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[00:00:01]

WHATEVER.

OKAY.

THIS

[CALL MEETING TO ORDER]

STARTS, UH, THE ELECTRIC UTILITY COMMISSION, MEANING FOR NOVEMBER 14TH, 2022.

UH, IT LOOKS LIKE WE HAVE A QUORUM WHEN YOU INCLUDE THE FOLKS ONLINE.

UM, VICE CHAIR TITLE, WE'VE GOT, UM, I'M SORRY.

TERRY FE I UNDERSTAND.

CYRUS K MCKENNA.

YANKER.

THANK YOU VERY MUCH.

AND WE HAVE RANDY CHAPMAN, AND IT LOOKS LIKE KAREN HADDEN, BUT WE COULDN'T GET A RESPONSE OUT OF HER YET.

ALL RIGHT.

SORRY.

I'M HERE AND, YES.

OKAY, SO WE HAVE A QUORUM.

UM, LET'S CALL A MEETING TO ORDER ANY PUBLIC COMMUNICATIONS.

[PUBLIC COMMUNICATION: GENERAL]

PAUL ROBBINS FIRST .

PAUL, DO YOU WANNA GO AHEAD? UH, HOW DO I TRIP THE POWERPOINT SLIDES? UM, OKAY.

AND, UH, HAVE YOU, UH, EMAILED THE SPREADSHEET THAT, SO ALL THESE COMMISSIONERS HAVE IT.

OH, COMMISSIONERS.

I AM PAUL ROBBINS.

I'M AN ENVIRONMENTAL ACTIVIST AND CONSUMER, LET ME START OVER.

COMMISSIONERS.

I AM PAUL ROBBINS.

I'M AN ENVIRONMENTAL ACTIVIST AND CONSUMER ADVOCATE.

I HAVE BEEN WORKING AROUND AUSTIN ENERGY ISSUES SINCE 1977.

I'D LIKE TO FIRST TALK ABOUT THE REVENUE REQUIREMENT PROPOSED IN THE AUSTIN RATE CASE.

SLIDE.

HERE IS A LIST OF SAVINGS THAT VARIOUS OF THE INTERVENERS IN THIS RATE CASE HAVE FOUND.

JUST FIVE OF THESE LINE ITEMS AMOUNT TO 27.2 MILLION A YEAR, ALMOST AS MUCH AS THE 35.7 MILLION RATE INCREASE PROPOSAL.

UH, I HAVE, UH, ASKED THAT AUSTIN ENERGY EMAIL YOU A MORE DETAILED, UH, VERSION OF THIS LINE.

ITEM.

NEXT SLIDE.

THE ESTIMATED RATE SHOCK OF AUSTIN ENERGY'S NEW REGRESSIVE RESIDENTIAL RATE STRUCTURE WILL BE, ON AVERAGE 13% ARE $136 MILLION, UH, ANNUALLY A YEAR.

UH, AND YOU CAN SEE THIS ESTIMATES THE, UH, INCREASE OR DECREASE AT VARIOUS LEVELS.

AS YOU CAN SEE, LOW AND AVERAGE USERS SEE LARGE INCREASES WHILE VERY HIGH USERS SEE PROFOUND SAVINGS.

THIS IS ALREADY LAYERED ON TOP OF AN 18% INCREASE IN FUEL AND REGULATORY COST THAT JUST TOOK EFFECT.

SLIDE.

THIS RATE INCREASE WILL HURT LOWER INCOME PEOPLE MORE.

AUSTIN ENERGY PROVIDED ME WITH CONSUMPTION BY ZIP CODE AND HOUSING TYPE THAT IS SINGLE FAMILY, MULTI-FAMILY AND DUPLEX.

THIS WAS MATCHED WITH INCOME FROM THE US CENSUS, AND THIS RESULT SHOWS THAT CONSUMPTION TRACKS INCOME.

NOW, AUSTIN ENERGY GAVE ME THIS INFORMATION, UH, IT, UNDER NORMAL CIRCUMSTANCES, YOU WOULD THINK THAT THEY WOULD USE IT, BUT SINCE THIS DIDN'T GO WITH THEIR DESIRED OUTCOME, THEY FORGOT TO USE IT.

I REMEMBERED, UH, IN SUMMATION, UH, I APPRECIATE YOUR ATTENTION.

UM, I WAS HERE WHEN AUSTIN ENERGY, UH, ADVOCATED FOR A NUCLEAR PLANT THAT HAD A 500 6500 40% OVERRUN IN THE 1970S AND EIGHTIES.

I WAS HERE WHEN THEY

[00:05:01]

ADVOCATED FOR A BIOMASS PLANT THAT EVERYONE NOW REGRETS.

UH, I HAVE A PRETTY GOOD TRACK RECORD OF SEEING THROUGH, UM, FALSE INDICATIONS, AND I DO NOT THINK THEY NEED MUCH OF A RATE INCREASE, AND I DON'T THINK THEY NEED TO STRUCTURE THE RATES AS THEY ARE WANTING TO.

THANK YOU.

MR. ROBINS, QUICK QUESTION.

UM, ON THE, ON THE SLIDES SHOWING THE DIFFERENCE, I DON'T KNOW IF YOU CAN GO BACK TO SLIDES, ROBIN.

YEAH, NO, THAT ONE? YEAH, NO, THE THE ONE, YEAH, THAT ONE.

UM, I'M SORRY.

THE, I DON'T KNOW WHAT THE 170 IS THAT, IS THAT ON AN AVERAGE BILL OF SOMEONE WHO USES THAT THEIR BILL WOULD GO UP $170 OR IS THAT THE TOTAL AMOUNT? UH, WHAT'S THE $170 IF YOU USE BETWEEN UH, HUNDRED AND ONE AND $750, YOUR, EXCUSE ME.

IF YOU USE BETWEEN 501 AND 750 KILOWATT HOURS, YOUR BILL WILL GO UP $170 A YEAR OR 24% INCREASE.

THIS CAME FROM THEIR CHART SITE.

OKAY.

SO IT'S THE ANNUAL IMPACT OF RATES IF YOU'RE, IF YOU USE THAT AMOUNT BASED ON THEIR TIER SYSTEM.

CORRECT.

CYRUS, AND IT INCLUDES THE, THAT DOES INCLUDE THE INCREASE IN THE MONTHLY CHARGE.

UH, YES IT DOES.

OKAY, THANKS.

UH, I PRORATED THIS FROM THE ORIGINAL CHART TO, UH, BACK OUT THEIR RATE REDUCTION.

YOU ALL REMEMBER THEY ORIGINALLY WANTED 48.2 MILLION, BUT THEY FOUND THAT THEY DOUBLE COUNTED, SO THEY LOWERED IT TO 35.2 MILLION.

ANOTHER INDICATION THAT AUSTIN ENERGY CAN OCCASIONALLY MAKE MISTAKES.

YOU ANSWERED MY QUESTION.

PAUL ROBINSON, YOU'RE NOT ALLOWED TO GO OUT ANYMORE.

, CAN YOU TAKE A JOKE? THE NEXT SPEAKER IS ROGER BILT.

YES.

GOOD EVENING COMMISSIONERS.

UH, ROGER BORGELT.

UH, I'M WITH HOMEOWNERS UNITED FOR RATE FAIRNESS.

UH, WE REPRESENT THE, THE CAPTIVE AUSTIN ENERGY, UH, CUSTOMERS WHO ARE OUTSIDE OF THE CITY OF AUSTIN.

AND, UH, WE HAVE PARTICIPATED FULLY IN THIS RATE CASE, UH, AS WE DID IN 2012 AND 2016.

HOWEVER, UNLIKE THOSE YEARS, UH, AUSTIN ENERGY THIS YEAR IS REFUSING TO RECOGNIZE THAT WE ESSENTIALLY GAIN NO BENEFIT FROM THE GENERAL FUND TRANSFER, WHICH HAD PREVIOUSLY BEEN REMOVED FROM OUR RATES.

UH, MY REQUEST OF YOU THIS EVENING, IF YOU DO TAKE A POSITION AND MAKE A RECOMMENDATION TO CITY COUNCIL IS TO SIMPLY CONTINUE, UH, WHAT EVERYBODY AGREED IN 2012 AND 2016 WAS THE FAIR AND EQUITABLE THING TO DO, AND THAT IS REMOVE THE GENERAL FUND TRANSFER FROM THE RATES OF OUTSIDE CITY OF AUSTIN CUSTOMERS.

THANK YOU FOR YOUR CONSIDERATION.

NEXT SPEAKER IS BEN HALLMARK, AND YOU HAVE THREE MINUTES.

THANK YOU.

UH, GOOD EVENING.

UH, THANK YOU FOR, FOR TAKING THE TIME TO HEAR FROM THE PARTIES TONIGHT.

BEN HALLMARK WITH TEXAS INDUSTRIAL ENERGY CONSUMERS.

I WANTED TO TALK TO YOU JUST A MINUTE ABOUT THE JOINT CONSUMER ALTERNATIVE THAT YOU MAY HAVE SEEN FILED LAST WEEK, WHICH WAS A PRODUCT OF A LOT OF WORK AND NEGOTIATIONS BETWEEN RESIDENTIAL ADVOCATES, BUSINESS ADVOCATES, AND ENVIRONMENTAL GROUPS.

UH, THE REVENUE REQUIREMENT THAT WE CAME UP WITH IN THAT, UH, PROPOSAL IS, IS A 12 MILLION RATE INCREASE.

UH, WE BELIEVE THAT REPRESENTS A FAIR COMPROMISE GIVEN THE POSITIONS OF THE PARTIES, IN THIS CASE, THE ICO ALONE, WHO YOU'LL HEAR FROM, UH, HAS DISA ALLOWANCES THAT WOULD REDUCE THE REVENUE REQUIREMENT TO 6 MILLION.

BUT THERE'S ALSO PARTIES THAT HAVE OTHER ONES THAT ARE ON TOP OF THAT, INCLUDING INCLUDING THE GFT, UH, PROPOSAL THAT THE IE ACTUALLY ADOPTED, AND INCLUDING THE CONCERNS THAT WE'VE RAISED ABOUT WHETHER OR NOT THE TEST YEAR WAS NORMAL ENOUGH TO USE BECAUSE OF WINTER STORM YU.

SO WE, WE'VE HEARD FROM AUSTIN ENERGY THAT THEY HAVE CONCERNS ABOUT THEIR CREDIT RATING AND BEING DOWNGRADED.

UH, AND I DID JUST WANNA MAKE SURE THAT WE ALL UNDERSTAND THAT EVEN WITH THESE DOWNGRADES, AUSTIN ENERGY HAS A VERY ROBUST CREDIT RATING.

THEY ARE SIX RUNGS ABOVE THE LOWEST INVESTMENT RATING, LOWEST INVESTMENT GRADE RATING.

THEY ARE THREE TO FIVE RUNGS ABOVE THE INVESTOR OWNED UTILITIES THAT ARE VERTICALLY INTEGRATED, REGULATED BY THE

[00:10:01]

PUC.

UH, AUSTIN ENERGY HAS SAID, WELL, HEY, WE'RE, WE'RE A MUNICIPAL UTILITY.

WE'RE NOT THE SAME.

