* This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting. [00:00:02] OH, MY GOSH. OKAY. AB GO AHEAD AND MAKE US PUBLIC AND THEN LINE UP. I'M GOING TO INTRODUCE THE MEETING AND THEN WE CAN LINE UP THE FOLKS FOR CITIZEN, WITH COMMUNICATION. OKAY. READY TO GO? THANKS AFTERNOON [CALL TO ORDER] EVERYBODY. I'M LESLIE POOLE AND I'M THE CHAIR OF THE AUSTIN ENERGY UTILITY OVERSIGHT COMMITTEE. AND I HAVE HERE TODAY, A QUORUM OF OUR CITY COUNCIL, UM, AT THIS POINT, AND I'M SURE OTHER FOLKS WILL BE JOINING US. WE HAVE VICE CHAIR, COUNCIL MEMBER TOVO UM, I SEE COUNCIL MEMBER, RENTER, MARIA COUNCIL MEMBER, KITCHEN COUNCIL MEMBER, KELLY COUNCIL MEMBER ELLIS. AND I SEE A COUPLE SQUARES WITH A COUNCIL MEMBER, HARPER, MADISON, AND THERE SHE IS. AND COUNCIL MEMBER. COSAR GREAT. UM, WE HAVE A, UH, OKAY, SO I WILL CALL THIS MEETING TO ORDER. IT IS WEDNESDAY, MARCH 30, ONE, 2021, A LITTLE BIT PAST ONE 30 IN THE AFTERNOON. WE ARE DOING THIS BY WAY OF VIDEO CONFERENCE AND WE WILL TAKE OUR PUBLIC COMMENT. FIRST. THERE ARE THREE SPEAKERS SIGNED UP TO SPEAK TO US. THEY EACH HAVE THREE MINUTES AND THEN WE WILL GO DIRECTLY TO EXECUTIVE SESSION TO TAKE UP TWO ITEMS. UM, AND I'LL READ THAT SCRIPT AT THE TIME. THOSE ARE THE ITEMS THAT WE DIFFERED FROM LAST THURSDAY, AND THEN WE'LL COME BACK AND HAVE OUR AUSTIN ENERGY OVERSIGHT COMMITTEE MEETING. AND THEN AS YOU KNOW, THIS IS A COMBINED MEETING WITH AUSTIN WATER OVERSIGHT COMMITTEE. AND WHEN WE GET THROUGH THE AA ITEMS, THEN I'LL HAND OFF THE, UM, GAVEL AND THE AUTHORITIES TO, UH, THE CHAIR OF AUSTIN WATER COUNCIL MEMBER KITCHEN. AND WE'RE GOING TO TRY TO STAY WITHIN A TWO-AND-A-HALF HOUR PLUS MAYBE INTO THREE HOURS MAX. SO WE'LL TRY TO KEEP OURSELVES CONFINED TO THAT. UM, ANYBODY HAVE ANYTHING TO OFFER AT THIS POINT BEFORE I BRING IN THE CITIZEN COMMUNICATION? YES. COUNCILMEMBER ELLIS. I DID JUST WANT TO BRIEFLY MENTION THAT I HAVE A THREE TO FOUR O'CLOCK MEETING THAT I JUST COULDN'T MOVE. AND SO YOU'LL SEE ME LEAVE AND THEN COME BACK IF YOU'RE STILL GOING AT THAT POINT. HAPPY TO HAVE YOU BACK WHEN YOU'RE ABLE TO. AND THANKS FOR THE HEADS UP. ANYBODY ELSE? UH, YES, COUNCILMAN, UH, MAYOR PRO TEM HARPER, MADISON. I HAVE A SIMILAR OBLIGATION, BUT FOR A HALF HOUR. SO I'LL LEAVE ANYTHING BACK IF WE'RE STILL LABORING AWAY. YOU'RE WELCOME TO COME AND JOIN US BACK. ALRIGHT. UM, STAFF, [Citizen Communication: General] COULD WE GO AHEAD AND HAVE OUR FIRST OF THE THREE SPEAKERS I HAVE PAUL ROBBINS IS HE FIRST. HEY, PAUL, WELCOME. AND THANKS FOR DIALING IN. YOU HAVE THREE MINUTES. THANK YOU COUNSEL. DURING THE HORRIBLE FREEZE IN FEBRUARY THAT KNOCKED OUT OVER 40% OF AUSTIN SELECTRIC CUSTOMERS OFFLINE AUSTIN ENERGY CONTINUED TO GENERATE POWER. AUSTIN ACTUALLY WAS ABLE TO EXPORT MORE ELECTRICITY THAN WE USE DURING ALMOST ALL OF THE CRISIS PERIOD AT YOUR MARCH. THIRD MEETING, AUSTIN ENERGY ACTUALLY SHOWED A GRAPH OF HOURLY GENERATION FOR EACH POWER SOURCE, INCLUDING GAS, COAL, NUCLEAR, WIND, AND SOLAR. WHAT WAS INTERESTING AND ALARMING TO ME IS THAT ON AVERAGE, 80 TO 90% OF THE POWER GENERATED DURING THE CRISIS WAS FROM DISPATCHABLE AND POLLUTING POWER PLANTS. AND AUSTIN IS PLANNING ON RETIRING OVER HALF OF THIS DISPATCHABLE CAPACITY. IN THE NEXT TWO YEARS, AUSTIN MADE $54 MILLION IN PROFIT DURING THE CRISIS. HOWEVER, IF THE CRISIS HAD OCCURRED TWO YEARS FROM NOW, AFTER THESE PLANTS, UH, ARE SCHEDULED TO BE RETIRED, WE VERY WELL COULD HAVE LOST MONEY. AND MANY IN THE PUBLIC WOULD REVILE ENVIRONMENTALIST WHO RETIRED THESE PLANTS. I AM IN FACT, AN ENVIRONMENTAL ACTIVIST. I UNDERSTAND IN GREAT DETAIL, THE REASONS FOR RETIRING FOSSIL AND FISSILE FUEL. HOWEVER, THIS CRUEL WEATHER EVENT HAS EXPOSED OUR VULNERABILITY TO THE LACK OF DISPATCHABLE CAPACITY. WE HAVE NO DISPATCHABLE RENEWABLE CAPACITY AT THIS POINT AND NO PLAN TO DEVELOP IT. TO MY KNOWLEDGE, WE HAVE NO FIRM POWER CONTRACT FOR CONVENTIONAL DISPATCHABLE CAPACITY WHEN AUSTIN'S PLANTS ARE RETIRED. SO OUT OF AN ABUNDANCE OF CAUTION, I AM ASKING YOU TO TEMPORARILY DELAY THE PLANT RETIREMENTS UNTIL THE PROBLEM IS UNDERSTOOD AND RESOLVED. I STRESS THE WORD TEMPORARY, BUT WE CANNOT BE SO SHROUDED IN OUR OWN POLITICAL CORRECTNESS AS TO IGNORE THE CHALLENGE WE HAVE BEEN DEALT. [00:05:01] MY FINAL POINT IS THAT IN PREPARING THE SPEECH I ASKED, I ASKED AUSTIN ENERGY FOR DOCUMENTATION FROM THE PRESENTATION IT MADE TO THE COUNCIL AT YOUR MARCH 3RD MEETINGS. THE CHART THAT I REFERENCED, HOWEVER, THE UTILITY WILL NOT PROVIDE THIS IN A TIMELY MANNER. CONSIDER THIS CHART THAT I NEED DOCUMENTATION FOR WAS PRINTED IN THE AUSTIN STATEMENT YET I'M NOT ALLOWED TO SEE THE NUMBERS FOR THE, THAT THIS CHART IS BASED ON IN A TIMELY MANNER TO UNDERSTATE THIS. IT IS HARDLY A MODEL OF TRANSPARENT GOVERNMENT. THANK YOU FOR YOUR ATTENTION. THANKS, PAUL. THE NEXT SPEAKER IS BILL. OKAY. BILL, ARE YOU WITH US? YES, I AM WELCOME. YOU HAVE THREE MINUTES. THANKS FOR CALLING IN TODAY. OKAY. FIRST I WANT TO THANK AUSTIN ENERGY FOR WEATHERIZING THE POWER PLANTS AND ENABLING US TO GET THROUGH THIS THING SAFELY. AND SECOND, I WANT TO THANK ALL THE COUNCIL MEMBERS FOR THE INCREDIBLE WORK THEY DID DURING THE STORM. AND I ESPECIALLY WANT TO THANK COUNCIL MEMBER TOBA, WHO IS ALWAYS RESPONSIVE TO ME AND HAS BEEN FOR MANY YEARS AND SHE'S EARTH KILLING GOLD STAR. UH, ONE OF MY CONCERNS IS PREPAREDNESS FOR STORMS AND RESPONSIVENESS AFTER A STORM. UH, I THINK I'M URGING YOU TO PREPARE AS IF WE ARE GOING TO HAVE ANOTHER POLAR VORTEX NEXT YEAR, AND WE VERY WELL COULD. SO WHAT I THINK YOU NEED TO DO IS DEVELOP A, A VERY CLEAR PLAN THAT ENABLED ROLLING BLACKOUTS IN ORDER TO ENSURE THAT WE HAVE ROLLING BLACKOUT, PLEASE TAKE A LOOK AT THE LAYOUT OF YOUR DISTRIBUTION CIRCUITS AND SEE IF THERE'S A WAY TO RECONFIGURE THEM. I'VE BEEN TOLD THAT THE SMART METERS MIGHT HELP. UH, THERE WERE TOO MANY AREAS OF DOWNTOWN AND TOO MANY AREAS OF OTHER NEIGHBORHOODS THAT WERE, THAT WERE WIDER THAN THEY NEEDED TO BE, TO PROTECT THE CRITICAL INFRASTRUCTURE. UH, I HAVE SENT YOU SOME WRITTEN, UH, PROPOSALS IN DETAIL ON THAT SUBJECT. THE OTHER THING I WOULD SAY IS THAT AFTER THE STORM TREES, TREES, TREES, I MEAN, THAT'S ACTUALLY BEFORE THE STORM TREES, TREES, TREES, PLEASE MAKE SURE THAT YOU'RE UP TO DATE ON THE TREE TRIMMING AND THAT YOU STAY UP TO DATE ON THE TREE TRIMMING. UH, THAT PROGRAM PROBLEM GOES BACK MANY YEARS AFTER THE STORM, WE DIDN'T HAVE ENOUGH SHELTERS, UH, PEOPLE, A DOZEN OR SO PEOPLE LOST ONE OR BOTH OF THEIR FEET AND SOME OF THEM WILL BE DISABLED FOR LIFE. SO PLEASE TRY TO HELP ON THE SHELTERS, UH, WHAT, AND ALSO YOU CAN READ THE WRITTEN MATERIAL AND YOU'LL SEE THE REST OF MY CONCERNS THERE. BUT ONE THING I WANTED TO MENTION IS I SPOKE WITH AUSTIN ENERGY ABOUT THE PROSPECT OF RATEPAYER CREDITS FOR THIS, UH, PROFIT. AND IT'S MY UNDERSTANDING THAT IT'S POSSIBLE THAT AUSTIN ENERGY COULD CLEAR A PROFIT FROM THE HURACAN TRANSACTIONS SOMEWHERE IN THE NEIGHBORHOOD OF $50 MILLION, OR IT COULD BE EVEN TIRED. IT WILL TAKE A FEW MONTHS TO UNDERSTAND EXACTLY WHAT THE FILE SETTLED THEM OUT WILL BE, BUT THAT WILL BE PASSED THROUGH TO THE CUSTOMERS THROUGH THE POWER SUPPLY ADJUSTMENT ON OUR UTILITY BILLS IN ORDER TO AVOID SPIKES. AFTER THIS DISCOUNT IS GIVEN, I WOULD SUGGEST THAT YOU DO DO IT OVER SUMMER MONTHS BECAUSE SUMMER BILLS ARE HIGH ANYWAY. AND IF YOU GIVE PEOPLE CREDITS DURING THE SUMMER, THEN THE WINTER RATES ARE ALWAYS LOWER ANYWAY, AND THEY WON'T SEE A SPIKE AFTER THE, AFTER THE, UH, REFUND CREDITS GO AWAY. SO, UM, THANK YOU FOR ALL THE CHALLENGES THAT YOU'RE FACING. UH, I KNOW IT'S A REALLY TOUGH DEAL. UH, I DO NOT BELIEVE THAT THE ERCOT STANDARD OF 9,000 MEGAWATTS, UH, DOLLARS PER MEGAWATT HOUR CAN STAND IN THE FUTURE. UH, ACCORDING TO THE WASHINGTON POST, THEY SOLD $50 BILLION WORTH OF ELECTRICITY IN ONE WEEK. AND YOU WOULD HAVE TO ADD THE ENTIRE ANNUAL BUDGETS OF AUSTIN, DALLAS, HOUSTON, AND SAN ANTONIO, AND THEN MULTIPLY THAT NUMBER BY THREE IN ORDER TO COME CLOSE TO THAT $50 BILLION FIGURE. WE, YOU CANNOT SUSTAIN THAT THE STATE CANNOT SUSTAIN THAT, SUSTAIN THAT. SO YOU NEED TO URGE THE LEGISLATURE TO REFORM OR COTS PRICING MODEL. THANK YOU VERY MUCH FOR YOUR TIME. UH, CHAIR, CHAIR. I THINK YOU'RE ON MUTE. UM, I THINK THAT IT'S CHAIR TOBO HAS HER HAND UP, MR. OKEY, ARE YOU STILL ON THE LINE? WELL, I'LL JUST FOLLOW UP AND SAY, I JUST WANTED TO BE SURE THAT MR. OKI, UM, IS AWARE THAT THE COUNCIL PASSED A RESOLUTION THAT I HAD BROUGHT TO LOOK [00:10:01] AT AT VARIOUS ELEMENTS OF THE STORM AND, UH, THAT RESPONSE, I THINK DIRECTLY TO SOME OF HIS COMMENTS HERE TODAY, AS WELL AS SOME OF THE EMAILS HE SENT TO ALL OF US, THAT MANY OF THE TOPICS HE'S RAISED WILL BE SUBJECTS OF, OF REVIEW. WELL, I APPRECIATE THAT. AND THANKS AGAIN FOR ALL YOUR HARD WORK. THAT'S GREAT. ANYTHING ELSE? UH, OUR THIRD SPEAKER IS KIBO COHIBA. ARE YOU THERE? I AM WELCOME. YOU HAVE THREE MINUTES. THANKS FOR CALLING IN. THANK YOU. YEAH, MY NAME IS CABLE WHITE, AND I'M CALLING TO MAKE SOME COMMENTS ON BEHALF OF PUBLIC CITIZEN. UH, FIRST I GUESS I WILL START BY SAYING, I URGE THE COUNCIL TO STAY THE COURSE WITH THE SCHEDULED RETIREMENT OF FAYETTE AND DECKER. UH, OBVIOUSLY THIS IS A SITUATION THAT, UM, YOU KNOW, WENT IN DIFFERENT DIRECTIONS FOR VARIOUS UTILITIES, UH, BASED ON HOW THEIR ENERGY SOURCES PROVIDED DURING THE STORM. AND THAT IS IMPORTANT AND IT'S SOMETHING WE NEED TO KEEP OUR EYE ON, BUT OUR ENVIRONMENTAL COMMITMENTS ARE ALSO IMPORTANT. AND I THINK WE NEED TO ADDRESS THE PROBLEM WITHOUT GOING BACKWARDS ON THOSE COMPONENTS. AND I DO THINK THAT'S POSSIBLE. AND THAT'S ONE AREA THAT I WANTED TO TALK ABOUT, AND THAT IS HOW TO MANAGE THESE OUT THESE OUTAGES, UH, IN A WAY THAT IS MORE EFFECTIVE AND MORE FAIR IN THE FUTURE. AND I SAY THAT BECAUSE I THINK IT IS UNLIKELY THAT WE WILL NEVER HAVE OUTAGES AGAIN IN THE FUTURE. OF COURSE WE WANT TO MINIMIZE THEM. THE STATE WANTS TO MINIMIZE THEM, BUT THAT IS A TALL CHALLENGE GIVING, GIVEN THAT OUR CLIMATE IS CHANGING AND WE ARE GOING TO HAVE MORE, NOT LESS SEVERE WEATHER, AND WE NEED TO DO WHAT WE CAN TO PROTECT OUR POPULATION HERE IN AUSTIN, REGARDLESS OF WHAT THE REST OF THE STATE IS DOING. AND WE DO HAVE THE LUXURY OF HAVING OUR OWN ELECTRIC UTILITY SO WE CAN TAKE SOME ACTIONS, UH, KIND OF, REGARDLESS OF WHAT THE STATE DOES SPECIFICALLY. I THINK WE SHOULD BE LOOKING AT WAYS TO UTILIZE OUR SMART METERS TO MORE PRECISELY TURN ON AND OFF THOSE, UH, METERS THAT ARE MAYBE NOT CRITICAL LOAD, BUT ARE NEAR TO CRITICAL ONES. UH, IN, FOR EXAMPLE, I HAD POWER THE WHOLE TIME DURING THE STORM WHILE OTHERS WERE FREEZING. I WOULD'VE GLADLY HAD MY POWER OFF PART OF THE TIME SO THAT OTHERS COULD HAVE THEIR POWER ON PART OF THE TIME. YES, THIS WILL REQUIRE AN INVESTMENT. I BELIEVE IN SOFTWARE TO BE ABLE TO CONTROL THE SMART METERS IN A WAY THAT THEY ARE NOT CONTROLLED RIGHT NOW, RIGHT NOW THEY CAN BE TURNED OFF ONE AT A TIME. IT SEEMS THAT IT IS PROBABLY POSSIBLE TO DO THEM IN BATCHES SO THAT OUTAGES COULD BE ROLLED FROM ONE NEIGHBORHOOD TO ANOTHER, EVEN IN THOSE TIGHT CIRCUMSTANCES LIKE WE EXPERIENCED IN FEBRUARY, THIS ED LEAVE WOULD BE MORE EFFECTIVE AND ULTIMATELY CHEAPER THAN TRYING TO SEGMENT OUT THOSE CIRCUITS ON A PHYSICAL BASIS. AND I SAY THAT BECAUSE SEGMENTING OUT ON A PHYSICAL BASIS, OF COURSE REQUIRES UPGRADES TO PHYSICAL INFRASTRUCTURE AND WOULD RELY ON THOSE CRITICAL LOADS BEING IN THE SAME POINTS. OTHERWISE YOU WOULD CONTINUALLY HAVE TO KEEP UPGRADING THOSE CIRCUITS TO KEEP THOSE CRITICAL LOADS ON THEIR OWN CIRCUIT. THAT JUST DOESN'T SEEM LIKE A PRACTICAL SOLUTION TO ME IN A CITY THAT IS GROWING AND CHANGING IN THE WAY THAT AUSTIN IS. AND WE ALREADY HAVE LEADERS DEPLOYED AT ALL OF OUR HOMES AND BUSINESSES. SO LET'S MAKE THIS EXTRA INVESTMENT SO THAT WE CAN USE THAT INFRASTRUCTURE THAT WE HAVE IN A MORE EFFECTIVE WAY. AND GIVEN THAT AUSTIN ENERGY DID JUST, UH, MAKE SOME PROFIT OFF OF THIS SITUATION. AND THIS WOULD PERHAPS BE A GOOD WAY TO SPEND SOME OF THAT MONEY SO THAT WE CAN BE PREPARED FOR THE NEXT TIME AROUND. SO THEY, EVEN IF THEY'RE MAKING A PROFIT PEOPLE AT THE SAME TIME ARE FREEZING IN THEIR HOMES, I WOULD LOOK FORWARD TO YOU ABOUT THIS ISSUE. THANK YOU. THANKS KIVA. DOES ANYBODY HAVE ANYTHING TO SAY ABOUT THAT? I JUST WANTED TO LET YOU KNOW, WE ARE LOOKING