20110503 Regular City Council Meeting - MinutesMINUTES OF THE REGULAR CITY COUNCIL -
LIGHT & POWER MEETING OF THE CITY OF VERNON
HELD MAY 3, 2011, IN THE COUNCIL
CHAMBERS OF THE CITY HALL LOCATED AT
4305 SANTA FE AVENUE, VERNON, CALIFORNIA
MEMBERS PRESENT: Gonzales, McCormick, Davis, Newmire
MEMBERS ABSENT: Maisano
The meeting was called to order at 8:00 a.m. by Mayor Gonzales.
The City Clerk announced that there were no changes to the
agenda.
The City Clerk announced that this was the time allotted for
public comment. The Mayor inquired whether anyone in the
audience wished to address the City Council. No one responded.
It was moved by Davis and seconded by McCormick to approve the
Minutes of the Regular City Council - Light & Power Meeting held
April 5, 2011. Motion carried, 4-0.
It was moved by Newmire and seconded by McCormick to approve the
Minutes of the Regular City Council - Light & Power Meeting held
April 19, 2011. Motion carried, 4-0.
CONSENT CALENDAR:
It was moved by McCormick and seconded by Newmire, that the
matters on the Consent Calendar be approved as recommended.
Motion carried, 4-0.
1. Approval of Light & Power Warrant Register No. 299,
totaling $4,565,764.19, which covers the period of April 12
through April 25, 2011, and consists of the following:
a. Ratification of wire transfers totaling $4,432,227.22;
b. Ratification of the issuance of early checks totaling
$33,801.17; and
c. Authorization to issue pending checks totaling
$99,735.80.
2. Approval of Gas Warrant Register No. 87, totaling
$40,808.53, which covers the period of April 12 through
April 25, 2011, and consists of the following:
a. Ratification of the issuance of early checks totaling
$14,894.14; and
b. Authorization to issue pending checks totaling
$25,914.39.
3. Resolution No. 2011-70 - A Resolution of the City Council
of the City of Vernon Approving and Authorizing the
Execution of a Second Amendment to the Power Purchase
Tolling Agreement By and Between the City of Vernon and
Bicent (California) Malburg LLC
4. Resolution No. 2011-71 - A Resolution of the City Council
of the City of Vernon Accepting the Novation of CH2MHill,
Inc. from CH2MHill, Inc. to CH2MHill Engineers, Inc. and
Regular City Council -
Light & Power Department Minutes
May 3, 2011
Authorizing the Execution of Task Order No. 2011-1 to the
Standard Master Agreement, By and Between the City of
Vernon and CH2MHill Engineers, Inc.
5. Approval of Independent Contractor Agreement with Erin M.
Lehane and authorization for the Director of Light & Power
Department, or his designee, to make modifications to the
agreement, and take whatever actions are deemed necessary
for the purpose of implementing and carry out the terms
thereof.
ORAL REPORTS
Carlos Fandino, Director of Light & Power, reported that the
annual gas leak detection survey was underway. Fandino reported
that vehicles were retrofitted with equipment to detect gas
leaks.
Fandino reported that the engineering department was waiting on
specs for the concrete slab in order to move forward with the
transformer installation at City Hall. Fandino advised that the
transformer excavation had begun, but that the concrete pad was
deeper than anticipated. Engineers are re-evaluating the site.
Fandino stated that trenching on 26th Street is taking place to
install underground conduits before the street is repaved. The
underground conduits are necessary for the 26th Street Bridge
Project.
Fandino advised that the cost of gas had increased to $4.60, and
that he had met with Paul Prager owner of Beowulf, to discuss
the purchasing of bio-fuel as a renewable energy alternative in
order to comply with AB32 requirements. Fandino opined that
this would save business owners money because it is less
expensive than wind or solar energy.
In response to Mayor Gonzales, Fandino advised that bio-fuel can
meet the renewable energy requirement at a lower cost than solar
or wind. Abraham Alemu, Electric Resources Planning &
Development Manager, added that the cost of solar energy is
$120-$140 per mega watt, the cost of wind energy is estimated at
$100 per mega watt, and the cost of bio-fuel is $80 per mega
watt.
Fandino announced that the department is undergoing a NERC
audit. All documents have been submitted for review. The audit
is scheduled for June 16, 2011. The department has been
preparing and has completed two extensive internal audits, and
has identified a few problems which the department is addressing
before the audit. Fandino recognized Todd Dusenberry, Robin
Tolmasoff, and Michael TenEyck for their efforts on the project.
On May 5, 2011, Fandino will be giving a presentation to the
Advisory Committee on the electrical rate study. The department
will consider the recommendations made by the committee, but the
final recommendation will be made by the Light & Power
Department.
Peter Hervish reported that the Tehachapi project is in final
review with the Risk Management Department for insurance
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Regular City Council -
Light & Power Department Minutes
May 3, 2011
requirements. Hervish also advised that eight Met towers are in
the process of being purchased.
Hervish advised that Harness Energy will erect the met towers,
and that V-Bar will be performing all of the analysis via
satellite. Hervish anticipates the collection of active
meteorological data by June. Within 18 months, the City will
have accurate data to determine the value of the land.
At 8:16 a.m., it was moved by McCormick and seconded by Newmire,
to adjourn the meeting. Motion carried.
ATTEST:
Willard G .' Yarr�chi
City Clerk
Hilario Gonzales
Mayor
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