UH, BUT IT'S ALSO TRUE THAT THEY GET TO ISSUE, UH, MUNICIPAL BONDS, WHICH ARE VIEWED AS LESS RISKY IN THE MARKET.

AND ALL OF THESE UTILITIES HAVE TO GO TO THE MARKETS AND RAISE CAPITAL.

UM, AND, AND AGAIN, IT'S NOT LIKE IT'S THAT CLOSE.

THESE ARE, THEY'RE COMFORTABLY ABOVE THESE OTHER UTILITIES THAT ARE RAISING CAPITAL, UH, WITHOUT TROUBLE ON COST ALLOCATION.

UH, AGAIN, THIS IS REPRESENTS A COMPROMISE POSITION OF THE PARTIES.

UM, FROM OUR PERSPECTIVE, THE MAJOR ISSUE THAT WE WANTED IN THIS CASE WAS THE PRIMARY SUBSTATION RATE THAT THE IE ACTUALLY SAID WE SHOULD GET IT.

UM, BUT WE WERE WILLING TO COMPROMISE ON THAT AND PUT IT OFF UNTIL THE NEXT RATE CASE.

IF AS PART OF THAT, WE SEE, UH, SOME BENEFITS FROM THAT IN THE COST ALLOCATION.

THE, THE PRIMARY SUBSTATION RATE ALONE IF IMPLEMENTED, WOULD'VE TAKEN, UH, THE PRIMARY GREATER THAN 20 CLASS TO ABOUT A 15% RATE DECREASE EVEN AT THE 48 MILLION ORIGINAL, UH, REQUEST THAT AUSTIN ENERGY MADE.

THAT'S OUR ESTIMATE.

SO THIS REPRESENTS A COMPROMISE, AND, AND, AND YOU CAN UNDERSTAND HOW PARTIES WERE ABLE TO COME TOGETHER ON IT.

UH, I'D ALSO NOTE THAT WE'VE AGREED TO SOME TERMS AND THE VALUE OF SOLAR, THAT THAT REALLY AREN'T OUR PREFERENCE.

UH, FOR EXAMPLE, AUSTIN ENERGY HAD SAID THAT THEY WANT THE SOCIETAL BENEFITS TO NOT BE RECOVERED THROUGH THE PSA AND INSTEAD BE RECOVERED THROUGH THE ENERGY EFFICIENCY, BUT THAT IT WAS IMPORTANT TO THE SIERRA CLUB AND OTHERS THAT IT CONTINUED TO BE RECOVERED UNDER THE PSA AND THAT WAS SOMETHING THAT IS PART OF THIS JOINT PROPOSAL WE WERE WILLING TO AGREE TO.

SO I KNOW I'VE JUST THROWN A TON AT YOU REAL FAST.

IF YOU HAVE ANY QUESTIONS, PLEASE LET ME KNOW.

WHERE DO WE FIND THIS PROPOSAL? WELL, UH, AS IT HAPPENS, I HAVE, UH, COPIES WITH ME, UH, IF FOLKS WOULD LIKE IT.

AND WE ALSO, OF COURSE FILED IT ON THE DOCKET SHEET FOR, FOR THIS RAPE CASE, BUT I'D BE HAPPY TO PASS IT OUT IF THAT'S APPROPRIATE.

OKAY.

AND FOR THOSE OF US ONLINE, CAN THIS BE SENT ELECTRONICALLY AS WELL? ABSOLUTELY.

CYRUS, I DON'T KNOW IF YOU HAVE A SUGGESTION ON THAT.

I THINK MAYBE JUST INCLUDING THE LINK ON THE CITY CLERK'S WEBSITE, THE LINK TO WHERE THAT DOCUMENT CAN BE FOUND, MAYBE THAT COULD BE SHARED WITH THE COMMISSIONERS.

I IS THAT POSSIBLE? YEAH, YOU EMAIL IT TO ROBIN.

OKAY.

OH YEAH, JUST EMAIL IT TO ROBIN.

OKAY, THANK YOU.

UH, SO I WILL PASS THAT OUT AND, UM, WE HOPE THAT YOU WILL JOIN WITH US ON THAT PROPOSAL.

THANK YOU.

THE NEXT SPEAKER IS DALE BULLA.

GOOD EVENING COMMISSIONERS.

MY NAME IS DALE BULA AND I WOULD LIKE TO SHARE MY THOUGHTS ON, UH, THREE ISSUES TONIGHT.

UH, FIRST OF ALL, THE PROPOSED RATE STRUCTURE DOES NOT REWARD CONSERVATION.

IN MY OPINION, I WOULD LIKE TO SEE NO INCREASE IN THE FIXED FEE FOR ANYONE ON TIER ONE.

I AM BELOW 500 KILOWATTS MOST MONTHS AND SHOULD BE REWARDED FOR THAT.

IF I GO ABOVE TIER ONE, THEN I DON'T MIND PAYING THE EXTRA FEE.

SO I WISH YOU WOULD CONSIDER THAT.

ALSO, I'VE BEEN, UH, A SOLAR CUSTOMER SINCE THE VERY FIRST YEAR IT WAS OFFERED.

WE SHOULD HAVE A DEPENDABLE VALUE OF SOLAR, NOT ONE THAT FLUCTUATES YEAR TO YEAR.

I THINK THAT, UH, THE VALUE OF SOLAR WHEN WE FIRST STARTED WAS LIKE OVER 12 CENTS.

IT'S GONE DOWN EVERY YEAR SINCE THEN BECAUSE WE WERE TOLD NATURAL GAS IS SO CHEAP, WE DON'T THINK THE VALUE OF SOLAR SHOULD BE AS HIGH.

AND NOW THAT NATURAL GAS IS SIX EIGHT, MAYBE $10, UH, I THINK WE SHOULD BE REWARDED FOR THAT, FOR, UH, REDUCING THE AMOUNT OF, UH, FOSSIL FUELS THAT ARE USED BY THE UTILITY.

AND FINALLY, VEHICLE TO GRID.

I BELIEVE I'VE TALKED TO THIS GROUP MANY TIMES ABOUT THE ADVANTAGES OF VE A VEHICLE TO GRID AS WELL AS THE SAVINGS TO AUSTIN ENERGY, RATHER THAN THEM GOING OUT AND PURCHASING, UH, STORAGE.

I THINK THAT THOSE OF US THAT DRIVE ELECTRIC VEHICLES WOULD BE MORE THAN HAPPY TO HELP THE GRID, AND I THINK THAT WE SHOULD AT LEAST HAVE SOME KIND OF, UM, UH, PILOT PROGRAM.

I WOULD BE GLAD TO PARTICIPATE IN IT IF I'M, IF I'M ELIGIBLE.

AND I THINK THOSE THREE ITEMS THAT I'D LIKE TO SHARE WITH YOU TONIGHT, UH, I THINK THAT'S ABOUT ALL I WANTED TO SAY ABOUT IT.

ANYWAY, THANK YOU FOR LISTENING AND, AND HOPEFULLY YOU'LL CONSIDER THOSE THREE

[00:15:01]

ITEMS. THANK YOU.

THANK YOU MR. BUA.

THE NEXT SPEAKER IS LANETTA COOPER.

HI, I'M LYA.

UH, I'VE BEEN HERE A COUPLE OF TIMES BEFORE Y'ALL.

IT'S ABOUT THE RATE CASE.

WE, UH, MY CLIENTS TWO R UH, ALSO HAVE JOINED ON, UH, THE CONSUMERS, UH, UH, POSITION THAT YOU GOT PASSED OUT BY MR. HALLMARK.

BUT I WANTED TO KIND OF GIVE YOU SOME STUFF TO MAKE YOU FEEL BETTER THAT THE REVENUES THAT, THAT HAVE BEEN PUT IN THAT SETTLEMENT ARE, ARE NOT, UH, TOO FAR OFF.

I HAD HAD, UH, MISS OTTO EMAIL YOU ALL THIS, UH, OUTLINE I DID.

AND THERE IS A ATTACHMENT ATTACHMENT ONE THAT SETS OUT WHAT AUSTIN ENERGY USED TO PROVE THAT THE CURRENT RATE DESIGN IS GOING TO CREATE, UH, REVENUE ARMAGEDDON.

AND WHAT THIS IS, IS RAW DATA.

AND ALL I'M ASKING Y'ALL TO USE IS ASK THE ASK UH, AUSTIN ENERGY TO FILL IN 2022.

THEY NOW HAVE THE DATA, UH, IT WOULD BE RAW DATA.

THEY WOULDN'T HAVE TO DO A LOT OF WORK ON IT.

UH, WHAT THEY, AND THEY'VE ALREADY GONNA SHOW YOU ALL REVENUES, WHICH INCLUDE, UH, THE BASE REVENUES, BUT ARE, ARE, UH, BUT ARE NOT ALL JUST BASE REVENUES.

AND SO THEN YOU COULD KIND OF SEE, DO YOU REALLY DO NEED TO CHANGE THE RATE DESIGN SO RADICALLY THAT AUSTIN ENERGY WANTS? CUZ THIS IS THE, THIS IS A GRAPH REFLECTION OF THEIR ARGUMENT.

AND THE SECOND POINT I WANNA MAKE IS AUSTIN ENERGY'S ARGUMENT ABOUT SMUSHING DOWN THE HIGH TIERS, UH, IS BECAUSE THE, UH, HIGH USERS, THE BIG USERS SUFFER RATE SHOCK IN THE SUMMER CUZ THEIR RATES GO UP $57 IN THE SUMMER FOR A TYPICAL BILL.

AND, BUT THE FACT OF THE MATTER IS THEIR RATES MAY GO UP $357, BUT THEIR USAGE GOES UP 49%.

SO THEY GO, SO IT GOES, I'M SORRY, NOT $57, BUT IT GOES UP 57%.

BUT THE, UH, USAGE GOES UP 49.

SO WHO SHOULD PAY FOR THE INCREASED USAGE? THE INCREASED USAGE CREATES THE HIGHER PEAK DEMAND.

SO THEY ARE MORE EXPENSIVE TO SERVE AS A RULE.

AND UH, THAT'S ANOTHER REASON WHY WE SHOULD NOT USE, UH, THIS CONCEPT OF RATE SHOCK CUZ IT'S COST BASED AND, UH, RATE SHOCK.

THEY CAN USE A LEVEL PLAYING, UH, A LEVEL PAYING PLAN, WHICH YOU JUST TAKE ALL THE MONEY, BUT THE COST WOULD STILL BE THEIR RESPONSIBILITY.

BUT IF YOU INCREASE THE CUSTOMER CHARGE TO $25 LOW INCOME PEOPLE AND LOW USERS DON'T HAVE MUCH TO BE ABLE TO DO A LEVEL PAYMENT PLAN.

SO ALL YOU'RE DOING IS MOVING COSTS FROM THE HIGH USER WHO CAN BENEFIT IF THEY THINK THEY HAVE RATE SHOCK TO A LEVEL PLAYING PLAN, BUT NOT FOR THE LOW USER.

AND I'M NOT GONNA BORE YOU WITH ANY ADDITIONAL THINGS THAT I'VE ALREADY TALKED WITH Y'ALL ABOUT.

I JUST WANT TO THANK YOU ALL VERY MUCH FOR LISTENING TO US, AND I HOPE YOU TAKE US SERIOUSLY AND THANK YOU SO MUCH.