AT BOTH THE CIRCUITRY AND I THINK THE, YOUR POINTS ABOUT SEGMENTATION ARE WELL-TAKEN AND, AND WE DEFINITELY WANT TO MOVE IN A DIRECTION THAT WOULD MAKE US MORE NIMBLE. I THINK EVERYBODY IS, IS AGREED ON THAT. THANKS KAY, BEFORE, AND WE'LL SEE WHERE WE CAN HELP US. WE CAN MOVE IN WHERE WE CAN GO WITH THAT. ALL RIGHT. THAT CONCLUDES, UH, CITIZEN COMMUNICATION. I ASSUME THERE'S NOBODY ELSE CALLING IN. AND SO I WILL NOW, UH, [Executive Session] MOVE US INTO EXECUTIVE SESSION FOR AUSTIN UTILITY OVERSIGHT COMMITTEE. THE COMMITTEE WILL NOW GO INTO CLOSED SESSION TO TAKE UP TWO ITEMS PURSUANT TO SECTIONS FIVE 51 DOT OH [00:15:01] SEVEN. ONE OF THE GOVERNMENT CODE. THE CITY COUNCIL WILL DISCUSS LEGAL ISSUES RELATED TO ITEM NUMBER SIX, WINTER STORM, URI, AND PURSUANT TO SECTIONS FIVE 51 DOT OH EIGHT, SIX OF GOVERNMENT CODE. THE COUNCIL CITY COUNCIL WILL DISCUSS COMPETITIVE MATTERS RELATED TO ITEM NUMBER SEVEN, AUSTIN ENERGY GENERATION RESOURCE ISSUES. IS THERE ANY OBJECTION TO GOING INTO EXECUTIVE SESSION ON THE ITEMS ANNOUNCED HEARING NONE, THE COMMITTEE WILL NOW GO INTO EXECUTIVE SESSION AND THEN WE WILL BE COMING OUT HERE TO FINISH UP THE REST OF THE MEETING AFTER THAT. YES. COUNCIL MEMBER KITCHEN. JUST WANTED TO ASK THAT. UM, AND I KNOW WE HAVE, WELL, I DON'T KNOW YOU, YOU PROBABLY NOT ABLE TO ESTIMATE WHEN WE WOULD COME OUT, BUT JUST TO GIVE PEOPLE AN IDEA, YOU SAID EARLIER, WHAT YOU WERE GONNA, YOU KNOW, STILL TAKE IT AND IT'S NOT HOW MANY QUESTIONS, BUT I IMAGINE WE SHOULD BE BACK OUT IN ABOUT 20, 30 MINUTES, MAYBE FOR MOST HARD, HARD TO NOW, BUT YES, THANKS. SEE Y'ALL OVER ON THE OTHER CHAIN. OKAY. WE ARE NOW BACK OUT ON THE DAYAS IN OUR OPEN MEETING, UM, OUT OF CLOSED SESSION IN CLOSED SESSION, WE DISCUSSED LEGAL ISSUES RELATED TO ITEM SIX AND COMPETITIVE MATTERS RELATED TO ITEM SEVEN. WE'RE NOW BACK IN OUR OPEN SESSION, PUBLIC MEETING, AND WE'LL GO RIGHT TO, UH, ITEM ONE IN THE AUSTIN ENERGY, UH, PORTION OF THIS MEETING. AND I'M GOING TO GO REALLY FAST SO THAT WE CAN TRY TO GET ALL THE WORK IN, UH, UH, IN A CONSTRAINED PERIOD OF TIME. ALL RIGHT, ITEM ONE, [1. Approve the minutes of the February 10, 2021 Austm Energy Utility Oversight Committee meeting and the March 3, 2021 Special Called Austm Energy Utility Oversight Committee meeting.] APPROVE THE MINUTES OF, UH, JUST THE MARCH THREE 2021 SPECIAL CALLED AUSTIN ENERGY UTILITY OVERSIGHT COMMITTEE MEETING BECAUSE THE FEBRUARY 10 MINUTES ARE NOT YET AVAILABLE. IS THERE A MOTION FOR THIS? AND, UM, I SEE, UH, COUNCIL MEMBER KELLY, AND A SECOND PLEASE. UH, COUNCIL MEMBER KITCHEN. THANK YOU. UM, UH, ALL IN FAVOR, PLEASE SAY AYE. AND LET'S SEE, I'VE GOT, UH, I FROM, UH, COUNCIL MEMBER, KITCHEN AND CASAR AND TOWBOAT AND KELLY AND RENTER RHEA, AND ME, AND, UH, I DON'T SEE, UH, COUNCILMEMBER FONTEZ. ALL RIGHT. SO THAT IS HOW MANY WAS THAT? FOUR WHO WERE, UH, ON THE DYESS. THANK YOU. BRIEFING GENERAL MANAGERS [2. General Manager's report: Upcoming recommendations for Council action Innovations, events and awards.] REPORT UPCOMING RECOMMENDATIONS FOR COUNCIL ACTION, INNOVATION EVENTS AND AWARDS IS OUR GENERAL MANAGER SERGEANT HERE, BECKY. THERE YOU ARE. GREAT. CAN YOU HELP US? CAN YOU HELP US BY COMPRESSING? SORRY. THANK YOU VERY MUCH. UM, WE WILL GET THROUGH, UM, OUR ITEMS AS QUICKLY AS WE CAN. GOOD AFTERNOON CHAIR, VICE CHAIR AND COMMITTEE MEMBERS. I'M JACKIE SERGEANT AUSTIN AREA, GENERAL MANAGER. IF YOU PLEASE BRING UP THE PRESENTATION. THANK YOU. IN ADDITION TO MY REPORT, UH, VICE-PRESIDENT OF POWER PRODUCTION, PAT SWEENEY WILL PROVIDE THE DECKER CREEK POWER STATION, WORKFORCE PLANNING, ERICA BEERS, BACH VICE PRESIDENT OF MARKET OPERATIONS, RESEARCH PLANNING, ADAM MCELROY, FINANCE DIRECTOR, AND, UH, RISK, UM, AND MARKETS AND TOM PEERPOINT VICE-PRESIDENT ELECTRIC SYSTEM ENGINEERING AND TECHNICAL SERVICE. WE'LL PROVIDE A BRIEFING ON ENERGY MARKET ECONOMICS AND THE TEXAS REGULATORY FRAMEWORK. HOW THE POWER SUPPLY ADJUSTMENT WORKS AND CIRCUIT SEGMENTATION. NEXT SLIDE, PLEASE. AS, UM, AS I TYPICALLY DO, I WANT TO BRIEF THE COMMITTEE ON AUSTIN, NEW UPCOMING RECOMMENDATIONS FOR COUNCIL ACTION. THE FIRST ITEM IS A FIVE-YEAR CONTRACT WITH KBS ELECTRICAL DISTRIBUTORS FOR NETWORK DETECTORS, NOT TO EXCEED $10 MILLION. THIS EQUIPMENT IS NECESSARY FOR USE IN OUR DOWNTOWN NETWORK, WHICH IS DESIGNED TO PROVIDE MAXIMUM SERVICE CONTINUITY. AND I SAID TO DENSITY SERVICE AREA, THE NEXT ITEM IS AN AMENDMENT TO THE EXISTING CONTRACT WITH MASTEC NORTH AMERICA FOR CONTINUED UNDERGROUND TRANSMISSION AND DISTRIBUTION ELECTRICAL SERVICES ARE REVISED TOTAL CONTRACT AMOUNT, NOT TO EXCEED $72 MILLION. ANOTHER UPCOMING CONTRACT IS A FIVE-YEAR CONTRACT WITH THE TREE EXPERT FOR VEGETATION MANAGEMENT SERVICES ON ENERGIZED TRANSMISSION LINES. THESE ARE THE HIGH VOLTAGE LINES FOR A TOTAL CONTRACT UP TO $17.5 MILLION. NEXT SLIDE, PLEASE. NEXT IS A FIVE-YEAR CONTRACT WITH KBS ELECTRICAL DISTRIBUTORS TO PROVIDE CIRCUIT BREAKERS UP OR NOT TO EXCEED AMOUNT OF $7 MILLION. THIS CONTRACT WILL PROVIDE HIGH VOLTAGE CIRCUIT BREAKERS, WHICH ARE USED TO DE-ENERGIZE TRANSMISSION LINES FOR CONSTRUCTION AND MAINTENANCE PURPOSES AND DURING FAULT AND OUTAGE CONDITIONS. THE NEXT ITEM IS AN AMENDMENT TO THE EXISTING CONTRACT WITH PIKE ELECTRIC FOR CONTINUED SUBSTATION INSTALLATION, REPAIR AND MAINTENANCE SERVICES [00:20:01] FOR $2 MILLION. THIS WILL PROVIDE FOR CONTINUED AND ADDITIONAL SUBSTATION INSTALLATION AND MAINTENANCE SERVICES. AND THE FINAL ITEM I'D LIKE TO BRIEF YOU ON IS AN AMENDMENT TO AN EXISTING CONTRACT WITH PIKE ENTERPRISES TO PROVIDE CONTINUED TRANSMISSION AND DISTRIBUTION ELECTRICAL SERVICES FOR $4 MILLION. THIS WILL ALLOW AUSTIN ENERGY TO COMPLETE PLAN AND EMERGENCY TRANSMISSION AND DISTRIBUTION PROJECTS PROJECT TO INCREASED OVER THE COURSE OF THE CONTRACT AND REQUESTED AMENDMENT WILL ALLOW US TO INTERVIEW TO MAINTAIN SERVICES FOR THE DURATION. NEXT SLIDE, PLEASE. LASTLY, I'D LIKE TO MENTION THE 64TH ANNUAL AUSTIN ENERGY REGIONAL SCIENCE FEST, WHICH IS ONE OF TEXAS'S LARGEST REGIONAL SCIENCE FAIRS WITH STUDENTS FROM THIRD THROUGH 12TH GRADE. IT ENCOURAGES AND, AND RESORT REWARDS, INNOVATIVE STUDENT RESEARCH, AND IT ALSO PROVIDES SCIENTISTS, ENGINEERS, AND OTHER PROFESSIONALS, A CHANCE TO VOLUNTEER IN THE COMMUNITY DUE TO THE PANDEMIC SCIENCE FEST WAS HELD VIRTUALLY. AND THIS YEAR 826 STUDENTS PARTICIPATED IN THE ELEMENTARY DIVISION, 294 AND THE JUNIOR VISION. AND THERE WERE 210 STUDENTS IN THE SENIOR DIVISION. SIX PROJECTS WERE SELECTED TO ADVANCE DIRECTLY TO THE REGENERON INTERNATIONAL SCIENCE AND ENGINEERING FAIR, WHICH WILL TAKE PLACE IN MAY LIKE TO SAY THANK YOU TO ALL THE SPONSORS AND VOLUNTEERS FOR THEIR SUPPORT. ALSO THE PARTICIPANTS AS ALWAYS. IT'S GREAT TO CELEBRATE WITH THE YOUNG SCIENTIST OF AUSTIN AND THE SURROUNDING AREA. AND WITH THAT, IT CONCLUDES MY REPORT. I'LL PAUSE. IF, IF THERE'S ANY QUESTIONS YOU MAY HAVE, [3. Decker Creek Power Station Workforce Planning] I THINK WE MIGHT JUST WANT TO REFER IT ON TO THE DECKER FIRE STATION, WORKFORCE PLANNING, ITEM NUMBER, TURN IT OVER TO PAT SWEENEY THEN PLEASE. THANKS. THANKS JACKIE IMPLEMENTATION. IF WE HAVE TIME WHEN WE'RE DONE, I DO HAVE A TIME SENSITIVE ONE THAT'S RELATED TO THE VEGETATION MANAGEMENT THING. IT SHOULD TIME. OKAY. HELLO COUNCIL MEMBERS. GOOD AFTERNOON. CAN YOU HEAR ME? YEP. OKAY. SO AGAIN, I'LL, I WILL BE BRIEF, UH, JUST A SHORT UPDATE ON OUR ACTIVITY WITH, UH, THE DECKER TRAN UH, WORKFORCE TRANSITION. SO, UM, SINCE OUR LAST MEETINGS, ONE OF THE MAIN THINGS WE'VE BEEN FOCUSING ON IS JOB SHADOWING. WE RECEIVED THE 20 REQUESTS FROM EMPLOYEES TO GO SHADOW OTHER JOB OPPORTUNITIES WITHIN AUSTIN ENERGY. AND TODAY, UH, THROUGH MARCH, WE'VE GOT 11 OF THOSE THAT HAVE FINISHED UP. UH, SO THAT'S ABOUT 50%. WE'VE GOT, UH, ANOTHER SIX SCHEDULED IN APRIL. SO WHEN WE WRAP UP APRIL, THAT'LL PUT US AT 90%. AND SO THAT REMAINDER WE WOULD BE ADDRESSING IN, IN MAY AND BEYOND, UH, OBVIOUSLY THAT'S SUBJECT TO ADDITIONAL REQUESTS COMING IN, WHICH WILL WORK TO ACCOMMODATE. SO THAT'S BEEN THE MAIN FOCUS. WE CONTINUE WITH OUR MONTHLY COMMUNICATIONS. WE HAD A MEETING EARLIER THIS WEEK, ACTUALLY. UH, WE CONTINUE TO OFFER CAREER ASSESSMENTS, CAREER COACHING AND TRAINING OPPORTUNITIES. UM, AND SO, UH, I THINK WE'VE, WE, FRANKLY, WE MAY HAVE HIT A PLATEAU ON THOSE. A LOT OF FOLKS HAVE TAKEN ADVANTAGE OF THOSE AND THAT WE CONTINUE TO MAKE THEM AVAILABLE. UH, BUT IN SUMMARY, I'D SAY THAT WE'RE MAKING GOOD PROGRESS. WE'VE GOT SEVERAL TEAM MEMBERS THAT HAVE TAKEN NEW POSITIONS IN DIFFERENT PARTS OF THE ORGANIZATION. UH, WE'VE HAD RETIREMENTS, AND I THINK WE'RE, WE'RE SEEING A TREND THAT WILL CONTINUE AND PUT US IN A GOOD POSITION AT THE TIME WE REACHED THE END POINT TO MINIMIZE THE IMPACT OF THE WORKFORCE. SO WITH THAT, DO YOU HAVE ANY QUESTIONS? I'M HAPPY TO ANSWER QUESTIONS FOR MR. SCREENY. ALISON, DO YOU WANT TO THANK YOU MR. SWEENEY AND LISTEN, DO YOU WANT TO GO AHEAD AND ASK YOUR QUESTION ON ASHLAND THIS POINT? SURE. UM, THIS IS, UH, A QUESTION ABOUT, UM, TREE TRIMMING THAT RELATES TO THE STORM STUFF TOO. UM, I WOULD LIKE TO KNOW HOW, UM, AUSTIN ENERGY PLANS TO ADDRESS THE TREE TRIMMINGS THAT WERE LEFT BEHIND AS A RESULT OF THE POWER RESTORATION EFFORTS. UNDER TYPICAL PROCESSES, AES CONTRACTORS ARE RESPONSIBLE FOR CLEARING THE VEGETATION, UM, GIVEN THE EXTRAORDINARY NATURE OF THE WINTER STORM. THEY, UM, THE TREE TRIMMINGS WERE JUST LEFT THERE AND I WANT TO KNOW WHAT WE'RE DOING TO CLEAR THE EASEMENTS, THIS DEAD VEGETATION PRESENTS A WILDFIRE RISK. UM, AND NOBODY SEEMS TO KNOW WHO'S RESPONSIBLE FOR CLEARING IT. MY DISTRICT WAS HIT PARTICULARLY BAD BY THE ICE STORM WITH THE TREE TRIMMINGS BY AUSTIN ENERGY. AND WE, UM, ARE TRYING TO ADDRESS THIS. AND I WANT TO MAKE SURE THAT THIS IS MS. HAS MISS SERGEANT'S ATTENTION COUNCIL MEMBER ALTAR. I HEAR YOU. I DO NOT HAVE THE ANSWER TO YOUR QUESTION TODAY, BUT WE WILL GET BACK TO YOU. AND I WOULD JUST BROADLY ASK THAT IF, UM, ANY OF MY COLLEAGUES ARE EXPERIENCING SIMILAR ISSUES, WHETHER IT'S THE BRUSH FROM AUSTIN ENERGY OR FROM, UM, ON GREENWAYS AND OTHER SPACES WHERE WE HAVE A LOT OF THESE, UM, DEBRIS FROM THE STORM STILL THERE THAT IS JUST RIPE TO BE DRIED OUT AND FODDER FOR WILDFIRES. UM, IF YOU ARE INTERESTED IN WORKING WITH US TO SEE IF WE CAN GET SOME FIXES TO [00:25:01] THIS, UH, PLEASE LET MY OFFICE KNOW. I THINK THERE WAS SOME RELIANCE, I THINK THERE WAS ALSO SOME RELIANCE ON AUSTIN RESOURCE RECOVERY, PICKING UP THE EXTRA LIMBS AND SO FORTH. AND, BUT, AND THAT HAS ALL THAT HAS BEEN HAPPENING AND IT IS SLOWING DOWN ALL OF THAT WORK AS WELL. BUT YEAH, IT'S CLEARLY WE HAVEN'T MOVED THROUGH ALL OF THE DIDN'T SEEM TO BE HAPPENING FOR THE AUSTIN ENERGY LINES WORK. AND THEN THERE'S A LOT OF SPACES THAT ARE NOT PRIVATE SPACES THAT PEOPLE ARE CALLING ON THAT ARE STILL HAVE A LOT OF DEBRIS THAT IS A WILDFIRE DANGER. YEAH. I THINK WHAT'S HAPPENING IS PEOPLE ARE BRAGGING IT TO THEIR CURB AND THAT'S, WHAT'S BEING PICKED UP. BUT TO YOUR POINT, YES, THAT'S, THOSE ARE AREAS THAT HAVEN'T BEEN ADDRESSED YET. ANYBODY ELSE WE'RE GOING TO MOVE ON TO THE INDUSTRY PRACTICE TO, UM, DURING STORM EVENTS OR THE UTILITIES TO PICK UP THE VEGETATION, THAT'S TRIM TO BE ABLE TO RESTORE POWER. UM, AND WE WILL GET BACK TO YOU WITH, UM, WHAT, WHAT CAN BE DONE OR WHAT OPTIONS, OR MAYBE AFTER THIS EVENT. OKAY, THANK YOU. UM, [4. Energy Market Economics, the Texas Regulatory Framework, and Customer Costs for Power Supply and circuit segmentation] LET'S SEE, WE'RE GOING ON TO ITEM NUMBER FOUR, ENERGY MARKET ECONOMICS, TEXAS REGULATORY FRAMEWORK, AND CUSTOMER COSTS FOR POWER SUPPLY AND CIRCUIT CIRCUITRY. AND THEN ITEM FIVE IS THE WINTER STORM EVENT UPDATES. BOTH OF THESE WERE RELATED TO, UM, OUR WORK TO, UH, ASSESS AND BE BRIEFED ON, UH, RESPONSE TO WINTER STORM URI. AND I WAS GONNA SAY, CONTINUING THIS PORTION IS A CONTINUATION OF, UH, THE, THE TOPIC ITEMS I HAD REQUESTED FROM MARCH 3RD. GO AHEAD. THANKS. THAT'S GOOD AFTERNOON, COUNCIL MEMBERS. MY NAME IS ERICA . I'M VICE PRESIDENT OF ENERGY MARKET OPERATIONS AND RESOURCE PLANNING. AND I'D LIKE TO WALK THROUGH SEVERAL SLIDES THAT SPEAK TO OUR ENERGY MARKETS, ECONOMICS, AS WELL AS A HIGH LEVEL DESCRIPTION OF THE REGULATORY FRAMEWORK SUPPORTING IT. I'M JUST GOING TO