some, we did not include any proposed increases. We took what they're doing right now. 01:11:55.000 --> 01:12:00.000 Excuse me. 01:12:00.000 --> 01:12:05.000 We showed this slide before, but we added Los Alamos into it. 01:12:05.000 --> 01:12:17.000 So the US average at December of 2024 for the cost of electricity per kilowatt hour is 0.16 for the US average. 01:12:17.000 --> 01:12:26.000 New Mexico averages 0.1426. I showed all three amounts for Los Alamos, so currently 14.13. 01:12:26.000 --> 01:12:34.000 Recommending in July, it could go up to 14.63. And then 1510 in July of 26. 01:12:34.000 --> 01:12:42.000 As a reminder, this is all the rate increases that do not include, we're not looking at time of use on this slide. 01:12:42.000 --> 01:12:57.000 And then what they define as mountain Which is this is the EIA.gov, so it's a government site They consider the mountain area to be Arizona, Colorado. 01:12:57.000 --> 01:13:09.000 Idaho, Montana, Nevada, New Mexico. Utah and Wyoming. And that average is 0.1375. 01:13:09.000 --> 01:13:15.000 This slide is from the American Public Power Association or APPA. 01:13:15.000 --> 01:13:21.000 And it's looking at public power which is accountable to the community. 01:13:21.000 --> 01:13:31.000 Rural electric cooperatives, which are accountable to their members And then investor-owned utilities, which are accountable to their shareholders. 01:13:31.000 --> 01:13:46.000 And public power This is a nationwide average as being the most affordable source of power And these are the average monthly bills for electric based on the APPA. 01:13:46.000 --> 01:13:52.000 Studies. 01:13:52.000 --> 01:14:09.000 Pnm currently has with the PRC, a 13% increase that would go into effect this summer And an additional 13% that would go into effect the summer of 2026. 01:14:09.000 --> 01:14:20.000 We used their summer of 2025 13% when we're comparing. This is for an average residential bill. 01:14:20.000 --> 01:14:26.000 So it's combining your flat rate plus your kilowatt hour rate. 01:14:26.000 --> 01:14:33.000 500 kilowatt hours. And that's the average that we normally use for our community. 01:14:33.000 --> 01:14:38.000 We currently are at 8325. And our neighbors are at 83.45. 01:14:38.000 --> 01:14:57.000 Our recommendation for July is to move to $90.75. And then in July of 26 it would move to $98 and that's Again, for 500 kilowatt hours assuming no time of use or demand. 01:14:57.000 --> 01:15:03.000 Okay, now I'm going to switch and talk a little bit about the time and use in residential demand rate design. 01:15:03.000 --> 01:15:12.000 Again, I want to point out it is revenue neutral we are not trying to increase revenues by switching to this. It is a methodology. 01:15:12.000 --> 01:15:16.000 That we're recommending that we've been discussing for quite some time. 01:15:16.000 --> 01:15:22.000 It is a nationwide trend. Electric rates would vary according to the time of day. 01:15:22.000 --> 01:15:27.000 Electricity prices are higher during on-peak hours and lower during off-peak. 01:15:27.000 --> 01:15:33.000 This offers more control over energy bills Because you can shift your energy. 01:15:33.000 --> 01:15:38.000 Used to off-peak and we'll have some more slides to describe that a little more. 01:15:38.000 --> 01:15:44.000 And then by customer shifting energy use It also has a financial impact on the maintenance. 01:15:44.000 --> 01:15:52.000 The sizing and the stability of our electric distribution system. It does improve load balancing and grid stability. 01:15:52.000 --> 01:16:11.000 And it puts less stress on the infrastructure. And in a few slides, I'm going to talk about demand and you'll see from the charts how much of an impact it can have if you have two households Using the same amount of energy, but doing it at different times of the day. 01:16:11.000 --> 01:16:19.000 So this was the calculation that we had done when we were first looking um at switching to time of use and demand. 01:16:19.000 --> 01:16:26.000 So the point I want to make here is at the top on the right hand side where it says sample bills at 500 kilowatt hours. 01:16:26.000 --> 01:16:35.000 If there is no time of use or demand. And the rate increases we're talking about for FY26 and FY27 go into place. 01:16:35.000 --> 01:16:44.000 For our average of 500 kilowatt hours someone's bill would be $98. That would be your household bill. 01:16:44.000 --> 01:16:48.000 The study that was performed said that in Los Alamos County. 01:16:48.000 --> 01:16:54.000 31%. Of the usage happens during the peak hours. 01:16:54.000 --> 01:17:03.000 Of 5 to 11. So if we assume that somebody is using 31% during the peak hours. 01:17:03.000 --> 01:17:10.000 Which would be 155 kilowatt hours during that time. 01:17:10.000 --> 01:17:27.000 Their bill would actually be $96.99. So it's as revenue neutral as we can as we can get it. And that assumes 31%, which is what people are currently using. So that's actually without really shifting what you're doing your bill should be. 01:17:27.000 --> 01:17:34.000 Basically even. Okay, next slide. 01:17:34.000 --> 01:17:46.000 One of the things we were asked to provide, and I do understand that this is in the future, but we were asked to provide what the costs actually were if Foxtail Flats were in place today. 01:17:46.000 --> 01:17:53.000 So if we're in place today, and this does not include any system losses or any underutilization costs that may be there. 01:17:53.000 --> 01:18:12.000 We would be paying 37.88 per megawatt hour For daytime solar being provided by Foxtail Flats, and then 148.83 for the times that the battery would be discharging which would be that on-peak hours of 5 p.m. To 11 p.m. 01:18:12.000 --> 01:18:20.000 And that does include charging up the battery field. 01:18:20.000 --> 01:18:33.000 The other thing we were asked to provide is… They call it the ham which it's the hourly our head market So if we're not producing enough. 01:18:33.000 --> 01:18:42.000 Or purchasing, if we're not producing enough through our existing contracts and we have to go out on the market and buy it for that next hour. 01:18:42.000 --> 01:18:50.000 This is what we pay on average over the 24 hours during the day, or excuse me, 24 hours of a day. 01:18:50.000 --> 01:19:10.000 So this is our annual average cost and you can see it's in the 37, 38 range, and it goes up to just under $60 a megawatt hour. 01:19:10.000 --> 01:19:31.000 We wanted to take a look at residential monthly time of use for our neighbors because our neighbors do have different rates for their time of use versus their regular service. So here, Los Alamos, we're proposing 2250 in July of 26 01:19:31.000 --> 01:19:40.000 And HEMA's currently their average is $27. I say they're average because they have writers for each of the different levels that they've served. 01:19:40.000 --> 01:19:49.000 And communities that they serve and those writers we average together so that we weren't making assumptions on which one we're trying to compare ourselves to. 01:19:49.000 --> 01:20:02.000 Kit Carson is currently at 26. Pnm has two programs. We've discussed this before. They have a time of use program that they have cut off and are no longer allowing people to participate in. 01:20:02.000 --> 01:20:06.000 And then they also have a time of day. Which is kind of a newer program. 01:20:06.000 --> 01:20:13.000 You'll see on the next slide Their time of use has a higher service charge. 01:20:13.000 --> 01:20:22.000 Their time of day has a much lower service charge. But it's flipped on the hourly rates, the per kilowatt hour charge. 01:20:22.000 --> 01:20:34.000 So we'll get to that on the next slide. Again, using 31% average because we always try to make this even for all of our partners to make sure that we're using the right amount. 01:20:34.000 --> 01:20:45.000 And a 500 kilowatt hour usage. The bill as of July of 2027 with that usage for Los Alamos would be $96.99. 01:20:45.000 --> 01:20:52.000 Hemas would be $89.49. Kit Carson would be $77.55. 01:20:52.000 --> 01:20:59.000 And I double, triple check this. They have not changed their time of use rate since December of 2016. 01:20:59.000 --> 01:21:05.000 So I don't know if they have any plans to do it, but they are significantly lower. 01:21:05.000 --> 01:21:23.000 Pnm's time of day. Would be $135.58. And PNM's time of day in the not excuse me in the summer, PNM's time of day would be 135. 58 In the non-summer, it would be 110. 01:21:23.000 --> 01:21:27.000 So just to clarify, all of our neighbors have time of use. 01:21:27.000 --> 01:21:40.000 Charging options. Is that right? All of the neighbors listed on this yes yeah okay I give that caveat because i give caveat I'm trying to think if there's any I haven't checked. 01:21:40.000 --> 01:21:49.000 The ones that we compare to, yes. 01:21:49.000 --> 01:21:59.000 I will clarify that with PNM, Because they're the investor owned business. Theirs is a voluntary program. 01:21:59.000 --> 01:22:15.000 And it is what they consider to be a pilot. We don't have that luxury because we cannot charge different amounts for different Okay, Kathy, can you go back? Yes, thank you. 01:22:15.000 --> 01:22:28.000 This is something we'll be putting up on our website It's really about both your peak usage, but as well as your demand and having the ability to plan. So I'm going to talk about demand in a minute, but we wanted to 01:22:28.000 --> 01:22:37.000 Give a little bit of information here. So this is from energyusecalculator.com. We do have a link on our website. 01:22:37.000 --> 01:22:41.000 And it's looking at making choices. 01:22:41.000 --> 01:22:49.000 I might like to use the microwave. My sister hates microwaves, would never use them no matter what. So she might be using the oven. 01:22:49.000 --> 01:23:11.000 It's comparing how many kilowatt hours each of these different appliances dishwashers, clothing your clothes washer, your clothes dryer, et cetera. How much kilowatt hours they use And an estimate of what it says are the average usage of these items. 01:23:11.000 --> 01:23:16.000 And then we looked at what is the on-peak cost? Or the off-peak cost. 01:23:16.000 --> 01:23:22.000 So someone could look at this and make a decision that I'm going to have my dinner at six o'clock. 01:23:22.000 --> 01:23:30.000 I don't care if it's a little higher rate. I want to have my dinner at six o'clock. So I can look at this and I can say, okay, well. 01:23:30.000 --> 01:23:38.000 By doing it by doing it on peak, I'm going to be spending $2.58 more because I'm using an air fryer. 01:23:38.000 --> 01:23:50.000 This is something that we have a link to so that people could make decisions. And this is also how you can also help control your bill. 01:23:50.000 --> 01:23:57.000 Because the difference with the two rates, it's 11 cents versus 19 cents for on-peak versus off-peak. 01:23:57.000 --> 01:24:02.000 So people would have the ability then to make that decision. 01:24:02.000 --> 01:24:12.000 On whether they want to do it. And we've talked before about appliance stacking which does affect your demand. 01:24:12.000 --> 01:24:31.000 So if Kathy and I live next door to each other and we live in the same style of house and house and I decide I'm going to run my oven My dishwasher, my washer and dryer And the TV and we're going to vacuum upstairs all at the same time. 01:24:31.000 --> 01:24:39.000 Kathy uses those appliances the exact same amount of time. But uses them at different hours of the day. 01:24:39.000 --> 01:24:46.000 We're going to have different bills. We're also going to have a different peak demand. 01:24:46.000 --> 01:24:53.000 And we're going to have different impact on the infrastructure. By doing that appliance stacking. 01:24:53.000 --> 01:24:58.000 But again, we both could make that decision day by day. 01:24:58.000 --> 01:25:06.000 As to how we want to operate, even though we have the exact same square footage and same style of home. 01:25:06.000 --> 01:25:10.000 Which gets me to residential demand. So, um. 01:25:10.000 --> 01:25:15.000 Residential demand is a variable charge and it's measured in kilowatts. 01:25:15.000 --> 01:25:21.000 It is based on the intensity at which electricity is used at a given time. 01:25:21.000 --> 01:25:27.000 It discourages that appliance stacking. So if you're running your AC and your dishwasher and oven and dryer. 01:25:27.000 --> 01:25:33.000 Or any other large electrical appliances, your demand will be higher than if you were to spread that out. 01:25:33.000 --> 01:25:36.000 During whatever part of the day you're able to do that. 01:25:36.000 --> 01:25:48.000 Customers will still pay for energy consumption per kilowatt hour. As they do now, but they will pay less for energy consumed during off-peak periods. 01:25:48.000 --> 01:25:53.000 And I want to thank Abby. And Kathy for this graphic. 01:25:53.000 --> 01:26:05.000 That they put together so that they put together so lightning bolts are different devices that are being used at any one hour of the day. 01:26:05.000 --> 01:26:11.000 The yellow area with the lines is the peak on peak hours. 01:26:11.000 --> 01:26:32.000 And this is just showing that you can by shifting your load away from the typical usage to a different time of the day that can help with both your demand as well as your total costs for the kilowatt hours. 01:26:32.000 --> 01:26:38.000 Another way of looking at it and this was a modification to something that I presented before. 01:26:38.000 --> 01:26:51.000 That was done by the American Power Association, and it was during the training that we had on time of use, which again is being adopted in demand rates are being adopted across the country. 01:26:51.000 --> 01:27:00.000 And this is looking at two households. In this case, they were using 60 kilowatt hours in one day. So during a 24 hour period. 01:27:00.000 --> 01:27:08.000 The household, we're assuming same neighborhood, same build of house So they use exactly the same amount of kilowatt hours. 01:27:08.000 --> 01:27:18.000 The one on the left. Is using a higher amount all at one time. So they are stacking appliances in most likelihood. 01:27:18.000 --> 01:27:23.000 The one on the right is on the right spreading it out over time. 01:27:23.000 --> 01:27:35.000 Household one is having a higher impact on the infrastructure because we have to be sure that within that neighborhood we're able to provide that highest amount of usage in that one hour. 01:27:35.000 --> 01:27:40.000 That it's needed to be used. Even though they're both using the same total kilowatt hours. 01:27:40.000 --> 01:27:48.000 It is different. Impact on the infrastructure. 01:27:48.000 --> 01:27:55.000 To do household one. 01:27:55.000 --> 01:28:05.000 In the ordinance. There is a new class which we have to put in place if we're doing time of use. 01:28:05.000 --> 01:28:13.000 Because we do have approximately 140 customers. Who, although they may have a smart meter, the functionality of the smart meter is turned off. 01:28:13.000 --> 01:28:20.000 And so those are opt out of the 01:28:20.000 --> 01:28:33.000 Meters. And so we have a different rate because we cannot do the demand charge And so it would be at the on-peak rate of 19 sense. 01:28:33.000 --> 01:28:43.000 We do have this number was higher than 140 We've had some folks who opted out for Whatever their personal reasons were for doing that. 01:28:43.000 --> 01:29:03.000 But they had a leak. Or they wanted to know what their usage was because they did buy an energy efficient appliance. And so we have had some folks who said, you know, I want to know what my usages by hour. And if they've opted out, we do not collect it. We have no way to give that information to them. So we've had a few, not a lot, but a handful 01:29:03.000 --> 01:29:10.000 Who have opted back in. And we've turned on that functionality and they're able to see that information then. 01:29:10.000 --> 01:29:21.000 In the system. And with that, I will stand for any questions. We did include the frequently asked questions in the packet. 01:29:21.000 --> 01:29:31.000 As well as the ordinance. And again, there are two Actions, the one that's recommended that's Passing it as is. 01:29:31.000 --> 01:29:38.000 And it going to… Council for consideration. 01:29:38.000 --> 01:29:49.000 Thank you very much. We'll do board questions first, then public comment, and then we'll come back for board discussion and action. 01:29:49.000 --> 01:29:52.000 Eric. 01:29:52.000 --> 01:30:04.000 Thank you. In the slides, it mentions that people need to pay their fair share of infrastructure costs. 01:30:04.000 --> 01:30:12.000 And the people with rooftop solar are not paying their fair share of infrastructure costs. 01:30:12.000 --> 01:30:34.000 And I've recommended in the past, and I recommend this very strongly that the connection charge for people with rooftop solar should be about $20 higher than the people without rooftop solar And there's about at least six states that are doing this and there's probably 01:30:34.000 --> 01:30:45.000 There's more on the way. There might even be 10 states right now that are increasing costs because part of the infrastructure cost, as you well know. 01:30:45.000 --> 01:30:56.000 Is in the kilowatt hour rate if rooftop solar, they're not using kilowatt hours, then they're not paying that portion of the infrastructure. 01:30:56.000 --> 01:31:09.000 This is something that really has to come because right now the non-oftop solar is subsidizing rooftop solar, and that is just not sustainable and not correct. 01:31:09.000 --> 01:31:12.000 Just recommend very highly that you look into that. 01:31:12.000 --> 01:31:21.000 Thank you. That didn't sound like a question. We'll let you get away with it this time. 01:31:21.000 --> 01:31:22.000 Okay. 01:31:22.000 --> 01:31:33.000 Chair. Yes. I might follow up, though. I think with our monthly service charges, that's spreading out the cost among all rate payers evenly. 01:31:33.000 --> 01:31:46.000 So now that we're increasing it $5 for this July and then another $5 That's covering a lot of the sunk costs in the utility. 01:31:46.000 --> 01:31:51.000 We call it interdepartmental charges, but that's all the equipment that responds to outages. 01:31:51.000 --> 01:32:04.000 Is in that interdepartmental charge. And then the overhead with our payroll, HR, attorneys, you know, we got thomas here and And also Anne. 01:32:04.000 --> 01:32:14.000 Are all included. That's all our overhead, so to speak, and it is spread out among all the rate payers so We are getting some equity there. 01:32:14.000 --> 01:32:24.000 But I do understand your point. Board member Stromberg and will continue to monitor that. 01:32:24.000 --> 01:32:41.000 Other questions from the board. Charlie. So Karen, I'm going to make a series of comments, you can phrase those questions but i just want you to check each time whether you agree or disagree because I want to make sure I've got the logic straight right 01:32:41.000 --> 01:32:52.000 So fundamental thing, since 2015 to now inflation, consumer price index has gone up about 35-ish percent, right? 01:32:52.000 --> 01:33:04.000 Our rates have gone up with only, you know, we changed rates, raise rates, didn't do anything from 15 to 23, raise rates some, then raise rates a little in 24. 01:33:04.000 --> 01:33:11.000 But even with the proposed rates, they'll have only gone up about 19 and change or 20%. Is that correct? 01:33:11.000 --> 01:33:28.000 Through December of 24, yes. So if you add this in, it is higher than the then. And what does that bring it up to in total compared to the 17… Approximately 36%. Okay. 01:33:28.000 --> 01:33:34.000 So this is enabling us basically to keep up with inflation. Yes, sir. 01:33:34.000 --> 01:33:41.000 Is it true, you did this exercise at my request and I appreciated it because I went back and saw it. 01:33:41.000 --> 01:33:46.000 Had we sort of modestly kept the rates rising throughout that whole time. 01:33:46.000 --> 01:33:50.000 We could have gotten to the point where we are now at the end. 01:33:50.000 --> 01:33:57.000 But have actually raised, I thought you estimated something like $15 million over that interim. 01:33:57.000 --> 01:34:17.000 It was just under 16 million. Okay. All right. You know since since inflation doesn't usually go anywhere but up You know, we should always expect that rates are ultimately always going to be adjusted up. And since we have to keep our financial books in order. 01:34:17.000 --> 01:34:35.000 That we should always be thinking over time, we're going to have modest rate increases in my view. That's, I guess, an opinion. Would you agree with that as a way to handle That is… the recommended model when you go to any rate setting 01:34:35.000 --> 01:34:44.000 Training seminars, consultants. Yes, that is the model they suggest. And we have not done that. No, we have not. Yes. 01:34:44.000 --> 01:35:01.000 In electric. In electric. So, and as a result, our financial reserves are not in good shape. As you pointed out, we were in the hole and would have been further in the hole had it not been for the the uniper settlement, which was just a large injection of money. Yes, sir. All right. 01:35:01.000 --> 01:35:09.000 So there's really no other alternative to the rate increases that have been proposed. 01:35:09.000 --> 01:35:17.000 That would allow us to keep our financial books in order and meet our debt reserve ratio and so on. 01:35:17.000 --> 01:35:25.000 And meet infrastructure yeah in addition to investing for the future and compensating for wear and tear on our infrastructure. All right. 01:35:25.000 --> 01:35:35.000 So that's the overall rate question. Okay. I wanted to go to the time of use question now. 01:35:35.000 --> 01:35:54.000 With respect to that, the main purpose is to really we have this opt-out thing, but the real point is to discourage people from opting out, right? We would like them not to opt out, which is why the ordinance has the rates that it has. In other words, if you opt out you get 01:35:54.000 --> 01:35:59.000 The on-peak rate charge. To clarify, you're not opting out of time of use. 01:35:59.000 --> 01:36:14.000 It's only for those customers who have opted out of smart meters. Of smart meters, okay. So we are not recommending, nor did the consultants recommend for our community that we have an opt-in or opt-out program. Oh, I see. We can't 01:36:14.000 --> 01:36:30.000 We have to have people on the same rates. There's actually a real cost associated with We have to actually send a person 01:36:30.000 --> 01:36:35.000 Administrative work news. Will there be an opportunity to change? 01:36:35.000 --> 01:36:53.000 Their mind on that yes so the folks who have already opted out for a variety of reasons um As I said, we have had some who have changed their mind because they want to have the smart meter functionality and have decided that the risks they were concerned about 01:36:53.000 --> 01:37:03.000 Are not outweighed by the benefits of what they would be getting information wise. And as Clay said, we manually read these. 01:37:03.000 --> 01:37:16.000 It does have increased costs there as well as For… maintenance and other information and just being able to help them if there is a leak or anything. 01:37:16.000 --> 01:37:33.000 So yes. And then finally, the The appliance stacking. And I just want to ask again with the peak use and demand pricing it's really striking to me right it's really not evenly distributed. There are a few big outliers, particularly your clothes dryer, right? 01:37:33.000 --> 01:37:38.000 So by changing your usage of a couple of items, a couple of key items. 01:37:38.000 --> 01:37:56.000 You can actually get most of the impact of of the difference in rates, right? You can. For your average house and so forth. And I do want to point out um I did take a call from a citizen who is a retired teacher. 01:37:56.000 --> 01:38:08.000 And she was very concerned about if she could not afford energy efficient appliances. If she couldn't change anything in her home from what it is today. 01:38:08.000 --> 01:38:24.000 How would time of use help her? And we talked about the choosing not to use an appliance at a specific time or doing things a little differently, even if you are not able to afford energy efficient appliances, that this still is a way that you could 01:38:24.000 --> 01:38:35.000 Actually lower your utility bill by doing things a little differently so Yes, the appliance stacking is a big issue. 01:38:35.000 --> 01:38:49.000 And finally, if you or someone could comment or talk to the wear and tear on the distribution system due to appliance stacking. You know, everyone stacking in the evening hours so it's that it's that peak. 01:38:49.000 --> 01:39:00.000 So the picture I showed about the demand And where one was very peaked and excuse me, one was very flat 01:39:00.000 --> 01:39:15.000 If you've ever tripped the breaker at your home because you have too many things on at one time. Like we used to have a heater, we've gotten rid of it that was a plug-in one and it would almost always trip the breakers. 01:39:15.000 --> 01:39:23.000 If you're stacking those appliances we have to be able to provide you with that highest amount that you need at that time. 01:39:23.000 --> 01:39:36.000 So if the distribution system to your neighborhood to your home has to be increased because seven or eight people on the block get an EB. 01:39:36.000 --> 01:39:50.000 Or there's something else that is increasing the usage. You might have to increase the panel size on your home. There's other things that may have to be done or there may have to be a larger transformer for that neighborhood. 01:39:50.000 --> 01:39:57.000 So it absolutely does have an impact. On the infrastructure. 01:39:57.000 --> 01:40:15.000 As well as the just overall maintenance. When the electrification study is complete, there will be more information about that and looking at specific areas around town and being able to address that more than just anecdotally. 01:40:15.000 --> 01:40:27.000 Thank you. I mean, at the risk of asking more leading questions. Go ahead. It seems either we're making comments or leading questions. 01:40:27.000 --> 01:40:33.000 Okay, so just to reiterate, right, there's two primary reasons for implementing the time of use. 01:40:33.000 --> 01:40:45.000 We need to shift our utility load curve to positively impact our infrastructure going forward. And then also cost, right? Because if you look at the hour ahead hourly electric market rates. 01:40:45.000 --> 01:40:54.000 Clearly they're much higher during the peak. Hours correct so just both financial and financial sort of physical infrastructure benefits. 01:40:54.000 --> 01:41:13.000 Yes. Okay. And as far as the impact on consumers It looks like from your calculation that based on not just models, but actual numbers and data from our county that show that that right now we're using 30, that the average consumer is using 30 percent 01:41:13.000 --> 01:41:22.000 Of their electricity is happening during the peak hours. And if you apply that to the time of use analysis. 01:41:22.000 --> 01:41:35.000 Then they would actually be paying slightly less than they currently are. It's almost even, but yes, it's like a dollar. Yes. It's slightly lower. And we did that Because the goal was to be revenue neutral. 01:41:35.000 --> 01:41:54.000 To be penalizing. Okay. But ultimately, one might see the benefit of really shifting their use and not stacking their use and actually benefiting in cost. It looks like it could be quite beneficial financially for a lot of folks. 01:41:54.000 --> 01:42:12.000 As someone who lived in more severe drought places than even New Mexico. I got used to and still shower with the bucket so that you capture the water and you use that on plants. And that was because we got used to how high the 01:42:12.000 --> 01:42:20.000 Water rates were because of drought conditions so yeah yes it is something where you Hopefully, it does. 01:42:20.000 --> 01:42:28.000 Allow people to reduce their bills by seeing that they can unstock their appliances. 01:42:28.000 --> 01:42:33.000 And have a way to save. Okay. And so a number of cities around the country are implementing time of use. 01:42:33.000 --> 01:42:49.000 Either currently or they've already done so. They all go about it a different way, but the common theme though that comes out of it often is education of the public about, you know, because it's a huge change in how we do business is key. 01:42:49.000 --> 01:42:55.000 So I guess I just want to point out, so there's a comment. So even if we make this decision this evening. 01:42:55.000 --> 01:43:13.000 It won't be implemented until July of 26. And that is true. And the reason we're trying to make We would like this decision to be made tonight is we did include the implementation of our billing system And our meter system to be able to 01:43:13.000 --> 01:43:26.000 Use both time of use and demand. And since that has a long lead time to put in place, we want this in place now in effect for July of 2026. 01:43:26.000 --> 01:43:43.000 Okay, it would provide, I guess, both the motivation and the time to work out, you know, to work with the community Well, there's also the benefit of an education period so that people um know that it's coming, get educated on some of the tools that are available. 01:43:43.000 --> 01:43:55.000 And potentially more efficient appliances. So there's a lot of different things that different households could consider. Okay, great. Thank you. 01:43:55.000 --> 01:44:00.000 Matt, did you have anything yet? Question wise, okay. 01:44:00.000 --> 01:44:05.000 Karen, the The GDS report, which was an excellent report. 01:44:05.000 --> 01:44:13.000 It suggested some minor adjustments in the relative electric rates the next time we did a general rate change. 01:44:13.000 --> 01:44:22.000 Which is what we're doing right now. And I was wondering if those recommendations were incorporated into the rates that we're seeing proposed here. 01:44:22.000 --> 01:44:34.000 Their overall recommendations were, I did not use the exact dollar amounts because the data that they had did not include FY24. 01:44:34.000 --> 01:44:49.000 And only included part of FY23. So yes, we did use the recommendations However, if you tried to pull a a hourly or a kilowatt hour rate out of that study, this rate might be slightly different because of that. 01:44:49.000 --> 01:45:00.000 Okay, but you did take those recommendations into account. Absolutely. And the 31% was calculated by them based on looking at many years of hourly data for our community. 01:45:00.000 --> 01:45:09.000 That study did discuss in considerable detail both the time of use and demand rate structures. 01:45:09.000 --> 01:45:25.000 And it recommended the former time of use. But I don't recall and couldn't really find on a quick look anyway that it ever talked about employing both of them for residential customers. 01:45:25.000 --> 01:45:34.000 Did it at any point recommend implementing both? It seemed like it was one or the other. 01:45:34.000 --> 01:45:42.000 The study talked about them separately in terms of describing them. 01:45:42.000 --> 01:45:51.000 But the discussions that we had and when they presented here I believe they did talk about them being in tandem. 01:45:51.000 --> 01:46:07.000 And so I don't have this, well, I probably do have the study with me, but I can't tell you exactly like which page it was on But I do know that they were suggesting that you do both because that's where we started 01:46:07.000 --> 01:46:15.000 And also the APPA definitely does. And that's where they started you might need to be at $2. 01:46:15.000 --> 01:46:23.000 A kilowatt for your demand, but that you should never start at that highest amount that you should start somewhere lower. 01:46:23.000 --> 01:46:33.000 And slowly titrate it up to get people used to that new structure. 01:46:33.000 --> 01:46:51.000 Okay. Surprised that it was discussed if it wasn't included in the report but all right We did indeed, as you pointed out here, discuss this a whole concept of time of use and demand charges and numerous times. 01:46:51.000 --> 01:47:08.000 But one of the recitals in the ordinance, I think it's the seventh one says that the department was directed to implement time of use electric rate schedules, structures and schedules. 01:47:08.000 --> 01:47:25.000 And I'm trying to remember where or when or how that direction actually came about. I said, we discussed it, but I don't recall direction Where was that chair i'll ask. I'd like to answer that. 01:47:25.000 --> 01:47:39.000 This goes back. Several years. Actually, when Cornell Wright was the chair and the board at that time directed us to bring back. 01:47:39.000 --> 01:47:47.000 Conservation and environmental rate that's consistent with other renewable resources we're pursuing. 01:47:47.000 --> 01:47:53.000 And we've been… looking into this time of use and demand. 01:47:53.000 --> 01:48:09.000 Through software programs for a couple of years. They said we couldn't implement it right away we need to figure out the software and then figure out the software Then we did the rate study that included both of these elements and so it 01:48:09.000 --> 01:48:17.000 That's where that's where directed came from from prior books. Way back when sometime. 01:48:17.000 --> 01:48:20.000 Chair Gibson. I do have a copy of the study here. 01:48:20.000 --> 01:48:24.000 And um 01:48:24.000 --> 01:48:30.000 They did discuss both demand and time of use. 01:48:30.000 --> 01:48:47.000 In their alternate rate designs discussion, what was talked about in the meeting was that we actually could implement demand sooner because we do have the ability in our billing system to do that. But that time of use was something that would take a longer period of time to implement. 01:48:47.000 --> 01:48:53.000 Because we do not have The billing system today could not do that. 01:48:53.000 --> 01:49:00.000 So it was listed as alternate rate designs But when we discussed it. 01:49:00.000 --> 01:49:08.000 When they came and presented, we did talk about the fact that demand could have been done Immediately. 01:49:08.000 --> 01:49:12.000 Okay, you actually anticipated the next question I was going to ask. 01:49:12.000 --> 01:49:19.000 So we could actually implement demand charges if we wanted to right now. 01:49:19.000 --> 01:49:23.000 That the you the building system could do that. 01:49:23.000 --> 01:49:45.000 Is that correct? We could do it sooner than the time of use. It's not immediate because although the rate is there, we would have to get different information coming in from the meters themselves. So I'm sure Joanne's over there going, no, it's not right away. It would take a small period of time because there is one change we'd have to make 01:49:45.000 --> 01:49:52.000 The way the meter sends the data to us, but the billing system has the demand functionality today. 01:49:52.000 --> 01:49:59.000 Because we are. Commercial. We do all of our institutional customers pay a demand charge. 01:49:59.000 --> 01:50:07.000 I would have thought that was built into the system. It is, but it's how you get the data from the smart meter. 01:50:07.000 --> 01:50:24.000 Okay. The… time of use rates like to ban charges have been fairly common in the utilities industry for for quite a long time, for institutional customers. 01:50:24.000 --> 01:50:30.000 They've only been in the over the last decade or so. 01:50:30.000 --> 01:50:45.000 That have started to be applied to residential customers. This ordinance would impose the time of use rates on residential customers but not on institutional customers. 01:50:45.000 --> 01:50:55.000 Including the county itself and why are we imposing them on residential and not institutional. 01:50:55.000 --> 01:51:14.000 The way that communities use time of use for industrial or non-residential is often through is often through special districts so they have a really large plant that comes to town And that factory or plant is going to be operating say 01:51:14.000 --> 01:51:29.000 At night only. But having huge peak demands on the system They will sometimes do a special time of use rate around that industry. And sometimes they have a lower rate because they're trying to attract that industry. 01:51:29.000 --> 01:51:35.000 Los Alamos is very different. We don't have a whole lot of factories or that type of thing that's coming. 01:51:35.000 --> 01:51:41.000 Chew Town. 01:51:41.000 --> 01:51:48.000 And so I'll just leave it at that. Okay. All right. 01:51:48.000 --> 01:51:58.000 Other questions from the board at this point. I don't see any. We'll open this up for public comment. 01:51:58.000 --> 01:52:09.000 Is there any public comment in chambers? And then we'll go to online public comment. 01:52:09.000 --> 01:52:15.000 I'm sorry. We will get to everybody, so don't worry about it. 01:52:15.000 --> 01:52:32.000 So I'm glad you adopted my idea from 10 years ago, time of use because this existed in Cibola County in the 1990s and when i wandered by here 10 years ago and saw a meeting I came in and listened to it. 01:52:32.000 --> 01:52:45.000 And I suggest, I thought we already had time of use Has it been reversed now that the higher charge is priced at nighttime because it's solar power. 01:52:45.000 --> 01:52:54.000 Is it going to be at nighttime when the higher usage charge comes into effect because it's going to be solar power at Foxtail Flats, right? 01:52:54.000 --> 01:52:59.000 So is it going to be in the daytime when it's cheaper? 01:52:59.000 --> 01:53:06.000 Because it's going to be solar powered or is it going to be in the night time Because it's rarer. 01:53:06.000 --> 01:53:20.000 So we need to discuss that. Another thing about foxtail Flats, have you calculated what a 245 01:53:20.000 --> 01:53:28.000 Well, on China import thing, what that's going to do to foxtail plants, they haven't bought all the panels, Rhett. 01:53:28.000 --> 01:53:38.000 Ready there they buy them one at a time or 10 at a time. Have they even broken ground there yet? You don't have to answer me. That's a question. 01:53:38.000 --> 01:53:48.000 For people to think about. I still have a minute left. You have to think about all that. 01:53:48.000 --> 01:54:14.000 I don't think they stuck a shovel in the dirt yet at Foxtail flat so you're counting on the 245% thing on it now 245 import tariff And I learned how to do tariffs today. It's some 245% is 2.45. If it was $1,000, it'd be $2,450. 01:54:14.000 --> 01:54:21.000 So I… I really… Appreciate you. 01:54:21.000 --> 01:54:27.000 Having all the utilities for us. I really do. Because I've lived without them before. 01:54:27.000 --> 01:54:33.000 I have a couple months. Working poor. 01:54:33.000 --> 01:54:38.000 I'm rich now because I live in White Rock. And I'm happy to pay. 01:54:38.000 --> 01:54:53.000 Oh, I am. And I want you to carry this forward to the council that we don't want AstroTurf and White Rock. We don't. We want natural grass. 01:54:53.000 --> 01:55:03.000 Oh, and the plume of… whatever it is, chromium, potassium chromate 01:55:03.000 --> 01:55:09.000 Only got 15 seconds. I know a little bit about pumping water from death. 01:55:09.000 --> 01:55:20.000 That's when electricity was 3.8 cents uh kilowatt hour and we were pumping 4,500 gallons a minute I don't have my calculator. 01:55:20.000 --> 01:55:29.000 Figure it out thank you 01:55:29.000 --> 01:55:35.000 Good evening. So I've been following. Excuse me, could you give us your name, please? My name is Jonathan Ernst. 01:55:35.000 --> 01:55:52.000 Thank you very much. I've been following this for a couple of months and just trying to educate myself more on uh what the rate increase is coming and they're very large And you're going to be scary to a lot of people. 01:55:52.000 --> 01:55:57.000 And one of the things I noticed that the monthly service charge going up, that's very easy to see. 01:55:57.000 --> 01:56:03.000 The time of use, if that's adopted the five to 11, that's very easy to see. 01:56:03.000 --> 01:56:18.000 But I keep hearing the demand charge that's been thrown on and I've not seen any rates with that i haven't seen how that is going to work. I understand what that does to the you know when you start stacking appliances and 01:56:18.000 --> 01:56:25.000 For that minute in time, that hour and time, you need that much more capacity to deliver the electricity. That makes a lot of sense. 01:56:25.000 --> 01:56:48.000 But in the ordinances What I'm not seeing is where that is listed if that is being applied and it's very confusing. I know in the one slide where they showed people opting out, it listed the demand charge so I just haven't seen it described very well what that's going to look like to the consumer. 01:56:48.000 --> 01:57:00.000 That's all I have. Thank you. By the way, if you look at the proposed ordinance Section 40-123. 01:57:00.000 --> 01:57:10.000 A2, that's where it gives explicitly the demand charge that is proposed. 01:57:10.000 --> 01:57:17.000 Okay, do we have other public comment in chambers? I don't see any. Do we have any online? 01:57:17.000 --> 01:57:26.000 Thank you, Chair Gibson. If anyone online would like to make public comment, would you please raise your Zoom hand now? 01:57:26.000 --> 01:57:41.000 We do have one person. I'm going to allow you to speak, but you'll need to unmute yourself. 01:57:41.000 --> 01:57:50.000 Hi, I am Linda Gutzel. I live in White Rock. And I work at the White Rock Visitor Center down here. 01:57:50.000 --> 01:57:55.000 My question is. Who pays for the electric? 01:57:55.000 --> 01:58:11.000 Utilities at the rv park which has around 20 spaces down here And all Los Alamos and White Rock. We have electric. 01:58:11.000 --> 01:58:21.000 Charging stations for vehicles. Who sustains those charges? 01:58:21.000 --> 01:58:23.000 That's the extent of your comment? Okay, thank you. 01:58:23.000 --> 01:58:29.000 Yes. Yes, sir. 01:58:29.000 --> 01:58:41.000 Fallon, would you like to try to answer that one? I'm Philo Shelton, the utilities manager at the RV park There's nightly rental. 01:58:41.000 --> 01:58:58.000 Charge for keeping an RV there included in that is the counties community services department pays for that electric bill, as well as the White Rock 01:58:58.000 --> 01:59:07.000 Main town hall that's paid by the county as part of a building renovation. 01:59:07.000 --> 01:59:13.000 And then the actual charge point chargers, there's a fast charger at the White Rock Visitor Center. 01:59:13.000 --> 01:59:25.000 The person that has to have a ChargePoint account and they actually pay for that electricity through charges. 01:59:25.000 --> 01:59:30.000 Okay, thank you. Is there any other public comment? 01:59:30.000 --> 01:59:37.000 Seeing none, we'll close the public comment and go to board discussion. 01:59:37.000 --> 01:59:44.000 Is there anybody chomping at the bit? Address the issues. 01:59:44.000 --> 01:59:49.000 Well, I just want to try to clarify one of the comments the points made. 01:59:49.000 --> 02:00:10.000 I think all around the country, the peak hours are typically in the evening hours correct okay so it's not because we're investing in foxtail flats that we're looking at this 5 to 11 time period. If we look instead at the hour ahead hourly electric market or HAM energy prices. 02:00:10.000 --> 02:00:18.000 They are peaking between 5 and 11 p.m. So there is a logic to this that's well beyond Foxtail Flats. 02:00:18.000 --> 02:00:22.000 I think in some places the peak is in the afternoon for air conditioning. 02:00:22.000 --> 02:00:31.000 It could be right, right. Okay. Nobody else wants to speak right now. I've got some comments. 02:00:31.000 --> 02:00:43.000 First, I'd like to compliment the staff on cleaning the technical and structural issues in the originally introduced ordinance. This is a much cleaner ordinance. 02:00:43.000 --> 02:00:53.000 Thanks to Philo and Tom and Karen and everybody else that worked on that give us something that's, I think, a good deal cleaner. 02:00:53.000 --> 02:01:00.000 I think there's basically two issues here or three, depending on how you count. 02:01:00.000 --> 02:01:07.000 One is the general rate increase, which We don't like to have to do, but that appears to be necessary. 02:01:07.000 --> 02:01:22.000 And that's fairly simple and straightforward. The other part is this rate restructuring for residential customers. Going to time of use and demand charges. 02:01:22.000 --> 02:01:34.000 Part of the art of the art good decision making is knowing when to make a decision And of course, the usual problem is people wait too long and then options are lost. 02:01:34.000 --> 02:01:41.000 But you can also make a decision too early. And down select options prematurely. 02:01:41.000 --> 02:01:51.000 And that often requires revisiting and do-overs. And I think the latter is the case here with respect to the restructuring part of the ordinance. 02:01:51.000 --> 02:01:55.000 I think it is premature. 02:01:55.000 --> 02:02:04.000 The charges should be based fundamentally Charges to our customers should be based fundamentally on the cost of service. 02:02:04.000 --> 02:02:09.000 There's other factors, of course, but fundamentally cost should drive charges. 02:02:09.000 --> 02:02:18.000 And as proposed in this ordinance. Implementation of these restructured rates would start when the billing capability exists. 02:02:18.000 --> 02:02:25.000 Or July 1, 26. Not when it's justified by the underlying costs. 02:02:25.000 --> 02:02:34.000 For the power. We have to have the administrative software, of course, that's a prerequisite. 02:02:34.000 --> 02:02:47.000 And that might take a year. But the I think the time of use rate should be implemented When we have a significant amount of solar and stored power. 02:02:47.000 --> 02:02:53.000 In our resource portfolio. And that's right now anticipated to be foxtail flats. 02:02:53.000 --> 02:03:02.000 And unfortunately, it's going to take longer for that to produce power than we had originally anticipated. 02:03:02.000 --> 02:03:07.000 That schedule has slipped by six months or so so far. 02:03:07.000 --> 02:03:17.000 And it continues slipping day by day. The earliest we might see significant power from it is late 2026. 02:03:17.000 --> 02:03:24.000 At best. There's also some small risk that the project may not happen at all. 02:03:24.000 --> 02:03:31.000 So I don't see that there's a compelling reason to enact time of use rates now. 02:03:31.000 --> 02:03:44.000 We can, and I think we should hold off until the project viability and schedule, the Foxtail Flats viability and schedule are much clearer than they are today. 02:03:44.000 --> 02:03:51.000 The billing system update. Could and should proceed as planned. It will be needed someday. 02:03:51.000 --> 02:04:01.000 Just because we have it. And we'll have it presumably in a year or so. That doesn't mean we need to start using it the next day. 02:04:01.000 --> 02:04:06.000 Or on July 1st next year as this ordinance dictates. 02:04:06.000 --> 02:04:20.000 Deferring the restructuring would also give the department time to consider and perhaps propose time of use rates on institutional customers not just residential. 02:04:20.000 --> 02:04:25.000 And if it is imposed on the 02:04:25.000 --> 02:04:39.000 Or developed time of use rates developed for institutional customers. It may be possible to test the new billing software with some classes of those before we implement it for 8,000 residential customers. 02:04:39.000 --> 02:04:49.000 Gives us an opportunity perhaps to perhaps do a pilot some classes at least of our institutional customers. 02:04:49.000 --> 02:05:02.000 With respect to the demand charges. I'm still not sure on that myself. Either way, I'm not convinced that we should impose those on residential customers. 02:05:02.000 --> 02:05:07.000 If we do that, again, the question becomes when, how much? 02:05:07.000 --> 02:05:12.000 And how should they be structured? As with time of use. 02:05:12.000 --> 02:05:24.000 I think they should reflect the underlying costs. And that's primarily at this point in the upgraded distribution system that we expect to need. 02:05:24.000 --> 02:05:29.000 To support electrification. We know that's going to cost money. But we don't know today. 02:05:29.000 --> 02:05:35.000 When those costs will start being incurred. What they'll be. 02:05:35.000 --> 02:05:43.000 Or enhance when it'd be fair to start charging customers for them. 02:05:43.000 --> 02:06:00.000 I don't think the billing system availability or an arbitrary date like the county fiscal year should be the trigger. It should be based on when You know, we start incurring significant charges for incurring Or can at least see what those are going to be for the distribution system. 02:06:00.000 --> 02:06:08.000 The first step in the first step in figuring that out will come in august with the electrification study report. 02:06:08.000 --> 02:06:13.000 And that will be followed by more months of technical, financial and policy development. 02:06:13.000 --> 02:06:30.000 Before any implementation begins. Realistically, it's likely to be several years, at least a few years, maybe several, before the department starts spending serious money on upgrading the distribution system. 02:06:30.000 --> 02:06:40.000 By then, demand charges If we implement them can be based on real cost estimates and better use projections. 02:06:40.000 --> 02:06:54.000 Then on the somewhat arbitrary scale that this ordinance proposes. I do appreciate the department's argument that we should implement residential demand charges if we do that at all. 02:06:54.000 --> 02:06:58.000 At a low level early to help customers get familiar with them. 02:06:58.000 --> 02:07:09.000 And fold them into their planning. But I think we need to see a more substantive basis before deciding if or where to start. 02:07:09.000 --> 02:07:16.000 There could even be some benefit to tiering demand charges as we do for water rates. 02:07:16.000 --> 02:07:21.000 To help customers perhaps be more consciously aware of their demand. 02:07:21.000 --> 02:07:27.000 For example, just as just an example. We might say for five kilowatts or less. 02:07:27.000 --> 02:07:37.000 There would be no demand charge. For a peak demand between, say, 5 and 10 kilowatts the rate might be $2 a kilowatt hour. 02:07:37.000 --> 02:07:48.000 And above 10 kilowatts, it would probably be more. That's just a thought, but I don't think it's something that has been thought about a whole lot yet. 02:07:48.000 --> 02:07:56.000 I know the department is concerned. That if they don't have a policy basis for upgrading the billing system. 02:07:56.000 --> 02:08:03.000 They might spend the money and develop it. And then we would change your minds. 02:08:03.000 --> 02:08:12.000 With the expected continuity of the board and council, I think major changes in sentiment are not very likely. 02:08:12.000 --> 02:08:29.000 Except in the scenario that Foxtail Flats fails And silver power is pushed further into the future. Of course, we hope that doesn't happen, but we have to keep that in mind as a possibility. I think if staff would feel more comfortable having formal board direction to upgrade the building system 02:08:29.000 --> 02:08:35.000 That could be included in an auxiliary motion. So. 02:08:35.000 --> 02:08:52.000 Meanwhile, I think we should go with the alternate motion. To separate the restructuring and keep this ordinance Tonight, a simple, if unpleasant, rate increase within the current structure. 02:08:52.000 --> 02:09:08.000 So that's my thoughts on the subject. Charlie. May I ask a question, maybe Karen or somebody can help The question of cost is obviously important and determinative one, but production costs are not the only cost. 02:09:08.000 --> 02:09:26.000 Another cost is the wear and tear on our current system, right? So is there some way to estimate how much the wear and tear on the current system is by you know keeping you not using the time of use charges. In other words, not going to it even if 02:09:26.000 --> 02:09:45.000 Solar or whatever's pushed back into the future. I'd like to answer that. I did ask uh Stephen Mahrez, how many transformers that he had to upsize due to electrification of homes And over the last couple of years, they've replaced 12 02:09:45.000 --> 02:10:07.000 Different sites throughout the county. So as people add load This is the reason for the demand is if we can spread out the load We don't have to upgrade our transformers as quickly. The electrification study will delve into that much deeper, but currently it's been our experience has been 12 02:10:07.000 --> 02:10:14.000 Upsize transformers and we're no longer stocking the the eight. 02:10:14.000 --> 02:10:23.000 15 kV transformers are going to 25s. Also, Chair Gibson, Member Nakley. 02:10:23.000 --> 02:10:30.000 On our commercial county and schools for the demand rate. 02:10:30.000 --> 02:10:35.000 The demand rate they're paying is between 1260 and 1320 per kilowatt. 02:10:35.000 --> 02:10:40.000 Which is significantly more than the $1 per kilowatt we're recommending for residential. 02:10:40.000 --> 02:10:58.000 So part of why we did not include time of use with our other customers is because we already have a large demand so that whatever that peak demand is during the billing period, we have a much higher rate that we're charging for that because it is a different structure. 02:10:58.000 --> 02:11:05.000 In our time of use, excuse me. In our cost of service study. 02:11:05.000 --> 02:11:22.000 We did segregate the per kilowatt hour costs and those include our infrastructure And all of that, our service charge is made up of, as we said before, the IDC's and the overhead, which includes all of the equipment. 02:11:22.000 --> 02:11:37.000 The vehicles. Pipe pullers, all of that type of stuff is included in that. So the infrastructure costs are part of the kilowatt hour portion of our rates. 02:11:37.000 --> 02:11:44.000 Great. So I'll just comment then. Thank you for that. I'll just comment. So I certainly agree with the chair. 02:11:44.000 --> 02:11:49.000 On the need for the straight up rate increases clearly well overdue. 02:11:49.000 --> 02:11:58.000 But I'll say I'm inclined to the original motion, not the alternate motion, because I just think we need to get going on this. 02:11:58.000 --> 02:12:09.000 I know nobody likes these rate increases. Life just does not give you pleasant choices sometime. We've got a failing or we've got an infrastructure that's under some stress and we need to take care of it. 02:12:09.000 --> 02:12:13.000 We're looking towards improving it and expanding it in the future. 02:12:13.000 --> 02:12:19.000 And I just think we need to get started on it. So that's where my head is at the moment. 02:12:19.000 --> 02:12:24.000 Yeah, I would tend to agree with member knockley on that last point. 02:12:24.000 --> 02:12:31.000 So we already have costs higher during this peak. The peak hours from 5 to 11. 02:12:31.000 --> 02:12:40.000 Correct. Even if we don't Foxtail flats being incorporated into the mix. Our day ahead wreaths definitely yes okay so hour ahead. 02:12:40.000 --> 02:12:49.000 So really, the only reason we haven't already introduced time of use billing is because we don't have the software to do it. 02:12:49.000 --> 02:12:58.000 You know, it would be logical it would have been logically some years ago to have introduced that Is that correct? If we had the software in place? 02:12:58.000 --> 02:13:19.000 That is correct. We did in our old billing system many, many years ago, we had one time of use customer, it was offered to any of the churches on Sundays, an old historical one. So there was a separate rate on sundays okay we only had one church that took advantage of it, but it was out there for a number of years. 02:13:19.000 --> 02:13:29.000 And then also our community is already beginning to shift towards more and more electric appliances. 02:13:29.000 --> 02:13:33.000 And obviously there's still interest in the community to add solar. 02:13:33.000 --> 02:13:38.000 And so for a number of reasons, we will be stressing our utility. 02:13:38.000 --> 02:13:56.000 And so I think that in order to shift the utility load curve, which is a primary goal of introducing time of use and also the demand billing. It just seems logical that we begin this process sooner rather than later. 02:13:56.000 --> 02:14:10.000 Because all of these changes are already happening. And so for both reducing stress on our utility reducing future needs for adding extra resources. 02:14:10.000 --> 02:14:21.000 And just to encourage our community to shift their use for both practical reasons and environmental efficiency reasons. 02:14:21.000 --> 02:14:33.000 There just seems to be you know just logical and no particular reason not to start now, especially since even if we make this decision tonight. 02:14:33.000 --> 02:14:44.000 We will have over a year to work with our community members to help them learn about all of the options available to them and what the new structure will mean. 02:14:44.000 --> 02:14:50.000 So I think it's time to make this decision. It's been discussed for over two years. 02:14:50.000 --> 02:15:00.000 And beyond that, really. And it is something that many advanced communities in the nation are already moving toward or have already implemented. 02:15:00.000 --> 02:15:06.000 So I think it's, you know, this community can handle it and really should. 02:15:06.000 --> 02:15:14.000 I think so. Okay, Eric. 02:15:14.000 --> 02:15:29.000 Thank you, Chair Gibson. I agree with Chair Gibson on the alternative and one of the subtle points that I agree with, but I grew with everybody and i totally think we need to move forward is that the billing system needs to have the ability 02:15:29.000 --> 02:15:37.000 To have peak demand and also time of use and that needs to just go forward regardless. Now. 02:15:37.000 --> 02:15:47.000 I agree with Chair Gibson in terms of kind of waiting and seeing what Foxtail Flats is going to do. 02:15:47.000 --> 02:15:55.000 I think that if we pass the original plan or it's doing a little bit too much too fast, too far too fast. 02:15:55.000 --> 02:16:16.000 The just because we just because do the billing and get the billing in place, the procedures doesn't mean we have to charge a dollar per kilowatt hour. I like Chair Gibson's idea about zero to five, maybe zero, maybe five to 10, one, and anything above 10, 02:16:16.000 --> 02:16:32.000 Two or you know whatever those figures would be I like that. And just if we have the billing time of day doesn't mean we have to have a different rate between night and day or peak and off peak. 02:16:32.000 --> 02:16:37.000 We could have, I think right now, let's just say it's 13 cents and 19 cents. 02:16:37.000 --> 02:16:43.000 We could have 13 cents and 16 cents. We obviously do need a rate increase. 02:16:43.000 --> 02:16:52.000 We agree with that. But I guess I'm kind of in between I'm leaning more toward what Chair Gibson is saying. 02:16:52.000 --> 02:16:54.000 Thank you. 02:16:54.000 --> 02:16:58.000 Okay. Matt. 02:16:58.000 --> 02:17:07.000 Yeah, compelling arguments both directions, I think. Just a quick question. My understanding is that until Foxtail Flats comes online, crossing fingers. 02:17:07.000 --> 02:17:21.000 We are reliant on real-time purchases. So to make sure I'm right on that give us any sense of how much we're relying on that hour ahead rate today. 02:17:21.000 --> 02:17:24.000 For open market purchases. 02:17:24.000 --> 02:17:31.000 I'll defer to Ben Ulbrich. 02:17:31.000 --> 02:17:40.000 Thanks for the question. It's like everything with power supply currently. It's somewhat nuanced uh we we are. 02:17:40.000 --> 02:17:55.000 Supplying the majority of our electric load right now with a around the clock, 40 megawatt power purchase agreement, which is scheduled to end in February of 2026. 02:17:55.000 --> 02:18:00.000 However. It's highly seasonally dependent. 02:18:00.000 --> 02:18:11.000 What we actually use and what we actually need to buy from the market. For example, right now, it's been a unseasonably warm March and April. 02:18:11.000 --> 02:18:20.000 And during these months, we actually have more power than we need because people aren't running their furnaces as much. Furnace fans aren't going, electric space heaters aren't going. 02:18:20.000 --> 02:18:24.000 And yet it's not warm enough for people to run their air conditioning and heat pumps. 02:18:24.000 --> 02:18:29.000 So we actually have a surplus of power so we're sometimes selling power into the market. 02:18:29.000 --> 02:18:35.000 Which again, exposes us to those same price variations that we talk about on the hour ahead and day ahead markets. 02:18:35.000 --> 02:18:42.000 However, right now prices are really low. So we're actually losing money by selling to the market. 02:18:42.000 --> 02:19:03.000 So it's not exactly I can't give you a straightforward answer. It all depends on the season and We're trying to, when we do this time of use, we're trying to abstract all these variables and give two numbers uh you know a peak on peak and off-peak cost. And that's why we're showing Karen showed you these average costs you know 02:19:03.000 --> 02:19:07.000 Of the hour ahead market across the year, but nothing's ever that simple. 02:19:07.000 --> 02:19:12.000 We're trying to aggregate one year's worth of seasonal variations and, you know. 02:19:12.000 --> 02:19:23.000 Load and congestion on transmission systems into a simple chart. And so you're going to lose a lot of the details there. 02:19:23.000 --> 02:19:24.000 Yes. 02:19:24.000 --> 02:19:47.000 This is why Harry Truman wanted a one-handed economist. So at one point I wanted to make, and it is relevant based upon what Chair Gibson has mentioned and the other points that the other board members have brought up is that This is not, you know, and I want to repeat this, it's been mentioned before, this is not entirely about Foxtail flats and about, you know, and where the market is. It's more about us as a community 02:19:47.000 --> 02:19:56.000 Where we see ourselves going with electrification and the impacts of people's consumption and their patterns of usage And board Mayor Knockley spoke to this as well. 02:19:56.000 --> 02:20:04.000 And how the changes we'll have to make to our distribution system are reflective of those changing loads and the changing generation. 02:20:04.000 --> 02:20:07.000 Those things are happening now, whether we have Foxtail flats or not. 02:20:07.000 --> 02:20:12.000 We are still buying and selling power. Again, like I say. 02:20:12.000 --> 02:20:27.000 To speak to board member Hebner's question varies depending on season, depending on the hour whether it's a hot spell or a cool period There's a lot of variation, but all those effects, including specifically about the demand charges. 02:20:27.000 --> 02:20:50.000 And people board member Stromburg spoke to this about distributed solar. They still impact our distribution system and the demand charge is also a way of reflecting the impact they have when their PV systems go offline and they suddenly ramp up a five kilowatt load as they're cooking using the distribution system to supply that load. 02:20:50.000 --> 02:21:02.000 That what you call demand charge is a way of recapturing some of those costs that might otherwise be unseen. 02:21:02.000 --> 02:21:05.000 So long answer to a short question. 02:21:05.000 --> 02:21:15.000 Thank you very much. Maybe a short recap of what I took away from all that. First, thanks for all the nuance. But we are currently exposed to the market. 02:21:15.000 --> 02:21:16.000 Yes. 02:21:16.000 --> 02:21:26.000 There's a potential for greater exposure when we're at February 2026 when the PPA that we have goes away Foxtail makes it more complicated, but this isn't really about Foxtail. 02:21:26.000 --> 02:21:31.000 And it's complicated, but I think those are the key points for me. Thanks so much for going into that. 02:21:31.000 --> 02:21:36.000 Yes. 02:21:36.000 --> 02:21:49.000 Before you sit down, Ben. I'd like to ask, maybe ask the same question that Matt asked in a little different way. 02:21:49.000 --> 02:22:10.000 You show the curve is shown in the presentation for the hour ahead market and and how those costs vary through the course of the day. But as you pointed out, that's only part of our overall power We have other fixed price contracts. 02:22:10.000 --> 02:22:22.000 What can you say about the how much over a year, let's say of our… energy use comes from the hour ahead market. 02:22:22.000 --> 02:22:30.000 Versus the various other sources that we have. Ballpark. 02:22:30.000 --> 02:22:47.000 I'm trying to recall some history. It's typically a pretty small amount. Our general practice, at least historically, has been to provide a robust power supply contract ahead so that we are not short and we're not left wanting when something happens. 02:22:47.000 --> 02:22:56.000 Prudent utility practice is to supply for your load. So we generally do that. So I would estimate 5%, perhaps. 02:22:56.000 --> 02:23:00.000 It's just a guess. Don't have the numbers with me right now. 02:23:00.000 --> 02:23:10.000 So if I interpret that answer correctly. This duck curve that we see here is a fairly small part of our overall power cost. 02:23:10.000 --> 02:23:25.000 Yes. And that's why I made my big nuanced long description about why the those that's one piece of it. And the bigger piece is the distribution system and the need for upgrades as we electrify and today. 02:23:25.000 --> 02:23:37.000 Okay, thank you. Other discussion from board or would someone like to make a motion? 02:23:37.000 --> 02:23:49.000 I will go ahead with the motion. I move that the board recommend incorporated County of Los Alamos ordinance number 02-365 and forward to counsel for introduction and adoption. 02:23:49.000 --> 02:23:54.000 I further moved that staff publish as provided in the county charter. 02:23:54.000 --> 02:24:02.000 I second. Okay, the recommended action is moved and seconded Eric, you have further comment. 02:24:02.000 --> 02:24:16.000 Yeah, I have a question. If this is the original proposal and if we vote no on this, do we then have a motion for the alternate? How does that work? 02:24:16.000 --> 02:24:30.000 We certainly could, probably should. But yes, we can go with the alternate A motion can be made to approve the alternate or any other motion could be made If this one fails. 02:24:30.000 --> 02:24:34.000 Okay, thank you. 02:24:34.000 --> 02:24:41.000 If there's no other discussion. Karen, excuse me, Kathy, would you please call the roll? 02:24:41.000 --> 02:24:46.000 Remember Hollingsworth? Yes. Member Knockley? Yes. Member Stromberg? Member Hebner? 02:24:46.000 --> 02:24:49.000 No. 02:24:49.000 --> 02:24:50.000 Yes. 02:24:50.000 --> 02:24:56.000 And Member Gibson. No. Thank you. Okay, motion passes. Three to two. 02:24:56.000 --> 02:25:02.000 Thank you, Karen. You did a lot of work on this, I know. Thank you. 02:25:02.000 --> 02:25:09.000 Okay, it is 10 minutes of eight. I propose that maybe we go ahead and do the sewer rate ordinance and then take a break. 02:25:09.000 --> 02:25:16.000 Does that sound reasonable to everyone? Pardon? I'm sorry. 02:25:16.000 --> 02:25:35.000 My apologies. I started to walk away because I thought you said take a break. If you would like to take a break now, we'll do it. I was just thinking maybe we get these rate ordinances out of the way. This one says joanne's going to do this one. 02:25:35.000 --> 02:25:41.000 If you're okay with proceeding, okay. Then we'll move to 6B. 02:25:41.000 --> 02:25:50.000 Which is approval and recommendation of code ordinance 02366 having to do with sewer service rates. 02:25:50.000 --> 02:26:11.000 Thank you. Chair Gibson. The… We did present this at the time of the introduction as a reminder, the board and council previously approved a 2% rate increase that would go into effect or goes into effect October 1st of 2025 02:26:11.000 --> 02:26:29.000 We're recommending that that be replaced with a 7% increase. And that the 2% would be replaced by that. So it's not seven plus two, it's just the seven And then there would also be an additional 7% in FY 2027. 02:26:29.000 --> 02:26:36.000 As you recall, these increases were included in the budget that you did adopt at our last meeting. 02:26:36.000 --> 02:26:46.000 And that is going to be before council next week. And we did attach In addition to the ordinance itself. 02:26:46.000 --> 02:26:53.000 The frequently asked questions, and I'm happy to stand for any questions you have on this ordinance. 02:26:53.000 --> 02:27:00.000 Okay. Are there any board questions? 02:27:00.000 --> 02:27:06.000 I don't see any. Is there any public comment? 02:27:06.000 --> 02:27:15.000 Thank you, Chair Gibson. We've got one in chambers and then we'll go online. Hold on just a moment. I say, Eric, your hand is up. 02:27:15.000 --> 02:27:16.000 Did you have a question? 02:27:16.000 --> 02:27:30.000 Yeah, thanks. I was wondering if the sewer rate 2%. Does that increase the commercial rates that are based on water usage. 02:27:30.000 --> 02:27:37.000 Yes, Member Stromberg, the increases are across the board. So yes, it would increase that. 02:27:37.000 --> 02:27:38.000 Okay, thank you. 02:27:38.000 --> 02:27:45.000 Commercial. Any other board questions that I missed? 02:27:45.000 --> 02:27:51.000 Okay, thank you. All right, Mr. Dempsey, sorry about the delay there. Go ahead. 02:27:51.000 --> 02:28:06.000 And by the way, you don't have to feel obligated to fill the three minutes You don't have to feel obligated to comment. Is that what you said? That's not what I said. 02:28:06.000 --> 02:28:25.000 So looks like it hasn't been fleshed out whether time of use will be at night or in the day If it's all solar which we have very little of now it'll now it'll have to be from a storage battery right 02:28:25.000 --> 02:28:33.000 Maybe I can help you a little bit. The ordinance is very clear. The peak time of use is 5 to 11 in the evening. 02:28:33.000 --> 02:28:43.000 And the off peaks are all the rest of the hours. That is in the ordinance. Okay, that's exactly opposite what it used to be when I lived in Siebla County for 12 years. 02:28:43.000 --> 02:29:02.000 Lived here 32 now and it i suggested that a long time ago time of ray But I didn't think it would be, it was always cheaper at nighttime The power industry has changed in many respects over that time. Do you have any comment on the sewer ordinance since we're 02:29:02.000 --> 02:29:15.000 We've acted on the electric ordinance. No, but I'm very happy to you supply all the utilities and i'll pay whatever's necessary. 02:29:15.000 --> 02:29:28.000 Relying on solar. I don't know where it comes from now. I drove past the Fort Laramie power plant where does all the power come from now it can't be all solar. 02:29:28.000 --> 02:29:35.000 In this state, it's not. So it's coal from Laramie River Station. 02:29:35.000 --> 02:29:40.000 And I don't know what other sources windmills windmills when it's blowing air. 02:29:40.000 --> 02:29:48.000 Blown good and i don't know where the rest of it comes from. Anyone wants to comment on that thank you. 02:29:48.000 --> 02:29:55.000 I think if you were to look on the utility department's website you could find information on our sources. 02:29:55.000 --> 02:30:16.000 I still have a minute left. Yes, you do. So why is the why county on the hook for the county chromium perchlorate or sodium perchlorate why is the county why isn't all that for the lab the lab The county didn't make it. 02:30:16.000 --> 02:30:34.000 Didn't make that pollution and why should the county have to pay for it? And I asked the gentleman here it's a thousand foot down where the contamination is and i'm quite familiar with pumping water from depth in… 1990. 02:30:34.000 --> 02:30:39.000 At 3.8 cents. 3.6 cents. 02:30:39.000 --> 02:30:55.000 A kilowatt hour. It costs $13 million to pump 4,500 gallons a minute So he casually said 3,000 gallons from 1,000 foot. There we don't have the electricity for it. 02:30:55.000 --> 02:31:00.000 I mean, where's that going to come from? Why is the county on the hook? 02:31:00.000 --> 02:31:08.000 To pay for this at all? Why isn't the lab dealing with it. Thank you. 02:31:08.000 --> 02:31:15.000 Thank you. Do we have any other public comment in chambers? 02:31:15.000 --> 02:31:25.000 Seeing none do we have online. Any online? Thank you, Chair Gibson. If anybody would like to make public comment, would you please raise your Zoom hand? 02:31:25.000 --> 02:31:33.000 Nobody has their hand raised here, Gibson. Okay, we'll close public comment on the sewer ordinance, sewer rate ordinance. 02:31:33.000 --> 02:31:42.000 And go to the board for discussion or motion. Or both. 02:31:42.000 --> 02:31:57.000 Okay, I'm ready to move. Okay. I move that the board recommend incorporated County of Los Alamos ordinance number 02-366 and forward to council for introduction and adoption. 02:31:57.000 --> 02:32:02.000 I further move that staff publish as provided in the county charter. 02:32:02.000 --> 02:32:26.000 I'll second. Okay. Moved and seconded that the uh the recommended motion that the ordinance be adopted or recommended by the board to the council for adoption. I'll get this untangled eventually. The recommended action has been Moved and seconded. 02:32:26.000 --> 02:32:33.000 Any further discussion? Seeing none, Kathy, please call the roll. 02:32:33.000 --> 02:32:38.000 Member Hollingsworth? Yes. Member Nochley? Yes. Member Stromberg? Member Heffner? 02:32:38.000 --> 02:32:40.000 Yes. 02:32:40.000 --> 02:32:41.000 Yes. 02:32:41.000 --> 02:32:46.000 And Member Gibson. Yes. Thank you. Okay, motion passes five to zero. 02:32:46.000 --> 02:32:51.000 And I would suggest now that we take a 10 minute break. 02:32:51.000 --> 02:33:04.000 And we'll come back and we'll come back move on to one we have one other public hearing but that one shouldn't take very long either Great time. 02:33:11.000 --> 02:33:17.000 Although we're still looking for Eric. 02:33:17.000 --> 02:33:21.000 There he is. Great. Thank you. 02:33:21.000 --> 02:33:26.000 Okay, we are called back into session. 02:33:26.000 --> 02:33:34.000 And we'll move on to item 6C, which is an affirmation of County ordinance number 741. 02:33:34.000 --> 02:33:43.000 Having to do with a loan and subsidy agreement. From NMFA. 02:33:43.000 --> 02:33:48.000 And James Allred. Yes, Chair Gibson, members of the board. 02:33:48.000 --> 02:34:01.000 We're seeking the board support on ordinance 741 and a recommendation to council for approval The ordinance is going to authorize us to execute a loan them subsidiary agreement. 02:34:01.000 --> 02:34:14.000 With the New Mexico Finance Authority. The funds are coming from the drinking water state revolving loan fund These funds are going to be applied to two phases of a water distribution project. The first one this summer. 02:34:14.000 --> 02:34:27.000 And the next one next summer. And they're both in the Denver Steeles neighborhoods we are Concurrently doing the project with the public works department and we'll do the water lines and they'll go ahead and pave the roads right behind us. 02:34:27.000 --> 02:34:38.000 It's been a planned project for some time now. And we do have some poor condition water lines. They're 1950s vintage cast iron. 02:34:38.000 --> 02:34:52.000 And they have some steel steel service lines. So we're seeing most of the failures, but pretty frequent failures on the service lines And then we know after a paving job after the cast iron lines with a vibratory compaction are just we're going to 02:34:52.000 --> 02:35:04.000 We would see a bunch more recurring problems with that so We've done the majority of Western area now over the last decade in this fashion following public works and it's it's a good, efficient way to get through the neighborhoods. 02:35:04.000 --> 02:35:14.000 The total award is $2,727,000. With 625,000 of that being a grant. 02:35:14.000 --> 02:35:26.000 So we're going to be financing $2,102,000. Over 20 years at an interest rate of 0.26%. So it's uh We're fortunate with these interest rates are still available. 02:35:26.000 --> 02:35:32.000 And with that, I'd be glad to answer any questions. Thank you. 02:35:32.000 --> 02:35:38.000 Questions from the board. 02:35:38.000 --> 02:35:49.000 I have one. The staff report says phase two is scheduled to begin construction in the spring of 2025. 02:35:49.000 --> 02:35:55.000 And yet this the financing doesn't appear to be in place yet. 02:35:55.000 --> 02:36:01.000 And it'll be a while before it gets through us and the council, et cetera. They're not going to be a lot of spring left. 02:36:01.000 --> 02:36:21.000 How is that phased? Are we starting before we have the financing? Chair Gibson, that was carrier language from budget when we were preparing it six months ago or four months ago but no we are aligning the bid and the closing of the loan itself to happen 02:36:21.000 --> 02:36:27.000 At the end of June, because our monies aren't available, nor are public works until the next fiscal year. 02:36:27.000 --> 02:36:32.000 So they're timing out for a July award. With the boarding council. 02:36:32.000 --> 02:36:36.000 Okay, are you going to actually then be able to start the project? 02:36:36.000 --> 02:36:54.000 This summer and get it done before winter or how does that work? Yeah, it's going to be close. It's pretty aggressive, but we've we think we can get everything done before. The key thing there is getting the roads paved before we get some winter weather. So we'll be working through the end of October, most likely. 02:36:54.000 --> 02:37:06.000 And we, of course, we'd always like to see snow. It can't happen in october but Okay, answers my question. Thank you. 02:37:06.000 --> 02:37:12.000 Other questions from the board? Is there any public comment? 02:37:12.000 --> 02:37:25.000 Chair Gibson, I think our public has exited the Zoom room. Okay. Well, if they uh If they get back off break and rejoin us, please let us know. 02:37:25.000 --> 02:37:35.000 Okay. We'll move back to the board for discussion and or motion. 02:37:35.000 --> 02:37:53.000 I will make a motion. I move that the Board of Public Utilities affirm incorporated county of Los Alamos ordinance number 741 an ordinance authorizing the execution and delivery of a loan and subsidy agreement between the county and the NMFA. 02:37:53.000 --> 02:38:04.000 And the total amount of $2,727,000 for the purpose of financing phases two and three of the Denver Steel's waterline replacements project. 02:38:04.000 --> 02:38:12.000 And forward to counsel for introduction and adoption. I second. Okay, thank you. 02:38:12.000 --> 02:38:20.000 Ordinance 741. Has been moved in, seconded. 02:38:20.000 --> 02:38:25.000 Is there any further discussion? 02:38:25.000 --> 02:38:32.000 Kathy, would you please call the roll? Member Hollingsworth? Yes. Member Nockley? Yes. Member Stromberg? 02:38:32.000 --> 02:38:33.000 Member Heppner? And Member Gibson. Yes. Thank you. 02:38:33.000 --> 02:38:34.000 Yes. 02:38:34.000 --> 02:38:37.000 Yes. 02:38:37.000 --> 02:38:49.000 Motion passes five to zero. That takes us to… board business which begins with the chair's report. 02:38:49.000 --> 02:38:59.000 And… I'm actually going to stretch the definition of chairs report just a little bit this evening in two or three different directions but Hopefully not too far. 02:38:59.000 --> 02:39:09.000 First and foremost, I'd like to recognize that this is Karen Kendall's last board meeting. 02:39:09.000 --> 02:39:19.000 At least as utility manager for finance administration, you can always come back and comment publicly. 02:39:19.000 --> 02:39:27.000 You know, utilities is a really big, it's an enterprise fund and it's a business and it's not a small one. 02:39:27.000 --> 02:39:33.000 You know, it's a hundred million dollar plus business, 100 plus employees. 02:39:33.000 --> 02:39:43.000 8,000 plus customers. And part of Karen's job is managing the customer service and all of that customer interface. 02:39:43.000 --> 02:39:52.000 Which is very important to us. We have one unusual and complex partnership arrangement with DOE. 02:39:52.000 --> 02:39:58.000 That requires some different bookkeeping than a lot of other things. 02:39:58.000 --> 02:40:05.000 And there's five cranky laymen that you have to deal with on the board of directors here. 02:40:05.000 --> 02:40:13.000 Well, we'll excuse. Maybe Jen's not cranky. She hasn't been here long enough yet but Anyway. 02:40:13.000 --> 02:40:25.000 Karen retired once before Her return to managing the business side of this operation for two years has really been a service above and beyond. 02:40:25.000 --> 02:40:29.000 And uh we're very much appreciative of that. 02:40:29.000 --> 02:40:35.000 We, of course, have mixed feelings on your departure. We're really happy for you. 02:40:35.000 --> 02:40:43.000 That you're able to hopefully retire permanently this time and do what you would like to do. 02:40:43.000 --> 02:40:50.000 We'll miss you, of course. Although we look forward to working with Joanne, I'm sure you've trained her very well. 02:40:50.000 --> 02:41:11.000 And uh But we're really grateful for those extra two years of service that helped out and from looking at a lot of the budgets and looking back, it needed a a seasoned hand looking at it to get us pointed back in the right direction financially. 02:41:11.000 --> 02:41:20.000 You've been a regular presence at board meetings. And the last couple of months, you've been almost a continuous presence at board meetings. 02:41:20.000 --> 02:41:40.000 Always with good humor and always with good information. So, and you've also been available to any of us individually to help us understand the numbers and the issues behind them. And that's been very helpful I don't know how many other board members have 02:41:40.000 --> 02:41:49.000 Taken advantage of that. I certainly have. And you won't have to throw me out of your office anymore. 02:41:49.000 --> 02:41:55.000 It'll be Joanne's job now. Anyway. 02:41:55.000 --> 02:42:00.000 Karen, we really thank you and we wish you all the best. 02:42:00.000 --> 02:42:10.000 And I'm going to Can it kind of expand chair's report is here to ask if any other board members would like to say anything at this point. 02:42:10.000 --> 02:42:16.000 Since this is our goodbye to you. 02:42:16.000 --> 02:42:24.000 I'll just say I'm sad. Yours were the best explanations of a complicated budget situation that I had in my three years on the board. 02:42:24.000 --> 02:42:42.000 Thank you very much and best wishes to you. I'd like to second all of those comments and just say that, you know, I'm the newest member of the board And it really has helped me to to understand the complexity of the budgets 02:42:42.000 --> 02:42:49.000 Through your eyes, both in these board meetings and also in person in your office. I really appreciate that opportunity as well. 02:42:49.000 --> 02:42:55.000 You've been terrific. Congratulations on your retirement. 02:42:55.000 --> 02:43:19.000 Yeah, I'd like to say that I have probably been your problem child, probably the most difficult board member to deal with. I apologize but You always handled everything that I threw at you very professionally and And I really appreciate that. Thank you very much for your help. I wish you the best. 02:43:19.000 --> 02:43:25.000 And I'd say thanks so much, Karen. Thanks for putting up with all of us. And thanks for all your clear explanations. Thanks. 02:43:25.000 --> 02:43:34.000 All right. Okay. We're going to miss you. 02:43:34.000 --> 02:43:41.000 Joanne will pick up the Pick up where you left off, I'm sure. 02:43:41.000 --> 02:43:47.000 Okay, moving on. Farmer's market 02:43:47.000 --> 02:44:09.000 Mr. Stromberg and mr Knockley, we're not here when we were first discussed assignments for that. We have a couple of dates remaining that people didn't take And I'm looking at you two gentlemen to see if you would be interested in covering farmers 02:44:09.000 --> 02:44:18.000 Either of you would be interested in seeing covering the farmer's market on September 25th or October 23rd. 02:44:18.000 --> 02:44:21.000 I will take October 23rd. Okay. 02:44:21.000 --> 02:44:23.000 Okay. Yeah, let me fast forward September real quick. 02:44:23.000 --> 02:44:29.000 You're October 23rd. Okay. 02:44:29.000 --> 02:44:32.000 Let's see. When you said September 25th? Okay, let's see. June, August, September. 02:44:32.000 --> 02:44:39.000 Yes, sir. 02:44:39.000 --> 02:44:44.000 September 25th. I am free. Go ahead and put me down. 02:44:44.000 --> 02:44:49.000 Okay, we got you. Thank you. 02:44:49.000 --> 02:45:09.000 The other three folks volunteered for other dates last time and that's on the record All right. And I'd just like to remind the board members that We need to have some input on the utility manager's performance evaluation reasonably soon, like maybe next week 02:45:09.000 --> 02:45:13.000 If not earlier. Just a reminder. 02:45:13.000 --> 02:45:21.000 Okay, that's all I have for now. Are there any board member reports? 02:45:21.000 --> 02:45:28.000 Seeing none, we'll go to utility manager's report. Philo. Yes, Chair and members of the board. 02:45:28.000 --> 02:45:40.000 Been in a lot of discussions with Elkridge and yes communities engineer and project manager. They got the design 100% complete. 02:45:40.000 --> 02:45:54.000 And we've had a few meetings and design reviews. And currently they're preparing the bid documents and plan to go out to bid next week with bids due three to four weeks later. 02:45:54.000 --> 02:46:10.000 One thing, as we did walkthroughs of the site we do need to upgrade all the gas meters that as part of this renewal project and we do have funds budgeted for that in our CIP fund. 02:46:10.000 --> 02:46:21.000 Recruitment. We have Karen retiring. Thank you, Karen and then But we've had a lot of changes. 02:46:21.000 --> 02:46:28.000 Due to retirements and people within our department in the lower ranks getting promoted. 02:46:28.000 --> 02:46:41.000 So we had a management analyst retire. She worked uh It was 27 or… 28 years with us. It was a long, almost 30. Okay. 02:46:41.000 --> 02:46:48.000 And so she retired. So we're looking to retired backfill that with that. 02:46:48.000 --> 02:47:11.000 Data analyst. And then… Obviously, it was mentioned earlier, Joanne Gentry accepted the Deputy Utility Manager for Finance and Administration. And Joanne's been with our department for 20 years And she has worked from the bottom all the way up to this level. I mean. 02:47:11.000 --> 02:47:21.000 Customer care, office specialists, taking meeting minutes for the ECA, you know, so she has a wealth of knowledge. 02:47:21.000 --> 02:47:43.000 Throughout the whole department in uh you know currently she's running all the customer care and billing functions in her role as a business operation manager and uh through some work with Karen, they've worked together This last few months developing the budget so she's 02:47:43.000 --> 02:47:58.000 Learned about budget development through that. And so I think he's definitely prepared and uh We'll look forward to presenting the rate increases to council here next month. 02:47:58.000 --> 02:48:05.000 So congratulations. Other changes we we did. 02:48:05.000 --> 02:48:13.000 I have a senior office specialist move upstairs to finance, do timekeeping role. 02:48:13.000 --> 02:48:31.000 But we found a replacement for May that person will start. Our utility locator technician he moved over to GWS. And so we're in the process of recruiting the engineering aid to backfill his vacancy. 02:48:31.000 --> 02:48:52.000 And we've also advertised for four summer interns And we're still recruiting an engineering associate for the electric distribution and electric production. It's a shared position mostly focused on electrification challenges that we have. 02:48:52.000 --> 02:49:03.000 And then interviewed for power system operators. There's two vacancies there. I mentioned the data analyst and the in the process of making offers. 02:49:03.000 --> 02:49:25.000 And then finally. Helped with the human resources department on their organizational development manager recruitment And this person oversees all the training and employee development throughout the county so a key position that we're trying to fill here. 02:49:25.000 --> 02:49:44.000 Another thing that's come through the county through, and I'm kind of flipping how I wrote it here, but through the employee survey process Many employees want to try a 10 for a 10-hour workday. 02:49:44.000 --> 02:50:01.000 Reduce commuting and have time to have longer weekends that etc uh so The county's gone through a pilot process basically following daylight savings time period. 02:50:01.000 --> 02:50:09.000 We're going to launch it in May 1st and end it the first week in November, kind of match our pay periods. 02:50:09.000 --> 02:50:30.000 And the crews that DPU is interested in trying this pilot program is the gas water sewer wastewater treatment and hydroelectric crews Then, uh, with the GWS crew, they are going to stagger it with a group doing Monday through Thursday, and now they're doing Tuesday through Friday. 02:50:30.000 --> 02:50:37.000 So once the pilot period is done, we're going to review if it's cost effective and maintain the level of service. 02:50:37.000 --> 02:50:44.000 And that's while we're allowing these flexible work schedules. 02:50:44.000 --> 02:50:52.000 You'll be seeing some changes here starting. May 1st. 02:50:52.000 --> 02:51:18.000 I was somewhat surprised that FEMA. They found a path for us to receive a benefit cost analysis score of of two. We needed a score of one or one or two And it's primarily, we resubmitted actually yesterday to maintain the communication towers on top of the mountain that's 02:51:18.000 --> 02:51:40.000 So when they put in the formulas, I think I mentioned it's pretty complicated formula to do the benefit cost analysis but As they put it to communication towers, we repackaged it and We're able to get appropriate scores. So if successful, we hope to have grant agreements in hand in June. 02:51:40.000 --> 02:51:52.000 And before the board and council for consideration. And we had an ECA meeting a week and a half ago. 02:51:52.000 --> 02:52:10.000 The NNSA staff told us that we can present the operations portion of the new ECA agreement because they have made no changes to that And so we're going to present that at the May work session to include a crosswalk of 02:52:10.000 --> 02:52:18.000 What the existing agreement says and then propose new one We're going to make a little headway on it. 02:52:18.000 --> 02:52:21.000 Won't be all the way, but it'll be all the way. 02:52:21.000 --> 02:52:35.000 A good portion of it. And then UAMP's board meeting That was held yesterday and today. The Cove Fort project, we actually received a power purchase agreement for that. 02:52:35.000 --> 02:52:45.000 But the agreement, it will be subject to receiving transmission rights so the transmission service request is still pending. 02:52:45.000 --> 02:52:51.000 So the project looks like as long as we get the transmission. 02:52:51.000 --> 02:53:00.000 It'll move forward. The radotherm project They did identify an investor. 02:53:00.000 --> 02:53:12.000 And they have till June to fund the project. But capital markets are a bit stressed right now. So we're We'll have to wait and see. 02:53:12.000 --> 02:53:31.000 And then I think I mentioned last month, CFPP just extended project financing The DOE and new scales are still working out final closeout costs But I think we're getting a little closer to getting a little closer Hopefully wrapping that up. 02:53:31.000 --> 02:53:46.000 We had a meeting on the vertical switchgear and all the equipment's been ordered And so far it's tracking on the revised budget at just under $3 million for that project. 02:53:46.000 --> 02:54:01.000 The San Juan Genering Station. The demolition of it is all on schedule it's uh They're going to need a couple more months to remove all the materials to be recycled. 02:54:01.000 --> 02:54:20.000 Just from hauling and trucking that they have available, they know they're going to run a couple months late on that but I think that's you know, they're making great progress to that end as far as getting the plant down. Foxtail flats. 02:54:20.000 --> 02:54:35.000 The environmental documents are under review with bia and They're anticipating to get Fonzi approval in May. So that's Not too far away. 02:54:35.000 --> 02:54:42.000 So once that Fonzie's in hand, we'll be able to develop a better schedule. 02:54:42.000 --> 02:55:01.000 And then um This is something that we had a meeting with the lab and us in PNM You know, New Mexico, we're in a severe drought situation And there is one point where there's a windstorm and PNM put out a 02:55:01.000 --> 02:55:07.000 Notice to all their customers that they need to take transmission down. 02:55:07.000 --> 02:55:29.000 In case of a line break and fire as a result And so they're there they explain that they're working with the state emergency management agencies and that the communication channels will run through those agencies as did do it. And they're calling it a public service 02:55:29.000 --> 02:55:34.000 Power shutoff. That's the terminology. So currently. 02:55:34.000 --> 02:55:53.000 The way we're loop fed, we have two different feeds to our community There's potential of one of these lakes being shut down where we're relying on only one There should be a large wildfire for example that that could impact us. 02:55:53.000 --> 02:56:13.000 Know that these notices may go out we'll We'll be communicating obviously to board you know ben mentioned it that i think it was that day or the day day before when the windstorms were present that we may need to be aware of. 02:56:13.000 --> 02:56:32.000 You know, we're only on one leg, not two with a redundancy so I think that's just going to be sitting through the meetings with UAMS, they're having the same conversations it's just throughout the whole West, there's issues with transmission and wildfire. 02:56:32.000 --> 02:56:37.000 So we're going to have to be wary of those issues. 02:56:37.000 --> 02:56:54.000 And then I want to just thank James Allred. Participated on a communication outage virtual town hall Last Wednesday, and I think it was very informative and They answered a few questions. 02:56:54.000 --> 02:57:01.000 I provided a link in my report. You can go online and listen to that if you're interested. 02:57:01.000 --> 02:57:07.000 And so with that, I'd stand for any questions. Thank you. 02:57:07.000 --> 02:57:14.000 Any questions? 02:57:14.000 --> 02:57:25.000 I have one. With respect to Elk Ridge, you said that they're going to be putting in new meters and we were going to pay for those. 02:57:25.000 --> 02:57:29.000 But that gas system is theirs. Why are we paying for meters? 02:57:29.000 --> 02:57:37.000 We place those meters in some years. And we've been charging for the that infrastructure. 02:57:37.000 --> 02:57:43.000 We even did the ammo Most recently, okay. 02:57:43.000 --> 02:57:50.000 Answers the question. Thank you. Any other questions? 02:57:50.000 --> 02:58:08.000 Seeing none, we'll move on to the county manager's report. Very patient this evening, so now you're on. Good evening. I've missed you the last couple meetings. I was online for the last meeting, but the meeting before that my son was graduating from boot camp with the air force so 02:58:08.000 --> 02:58:21.000 Nice to see you all. Missed you. We've been working really hard on the budget development. It got published on March 31st. And so our budget hearings start next week, April 21st. 02:58:21.000 --> 02:58:45.000 And utilities is on night one. So that's a little different. Utilities is usually our anchor. But due to scheduling, it worked out better for them to have that meeting. And we certainly didn't want to deprive Karen of joining the budget hearings. She'd lose for those. 02:58:45.000 --> 02:59:10.000 It should be good budget hearings um you know we are seeing a decrease in gross receipts tax we do we did anticipate it. We are adjusting as necessary But we are moving forward with a focus on maintaining our infrastructure, continuing on in the projects that we've committed to 02:59:10.000 --> 02:59:27.000 And the programs that council is committed to, public safety, comprehensive health plan, climate action plan, all those moving those initiatives forward but But certainly not as many budget options or FTE requests this year for that reason as well because 02:59:27.000 --> 02:59:37.000 I actually think if you look at the budget, I believe the utility budget is For the first time larger than the general fund. 02:59:37.000 --> 02:59:44.000 Budget um so Just put that in perspective. There's some shifts and new normals going on. 02:59:44.000 --> 02:59:51.000 But for the most part, I'm really excited to have those hearings and get set up for our new fiscal year. 02:59:51.000 --> 03:00:04.000 And then the last thing I'll mention is our Fire Chief, Chief Hughes has announced his retirement. He will still be on the books for a while, but his last day in the office will also be April 25th and so 03:00:04.000 --> 03:00:15.000 We are having a community thank you on that Friday at lunchtime. So if you get a chance to, and you know chief hughes, please stop by. 03:00:15.000 --> 03:00:23.000 I'll stand for any questions. Are there any questions? 03:00:23.000 --> 03:00:31.000 I think you get off easy tonight. All right. 03:00:31.000 --> 03:00:37.000 Council liaison, Susie. 03:00:37.000 --> 03:00:46.000 Thank you, Chair Gibson. I'll start off with a follow-up from the meeting two weeks ago when I presented the strategic plan. 03:00:46.000 --> 03:00:52.000 And you all had some Good questions for us to ponder. 03:00:52.000 --> 03:01:06.000 Those questions have kind of made the rounds with a couple counselors and some staff and we will be circling back with better answers and thoughts. Certainly some of them were just kind of suggestions such as maybe, you know, considering delegating 03:01:06.000 --> 03:01:26.000 And leveraging our boards more, et cetera. We did a we've a couple suggestions have already been put into place, such as Chair Gibson's comments about the comments about appendices or at the end of the strategic plan you know renaming that 03:01:26.000 --> 03:01:31.000 Reference documents rather than calling it county approved plans, you know, things like that. 03:01:31.000 --> 03:01:45.000 So I just wanted to touch on that. Board member Stromberg had asked some questions about the budget So I just wanted to circle back and say that, yes. 03:01:45.000 --> 03:01:50.000 In the published budget document, which I had received that day of the board meeting two weeks ago. 03:01:50.000 --> 03:02:00.000 On page 47, if you care to dive into those kinds of details, there is a breakdown by category. 03:02:00.000 --> 03:02:11.000 For the countywide combined budget expenditure category. And in that aggregate. 03:02:11.000 --> 03:02:21.000 For the FY26 proposed budget, I want to be clear about that Salaries would comprise 22%. 03:02:21.000 --> 03:02:32.000 Of that expenditure budget. So salary is 22%, benefits 10%, operations 49%, capital outlay, 15%. 03:02:32.000 --> 03:02:47.000 And that charges 4%. There are other breakdowns provided in the budget and we also can get you numbers on construction services, professional services, contractual, et cetera. 03:02:47.000 --> 03:02:54.000 There's also breakdowns by department, by fund type, et cetera. So I just wanted to let you all know that. 03:02:54.000 --> 03:03:00.000 That's out and published and we will start with hearings next Monday night if you'd like to join us. 03:03:00.000 --> 03:03:06.000 Any questions on that before I move on to kind of some review of the last couple council meetings? 03:03:06.000 --> 03:03:14.000 Okay. I don't see any. All right. Thank you. At last week's council meeting on April 8th. 03:03:14.000 --> 03:03:24.000 An ordinance was introduced to amend chapters of our code to adopt provisions of the International Wildlife Urban Interface Code. 03:03:24.000 --> 03:03:30.000 So that was introduced last Tuesday. Public hearing for that is set for May 6th. 03:03:30.000 --> 03:03:45.000 At least I think that's what's currently on the docket. And the plan is to have a town hall regarding this ordinance and the wildlife urban interface provisions sometime between now and May 6th. 03:03:45.000 --> 03:03:53.000 We then talked about an ordinance related to distractive distracted driving. 03:03:53.000 --> 03:04:04.000 That ordinance was amended, just a couple minor modifications. So we therefore had to postpone the public hearing for that. And it was postponed also to May 6th. 03:04:04.000 --> 03:04:13.000 We then had a public hearing for an ordinance related to automated speed cameras and that ordinance was adopted. 03:04:13.000 --> 03:04:20.000 We then had presentations from the assessor's office regarding property valuation. 03:04:20.000 --> 03:04:31.000 We had a presentation from a gentleman with the Institute for Justice. It's a nonprofit that works nationally. They have a project called Cities Work. 03:04:31.000 --> 03:04:43.000 And Council listened to his presentation and um based on that presentation and prior input from other business leaders and community members. 03:04:43.000 --> 03:04:52.000 Especially the local business coalition and Main Street Chamber of Commerce, et cetera, we voted to 03:04:52.000 --> 03:05:02.000 Working with cities work and they will be focused on Sorry, I don't know why my thing just did that. 03:05:02.000 --> 03:05:15.000 They will be focused on our county's permitting and permitting requirements and permitting processes. So they will be working closely with our community development department. 03:05:15.000 --> 03:05:20.000 Great way to welcome our new community development director who starts next month. 03:05:20.000 --> 03:05:46.000 We then had a presentation from our county manager about our continuation with the MRA, which is the Metropolitan redevelopment area for that's focused on the downtown east plan, which would be kind of all that area over there. And that's a partnership with Main Street and the council did 03:05:46.000 --> 03:06:03.000 Vote to continue to with that plan. And we then heard a presentation from a consultant regarding a draft pedestrian master plan that will go back to the transportation board in June, I think early June, and then come back to County Council later in June. 03:06:03.000 --> 03:06:19.000 So it was just kind of an initial presentation, which I think is kind of a thing that we're trying to do better at where we maybe just get an initial presentation on something that's important, then there's opportunity for Q&A and public and council and staff to kind of 03:06:19.000 --> 03:06:26.000 Tweak things, hear more input, and then go back to the relevant board, then come back to council. 03:06:26.000 --> 03:06:36.000 And then we also appointed two new board members actually one's an incumbent, so a reappointment to the Art and Public Places Board. 03:06:36.000 --> 03:06:53.000 And then we also announced two town halls Both now have already taken place the one with James Allred on network outages and the one that took place last night on people's concerns about helicopter noise with the medical service helicopter. 03:06:53.000 --> 03:07:03.000 Companies we have here that take off from the hospital. Any questions about last Tuesday's meeting then? 03:07:03.000 --> 03:07:20.000 Then at the March 25th meeting. A big chunk of that meeting was related to a citizen's petition to request that the county council consider purchase of the painting called The Boys of the Parrito Plateau. 03:07:20.000 --> 03:07:46.000 That had been considered by the Art and Public Places Board, but not recommended for purchase. So council held a hearing on that related to the petition and the result was to send the decision back to the Art and Public Places Board. They had their meeting last night, just as FYI, and purchase of that painting was not approved or to be recommended by the Art and Public Places 03:07:46.000 --> 03:08:03.000 So that was a big chunk of the March, whatever date that was, 25th meeting. Something I think is of interest to everybody in town, I hope. So I just want to start spreading the word is that or continue spreading the word that we approved more funding to really double the number of 03:08:03.000 --> 03:08:13.000 Drones that will be displayed at the 4th of July event that will be held this year at Ashley Pond. 03:08:13.000 --> 03:08:19.000 So if you don't have 4th of July on your calendar, make sure you do and invite all your friends. 03:08:19.000 --> 03:08:27.000 I think it's going to be a great event. And what else did we talk about way back when? We talked about the little theater. 03:08:27.000 --> 03:08:32.000 And we approve funding for county to proceed with fire suppression. 03:08:32.000 --> 03:08:39.000 Projects and asbestos abatement projects there. 03:08:39.000 --> 03:08:54.000 And we also then approved the low income housing agreement for the 9th Street Apartments. I think I had mentioned that to you a couple of meetings ago, but that actually came forward to us and we past that. 03:08:54.000 --> 03:09:01.000 And we also had some presentations regarding economic development. And local business. 03:09:01.000 --> 03:09:11.000 Efforts and called LIDA and the mra And we had a presentation from James Allred about the network outage. 03:09:11.000 --> 03:09:22.000 And that's it for that meeting. Any questions there? I think you're off the hook too. Okay. Thank you very much. Good report. Thank you. 03:09:22.000 --> 03:09:28.000 All right. We do not have an ESB liaison report this evening. 03:09:28.000 --> 03:09:37.000 So we're moving to general board business. Starting with looking for volunteers for a focus group. 03:09:37.000 --> 03:09:43.000 Philo. Yes, Chair and members of the board. 03:09:43.000 --> 03:09:57.000 Working with our team with unm and with New Mexico State University, and they asked for two board members to serve on the focus group they're holding on Zoom meeting at noon. 03:09:57.000 --> 03:10:16.000 I think the date was given in the packet I received interest from three board members, so I think we have to down select or up select however you may want to call it uh to two members to to attend these 03:10:16.000 --> 03:10:35.000 Focus meetings okay Well, I was one of the members who, one of the folks who volunteered But I get to do lots of these extra things So if there's other folks who would like to do those, I'm perfectly happy to withdraw. 03:10:35.000 --> 03:10:47.000 I don't know who the other two were. Okay, Jen admitted to that anyway. Yes. 03:10:47.000 --> 03:11:02.000 And then Member Stromberg also. Okay. Express interest. Okay, well, we've got two volunteers i think uh That should settle it. 03:11:02.000 --> 03:11:13.000 I don't think I have to formally appoint you to be there because you're basically community members in this case. 03:11:13.000 --> 03:11:23.000 All right. We then go to a what is called a travel opportunity 03:11:23.000 --> 03:11:34.000 To attend the APPA National Conference in June. I'd probably call it an educational and networking opportunity. 03:11:34.000 --> 03:11:40.000 But in any case, is there any interest? 03:11:40.000 --> 03:11:50.000 I don't see any. We've had the this has been sent out before, so I suspect if there had been interest, we'd already know about it. 03:11:50.000 --> 03:11:59.000 Okay, that takes us to status reports. 03:11:59.000 --> 03:12:08.000 So are there any questions or comments about any of the status reports? 03:12:08.000 --> 03:12:13.000 Okay. I don't see anything there either. 03:12:13.000 --> 03:12:26.000 And that moves us to the particular report, starting page 255 There's suggestions, questions, comments. 03:12:26.000 --> 03:12:37.000 Additions, subtractions, whatever to that. 03:12:37.000 --> 03:12:48.000 One thing I would like to try to clarify are planning to meet in closed session again on the 7th. 03:12:48.000 --> 03:12:55.000 And I believe that Eric said he could not attend at four o'clock. 03:12:55.000 --> 03:13:05.000 If that is still the case. Then is that still the case, Eric, that four o'clock just won't work for you? 03:13:05.000 --> 03:13:15.000 Let me check my calendar. Let me see. 03:13:15.000 --> 03:13:19.000 Four o'clock on the 7th of May. 03:13:19.000 --> 03:13:21.000 Yes. 03:13:21.000 --> 03:13:25.000 Um… 03:13:25.000 --> 03:13:32.000 That's really not looking very possible. 03:13:32.000 --> 03:13:37.000 Okay, is 430 possible? That doesn't give us a lot of time. 03:13:37.000 --> 03:13:38.000 Well, no, in fact, I've got… I've got a meeting till 530. 03:13:38.000 --> 03:13:45.000 Kind of thinking. 03:13:45.000 --> 03:13:46.000 Yeah. 03:13:46.000 --> 03:13:55.000 Okay, well, that answers that question. Is everyone good with having our closed session after the work session that evening. 03:13:55.000 --> 03:14:00.000 I'm going to be gone. Well, that's not fair. 03:14:00.000 --> 03:14:08.000 So I'm fine with it. Okay. 03:14:08.000 --> 03:14:14.000 But I don't see anybody else objecting. Well, it looks like, Matt, you're thinking about it. 03:14:14.000 --> 03:14:31.000 Okay. All right. So I guess we will hold that one quote at seven o'clock, unquote whenever the work session that evening ends. 03:14:31.000 --> 03:14:49.000 I had a question. Philo on the 21st, it shows approval of the resource pool budget for fiscal years 26 and 27 How can we do that if we don't have an ECA beyond the middle of FY26? 03:14:49.000 --> 03:15:00.000 Chair, we will This is a budget projection We're going to assume it'll roll forward. 03:15:00.000 --> 03:15:05.000 When the ECA goes forward. Hmm. 03:15:05.000 --> 03:15:18.000 I'm not sure I quite understand that but okay I guess we'll maybe we'll have an ECA by then and it won't be an issue, but I wouldn't count on it. 03:15:18.000 --> 03:15:28.000 I think I mentioned those operation component. They're not proposing any changes so we're running as we typically operated. 03:15:28.000 --> 03:15:48.000 Okay. Anything else on tickler file? I had one other thing we We received three bids for the BioBooster station. However, it was above our budget We made a request for upping the loan amount like we did with the wastewater plant. 03:15:48.000 --> 03:16:06.000 A couple of years ago, and we just received notification today that we can increase the loan amounts so they're preparing the paperwork Given timelines and all that, we might want to make a request and consider an action item on the May 7th meeting. 03:16:06.000 --> 03:16:11.000 So that we can award that bid and get all the paperwork in order. 03:16:11.000 --> 03:16:20.000 Okay. I'm sure we can accommodate that if it would turn out to be beneficial, which it sounds like. And the term of the loan was the .0. 03:16:20.000 --> 03:16:28.000 To 5% interest You know, adding 700,000 to the budget to perform the project. 03:16:28.000 --> 03:16:36.000 Okay. Anything else this evening? 03:16:36.000 --> 03:16:42.000 And we'll ask for public comment again on any utility topic. 03:16:42.000 --> 03:16:56.000 I don't see any in chambers. Our adoring crowd has abandoned this so We will stand adjourned. Thank you, everyone.