THANK YOU, MS. COOPER.

NEXT SPEAKER IS JOHN KAUFMAN.

GOOD EVENING.

UH, I'M JOHN KAUFMAN.

I AM THE INDEPENDENT CONSUMER ADVOCATE THAT WAS HIRED BY THE CITY TO GIVE, UH, TO TAKE A FRESH LOOK AT THIS, UM, RATE, RATE DESIGN AND RATE REVIEW PROPOSAL.

UH, OUR JOB WAS TO LOOK AT THE, UH, PROPOSAL FROM THE PERSPECTIVE OF RESIDENTIAL AND SMALL BUSINESS RATE PAYERS.

AND WE WE SPOKE TO YOU, UH, LAST MONTH AND, AND TALKED ABOUT, UM, OUR, OUR PROPOSAL.

AND, AND SINCE THAT TIME, WE HAVE DONE A LOT OF WORK TO TRY TO COME TOGETHER WITH, WITH THE OTHER PARTIES AS, AS HAS BEEN MENTIONED WITH THIS, UH, JOINT CONSUMER ALTERNATIVE THAT YOU HAVE.

AND IN THAT, UM, UNFORTUNATELY, YOU KNOW, WE HAVE, WE ARE STILL AT ODDS WITH AUSTIN ENERGY, HAVE NOT BEEN ABLE TO COME TO TERMS YET, ALTHOUGH WE ARE, UH, CONTINUING TO TALK WITH THEM.

I, THE, THE TOUGHEST PARTS ARE OBVIOUSLY THE REVENUE REQUIREMENT, THE OVERALL SIZE AND, AND, AND THE RATE DESIGN ON THE REVENUE REQUIREMENT.

I, I THINK YOU DID SEE THAT THERE WAS A LONG LIST OF THINGS, YOU KNOW, IF ANYONE HAS ANY QUESTIONS OR WOULD LIKE MORE INFORMATION ON THE VARIOUS FINDINGS THAT WE HAD, UH,

[00:20:01]

WHERE WE THOUGHT THAT THE PROPOSAL WAS OVERSTATED OR THAT THE DATA WASN'T QUITE RIGHT.

UM, BUT, UM, UH, YOU KNOW, OUR, OUR ORIGINAL RECOMMENDATION WAS, WAS $6 MILLION, UH, TO, YOU KNOW, COMPARED WITH WHERE AUSTIN ENERGY IS A 35 MILLION.

WITH THIS JOINT PROPOSAL, WE HAVE COME UP TO 12 MILLION.

WE'RE STILL AT ABOUT, YOU KNOW, 2320 OR SO MILLION DOLLARS APART ON THAT.

AND THAT IS A, A DIFFICULT GAP TO, UM, UH, TO COVER.

UH, ALTHOUGH I'VE NOTE THAT, UH, UH, IN THE LAST CASE, THE 2016 RATE REVIEW, UH, WE, WE ALSO REPRESENTED THE, UH, RESIDENTIAL SMALL BUSINESS CUSTOMERS.

AND IN THAT CASE, UH, THE, THE FINAL RESULT WAS ABOUT 25 MILLION LESS.

AND SO IT, IT'S NOT UNCOMMON THAT THESE, THESE RATE, UH, PROPOSALS ARE ULTIMATELY VIEWED TO BE A LITTLE AGGRESSIVE OR A LITTLE OVERSTATED.

AND, UM, UH, I I COMMEND TO YOU THAT THE TRUTH IS SOMEWHERE IN BETWEEN IN THERE.

AND SO, UH, PLEASE TAKE A, A LOOK AT THAT AND, AND DON'T JUST, UM, ASSUME THAT EVERYTHING IS AS WHAT IT TO BE.

AND, AND THIS IS A LITTLE BIT COMPLICATED AND I DON'T HAVE ENOUGH TIME TO, TO GET INTO IT, BUT, UH, SOME OF YOU MAY UNDERSTAND THAT, THAT THIS IS DIFFERENT THAN, UH, YOU KNOW, A REGULAR CITY BUDGET THAT YOU'RE APPROVED.

THIS IS A, AN AMOUNT OF, OF ANNUAL REVENUE REQUIREMENT THAT WE'RE GONNA TRUST AUSTIN ENERGY TO, TO, UH, DO ITS BUSINESS.

AND WE HOPE THAT THEY CAN DO THAT IN A, UH, YOU KNOW, A COST EFFICIENT MANNER.

UH, IT DOESN'T NECESSARILY MEAN THAT, UH, YOU KNOW, THAT THEY HAVE TO DO PARTICULAR THINGS ON THESE LINE ITEMS, THAT THEY'LL BE ABLE TO USE THEIR MANAGERIAL JUDGMENT AND, AND DO WHAT THEY CAN.

AND IF IT, IF IT MEANS THAT, YOU KNOW, IF THEY FIND IN A COUPLE YEARS THAT THAT WHAT, UH, IS ALL FREE ABILITY TO COME BACK AND ASK FOR IT AGAIN.

UH, AND, UH, GIVEN THAT THERE ARE SOME SERIOUS QUESTIONS ABOUT THE TESTIER WITH THE WINTER STORM YURI AND, AND THE PANDEMIC, I I DON'T KNOW IF THAT WOULD BE A BAD THING, UH, TO LOOK UNDER THE HOOD UNDER, UH, YOU KNOW, EVERY SO OFTEN.

UH, I DON'T KNOW IF THERE'S MUCH ELSE I CAN ADD ON THE RATE DESIGN, ALTHOUGH WE, WE JUST FELT THAT IT WAS A VERY DRASTIC MOVE TO BE GOING THIS QUICKLY, 150% INCREASE IN THE, IN THE CUSTOMER CHARGE WITH THE TIERS.

WE BELIEVE THAT OUR PROPOSAL IS MUCH MORE FAIR AND EQUITABLE AND, UH, WE BELIEVE THAT THIS, UM, THIS JOINT CONSUMER ALTERNATIVE MOVES IN EVERY DIRECTION THAT AUSTIN ENERGY WANTS, JUST NOT AS, AS MUCH AS THEY WANT, AS FAST AS THEY WANT.

UH, AND THEN, UH, PLEASE TAKE A LOOK AT THE BACK PAGE.

UH, WHEN YOU'RE LOOKING AT THESE IMPACTS, UH, THESE ARE MUCH MORE, UH, REASONABLE AND, UH, IMPACTS AT VARIOUS USAGE LEVELS COMPARED WITH, YOU KNOW, THE POTENTIAL 35% OR 45%.

MR. KAUFMAN, YOUR TIME IS UP.

THANK YOU.

THANK YOU.

MR. KAUFMAN.

GOT A, I GOT A QUESTION ACTUALLY.

GO AHEAD MR. TU.

SO LOOKING AT THE PROPOSED RESOLUTION, UM, AND IT HAS IN SEVEN C FOUR TIERS, 3 CENTS, 6 CENTS, 9 CENTS, 11 CENTS KILOWATT HOUR.

YEAH.

AND SO THAT, THAT'S POPPED UP IN THE DRAFT RESOLUTION.

I JUST WONDERED, SINCE THE PROPOSAL THAT WAS JUST PASSED OUT, AND THIS WAS ACTUALLY FILED A WHILE BACK, NO CHANGE TO RESIDENTIAL RATES OUTSIDE THE CITY, BUT THE INSIDE THE CITY, IT HAS THE TIERS IDENTIFIED AS FAR AS THE USAGE, BUT NOT NECESSARILY THE RATES.

I JUST WONDER WHAT DROVE YOU ALL TO CHANGE THAT? AND MAYBE THIS IS MORE OF A QUESTION FOR RANDY AND CYRUS, OR DID YOU, YOU ALL COME UP WITH THAT VERSUS JUST LEAVING ALONE THE INSIDE CITY RATES? UM, UH, WELL, THE, THE, UM, THE DIFFERENCE WITH THE OUTSIDE OF THE CITY LIMITS IS THAT ON AVERAGE MOST OF THE CUSTOMERS WHO LIVE OUTSIDE THE CITY LIMITS USE A LOT MORE.

AND YEAH, I GUESS I MUST HAVE, LET ME TRY TO CLARIFY THE QUESTION.

OKAY.

OKAY.

SO THE, THE PROPOSAL ON PAGE ONE IS NO CHANGED RESIDENTIAL RATES OUTSIDE THE CITY LIMIT.

THAT'S RIGHT.

BUT THERE SEEMS TO BE A DIFFERENCE IN THE INSIDE CITY RATES.

OKAY.

YES.

AND THEY'RE SLIGHTLY HIGHER PLUS SOME SHIFTING AROUND OF THE TIERS.

RIGHT.

I'M JUST WONDERING WHY BOTHER CHANGING THE INSIDE CITY RATES? JUST LEAVE BOTH THE WAY THEY ARE, MAYBE CHANGE THE BREAK POINTS, BUT YEAH, I, I MEAN, I DON'T KNOW THAT THAT WOULD NECESSARILY UPSET TOO MUCH, BUT IT, IT DOES.

THE MORE, UM, THE MORE DISCOUNT THAT YOU GIVE TO THE OUTSIDE THE CITY LIMITS, THE LESS, YOU KNOW, THE BIGGER THE IMPACT WILL BE INSIDE THE CITY.

AND, UH, IT'S, IT IS JUST A FACT.

THE, UM, FOR INSTANCE, THE, THE OVERALL PROPOSAL AS, AS AUSTIN ENERGY FOR, YOU KNOW, ALL CLASSES, THE WHOLE THING WAS SEVEN, ABOUT A 7% RATE INCREASE, BUT THAT ACTUALLY WOUND UP BEING A 24% INCREASE FOR THE RESIDENTIAL INSIDE THE CITY LIMITS.

AND THAT'S JUST BECAUSE THERE IS LOWER USAGE INSIDE THE CITY LIMITS THAN OUTSIDE THE CITY.

AND, AND THE OUTSIDE THE CITY FOLKS WOULD ACTUALLY GET ON AVERAGE

[00:25:01]

A REDUCTION.

NOW THAT'S JUST, I MEAN, THERE, THERE'LL BE WINNERS AND LOSERS ON BOTH SIDES OF THE, OF THE CITY LIMITS.

I GUESS I'M STILL NOT, I'M SORRY, I'M NOT ABLE TO ANSWER YOUR QUESTION.

I DIDN'T KNOW IF, IF YOUR QUESTION WAS AT US, TO US, WHO, WHO DID THIS DRAFT RESOLUTION? OUR TIER NUMBERS ARE SLIGHTLY DIFFERENT THAN THE ONES IN THIS PROPOSAL.

AND OURS WERE BASED ON THE, UM, BASICALLY THE, THE RUN THAT AUSTIN ENERGY DID WHERE WE SAID, TAKE THE BASIC STRUCTURE OF THE ICA, ADJUST IT TO GET TO A SEVEN POINT HALF PERCENT INCREASE ON THE RESIDENTIAL CLASS.

SO THEY ADJUSTED THE NUMBERS A LITTLE BIT.

SO THEY'RE SLIGHTLY DIFFERENT THAN THE ICA, BUT THEY'RE MORE OR LESS, YOU KNOW, THEY'RE PRETTY SIMILAR.