TURN OFF MY VIDEO WHILE I GO THROUGH THESE SLIDES, AS IT MAKES THE TRANSMISSION A LITTLE BIT MORE CLEAN. UM, BUT, UH, WE'LL TURN BACK ON WHEN, WHEN I'M DONE, IF YOU COULD GO TO THE NEXT SLIDE, PLEASE. IN 2002, THE STATE DEREGULATED THE ELECTRIC INDUSTRY IN TEXAS, EXCEPT FOR TRANSMISSION, THE PUBLIC UTILITY COMMISSION OR PUC FOR SHORT OVERSEES, THE ELECTRIC MARKET STRUCTURE. IT ADOPTS RULES ADDRESSING THE MARKET AND CAN REVERSE RULES ADOPTED BY THE ERCOT BOARD. THE PUC HAS AUTHORITY OVER OR CUTS FINANCES, BUDGET AND OPERATIONS WITH TEXAS LEGISLATURE OVERSIGHT. THE ERCOT BOARD IS COMPRISED OF 16 MEMBERS ESTABLISHED BY LAW. THIS COMPOSITION IT'S CURRENTLY UNDER REVIEW BY THE STATE LEGISLATURE. NEXT SLIDE PLEASE. SO WHAT ABOUT OUR COT? IT'S THE ELECTRICAL LIABILITY COUNCIL OF TEXAS. IT WAS FOUNDED IN 1970 WITH THE LEGISLATURE, ENACTING LAWS, GOVERNING ERCOT ACTIVITIES, OR CAUGHT AS A NONPROFIT WITH MEMBERS FROM SEVEN MARKET SEGMENTS. AND THEY'RE LISTED HERE BEFORE YOU CONSUMERS. CO-OPS INDEPENDENT GENERATORS, INDEPENDENT REPS, RETAIL, ELECTRIC PROVIDERS, IOUS, UM, AND THEN OUR SEGMENT, WHICH ARE THE MUNICIPALS OR THE MUNICIPAL, UM, UTILITIES. UH, NEXT SLIDE PLEASE. SO ERCOT PURPOSE REALLY COMES DOWN TO FOUR RESPONSIBILITIES. THE PRIMARY RESPONSIBILITY BEING RELIABILITY SYSTEM RELIABILITY, OR BALANCING SUPPLY AND DEMAND GENERATION AND LOAD IS DONE BY AMONG OTHER THINGS, MAINTAINING THE GRID AT 60 HERTZ CONTINUOUSLY EVERY MINUTE OF EVERY DAY. IN ADDITION, ERCOT IS THE FINANCIAL CONDUIT THAT SETTLES ALL WHOLESALE MARKET ACTIVITY FOR ALL MARKET PARTICIPANTS AND FOR ALL WHOLESALE PRODUCTS, SETTLING PRICES FOR THOUSANDS OF NODES ACROSS THE STATE IN ORDER TO PRICE, SUPPLY, AND PRICE DEMAND ON THE SYSTEM EVERY FIVE MINUTES OR COTS RESPONSIBLE FOR FACILITATING THE RETAIL SWITCHING PROCESS THAT GIVES CUSTOMER CHOICE AND DEREGULATED RETAIL MARKETS. AND THEY ALSO PROVIDE AN OPEN ACCESS TO TRANSMISSION FOR DEVELOPMENT. NEXT SLIDE PLEASE. SO LET'S LOOK AT SOME ERCOT MECHANICS. AUSTIN ENERGY'S CUSTOMERS HAVE INVESTED IN GENERATION AUSTIN ENERGY MUST OFFER THAT GENERATION INTO THE ERCOT MARKET FOR IT TO DISPATCH THE CITY'S GENERATION COMPETES WITH ALL THE OTHER GENERATION IN THE WHOLESALE MARKET. OUR GENERATION DOES NOT SUPPLY OUR LOAD. THE POWER OUR CUSTOMERS USE IS PURCHASED FROM ARCOT AT OUR LOAD ZONE. NEXT SLIDE PLEASE. SO HOW DO MARKET PARTICIPANTS LIKE AEI TAKE PART IN ERCOT? IE DOES NOT SELF-SUPPLY ITS GENERATION TO ITS [00:30:01] CUSTOMERS. IT CANNOT DO SO. WE CANNOT DO SO. THE ERCOT MARKET IS A NODAL MARKET, WHICH REQUIRES SUPPLY OR GENERATION AND DEMAND OR LOAD TO BE EITHER INJECTED OR PULLED FROM THE GRID AT SPECIFIC NODES FOR THAT ENERGY TO BE VALUED OR PRICED ACCORDINGLY. AES PARTICIPATION IN THE ERCOT MARKET IS NOT OPTIONAL TO SERVE OUR LOAD AND UTILIZE OUR GENERATION ASSETS. WE MUST ENGAGE IN ERCOT INFRASTRUCTURE, OUR CUSTOMERS GENERATION COMPETES IN MARKETS, DEREGULATED WHOLESALE MARKET, ALONG WITH ALL THE OTHER GENERATION IN THE MARKET, ALL OF THOSE OTHER MARKET SEGMENTS YOU SAW LISTED IN A PREVIOUS SLIDE AUSTIN'S MARKET SEGMENT IS THE MUNI. THE MUNICIPAL SEGMENT. WE ARE A NON OPT-IN ENTITY OR A NOEY, WHICH MEANS WE HAVE NOT OFFERED INTO RETAIL COMPETITION. WE COMPETE IN THE WHOLESALE MARKET, BUT NOT IN THE RETAIL MARKET. SO WE ARE A LOAD SERVING ENTITY. WE HAVE AN OBLIGATION TO SERVE OUR CUSTOMERS. AND IN ORDER TO FULFILL THAT COMMITMENT, WE MUST PURCHASE ALL OF OUR CUSTOMERS POWER FROM THE GRID, WHICH IS THE ERCOT MARKET. AND WE PURCHASE THAT POWER AT AUSTIN'S LOAD ZONE AT OUR LOAD ZONE PRICE, WHICH SETTLES EVERY 15 MINUTES. AUSTIN COSTING CUSTOMERS HAVE ALSO INVESTED IN GENERATION, THEREFORE EIGHT YEARS, A GENERATOR IN ERCOT WHOLESALE MARKET. WE OFFER OUR UNITS IN TO THE MARKET. THESE UNITS, ALL TYPES, RENEWABLES, CONVENTIONAL GENERATION COMPETE AGAINST EACH OTHER THROUGH A PROCESS OF OFFER CURVES AND ECONOMIC DISPATCH. IF, AND WHEN WE ARE SELECTED, WE'RE TOLD HOW MUCH THE MARKET WILL BUY AND WHAT VALUE THE MARKET IS PLACING ON THAT ENERGY. THROUGH THE SETTLEMENT PRICE, IT RECEIVES AT ITS LOCATION. OUR GENERATION DOES NOT SERVE OUR LOAD. NONE OF IT DOES, BUT IT DOES BENEFIT OUR LOAD BY PROVIDING A PHYSICAL HEDGE IN THE WHOLESALE MARKET. SO HOW DID THIS SERVE US DURING THE WINTER EVENT AND HOW WAS OUR PORTFOLIO PREPARED FOR IT? UM, NEXT SLIDE, PLEASE. THIS GRAPH REPRESENTS ALL THE RENEWAL, ALL THE AVAILABLE GENERATION AUSTIN ENERGY HAD FOR THE MARKET FROM FEBRUARY 11TH TO FEBRUARY 19TH, AS WELL AS A FEW PURCHASES WE MADE IN THE COLOR BROWN FOR FURTHER PROTECTION. PLEASE NOTE THAT THIS SLIDE IS DIFFERENT THAN A PREVIOUS SLIDE SHOWN TO COUNSEL EARLIER THIS MUCH, WHICH EARLIER THIS MONTH, WHICH LOOKS SIMILAR TO THIS ONE EIGHT, THE GRAPH SHOWN PREVIOUSLY ONLY DEPICTED THE AMOUNT OF GENERATION THAT WAS PRODUCED FROM AUSTIN. ENERGY'S GENERATING ASSETS. THIS GRAPH SHOWS THE ENTIRE AMOUNT OF GENERATION AVAILABLE IN OUR FLEET DURING THE EVENT. IN OTHER WORDS, THIS GRAPH SHOWS YOU THE PORTFOLIOS SUPPLY OR CAPACITY DURING THE EVENT, THE GRAPH SHOWS GENERATION IN EXCESS OF FORECASTED LOAD. IT ALSO SHOWS THAT THE EXCESS GENERATION WAS NOT DUE TO LOAD SHED. THERE WAS GENERATION IN OUR FLEET THAT DID NOT COMPLETELY DISPATCH. AND THAT WAS FOR SEVERAL REASONS. I'M GOING TO WALK THROUGH THOSE REASONS BEFORE ERCOT ENTERED EEA ON MONDAY THE 15TH AND BEGAN TO SHED LOAD IN THE EARLY MORNING HOURS, GAS PRICES HAD ALREADY BEEN TRADING VERY HIGH OVER THE WEEKEND DUE TO FREEZE OFFS AND SUPPLY DISRUPTIONS IN THE WEST. ALTHOUGH PRICES AT NIGHT OVER THE WEEKEND, ALTHOUGH PRICES AT NIGHT OVER THE WEEKEND WERE IN THE THOUSANDS. WHEN NORMALLY THEY ARE IN THE TEENS, THEY DID NOT GET HIGH ENOUGH TO BRING ON ALL OF OUR GENERATION. THIS WAS BEFORE LOAD SHED. THIS IS REASON. NUMBER ONE, FOR US NOT BEING AT FULL DISPATCH, EVEN IN THESE HIGH PRICES, REASON, NUMBER TWO, AS A LOAD SERVING ENTITY WHO IS 4% OF THE MARKET, WE ARE REQUIRED TO PROVIDE A SPECIFIC AMOUNT OF ANCILLARY SERVICES TO THE MARKET AND SLOW YOUR SERVICES OR THE RELIABILITY PRODUCTS NECESSARY TO SUPPORT THE TRANSMISSION OF ELECTRIC POWER FROM GENERATORS TO CONSUMERS, AUSTIN ENERGY TYPICALLY CARRIES OR TIES UP. MOST OF THESE INSULARY SERVICES ON OUR GENERATING UNITS, AS OPPOSED TO BUYING THEM FROM THE MARKET. THIS SERVE OUR CUSTOMERS WELL BECAUSE OUR REQUIREMENTS WERE CAUGHT. THESE REQUIREMENTS WERE COSTING THE MARKET TWO AND A HALF TIMES. THE PRICE OF ENERGY WHEN ENERGY WAS AT THE $9,000 TAX. AND FINALLY REASON NUMBER THREE, THERE WERE MANY HOURS WHILE ERCOT WAS TRYING TO MAINTAIN STABILITY ON THE NETWORK AND BRING LOAD BACK ONTO THE SYSTEM THAT A PORTION OF OUR GENERATION UNITS WERE SITTING AT THE BOTTOM WAITING FOR, FOR DIRECTION, FROM ERCOT TO BRING OUR UNITS BACK UP, TO MEET DEMAND, A DELICATE BALANCE. AUSTIN ENERGY'S GENERATION AND POSITIONS WERE WELL IN EXCESS OF OUR FORECASTED LOAD. WE ALONG WITH OTHER GENERATORS SUFFERED TRIPS, BUT FOR MOST OF THE EVENT, [00:35:01] IT WASN'T LOW SHED THAT POSITIONED US FINANCIALLY. IT WAS THAT WE HAD GENERATION FOR A MARKET THAT WAS IN SEVERE SHORT SUPPLY. CAN YOU GO TO THE NEXT SLIDE PLEASE? SO AUSTIN ENERGY HAS BEEN MANAGING THE PRICE RISK IN OUR CUSTOMER'S PORTFOLIO. FOR QUITE SOME TIME. OUR HEDGING PROGRAM HAS OVERSIGHT A COMPETITIVE PROCESS FOR ACQUIRING ASSETS, DIVERSIFIED PORTFOLIO, AND AN ACTIVE PORTFOLIO MANAGEMENT PHILOSOPHY, WHICH HAS SERVED OUR COMMUNITY. WELL, CAN YOU GO TO THE NEXT SLIDE PLEASE? AUSTIN ENERGY. UM, THIS IS A SNAPSHOT OF HOW YOUR PORTFOLIO IS DIVERSIFIED THROUGHOUT THE STATE, BY SELECTING PROJECTS IN DIFFERENT REGIONS. WE DECREASED DEPENDENCE ON A SPECIFIC REGION, AN INCREASED PROBABILITY OF AN OF EXPECTED OUTPUT. CAN YOU GO TO THE NEXT SLIDE PLEASE? AUSTIN ENERGY'S HEDGING PROGRAM BEGAN MANAGING THE NATURAL GAS PRICE RISK IN THE FUEL CHARGE. WHEN THE VOLATILITY IN THAT MARKET, THE NATURAL GAS MARKET CREATED MUCH UNCERTAINTY FOR OUR CUSTOMERS, OUR FUEL CHARGES. NOW THE POWER SUPPLY ADJUSTMENT OR THE PSA, AND WE MANAGE THE PRICE RISK INHERENT IN THIS CHART. THE POWER SUPPLY ADJUSTMENT IS A PASS THROUGH AND DOES NOT CONTRIBUTE TO THE GENERAL FUNDS TRANSFER. THIS INCLUDES THE NODAL PRICE RISK AROUND OUR LOAD ZONE COSTS AND WHERE OUR CONSUMERS DEMAND POWER AS WELL AS OUR RESOURCES WHERE OUR RESOURCES INJECT POWER, THE CONGESTION ON THE NETWORK, FUEL PRICE, RISK, AND TRANSPORTATION OF THOSE FUELS. NEXT SLIDE, PLEASE. IF THERE ARE NO QUESTIONS I'D LIKE TO PASS THE BATON TO AUSTIN ENERGY'S DIRECTOR OF ENTERPRISE WIDE RISK MANAGEMENT, WHO WILL SPEAK TO YOU ABOUT THE PSA IN MORE DEPTH. THANK YOU SO MUCH FOR YOUR TIME AND ATTENTION TODAY. THANK YOU, MS. FAIR ROCK. ANY QUESTIONS HERE FOR ERICA? ALL RIGHT. LET'S LET'S MOVE ON TO THE NEXT SECTION. GOOD AFTERNOON. COUNCIL MEMBERS. MY NAME IS ADAM MCELROY AND I'M AUSTIN. ENERGY'S FINANCE DIRECTOR FOR RISK AND SETTLEMENTS. IT'S MY PLEASURE TO SPEAK TO YOU TODAY TO PROVIDE SOME FURTHER DETAIL ON HOW THE ENERGY MARKETS ERICA HAS DESCRIBED, BECOME PART OF OUR CUSTOMERS' FINANCES THROUGH OUR BILLING AND OUR POWER SUPPLY ADJUSTMENT. NEXT SLIDE PLEASE. SO THE ENERGY MARKETS ERICA HAS DESCRIBED TODAY, CREATE POWER SUPPLY COSTS AND REVENUES FOR AUSTIN ENERGY. AND THESE ARE PASSED THROUGH TO CUSTOMERS ON A DOLLAR FOR DOLLAR BASIS THROUGH THE POWER SUPPLY ADJUSTMENT CHARGE ON CUSTOMER BUILDS, ESA CASH FLOWS, ENCOMPASS COSTS AND REVENUES FROM OUR WHOLESALE POWER MARKET ACTIVITIES ON BEHALF OF OUR CUSTOMERS AND THE LARGEST COMPONENTS OF THESE AS ERICA LAID OUT ARE PURCHASES FOR CUSTOMER USAGE OR LOAD SALES INTO THE MARKET FROM OUR GENERATION FLEET AND PURCHASES FOR FUEL AND RENEWABLE ENERGY FOR THAT FLEET. NEXT SLIDE PLEASE. SO ON A DAILY BASIS, THESE PSA COST COMPONENTS ARE FAST MOVING AND DYNAMIC WITH FEATURES OF SUB HOURLY PRICE MOVEMENTS, SEASONAL MARKET ENVIRONMENTS WITH DISTINCT DYNAMICS, MULTIPLE RELATED MARKETS FROM ELECTRICITY TO RESERVES, TO FUELS, TO RENEWABLE RESOURCES AND THROUGHOUT THESE MARKETS, THERE'S AN HOURLY DEPENDENCE ON TEXAS IS COMPLEX WEATHER. SO A KEY FOCUS OF AUSTIN ENERGY'S OPERATIONAL AND FINANCIAL PROCEDURES IS TO MITIGATE THIS DYNAMISM, TO OFFER CUSTOMERS STABLE AND AFFORDABLE RATES TO DO THIS. THE UTILITY USES ITS DIVERSIFIED PORTFOLIO. AS ERICA DESCRIBED A PHYSICAL GENERATION RESOURCES, A THOROUGH SUITE OF RISK MANAGEMENT ACTIVITIES AND POLICIES AND CASH MANAGEMENT FROM THE ORGANIZATION'S OWN FUNDS TO HELP PROVIDE CUSTOMERS AN ANNUAL PSA RATE WITH MEASURED CHANGES FROM YEAR TO YEAR. NEXT SLIDE PLEASE. SO CUSTOMERS EVENTUALLY EXPERIENCED ENERGY MARKET COSTS AS MONTHLY GSA CHARGES. THESE ARE COLLECTED AS A PASS THROUGH CHARGE LEVIED ON PER KILOWATT HOUR ON CUSTOMER BILLS. THE RATE FOR THESE CHARGES IS SET ONCE PER YEAR AND IS DETERMINED SO THAT IT RECOVERS NET ENERGY MARKET COSTS ACROSS THE FULL SYSTEM. AND OVER THE 12 MONTHS OF THE RATE YEAR, THE PSA CHARGE IS A ONE-TO-ONE DOLLAR FOR DOLLAR PASS THROUGH OF THE NET ENERGY MARKET COSTS PER KILOWATT HOUR IN PARTICULAR WHERE OUR CUSTOMERS GENERATION PORTFOLIO EARNS REVENUE FROM SALES, THAT REVENUE OFFSETS COSTS DOLLAR FOR DOLLAR AS WELL. SO IN PARTICULAR THAT THERE IS NO GENERAL FUND TRANSFER APPLIED TO PSA COSTS OR REVENUES. THE PSA CHARGE CURRENTLY ACCOUNTS FOR ROUGHLY 31% OF RESIDENTIAL CUSTOMER BILLS WITH OTHER KEY BILLING COMPONENTS BEING BASE RATES AND REGULATORY CHARGES. NEXT SLIDE PLEASE. SO THE PSA RATE IS ADJUSTED ONCE PER YEAR AND IT IS DETERMINED SO THAT IT COLLECTS THE NET COST FOR MARKET ACTIVITY OVER ONE YEAR, AS ESTIMATED AT THE TIME OF GRADE SETTING, THE RATE IS ALSO SET SO THAT IT RETURNS OR COLLECTS ANY NON-ZERO PSA BALANCES [00:40:01] HELD BY THE UTILITY ON CUSTOMER'S BEHALF. AT THE TIME OF RATE SETTING DAILY AND MONTHLY MOVEMENTS IN OUR SUPPLY, SETTLEMENTS ARE MANAGED BY AUSTIN ENERGY'S FUNDS AND SHORT-TERM CHANGES DID NOT IMMEDIATELY IMPACT CUSTOMER BUILDS. THERE IS A MECHANISM BY WHICH IF THE BALANCE IN THE UTILITIES, PSA ACCOUNTS BECOMES LARGER THAN 10% OF AN ANNUAL PSA AMOUNT. OFTEN ENERGY WORKS WITH COUNCIL TO ADJUST THE PSA RATE OFF CYCLE, TO BEGIN TO RETURN THE BALANCE OR COLLECTED DEFICIT FROM CUSTOMERS OVER THE FOLLOWING 12 MONTHS. NEXT SLIDE PLEASE. SO AUSTIN ENERGY'S CASH AND LIQUIDITY BALANCES HELPED MANAGE THE DAILY SETTLEMENTS IN THE ENERGY