CITY OF AUSTIN FOUNDED 1939 Austin City Council MINUTES Mayor Todd called to order the meeting of the Council. PREVIEW OF ITEMS FOR NEXT COUNCIL MEETING SPECIAL CALLED MEETING MAY 3, 1995 TOWN LAKE CENTER - 1:30 Ρ.Μ. 1. Review of Proposed Agenda Items from City Manager for May 11, 1995. 2. Review of Proposed Agenda Items from Council for May 11, 1995. BOARD AND COMMISSION REPORTS 3. 4. Electric Utility Commission Report - Marilyn Jones, Chair Presentation by Marilyn Jones Resource Management Commission Report - Glee Ingram, Chair Presentation by Peter Phifer EXECUTIVE SESSION (No Public Discussion on These Items) Executive session held from 2:55 P.M. to 6:00P.M. on item 5 through 10. The City Council will announce it will go into Executive Session, if necessary, pursuant to Chapter 551 of the Texas Government Code, to receive advice from Legal Counsel, to discuss matters of land acquisition, litigation and personnel matters as specifically listed on this agenda. The City Council may also announce it will go into Executive Session, if necessary, to receive advice from Legal Counsel regarding any other item on this agenda. Staff Briefing - Section 551.075 5. Staff briefing on the electric revenue requirements, rate comparisons, and competition in the electric utility industry. (No City Council deliberation permitted under Section 551.075) Advice from Counsel - Section 551.071 6. Discuss City of San Antonio, Texas et al v. Westinghouse Electric Corp., Cause No. 90-5-00684-C, in the 23rd District Court of Matagorda County, Texas. 7. Discuss Houston Lighting and Power Company v. City of San Antonio, et al, Cause No. 88-923-E, in the 101st District Court of Dallas County, Texas. 8. Discuss City of Austin v. Houston Lighting and Power Company, Cause No. 94-007946, in the 164th District Court of Harris County, Texas. 9. Discuss ownership interest in South Texas Nuclear Plant. Real Estate - Section 551.072 10. Discuss possible real estate transactions related to Brackenridge Hospital. BRIEFINGS AND DISCUSSIONS 11. Monthly Electric Utility Report Presentation by John Moore, Laura Doll, Charles Stevens, Jim Christianson, Charlie Mackey and Marilyn Jones ORDINANCES Energy Conservation (Items 12-17) 12. Amend Ordinance 940912-E, the 1994-95 Capital budget, to accept $2,965,054 from the General Services Commission State Energy Conservation office and appropriate $2,965,054 to the Municipal Energy Conservation Project in the Environmental and Conservation Services Department for energy conservation retrofits in City of Austin municipal facilities. (Funding will be borrowed and will be repaid at the rate of 4.04% interest per annum. Repayment of principal and interest would begin in fiscal year 1996-97 following completion of the project, and be completed in the year 2002. Interest through the year 2003 is estimated to be $543,963 for a total repayment cost of $3,509,017. Yearly repayment costs are estimated to be $319,000 for the first year and $638,000 for the next five (5) years. Conservation measures identified in City buildings reflect a total energy savings potential of $543,745 per year. This represents an estimated reduction of 3 percent of the City's total annual energy budget, and savings to the City in excess of $6,700,000 during the useful life of the conservation measures. Electric utility revenues, wastewater utility revenues and possibly other funding sources benefiting from this project will be used to repay the loan. Repayment from the Electric Utility Department come from annual budgeted amounts for ECSD. Additional funds will not be required from the Electric Utility for repayment.) (Reviewed by Planning Commission) Ordinance No. 950503-A approved RESOLUTIONS 13. Authorize execution of an eight (8) year low-interest loan in the amount of $2,965,054 from the General Services Commission State Energy Conservation Office for energy conservation retrofits in City of Austin municipal facilities. (Funding will be borrowed and repaid at the rate of 4.04% interest per annum. Repayment of principal and interest would begin in fiscal year 1996-97 following completion of the project, and will be completed in the year 2002. Interest through the year 2003 is estimated to be $543,963 for a total repayment cost of $3,509,017. Yearly repayment costs are estimated to be $319,000 for the first year and $638,000 for the next five (5) years. Conservation measures identified in City buildings reflect a total energy savings potential of $543,745 per year. This represents an estimated reduction of 3 percent of the City's total annual energy budget, and savings to the City in excess of $6,700,000 during the useful life of the conservation measures. Electric utility revenues, wastewater utility revenues and possibly other funding sources benefiting from this project will be used to repay the loan. The repayment from the Electric Utility will come from annual budgeted amounts for ECSD. Additional funds will not be required from the Electric Utility for repayment. (Reviewed by Planning Commission) Approved 14. Approve the issuance of a Letter of Intent and a rebate in the amount of $83,980 to Jefferson at Parmer L.P. for the installation of high-efficiency heat pump air conditioning equipment at the Jefferson at Waters Park Apartments, a 442 unit complex currently under construction at 3401 West Parmer Lane, Austin, Texas. Energy improvements qualifying for this rebate will save an estimated 233 kilowatts at a program cost of $360 per kilowatt saved. Each high efficiency heat pump air conditioner will save residents between $67 and $134 per cooling season in energy costs. (Funding is available in the 1994-95 operating budget of the Conservation Rebates and Incentives 15. 16. Fund.) Approved Approve the issuance of a Letter of Intent and a rebate in the amount of $98,100 to Century Park West Apartments, a 300 unit complex currently under construction located at 3201 Century Park Blvd. Austin, Texas, for the installation of high efficiency air conditioning equipment and gas combination furnaces. Air conditioning equipment qualifying for this rebate will save an estimated 167 kilowatts at a program cost of $363 per kilowatt saved; combination gas furnaces will save an estimated 780 MCF (thousand cubic feet of gas) at a program cost of $48 per MCF saved. Each air conditioner and heating system will save apartment residents approximately $80 to $125 per season in energy costs. (Funding in the amount of $60,600 is available in the 1994-95 operating budget of the Conservation Rebates and Incentives Fund; $37,500 is available in the 1994-95 operating budget of the Environmental and Conservation Services Department.) Approved Approve the issuance of a Letter of Intent and a rebate in the amount of $68,276 to Intermedic Orthopedics, Inc., for installation of a high efficiency lighting system, electric motors, rotary water-cooled chillers, and variable frequency drives at their facility located at 9900 Spectrum Drive, Austin, Texas. This equipment will save an estimated 386.37 kilowatts at a cost of $177 per kilowatt saved. (Funding is available in the 1994-95 operating budget of the Conservation Rebates and Incentives Fund.) Approved 17. Approve the issuance of a Letter of Intent and a rebate in the amount of $51,800 to Gables Realty Limited Partnership for the installation of high efficiency air conditioning equipment at the Gables Town Lake Apartments, a 256 unit complex currently under construction at 2530 Lake Austin Blvd, Austin, Texas. Energy improvements qualifying for this rebate will save an estimated 153 kilowatts at a program cost of $339 per kilowatt saved. Each high efficiency air conditioner will save the residents between $67 and $134 per cooling season in energy costs. (Funding is available in the 1994-95 operating budget of the Conservation Rebates and Incentives Fund.) 18. 19. 20. 21. Approved Approve execution of a contract with VALMONT INDUSTRIES, Tulsa, Oklahoma, for the purchase of one (1) lot of fabricated galvanized structural steel, used to construct supports for electrical equipment and conductors during the installation of a new capacitor bank, in the amount of $172,855. (Funding was included in the 1994-95 Capital budget of the Electric Utility.) Low bid of six (6). No M/WBE Subcontracting opportunities were identified. Approved Approve execution of a contract with WESCO DISTRIBUTION, San Antonio, Texas, for the purchase of a 145kV, 31.2 capacitor bank (supply power to the transmission circuit and help control voltage in an electrical system by eliminating voltage drop) in the amount of $81,719. (Funding was included in the 1994-95 Capital budget of the Electric Utility Department.) Low bid of three (3) meeting specifications. No M/WBE Subcontracting opportunities were identified. Approved Items 12 to 19 approved on Councilmember Shea's motion, Councilmember Garcia's second, 6-0 vote, Councilmember Mitchell out of room. Approve the negotiation and execution of a twelve (12) month contract with DUKE ENGINEERING & SERVICES, INC., Charlotte, North Carolina, for technical consulting services which will give the Electric Utility Department the ability to implement and manage an effective maintenance program that maximizes service reliability and safety in a cost effective manner, in an amount not to exceed $750,000 with the option to extend for four (4) additional twelve (12) month periods in an amount not to exceed $750,000 per extension, for a total amount not to exceed $3,750,000. (Funding in the amount of $312,500 is available in the 1994-95 operating budget of the Electric Utility Department. Funding for the final seven (7) months and the extension options is contingent upon available funding in future budgets.) Best proposal of three (3). 10% MBE, 5% WBE Subcontractor participation. Postponed until next month Approve execution of a contract with TECHLINE, INC., Austin, Texas, for the purchase of fifty (50) street light poles to illuminate the roadways leading to Lakeline Mall located at U.S. 183 and Ranch Road 620, in the amount of $44,250. (Funding is available in the 1994-95 operating budget of the Electric Utility Department.) Low bid of two (2). No M/WBE Subcontracting opportunities were identified. Approved 22. Approve Change Order #2 to LAUREN CONSTRUCTORS, INC., Abilene, Texas, for the abatement of hazardous materials (i.e. lead paint), for modifying sound wall design, and modifying masonry work as part of the Noise Mitigation Phase II Project at Holly Power Plant, in the amount of $133,202, for a total contract amount of $1,401,197.70. (Funding was included in the 1994-95 Capital budget of the Electric Utility Department.) 0% MBE, 15.80% WBE Subcontractor participation. Approved 23. Approve Change Order #4 to LAUREN CONSTRUCTORS, INC., Abilene, Texas, for the Hot Reheat Piping System Upgrade and Replacement and Phase II Piping Support Systems Upgrade project at the Decker Creek Power Station, in the amount of $42,557.19, for a total contract amount of $1,311,070.89. (Funding was included in the 1994-95 Capital budget of the Electric Utility.) M/WBE percentages cannot be determined at this time. Approved 24. 25. Approve the purchase of Lot 9, Mission Hill, section 3, a parcel of land and improvements located at 2404 Mission Hill Drive, for the reconstruction of an electric transmission line between the Burleson and Seaholm Substations, in the amount of $85,600. (Funding was included in the 1994-95 Capital budget of the Electric Utility Department.) Approved Approve the purchase of Lot 13, Mission Hill, section 3, a parcel of land and improvements located at 2406 Ventura Drive, for the reconstruction of an electric transmission line between the Burleson and Seaholm Substations, in the amount of $74,100. (Funding was included in the 1994-95 Capital budget of the Electric Utility Department.) Approved 26. Approve the purchase of Lot 12, Mission Hill, section 3, a parcel of land and improvements located at 2407 Ventura Drive, for the reconstruction of an electric transmission line between the Burleson and Seaholm Substations, in an amount not to exceed $63,000. (Funding was included in the 1994-95 Capital budget of the Electric Utility Department.) Approved 27. Approve execution of a contract with PRIME EQUIPMENT COMPANY, San Antonio, Texas, for the purchase of one (1) forty (40) foot aerial work platform, used in the construction and maintenance of electrical substations, in an amount not to exceed $44,331. (Funding is available in the 1994-95 Capital budget of the Electric Utility Department.) Low bid of five (5) meeting specifications. No M/WBE Subcontracting opportunities were identified. 28. Approved Approve execution of a contract with COMMERCIAL BODY CORPORATION, San Antonio, Texas, for the purchase of two (2) truck-mounted derricks with material and brush platform bodies used to set transformers and poles and to lift steel structures, in an amount not to exceed $224,113. (Funding was included in the 1994-95 Capital budget for the Electric Utility). Low bid of three (3). No M/WBE Subcontracting opportunities were identified. Approved 29. Items 21 to 28 approved on Councilmember Shea's motion, Councilmember Garcia's second, 6-0 vote, Councilmember Mitchell out of room. Authorize the location of an overhead electric transmission line through Waller Beach Park, Festival Beach Park, Holly Beach Park and Fiesta Gardens Park in accordance with Chapter 26 of the Texas Parks and Wildlife Code. No action taken 30. Approve modification to a contract with CHARLES WEAVER, Ph.D., San Antonio, Texas, for continuation of Total Quality Management (TQM) training and facilitation services, in the amount of $29,920, for a total contract amount of $52,920. (Funding is available in the 1994-95 operating budget of the Electric Utility Department.) No M/WBE Subcontracting opportunities were identified. Approved 31. Approve execution of an interlocal agreement with the RAILROAD COMMISSION OF TEXAS (RCC) to provide conversions of City of Austin vehicles to compressed natural gas (CNG) and liquefied petroleum gas, in an amount not to exceed $150,000 for the first year with an option to renew the agreement annually, provided funding is available, services are necessary, and serve the best interests of both government entities. (Funding in the amount of $28,380 is available in the 1994-95 operating budget for the Environmental Conservation Services Department; $10,200 is available in the 1994-95 operating budget for the Water and Wastewater Utility Department; $14,070 is available in the 1994-95 operating budget for the Health Department; $17,950 is available in the 1994-95 operating budget for the Finance & Administrative Services Department; $2,280 is available in the 1994-95 operating budget for the Public Works and Transportation Department; $2,340 is available in the 1994-95 operating budget for the Planning Department; $24,610 was included in the 1994-95 Capital Budget for the Electric Utility Department; the remaining $48,880 is contingent on available funding in future budgets.) Approved Items 30 through 31 approved on Councilmember Shea's motion, Councilmember Garcia's second, 6-0 vote, Councilmember Mitchell out of room. ADJOURN at 6:00 p.m. on Councilmember Reynolds' motion, Councilmember Garcia's second, 7-0 vote. Approved on this the 18th day of May, 1995, on Mayor Pro Tem Nofziger's motion, Councilmember Goodman's second, 5-0 vote, Councilmember Shea off dais, Councilmember Garcia absent.