YOU'RE REFERRING THE RESOLUTION, NOT THE JOINT PROPOSAL.

YEAH.

I, I APOLOGIZE.

NO PROBLEM.

THANK YOU.

OH, JOHN, UM, THIS IS JUST TO, UH, TO HELP ME IN OUR, IN OUR, IN OUR DRAFT RESOLUTION.

WE SAID THE ICA PROPOSED A REVENUE INCREASE OF 6.5 MILLION AND YOU JUST SAID 6 MILLION.

ARE WE WRONG? WAS IT REALLY 6 MILLION? NO, IT WAS, UM, I BELIEVE IT WAS SIX.

YEAH, IT WAS MORE THAN 6 MILLION.

IT WAS MORE THAN SIX, SO SOMEWHERE.

OKAY, GREAT.

GOT IT.

JUST CURIOUS.

RIGHT, RIGHT.

WE'RE OUR, OUR, OUR POSITION'S AT 12 NOW, THOUGH.

THE NEXT SPEAKER IS CHRISTIAN FOGERTY.

HELLO EVERYBODY.

UM, MY NAME IS CHRISTIAN.

UM, I AM AN, UH, ENVIRONMENTAL ACTIVISTS AND, UM, I AM, UH, HAPPY THAT PEOPLE BEFORE ME, UH, EDUCATED ME ON THIS TOPIC.

UM, I'M HERE MAINLY JUST TO TALK TO OR SPEAK TO, YOU KNOW, WHAT I'VE BEEN HEARING FROM TALKING TO PEOPLE IN THE COMMUNITY ABOUT THE RATE INCREASE.

UM, YOU KNOW, FROM MY PERSPECTIVE, UM, AS A PUBLICLY OWNED UTILITY AUSTIN ENERGY, INCREASING RATES BECAUSE PEOPLE ARE TOO ENERGY EFFICIENT.

I MEAN, RIGHT OFF THE BAT JUST SEEMS, UM, YOU KNOW, IT DOES NOT SEEM, UH, LIKE SOMETHING THAT SHOULD BE PURSUED.

UM, I THINK THAT, UM, WALKING AROUND NEIGHBORHOODS, TALKING TO PEOPLE ABOUT THE RATE INCREASE, NOBODY KNOWS ABOUT IT.

YOU KNOW, IT'S JUST ONE OF THOSE THINGS THAT HAPPENS, UM, YOU KNOW, UM, TAKES PEOPLE BY SURPRISE.

UM, AND EVERY LITTLE INCREASE IN COST OF LIVING IN AUSTIN, YOU KNOW, THIS IS A LABORED TOPIC, BUT YOU KNOW, IT REALLY DOES PHYSICAL, YOU KNOW, REAL DAMAGES TO PEOPLE.

UM, I HAVE THE TIME AND THE ENERGY TO COME OUT HERE AND SPEAK ON IT.

UM, YOU KNOW, YESTERDAY I TALKED TO A WOMAN WHO LIVES IN NORTH LOOP.

SHE'S BEEN LIVING HERE FOR, YOU KNOW, OVER 10 YEARS, AND SHE SAID SHE, YOU KNOW, I, I SH HANDED HER A FLYER ABOUT THE RATE INCREASE, AND SHE SAID RIGHT AWAY, YOU KNOW, THIS IS, UM, YOU KNOW, THIS IS JUST COMING AT ME IN EVERY DIRECTION NOWADAYS.

AND, YOU KNOW, SHE, SHE ADMITTED THAT SHE'S THINKING OF MOVING OUT SOON BECAUSE OF THIS, THIS CONTINUED COST OF LIVING INCREASE.

UM, YOU KNOW, I MEAN, I, I, UM, I FEEL VALIDATED BY PEOPLE BEFORE ME SAYING THAT THERE'S DIFFERENT, UM, YOU KNOW, NUMBERS, DIFFERENT REVENUE REQUIREMENTS THAT ARE BEING TOSSED AROUND.

SO THE FACT THAT WE ARE MOVING FORWARD WITH THIS AND PUTTING IT BEFORE CITY COUNCIL IN A FEW WEEKS, BUT WE DON'T EVEN AGREE ON A REVENUE REQUIREMENT, JUST SEEMS ABSOLUTELY RIDICULOUS.

AND, YOU KNOW, UM, YOU KNOW, IN MY OPINION, I DON'T THINK WE SHOULD PURSUE THE RATE INCREASE, BUT AT THE VERY LEAST, IT NEEDS MORE AND MORE DELIBERATION CONSIDERING DIFFERENT REVENUE REQUIREMENTS BEING PUT FORTH BY EXPERTS.

UM, YOU KNOW, AND THE FACT THAT THERE WAS A RECENT RATE INCREASE ON, YOU KNOW, POWER SUPPLY ADJUSTMENT REGULATORY CHARGES.

SO, UM, THAT'S MY OPINION ON IT.

UM, THIS IS MY FIRST TIME COMING TO ONE OF THESE COMMISSION MEETINGS AND IT'S, UM, YOU KNOW, INTERESTING TO LEARN MORE ABOUT IT.

AND, UM, YEAH.

THANK YOU GUYS.

THANK YOU VERY MUCH, MR. FOGARTY.

THE NEXT SPEAKER IS ANNIE FIRO.

HELLO, EVERYONE.

UH, MY NAME IS ANNIE AND I'M ONE OF THE, I'M ONE OF THE ORGANIZERS WITH THE SUNRISE MOVEMENT, LIKE CHRISTIAN.

IT'S ALSO MY FIRST TIME SPEAKING IN FRONT OF A COMMISSION, UH, AND I'M VERY GRATEFUL TO THE PREVIOUS SPEAKERS WHO GAVE US A VERY THOROUGH INSIGHT ON ALL THE POSSIBILITIES AND WAYS THIS COME ABOUT.

UM, MOSTLY I'M HERE TO TALK ABOUT MY PERSONAL EXPERIENCE LIVING IN AUSTIN, AND I'VE BEEN GATHERING FROM PEOPLE LIVING HERE.

UH, THE MAJORITY OF US ARE STRUGGLING AS IT IS TO NOT ONLY GET OUR EVERYDAY ACTIVITIES DONE, BUT ALSO KEEP A ROOF ABOVE OUR HEADS.

UM, AUSTIN ONCE WAS A PLACE WHERE YOU CAN FIND AND CREATE COMMUNITY REGARDLESS OF YOUR BACKGROUND, AND NOW IT'S BECOMING ONE THAT FAVORS THE WEALTHY ABOVE ALL ELSE.

UM, UM, OUR

[00:30:01]

RENTS ARE GOING UP EVERY SINGLE MONTH, AND ON TOP OF THAT, NOW WE HAVE TO ADD TO OUR UTILITY BILLS.

UM, THE PROPOSED INCREASE DOES NOT SEE ME DIFFERENTLY FROM A CONS, A LARGER CONSUMER.

IT IS NOT AN EQUITABLE PERSONAGE AND WILL RESULT IN THE HARM OF INDIVIDUALS LIKE MYSELF.

ADDING TO THAT, WE CURRENTLY DO NOT HAVE ANYTHING THAT CERTIFIES THE RELIANCY OF HER POWER GRADE.

UH, WE EXPERIENCE THE CONSTANT THREATS OF POWER SHORTAGE DURING THE HIGH SUMMER TEMPERATURES AND CURRENTLY FEAR THE POSSIBILITY OF ANOTHER WINTER STORM, SUCH AS WINTER STORM BREWING, 2021 ON SUNDAY MORNING.

UH, I SPOKE WITH A D FOUR RESIDENT IN REGARDS TO HER BILL GOING UP TO WHICH SHE RESPONDED WITH LY FEAR.

UH, SHE'S A NATIVE AUSTIN AUSTINITE SURROUNDED BY THE MODERN ARCHITECTURE OF GENTRIFICATION AND HER WORDS EXACTLY WHERE FOR THE FIRST TIME IN ALL MY LIFE, I'M THINKING OF SELLING MY HOME.

MY HOMETOWN IS NO LONGER A PLACE FOR ME OR MY FAMILY.

WITH THAT, I WOULD ASK AUSTIN ENERGY TO COME UP WITH A PLAN THAT HARMS NO ONE THAT FOCUSES ON THE WELLBEING OF THE COMMUNITY AND PRIORITIZES RESILIENCY ABOVE ALL ELSES, WHICH ISES FOR THE STUDY OF NEW CLEAN ENERGY SOURCES THAT WOULD ACTUALLY HELP US MEET THE CITY, UH, ENERGY DEMANDS.

THANK YOU.

THANK YOU, MS. FIRO.

THE NEXT SPEAKER IS CHRIS HUGHES.

THANK YOU COMMISSIONERS.

UH, I JUST, I'M GONNA REITERATE SOME OF WHAT WAS SAID ALREADY.

I, MY NAME IS CHRIS HUGHES AND I REPRESENT NXP SEMICONDUCTORS.

UH, WE PARTICIPATED FULLY IN THIS RATE REVIEW AS, AND I DID SO IN, UH, 2016, I REPRESENTED NXP AND SAMSUNG AND THAT ONE.

UH, AND I'VE REPRESENT A VARIETY OF INTERESTS IN RATE CASES AND CONTESTED CASES AT THE PUC ON A VARIETY OF MATTERS.

UM, AND I CAN TELL YOU THAT THE JOINT PROPOSAL YOU HAVE IN FRONT OF YOU OR IS GONNA BE EMAILED TO YOU IS A TRUE COMPROMISE.

UH, A LOT OF THESE PARTIES ARE RARELY ALIGNED, AND THEY ARE IN THIS CASE, UM, WHICH I THINK YOU SHOULD TAKE NOTE OF.

UH, NOT EVERYBODY GETS WHAT THEY WANT, UM, BUT EVERYBODY HAS COME TO THE TABLE WITH A COMPROMISE.

AND JUST TO LEAVE YOU, JUST TO REITERATE A LITTLE BIT WHAT MR. KAUFMAN SAID WITH REGARDS TO REVENUE REQUIREMENT, AND I SAID THIS TO THE CITY COUNCIL THE OTHER DAY, IT IS COMMON FOR UTILITIES TO COME IN FOR REVENUE REQUIREMENT REQUEST AND GET APPROVAL BY THE PUC AT SIGNIFICANTLY LOWER RATE, LOWER SOMETIMES A 10TH OF WHAT THEY REQUESTED.

AND AUSTIN ENERGY WILL TELL YOU, WELL, WE'RE DIFFERENT.

WE'RE IN MOU, WE'RE, YOU KNOW, WE HAVE DIFFERENT STRUCTURES AND YOU SHOULD TREAT US DIFFERENTLY.

WELL, THAT'S PECULIAR CONSIDERING THE FACT, AS MR. KAUFMAN POINTED OUT, THAT IN 2016 THEY ENDED UP WITH A REVENUE REQUIREMENT APPROVED BY THE CITY COUNCIL, 25 MILLION LESS THAN WHAT THEY CAME IN AND ASKED FOR.

AND ACTUALLY, IN THAT CASE, THE IE AT THE TIME RECOMMENDED AN EVEN GREATER REDUCTION AND THAT, SO THE 25 MILLION WAS A SETTLEMENT, UH, RESOLUTION.