MARKETS. SO THE AUSTIN ENERGY CAN TRANSACT IN THESE FAST MOVING DAILY MARKETS WHILE STILL OFFERING CUSTOMERS RATES THAT ARE COLLECTED MONTHLY SET ANNUALLY, AND THAT EXPERIENCED MEASURED THE CHANGES UTILITIES ACROSS TEXAS USE THEIR OWN FINANCIAL RESOURCES. SIMILARLY ON BEHALF OF THEIR CUSTOMERS AFTER THE WINTER EVENT, THESE LIQUIDITY BALANCES AND GENERAL FINANCIAL HEALTH CAME TO BE ITEMS OF KEEN CONCERN FOR BOND HOLDERS AND RATINGS AGENCIES WHO EVALUATE THE ABILITY OF UTILITIES TO REMAIN FINANCIALLY SOUND AND TO MAKE TIMELY PAYMENTS ON THEIR BOND OBLIGATIONS THROUGHOUT FEBRUARY IS WINTER EVENT. AUSTIN ENERGY'S OWN CASH BALANCES REMAIN HEALTHY GIVING SUPPORT TO THE STABLE RATES WE OFFER TO OUR CUSTOMERS. NEXT SLIDE PLEASE. SO BECAUSE AUSTIN ENERGY AND THE CITY OF AUSTIN PARTICIPATE IN THE BOND MARKETS, THE HAS TAKEN ON OBLIGATIONS TO MAKE BONDHOLDERS AWARE OF SIGNIFICANT FINANCIAL EVENTS AND RISKS TO MEET THIS OBLIGATION. AFTER THE WINTER EVENT, AUSTIN ENERGY AND CITY OF AUSTIN TREASURY MADE A FINANCIAL DISCLOSURE TO THE BOND MARKET. ON MARCH 8TH, THE DISCLOSURE DESCRIBED THE WEATHER EVENT AND UPDATED BOND HOLDERS ON AUSTIN ENERGY'S FINANCIAL POSITION DURING AND AFTER THE EVENT AS KEY POINTS OF THE DISCLOSURE, AUSTIN ENERGY AND TREASURY COMMUNICATED THAT AUSTIN ENERGY'S CASH LIQUIDITY POSITION REMAINED STRONG THROUGHOUT THE EVENT. AND AFTERWARDS THAT DURING THE EVENT, AUSTIN ENERGY SUPPLIED GENERATION AND RESERVES IN ACCESS OF LOAD TO THE ERCOT MARKET. AND THAT BECAUSE OF THIS, WE ESTIMATE THAT WHOLESALE MARKET REVENUE WILL OFFSET ALL OF MARKET COSTS FROM THE EVENT WHEN ALL THE COSTS ARE SETTLED IN THEIR FINAL FORM. WE ALSO DISCLOSED AN IMPORTANT CAVEAT THAT SETTLEMENTS FOR ALL ACTIVITY DURING THAT WEEK ARE NOT YET COMPLETE AND MANY UNCERTAINTIES REMAIN IN THE DISCLOSURE. WE NOTED THAT SOME OF THOSE UNCERTAINTIES HAVE THE POTENTIAL TO CHANGE AUSTIN. ENERGY'S CUSTOMERS, ECONOMICS FROM A NET REVENUE POSITION TO A NET COST POSITION FOR THE EVENT. NEXT SLIDE PLEASE. SO TO CONCLUDE FOR TODAY ON THE PSA AUSTIN ENERGY MANAGERS, DYNAMIC DAILY ENERGY MARKETS TO PROVIDE STABLE, AFFORDABLE, AND ANNUALLY SET GSA RATES TO CUSTOMERS, PSA CHARGES AND REVENUES ARE PASSED THROUGH TO CUSTOMERS INFO WITH NO GENERAL FUND TRANSFER BY USING ITS OWN LIQUIDITY ON CUSTOMER'S BEHALF. THE UTILITY MUST OCCASIONALLY GIVE GUIDANCE TO BOND MARKETS ON ITS FINANCIAL HEALTH AND AUSTIN ENERGY IS FINANCIALLY HEALTHY AFTER THE WINTER EVENT. AND WE LOOK FORWARD TO CONTINUING TO OFFER STABLE RATES FOR OUR CUSTOMERS GOING FORWARD WITH THAT. I'LL PAUSE THERE. I'M HAPPY TO ANSWER ANY QUESTIONS OR TERM TURNS TO TOM PEERPOINT FOR OUR NEXT TOPIC. ANY QUESTIONS, AND THEN MR. PIERPONT, WE WANT TO TRY, I WANT TO BE ABLE TO HAND THIS MEETING OVER TO OUR FRIENDS WITH AUSTIN WATER EVER SAID AT ABOUT THREE 30. UM, DO YOU THINK WE'LL BE ABLE TO FIT INTO THAT TIMEFRAME MR. KERPLUNK ON THE LEFT SHIFT? WHY NOT? I CAN MOVE PRETTY QUICKLY, PROBABLY ONE SLIDE. THANK YOU SO MUCH FIRE AWAY. ALL RIGHT, THANKS. I'M GOING TO TALK ABOUT LOW SHED, UM, UH, IN ALL UTILITIES, THE GENERATION AND THE LOAD HAVE TO REMAIN IN BALANCE. UM, BASICALLY AT ALL TIMES, UM, A LOT OF CHAT IN THE CONTEXT OF ARCHIVE, UM, IS, IS A PROCESS WHERE WE, UM, SHUT OFF CUSTOMER LOAD, UM, TO MAINTAIN THAT BALANCE. UM, AND THAT LOAD SHED IS, UM, ONLY DONE THROUGH OUR COD IT'S NOT, UM, IT'S NOT, WOULD NEVER BE CALLED BY AUSTIN ENERGY. UM, WHEN, UH, ERCOT GOES INTO A LOAD SHED, UH, SITUATION, OUR, UM, SHARE AUSTIN ENERGY IS PROVIDED TO US AND WE, WE PUT IT IN A CONTROL CENTER SYSTEM. WE ENTERED THE MOUNTAIN AND THE SYSTEM HAS AN AUTOMATED PROGRAM THAT STARTS ROTATING FRUIT FEEDERS, UM, TO GET DOWN TO THE NEEDED LEVEL. UM, AND, AND JUST TALKING ABOUT FEEDERS REAL QUICK, EACH FEEDER TO THE SUBSTATION. SO WE'RE TURNING OFF THE FEED OR AT THE SUBSTATION PETERS CAN GENERALLY SERVE THOUSANDS OF CUSTOMERS, UM, AND ALSO ACROSS MANY DIFFERENT, UH, COMMUNITIES. [00:45:01] UM, IT'S ALSO IMPORTANT TO POINT OUT THAT THE FEEDERS IN THE LIST MAY OR MAY NOT BE AVAILABLE IF THEY'RE SERVING CRITICAL LOADS OR THEY'RE USED FOR UNDER FREQUENCY, UM, PROTECTION. UM, THE SECOND POINT WITH THIS IS THAT THE, THE LOW SHED LIST AT AUSTIN ENERGY WAS DESIGNED TO BE, UM, TO ALLOW A LOT OF ROTATION AND RESULT IN RELATIVELY SURE, UM, SHUT OFFS FOR CUSTOMERS, UNFORTUNATELY, UM, ON THE DAYS THAT ARE CAUGHT, CALLED FOR REDUCTIONS, THEY WERE SO DEEP, UM, AND THEY CONSUMED REALLY MOST OF THE LOAD SHED LISTS AND PREVENTED ANY ROTATION. SO FOR THE AUTOMATED ROTATING LIST WHERE WE'RE LOOKING AT THE POTENTIAL WAYS TO POWER CRITICAL LOAD WHILE OTHERS RECYCLE, UM, AND MANY OF THESE POINTS HAVE BEEN BROUGHT UP BY, UH, BY VARIOUS STAKEHOLDERS IS, COULD INCLUDE SEGMENTING SECTIONALIZING, UM, OR EVEN RECONFIGURING FEEDERS WHERE FEASIBLE. UM, ONE OF THE THINGS THAT WAS BROUGHT UP TODAY AND HAS BEEN BROUGHT UP IN MULTIPLE FORMS IS THE, UH, POSSIBILITY OF USING AUTOMATED METERING TYPE SOLUTIONS, UM, FOR INDIVIDUAL SHUTOFFS WHILE UNDER CUSTOMER STAY UP. UM, WE WILL, AUSTIN ENERGY IS EXPLORING THIS WITH THE VENDOR. THERE ARE SOME, UM, UH, SOME HURDLES THAT HAVE TO BE OVERCOME. THIS INCLUDES THE COMMUNICATIONS AND THE ABILITY CAPABILITIES OF METERS TO ACTUALLY TURN OFF A LOAD OR NOT. UM, AND THEN ANOTHER AFTER ACTIONS ITEMS, WE'RE LOOKING AT RESOURCES FROM ELECTRICAL POWER RESEARCH INSTITUTE, UM, YOU KNOW, TO LOOK AT WAYS WE COULD, UH, WE COULD BETTER DO LOAD SHED IN THE FUTURE. UM, THERE'S ALSO OTHER TYPES OF LOAD SHED BESIDES THE ROTATING LIST. THIS IS MOSTLY COMPRISED OF LARGER COMMERCIAL INDUSTRIAL CUSTOMERS, AND THOSE CUSTOMERS SIMPLY CAN'T BE CYCLED. THERE'S NO WAY TO TURN OFF CARAMEL AND TURN THEM OFF. IT JUST DOESN'T WORK. UM, SO RIGHT NOW WE HAVE, WE HAVE TO CLOSELY COORDINATE WITH THESE, WITH THE LARGE CNI CUSTOMERS VIA PHONE, UM, TO, UH, TO HAVE THEM RAMP DOWN AND SHUT OFF. AND THIS IS REQUIRED TO ENSURE SAFETY AT THEIR FACILITIES, UM, AND PREVENT DAMAGE. UM, OUR AFTER ACTIONS, UH, FOR THE CNI CUSTOMERS IS WE WANT TO WORK WITH ERCOT AND CNI CUSTOMERS, UM, TO DEVELOP A MORE AUTOMATED PROGRAM, UH, THAT GETS US LOAD HELPS US MEET LOAD SHED REQUIREMENTS, BUT ALSO HELPS THEM, UH, MANAGE THEIR FACILITIES AT THE SAME TIME. AND SO THAT IS IT ALL MUCH IF THERE'S ANY QUESTIONS. ALL RIGHT. ANY QUESTIONS FOR MR. PEERPOINT? YES. COUNCILMEMBER TIMBER. UM, YES. THANK YOU, MR. PEERPOINT. UM, I HAVE, UH, I HAVE A SERIES OF QUESTIONS ABOUT THIS, CAUSE I THINK THIS IS THE QUESTION THAT WE'RE ASKED THE MOST, REALLY WITH RELATIONSHIP TO THE WINTER STORM. CAN YOU WALK ME BACK? I'M SORRY, I DIDN'T PULL UP MY PRESENTATION. SO I'M GOING TO HAVE TO DO THAT. UM, SINCE YOU JUST TOOK THAT LAST, THAT LAST, THAT ONE SLIDE DOWN, UH, CAN YOU TALK A LITTLE BIT ABOUT HOW, HOW THE ORIGINAL CIRCUITS WERE DESIGNED, UM, AND WHY THERE ARE RESIDENTIAL CUSTOMERS ON THOSE CIRCUITS? UM, IN ADDITION TO SOME OF THE CRITICAL FUNCTIONS LIKE HOSPITALS, SURE. IT'S JUST A FUNCTION OF THE FEEDER, UM, YOU KNOW, AND HOW IT WAS LAID OUT THERE. IT'S, IT'S ENTIRELY POSSIBLE THAT THERE'S HOSPITALS AND RESIDENTIAL CUSTOMERS ON THE SAME FEEDER. UM, IT'S JUST HOW THE SYSTEM WAS CONSTRUCTED OVER THE YEARS. UM, SO THE, SO THEY COULD BE INTERMIXED AND THAT'S, UH, THAT GOES BACK TO THE SLIDE. THE, UM, LOOKING AT THE, AT THE AFTER ACTIONS, THE FIRST POINT IS LOOKING AT WAYS THAT WE MIGHT FURTHER SEGMENT, UM, YOU KNOW, OUT HOSPITALS, FOR INSTANCE, MAYBE PUT ONE A DEDICATED FEEDER. IN SOME CASES, WESTLAKE MEDICAL CENTER MIGHT BE AN EXAMPLE. AND, UM, UM, AND, AND THEN SEPARATE THE CRITICAL LOAD FROM THE REST OF THE FEEDER. AND SO, YOU KNOW, ONE OF THE QUESTIONS THAT I KNOW OUR GENERAL MANAGER ADDRESS DURING A PRESS CONFERENCE WAS, AGAIN, A QUESTION THAT WE'VE BEEN ASKED A LOT BY OUR COO OUR CONSTITUENTS. IF YOU HAVE THE ABILITY, IF AUSTIN ENERGY HAS THE ABILITY TO SHUT OFF MY POWER, IF I DON'T PAY MY BILL, WHY COULDN'T THEY HAVE USED THAT MECHANISM? UM, DURING THIS SITUATION, JUST TO, IN ESSENCE, TAKE DOWN, UH, RESIDENTIAL CUSTOMERS WHO WERE NOT SERVING CRITICAL FUNCTIONS WHO HAD POWER DURING THAT PERIOD OF TIME. I KNOW SHE EXPLAINED THAT IT WASN'T POSSIBLE, BUT I, THE ANSWER WAS PRETTY TECHNICAL. UM, AND SO I WOULD ASK IF YOU COULD JUST EXPLAIN WHY WASN'T IT POSSIBLE TO TAKE DOWN SOME OF THE CUSTOMERS WHO WERE RESIDENTIAL CUSTOMERS OR NON-CRITICAL BUSINESSES THAT WERE ON A CRITICAL CIRCUIT, UM, SO THAT YOU COULD HAVE BROUGHT UP OTHER WELL, A COUPLE, COUPLE ANSWERS IS WE ARE GOING TO FURTHER LOOK INTO THAT, BUT [00:50:01] THE, FOR A LOT OF CUSTOMERS IN A LOT OF CASES IN THE AMI SYSTEM IS NOT THERE YET. WE ACTUALLY SHUT OFF CUSTOMERS, SEND OUT, SEND A TRUCK ROLL SO THAT, YOU KNOW, THE METER ACTUALLY GETS PULL. AND THEN, UM, THE SECOND PART TO IT IS FOR AUTOMATED METERS, THE COMMUNICATIONS. AND SO WE'RE TALKING TENS OF THOUSANDS OF DEVICES AND THE NETWORKS FOR AUTOMATED METERS, AREN'T DESIGNED FOR THAT KIND OF THROUGHPUT. SO SENDING OUT TENS OF THOUSANDS OF COMMANDS, IF YOU WILL, THROUGH THESE NETWORKS TO AMI METERS, IS, IS SOMETHING WE'RE GOING TO HAVE TO LOOK AT THE DESIGN. I MEAN, THE SHORT ANSWER IS THE COMMUNICATION SYSTEMS WEREN'T DESIGNED FOR THAT KIND OF CRUSHING. BUT YEAH, I WOULD SAY THAT AS IT IS, WE ARE EXPLORING IT WITH THE VENDOR. I MEAN, WE ARE TAKING THIS REQUEST CIGARETTE SPLIT, BUT JUST WHY IT WASN'T FEASIBLE DURING THIS STORM. SORRY, WHY IT WASN'T FEASIBLE DURING THE STORM IS BECAUSE IN A LOT OF CASES THERE AREN'T AUTOMATED AUTOMATIC METERS, YOU WOULD HAVE NEEDED TO SEND OUT A TRUCK, WHICH OBVIOUSLY WASN'T EFFICIENT OR POSSIBLE. UM, AND THEN FOR, FOR THOSE WHERE THERE, THERE ARE AUTOMATED METERS, UM, THE SYSTEM AT THIS POINT IS NOT DESIGNED TO HAVE DONE THE VOLUME THAT YOU WOULD HAVE NEEDED FOR THAT TO EVEN HAVE MADE A DIFFERENCE IN TERMS OF ALLOWING YOU ENOUGH, UH, LEVERAGE TO BRING BACK OTHER CUSTOMERS, GIVEN THE DEPTH OF EXACTLY AND SENDING ALL THOSE COMMANDS OUT TO SHUT THEM OFF, AND THEN MAKING SURE THAT WE COULD SEND ALL THOSE COMMANDS BACK OUT AGAIN, TO TURN THEM ALL BACK ON. UM, THAT'S, THAT'S STUFF THAT WE'D HAVE TO BE ROCK SOLID ON. OKAY, THANK YOU SO MUCH. AND WE REALLY APPRECIATE IT, AND THIS IS GOOD INFORMATION AND IT MAY BE USEFUL FOR US TO GET THAT EXPLANATION IN A, IN A MEMO TOO. I'D LOVE TO SEND THAT OUT BY WAY OF MY NEWSLETTER. UM, AND I THINK EVERYBODY ELSE WOULD, I WOULD APPRECIATE THAT AS WELL. I'M GOING TO MOVE US NOW, UH, UH, ALTOGETHER. UH, WE'RE STILL HAVING THE JOINT MEETING, UH, OVER TO THE AUSTIN WATER OVERSIGHT COMMITTEE AND AT THREE 33, I'M GOING TO ADJOURN THE AUSTIN ENERGY UTILITY OVERSIGHT COMMITTEE IN THE PAST THE GAVEL ONTO THE CHAIR, A CHAIR KITCHEN WITH AUSTIN WATER OVERSIGHT TO CONTINUE THE CONVERSATION, UM, ON ALL OF THESE TOPICS. UH, THANK YOU, TARA POOL. UM, I'M GOING TO CALL TO ORDER THE MEETING WATER OVERSIGHT COMMITTEE AS PART OF THE AUSTIN ENERGY JOINT MEETING AT THREE 33. UM, TODAY, JUST TO, JUST TO LAY OUT WHAT WE'RE DOING HERE WITH AUSTIN WATER, WE HAVE A HARD STOP AT FOUR 30. SO WE HAVE A FOLLOW-UP, UH, PRESENTATION FROM AUSTIN WATER FOLLOW UP FROM OUR MEETING THAT WE HAD. UM, I BELIEVE IT WAS MARCH 3RD, THE LAST MEETING THAT WE HAD. SO TODAY WHAT WE'RE GONNA DO IS, UM, OUR STAFF IS GOING TO TALK TO US ABOUT, UM, THE FINANCIAL RELIEF ACHIEVED TO DATE ABOUT, UH, AUSTIN WATER'S RESILIENCE EFFORTS AND, UH, AND FURTHER UPDATES THAT WE BEGAN LAST TIME ON A WINTER STORM DEMAND ANALYSIS. AND ALSO, I JUST WANT TO LET EVERYBODY KNOW THAT THE NEXT MEETING, UH, SO WE HAVE AN HOUR TODAY AND WE APPRECIATE CHAIR POOL FOR, UH, LETTING US, UH, BE PART OF THIS JOINT MEETING OF AUSTIN ENERGY. THE NEXT MEETING OF AUSTIN WATER WILL BE ON APRIL 19TH. THAT WILL BE A REGULAR MEETING OF AUSTIN WATER AT THAT MEETING TO BE ABLE TO DRILL DOWN INTO MORE DETAIL ON INFRASTRUCTURE AND COMMUNICATION ISSUES. SO [5. Austin Water February Winter Storm Event Updates] TODAY I'M GOING TO TURN IT OVER TO STEVE AND HIS TEAM. UM, I'M GOING TO ASK HIM TO GO AHEAD AND GO THROUGH HIS FULL PRESENTATION BEFORE WE STOP AND ASK QUESTIONS THAT WAY. I LIKE TO TRY IT THAT WAY, BECAUSE THAT'LL GIVE US SOME MORE CONCENTRATED TIME AT THE END SO THAT WE CAN, UM, ASK QUESTIONS AND HAVE A CONVERSATION WITH HIM. UH, SO MR. MASCARAS, WE HAVE A HARD STOP AT FOUR 30. I KNOW YOU'VE GOT