SO, YOU KNOW, THEY MAY BE DIFFERENT, BUT NOT, NOT SO MUCH.

SO I'LL LEAVE IT AT THAT.

THANK YOU.

ANY QUESTIONS? NOPE.

THANK YOU, MR. HUGHES.

NEXT SPEAKER, YANA KAMAKA.

HI EVERYONE.

MY NAME IS YANA KAMIKA.

I AM THE LABOR OUTREACH COORDINATOR WITH THE TEXAS CLIMATE JOBS ACTION.

AND WE ARE AN ORGANIZATION THAT WORKS CLOSELY IN PARTNERSHIP WITH THE LABOR MOVEMENT ACROSS THE STATE OF TEXAS TO FIGHT FOR ECONOMIC AND ENVIRONMENTAL JUSTICE AND A PRO WORKER AND PRO CLIMATE FUTURE.

I'M HERE TODAY TO SHARE WITH YOU THAT IN MY FULL-TIME JOB, I HAVE THE PRIVILEGE OF TALKING TO WORKERS, UH, REGULAR UNION MEMBERS, REGULAR FOLKS WHO ARE ELECTRICIANS, WHO ARE PLUMBERS, WHO ARE FACTORY WORKERS, WHO REALLY BUILD THE CITY OF AUSTIN AND MAKE THE CITY OF AUSTIN RUN.

AND I WANNA SHARE WITH YOU THAT THEY'VE BEEN WORKING REALLY HARD TO FIGHT FOR A, A PEOPLE'S PLATFORM FOR AUSTIN ENERGY.

AND YOU MIGHT HAVE SEEN A COUPLE OF WEEKS AGO, WE HAD A RALLY RIGHT OUTSIDE THIS BUILDING IN PARTNERSHIP WITH OUR CLIMATE, UH, ACTIVIST FRIENDS, SOME OF WHOM ARE HERE TODAY, AS WELL AS SOME COMMUNITY GROUPS CALLING ON AUSTIN ENERGY AND AUSTIN CITY COUNCIL TO PURSUE A PLATFORM THAT'S REALLY ROOTED IN ECONOMIC AND AN ENVIRONMENTAL JUSTICE FOR OUR COMMUNITY.

I'M HERE TODAY TO ASK YOU ALL TO URGE THE CITY COUNCIL TO VOTE AGAINST THE BASE RATE INCREASE AND ACTUALLY TO URGE THEM TO NOT DO ANY BASE RATE INCREASE AT ALL.

THIS BASE RATE CONVERSATION IS COMING RIGHT AFTER A RATE INCREASE OF $180 A YEAR THROUGH THE PASS THROUGH RATE HAS ALREADY

[00:35:01]

BEEN PASSED AND WORKING FOLKS ARE STRUGGLING.

IN MY FULL-TIME JOB, AS I MENTIONED, I HAVE THE PRIVILEGE AND HONOR OF TALKING TO THE WORKERS WHO BUILD THIS CITY, AND I'VE BEEN ASKING THEM, WHAT DOES A COMBINED RATE INCREASE OF ALMOST $400 A YEAR MEAN TO YOU AND TO YOUR FAMILY? RIGHT? WHAT ARE YOU GIVING UP TO PAY FOR THAT? AND FOLKS ARE TELLING US THAT THEY'RE THINKING, HOW AM I GOING TO AFFORD CRITICAL MEDICINE THAT I NEED FOR MY HEALTH CONDITIONS? HOW AM I GOING TO BE ABLE TO AFFORD OTHER UTILITIES, MY RENT PRICES THAT HAVE ALMOST DOUBLED IN THE LAST YEAR, RIGHT? WE'RE SEEING STATISTICALLY AN ARTICLE THAT CAME OUT THAT IN AUSTIN, RENT PRICES HAVE ALMOST DOUBLED OVER THE LAST YEAR.

AND FOLKS ARE SAYING, HOW IS IT THAT I CAN, YOU KNOW, MY LABOR, MY MY WORK CAN BE USED TO BUILD THIS CITY AND I CAN'T EVEN AFFORD TO LIVE IN IT ANYMORE, RIGHT? THESE ARE THE KINDS OF CONVERSATIONS WE'RE HAVING WITH WORKERS.

AND SO I REALLY URGE YOU ALL TO SAY TO THE CITY COUNCIL, WE CAN'T AFFORD WORKING PEOPLE IN THIS CITY.

CAN'T AFFORD ANOTHER RATE INCREASE OF ANY AMOUNT.

THANK YOU.

THANK YOU MISS MIKA.

AND THE LAST SPEAKER IS MADELINE KILBURN.

HELLO, MY NAME IS MADELINE KILBURN.

THANK YOU SO MUCH, UH, FOR EVERYONE WHO'S GONE BEFORE ME TONIGHT.

UH, FOR ALL OF YOUR INSIGHT ON THE ISSUE OF THIS RATE CASE.

I AM AN AUSTIN RESIDENT.

I MOVED HERE AS A STUDENT AS SO MANY DO LOOKING FOR A BETTER LIFE.

I MOVED TO AUSTIN AS A GAY WOMAN KNOWING THAT THIS IS A CITY WHERE I COULD FIND SAFETY AND COMMUNITY.

AND IT'S NO SECRET THAT THIS CITY IS NOW BECOMING DEEPLY UNAFFORDABLE FOR SO MANY MEMBERS OF OUR COMMUNITY, PARTICULARLY THE WORKING CLASS.

MY GIRLFRIEND, WHO IS A BORN AND RAISED AUSTINITE, DOES NOT KNOW HOW SHE IS GOING TO BE ABLE TO AFFORD UTILITIES WITH A RATE INCREASE LIKE THIS.

AND I DON'T KNOW A SINGLE RENTER IN THE CITY WHO HAS NOT SEEN THE RENT GO UP THIS YEAR.

THIS RATE INCREASE PROPOSED BY AUSTIN ENERGY IS YET ANOTHER CHARGE ON THE COST OF LIVING IN THIS CITY.

AND PEOPLE ARE JUST MOVING HERE FOR A BETTER LIFE.

AUSTIN CONTINUES TO POSITION ITSELF AS A PLACE WHERE THAT'S POSSIBLE, AS LONG AS WE KEEP ON .

AND QUITE FRANKLY, AS LONG AS WE KEEP ON UPPING THE PRICE OF ADMISSION, THIS IS NO LONGER A CITY WHERE THAT IS ACCESSIBLE AND AVAILABLE TO EVERYONE.

BUT THANK YOU.

THANK YOU MISS K.

I APPRECIATE ALL OF THE PUBLIC COMMENT AND APOLOGIZE FOR MY TARDINESS.

THANK YOU VICE CHAIR TITLE FOR KICKING THE MEETING OFF.

UM, I BELIEVE THAT, DID WE DISCUSS AT THE TOP OF THE MEETING THAT WE WERE GONNA TAKE, UM, A COUPLE OF THINGS OUT OF ORDER, OR DID WE OKAY, GREAT.

SO, UM, JUST AS A, UH, ADMINISTRATIVE ITEM, I'D LIKE TO TAKE UP STAFF BRIEFINGS AND REPORTS ITEM NUMBER EIGHT AND NINE.

UH, I'M GONNA TAKE THAT UP AT THE END OF THE MEETING.

UM, IF THERE IS SUFFICIENT TIME AND FOLKS WANT TO HAVE THAT VERY HIGH LEVEL SUMMARY FROM AUSTIN ENERGY, THOSE ARE OUR, UM, QUARTERLY OPERATIONS AND FINANCIAL REPORTS.

UH, ALL OF THOSE MATERIALS WERE CIRCULATED WITH OUR MEETING MATERIALS.

UM, AND YOU CAN OBVIOUSLY VIEW AT YOUR LEISURE.

THOSE ARE FAIRLY MEATY REPORTS, AS YOU KNOW.

UM, AND GIVEN THE FOCUS ON THE BASE RATE INCREASE REQUEST, I WANT TO SAVE THOSE FOR LAST AND POTENTIALLY ALLOW FOLKS TO JUST REVIEW THAT MATERIAL ON THEIR OWN TIME.

OKAY, SO MOVING ON TO ITEM NUMBER SECOND.

OH, GO AHEAD.

BEFORE WE MOVE ON, I JUST WANTED TO, UM, ADD TO YOUR, THANKS TO THE SPEAKERS TONIGHT.

WE HAD A LOT OF PEOPLE HERE, THEY'RE DEEPLY CONCERNED.

THEY RAISED INCREDIBLE POINTS ON MANY FRONTS, AND IT'S REALLY A GREAT THING TO HAVE PEOPLE COMING FORWARD AND TALKING TO US.

THANK YOU.

ABSOLUTELY.

THANK YOU, COMMISSIONER HADDEN.

UM,

[1. Approve the minutes of the Electric Utility Commission Regular meeting on October 18, 2022.]

UH, ITEM NUMBER ONE, APPROVAL OF THE MINUTES.

UM, THE MINUTES WERE CIRCULATED WITH YOUR MEETING MATERIALS.

UH, ANY COMMENTS OR, UH, JUST TO, I DON'T KNOW IF THERE'S A, UM, ON PAGE, I GUESS IT WOULD BE PAGE THREE OF THE MINUTES.

UH, AT THE TOP IT SAYS, THE EUC REQUESTED AUSTIN ENERGY PROVIDE NUMBER

[00:40:01]

RUNS WITH A 15 MILLION REVENUE REQUIREMENT AND A 7.5 GRADUATE INCREASE CAP.

THE I E 33.1 MILLION RECOMMENDATION, ISN'T IT 31.3 OR AM I MISREMEMBERING IT? I JUST THINK THE NUMBERS MIGHT BE MIXED UP THERE.

I I THINK THAT'S RIGHT.

31.3.

SO, SO, SO I WOULD'VE, I WOULD MAKE A MOTION TO PROVE THE MINUTES WITH, YOU KNOW, SWITCHING THE ORDER OF THE ONE AND THE THREE ON THAT.

PAGE THREE.

UH, IS THERE A SECOND? SECOND? UM, ALL THOSE IN FAVOR? OKAY.

MOTION CARRIES.

I THINK I, YEAH, I THINK I'VE GOT EVERYBODY.

I CAN SEE EVERYBODY.

ALL RIGHT.

WONDERFUL.

OKAY, GREAT.

UM, OKAY, UH, MOVING ON TO ITEMS. UH,

[Items 2, 3, 6, & 7]

THIS IS DISCUSSION AND POSSIBLE ACTION ON RECOMMENDATION ITEMS NUMBER TWO THROUGH SEVEN.

ARE THERE ANY THAT COMMISSIONERS WOULD LIKE TO TAKE UP FOR A DISCUSSION? I WOULD LIKE TO TAKE UP, UH, NUMBER, I HAVE A COUPLE QUESTIONS ON NUMBER FIVE, AND I THINK, UH, COMMISSIONER CHAPMAN HAS ONE ALSO.

OKAY, GREAT.

GO AHEAD.

COMMISSIONER CHAPMAN? UH, YES, I, I, UH, BECAUSE OF OUR TIME LIMITATIONS, I HAVE SEVERAL QUESTIONS ABOUT THE DEBT COLLECT, THE DEBT COLLECTOR CONTRACT.

I'D LIKE TO DEFER THAT, UH, TO THE WORK GROUP AND, UH, REPORT BACK AT THE NEXT MEETING.

UM, WHICH ITEM NUMBER IS THAT COMMISSIONER? I THINK IT'S ITEM FOUR FOUR.

UH, BEFORE WE DEFER SOMETHING LIKE THAT, UM, I'D LIKE TO HEAR FROM AUSTIN ENERGY ABOUT TIMING.

OFTENTIMES, UH, WHEN THEY BR THEY'RE BRINGING THESE ITEMS BEFORE US.

UH, IT, IT, IT IMPACTS, UM, WHEN THEY CAN, WHEN THEY EXPECT TO RECEIVE COUNSEL APPROVAL FOR THESE AND DELAYING IT A MONTH COULD CAUSE, UM, UNINTENDED CONSEQUENCES.

SO IF THERE'S SOMEONE, LET'S, LET'S JUST GO AHEAD AND HAVE SOMEONE COME UP AND AT LEAST SPEAK TO, UM, IF DELAYING THAT A MONTH WOULD BE, UH, WOULD CAUSE ANY ISSUES FOR AUSTIN.

AND ARE WE, ARE WE MEETING IN DECEMBER? OH, GOOD CALL, ACTUALLY, YEAH, WE, WE AREN'T EVEN MEETING IN DECEMBER, SO THAT MEANS A TWO MONTH BE JANUARY, IT WOULD BE A TWO MONTH DELAY.

UM, SO LET'S JUST, LET'S JUST PULL THAT ONE FOR NOW.

COMMISSIONER CHAPMAN.

UM, OKAY, SO I'LL ENTERTAIN A MOTION TO APPROVE, UH, FOR A RECOMMENDATION TO COUNSEL.

ITEM NUMBERS 2, 3, 6, AND SEVEN.

SO MOVED.

IS THERE A SECOND? SECOND ON ALL THOSE IN FAVOR? AYE.

AND COMMISSIONER HADDEN, I COULDN'T SEE YOU ON THAT ONE.

UM, I'D LIKE TO, UM, VOTE IN FAVOR OF ALL EXCEPT SAIN ON NUMBER TWO, PLEASE.

OKAY.

SO NOTED.

ALL RIGHT, MOTION CARRIES.

UH, WE WILL NOW TAKE

[4. Recommend authorizing negotiation and execution of two multi-term contracts with Transworld Systems Inc. and I C System Inc. for collection services for delinquent utility accounts each for up to five years for total contract amounts not to exceed $3,000,000, divided between the contractors.]

UP ITEM NUMBER FOUR AND, UH, HEAR FROM AUSTIN ENERGY ABOUT, UH, DELAY.

HI THERE, VICE PRESIDENT OF CUSTOMER CHAT MANAGER.

UM, AND COULD YOU PLEASE, UH, COMMISSIONER CHAPMAN WOULD LIKE TO, UH, TALK WITH THE WORKING GROUP AND BRING THIS UP AT OUR NEXT MEETING.

IS THAT, UH, DOES THAT CAUSE ANY CONCERNS FOR YOU AS A UTILITY? UM, IT, IT PUTS US ON A, IT'S SLATED TO GO TO COUNCIL TOMORROW, PUTS US ON A LITTLE BIT OF A TIGHTER TIMEFRAME.

UM, YOU KNOW, THE CONTRACTS EXPIRE IN THE SPRING, AND PART OF BRINGING THE FOURTH NOW SO WE CAN GET THE FINAL CONTRACTS NEGOTIATED AND IN PLACE, UM, PULL BACK, UH, ITEMS THAT HAVE ALREADY BEEN PLACED WITH OTHER COLLECTION AGENCIES AND, AND REPLACE THEM WITH THE NEW AGENCIES.

UM, AND SO I DON'T KNOW, COMMISSIONER CHAPMAN, IF THERE'S ANY QUESTIONS I CAN ANSWER FOR YOU RIGHT NOW.

I, WELL, IF IT'S NOT GONNA GO IN PLACE TILL SPRING, I I REALLY WOULD, UH, YOU KNOW, WE CAN GO INTO, INTO IT, UH, NOW, BUT I, IF WE COULD, UH, SPEAK, SPEAK WITH YOU AND OF THE WORK GROUP, GET THEIR, UH, QUESTIONS RESOLVED, AND I'D PREFER TO DO IT IN JANUARY AND COMMUNICATE THAT TO CITY COUNCIL.

OKAY.

AND, UM, I JUST FOR CLARIFICATION, WHICH WORK GROUP IS THIS? UH, THE, THE AUDIT BUDGET AND AUDIT WORK GROUP? YEAH.

AND, AND ACTUALLY, UM, COMMISSIONER CHAPMAN, I THINK, UH, THE WORK GROUP IS, YOU KNOW, TECHNICALLY THE BUDGET AND

[00:45:01]

AUDIT WORK GROUP.

I'M NOT SURE THAT IT, UM, MAKES SENSE FOR, UH, THIS DISCUSSION TO BE, UH, HELD BY THAT WORK GROUP SPECIFICALLY.

OF COURSE, YOU ARE MORE THAN WELCOME TO HAVE THOSE CONVERSATIONS WITH ANY COMMISSIONERS.

UM, YOU KNOW, AS LONG AS WE DON'T VIOLATE QUORUM, UH, ISSUES.

BUT I, BUT I DON'T KNOW THAT IT, IT MAKES SENSE FOR, UM, THIS PARTICULAR, UH, CONTRACT OR, UH, RCA TO GO TO THE WORK GROUP FOR, YOU KNOW, AS CURRENTLY CONSTITUTED ALL, ALL, ALL OF WHICH IS, ALL OF WHICH IS, UH, UH, WHICH, YOU KNOW, OTHER MEMBERS OF THE WORK GROUP THAT I'VE CONFERRED WITH WOULD LIKE ALSO HAVE THEIR OWN QUESTIONS.

UH, BUT ALL OF WHICH IS, I'D REALLY RATHER HAVE THE CONVERSATION AND LEARN MORE FROM AUSTIN ENERGY ABOUT THE CONTRACTS, UH, HAVING THE INFORMA AND, AND THERE'S A HISTORY HERE.

THIS IS NOT, UH, JUST OUT OF THE BLUE, THERE'S A HISTORY WITH THESE, UH, DEBT COLLECTORS THAT AUSTIN ENERGY HAS USED IN THE PAST.

AND I'D LIKE THOSE QUESTIONS TO BE RESOLVED BEFORE SUPPORTING, UH, THE CONTRACT TO CITY COUNCIL.

GO AHEAD.

COULD YOU READ, DOES THAT ANSWER IT OTHER, OTHERWISE, UH, WE CAN DO THE VOTE TONIGHT CHAIR, BUT THE AN AT LEAST CERTAINLY MY VOTE WOULD BE, NO, GO AHEAD.

COMMISSIONER REED, IS THERE A POTENTIAL FOR RANDY TO GET HIS QUESTIONS TOGETHER, GET THEM SUBMITTED AND ANSWERED? IS IT POSSIBLE TO DO AN EMAIL VOTE ON SOMETHING LIKE THIS OR, OR NOT? I I DON'T KNOW PROCEDURALLY WHETHER THAT'S AVAILABLE, UM, TO US, UH, THAT, THAT, THAT'S LOOKING LIKE NO, OVER HERE, .

OKAY.

JUST, JUST WONDERING.

UM, I, I, YOU KNOW, I'M INCLINED TO GO AHEAD AND JUST HAVE THE CONVERSATION.

WE'VE GOT STAFF UP HERE PREPARED TO ANSWER QUESTIONS ON THIS CONTRACT AND, UM, WE CAN TAKE THE VOTE AND IF WE DOWN SUPPORT IT, THEN WE, YOU KNOW, IT, IT DOESN'T NEED TO BE RECOMMENDED TO COUNCIL AND THAT THAT'LL BE THE EOCS POSITION.

UM, SO I THINK LET'S GO AHEAD AND HAVE THE CONVERSATION, COMMISSIONER CHAPMAN, IF YOU WANNA GO AHEAD AND ASK YOUR QUESTIONS.

OKAY.

OKAY.

BE HAPPY TO, UH, IS THIS, UH, THE SAME COMPANY THAT, UH, CALLS ITSELF, UH, MUNICIPAL SERVICES, UH, EITHER ONE OF THE TWO CONTRACTS THAT, UH, UH, DUKE'S CONSUMERS AS IF THEY WERE A MUNICIPAL COLLECT COLLECTION COLLECTOR? NO.

UH, NEITHER OF THESE AGENCIES ARE MUNICIPAL SERVICES BUREAU, WHICH IS KNOWN AS MSB.

NEITHER OF THESE AGENCIES ARE THAT VENDOR.

AND, AND DO, DO THEY, DO THEY COLLECT UNDER ANY, UH, FALSE NAMES OR, OR DO THEY COLLECT UNDER, UNDER THEIR REGISTERED NAMES? THEY, UH, COLLECT UNDER TRANS WORLD SYSTEMS INCORPORATED AN IC SYSTEM.

OKAY.

ON BEHALF OF CITY BOSTON UTILITIES.

SORRY.

OKAY.

UH, AND, UH, ALL OF WHICH IS THEIR FEES ARE, ARE THOSE FEES PAID BY AUSTIN ENERGY OR DO THEY WORK ON A COMMISSION FOR WHICH CONSUMER? THE INDIVIDUAL CONSUMER THAT, THAT, UH, GETS GETS, UH, THEY ARE COMMISSIONED BASED.

UM, THEY ARE ONLY PAID, UM, ON FUNDS THAT ARE COLLECTED, AND THEY ARE PAID, UM, BY AUSTIN ENERGY AND CITY OF AUSTIN UTILITIES.

UM, SO THE, THE CONSUMER DOESN'T PAY, UM, THOSE FEES TO THE AGENCY, THE IN THE INDIVIDUAL CONSUMER, UH, RECEIVES NO SURCHARGE? CORRECT.

OKAY.

NOW, AGAIN, I'M GOING BACK TO THE CONTRACT THAT THEY, THAT AUSTIN ENERGY PREVIOUSLY HAD WITH A GEORGIA OUTFIT.

UH, NEITHER ONE OF THESE IS THE GEORGIA BASED OUTFIT THAT CALLED THEMSELVES MUNICIPAL SERVICES, RIGHT? CORRECT.

UH, THESE COMPANIES, AND AGAIN, THIS IS FROM PERSONAL EXPERIENCE, UH, THEY FIND PEOPLE, FOR EXAMPLE, UH, IF YOU LIVE WITH SOMEBODY, UH,

[00:50:01]

OR IN A BOARDING SITUATION OR, UH, A AN INDIVIDUAL WHO'S, UH, THE RINSE IN ONE PERSON'S NAME, THEY TAKE IT OUT AND THE ABUSE SPOUSE OR GIRLFRIEND, WHOEVER, UH, LIVES IN THE SAME HOUSEHOLD LATER AFTER THE STATUTE OF LIMITATIONS HAS PASSED, UH, THEY ARE CONNECTED AND THEN IT IS CHARGED AS A BILL TRANSFER BY AUSTIN ENERGY.