SOME VERY INTERESTING INFORMATION TO PROVIDE TO US. SO JUST DO THAT IN, YOU KNOW, 40 MINUTES, IF YOU CAN, UM, LAST AND THEN WE'LL OPEN IT UP FOR CONVERSATION. SO THANK YOU. REMEMBER PULL, UH, SORRY TO INTERRUPT. THIS IS HEATHER COOKS FROM AUSTIN WATER. DID YOU WANT TO ADOPT MINUTES FIRST FROM THE LAST MEETING YOU WERE POSTED TO DO THAT, OR I'M SORRY, WE COUNCIL MEMBER, CHAIR KITCHEN. I APOLOGIZE. NO, I DON'T WANT TO DO THAT AT THIS TIME. WE HAVE A SHORT PERIOD OF TIME AND I WANT TO JUST, I WANT US TO JUST GET MOVING ON THIS PRESENTATION. GOT IT. AND MY APOLOGIES. THANK YOU. WELL, THANK YOU, COUNCIL MEMBER, UH, UH, GREG DIRECTOR OF AUSTIN WATER. I'LL GET US KICKED OFF TODAY. AND SO, UH, UH, CHAIR, UM, KITCHEN OUTLINED, REALLY WHAT WE WANT TO DO TODAY, UH, GOING OVER SOME OF OUR RESILIENCY EFFORTS, UH, WE'VE HAD AN OPPORTUNITY TO EXAMINE, UH, SOME OF THE WATER USE. IT'S IMPORTANT TO UNDERSTAND [00:55:01] WHERE ALL THE WATER WENT, UH, AS WE'RE COMING TO BETTER UNDERSTAND THIS EVENT. AND SO WE WANT TO SHARE SOME OF THAT WITH YOU, BOTH AT A SYSTEM LEVEL, THE ENTIRE WATER SYSTEM, AS WELL AS SHARING, UH, SOME OF OUR AMI METER DATA. WE HAVE ROUGHLY 4,000, UH, AMI METERS INSTALLED IN OUR PILOT PROJECT AND ARE GOING TO SHARE THAT WITH YOU TODAY, IN TERMS OF SOME OF THE EXPERIENCE WE HAD REVIEWING THAT DATA. AND THEN, UH, THEN ON TO APRIL WHERE WE'LL DIVE DEEPER INTO COMMUNICATION STRATEGIES AND, UH, AND INFRASTRUCTURE, I WILL SAY ALSO OCEAN WATER, STAYING INVOLVED AT THE STATE LEVEL. UM, UH, HERE LAST WEEK, I, UH, ATTENDED A MEETING WITH OTHER, UH, LARGE UTILITY WATER DIRECTORS ACROSS THE STATE WHERE WE SHARED, UH, EXPERIENCES AND SOME LESSONS LEARNED AND, AND ARE COMMITTED TO CONTINUING TO COMMUNICATE WITH EACH OTHER ON, ON DIFFERENT APPROACHES, UH, TO COMING TO TERMS WITH, UH, IMPROVED PERFORMANCE DURING A WINTER EVENT OF THIS NATURE. AND ALSO WHAT THE STATE OF TEXAS THAT TCEQ IS. UH, THE TEXAS COMMISSION ON ENVIRONMENTAL QUALITY IS ARRANGING FOR A SURVEYS OF WATER UTILITIES. THEIR FINAL COUNT THEY'VE INDICATED OVER 2300 WATER UTILITIES ACROSS THE STATE, EXPERIENCED SOME FORM OF SIGNIFICANT DISRUPTION THROUGH THE WINTER STORM. AND THEY'RE GOING TO BE SERVING THOSE GROUPS TO KIND OF LEARN MORE AND FIND OUT BEST PRACTICES, UH, AND, UH, AND, AND SHARING THAT INFORMATION. SO, UH, WE'LL STAY ENGAGED AT ALL LEVELS AT THOSE LEVELS AND SHARE THAT WITH YOU. UH, AND WITH THAT, I'D LIKE TO JUST KEEP FLOWING AND, UH, AND TURN IT OVER TO, UH, ASSISTANT DIRECTOR JOSEPH GONZALES. AND HE'LL GIVE YOU A QUICK REVIEW OF WHERE WE ARE WITH FINANCIAL RELIEF MATTERS. THANK YOU, DIRECTOR. MISSOURI'S AGAIN, MY NAME IS JOSEPH CONSOLS, AUSTIN WATER ASSISTANT DIRECTOR OVER FINANCIAL SERVICES, AND I'LL BE PROVIDING A BRIEF OVERVIEW OF AUSTIN WATERS, FINANCIAL RELIEF EFFORTS IN RESPONSE TO THE FEBRUARY WINTER STORM. NEXT SLIDE, PLEASE. THANK YOU. UM, SO OUR, OUR GOAL FROM THE VERY BEGINNING WAS TO AVOID POTENTIALLY HIGH BILLS FOR OUR CUSTOMERS AS A RESULT OF DRIPPING FAUCETS AND BURST PIPES DURING THE STORM EVENT. AND AS A REMINDER EARLIER THIS MONTH, COUNCIL APPROVED AN ORDINANCE THAT PROVIDED A TEMPORARY RESIDENTIAL RATE REDUCTION THAT DROPPED THE VOLUME METRIC RATES FOR TWO YEARS, THREE TO 5.10 CENT PER THOUSAND GALLONS, AND ALSO REDUCE THE CHAIRED FIXED FEES FOR TIERS THREE THROUGH FIVE FOR THE TIER TWO RATE OF $3 AND 55 CENTS. NOW THROUGH THE USE OF ESTIMATED READS FOR BILL CYCLES, UH, IMMEDIATELY FOLLOWING THE STORM EVENT, WE WERE ABLE TO PUSH ALMOST ALL HIGH RESIDENTIAL CONSUMPTION RESULTING FROM THE STORM INTO BILLING PERIODS BEGINNING MARCH 19TH, WHEN THE REDUCED RATES TOOK EFFECT TO ESSENTIALLY CAP PRESIDENTIAL BILLS AT 6,000 GALLONS OF CONSUMPTION, WHICH IS EQUIVALENT OF AROUND $37 FOR, UH, YOU KNOW, FOR WATER USE. NOW, IN ADDITION, THE ORDINANCE, GRANTED AUSTIN WATER AUTHORITY TO STREAMLINE THE BILL ADJUSTMENT PROCESS AND TO PROVIDE ADJUSTMENTS TO COMMERCIAL AND MULTIFAMILY ACCOUNTS IMPACTED BY THE WINTER STORM EVENT. NEXT SLIDE PLEASE. SO TRUE. LET'S TAKE, I'M SORRY. NEXT SLIDE PLEASE. HERE WE GO. UH, THREE OF THE FIRST FIVE BILL CYCLES THERE, UH, THAT WERE SCHEDULED TO BILL SINCE THE TEMPORARY RATES TOOK EFFECT ON MARCH 19TH, APPROXIMATELY APPROXIMATELY 78 MILLION GALLONS OF CONSUMPTION OCCURRED IN TIER THREE THROUGH FIVE RESULTING IN APPROXIMATELY $990,000 OF RATE RELIEF AS COMPARED TO THE AMOUNT THAT WOULD HAVE BEEN BILLED UNDER OUR NORMAL RATE STRUCTURE AND PUT THAT IN PERSPECTIVE, THE, THE BILL RELEASE NUMBERS TODAY REPRESENT ABOUT 25% OF OUR MONTHLY BILL CYCLES. HOWEVER, THE 78 BILLION GALLONS THAT WERE BUILT IN THOSE TIERS THREE THROUGH FIVE REPRESENT MORE THAN HALF OF OUR NORMAL MONTHLY CONSUMPTION IN THOSE TIERS FOR, FOR THIS TIME OF YEAR NOW FOR COMMERCIAL AND MULTIFAMILY ACCOUNTS, WE'RE MANUALLY REVIEWING THOSE ACCOUNTS TO IDENTIFY UNUSUALLY HIGH CONSUMPTION AND PROACTIVELY APPLYING A BILL ADJUSTMENTS TO REDUCE BILL CONSUMPTION DOWN TO THE NORMAL EXPECTED LEVEL OF CONSUMPTION FOR THIS TIME OF YEAR. AND TO DATE, WE'VE APPLIED ALMOST 256,000 BILL ADJUSTMENTS FOR COMMERCIAL CUSTOMERS AND APPROXIMATELY $588,000 IN BILL ADJUSTMENTS FOR MULTI-FAMILY ACCOUNTS. NOW ON THE COMMERCIAL SIDE, UH, 47 MILLION GALLONS HAVE BEEN ADJUSTED TO DATE, UM, YOU KNOW, REDUCED DOWN TO A NORMAL EXPECTED LEVEL OF CONSUMPTION. AND THAT REPRESENTS ABOUT 7% OF OUR NORMAL MONTHLY COMMERCIAL CONSUMPTION. WHILE ON THE MULTIFAMILY SIDE, 124 MILLION GALLONS HAVE BEEN ADJUSTED TO DATE, WHICH REPRESENTS ABOUT 17% OF OUR NORMAL MONTHLY CONSUMPTION FOR THIS TIME OF YEAR. NOW IN TOTAL, WE'VE PROVIDED OVER 1.8 MILLION IN BILL RELIEF TODAY TO CUSTOMERS IMPACTED BY THE WINTER STORM. AND LOOKING AHEAD, WE EXPECT, [01:00:01] UH, THE BULK OF THE FINANCIAL RELIEF PROCESS TO BE COMPLETED BY THE END OF APRIL, BUT IT MAY TAKE A FEW ADDITIONAL BILLING CYCLES TO FULLY RESOLVE SOME OF THE ISSUES THAT OUR CUSTOMERS MAY BE EXPERIENCING, UH, PARTICULARLY FOR THOSE CUSTOMERS, FOR EXAMPLE, WHOSE RATES WEREN'T ABLE TO BE RE OR AS JUST WEREN'T ABLE TO BE READ DURING THE STORM EVENT. UM, SINCE THE MARCH READ, THE SUBSEQUENT READ IS CURRENTLY THE ONLY DATA POINT THAT WE HAVE FOR THOSE CUSTOMERS. YOU HAVE ANY ONGOING ISSUES OR LEAKS MIGHT NOT BECOME FULLY APPARENT UNTIL WE GET THE NEXT READ. UM, SO WHILE WE'RE WORKING TO IDENTIFY AS MANY OF THOSE ISSUES AS WE CAN, WE CERTAINLY ENCOURAGE CUSTOMERS WITH, WITH ANY HIGH BILL CONCERNS TO REACH OUT TO, UM, CITY OF AUSTIN UTILITIES FOR ASSISTANCE, AND THAT, THAT COMPOSE THE BILL RELIEF PORTION OF THIS UPDATE. AND I'LL TURN IT OVER TO ASSISTANT DIRECTOR BRIAN BORON TO DISCUSS AUSTIN WATER'S RESILIENCY EFFORTS. GOOD AFTERNOON, CHAIR KITCHEN. CAN YOU HEAR ME? OKAY, GREAT. THANK YOU. GOOD AFTERNOON, CHAIR AND COUNCIL MEMBERS. I AM ANA BRIAN ASSISTANT DIRECTOR OF BUSINESS SERVICES THIS AFTERNOON. I'M GOING TO SHARE INFORMATION WITH YOU ABOUT AUSTIN WATER'S EMERGENCY MANAGEMENT STAFF, OUR ENTERPRISE RESILIENCY, STRATEGIC INITIATIVE, HOW WE ARE PREPARING FOR FUTURE EVENTS AND COMPLIANCE WITH AN IMPORTANT FEDERAL LAW PERTAINING TO WATER UTILITIES, RESILIENCE. ALTHOUGH THESE EFFORTS WERE UNDERWAY BEFORE WINTER STORM URI, THE STORM HIGHLIGHTED THAT WE STILL HAVE MUCH WORK TO DO TO PREPARE FOR AND RESPOND TO EXTREME WEATHER. AUSTIN WATER STAFF WILL REEVALUATE OUR RESILIENCE EFFORTS TO ENSURE THAT WE ARE APPROPRIATELY MANAGING THE RISK OF EXTREME WINTER WEATHER, IMPROVING WATER. UTILITY RESILIENCE IS NOT JUST A PRIORITY FOR AUSTIN WATER. IT IS A STATE AND NATIONAL PRIORITY AT AUSTIN WATER. WE ARE HIGHLY ENGAGED WITH OUR INDUSTRY ON THIS TOPIC. HERE ARE JUST A COUPLE OF EXAMPLES OF HOW WE ARE DOING THAT THROUGH THE AMERICAN WATER WORKS ASSOCIATION, OUR UTILITY EMERGENCY MANAGEMENT COORDINATOR SERVES ON THE TEXAS RESILIENCY AND CYBERSECURITY COMMITTEE, AND I SERVE ON THE NATIONAL STRATEGIC MANAGEMENT PRACTICES COMMITTEE GOING FORWARD. WE WILL CONTINUE TO USE OUR PROFESSIONAL ASSOCIATIONS TO LEARN WHAT WORKS AT OTHER UNITS. NEXT SLIDE, PLEASE. NOW I'M GOING TO TALK ABOUT OUR PROACTIVE EMERGENCY MANAGEMENT PROGRAM. BACK IN 2010, AUSTIN WATER BEGAN IMPLEMENTING THE NATIONAL INCIDENT MANAGEMENT SYSTEM THROUGH TRAINING AND STANDARD OPERATING PROCEDURES. AS YOU MAY KNOW, THIS NATIONAL FRAMEWORK PROVIDED BY FEMA GUIDES ORGANIZATIONS TO PREVENT RESPOND TO AND RECOVER FROM INCIDENTS TODAY, AUSTIN WATER HAS BUILT UP A PROFESSIONAL EMERGENCY MANAGEMENT STAFF. THE TEAM NOW CONSISTS OF THREE FTES AND NEXT YEAR IT WILL GROW TO FIVE. WE HAVE A HIGHLY QUALIFIED STAFF WHO BRING A COMBINED NEARLY 70 YEARS OF EXPERIENCE IN THE FOLLOWING DISCIPLINES, PUBLIC SAFETY, MILITARY OPERATIONS, NURSING, AND PUBLIC HEALTH FIRE RESCUE, AND EMERGENCY MEDICAL SERVICES AND OCCUPATIONAL SAFETY AND HEALTH. THE EMERGENCY MANAGEMENT STAFF HOLD DEGREES, CERTIFICATIONS AND STATE LICENSES RELATED TO THESE FIELDS. AUSTIN WATER ALSO HAS A DEDICATED SPACE AT OUR HEADQUARTERS FOR OUR DEPARTMENTAL OPERATIONS CENTER. IT'S EQUIPPED WITH MEETING SPACE AND TECHNOLOGY THAT ALLOWS THE INCIDENT MANAGEMENT TEAM TO GATHER AND RESPOND TO EMERGENCIES DURING COVID. WE HAVE TRANSITIONED TO A VIRTUAL DEPARTMENTAL OPERATIONS CENTER WHILE MAINTAINING THE STRUCTURE OF OUR INCIDENT MANAGEMENT TEAM. AUSTIN WATER ALSO HAS A REGULAR ONGOING TRAINING PROGRAM TO PREPARE FOR EMERGENCIES. WE TRAIN OUR EMPLOYEES IN FEMA'S INCIDENT COMMAND SYSTEM OR ICS, AND OUR EMERGENCY MANAGEMENT STAFF ARE FEMA CERTIFIED ICS INSTRUCTORS, AUSTIN WATER EMPLOYEES HAVE COMPLETED ICS COURSES AT BEGINNER, INTERMEDIATE AND ADVANCED LEVELS. WE CONDUCT REGULAR TABLETOP EXERCISES TO PREPARE FOR EMERGENCIES AND TO PRACTICE THE INCIDENT COMMAND SYSTEM. EMPLOYEES HAVE PARTICIPATED IN SIMULATIONS ON A VARIETY OF SCENARIOS, INCLUDING WASTEWATER OVERFLOW, LOSS OF WATER, RESERVOIR, AND BOIL WATER NOTICE DRUG DISTRIBUTION IN CASE OF A BIOLOGICAL THREAT AND PLANE CRASH ON PROPERTY. WE ALSO CONDUCT DRILLS AT OUR FACILITIES, INCLUDING CHEMICAL DISASTER, FIRE [01:05:01] EVACUATION AND LONGHORN DAM GATE OPERATIONS. FINALLY, IN 2020, WE BEGAN IMPLEMENTING SPECIALIZED EMERGENCY MANAGEMENT SOFTWARE. THIS SOFTWARE ALLOWS US TO MONITOR DAILY SITUATIONAL AWARENESS TO PREPARE CONTINUITY OF OPERATIONS PLANS AND TO ACTIVATE THE INCIDENT MANAGEMENT TEAM VERY RAPIDLY. WE ARE IN THE INITIAL TRAINING AND DEVELOPMENT PHASE OF IMPLEMENTING THIS NEW SOFTWARE. NEXT SLIDE, PLEASE. NOW I'D LIKE TO DISCUSS HOW AUSTIN WATER CONSIDERS RESILIENCE IN OUR STRATEGIC PLANNING. AUSTIN WATER USES EFFECTIVE UTILITY MANAGEMENT AS OUR PLANNING AND IMPROVEMENT FRAMEWORK, EFFECTIVE UTILITY MANAGEMENT, OR E U M IS AN INDUSTRY BEST PRACTICES FRAMEWORK DEVELOPED BY THE EPA IN PARTNERSHIP WITH THE WATER INDUSTRY, EUM PROVIDES A COMPREHENSIVE FRAMEWORK RELATED TO OPERATIONS INFRASTRUCTURE, CUSTOMER SATISFACTION, SUSTAINABILITY, AND FINANCIAL PERFORMANCE AS SHOWN IN THE GRAPHIC. THE FRAMEWORK CONSISTS OF FIVE MANAGEMENT PRACTICES AND 10 ATTRIBUTES THAT ARE NECESSARY FOR A WATER UTILITY TO BE EFFECTIVELY MANAGED AUSTIN WATER LAUNCHED OUR EUM INITIATIVE IN 2016, WE HAVE LEVERAGED IT TO PURSUE IMPROVEMENTS AND AFFORDABILITY, CUSTOMER SATISFACTION, INFRASTRUCTURE MAINTENANCE, RISK-BASED CAPITAL PLANNING AND EMPLOYEE DEVELOPMENT. JUST TODAY. THE EPA HAS PUBLISHED A CASE STUDY ON AUSTIN WATERS, EFFECTIVE UTILITY MANAGEMENT INITIATIVE. I CAN SPEND MORE TIME DISCUSSING THIS FRAMEWORK IF YOU HAVE QUESTIONS, BUT FOR OUR PURPOSES TODAY, I WOULD LIKE TO HIGHLIGHT THE ENTERPRISE RESILIENCY ATTRIBUTE ENTERPRISE RESILIENCY MEANS THAT THE UTILITY STAFF WORKED TO ANTICIPATE, RESPOND TO AND AVOID PROBLEMS. THE UTILITY EFFECTIVELY MANAGES A FULL RANGE OF BUSINESS RISKS, CONSISTENT WITH INDUSTRY TRENDS AND THE UTILITY PLANS FOR BUSINESS CONTINUITY. NEXT SLIDE, PLEASE. IN EARLY 2020 AUSTIN WATERS, EXECUTIVE TEAM RECOGNIZED THE NEED TO STRENGTHEN RESILIENCE. WE ALREADY HAD SEVERAL EFFORTS UNDERWAY, INCLUDING EMERGENCY MANAGEMENT ACTIVITIES, OUR WATER FORWARD 100 YEAR WATER RESOURCES PLAN AND WILDFIRE MITIGATION ON OUR WILDLANDS. WE WANTED TO GO FURTHER BY SELECTING THE ENTERPRISE RESILIENCY ATTRIBUTE AS A FOCUS OF EFFECTIVE UTILITY MANAGEMENT. IN EARLY 2020, WE ELEVATED ENTERPRISE RESILIENCY TO A STRATEGIC INITIATIVE AND COMMITTED TO A COMPREHENSIVE EFFORT TO IMPROVE RESILIENCY. OVER THREE