THAT'S HOW IT HAS WORKED IN THE PAST.

IS THAT STILL THE SITUATION? BECAUSE I HEARD THROUGH THE, UH, UH, SAFE PLACE THAT WOMEN WOULD IN ESSENCE BE DINGED FROM, UH, IN ESSENCE, THE PERSON WHOSE ACCOUNT ACCOUNTANT WAS IN THEIR NAME, EVEN THOUGH THEY HAD NOT BEEN WITH, UH, BOYFRIEND, HUSBAND, WHOEVER YEARS AGO.

IS THAT STILL THE PRACTICE? UM, OKAY.

THERE ARE SEVERAL PARTS, SO HOPEFULLY I CAN, UH, SPEAK TO EACH ONE AND IF I MISS ONE, LET ME KNOW.

UM, THESE ARE PRIMARY AND SECONDARY COLLECTIONS.

SO IT'S OF DEBT, YOU KNOW, IT'S A CUSTOMER THAT'S LEFT OUR SERVICE TERRITORY.

THERE'S NO ACTIVE UTILITY ACCOUNTS IN THEIR, IN THEIR NAME.

UM, AND IT'S DEBT THAT'S TYPICALLY TWO YEARS OLDER AND LESS SO IT'S NEWER DEBT.

MAYBE SOMEONE LEAVES AND HASN'T PAID THEIR LAST THREE BILLS AND THEY, THEY DON'T PAY US.

AND EVENTUALLY IT, IT GOES OFF TO THESE COLLECTION AGENCIES.

SO THIS, THERE IS NO, UM, HOLDING AT THIS LEVEL TILL STATUTE OF LIMITATION.

UM, NOT, NOT IN THESE CONTRACTS.

THESE ARE TYPICALLY A YEAR OR TWO YEARS THAT THEY'LL, THEY'LL WORK THIS DEBT.

UM, WHOEVER SETS UP THE CITY OF AUSTIN UTILITIES ACCOUNT AND PROVIDES THEIR ID IS THE DEBTOR RESPONSIBLE FOR THE ACCOUNT.

UM, IF SOMEONE LIVES IN A HOUSE, YOU KNOW, THERE, THERE MAY BE SOME SKIP TRACING OR COLLECTION ACTIVITIES THAT, YOU KNOW, THE, THESE COMPANIES WOULD GO THROUGH TO TRY TO GET TO THE PERSON WHOSE NAME IS ON THE UTILITY ACCOUNT.

UM, BUT THERE'S NO TRYING TO COLLECT FROM SOMEBODY WHOSE NAME WAS NOT THE PERSON WHO SET UP THE UTILITY ACCOUNT.

SO IF YOU, IF YOU HAVE A, A SPECIFIC EXAMPLE ABOUT SAFE PLACE, I, I'D BE GLAD TO HEAR ABOUT IT.

UM, AND, AND WORK WITH OUR ESCALATIONS TEAM AND, AND, AND TALK TO THEM TO SEE IF THERE'S SOMETHING, UM, IN, IN THE PROCESS WE'RE MISSING.

NOW, WHAT YOU MAY, MAY ALSO BE REFERRING TO, SORRY, JUST ONE MORE THING IS, UM, AS A CITY ENTITY MUNICIPALITY, UM, THEIR ON THE UTILITY DEBT, AND SO THERE MAY BE SOMEONE WHO OWES DEBT IN THEIR NAME FROM FIVE OR SIX YEARS AGO, THEY MOVE AWAY, THEY COME BACK TO CITY OF AUSTIN UTILITIES, AND IF WE STILL SEE THAT THEY OWE US MONEY, UM, WE'RE, WE'RE FISCALLY BOUND TO, UM, TO WORK WITH THEM TO ESTABLISH A PAY PLAN TO COLLECT THAT MONEY.

DID.

THEY ARE NOT REFUSED SERVICE.

THEY, THEY ARE ESTABLISHED INTO A PAY PLAN.

CORRECT.

AND, UH, AND THE OTHER QUESTION, UH, THERE ARE TWO, TWO QUESTIONS.

ONE IS, UH, ARE THEY AUTHORIZED? ARE THE TWO COMPANIES YOU DEAL WITH AUTHORIZED TO, UH, BE CALLING PEOPLE DURING CERTAIN HOURS OR AT THEIR WORKPLACE, WHICH MIGHT IMPACT THEIR EMPLOYMENT? I WILL HAVE TO, UM, THEY FOLLOW THE FAIR DEBT COLLECTION PRACTICES ACT AND OTHER FEDERAL GUIDELINES, UH, TELEPHONE CONSUMER PROTECTION ACT, WHICH OUTLINE, UM, WHEN AND HOW YOU CAN TRY TO CONTACT SOMEONE TO WRITE, PARTY, VERIFY TO, TO COLLECT A DEBT.

UM, WE HAVE VERIFIED THAT THEY FOLLOW THOSE REGULATIONS AND WE'VE VERIFIED THAT THEY'VE NOT BEEN CITED OR CENTERED FOR THOSE VERIFI UH, FOR THOSE, UM, REGULATIONS.

SO, UM, YOU KNOW THAT SOMEONE ALWAYS HAS THE RIGHT TO SAY, IF THEY'RE CONTACTED AT WORK, THEY, THE CONSUMER HAS THE RIGHT TO SAY, DO NOT CONTACT ME AT WORK OR CONTACT ME ONLY DURING THESE HOURS OR ONLY IN WRITING.

AND, AND THEY'RE, THEY'RE BOUND TO, UM, THE AGENCY IS BOUND TO, TO ACT ACCORDING TO THAT REQUEST.

DOES THAT HELP? AND THAT'S IN THE CONTRACT IN THE PRO CRAFT CONTRACTS SPECIFIC LANGUAGE.

UM, I WILL HAVE TO CHECK AND SEE IF IT'S IN THE CONTRACT.

IT WAS PART OF THE SCOPE OF WORK ABOUT FOLLOWING THE FAIR DEBT COLLECTION PRACTICES ACT AND THE

[00:55:01]

TELEPHONE CONSUMER PROTECTION ACT.

AND, UH, AND THE OTHER, UH, QUESTION IS, UH, AGAIN, WHEN YOU CONTRACTED WITH MUNICIPAL SERVICES, YOU KNOW, AND AGAIN, MY PERSONAL EXPERIENCE HERE HAVING MOVED AND YEARS LATER, UH, THAT OUTFIT, UH, CONNECTED ME WITH, WITH A BILL THAT I DIDN'T KNOW I HAD, UH, THE GROUP THAT AUSTIN ENERGY USED, UH, RESULTED IN A DOWNGRADING OF MY PERSONAL CREDIT SCORE, MAKING IT MORE DIFFICULT TO, TO, UH, GET A MORTGAGE LOAN, MAKING IT MORE EXPENSIVE TO GET A CAR LOAN.

UH, IS WHAT ARE THE RULES THAT AUSTIN ENERGY, UH, REQUIRES OF THESE COMPANIES? ARE THEY ALLOWED TO, UH, IMPAIR SOMEBODY'S, UH, CREDIT SCORE, UH, WITH THEIR INFORMATION? UH, YES.

AN UNPAID BILL, UM, COULD IMPACT, UH, A DEBTOR'S, UH, CREDIT SCORE.

UM, YOU KNOW, THERE HAS BEEN RECENT REGULATION IN THE PAST, UM, TWO, THREE YEARS REGARDING BOTH MEDICAL DEBT AND UTILITY DEBT.

UM, SO PREVIOUSLY WHERE HISTORICALLY THAT MAY HAVE IMPACTED YOUR CREDIT SCORE TO A GREATER EXTENT.

UM, NOW, UM, GUIDELINES AND, AND, UM, HAVE, HAVE BEEN PUT FORTH TO KIND OF MITIGATE A LITTLE BIT OF THAT IMPACT.

UM, BUT YES, UM, IF, IF THE, UM, PERSON IS CONTACTED AND, UM, YOU KNOW, IT'S ONCE IT GOES TO THESE CREDIT BUREAUS, THEY'VE ALREADY BEEN CONTACTED MULTIPLE TIMES, HOPEFULLY THROUGH, GIVEN ALL THE INFORMATION THAT THEY PROVIDED US WHEN THEY SET THEIR ACCOUNT, INCLUDING, UM, AFFORDING ADDRESS AND, AND OTHER MEANS.

UM, WE'VE CONTACTED THEM MULTIPLE TIMES BEFORE THEY GO TO THESE COLLECTION AGENCIES.

AND YES, AT THAT POINT, UM, THERE, THERE IS A, A CREDIT SCORE.

SO ALL OF WHICH IS, THAT WAS NOT MY EXPERIENCE IN THE PAST WITH AUSTIN ENERGY, BUT ALL OF WHICH IS, IS IT POSSIBLE TO INCLUDE IN THE CONTRACT? AND WILL YOU INCLUDE IN THE CONTRACT THAT THEY WILL NOT, UH, LANGUAGE THAT THEY WILL, UH, NOT ADVERSELY, UH, YOU KNOW, CERTAINLY THEY MAY, UH, DO THEIR JOB, BUT CERTAINLY, UH, NOT DO IT TO THE IMPAIRMENT OF PEOPLE OF PEOPLE'S CREDIT SCORES THAT, UH, THE IMPACT OF A CREDIT SCORE IS ONE OF THE MAIN DRIVERS FOR PEOPLE TO WANT TO PAY THE DEBT, UM, AND, AND RESOLVE AN, AN OUTSTANDING ACCOUNT.

UM, RIGHT, BUT ALL OF WHICH IS AGAIN, AND I'M SORRY TO BE TAKING SO MUCH TIME, I, I, I REALLY WOULD'VE PREFERRED TO DEFER THIS, BUT ALL OF WHICH IS WHEN THEY PAY, WHEN THEY SET UP A PAYMENT PLAN WITH THESE TWO COMPANIES DO, IS ARE THOSE TWO COMPANIES THEN REQUIRED TO NOTIFY THE, AND MAKE THAT CORRECTION THAT THE BILL HAS BEEN PAID, OR IS IT ONLY WHEN AUSTIN ENERGY NOTIFIES THEM THAT THEY HAVE BEEN PAID IN FULL? HOW DOES THAT WORK? UM, WHEN THE DEBT IS SATISFIED, WHATEVER AMOUNT THAT IS PLACED WITH THE COLLECTION AGENCY, WHEN THAT IS PAID, UM, THE, AND THIS SHOULD BE THE CASE ACROSS ANY COLLECTION AGENCY OR ANY CONSUMER BASED ACCOUNT PLACED WITH A COLLECTION AGENCY.

ONCE IT'S PAID, IT IS MARKED ON THE CREDIT FILE AS PAID.

NOW IT STILL MAY SHOW THAT IT WAS LATE, BUT, UM, IT WILL BE UPDATED TO SHOW PAID.

I SO, SO WHEN THEY ENTER A PAYMENT PLAN WITH THE AGENCY, UH, IT HAS NO EFFECT AT THAT POINT WHEN THE ACCOUNT ONLY, IT'S ONLY WHEN, WHEN THEY'VE GOTTEN THEIR MONEY IN WHOLE AND AUSTIN ENERGY HAS BEEN, IN ESSENCE, REIMBURSED AND WHOLE.

YET, ONCE THE ONCE BALANCE THAT CITY OF AUSTIN UTILITIES PLACED WITH THE COLLECTION AGENCY IS, IS PAID IN FULL, UM, THE, THE CREDIT FILE IS UPDATED, SHOWING PAID IN FULL.

OKAY.

THERE MAY BE QUESTIONS, UH, BY OTHER COMMISSIONERS.

ANY OTHER QUESTIONS ON ITEM NUMBER FOUR? I'M STILL A LITTLE CONFUSED.

IF A BILL IS PAID IN PART, NOT PAID IN FULL, THEY'VE MADE A PAYMENT, WILL THAT STOP THE NEGATIVE IMPACTS TO A CREDIT SCORE OR DOES IT HAVE TO BE PAID IN FULL? UM, IT, IT, YOU KNOW, CREDIT, CREDIT SCORING

[01:00:01]

IS, IS NOT AN ABSOLUTE, IT'S HANDLED BY CREDIT, UH, FAIR ISAACS, I BELIEVE, AND IT'S GOT A DIFFERENT BUNCH OF DIFFERENT ALGORITHMS. SO, UM, YOU KNOW, IF AS LONG AS THERE, IT'S, THE CREDIT REPORT WILL SHOW THAT THERE HAS BEEN A DEBT PLACED ON, ON THAT CONSUMER, UM, ONCE IT'S PAID, IT DOESN'T REMOVE IT OFF THE CREDIT REPORT, IT STILL SHOWS BECAUSE IT WAS STILL LATE, IT WAS UNPAID, BUT IT WILL SHOW UPDATED AS PAID, AND THAT GETS UPDATED ONCE THE BALANCE IS PAID IN FULL OR ONCE FOR SOME REASON.

WE RECALL IT FROM THE AGENCIES, AND USUALLY IF THEY'RE ON A PAY PLAN WITH THE COLLECTION AGENCIES, THEY, THEY END UP, YOU KNOW, ONCE CONSUMER CONSUMERS ARE TYPICALLY ON THAT, THEY'LL END UP CONTINUING MAKING THE PAYMENTS TILL THE BALANCE IS PAID IN FULL.

OKAY, THANK YOU.

UM, I THINK WE'LL GO AHEAD AND, UH, ENTERTAIN A MOTION TO APPROVE ITEM NUMBER FOUR FOR RECOMMENDATION TO COUNSEL.

HI, SOU.

IS THERE A SECOND? SECOND ON ALL THOSE IN FAVOR? I, I, FINE AND ALL THOSE OPPOSED? I THINK I AM ONE, TWO AND, OKAY, SO WE'VE GOT TWO, NO ONE ABSTENTION AND 1, 2, 3, 4.

WHAT DID YOU DO? I SAID YES.

OKAY.

FIVE, SIX.

THAT DOES IT, RIGHT? SIX.

OKAY.

SO MOTION PASSES, BUT DO APPRECIATE COMMISSIONER CHAPMAN BRINGING UP THESE ISSUES, WHICH ARE VERY IMPORTANT, ESPECIALLY THE HISTORY OF THIS PROGRAM.

SO THANK YOU ANDY.

YES, VERY MUCH.

I DO APPRECIATE THAT.

UM, TAKING UP

[5. Recommend authorizing reimbursement of costs to Waller Creek Owner, LLC., for the service pipe connection to interconnect the Waller Building to the Austin Energy (AE) downtown District Cooling System in an amount not to exceed $2,308,703.]

ITEM NUMBER FIVE, COMMISSIONER TREL.

UM, YES, I, I'M TRYING TO, UM, FIGURE OUT WHO OWNS WHAT AND WHAT THE COST BENEFIT ANALYSIS IS FOR PAYING FOR THIS, UM, SERVICE PIPE CONNECTION THAT WALLER CREEK OWNER LLC HAS, HAS, UM, INSTALLED TO INTERCONNECT WITH THE, UM, DOWNTOWN DISTRICT COOLING SYSTEM.

THE AMOUNT IS ABOUT $2.3 MILLION.

UH, ALTHOUGH I JUST NOTICED THAT WHILE OUR AGENDA SAYS 2.3 MILLION, THE BACKUP DOCUMENTATION SAYS 2.4 MILLION.

SO I DIDN'T KNOW I HAD THAT QUESTION, BUT THAT'S ONE QUESTION.

SO IS IT CORRECT THAT WALLER CREEK OWNER LLC OWNS THIS INTERCONNECTION? UH, SO I'M PAT SWEENEY, VICE PRESIDENT FOR POWER PRODUCTION AND DISTRICT SCHOOLING, EXCUSE ME.

UH, UH, FOR THE MOMENT, UH, THEY WILL, WE, WE WILL OWN IT.

ULTIMATELY, IT'LL BECOME PART OF OUR SYSTEM.

UH, IT'S A MECHANISM WE USE FROM TIME TO TIME WITH DEVELOPERS WHERE THEY NEED TO CONNECT TO OUR SYSTEM FROM THEIR LOCATION TO WHEREVER OUR MAIN LINE PIPE IS, THE DISTANCE AND THE COMPLICATION FACTOR, LOCATION, LOCATIONS, EVERYTHING WILL DETERMINE HOW MUCH THAT COSTS.

UH, THEY'RE MOTIVATED TO KEEP THE COSTS LOW, AS LOW AS THEY REASONABLY CAN BECAUSE WE WILL THEN ONCE, ONCE WE TAKE OWNERSHIP, WE REIMBURSE THEM AND TAKE OWNERSHIP OF IT, UH, AT THAT POINT THEN WE WILL, UM, UH, RECEIVE REIMBURSEMENT THROUGH THE CONTRACT THROUGH A, A CAPITAL CHARGE RECOVERY IN THE CONTRACT.

VERY GOOD.

SO THAT IS HOW, THAT'S, UH, YOU, YOU REIMBURSE THEM, BUT THEN YOU, THEIR RATE FOR THE, UH, UH, CHILLED WATER RATE RIGHT.

REIMBURSES THE CITY FOR THE TOTAL COST, THE 2 MILLION PLUS, AND THE TIME AND TIME VALUE AND MONEY AND SO ON.

AND, UH, THIS MECHANISM ALLOWS US TO WORK MORE FLEXIBLY WITH DEVELOPERS WHERE WE OFTEN TIME MIGHT HAVE A VERY LONG INDICATION THAT THEY'RE GONNA START, BUT WE DON'T KNOW EXACTLY WHEN THEY DO AND THEY FIRE THE STARTING GUN AND THEY'RE OFF THE RACES.

AND SO THIS PUTS IT IN, IN THEIR HANDS TO MANAGE IT FROM A SCHEDULE AND A COST PERSPECTIVE.

OKAY.

SO I, IN READING THROUGH THIS INFORMATION, IT SOUNDED, IT LOOKS TO ME AS THOUGH THE BENEFIT TO AUSTIN ENERGY IS THE DEMAND SHIFT TO OFF PEAK TIMES.

SO OVERALL IN DISTRICT COOLING, UH, THERE'S LOTS OF BENEFITS, BUT THE BIG ONE, UH, FOR, UH, FOR AUSTIN ENERGY FROM AN ELECTRICAL STANDPOINT IS THE DEMAND SHIFT BECAUSE WE, WE, UH, WE HAVE THERMAL STORAGE, SO WE, WE MAKE, UH, CHILLED WATER AT NIGHT, UH, AND THEN WE RELEASE IT DURING THE DAY TO COOL.

OF FACILITIES THAT ARE CONNECTED TO US, AND THEREFORE THAT DEMAND IS SHIFTED TO THE EVENING HOURS,

[01:05:01]

UH, AS OPPOSED TO DURING DAYTIME.

AND HAS, AT SOME POINT, I ASSUME SOMEBODY DID A, A COST BENEFIT ANALYSIS TO FIGURE OUT WHAT THE, THE BENEFIT OF THAT SHIFT IS FROM A DISTRICT COOLING PERSPECTIVE.

YEAH.

UH, YES.

EARLY ON, I, I CAN'T TELL YOU WHAT THAT WAS AT THE TIME, BUT, UH, UH, WE LOOK AT IT, UH, AND IT, THERE, THERE'S AN ONGOING INCREASING BENEFIT AS YOU SHIFT MORE LOAD, UH, FROM WHAT WOULD BE A PEAK DEMAND TO A OFF-PEAK DEMAND.

WELL, THANK YOU FOR CLARIFYING ALL THAT.

THAT MAKES PERFECT SENSE TO ME.

BUT I DO THINK WE NEED TO KNOW IF THE AMOUNT IS 2.308 MILLION OR 2.424 MILLION.

SO THE, UH, THE RCA ITSELF HAS 2.42 2,424,138.

AND THAT IS THE FIGURE THAT, UH, IS ON THE RCA.

AND I WOULD SAY THAT IS IT.

THANK YOU VERY MUCH.

IF WITH THAT, I WOULD MOVE TO APPROVE IT, NOTING THE CORRECT, UH, DOLLAR AMOUNT.

PERFECT.

IS THERE A SECOND? I WILL SECOND VERY QUICK QUESTION.

WHERE ARE WE ON OUR 40 MEGAWATT STORAGE GOAL, THERMAL STORAGE GOAL? WE'RE, WE'RE AROUND 32 MEGAWATTS.

CONGRATULATIONS.

AND, AND COURSES WE ADD CUSTOMERS OVER TIME THAT, THAT CONTINUE TO GROW.

GREAT.

OKAY.

ALL THOSE IN FAVOR? AYE.

AYE.

OKAY, GREAT.

MOTION PASSES UNANIMOUSLY.

UH, OKAY.

MOVING ON TO, AS I SAID, WE'RE GONNA TAKE UP ITEMS EIGHT AND NINE AT THE END OF THE MEETING, UH, IF WE DO SO AT ALL.

UM, SO MOVING ON TO ITEM NUMBER 10, DISCUSSION

[10. Discussion and possible action on the 2023 Electric Utility Commission Meeting Schedule.]

AND POSSIBLE ACTION ITEMS. THIS IS THE 2023 EUC MEETING SCHEDULE.

UM, HOPEFULLY FOLKS HAD A CHANCE TO JUST LOOK AT THAT.

UH, WE ARE VOTING TO APPROVE THAT SCHEDULE AND GET IT POSTED.

UM, CHAIRMAN HOPKINS, I NOTED AND HAVE TALKED TO MISS OTTO ABOUT THIS.

UM, THERE'S, THERE'S AN ERROR, JUST A TYPOGRAPHICAL ERROR.

SO THE MARCH MEETING IS, SHOULD BE MARCH 20TH, 2023.

IT NOW READS MARCH 21ST, 2022, AND THE 21ST IS A TUESDAY, SO IT'S ACTUALLY INTENDED TO BE MONDAY, MARCH 20TH, 2023.

AND THE, THE JUNE MEETING IS LISTED AS JUNE 12TH, 2022.

AND IT ALSO SHOULD BE 2023.

GREAT.

THANK YOU FOR I DISAGREE WITH THAT MOTION.

I'M SITTING , THANK YOU FOR LOOKING SO CLOSELY AT IT.

UM, SOMEBODY