YEARS, WE ASSEMBLED A CROSS-FUNCTIONAL TEAM WITH REPRESENTATIVES FROM EMERGENCY MANAGEMENT, INFORMATION TECHNOLOGY, CLIMATE PROTECTION, WILDLANDS AUDITING, AND SECURITY TO NAME A FEW, THE TEAM ESTABLISHED A COMPREHENSIVE THREE-YEAR PLAN WITH THESE GOALS TO ENSURE PREPAREDNESS AND RESPONSE TO IS EFFECTIVE PRACTICE AND REVIEWED, TO ENSURE OPERATIONAL RESILIENCY THROUGH NORMAL AND EMERGENT CONDITIONS, AND TO ENSURE RESILIENCY BY IDENTIFYING AND ADDRESSING NATURAL HAZARDS, TO MAINTAIN FOCUS AND MOMENTUM. THE ENTERPRISE RESILIENCE, THE TEAM LEADER PARTICIPATES IN WEEKLY HUDDLES TO REPORT PROGRESS AND MONTHLY BRIEFINGS TO OUR EXECUTIVE TEAM. WE EXPECT THAT THIS STRATEGIC INITIATIVE WILL RESULT IN IMPROVEMENTS IN THE MONTHS AND YEARS AHEAD. AND WE WILL CONTINUE TO REPORT BACK TO THE AUSTIN WATER OVERSIGHT COMMITTEE ON THOSE OUTCOMES. NEXT SLIDE, PLEASE. NOW I'D LIKE TO SPEAK TO ONE WAY THAT WE ARE PREPARING FOR FUTURE EMERGENCIES DURING BOTH THE COLORADO RIVER FLOOD OF 2018 AND WINTER STORM YURI IN 2021, AUSTIN WATER SUPPORTED THE DISTRIBUTION OF BOTTLED WATER TO THE COMMUNITY, WHICH WAS LED BY OUR PARTNERS IN THE CITY'S HOMELAND SECURITY AND EMERGENCY MANAGEMENT DEPARTMENT. ONE OF THE LESSONS LEARNED FROM THESE EVENTS IS THAT WE NEED TO HAVE A PORTFOLIO OF OPTIONS TO PROVIDE WATER TO THE COMMUNITY. DURING TIMES OF EMERGENCY BOTTLED WATER IS ONE PART OF THE PORTFOLIO, BUT IT IS NOT THE ONLY SOLUTION IN THE AFTERMATH OF WINTER STORM. MURIE AUSTIN WATER PURCHASED 60 BULK WATER TOTES, WHICH ARE PORTABLE 275 GALLON WATER TANKS AND CONTRACTED WITH WATER TRUCKS TO PROVIDE BULK WATER DISTRIBUTION. THESE RESOURCES WERE DEPLOYED TO LOCATIONS ACROSS THE CITY. AS OUR COMMUNITY WAS RECOVERING FROM THE STORM. GOING FORWARD, AUSTIN WATER IS COMMITTED [01:10:01] TO HAVING A PORTFOLIO OF OPTIONS FOR PROMO PROVIDING EMERGENCY WATER AS A MEANS OF SUPPORTING COMMUNITY RESILIENCE. WE ARE INVESTIGATING BULK WATER TRUCKS, AND RIGHT-SIZING THE INVENTORY OF BOTTLED WATER TO KEEP ON HAND DURING WINTER STORM URI, MORE THAN 2300 PUBLIC WATER SYSTEMS EXPERIENCED A BOIL WATER NOTICE. AND THERE WAS A TREMENDOUS DEMAND ON BOTTLED WATER SUPPLIES ACROSS THE STATE. BY HAVING A PORTFOLIO OF OPTIONS AVAILABLE, AUSTIN WATER WILL HAVE GREATER FLEXIBILITY TO PROVIDE WATER TO OUR COMMUNITY DURING TIMES OF EMERGENCY. NEXT SLIDE, PLEASE. FINALLY, I'D LIKE TO TALK WITH YOU ABOUT AMERICA'S WATER INFRASTRUCTURE ACT. THIS FEDERAL LAW ENACTED IN 2018 REFLECTS. AS I MENTIONED EARLIER, THAT IMPROVING THE RESILIENCE OF WATER UTILITIES IS A NATIONAL PRIORITY. THE LAW REQUIRES DRINKING WATER SYSTEMS TO ASSESS RISKS, TO AND RESILIENCE OF THEIR SYSTEMS. AFTER COMPLETING THE RISK AND RESILIENCE ASSESSMENT UTILITIES MUST PREPARE AN EMERGENCY RESPONSE PLAN THAT INCORPORATES THE FINDINGS OF THE RISK AND ASSESSMENT AUSTIN WATER COMPLIED FULLY AND ON TIME WITH THE REQUIREMENTS OF THIS LAW. AND WE CERTIFIED OUR COMPLIANCE WITH THE LAW TO THE EPA. YAY. NEXT SLIDE, PLEASE. SOME ADDITIONAL INFORMATION ABOUT THE REQUIREMENTS OF AMERICA'S WATER INFRASTRUCTURE ACT, THE RISK AND RESILIENCE ASSESSMENT TAKES AN ALL HAZARDS APPROACH, MEANING THAT A UTILITY SHOULD CONSIDER BOTH NATURAL HAZARDS AND THE THREAT OF MALEVOLENT ACTS THE, THE UTILITY SHOULD ASSESS THE RESILIENCE OF ITS INFRASTRUCTURE, INCLUDING NOT ONLY THE PIPES AND PLANTS, BUT ALSO THE ELECTRONIC SYSTEMS. THE UTILITY SHOULD ASSESS ITS PRACTICES RELATED TO MONITORING THE SYSTEM, CHEMICAL HANDLE HANDLING AND OPERATIONS AND MAINTENANCE. THE EMERGENCY RESPONSE PLAN INCLUDES STRATEGIES TO IMPROVE RESILIENCE, BOTH PHYSICAL SECURITY AND CYBERSECURITY RESPONSE PROCEDURES, ACTIONS TO LESSEN THE IMPACT OF HAZARDS AND ACTIONS TO DETECT THREATS AT AUSTIN WATER, WE ASSIGNED AN EXPERIENCED INTERNAL AUDITOR WITH A CERTIFICATION IN RISK MANAGEMENT TO LEAD THE RISK AND RESILIENCE ASSESSMENT. AND THE EMERGENCY RESPONSE PLAN WAS PREPARED BY OUR EMERGENCY MANAGEMENT COORDINATOR. OUR ASSESSMENT ALSO INCLUDED A REVIEW OF THE CITY'S CLIMATE RESILIENCE ACTION PLAN FOR CITY ASSETS AND OPTIONS OPERATIONS, AND PREPARING THE RISK AND RESILIENCE ASSESSMENT AND THE EMERGENCY RESPONSE PLAN. WE IDENTIFIED THE HIGHEST RISK THREATS BASED ON PAST EXPERIENCE IN EMERGENCY INCIDENTS. THOSE THREATS INCLUDED AND CLIMATE WEATHER IN GENERAL, FLOOD DROUGHT AND EXTREME HEAT. AND THOSE THREADS HA THREATS HAVE NOT HISTORICALLY INCLUDED EXTREME WINTER WEATHER. HOWEVER, MOVING FORWARD, AUSTIN WATER, WE'LL ADJUST OUR RESPONSES TO MEET THE THREATS THAT ARE EVOLVING AND OUR RISK ASSESSMENT WILL INCLUDE EXTREME WINTER WEATHER GOING FORWARD. NEXT SLIDE, PLEASE. FUTURE AUSTIN WATER WILL EXCEED THE REQUIREMENTS OF AMERICA'S WATER INFRASTRUCTURE ACT WITH WHAT WE ARE CALLING A W I A 2.0, THE LAW REQUIRES RECERTIFICATION FOR THE DRINKING WATER SYSTEM EVERY FIVE YEARS. HOWEVER, AUSTIN WATER WILL REPEAT THIS PROCESS EVERY TWO YEARS FOR THE WATER SYSTEM. IN ADDITION, THIS LAW DOES NOT APPLY TO WASTEWATER SYSTEMS. HOWEVER, AUSTIN WATER WILL CONDUCT A RISK AND RESILIENCE ASSESSMENT OF THE WASTEWATER SYSTEM AS PART OF A W I A 2.0, WE LAUNCHED THIS ASSESSMENT IN EARLY 2021. IT IS BEING LED BY AN EXPERIENCED INTERNAL AUDITOR WITH IN AUDITING RISK MANAGEMENT AND INFORMATION SECURITY. AGAIN, WE WILL REPEAT THAT WASTEWATER ASSESSMENT EVERY TWO YEARS THROUGH A W I A 2.0, WE ARE IMPLEMENTING ANNUAL STANDARDIZED RISK ASSESSMENTS AND DEVELOPING CORRESPONDING RESPONSE PLANS TO CONCLUDE AUSTIN WATERS. LEADERSHIP RECOGNIZES THAT MUCH WORK LIES AHEAD TO SUPPORT COMMUNITY RESILIENCE. WE WILL BUILD ON THE EXISTING FOUNDATION OF OUR ENTERPRISE RESILIENCE, THE INITIATIVE TO LEARN FROM WINTER STORM URI AND BECOME A MORE RESILIENT UTILITY. AND NOT NOW I WILL PASS IT ON TO THE NEXT PRESENTERS ASSISTANT DIRECTOR CRITTENDON AND CORONADO. THANK YOU ON ANA. NEXT SLIDE, PLEASE. [01:15:03] AGAIN, MY NAME IS KEVIN CRITTENDON AND I'M WITH AUSTIN WATER. I'M THE ASSISTANT DIRECTOR FOR ENVIRONMENTAL PLANNING AND DEVELOPMENT SERVICES. AND THIS SECTION OF OUR PRESENTATION, WE WANTED TO PROVIDE SOME INITIAL INSIGHTS RELATED TO OUR ANALYSIS OF WATER USES AND LOSS DURING THE STORM. UM, I'LL START THE PRESENTATION BY PROVIDING SOME INFORMATION RELATED TO THE EVENTS OF THE STORM, AND THEN PROVIDE SOME PRELIMINARY ANALYSIS OF HOW WE BELIEVE THE WATER WOULD USE THE LOSS, UH, THROUGH OUR EXPERIENCE IN THE SYSTEM. AND THEN I WILL ASK US THE DIRECTOR OF OPERATIONS CORNETTO TO COME AND PROVIDE SOME ADDITIONAL INSIGHTS THAT WE'VE BEEN ABLE TO GAIN, UH, REGARDING THE CUSTOMER SIDE IMPACTS, UH, BASED ON THE PRELIMINARY INFORMATION THAT WE'VE RECEIVED FROM OUR, MY ATX OR OUR AMI, A PILOT PROJECT DATA. NEXT SLIDE, PLEASE. YOU MAY RECALL THE SLIDE FROM OUR INITIAL REPORT ON WINTER STORM YURAN ITS IMPACT ON OUR WATER SYSTEM. BASICALLY THIS GRAPH DEPICTS THREE KEY RESPONSES, KEY SYSTEM CHARACTERISTICS OF OUR SYSTEM, UH, THE GREEN LINE, WHICH SHOWS WATER PUMPED FROM OUR WATER TREATMENT PLANTS, UH, THROUGHOUT THE EVENT, THE BLUE LINE WOULD SHOWS WATER USAGE, UH, IN OUR SYSTEM, WHICH INCLUDES ALL USES AND LOSSES. AND THEN THE RED LINE, WHICH SHOWED WATER STORAGE VOLUMES IN OUR PORTABLE WATER RESERVOIRS. OVERALL, THIS GRAPHIC SHOWS HOW THE WATER SYSTEM RESPONDED THROUGHOUT THE EVENT. UH, BEGINNING OF THE DAYS PRECEDING THE WINTER STORM IN FEBRUARY 10TH, WHICH SHOWS THE MORE TYPICAL, UH, SYSTEM RESPONSES AND BEHAVIOR THROUGH THE CRITICAL PERIOD BEGINNING IN THE EARLY MORNING HOURS OF FEBRUARY 16TH. UM, AND THEN WE BEGAN SEEING OUT OF RANGE, WATER DEMANDS, SHORTENED SYSTEM, RECOVERY PERIODS, AND NOTABLE REDUCTIONS IN WATER STORAGE VOLUMES, AND THEN CONTINUING THROUGH THE RECOVERY PERIOD, UH, STARTING IN THE BEGINNING MORNING HOURS OF FEBRUARY 18TH AND THEN OUR FINAL RECOVERY, UH, WHERE WE WERE ABLE TO LIFT THE BOIL WATER NOTICE ON FEBRUARY THE 23RD, WHEN OUR SYSTEM WAS STABILIZED OVERALL, THE WINTER STORM IMPACTED OUR COMMUNITY FOR APPROXIMATELY 12 TO 14 DAYS WITH CERTAIN ELEMENTS OF OUR COMMUNITY EXPERIENCING EVEN LONGER, UH, UH, OUTCOMES RELATED TO PRIVATE SIDE, UH, PLUMBING DISRUPTIONS, UM, FROM, UH, FROM BETWEEN APPROXIMATELY FEBRUARY, THE 12TH OF FEBRUARY THE 20TH, THE ENTIRE AREA SAW CONTINUED BELOW FREEZING WEATHER. UM, WE'VE HIGHLIGHTED WHAT WE CALL THE CRITICAL PERIOD IN BLUE IN THIS PARTICULAR SLIDE, WHICH IS REALLY WHERE WE BEGAN TO SEE THE SYSTEM BEHAVING OUTSIDE OF NORMAL RANGES. UM, DUE TO A NUMBER OF FACTORS, SOME OF THESE IN FACTORS INCLUDED INCREASED CUSTOMER DEMAND, WHICH WERE LIKELY DUE TO, UM, UM, CUSTOMER, UH, DRIPPING FAUCETS AND OTHER, UH, WINTER STORM PRECAUTIONARY MEASURES LIKE STORING WATER ON SITE TO PRIVATE PLUMBING BREAKS AND LEAKS, AND THEN PROMPTLY, UH, PUBLIC WATER SYSTEM BREAKS AND LEAKS. THE COMBINATION OF THESE DEMANDS ON THE SYSTEM RESULTED IN SIGNIFICANT LOSS OF STORED WATER VOLUMES AND OUR PORTABLE WATER STORAGE RESERVOIRS, WHICH IN TURN RESULTED IN MUCH OF OUR SYSTEM BEING YOU PRESSURIZE OR DEPLETED OF WATER STORAGE VOLUME, WHICH ULTIMATELY RELATED, UH, RESULTED IN WIDESPREAD LOSS OF SYSTEM SERVICE THROUGHOUT OUR SYSTEM. NEXT SLIDE PLEASE. AND THE WEEK SINCE THE STORM, WE'VE WORKED ON ANALYZING A VARIETY OF DATA SETS TO TRY TO PROVIDE MORE INFORMATION ABOUT THE INDIVIDUAL COMPONENTS OF USES AND LOSSES THROUGHOUT OUR SYSTEM. THIS PARTICULAR SLIDE, UM, TRIES TO CHARACTERIZE, UH, THOSE DIFFERENT LOSSES AND, AND USES BY CATEGORY IN OUR SYSTEM. UM, AND I APOLOGIZE IN ADVANCE. IT'S A LITTLE BIT, UH, DENSE SLIDE, BUT I'LL TRY TO WALK YOU THROUGH IT BRIEFLY. UM, GENERALLY SPEAKING, A PARTICULAR SLIDE IS, IS SIMILAR TO THE PRIOR SLIDE THAT I SHOWED. UM, YOU KNOW, I WOULD KNOW, THAN IN THE DARK BLUE BARS THAT ARE GENERALLY ALONG THE BOTTOM. THOSE ARE BARS THAT REFLECT WHAT I WOULD DESCRIBE AS THE BASE CUSTOMER USE OR DEMAND THAT INFORMATION HAS BEEN GLEANED FROM A NUMBER OF INDIVIDUAL DATA SOURCES, INCLUDING OUR HISTORICAL RECORDS, OUR PRELIMINARY MANUAL METER READING INFORMATION. AND IT'S BEEN ENHANCED WITH INFORMATION FROM EVALUATION. AS I SAID EARLIER OF OUR PILOT AMI DATA, THE YELLOW BARS REPRESENT OUR ESTIMATES OF UTILITY SIDE OF WATER SYSTEM OF DEMAND LOSS AND LEAKS. AGAIN, THOSE ARE PRIMARILY BASED ON FIELD ESTIMATES FROM A STAFF IN THE FIELD, CONDUCTING REPAIR WORK ON OUR INFRASTRUCTURE, THE ORANGE BARS REPRESENT ESTIMATED CUSTOMER SIDE LEAKS AND WATER LOSS. AND AGAIN, THAT INCLUDES WATER LOSS FROM PRIVATE PROBING BREAKS, [01:20:01] WATER LOSS DUE TO PRIVATE, UH, DRIPPING, UH, FAUCETS, UH, IN PREPARATION IN PREPARATION OR PROTECTION FROM FREEZE DAMAGE, AND THEN LIKELY ONSITE PREMISE, UH, STORAGE AND BATHTUBS WATER. UM, THIS DATA WAS ESTIMATED BASED ON A REVIEW OF A NUMBER OF HISTORICAL DATA SOURCES. AND AGAIN, WE APPLIED OUR INFORMATION FROM OUR AMI SYSTEM TO TRY TO ENHANCE THIS. THE GREEN BARS REPRESENT STORAGE, WATER, BEING STORED AT PUMPED INTO OUR WATER STORAGE RESERVOIRS FROM OUR WATER TREATMENT PLANTS AND THE LIGHT BLUE BARS REPRESENT WATER THAT IS BEING PUMPED INTO, UH, EL ELEMENTS OF OUR PIPELINE DISTRIBUTION NETWORK THAT HAD BEEN DE-WATERED DURING THE SYSTEM OUTAGE. UM, GENERALLY FROM THIS INFORMATION, WHAT YOU'LL SEE IS THE DARK BLUE BARS AT THE BOTTOM, YOU KNOW, GENERALLY IN THE EARLY PARTS OF THE STORM, STAYING AT KIND OF NORMAL DEMAND LEVELS AND THEN DROPPING, UM, AS THE STORM PROGRESSED AND S UH, WATER, UM, SYSTEM PRESSURE BEGAN TO DROP AND SORES VOLUMES BEGAN TO FALL. UM, AS THE SYSTEM BEGAN TO STABILIZE AROUND THE 18TH, YOU CAN SEE THE WATER STORAGE BEGAN TO INCREASE, UM, AND, UH, WE WERE ABLE TO, UM, UM, RESTORE SERVICE AND IT STARTED TO PICK UP ON, UM, INDIVIDUAL DEMANDS, A COUPLE OF OBSERVATIONS ABOUT THIS IN THE VERY EARLY DAYS, A COUPLE OF DAYS INTO FREEZING. WE BEGAN TO SEE, UH, EXPERIENCE INCREASED USAGE, AGAIN, LIKELY DUE TO PUBLIC SIDE LAKES. AND YOU CAN SEE THOSE SHOWN IN THE ORANGE, UH, AROUND SAY THE 15TH. AND, UM, YOU CAN ALSO SEE THE YELLOW BAR, UH, ON TOP OF THAT SHOWING PUBLIC, UH, SIDE LAKES. UM, AS THE EVENT PROGRESSED, YOU CAN SEE THAT THOSE ORANGE AND YELLOW BARS BEGAN TO GROW, UM, TO A MAXIMUM ON THE 17TH WHERE WE PREDICT THAT WE HADN'T SORT OF THE LARGEST IMPACT OF WATER LOSS FROM PUBLIC SIDE LAWS AND PRIVATE SIDE LOSS. UM, AS THE SYSTEM DEPRESSURIZED ONTO THE, UM, 18TH TIMEFRAME, YOU CAN SEE THAT, UM, FOLKS BEGAN TO REPAIR LAKES. WE BEGAN TO GET A BETTER HOLD ON PUBLIC SIDE LOSSES, AND WE WERE ABLE TO BEGIN REFILLING RESERVOIRS STARTING ON OR ABOUT THE 18TH. UM, AND THAT PHENOMENON CONTINUED THROUGH THE REMAINDER OF THE RECOVERY PERIOD. WE WERE ABLE TO CONTINUE TO FIX LAKES. UM, PEOPLE OBVIOUSLY STOPPED DRIPPING FAUCETS. UM, AND SO WE CONTINUE THROUGH THE PERIOD AND WE'RE ABLE TO, UM, PROVIDE WATER INTO THE WATER STORAGE RESERVOIRS, AS WELL AS, UM, BEING ABLE TO PROVIDE WATER INTO THE DE-WATERED PORTIONS OF THE DISTRIBUTION SYSTEM. UM, AND OF COURSE, THAT KIND OF CONCLUDED IN THE, THE, THE 22ND THROUGH THE 26TH PERIOD WHERE WE RETURNED TO MORE NORMAL OPERATIONS. ULTIMATELY, ALL OF THIS DATA, UM, HAS REALLY BEEN ENHANCED BY JUST A SMALL SET OF PILOT AMI DATA THAT WE'VE BEEN ABLE TO ACCESS THROUGH OUR ONGOING AMI PILOT, UM, THAT PROVIDES US, YOU KNOW, ENORMOUS AMOUNT OF INFORMATION FROM A INDIVIDUAL CUSTOMER METER PERSPECTIVE. UM, AND WE'RE VERY EXCITED ABOUT, UH, THE INFORMATION THAT WILL PROVIDE US IN THE FUTURE. UM, NOT ONLY FROM A POST EVENT SITUATION, BUT REALLY IN A REAL TIME, UM, SYSTEM OPERATIONS, UH, CONTEXT. AND SO WITH THAT, I'LL INVITE RICK UP TO KIND OF TALK THROUGH SOME OF THE DETAILS ON WHAT WE'VE BEEN ABLE TO GLEAN FROM THIS VERY SMALL EXAMPLE OF HOW WE MIGHT USE AMI DATA NOW AND IN THE FUTURE. GOOD AFTERNOON, UM, COUNCIL MEMBERS, UH, CHAIR KITCHEN RECORD NODDLE, ASSISTANT RECTOR FOR OPERATIONS. SO HERE, SO I'M GOING TO CONTINUE ON WITH THIS GRAPHIC AND JUST KIND OF HIGHLIGHT SOME OF THE AREAS THAT YOU'VE ALREADY BEEN DISCUSSING IN PARTICULAR, THE CUSTOMER SIDE, UH, THE ORANGE BARS, UH, THIS KIND OF REPRESENTS THE INITIAL DEMAND ON THE SYSTEM THAT WE SAW IN THE EARLY DAYS OF THE 15TH THROUGH, UM, UH, THROUGH THE 17TH WHERE WE PEAKED OUT ALSO, UH, SOME OF THE DISCUSSIONS WILL BE A LITTLE BIT ABOUT THE UTILITY SIDE, UH, LEAKS THAT WE EXPERIENCED THAT WAS SUBSEQUENT OF THE 17TH, WHERE WE STARTED TO SEE MORE OF THE, UH, UH, PRO UH, MAIN LEAKS OR THE MAIN BREAKS, UH, SURFACE, UH, BY THE 18TH. NEXT SLIDE PLEASE. SO, UM, [01:25:01] WE'VE MENTIONED, UH, MY ATX WATER, UH, PILOT, UH, THAT CONSISTS OF ABOUT, UM, ABOUT 3,700 CUSTOMERS THAT ARE CURRENTLY IN THE, UM, UH, DIFFERENT NEIGHBORHOODS, UH, RIVER PLACE, GLEN LAKE, LONG CANYON, UH, MUELLER AND WINDSOR PARK. UH, SO WE'LL KIND OF HIGHLIGHT A LITTLE BIT OF WHAT WE SAW IN THE INSIGHTS OF THE DATA AND THE DATA ANALYTICS THAT WE'RE STARTING TO EXPLORE ON A, A ROUTINE BASIS. NEXT SLIDE, PLEASE. THIS GRAPHIC, UH, IS A LITTLE DETAILED, BUT I'M GOING TO EXPLAIN TO YOU WHAT THIS, UH, GRAPHIC, UH, REPRESENTS THE NUMBER OF, UH, AMI CUSTOMERS OR MY ATX WATER PORTAL. CUSTOMERS IS ABOUT 3,700, UH, CUSTOMERS. UH, WE HAVE ABOUT, UM, IN THIS REPRESENTATION, WE HAVE ANYWHERE FROM ZERO TO, UH, 1200 CUSTOMERS THAT MAY HAVE EXPERIENCED DURING THE, UH, EVENTS, UH, SOME LEVEL OF WHAT WE CALL CONTINUOUS USAGE AND CONTINUOUS USAGE. THE, UH, SYSTEM THAT WE USE IS THE, UH, SMARTWATER SOFTWARE, BUT IT'S CALLED MY ATX WATER PORTAL THAT HAS SOME ANALYTICS. AND SO CONTINUOUS USAGE IS DEFINED AS A WATER OVER THREE GALLONS PER HOUR, THAT HAS EXPERIENCED THAT IS EXPERIENCED FOR AN EXTENSION OF 36 HOURS. YEAH, THESE ARE ALL CUSTOMIZABLE, UH, SYSTEMS OR TRIGGERS, BUT THAT'S WHAT THIS DATA REPRESENTS IS, UH, IN EXCESS OF THREE GALLONS PER HOUR. THE SYSTEM NOW COLLECTS DATA EVERY HOUR, UM, FOR A DURATION OF 36 HOURS, BURST LEAK IS, AND OTHER, UH, DEFINED TRIGGER AND BURST LEAK IS A D DEFINED AS AN EXCESS OF 120 GALLONS PER HOUR, UH, FOR A DURATION OF EIGHT HOURS. AND SO WE'LL GIVE SOME EXAMPLES ON WHAT, HOW SOME OF THE CUSTOMERS MAY HAVE EXPERIENCED SOME OF THIS, UM, THESE EITHER CONTINUOUS USAGE OR BURST LEAKS, AND FINALLY, THE CUMULATIVE, UH, LEAKS, WHICH REALLY IS A REFERENCE OF BOTH CONTINUOUS USAGE AND BURSTS, UH, REPRESENTED IN THE BAR CHART THAT WE HAD ABOUT IN THE ORDER OF, AT, AT ONE POINT 30% OF THE CUSTOMERS EXPERIENCE A HIGHER LEVEL CONTENT USAGE OR BURST LEAKS. NEXT SLIDE, PLEASE. SO SOME OF THE CUSTOMER PROFILES THAT WE PULLED FROM OUR DATABASE, UH, IS A CUSTOMER, UH, THAT'S REPRESENTED NUMBER ONE, WHERE SOMEONE'S RUNNING A WATER HOSE, OUTDOOR WATER HOSE, UH, THE SYSTEM NOTIFIES THEM THAT THERE'S SOME CONTINUOUS USAGE. AND THEN LATER THERE WAS AN EVENT THAT TRANSITIONED INTO A BURST LEAK. THE SECOND, UH, CUSTOMER EXAMPLE THAT YOU'LL SEE IS A BURST LEAK, UH, DUE TO A FROZEN IRRIGATION LINE. UM, AND SO, UH, THOSE ARE THINGS THAT WILL CONTINUOUSLY MONITOR, UH, ANALYZE THE INFORMATION FROM, UH, OUR, MY ATX WATER PORTAL, AND ALSO CONTINUE TO COMMUNICATE WITH CUSTOMERS ON SOME OF THESE TYPES OF EVENTS. NEXT SLIDE, PLEASE. SO THIS, UH, GRAPHIC JUST REPRESENTS A NORMAL USE PATTERN. UH, IT'S NOT UNUSUAL TO HAVE, UM, UH, HOURLY, UH, PEAKS AND VALLEYS IN SOME OF THE DATA SETS, AS WELL AS NO WATER USAGE. DURING SOME OF THE HOURLY READS, THIS WOULD BE CONSIDERED NORMAL USAGE. THERE IS NO CONTINUOUS USAGE THAT WOULD TRIGGER A, UH, FLAG, UH, AND THERE'S NO EXCESS USAGE THAT WOULD ALSO, UH, FLAG A BURST, UH, DEFINED ON THE PREVIOUS FLIGHTS. NEXT SLIDE PLEASE. SO GOING BACK TO EXAMPLE, NUMBER ONE, THIS, UH, THE SYSTEM IDENTIFIED A CONTINUOUS USAGE ALERT SOMETIME PROBABLY, UH, 36 HOURS INTO, UM, THE CUSTOMER'S USAGE FROM THE 13TH. I'M JUST GONNA KIND OF DEPICT SOME OF THE TIMEFRAMES FROM THE 13TH. THERE WAS A CONTINUOUS USAGE IN EXCESS OF, UM, THREE GALLONS PER HOUR, AND SOMETIME, PROBABLY THREE DAYS OR 36 HOURS LATER, THE SYSTEM NOTIFIED THE CUSTOMER THAT IT WAS A REGISTERING, A CONTINUOUS USAGE, THE CUSTOMER THEMSELVES NOTIFIED ALSO IN WATER SOMETIME ON THE 18TH, THAT THEY, THEY WERE RUNNING A, UM, OUTDOOR WATER HOSE, UH, DUE TO THE FREEZE AS, AS A MEANS OF PROTECTION, SOMETIME ON THE 20TH, [01:30:01] UH, THERE WAS AN INITIAL SPIKE IN, UM, IN WATER USAGE THAT WOULD REPRESENT WHAT WE CALL A BURST LEAK AND A NOTIFICATION TO THE CUSTOMER WOULD HAVE OCCURRED EIGHT HOURS AFTER THAT THRESHOLD WAS ACHIEVED, WHICH AGAIN, AS A REMINDER, THAT WAS 120 GALLONS PER HOUR OF, UM, OF WHY OR USE X SLIDE, PLEASE. THIS REPRESENTS A, UH, ANOTHER CUSTOMER PROFILE THAT, UH, IN WHICH WE HAD, UH, CONTINUOUS USAGE IN EXCESS OF 120 GALLONS PER HOUR, THIS WAS IDENTIFIED THROUGH WITH, UH, CUSTOMER COMMUNICATION THAT THIS WAS A, A BURSTED IRRIGATION LINE. AND SO, AS YOU CAN SEE, THE GALLONS PER HOUR WAS AN EXCESS OF A THOUSAND TO 1200 GALLONS PER HOUR, UH, THAT LASTED FOR SEVERAL HOURS BEFORE IT WAS RECTIFIED IN THE, UH, SUBSEQUENT DAY. SO THIS KIND OF, THIS IS INSIGHTS INTO TWO OF THE CUSTOMER PROFILES THAT WAS TYPICAL THROUGH THE DATA SET OF, OF, OF ROUGHLY ABOUT THREE 3,700 CUSTOMERS THAT ARE CURRENTLY ON AMI OR MY ATX WATER, UH, SYSTEM. NEXT SLIDE, PLEASE, IN ADDITION TO, YOU KNOW, THAT INFORMATION THAT, THAT WE JUST KIND OF, UH, WENT OVER WITH AN AMI INFORMATION, UH, WE ARE STILL EXPLORING SOME OF THE, UH, INFORMATION THAT'S ON THE PUBLIC SIDE. OBVIOUSLY SOME OF THE PUBLIC SIDE INFORMATION IS, UH, ESTIMATES ON FLOW OR WATER LOSS. UM, IN THE LAST PRESENTATION THAT I SHARED WITH YOU, THAT WE SAW AN EXCESS OF PROBABLY 150 MAIN BREAKS. UH, THE LAST COUNT WE HAVE IS ABOUT 166 MAIN BREAKS, UH, WITH A GOOD PORTION OF THAT 80% OF THAT IS DEFINED AS A MAIN BREAKS THAT WERE CAST IRON PIPING. WE ALSO HAVE ABOUT THAT SAME AMOUNT OF WATER SERVICE LINES, TYPICAL, UH, UH, BREAKS BETWEEN MAINS AND WATER SERVICE LINES IS THAT WE USUALLY SEE WATER SERVICE LINE BREAKS, UH, GREATER THAN WATER MAIN BREAKS. UH, IN THIS EVENT, THEY DID NOT INCREASE AS MUCH AS THE WATER MAIN BREAKS, ALTHOUGH THEY ARE A LITTLE, THEY TAKE A LITTLE LONGER TO SURFACE SOMETIMES. AND SO, UH, AS WE CONTINUE TO, TO ANALYZE THAT INFORMATION, WE'LL PROBABLY SEE AN EXCESS OF A HUNDRED OF THOSE WATER SERVICE LINES IN OUR WORK ORDER SYSTEM. UH, SOME OF THE INFORMATION THAT WE'LL ALSO SHARE IN THE NEXT UPDATE IS INCLUDE SOME OF THE COMMUNICATIONS, UH, TYPICAL, UM, WORK ORDER OR SERVICE REQUEST DEMANDS COME THROUGH OUR DISPATCHING OFFICE AND PHONE NUMBER. WE HAD TO STAND UP SOME OF THAT ONLINE, UM, MANAGEMENT OF THAT DATA THROUGH AN ONLINE FORM. AND SO, AS WE CONTINUED TO COLLECT THAT INFORMATION, WE WERE REFINING WHAT OUR ACTUAL WATER MAIN BREAKS AND SERVICE LINE BREAKS, UM, SURFACED AS, UH, AGAIN, THE, THE INITIAL WATER MAIN BREAK ANALYSIS, UH, RIGHT NOW CONSISTS OF OVER 150 TO 160 WATER MAIN BREAKS OF WHICH, UH, 80% OF THAT IS STILL IS, UH, CONSISTENT WITH, UH, CAST IRON MAIN BREAKS. AND, UM, WE'LL CONTINUE TO MAP THOSE AGAINST, UH, PREVIOUS BREAKS THAT HAVE, UM, OCCURRED THROUGHOUT THE CITY AND, UH, ADJUST OUR RENEW AUSTIN PROGRAM IN WHICH, UH, WE'LL GIVE MORE UPDATES ON THE INFRASTRUCTURE REPORT OUT IN THE NEXT MEETING. ALSO WANTED TO ADD A COUPLE OF OTHER, UH, SIDE NOTES, IS THAT IN ADDITION TO, UH, NOT ONLY WATER SERVICE MAINS AND A SERVICE LINE MAINS, WHICH IS THE LINE FROM THE MAIN TO THE METER IS THAT WE ALSO HAD TO, UM, ADDRESS OVER 1500 ARE EMERGENCY WATER SHUTOFFS. SO THAT'S, YOU KNOW, DISPATCHING CREWS, UH, TO GO OUT AND, UH, SHUT OFF THE METERS AND THE CUTOFF METERS THERE AT THE, UH, PRIVATE SIDE, UH, OR I'M SORRY, AT THE PUBLIC SIDE OF THE METER, UH, IN ORDER FOR CUSTOMERS TO ADDRESS ANY PRIVATE SIDE LEAKS, UM, WITH THAT I'LL ENTERTAIN ANY QUESTIONS. OKAY. THANK YOU ALL. IF YOU COULD TAKE THE SLIDES DOWN, I CAN BETTER SEE WHO HAS QUESTIONS. SO LET ME JUST SAY THANK YOU ALL FOR THIS, UM, THIS INFORMATION. UM, IT, UH, I KNOW THAT WE HAVE NOW ABOUT 15 MINUTES AND I'M SURE THAT WE'LL HAVE MORE QUESTIONS THEY ONLY TIME FOR. SO IF EVERYONE COULD JUST LIMIT THEMSELVES [01:35:01] TO TWO TO ONE QUESTION SO THAT MOST OF THE MOST PEOPLE CAN ASK QUESTIONS. UM, AND THEN OF COURSE, UM, AS THEY MENTIONED, WE WILL HAVE MORE OPPORTUNITIES FOR PEOPLE TO ASK QUESTIONS. AND THEN AGAIN, AT OUR NEXT WATER COMMITTEE MEETING, WE'LL GO INTO MORE DEPTH ON THE INFRASTRUCTURE AND COMMUNICATIONS. SO I SEE COUNCIL MEMBER, UM, ALTER, SO COUNCIL MEMBER ALTER, UH, FIRST, AND THEN THE MAYOR AFTER THAT, BECAUSE I SEE THOSE TWO HANDS UP. THANK YOU. UM, I APPRECIATE THE PRESENTATION AND I WANT TO FOCUS IN ON THE PRESENTATION FROM DR. BRIAN , UM, IN PARTICULAR, UM, I APPRECIATE YOU, UM, RESPONDING TO SOME QUESTIONS THAT I HAD RAISED IN SOME PRIVATE MEETINGS WITH RESPECT TO AMERICA'S WATER INFRASTRUCTURE INFRASTRUCTURE ACT. AND I APPRECIATE YOUR HONEST AND FORTHRIGHT RESPONSE HERE, UM, WHICH IS THAT THAT PLAN DID NOT PLAN FOR COLD WEATHER BECAUSE IT WAS NOT CONSIDERED A HIGH RISK EVENT. UM, AND I WANT TO RAISE THIS AND I APPRECIATE THAT YOU WERE HONEST ABOUT THE FACT THAT IT WAS NOT IN THERE. UM, THIS IS SOMETHING THAT I AM SEEING ACROSS MULTIPLE PLANTS. UM, WE DO NOT SEEM TO HAVE PLANNED AS A CITY WITH RESPECT TO OUR INFRASTRUCTURE AND OTHER THINGS FOR COLD WEATHER. UM, AND I'D LIKE TO BETTER UNDERSTAND WHY NOT. UM, IT SOUNDS LIKE YOU'RE GOING TO BE RELOOKING AT THE PLAN AND THAT THERE'S A LOT OF THINGS, OBVIOUSLY WE'RE GOING TO NOW SAY, THIS IS SOMETHING WE HAVE TO PLAN FOR, BUT I WANT TO UNDERSTAND WHY WE DIDN'T PLAN FOR IT. WAS IT JUST THAT OUR CLIMATE, YOU KNOW, WE'RE MAKING PLANS ON A LOT OF THINGS BASED ON CLIMATE PROJECTIONS, AND THOSE ARE NOT PERFECT AND YOU HAVE TO START SOMEWHERE, BUT IF ALL OF OUR CLIMATE PROJECTIONS SAY, WE'RE NOT GOING TO HAVE EXTREME COLD, WE ALREADY KNOW THEY'RE WRONG. AND SO WHAT, YOU KNOW, HELP ME UNDERSTAND WHY IT WASN'T THERE AND WHAT WE'RE DOING ABOUT IT. SURE. UH, THANK YOU, COUNCIL MEMBER FOR YOUR QUESTION AND, UH, FOR THE OPPORTUNITY TO FOLLOW UP ON, ON EARLIER CONVERSATIONS ON THIS TOPIC, UM, LOOKING AT CLIMATE WORK, UH, THAT HAS BEEN DONE WITHIN THE CITY, EVEN REVIEWING THE CITY'S CLIMATE RESILIENCE ACTION PLAN. UM, IT DID NOT, UH, IDENTIFY COLD WEATHER AS, AS A RISK FACTOR FOR US. UM, YOU KNOW, IT, IT IDENTIFIED THE RISK OF INCREASING TEMPERATURES AND CALLED OUT THE FACT THAT AUSTIN IS KNOWN FOR MILD WINTERS. UM, SO I THINK WE ARE ALL LEARNING, UNFORTUNATELY, IN RETROSPECT, THAT THE RISK OF A POLAR VORTEX AS THIS HAS BEEN, HAS BEEN CALLED, UM, EXISTS WHEN WE DO RISK. UH, WE, WE ALSO LOOK AT, YOU KNOW, WE, WE LOOK AT THE WHOLE, UH, SPECTRUM OF RISKS. THAT'S WHY WE CALL IT AN ALL HAZARDS APPROACH, BUT THE ITEMS THAT ARE SELECTED FOR SPECIFIC CORRECTIVE ACTION ARE THOSE ITEMS THAT, THAT HAVE A VERY HIGH LIKELIHOOD OF COMING TO FRUITION. SO THERE ARE MANY RISKS, UM, THAT ONE COULD ENVISION THAT WOULD FACE THE UTILITY, BUT THE ONES THAT WE WOULD SELECT FOR SPECIFIC PLANNING FOR SPECIFIC INVESTMENTS IN INFRASTRUCTURE FOR SPECIFIC TRAINING OPPORTUNITIES ARE THE ONES THAT WOULD BE RATED HIGH RISK. AND UNFORTUNATELY, IN THIS EVENT, WE DID NOT HAVE INFORMATION TO INDICATE THAT EXTREME WINTER WEATHER WAS A RISK FOR US. WE HAVE WEATHERED OTHER WINTER STORMS IN THE PAST, AND THEY HAVE NOT HAD A SIGNIFICANT IMPACT ON OUR INFRASTRUCTURE. UM, SO WHILE, UNFORTUNATELY, IN RETROSPECT, NOW WE HAVE THE BENEFIT OF HINDSIGHT AND WE WILL CORRECT THAT GOING FORWARD. THAT WAS NOT ONE OF THE HIGH RISKS THAT WE EVALUATED DURING OUR RISK ASSESSMENT. THANK YOU. I WANT TO JUST UNDERSCORE THAT, YOU KNOW, YOU'RE ABSOLUTELY RIGHT. THAT IF YOU GO BACK AND YOU LOOK AT OUR CLIMATE RESILIENCE PLAN, UM, IT DOESN'T HIGHLIGHT COLD WEATHER. UM, AND SO, YOU KNOW, ONE STEP HERE IS UNDERSTANDING WHY IT WASN'T IN THERE AND THEN FIGURING OUT WHAT ELSE WE HAVE TO DO. AND FOR COLLEAGUES I'M WORKING ON TRYING TO FIGURE OUT THE NEXT STEP FOR CLIMATE RESILIENT INFRASTRUCTURE. UM, AND THAT'S ONE OF THE OBSERVATIONS THAT I THINK IS, UM, REALLY IMPORTANT IN THERE. UM, IF IT WAS NOT A RISK, WAS THERE, LIKE, WHAT KIND OF PLANNING DID YOU DO FOR COLD WEATHER? WE DO HAVE, UH, REGULAR, UM, OPERATIONAL PROCEDURES FOR COLD WEATHER. SO I DON'T WANT TO LEAVE YOU WITH THE IMPRESSION THAT WE ARE COMPLETELY UNPREPARED FOR COLD WEATHER. UM, BUT, BUT IN TERMS OF A RISK ASSESSMENT [01:40:01] FOR PREPARING FOR EMERGENCIES, IT DID NOT RISE TO THAT LEVEL. I'D LIKE TO ASK ASSISTANT DIRECTOR RICK CORNETTO TO TALK ABOUT SOME OF THE, YOU KNOW, DAY-TO-DAY OPERATIONAL ACTIVITIES THAT PREPARE US FOR WINTER WEATHER. AND I JUST WANT TO CLARIFY I'M, I'M DIDN'T MEAN TO SUGGEST FOR DAY TO DAY, I'M PARTICULARLY INTERESTED IN THAT INFRASTRUCTURE PIECE. YES. AND PLEASE REMEMBER THAT WE HAVE LIMITED TIME AND WE WANT PEOPLE TO HAVE OPPORTUNITIES TO ASK QUESTIONS. SO SOME OF THIS WE MAY HAVE TO TAKE OFFLINE. I THINK THIS IS A VERY IMPORTANT QUESTIONS, COUNCILMEMBER ALTAR. SO I APPRECIATE YOU RAISING IT. UH, LET'S JUST TRY TO LIMIT THE RESPONSE AND TAKE SOME OF IT OFFLINE OR GO INTO MORE DETAIL AT OUR NEXT MEETING. SO IF, IF, UH, IS THAT ALL RIGHT? IF WE MOVE ON COUNCIL MEMBER ALTER, DID YOU GET ENOUGH OF YOUR QUESTION ANSWERED? UM, I CAN GO OFFLINE IF, IF NECESSARY. OKAY. BECAUSE IT'S VERY IMPORTANT QUESTION AND I APPRECIATE YOU LETTING US KNOW THAT YOU WERE LOOKING INTO THAT COUNCIL MEMBER ULTRA, CAUSE I THINK THAT'S REALLY KEY. SO, MAYOR, I THINK YOU HAD A QUESTION OR IS THERE ANYONE ELSE THAT HAD A QUESTION ALSO AFTER THE MAYOR? LET ME GO AHEAD AND ASK ONE THAT I THINK WOULD BE PRETTY QUICK, BUT I THINK IT'S RESPONSIVE TO QUESTIONS THAT WE'RE HEARING FROM CONSTITUENTS WITH RESPECT TO THE WATER DEMAND THAT WE HAD IN THIS EVENT AND HOW IT, UH, UH, HEAT. AND YOU HAD A, UH, SLIDE HERE, THIS LAST PRESENTATION THAT SPOKE TO THAT. UM, THERE WERE SOME QUESTIONS THAT WERE BEING ASKED IN THE COMMUNITY ABOUT HOW MUCH THE INSTRUCTION TO, UM, TO DRIP FAUCETS CONTRIBUTED TO THE, THE, THE EVENTUAL CHALLENGE. CAUSE WE TOLD PEOPLE TO DRIP FAUCETS AND THEN WE CAME BACK LATER AND SAID, NOW STOP DRIPPING BOSTON'S BECAUSE THEIR RISK IS GREATER. WHEN I LOOK AT THE NUMBERS THAT YOU'RE PRESENTED, IT ALMOST LOOKS AS IF TRIPPING FROS AS POSITS. DIDN'T, DIDN'T REALLY CONTRIBUTE TO MUCH DEMAND IN THAT EARLY PERIOD OF TIME IN THOSE FIRST SIX DAYS AS COMPARED TO, TO THE PIPES BURSTING THEREAFTER. AND I JUST WANT TO HEAR YOU TALK JUST FOR A SECOND WITH RESPECT TO THAT DECISION, TO TELL PEOPLE TO DRIP THEIR FAUCETS, DID THAT CONTRIBUTE TO THE LOAD THAT WE HAD AND THE VENTRAL PROBLEM, KEVIN. OKAY, GO AHEAD. OKAY. THAT'S THAT'S FINE. KEVIN CRITTENDON, UH, AUSTIN WATER, UH, JUST AS IT RELATES TO THE SPECIFIC GRAPHIC, UM, WHAT IS CHARACTERIZED IN? I BELIEVE ORANGE REALLY REPRESENTS BOTH PRIVATE PLUMBING, LEAKS AND BREAKS AND CUSTOMER BEHAVIORS, LIGHTS, DRIPPING FAUCETS, AND AGAIN, POTENTIALLY STORING WATER ON PREMISE LIKE FILLING BATH HUBS. SO IT'S VERY DIFFICULT TO TEASE THAT OUT MAYOR. UM, I DO THINK, AND THE PREVIOUS QUESTION, I THINK GRIPPING FAUCETS IS A, YOU KNOW, PROBABLY A WELL USED TECHNIQUE FOR SHORT DURATION OF FREEZES, BUT AS WE START TO LOOK AT, YOU KNOW, MORE EXTREME EVENTS THAT ARE MORE LONG DURATION WITH DEEPER, UM, UH, TEMPERATURE IMPACTS, I THINK CLEARLY WE'RE GOING TO HAVE TO ENHANCE OUR COMMUNICATIONS AND OUR EDUCATION OF OUR CUSTOMERS ABOUT THAT AS A TECHNIQUE. SO WE, BUT WE, WE DID SEE EXCESS OR ADDITIONAL FLOWS ENTERING OUR WASTEWATER PLANTS SO THAT WE, SO WE DO KNOW THE DRIPPING FAUCETS WAS, UM, AT LEAST A SIGNIFICANT ENOUGH LEVEL TO REGISTER IN OUR WASTEWATER PLANTS. SO, OKAY. YEAH. I WANT TO ASK ABOUT THE RELIEF THAT WERE PROVIDED TO CUSTOMERS. I JUST WANTED TO MAKE SURE THAT I'M FOLLOWING HERE. SO IT SEEMS THAT FOR THE RELIEF ARE PROVIDED FOR MULTIFAMILY ACCOUNTS, THAT IT WAS ABOUT 17% OF YOUR AVERAGE RATE CYCLE. IS THAT RIGHT? AND THEN, AND THEN ON LONG THE LINES OF THAT, AND TWENTY-FIVE PERCENT FOR RESIDENTIAL. AND SO I JUST WANTED TO LEARN A LITTLE BIT ABOUT THE DIFFERENTIATION BETWEEN MULTIFAMILY UNITS VERSUS RESIDENTIAL CUSTOMERS. IS IT BECAUSE THE AVERAGE THERE'S MORE RESIDENTIAL CUSTOMERS THAN MULTIFAMILY AND SHOULD WE BE GIVING, UM, YOU KNOW, EQUITABLE ATTENTION TO CUSTOMERS THAT LIVE IN MULTIFAMILY UNITS WHEN IT COMES TO RELIEF AMOUNTS THAT WE PROVIDE? YEAH. SO, UM, IT'S, YOU KNOW, IN TERMS OF THOSE PERCENTAGES THAT THE 25% I SPOKE TO WAS, UH, AT THIS POINT, UH, WE WE'VE MADE IT THROUGH 25% OF, OF OUR CUSTOMER BILL CYCLES. AND SO FROM A RESIDENTIAL PERSPECTIVE, UH, I DESCRIBED THAT THE NUMBER OF GALLONS THAT HAS BEEN ADJUSTED AT 78 MILLION GALLONS EQUATES TO JUST SLIGHTLY OVER 50% [01:45:02] OF THE CONSUMPTION THAT WE NORMALLY SEE IN TIERS THREE THROUGH FIVE. NOW, NOW WE'RE CALL THIS TIME, COME HERE. WE DON'T GENERALLY SEE A, A TON OF CONSUMPTION IN TIERS THREE THROUGH FIVE, AND ABOUT 85% OF OUR CONSUMPTION IS IN THE LOWER TWO TIERS. UM, JUST BECAUSE WE DON'T GENERALLY SEE THAT MUCH DEMAND, UH, DURING, DURING THIS TIME OF YEAR. UM, BUT ON, ON THE MULTIFAMILY SIDE, UM, YOU KNOW, W THE, THE GALLONS THAT WERE ADJUSTED ACCOUNT FOR ABOUT 17% OF WHAT WE WOULD NORMALLY BILL OVER THE ENTIRE MONTH, THIS TIME OF YEAR. AND I THINK THAT, THAT I THINK THAT AS WE CONTINUE TO GO THROUGH, UH, THE ADDITIONAL BILL CYCLES, I THINK THAT THAT WILL COME DOWN. IN OTHER WORDS, I THINK THERE WERE A COUPLE OF OUTLIERS, A COUPLE OF, OF LARGE LEAKS AND LARGE IMPACTS, UH, THAT WERE REFLECTED IN THAT NUMBER THAT, UH, YOU KNOW, WE LIKELY WON'T BE INDICATIVE OF THE FULL BILL CYCLE WHEN WE MAKE IT THROUGH, THROUGH ALL OF THE BILLS CYCLES. SO IT'S A LITTLE BIT EARLY TO, TO, I THINK IT'S TRYING TO EXTRAPOLATE SOME OF THOSE NUMBERS, BUT DOES THAT MAKE SENSE? GOOD. DOES, THANK YOU. OTHER QUESTIONS PART, I HAVE A QUESTION I'M NOT SEEING OTHERS, AND I CAN'T SAY I HAVE A COURSE. YES. THANK YOU. THAT'S WHAT WE'RE TALKING ABOUT. LET ME ASK MY QUESTIONS. I'LL BE RIGHT WITH YOU. UM, SO, UM, SO I'M NOT SURE THIS WOULD BE FOR, UM, FOR ANA, UM, BUT WAS CONVERSATION ABOUT THE THREE YEAR, UM, PREPARE A PREPAREDNESS PLAN AND ALSO ABOUT THE ASSESSMENTS THAT WERE BEING DONE. SO, UM, MY QUESTION RELATES TO, UM, THE DEGREE TO WHICH CURRENTLY ARE OUR PLANS, OUR PREPAREDNESS PLANS, UM, ACCOUNT FOR WORKING WITH THE COMMUNITY. AND I WANT TO BE MORE SPECIFIC, YOU KNOW, WE'VE HAD SOME CONVERSATIONS THAT I KNOW OTHER COUNCIL MEMBERS HAVE BROUGHT AS PART OF THEIR RESILIENCE PLANS, THE, THE CONCEPT OF WITH, UH, NEIGHBORHOODS, UH, NEIGHBORHOOD LEADS ON, UM, YOU KNOW, NEIGHBORHOOD LEVEL PREPAREDNESS. UM, AND SO I'M WANTING TO KNOW IF, IF CURRENTLY OFFICER WATERS, PLANTS, UH, ACCOUNT FOR AN ROLE FOR CONNECTION TO NEIGHBORS. UM, AND IF NOT, IS THAT SOMETHING THAT WE CAN CONSIDER IN THE FUTURE? UH, THANK YOU, CHAIR KITCHEN. I CAN ADDRESS THAT IN, UM, IN A CERTAIN, CERTAIN FOCUS, OUR PLANS DO LOOK AT OUR COMMUNICATION TO THE COMMUNITY. SO PART OF THE ENTERPRISE RESILIENCY EFFORT IS TO IMPROVE, UM, THE MATERIALS THAT WE USE TO COMMUNICATE WITH THE COMMUNITY DURING EMERGENCIES. BUT I DON'T THINK THAT'S EXACTLY WHAT YOU'RE ASKING ABOUT. I THINK YOU'RE LOOKING AT DIRECT ENGAGEMENT WITH NEIGHBORHOODS THAT HAS NOT TRADITIONALLY BEEN A PART OF OUR PLAN. IT'S NOT A PART OF OUR PLAN. NOW, I WILL SAY, DURING THE AFTERMATH OF WINTER STORM, MURIE WE DID, UM, HAVE THE OPPORTUNITY TO SUPPORT THE COMMUNITY THROUGH THE COMMUNITY RECOVERY PHASE. AND SO THAT WAS CERTAINLY A NEW EFFORT FOR US. UM, I THINK WE GOT A LOT OUT OF THAT AS AN ORGANIZATION, AND I WOULD DEFER TO DIRECTOR MS. ARROWS, IF THAT'S SOMETHING, YOU KNOW, HOW WE MIGHT BUILD UPON THAT GOING FORWARD. SO, UH, THIS IS GREG, UM, YEAH, I THINK COUNCIL MEMBER THERE'S OPPORTUNITIES TO, UH, INCORPORATE MORE OF THE ENGAGEMENT WITH THE COMMUNITY. I THINK, YOU KNOW, SOME LEVELS OF THAT IS HAPPENING. YOU KNOW, WHEN WE THINK ABOUT RESILIENCY WITH WATER FORWARD, THAT WAS AN INTENSIVE COMMUNITY DRIVEN PROCESS. UM, YOU KNOW, ALSO WE KNOW THE IS WORKING ON OTHER COMMUNITY COORDINATION AFTER, UH, UM, STEPS SUCH AS RESILIENT HUBS AND, UH, AND, UH, AND, UH, AN AUSTIN WATER HAS ALREADY BEEN INVOLVED IN, IN WORKING WITH OTHER CITY STAFF ON, ON THINKING THROUGH RESILIENT HUBS AND RESILIENT WATER SYSTEMS OR THOSE HUBS, UM, UH, ANA MENTIONED, YOU KNOW, ADDITIONAL COMMUNICATION STRATEGIES TO TIE THE COMMUNITY TO BE BETTER. UM, OUR SUPPORT OF EMERGENCY WATER WITH ENHANCEMENTS IN BOTTLED WATER STORAGE AND TRUCKS AND OTHER STORAGE DEVICES. SO I THINK, YOU KNOW, SOME OF THAT FRAMEWORKS IN PLACE, BUT CERTAINLY OPPORTUNITIES TO CONTINUE TO ENHANCE THAT. OKAY. WELL, THANK YOU. THAT'S, THAT'S, THAT'S A MUCH LONGER THAT I THINK, UM, DOESN'T JUST TOUCH ON AUSTIN WATER, BUT TOUCH THE WHOLE EMERGENCY RESPONSE. AND SO I LOOK FORWARD TO HAVING THAT WITH MY COLLEAGUES ABOUT HOW WE MIGHT BUILD INTO OUR EMERGENCY RESPONSE, A MORE STRUCTURED [01:50:01] SYSTEM FOR WORKING WITH OUR COMMUNITY GOING FORWARD. SO I KNOW THAT COUNCIL MEMBERS, IF YOU WANT TO ASK A QUESTION WHERE A MINUTE AT A TIME RIGHT NOW, BUT, UM, WHY DON'T YOU GO AHEAD AND ASK YOUR QUESTION IF YOU COULD KEEP IT TO ONE QUESTION AND THEN, THEN WE'LL HAVE TO WRAP IT UP. YEAH, THANKS. AND I LOOK FORWARD TO THAT CONVERSATION ABOUT RESILIENCE HUBS. UM, I, I HAVE QUESTIONS ABOUT THE SUPPLIES THAT WE HAD ON HAND. I KNOW THERE WAS A SLIDE IN THE PRESENTATION ABOUT BOTTLED WATER AND THE PURCHASE OF, I THINK YOU SAID 60, UM, WHATEVER THEY'RE CALLED A TANK WATER TANK DISTRIBUTION. SO I I'LL JUST HIGHLIGHT THAT CONVERSATION. I'D LIKE TO HAVE, UM, PERHAPS IN THE EMERGENCY STORM WORK SESSIONS, I'D REALLY LOVE TO DRILL DOWN ON WHAT EMERGENCY SUPPLIES WE HAD ON HAND WHEN THOSE WERE PURCHASED THE, UM, THE 60 TANKS. AND AGAIN, I'M SORRY, THAT'S NOT THE RIGHT WORD. WHAT, UM, WHAT SOME OF THE THINGS ARE FOR HOW MUCH QUANTITY OF THOSE SUPPLIES WE HAVE ON HAND, WHAT WERE THE LEARNINGS THAT CAME OUT OF THE FLOOD AND THE BOTTLED WATER SITUATION AGAIN, HOW MUCH WAS ON HAND, HOW MUCH WAS ORDERED AND WHEN, AND HOW WE CONSIDER, UH, MOVING FORWARD IN THAT DIRECTION IN TERMS OF SUPPLY STORAGE. OKAY. THANK YOU VERY MUCH FOR FLAGGING THAT. SO I'M GOING TO GO AND CALL OUR MEETING TO A CLOSE, I WANT TO SAY TO, TO EVERYONE THAT, UH, WE WILL WORK ON OCTOBER 19TH IN SUCH A WAY THAT WE HAVE MORE TIME FOR A CONVERSATION. I THINK WE'LL BE AT THE POINT WHERE WE'RE STARTING TO DRILL DOWN. SO, UM, I ASKED MY COMMITTEE MEMBERS JUST TO LET ME KNOW WHAT SPECIFICALLY THAT YOU ALL WANT TO DRILL DOWN ON. AND THEN, YOU KNOW, WE'LL BE TALKING ABOUT INFRASTRUCTURE AND COMMUNICATION. UM, AND, BUT ANY PARTICULAR ASPECTS OF THAT, UH, AND THEN WE'LL, WE'LL, UH, WE WILL, UM, THAT WILL BE A FULL MEETING FOR US, SO WE WILL SCHEDULE MORE TIME FOR CONVERSATION. SO THANKS EVERYBODY FOR PARTICIPATING. AND, UH, THANK YOU FOR MR. AND YOUR TEAM, UH, FOR PROVIDING THIS INFORMATION TO US. SO AT FOUR 33, I WILL CALL OUR AUSTIN WATERSIDE WATER TO, UH, TO, UH, CLOSE. THANK YOU. IT'S VERY CLEAR. I LOVE IS HERE TO STAY EVER AROUND A DAY, THE TELEPHONE AND THE MOVIES THAT WE KNOW MAY JUST BE PASSING FANCY AND DOING JAMI. * This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting.