[00:00:04]
[CALL MEETING TO ORDER]
TO ORDER THIS MEETING OF THE RESOURCE MANAGEMENT COMMISSION.ARE THERE ANY SPEAKERS SIGNED UP FOR PUBLIC COMMENT? THERE ARE NOT.
[1. Approve the minutes of the Resource Management Commission Meeting on October 21, 2025]
BUSINESS SHALL BE APPROVAL OF THE MINUTES FROM THE OCTOBER 21ST, 2025 MEETING.DO I HAVE A MOTION? I SO MOVE.
WE HAVE A, A, A MOTION BY VICE CHAIR ROBBINS AND A SECOND BY COMMISSIONER GARY.
UM, GARY HAS, UM, JUST WANTED TO BRING CLARITY TO AN ITEM ON THE, UH, AGENDA BEFORE APPROVING, UH, FOR THE MINUTES.
IS THAT OKAY FOR, UH, FOR THE MINUTES FROM LAST? YES, SURE.
AND SO BASICALLY I JUST WANTED TO BRING CLARITY, UH, UM, REGARDS TO THE, THE RESOLUTION THAT WAS APPROVED.
UM, THE STATEMENT WAS MADE THAT I SUGGESTED THAT WE SHOULD HAVE AN OPTION, UH, FOR COMMISSIONERS WHO WOULD LIKE TO PARTICIPATE.
AND I LOOKED AT THE VIDEO PRIOR TO, AND I DID NOT MAKE THAT SUGGESTION.
SO I JUST WANTED TO PUT THAT ON RECORD THAT MY ANSWER WAS NO THEN, AND IT'S STILL NO.
SO, BUT I WILL APPROVE AFTER THAT.
I, I'M TRYING TO BRING UP THE, UH, UH, THE FILE FOR THAT.
'CAUSE I DEFINITELY WANNA CORRECT, UH, THE RECORD AND MAKE SURE WE HAVE ACCURATE MINUTES ON THE RECORD.
UM, ARE, DO YOU HAVE THE MINUTES THAT WE COULD BRING UP OR NO? NO, BUT I, THEY'RE NOT THERE.
IF YOU CAN JUST PULL IT UP AND, UM, WE JUST WAIT WHERE IT'S, AND I THANK YOU.
IF WE COULD MAKE THAT BIGGER, THAT WOULD BE AWESOME.
AND WE'RE TALKING ABOUT ITEM NUMBER TWO? THAT'S CORRECT.
UH, DO YOU HAVE A SUGGESTED CHANGE TO THAT? IT SAYS, THE MOTION TO RECOMMEND CHANGING CITY CODE THAT RELATES TO ALLOWABLE METHODS FOR BOARD AND COMMISSION COMMUNICATIONS, UH, WAS APPROVED ON COMMISSIONER SILVERSTEIN'S MOTION, VICE CHAIR ROBINS SECOND ON A NINE ONE VOTE WITH COMMISSIONER GARY VOTING AGAINST, NO.
SO I DON'T WANNA MAKE ANY CHANGES TO THE, THE, THE ACTION IS VALID, BUT I'M STATING DURING THE CONVERSATION IT WAS PRESENTED, UM, AS WE WERE HAVING OUR DIALOGUE, THAT I MADE THE SUGGESTION TO, UM, ADD AN OPTION FOR COMMISSIONERS TO OPT IN OR OUT, AND THAT WAS NOT CORRECT.
I LOOKED AT A PREVIOUS MEETING WHEN IT WAS FIRST BROUGHT.
SO THAT'S ALL I WANTED TO SAY.
SO YOU'VE STATED THAT, AND THAT WILL BE, UH, REFLECTED IN THE VIDEO RECORDING, UH, RECORD OF THIS.
UM, ANY OTHER, UH, QUESTIONS, COMMENTS, OR CHANGES TO THE MINUTES FROM LAST MONTH'S MEETING? HEARING NONE, UH, ALL IN FAVOR OF ADOPTING THE MINUTES FROM OCTOBER 21ST, PLEASE RAISE YOUR HAND.
WE HAVE 1, 2, 3, 4, 5, 6, 7, 8, 9, 10.
[2. Staff Briefing on Austin Water’s quarterly report on Water Management Strategy Implementation for Q3, Kevin Kluge, Water Conservation Division Manager, Austin Water.]
ON.THE SECOND ITEM ON OUR AGENDA IS A STAFF BRIEFING, UH, ON AUSTIN WATERS QUARTERLY REPORT ON WATER MANAGEMENT STRATEGY FOR Q3.
UH, KEVIN KLUGE, PLEASE COME UP.
HI, GOOD EVENING COMMISSIONERS.
IT'S GREAT TO BE HERE TONIGHT.
AGAIN, MY NAME IS KEVIN KLUGE, WATER CONSERVATION DIVISION MANAGER AT AUSTIN WATER.
AND THIS AGENDA ITEM IS A BRIEFING ON THE THIRD QUARTER WATER MANAGEMENT STRATEGY IMPLEMENTATION REPORT.
ALRIGHT, SO YOU'VE HEARD, UM, YOU BRIEF YOU ON THE IMPLEMENTATION REPORTS FOR THE FIRST TWO QUARTERS OF THE YEAR.
IT INVOLVES THE MONTHS OF JULY, AUGUST AND SEPTEMBER THE THIRD QUARTER OF THE YEAR.
NOT MUCH HAS CHANGED IN TERMS OF, OF ITEMS WITHIN THE REPORT.
UH, WE DO HAVE A NEW BRANDING, SO THAT'S A LITTLE DIFFERENT.
BUT ONE OF THE THINGS THAT HAS CHANGED IS, UH, ATTEMPT THAT WE HAD TO LINK THIS IMPLEMENTATION REPORT WITH THE PLANS THAT WE ARE ACTUALLY IMPLEMENTING AT THE END OF, UH, WATER FORWARD TASK FORCE MEETING.
WE PRESENTED THE Q2 REPORT TO ONE OF THE TASK FORCE MEMBERS MENTIONED THAT SHE REALLY ENJOYS THIS REPORT, BUT SOMETIMES IT'S HARD TO, FOR HER TO MAKE THAT LINK BETWEEN THIS IMPLEMENTATION REPORT AND THE ACTUAL PLANS THAT WE'RE IMPLEMENTING FOR.
[00:05:01]
WE THINK ABOUT IT ALL THE TIME.BUT FOR SOMEONE WHO'S JUST PICKING UP THIS REPORT, IT COULD USE SOME ADDITIONAL INFORMATION ON WHAT WE'RE ACTUALLY IMPLEMENTING.
SO AS YOU'LL SEE THROUGHOUT THE REPORT AS I GO THROUGH IT, UM, THERE WILL BE REFERENCES TO THE CONSERVATION PLAN AND THE WATER FORWARD PLAN.
SO THE THIRD QUARTER, AS I MENTIONED, JULY, AUGUST, SEPTEMBER WAS, UH, ALWAYS THE HOTTEST PART OF THE YEAR.
AND THIS YEAR IT WAS A SURPRISING QUARTER.
BY JULY 1ST, WE WERE LOOKING AT, UH, LAKES BEING 50% FULL AND POSSIBLE GOING INTO STAGE THREE RESTRICTIONS IN THE FALL.
IT LOOKED PRETTY DIRE ON JULY 1ST, BY JULY 5TH, AS YOU RECALL, WE HAD THE DRAMATIC AND TRAGIC RAINS UP IN THE HILL COUNTRY, WHICH RAISED THE RESERVOIRS, LAKE BUCHANAN, LAKE TRAVIS TO ABOUT 90% FULL.
SO, UH, THERE'S A BIG CHANGE AT THE VERY BEGINNING OF THIS QUARTER.
MOVING INTO THE WATER CONSERVATION UPDATES, UH, THAT FIRST BULLET THERE, WE'RE EXCITED TO ANNOUNCE THAT WE'VE LAUNCHED A NEW SERIES OF CONSERVATION COMMUNITY GRANTS.
UM, THEY'RE ACCEPTING APPLICATIONS FROM NOW UNTIL THE END OF NO NOVEMBER.
THESE ARE SMALL GRANTS UP TO $3,000 FOR COMMUNITY ORGANIZATIONS TO HELP US SPREAD THE WORD ABOUT WATER CONSERVATION.
WE KNOW THAT THERE ARE COMMUNITY ORGANIZATIONS THAT LIKE TO TALK ABOUT SAVING WATER AND OTHER SUSTAINABILITY ACTIVITIES.
AND THESE SMALL GRANTS ARE A WAY JUST FOR US TO GIVE THEM A LITTLE BIT OF MONEY, $3,000 TO HELP AMPLIFY THEIR MESSAGE.
SO THE, AS I MENTIONED, THE APPLICATIONS ARE ACCEPTED UNTIL NOVEMBER 30TH, AND I BELIEVE WE'RE TRYING TO MAKE DECISIONS BY FEBRUARY-ISH SO THAT ORGANIZATIONS CAN USE THAT, UH, MONEY FOR EARTH DAY ACTIVITIES IF THEY WANT, OR THROUGHOUT THE, THE, UH, SUMMER, UH, I SEE A NUMBER OF OTHER POINTS THERE.
UM, THAT THIRD POINT DOWN, WE'VE CATEGORIZED ALL OF OUR COMMERCIAL CUSTOMERS INTO INDUSTRIAL CODES THAT'LL ALLOW US MORE INFORMATION ABOUT BENCHMARKING, SEEING WHO'S THE BIG USERS AND WHO'S THE ONES WHO ARE VERY CONSERVATIVE IN THEIR WATER USE, BUT HELP US GET A BETTER IDEA OF OUR COMMERCIAL CUSTOMERS.
AND LIKE ALWAYS, I'M NOT GONNA GO THROUGH EACH AND EVERY POINT IN THE SLIDE.
I'M GONNA TRY TO MOVE THROUGH AND HIT SOME OF THE HIGHLIGHTS, BUT I'M ALWAYS HAPPY TO TAKE QUESTIONS.
SO YOU CAN SHOUT 'EM OUT OR WE CAN GO BACK SLIDES HOWEVER YOU WANT.
UM, BECAUSE NOW I HAVE A CLICKER SO I CAN GO BACK EASILY.
UM, PLEASE WAIT TILL THE END HOLD QUESTIONS TILL THE END.
UH, WATER CONSERVATION REBATES.
YOU CAN SEE THERE'S A BIG DROP OFF IN Q3, AND THAT'S TYPICAL AFTER THE SPRING, UH, QUARTER, UH, WHERE THERE'S A LOT OF INTEREST IN CONSERVATION REBATES IN THE SUMMER, JULY, AUGUST, SEPTEMBER, THAT DROPS OFF THROUGHOUT THE, THE HEIGHT OF THE SUMMER.
UM, BUT THE NUMBERS ARE COMPARED TO THE THIRD QUARTER IN 2024, A BIT HIGHER.
SO WE HAVE BEEN MAKING SOME PROGRESS IN INCREASING THE NUMBER OF REBATES IN TERMS OF THOSE ARE, LAST SLIDE WAS RESIDENTIAL REBATES.
UM, IN THIS LAST QUARTER, THERE ARE FOUR COMMERCIAL REBATES, AND THESE ARE REBATES TO MULTIFAMILY, UM, UH, CUSTOMERS.
AND WHILE THERE'S ONLY FOUR OF 'EM, UM, THOSE FOUR ARE ACCOUNTING FOR ABOUT 14 MILLION GALLONS IN SAVINGS PER YEAR.
SO, AS ALWAYS, WITH THESE COMMERCIAL REBATES, WHILE THEY MAY BE FEWER IN NUMBER, THEY MAKE UP FOR IT IN LARGER SAVINGS VOLUMES.
AS I'VE MENTIONED BEFORE, WE HAVE THREE COMMERCIAL COMPLIANCE PROGRAMS FOR COOLING TOWERS, UH, VEHICLE WASHES AND LANDSCAPE IRRIGATION FOR OUR COMMERCIAL CUSTOMERS.
THESE PROGRAMS REQUIRE THEM TO HAVE PARTICULAR WATER CONSERVATION COMPONENTS IN THEIR FACILITIES AND RE REQUIRE THEM TO SUBMIT AN ANNUAL OR BIANNUAL INSPECTION REPORT SHOWING THAT THEY'RE MEETING THESE, THESE ACCOUNT FOR A LARGE AMOUNT OF SAVINGS.
AND, UH, WE CONTINUE TO WORK ON THE IMPLEMENTATION OF THIS, TRYING TO GET THOSE REPORTS IN.
AS YOU CAN SEE, THE NUMBERS ROSE FOR COOLING TOWER AND VEHICLE WASH AND DIPPED A BIT FOR LANDSCAPE IRRIGATION.
[00:10:02]
ALL ON THE Y AXES ARE ALL OF THESE NUMBER OF CUSTOMERS RATHER THAN NUMBER OF DOLLARS.IT'S ALL ARE, ARE ALL OF THESE NUMBER OF, DO THE Y AXI, ARE WE ALL TALKING NUMBERS OF CUSTOMERS OR NUMBERS OF REBATES OR NUMBERS OF DOLLARS PAID OUT? THESE ARE THE NUMBER OF CUSTOMERS WHO ARE COMPLIANT IN THE, UM, PROGRAM TO SEND IN THE REQUIRED.
AND IN THE PRIOR TWO SLIDES ALSO, ARE THESE LIKE DROUGHT SURVIVAL TOOLS? DOES 45 MEAN 45 REBATES OR $45,000? CORRECT.
AND THIS FINAL ONE IS THE NUMBER OF COMPLIANT FACILITIES WITH THE PERCENTAGE ON TOP OF THE, THE GREEN BAR IN TERMS OF OF MILESTONES, UH, YOU SEE AT THE TOP THERE UNDER THE TITLE.
UM, THIS IS ONE OF THE REFERENCES TO THE PLANS.
SO IF SOMEONE WAS INTERESTED IN WHERE THESE MILESTONES CAME FROM, HOW THEY'RE RELATED TO THE PLANS, WE ARE CITING THE PAGES IN THE PLANS WHERE THESE MILESTONES, UM, APPEAR IN TERMS OF WATER CONSERVATION STRATEGY MILESTONES, CHANGES FROM, UH, THE LAST QUARTER IS THE CHANGES INCLUDE ON THAT SECOND LINE DOWN THERE.
IDENTIFY OPPORTUNITIES FOR CII, WE'RE MOVING INTO THE IN PROGRESS BAR, SO IT'S ADVANCED TO BAR.
UH, WE'RE STARTING TO, WE HAVEN'T SAW CRACKED THE NUT YET IN TERMS OF REACHING OUT TO COMMERCIAL, UM, CONTACTS.
THE FACILITY CONTACTS BEYOND JUST THE BILLING CONTACTS, BUT WE ARE FINDING WAYS TO UTILIZE MORE FACILITY CONTACTS SO WE CAN REALLY REACH OUT TO THEM MORE EFFECTIVELY.
AND THEN FINAL, THAT FINAL MILESTONE AT THE BOTTOM THERE, AUSTIN WATER INSPECTION OF ALL NEW RESIDENTIAL IRRIGATION SYSTEMS AND OFFERING NEW HOME FOLLOW UP CHECKUPS THAT IS BEING CONSIDERED COMPLETE.
WE'VE BEEN DOING THE IRRIGATION INSPECTION SINCE OCTOBER OF LAST YEAR.
AND OVER THE SUMMER WE REALLY IMPLEMENTED THOSE NEW OFFERING, THOSE NEW HOMEOWNER CHECKUPS.
UM, SO ONCE A NEW HOMEOWNER GETS INTO THEIR HOUSE, THEY HAVE AN OPPORTUNITY TO CALL AUSTIN WATER AND WILL SEND SOMEONE OUT TO MAKE SURE THEY UNDERSTAND HOW TO USE THAT NEW IRRIGATION SYSTEM.
SO WATER LOSS REDUCTION UPDATES, THESE ARE SOME OF THE, THE TEXTUAL UPDATES.
UH, WE ARE INCREASING THE NUMBER OF PEOPLE WHO ARE CERTIFIED TO DO WATER LOSS AUDITS.
UM, PREVIOUSLY WE HAD ONE PERSON CERTIFIED AND NOW WE HAVE FOUR.
SO WE CAN SPREAD THAT LOAD THERE AS WE GO FORWARD.
UH, WE ARE ALSO IN THE, ON THE FINAL BULLET THERE, YOU SEE, WE'RE IN THE PROCESS OF HIRING A WATER LOSS ENGINEER THAT WILL REALLY FOCUS ON THE LOSS AND TRACKING.
SO WE'RE ADDING MORE PEOPLE WHO CAN DO THE WORK.
AND WE'RE ALSO, YOU KNOW, FINDING ONE PERSON TO BE IN CHARGE OF IT ALL.
UM, AND YOU SEE A NUMBER OF OTHER UPDATES UP THERE.
UM, EXPEDITING DELIVERY OF WATER SERVICE LINE REPLACEMENTS.
ONE OF THE THINGS THAT WAS DETERMINED IN OUR REVIEW OF WATER LOSS AUDIT OR WATER LOSS WAS THAT OUR SERVICE LINES, NOT THE LARGE MAIN LINES, BUT THE SERVICE LINES THAT GO FROM THE MAINS TO THE HOUSE WERE A SIGNIFICANT COMPONENT OF WATER LOSS.
SO REALLY LEANING INTO REPLACING THOSE, UH, SERVICE LINES.
AND THAT'S WHAT THE $45 MILLION LOAN FROM THE WATER DEVELOPMENT BOARD WILL ADDRESS.
WATER MAIN LEAK DETECTED AND REPAIRED, UH, INCREASED IN THE THIRD QUARTER UP FROM THE SECOND QUARTER.
ACTUALLY IT'S A BIT HIGHER IN THE THIRD QUARTER, 2025 THAN IT WAS IN THIRD QUARTER OF 2024.
WATER LOSS REDUCTION METRICS, UM, THIS IS A SLIDE THAT I'M AFRAID YOU REALLY HAVE TO KIND OF LOOK AT, UH, AND READ.
UM, WE'VE ADDED SOME TEXT TRYING TO PROVIDE SOME ADDITIONAL EXPLANATION ON WHY.
ON THAT LEFT HAND SIDE, YOU DON'T SEE ANY BARS FOR THE LARGE VOLUME, UH, OR I'M SORRY, THE LARGE DIAMETER LEAK DETECTION.
UM, THAT IS UNDERGOING A CONTRACT, UH, DEVELOPMENT, UH, TO GET THAT WORK DONE IS DONE BY THIRD PARTY CONTRACTORS.
[00:15:01]
LARGE MAIN DETECTION TO BE DONE IN DECEMBER.IN ON THE RIGHT HAND SIDE THERE, YOU SEE THE LINEAR FEET OF LEAK, LEAK DETECTION PERFORMED ON SMALL DIAMETER WATER DISTRIBUTION LINES.
AND YOU SEE THAT'S LOWER IN Q3 THAN IT WAS IN Q1 AND Q2.
BUT WE ARE STILL ABOVE OUR GOAL OF HAVING 4 MILLION LINEAR FEET, UH, DETECTED UNDERGOING LEAK DETECTION, UM, IN A FISCAL YEAR.
WATER LOSS REDUCTION STRATEGY MILESTONES.
UM, WE'RE STILL WORKING ON THIS.
A LOT OF THESE ARE STANDARD OPERATING PROCEDURES TO BE DEVELOPED BY AUSTIN WATER.
NO BARS HAVE CHANGED SINCE THE LAST QUARTER ON THIS ONE, BUT I DID LEARN LAST WEEK THAT AT LEAST ONE OF THOSE SOPS IN THE MIDDLE IS COMPLETE AND THE OTHER ONES ARE GOING THROUGH THEIR FINAL REVIEW, RECLAIMED WATER AND ONSITE WATER REUSE.
UM, COUNCIL REAUTHORIZED THE GO PURPLE INCENTIVE PROGRAMS. UM, AND WE WILL SEE THOSE JUST A LITTLE BIT.
WE'RE PROMOTING INCREASED GO PURPLE INCENTIVES FOR THE EXEMPT AFFORDABLE HOUSING PROJECTS.
SO THESE ARE DEEPLY AFFORDABLE HOUSING PROJECTS THAT DON'T NECESSARILY HAVE TO DO DUAL PLUMBING OR ONSITE WATER REUSE, BUT THEY'RE INCENTIVES FOR THESE AFFORDABLE PROJECTS TO DO THAT.
AND THEN FINALLY, A COUPLE CON CONSTRUCTION CONTRACTS WERE APPROVED BY THE COUNCIL, UM, IN JULY, WHICH WILL ALLOW THEM TO MOVE FORWARD.
AND WE'LL NOTE THOSE IN COUPLE SLIDES.
RECLAIMED WATER METRICS, WE ADDED ONE RECLAIMED CUSTOMER IN THE LAST QUARTER, AND THERE WAS A SIGNIFICANT JUMP IN WATER USE, AS YOU MIGHT EXPECT, RECLAIMED WATER USE OVER THE SUMMER AS MORE RECLAIMED CUSTOMERS WERE IRRIGATING CURRENT RECLAIMED CIP PROJECTS, AS I NOTED LAST TIME I WAS HERE TO PRESENT THE Q2 REPORT.
THESE ARE ALL OF THE PROJECTS THAT WE HAVE GOING ON FOR RECLAIMED, AND THERE ARE VARIOUS LEVELS OF PROGRESS.
UM, THERE WAS ONE THAT WAS ADDED TO THIS LIST.
THERE WAS THE CREEK FIELDS, UH, RECLAMATION WATERLINE RESTORATION THAT'S RIGHT IN THE MIDDLE THERE, FIFTH DOWN THAT WAS ADDED, UH, TO THIS LIST.
THE OTHER THING WE'VE ADDED TO THIS LIST FROM BEYOND THE Q2 REPORT, AFTER EACH OF THE NAMES, WE'VE ADDED THE LINEAR FEET.
SO YOU CAN GIVE, YOU, GIVE YOU AN IDEA OF HOW BIG OF A PROJECT THAT IS AND WHEN THAT PROJECT IS EXPECTED TO BE COMPLETED.
SO FOR THAT FIRST ONE AT TOP, IT'S EXPECTED TO BE COMPLETED IN Q1 OF 2026.
ONSITE WATER REUSE AND GO PURPLE METRICS.
I MENTIONED THE GO PURPLE INCENTIVES A FEW SLIDES AGO.
UM, I'M HAPPY TO SAY THAT THAT THAT FINAL BULLET THERE ON THE LEFT, WE HAVE HAD ONE, UH, COMPLETED APPLICATION FOR INCENTIVES FOR THE, UM, FEE IN LIEU ONSITE WATER REUSE SYSTEMS. SO THAT'S GOOD THAT HAVE BEEN ZERO LAST QUARTER.
SO WE'RE MAKING A BIT OF PROGRESS.
UH, THE INCENTIVES CONTINUE TO BE SOMETHING THAT JUST TAKES TIME TO NEGOTIATE WITH THE DEVELOPERS.
AND THEN WE, ON THE RIGHT HAND SIDE, YOU'LL SEE THAT WE, AGAIN, APPROVED THREE ONSITE WATER REUSE PERMITS.
SO THESE ARE BEING ADOPTED AS WE GO ALONG, EVEN IF THE AMOUNT OF INCENTIVES AREN'T BEING, AREN'T SHOWING THAT SAME PROGRESS MILESTONES FOR THE RECLAIMED AND ONSITE WATER REUSE PROGRAMS. THE CHANGE FROM LAST QUARTER, YOU SEE ON THE VERY BOTTOM THERE, THAT MILESTONE TO COMPLETE WASTEWATER CONNECTION SYSTEM LONG RANGE PLAN HAS BEEN COMPLETED.
SO THAT'S A CHANGE SINCE THE LAST QUARTER.
UH, ALL OTHER MILESTONES REMAIN THE SAME THIS QUARTER.
ANOTHER SLIDE OF MILESTONES, THESE ARE FOR ONSITE WATER REUSE, THE MILESTONE IN THE MIDDLE, THE INDIGO PURPLE RESOLUTION FOR INCENTIVES FOR DEEPLY AFFORDABLE HOUSING, WHICH I'D MENTIONED BEFORE AS BEING CHECKED OFF AS COMPLETE.
[00:20:01]
CONSERVATION OUTREACH, UH, THE THIRD QUARTER OF THE YEAR IS A BIG YEAR FOR CONSERVATION OUTREACH COURSES.THE SUMMER, THAT'S WHEN TYPICALLY A LOT OF OUTREACH HAS BEEN DONE, UM, AT THE VARIOUS MEDIA, SOCIAL MEDIA, AS WELL AS CONVENTIONAL MEDIA.
THIS YEAR, THIS SUMMER, THEY, OUR PIO GROUP REALLY FACED A QUITE A CHALLENGE.
UM, AS THEY WERE GOING INTO THE THIRD QUARTER, AS I MENTIONED BEFORE, JULY 1ST RESERVOIRS AT 50%, WE WERE LOOKING AT CONTINUED DROUGHT.
AND SO THEY HAD THEIR MESSAGES ALL GEARED UP TOWARDS DROUGHT AND, AND LOW WATER SUPPLY, YOU KNOW, BUT AFTER THAT FIRST WEEK IN JULY, THEY REALLY HAD TO PIVOT AND, YOU KNOW, WE WEREN'T REALLY IN DROUGHT WITH 90% OF OUR WATER SUPPLY IN THE RESERVOIR.
SO THEY HAD TO, UH, AMEND THEIR, UH, OUTREACH EFFORTS WITH A BIT OF A DIFFERENT MESSAGE.
AND IN TERMS OF THE NUMBERS, UH, IN THAT THIRD QUARTER, THE, UM, OUR PUBLIC INFORMATION GROUP HAD OVER JUST ABOUT 28 MILLION IMAGES, UH, FOR CONSERVATION MESSAGING.
UH, THIS WAS A SIGNIFICANT, SIGNIFICANT INCREASE OVER PREVIOUS QUARTERS.
IN THE FIRST QUARTER IT WAS JUST 15 MILLION.
OF COURSE, IT WAS WINTER TIME, SO YOU HAVE TO RECOGNIZE THAT.
AND THEN IN THE SPRING Q2, IT WENT UP TO 23 MILLION.
AND IN THE SUMMER, THAT'S WHEN OUR PUBLIC INFORMATION OFFICE REALLY HITS THE GROUND RUNNING WITH 28 MILLION IMPRESSIONS.
AND THAT WILL DROP BACK A BIT IN Q4.
AS WE GO INTO SHIFTING MORE TOWARDS MESSAGING FOR WATER OR WASTEWATER AVERAGING AND OTHER WINTER PREPAREDNESS ACTIVITIES, OUR I TX WATER CONTINUES TO BE VERY SUCCESSFUL AND POPULAR, UM, PORTAL SENDING OUT LEAK ALERTS TO CUSTOMERS.
ON THE LEFT THERE YOU SEE THE NUMBER OF, UM, THOUSANDS OF ALERTS GOING OUT TO CUSTOMERS FOR LEAK ALERTS, UH, INCREASED OVER Q2.
AND THEN ON THE RIGHT HAND SIDE YOU SEE A MODEST INCREASE IN THE ESTIMATED VOLUME OF SAVINGS FOR THOSE LEAK ALERTS.
CONSERVATION OUTREACH CAN MILESTONES, CAN I ASK A QUESTION OR SHOULD I WAIT TILL THE END IF IT'S QUICK? I, UH, MY QUESTION AS QUICK AS I CAN MAKE IT IS ON THE LAST SLIDE ON, DO YOU EVER GET FEEDBACK DIRECTLY FROM THESE AFFECTED CUSTOMERS AS TO WHAT, UH, CAUSES THE LEAKS AND WHAT ACTIONS THEY HAVE TAKEN? WE DO GET SOME FEEDBACK.
IT'S, IT'S GENERALLY ALL IF, YOU KNOW, THEY WANNA RESPOND TO US, UM, GENERALLY IT'S, IT'S, THANKS, UH, HOW COME YOU DIDN'T TELL ME SOONER? OR, I REALLY APPRECIATE THE, UM, THE NOTIFICATION.
BUT SOMETIMES THEY DO ADD INFORMATION SUCH AS IT WAS MY TOILET OR I LEFT THE HOSE RUNNING.
WE DON'T DOCUMENT WHAT THEY SAY, UM, BUT WE DO GET SOME RESPONSE FROM THAT.
CONSERVATION OUTREACH MESSAGE MILESTONES, UH, FROM THE CONSERVATION AND WATER FORWARD PLAN, THE CHANGE FROM LAST QUARTER IS IN THAT SECOND TO LAST, UM, MILESTONE.
CONDUCT PILOT OUTREACH ACTIVITIES TO LEARN THE BEST WAYS TO ENCOURAGE CUSTOMERS TO SAVE WATER.
UH, WE'VE COMPLETED PILOTS OVER THE SUMMER, PARTICULARLY FOR NOTIFICATIONS, AND WE ARE IN THE PROCESS OF, OF ANALYZING THOSE DIFFERENT NOTIFICATIONS.
SO WE MARK THAT OFF 'CAUSE WE'VE DONE THE PILOTS.
THAT DOES NOT MEAN THAT THE WORK IS, IS DONE BY A LONG SHOT.
THERE ARE SOME GREAT PILOTS THAT WENT OUT OVER THE SUMMER ON NOTIFYING CUSTOMERS THROUGH THE A TX PORTAL, MITX WATER PORTAL.
THERE'S ONE NOTIFICATION, UH, WHAT WE CALL THE RAINY DAY NOTIFICATION WHERE, EXCUSE ME, AFTER WE HAD A, UH, LARGE RAIN EVENT, THE NEXT DAY WE SENT OUT AN EMAIL TO ALL OF THE IRRIGATORS, UM, AWESOME WATER IRRIGATORS, RESIDENTIAL IRRIGATORS SAYING, HEY, IT JUST RAINED.
CONSIDER TURNING OFF YOUR, UH, IRRIGATION SYSTEM.
AND WE'RE IN THE PROCESS OF SEEING WHAT THE IMPACTS WERE.
AND THERE, THERE WERE IMPACTS TO THAT.
UM, YOU KNOW, SOME, OF COURSE SOME PEOPLE DIDN'T OPEN THE EMAIL, BUT, YOU KNOW, A GOOD NUMBER OF THEM DID OPEN THE EMAIL AND
[00:25:01]
DID TURN OFF THE IRRIGATION SYSTEM FOR A WEEK.AND SO THAT WAS A, WHAT I CONSIDER SUCCESS.
THE SECOND ONE DEALT WITH NOTIFYING CUSTOMERS WHO ARE WATERING THREE DAYS OR MORE IN A WEEK, UM, SUGGESTING THAT THEY TAKE A LOOK AT THEIR IRRIGATION CONTROLLER, BECAUSE AS YOU RECALL, WE HAVE ONE DAY A WEEK, UH, IRRIGATION.
UH, SO I THINK THAT THAT ALSO WAS EFFECTIVE.
AND HOME WATER USE REPORTS WERE SENT OUT TO ALL CUSTOMERS WITH EMAILS, UH, WHICH IS A BRIEF REPORT THAT JUST SHOWED HOW THEY CAN COMPARED TO OTHER AUSTIN WATER CUSTOMERS IN THEIR TOTAL WATER USE.
BUT, UH, I HOPE TO TALK MORE TO YOU ABOUT THESE NOTIFICATIONS.
I THINK THEY'RE VERY EFFECTIVE AND EVEN IN THE PILOT PHASE.
AND SO NEXT YEAR AS WE REALLY GO INTO 2026, I LOOK FORWARD TO COMING BACK AND SAYING HOW WE REFINE THIS, THIS MESSAGING.
UM, ONE ARROW WATER SUPPLY UPDATES.
THE BIG STORY IN TERMS OF WATER SUPPLY UPDATES IS A, IN TERMS OF AQUIFER STORAGE AND RECOVERY, UH, THERE IS A COLLABORATION AGREEMENT THAT IS GOING TO THE COUNCIL, I BELIEVE THURSDAY.
THURSDAY WE WENT TO WATER AND WASTEWATER COMMISSION LAST WEEK AND WAS APPROVED UNANIMOUSLY.
BUT THIS IS A COLLABORATION AGREEMENT BETWEEN AUSTIN WATER AND A NUMBER OF THE WATER UTILITIES IN BASTROP COUNTY JUST TO COME TO AN AGREEMENT ON WHAT WE'RE GONNA BE DOING GOING FORWARD.
IT REALLY KINDA LAYS THE GROUNDWORK FOR WHAT WE'RE GONNA DO FOR IN LAB PILOT TESTING.
THEY'RE GONNA BE LOOKING AT THE WATER FROM THE AQUIFER IN BASTROP COUNTY AND SEEING HOW THAT MIXES WITH AUSTIN WATER AUSTIN'S PRODUCED WATER, UH, JUST TO MAKE SURE THAT WE GET THE SCIENCE RIGHT AND THAT THAT'LL BE A MULTI-YEAR PROJECT.
BUT WE ARE MOVING FORWARD IN WORKING WITH, UH, OTHER WATER UTILITIES IN BASTROP COUNTY.
IN TERMS OF SLIDES, UH, MILESTONES, EXCUSE ME, NONE OF THE BARS HAVE MOVED.
A LOT OF WORK STILL BEING DONE.
AND THAT BRINGS US TO THE GALLONS PER CAPITA DAILY THAT WE REPORT.
EVERYONE'S ALWAYS INTERESTED IN DO WE USE MORE WATER OR LESS WATER THAN PREVIOUS YEARS? AND I'LL TAKE YOU TO THE, THE GPCD SLIDE.
AS YOU MAY RECALL, THE VERTICAL BARS ILLUSTRATE THE GALLONS PER CAPITA DAILY, UH, FOR EACH OF THE QUARTERS IN THE PAST NUMBER OF YEARS.
AND EACH OF THOSE BARS IS SEGREGATED BY THE WATER USE BY DIFFERENT CUSTOMER CATEGORIES, YOU KNOW, WITH THE, UH, SINGLE FAMILY BEING ON THE BOTTOM AND BLUE, AND THEN MULTIFAMILY.
AND THEN ORANGE AND GREEN IS OUR COMMERCIAL CUSTOMERS.
AND THEN BLUE INDUSTRIAL, UM, PURPLE, I GUESS WHOLESALE CITY OF AUSTIN'S VERY HARD TO SEE.
AND THEN ABOVE THAT IS OUR UNACCOUNTED FOR WATER.
SO IN THE LAST QUARTER, JULY, AUGUST, SEPTEMBER, OUR PER PERSON WATER USE WAS A 141, UH, OVER THE SUMMER, WHICH IS ALWAYS Q3 IS ALWAYS THE HIGHEST PER PERSON WATER USE OF ANY YEAR.
BUT IT, THE Q3 OF THIS YEAR WAS LESS THAN THE SUMMER OF LAST YEAR, WHICH IS 1 47.
THE YEAR BEFORE THAT IT WAS ONE 60 AND THE YEAR BEFORE THAT IS 1 63.
SO THE MESSAGE REALLY IS THAT OF THE LAST FOUR, THIS IS THE LOWEST PER PERSON WATER USE SUMMER IN THE LAST FOUR YEARS.
SO PART OF THAT, OF COURSE, IS THE BIG RAINS THAT WE HAD JULY.
UM, THERE'S PROBABLY NO DENYING THAT THAT HAD SOME IMPACT.
UM, BUT THERE IS ALSO A LOT OF, UM, CUSTOMER OUTREACH FOR CONSERVATION THIS SUMMER.
SO WE'LL SEE WHAT COMES ABOUT IN THE FOURTH QUARTER OF THIS YEAR, WHICH WILL DETERMINE THE ANNUAL AVERAGE WATER USE.
THERE'S AN, UH, SIMPLY ANOTHER WAY OF ILLUSTRATING THAT SAME DATA.
UM, AS WE GO FORWARD, YOU'LL SEE THAT STAGE TWO AREA SHADING WILL, WILL DROP OFF AS WE LEFT STAGE THREE JUST AFTER, UH, LABOR DAY WEEKEND IN SEPTEMBER.
AND THEN MOVING FORWARD INTO THE FOURTH QUARTER, OF COURSE WATER USE WILL GO DOWN.
WE'LL START SHIFTING OUR MESSAGING FROM IRRIGATION AND, AND DROUGHT TO, UH, WASTEWATER AVERAGING AND BEING PREPARED FOR THE WINTER
[00:30:01]
MONTHS.SOME OF THE THINGS GOING FORWARD IS THAT WE WILL BE LAUNCHING A NEW LAUNDRY LANDSCAPE, UM, REUSE ASSISTANCE, UH, PROVIDING MORE INFORMATION FOR HOMEOWNERS ON HOW THEY CAN UTILIZE LAUNDRY LANDSCAPE.
AND WE WILL, AS I MENTIONED, PRESENT THAT A SR COLLABORATION AGREEMENT TO THE COUNCIL.
NICK'S NO THURSDAY AND THEN THE FINAL SLIDE IS THE FINE PRINT ON, ON SOME OF THE DATA.
AND WITH THAT, I'LL BE HAPPY TO ANSWER ANY QUESTIONS.
THANK YOU SO MUCH FOR THAT PRESENTATION.
UM, I'LL OPEN THE FLOOR TO COMMISSIONERS FOR QUESTIONS.
I SEE COMMISSIONER SILVERSTEIN, GO AHEAD.
THANK YOU FOR THIS PRESENTATION AND FOR THE QUARTERLY INFORMATION.
IT'S VERY HELPFUL AND INTERESTING.
GOT A DUMB QUESTION FOR YOU FOR, UM, UNDERGROUND WATER MAINS AND, AND SMALLER LINES.
HOW DO YOU FIND A LEAK? A A NUMBER OF DIFFERENT WAYS.
UM, WELL CERTAINLY IF IT IS ERUPTING OUTTA THE GROUND, THAT'S, YOU KNOW, THE MOST STRAIGHTFORWARD WAY.
UM, BUT WE ALSO HAVE A CREW AS WELL AS HIRED THIRD PARTY CONTRACTORS TO DO ACOUSTIC, UM, LEAK DETECTION WHERE THEY'LL GO DOWN LINES AND DO THAT.
UH, WE ARE, UH, WE ARE ALSO LOOKING INTO MORE, UM, PROACTIVE, UM, TECHNOLOGIES TO SEE HOW WE CAN DETECT THOSE LEAKS ACOUSTICALLY, UM, THAT'LL BE COMING UP IN THE NEXT YEAR OR SO.
HOPEFULLY WE CAN TALK ABOUT THAT.
AND IN TERMS OF THE LARGE MAINS, UM, THEY WILL HAVE A INLINE DETECTOR, I GUESS, WHERE, UH, LITTLE ROBOT, FOR THE LACK OF A BETTER WAY TO DESCRIBE IT, YOU KNOW, WE'LL GO THROUGH THESE LARGE LINES AND MAKE SCANS TO DETECT ANY FAILINGS OF THOSE LARGE MAINS.
AND DO YOU HAVE METERING DEVICES AT DIFFERENT POINTS ON THE MAINS AND THE SECONDARY LINES SO THAT YOU CAN CALCULATE THE GNTA AND THE GDAS AND SEE IF THERE'S A GAP SOMEWHERE? THAT IS A A GREAT QUESTION.
UM, ONE OF THE THINGS THAT WE'RE LOOKING TO DO WITH, UH, WHAT'S CALLED OUR A MI 2.0, UM, A MI 1.0 IS THAT MY TX WATER, A MI STANDS FOR ADVANCED METERING INFRASTRUCTURE.
BUT NOW THAT WE HAVE METERS, ALL THE CUSTOMER METERS, OUR NEXT STEP FOR THIS A MI IS TO DEVELOP WHAT'S CALLED DISTRICT METERING.
UM, AND I, I THINK AS, AS YOU'RE ALLUDING TO YOU, YOU KNOW HOW MUCH THE CUSTOMERS ARE USING AND IF YOU CAN KIND OF CORRAL OFF DIFFERENT AREAS AND PUT METERS SO THAT YOU KNOW HOW MUCH WATER'S GOING INTO THAT AREA AND YOU CAN SUBTRACT ALL THE WATER THAT'S GONE TO THE CUSTOMERS, WHAT'S LEFT IS WHAT MIGHT BE LOST.
I MEAN, THERE WILL ALWAYS BE A LITTLE BIT OF DIFFERENCE, BUT ABOVE THAT DIFFERENCE THRESHOLD, THEN YOU CAN REALLY HONE IN ON, UM, THAT.
AND WE ARE WORKING TO PILOT THOSE, A COUPLE OF THOSE PROJECTS IN 2026, I BELIEVE.
COMMISSIONER COOK, THANK YOU FOR THIS GREAT PRESENTATION.
I HAVE TWO LIKE PRETTY BASIC QUESTIONS.
UM, SO THE, AND THE GALLONS PER CAPITA DAILY SLIDE, YOU GENERALLY, THERE'S GENERALLY, YOU KNOW, 22 TO 21 GALLONS PER CAPITA DAILY THAT IS NON-REVENUE.
CAN YOU JUST EXPLAIN LIKE WHAT Y'ALL'S THESIS IS FOR THAT, OR WHAT, WHAT'S GOING ON THERE? IS IT, YOU KNOW, TO HOUSES THAT THE ROT NON, EXCUSE ME, NON-REVENUE WATER IS CALCULATED ESSENTIALLY BY LOOKING AT HOW MUCH WE PUMPED OUT OF THE TREATMENT PLANTS AND THEN SUBTRACTING ALL OF THE BUILD METERED VOLUMES.
AND WHAT YOU GET IS THE, UM, UNACCOUNTED FOR WATER.
PROBABLY A GOOD AMOUNT OF THAT IS WATER LOSS.
SOME OF IT JUST THAT IT MAY NOT HAVE BEEN BILLED CORRECTLY OR OTHER REASONS.
UM, BUT THAT'S HOW WE, WE CALCULATE THAT NON-REVENUE WATER, UH, BY SUBTRACTING WHAT'S PUMPED OUT FROM WHAT'S SUBTRACTING WHAT'S SOLD FROM WHAT'S PUMPED OUT.
AND I'M NOT SURE, DID I ANSWER YOUR QUESTION? YEAH, I MEAN, AND IT, I ASSUME IT'S PRETTY DIFFICULT TO FIND ACROSS THE ENTIRE LIKE WATER DISTRIBUTION SYSTEM WHERE, YOU KNOW, HOW THIS ADDS UP TO 20, YOU KNOW, 21 GALLONS PER CAPITA, YOU KNOW, WHETHER IT'S LOSS IN RESIDENTIAL DISTRIBUTION OR COMMERCIAL OR, THAT'S KIND OF LIKE WHAT I'M TRYING TO JUST, IF YOU HAVE AN IDEA OF WHERE THE MAJORITY OF THAT IS COMING FROM OR IF IT'S JUST KIND OF GENERALIZED EVERYWHERE.
[00:35:01]
WITH THAT DISTRICT METERING, WE'RE HOPING THAT THOSE DISTRICT METERING PROJECTS WILL HELP POINT US IN THE DIRECTION OF WHERE THAT LOSS IS TAKING PLACE.'CAUSE ESSENTIALLY IT'S A SYSTEM LOSS.
UM, AND UNTIL YOU GET A BETTER IDEA OF DISTRICT LOSSES, UM, YOU, IT'S, IT'S HARDER TO DETERMINE WHERE THAT LOSS IS TAKING PLACE.
BUT WE ARE LEANING IN, AS I MENTIONED TO THOSE SERVICE LINES 'CAUSE THAT HAS BEEN IDENTIFIED AS A SIGNIFICANT POINT OF LOSS.
MY OTHER QUICK QUESTION IS ABOUT, IS ON SLIDE 23, JUST CAN YOU EXPLAIN A LITTLE BIT MORE ABOUT THE, THE BRACKISH GROUNDWATER DESALINATION, LIKE WHAT THAT IS LIKE, I KNOW DESAL PLANTS HAVE REALLY BEEN IN THE NEWS, BUT THIS DOESN'T SOUND LIKE THE SAME KIND OF DESAL PLANT, SO I'D LOVE TO JUST HEAR SOME MORE ABOUT THAT.
I THINK YOU WERE JUST RIGHT OVER IT.
UH, AM I GOING THE RIGHT DIRECTION? WATER SUPPLY, YEAH.
AND YOUR QUESTION WAS THE YEAH, JUST THE BRACKET.
CAN YOU EXPLAIN MORE ABOUT THE BRACKISH GROUNDWATER DESALINATION AND THAT'S A STRATEGY IN OUR WATER FORWARD PLAN GOING FORWARD.
I DON'T RECALL KEVIN, TO YOU WHEN IT WAS IMPLEMENT IMPLEMENTATION TIME, BUT THAT'S THE UTILIZATION OF BRACKISH OR SALTY GROUNDWATER.
UM, AND THEN WE PUMP THAT UP AND TREAT IT.
BUT I DON'T RECALL THE TIMEFRAME KEVIN T. AUSTIN THE WATER.
UM, I AM, I I DON'T HAVE THAT SPECIFIC NUMBER.
I THINK IT'S PROBABLY, YOU KNOW, IT, IT WILL BE SEVERAL, UM, SEVERAL DECADES OUT.
SO THE NEXT 20 ISH YEARS, WE CAN CERTAINLY GET YOU THAT MORE, A MORE SPECIFIC REFERENCE IN WATER FORWARD.
UM, BUT GENERALLY SPEAKING, AS KEVIN INDICATED, UM, UH, TECHNOLOGICALLY IT WOULD BE VERY SIMILAR TO LIKE BAY WATER, GULF WATER DESALINIZATION, I MEAN, GENERALLY THE SAME SORTS OF TREATMENT TECHNOLOGIES.
UM, AS KEVIN ALLUDED, BRACKISH WATER IS JUST GENERALLY LESS SALTY THAN SEAWATER.
SO IT'S, IT'S LESS OF A, UH, OF, OF A TREATMENT REQUIREMENT TO GET IT.
AND THE IDEA WOULD BE THAT WE COULD FIND THERE ARE LOCAL BRACKISH GROUNDWATER SUPPLIES THAT ARE AVAILABLE THAT AREN'T REALLY GENERALLY USED FOR MUCH OTHER THINGS.
AND SO IT'S A GOOD RESOURCE GIVEN THE RELATIVELY, YOU KNOW, POTENTIALLY GOOD WATER QUALITY AND MORE MINIMAL, UM, UH, TREATMENT THAN COMPARED TO, LIKE I SAID, SEAWATER.
SO IT'S, IT'S STILL PRETTY FAR AWAY FROM OKAY.
YEAH, IT, UM, I MEAN THERE'S CERTAINLY WORK TO BE DONE TO GET THERE, BUT IT'S, IT'S NOT A, A NEAR TERM STRATEGY.
UH, IF VICE CHAIR ROBBINS, AND THEN JUST A COMMENT, UH, UH, COMMISSIONER COOK, UH, MOST ALTERNATIVE WATER SOURCES ARE REAL, REAL EXPENSIVE COMPARED TO THE LAKES.
UH, AND THEREFORE THEY'RE ONLY GONNA BE IMPLEMENTED, UH, WHEN THERE'S A NECESSITY.
I, I'M SORRY, I, I DON'T MEAN TO TALK DOWN TO YOU.
I'M NOT SURE HOW CONVERSANT YOU ARE IN, IN THIS SOIL.
NO, YEAH, I FIGURED IT WAS, YOU KNOW, NOT THE NUMBER ONE PLACE THAT WE'RE LOOKING FOR WATER RIGHT NOW, BUT I JUST WANTED TO HEAR MORE ABOUT IT.
'CAUSE I KNOW THE DESAL PLANTS, LIKE ON THE GULF ARE REAL, UH, CONTROVERSIAL AND I DIDN'T, YOU KNOW, I WANTED TO HEAR WHERE, WHERE THIS IS AT.
ONE OF, ONE OF THE REASONS IS THEY'RE SO EXPENSIVE.
THEY'LL, THEY'LL BE COMPETING WITH DATA CENTERS.
UH, COMMISSIONER ZIN, AND THEN I SEE KENARD, NO, NOW.
SO ON THAT ACTUALLY, THE DATA CENTERS, UH, FIRST OFF, THANK YOU FOR THE PRESENTATION, JUST LIKE EVERYBODY ELSE.
UM, BUT IT SEEMS LIKE EVERY DAY I'M HEARING OF ANOTHER DATA CENTER THAT'S BEING CITED IN TEXAS OR EVEN CLOSER TO AUSTIN.
I WENT TO A CONFERENCE LAST WEEK AND I'VE HEARD OF TWO MORE, TWO GIGAWATT DATA CENTERS GOING IN.
AND IT'S, THEY STRIKES ME AS AN AREA THAT'S LIKE REALLY APT FOR THIS COMMISSION SINCE IT'S, THEY'RE SUCH BIG WATER CONSUMERS AND ENERGY CONSUMERS.
AND MY QUESTION, I HAVE KIND OF TWO PARTS TO THIS.
FIRST IS JUST HOW ARE YOU GUYS PLANNING FOR THOSE DATA CENTERS IN ALL OF THIS? LIKE, HOW DO I BETTER UNDERSTAND THAT AND KIND OF MORE FOR THE COMMISSION I WAS, UH, OR THE OTHER COMMISSIONERS, I WAS WONDERING IF MAYBE WE COULD OPEN UP A JOINT CONVERSATION WITH AUSTIN WATER AND ENERGY TO HAVE A CONVERSATION ABOUT THIS IN A LARGER FORMAT GOING FORWARD
[00:40:01]
IN TERMS OF, OF PLANNING FOR DATA CENTERS.UH, THE CONSERVATION PLAN AND THE WATER FORWARD PLAN DON'T SPECIFICALLY ADDRESS DATA CENTERS.
I THINK IT KIND OF RIPENED REALLY KIND OF AS THEY WERE CLOSING OUT THE PLANS WERE.
BUT, UH, WE DO ADDRESS IN BOTH OF THOSE PLANS THE LARGER, UM, MANUFACTURING AND, AND COMMERCIAL INDUSTRIAL WATER USE GOING FORWARD.
WE HAVE BEEN LOOKING AT THE DATA CENTERS IN, UH, SERVED BY AUSTIN.
UH, THERE'S NOT A WHOLE LOT OF 'EM, UM, DEPENDING ON HOW YOU COUNT 'EM, 30 TO 50 OF THEM OR SO.
THERE'S A FEW OF THEM THAT USE QUITE A BIT OF WATER, BUT THERE'S ALSO QUITE A FEW OF THEM THAT DON'T USE A LOT OF WATER, WHETHER IT'S BECAUSE THEY'RE RAMPING UP OR JUST BY THE NATURE OF THEIR, HOW THEY FUNCTION AND HOW MUCH THEY HAVE TO COOL.
SO THERE'S A LOT TO LOOK INTO THESE DATA CENTERS.
YOU HAD MENTIONED SOME LARGE KIND OF THE HYPERSCALE DATA CENTERS THAT WE HEAR ABOUT GOING INTO AREAS AROUND TEXAS.
UM, THOSE ARE GENERALLY ONES THAT ARE BEING LOCATED IN RELATIVELY RURAL AREAS WHERE THE DEVELOPERS CAN GET CHEAP LAND AND CHEAP WATER AND CHEAP ELECTRICITY.
UM, GENERALLY WITHIN THE CITY OF AUSTIN SERVICE AREAS, YOU DON'T FIND CHEAP LAND OR CHEAP WATER AS YOU DO IN SOME OF THE RURAL AREAS.
SO WHILE THAT, THAT'S, WE COULD CERTAINLY HAVE LARGE DATA CENTERS, UM, THEY'RE NOT RIGHT AROUND THE CORNER.
AND SO JUST TO BETTER UNDERSTAND, EVEN THE ONES THAT ARE A LITTLE FURTHER OUTSIDE OF OUR CITY LIMITS WOULDN'T LIKELY IMPACT AUSTIN WATER SUPPLY AT ALL.
IT, IT WOULDN'T IF THEY AREN'T SERVED BY US, YOU KNOW, IF THEY'RE SERVED BY BUTA, UM, OR KYLE OR SAN MARCOS, UM, THEY HAVE DIFFERENT WATER SUPPLIES.
UM, SO THAT WOULDN'T IMPACT AUSTIN WATER.
I GUESS, UH, I'M GONNA GO TO, UH, COMMISSIONER KENARD AND THEN GARY AND THEN VICE CHAIR ROBBINS.
THANKS VERY MUCH FOR THE, UH, PRESENTATION.
THAT WAS REALLY, UH, INSPIRING.
COMMISSIONER KENARD, CAN YOU SPEAK UP PLEASE? OH, ANY GOOD? UH, WE'RE NOT HEARING YOU.
I'LL, I'LL, NO, YOU'RE GOOD NOW.
THANK YOU VERY MUCH FOR THE, FOR THE PRESENTATION.
UM, ON SLIDE 20, YOU HAD THIS METRIC OF, UH, IMPRESSIONS VIA SOCIAL MEDIA OUTREACH KIND OF THINGS.
UM, I WAS JUST WONDERING IF THERE'S MAYBE A, 'CAUSE THE, THE NUMBER WAS 28 MILLION IMPRESSIONS, WHICH IS BASICALLY THE POPULATION OF TEXAS.
UH, SO IT STRIKES ME THAT IT'S EITHER IS A, NOT A HUGELY USEFUL METRIC OR, UM, IS NOT TARGETED OR SOMETHING.
AND I FEEL LIKE THERE'S A LOT OF INTEREST FOR THIS, UH, ISSUE.
UM, AND THAT FOLKS REALLY, REALLY WANT TO KNOW HOW TO DO CONSERVATION EFFECTIVELY.
SO I WAS JUST WONDERING IF THERE'S ANY, ANYTHING BETTER THAT COULD BE DONE IN TERMS OF THAT, IN TERMS OF SORT OF CAPTURING THAT INTEREST OR, OR TARGETING THE MESSAGING OR, OR WHAT EXACTLY THIS SORT OF IS TRYING TO CAPTURE.
AS YOU MENTIONED, THESE ARE THE LARGE, UM, MEDIA, UM, OUTLAYS, UH, WHETHER IT'S SOCIAL MEDIA OR UM, TRADITIONAL MEDIA.
THESE REALLY KINDA SPREAD THE MESSAGE AROUND THE WHOLE METRO AREA IN TERMS OF MORE SPECIFIC OUTREACH, THAT'S ONE OF THE THINGS WE'VE BEEN LOOKING AT IN TERMS OF USING THAT MY TX WATER, UM, PORTAL.
UM, AND THIS WILL BE KIND OF TRICKY AND WELL, I'M GONNA HAVE TO REFINE THIS 'CAUSE YOU KNOW, YOU WANNA BE, HAVE A PRETTY GOOD IDEA OF WHAT YOU'RE DOING IF YOU START DOING MORE FOCUSED OUTREACH TO CUSTOMERS.
SO IT'S OPTION IF ONE IDEA IS IF, YOU KNOW, IF THEY HAVE IRRIGATION, THOSE ARE THE ONES WE SEND IRRIGATION REBATES TO OR NOTIFICATIONS TO, OR IF THEY HAVE A POOL, THOSE ARE THE ONES WE SEND THE POOLS TO.
AND IT'LL JUST TAKE TIME FOR STAFF TO BE ABLE TO UTILIZE THAT DATA AND SEND OUT THAT MESSAGING.
'CAUSE ONE OF THE THINGS WE ALSO LEARNED IS THAT OVER THIS LAST SUMMER IS SOMETIMES YOU DON'T, YOU DON'T, YOU DON'T WANNA SEND OUT AN EMAIL EVERY WEEK OR SO, YOU KNOW, THERE'S A ADVANTAGEOUS CADENCE OR NUMBER OF NOTIFICATIONS THAT YOU SEND OUT.
SO I'D SAY YES, THAT WAS A BIG SPREAD OF, OF OUTREACH.
UM, AND WE ARE LOOKING TO TRY TO BE A LITTLE MORE FOCUSED USING THAT.
MY TEXT WATER PORTAL THAT ANSWER YOUR QUESTION? IT DOES.
COMMISSIONER GARY, THANK YOU SO MUCH.
THANK YOU FOR THIS PRESENTATION.
[00:45:01]
ON THE SIDE, UM, MOVING FORWARD.JUST HAVE A COUPLE OF QUESTIONS AND JUST WANTED TO SEE WHAT THE PARTNERING, UM, AND CITY OF AUSTIN WINTER PREPARATION EVENTS.
CAN YOU ELABORATE A LITTLE BIT ON THAT AND PROVIDE SOME TIMELINES? I THINK THAT'S THE, THE SLIDE SECOND TO THE LAST, I BELIEVE.
THROUGHOUT THE, THE WINTER MONTHS, UM, THERE ARE CITY, WHOLE CITY EVENTS, UM, IN WHICH VARIOUS DEPARTMENTS FROM THE CITY GO AND PROVIDE INFORMATION.
UM, AND THERE ARE ALSO EVENTS THAT WE PARTNER WITH AUSTIN ENERGY AT.
UM, AND THOSE ARE PRETTY, PRETTY WELL ATTENDED AROUND THE CITY.
WE DO TWO, OR I THINK THREE OR FOUR OF THEM OVER THE WINTER MONTHS.
AND WE PROVIDE INFORMATION, WE HAND OUT THE LITTLE STYROFOAM THINGS THAT YOU PUT OVER, UH, YOUR OUTSIDE FAUCETS AS WELL AS KEYS TO TURN OFF YOUR METER IN CASE THERE WAS A LEAK AND, AND OTHER INFORMATION.
SO OUT, I'M SORRY, OUTSIDE OF, UH, SOCIAL MEDIA, HOW ARE YOU GETTING THE INFORMATION OUT TO RESIDENTS THAT DON'T HAVE THE, THE SOCIAL MEDIA OR ANY OTHER OUTLETS? HOW, HOW ARE THEY GETTING THAT THIS INFORMATION ABOUT THE EVENTS? I WOULD SAY PRIMARILY, WELL AS YOU MENTIONED, SOCIAL MEDIA, BUT ALSO THE TRADITIONAL MEDIA.
UM, RADIO, UH, SOME TELEVISION.
WE'VE ALSO BEEN WORKING WITH THE COUNCIL MEMBER OFFICES AND THEIR OUTREACH EFFORTS TO GET THE WORD OUT TO THEIR CONSTITUENTS IN THE VARIOUS DISTRICTS ABOUT WHEN THOSE EVENTS ARE TAKING PLACE AND WHERE THEY'RE TAKING PLACE.
THE NEXT QUESTION IS ON THE LAUNDRY TO LANDSCAPE GRAVE WATER REUSE ASSISTANCE.
DO YOU HAVE ANY INFORMATION ON THAT THAT YOU CAN SHARE? LIKE WHERE DID THIS IDEA COME FROM? UM, HOW LONG HAVE YOU GUYS BEEN WORKING ON THIS AND ANY, UH, TIMELINES ON WHEN THIS IS GOING TO BE LAUNCHED? YES.
THIS LAUNCH OR LANDSCAPE ACTIVITY WAS REALLY KIND OF, UH, DRIVEN BY OUR LANDSCAPE TRANSFORMATION ACTIVITIES WE'VE BEEN PURSUING OVER THE LAST TWO YEARS.
UM, PART OF THAT WAS THAT IRRIGATION, UH, INSPECTION AS WELL AS WE'RE GONNA BE STARTING TO LIMIT THE AMOUNT OF THE, THE LOT THAT CAN BE IRRIGATED WITH THE AUTOMATIC IRRIGATION SYSTEM.
AND TO ADDRESS SOME OF THESE GREATER RESTRICTIONS ON IRRIGATION, THE IDEA IS TO PROVIDE PEOPLE A WAY TO IRRIGATE THEIR LAWN WITH NON-DRINKING WATER.
SO APRIL 10TH OF THIS LAST SPRING, THE COUNCIL APPROVED A LOCAL AMENDMENT TO THE UNIFORM PLUMBING CODE.
THEY APPROVED A NUMBER OF THEM, BUT ONE OF THE LOCAL AMENDMENTS THAT WAS APPROVED BY THE COUNCIL IN APRIL IS TO REQUIRE ALL NEW HOMES THAT HAVE A CLOTHES WASHER ON AN EXTERIOR WALL OR ON A PER, UH, WALL PERPENDICULAR TO AN EXTERIOR WALL TO INCLUDE PLUMBING, TO ALLOW CLOSED WATER DISCHARGE TO BE DIVERTED OUTSIDE THE HOUSE.
ESSENTIALLY ALLOWING THESE CUSTOMERS TO USE THEIR CLOTHES, WASHER WATER TO WATER THE LANDSCAPE.
NOW THE LOCAL AMENDMENT JUST REQUIRES THAT PLUMBING INSIDE THE HOUSE, NO REQUIREMENT ON THE OUTSIDE THAT'S LEFT UP TO THE HOMEOWNER.
UM, BUT, UH, IT WILL GIVE THEM AN OPTION.
'CAUSE IF ANYONE'S EVER TRIED TO PUT IN SUCH PLUMBING AFTER THE HOUSE IS BUILT, IT'S QUITE DIFFICULT, BUT IT'S QUITE EASY WHEN THE HOUSE IS GOING UP AS, AND ALL THE OTHER PLUMBING IS GOING THROUGH.
SO WE'RE WORKING WITH DSD TO START IMPLEMENTING THAT.
THEIR PLUMBING INSPECTORS HAVE NOT STARTED REQUIRING THAT YET.
AND THAT'LL PROBABLY BE, UH, EARLY SPRING NEXT YEAR.
BUT TO HELP THESE NEW HOMEOWNERS AND ALL HOMEOWNERS, WE ARE MAKING A NUMBER OF CHANGES TO OUR LAUNDRY LANDSCAPE.
UH, WE ARE PUTTING LAUNDRY LANDSCAPE BOOKS IN ALL OF THE LIBRARY BRANCHES IF PEOPLE WANT TO CHECK OUT THESE REFERENCES ON HOW TO DO A LAUNDRY LANDSCAPE.
WE'RE UPDATING OUR ONLINE REFERENCES ONLINE GUIDES TO LINGERIE LANDSCAPE.
WE HAVE A REBATE FOR LINGERIE LANDSCAPE THAT I ADMIT.
UH, WE'VE ONLY HAD ONE TAKER ON OUR LINGERIE LANDSCAPE SINCE I STARTED AT AUSTIN WATER FOUR YEARS AGO.
BUT TO, UH, KIND OF SUPERCHARGE THIS IDEA OF LAUNDRY LANDSCAPE AND TO PARTICULARLY HELP THESE NEW HOMEOWNERS WHO HAVE THAT OPTION, UH, WE'VE DOUBLED THE AMOUNT OF REBATE UP TO $300 FOR MATERIALS, AND WE ARE OFF GOING TO BE OFFERING $300 REIMBURSEMENT IF THEY HIRE SOMEONE TO PUT IN THIS EXTERIOR SYSTEM.
[00:50:02]
THAT'S BEEN RIPENING FOR A WHILE, BUT WE'RE HOPING TO KICK THAT ALL OFF WITH BOTH THE LIBRARY AND THE DEVELOPMENT SERVICES THIS QUARTER SO THAT PEOPLE CAN START UTILIZING LAUNDRY LANDSCAPE IN THOSE AREAS THAT DON'T HAVE AN AUTOMATIC IRRIGATION SYSTEM.SO, UH, WILL YOU BE ABLE TO SOMETHING TO THE COMMISSION TO KIND OF JUST SHOW HOW THIS ALL WORKS OR NO? YEAH, I, I'D BE HAPPY TO, UH, COME BACK AND TALK ABOUT LAUNDRY LANDSCAPE MORE.
UM, AS YOU CAN TELL, I'M VERY EXCITED ABOUT IT.
AND SO I'M HAPPY TO TALK MORE ABOUT IT AND SHOW YOU SOME IMAGES OF, OF WHAT WE'RE PUTTING OUT AND WHAT WE'RE THE RESOURCES WE'RE GONNA ASSIST THE COMMUNITY WITH.
THANK YOU SO MUCH FOR YOUR MM-HMM
AND I, I, I'D LIKE TO ALSO ECHO, UM, THAT REQUEST FROM COMMISSIONER GART.
I'D LOVE TO LEARN MORE ABOUT THAT.
UM, I THINK THERE'S PROBABLY A GOOD DEAL OF EDUCATION THAT FOLKS CAN BENEFIT FROM.
UM, FOR EXAMPLE, I, I'M KIND OF CONCERNED ABOUT MICROPLASTICS.
A LOT OF OUR CLOTHES ARE MADE OF PLASTIC POLYESTER, AND IT COMES OUT IN THE, IN THE WASH AND THEN THAT'S GOING INTO THE SOIL.
BUT MAYBE IF IT DIDN'T GO THERE, IT WOULD JUST GO TO THE TREATMENT PLANTS AND END UP IN OUR DRINKING WATER.
LIKE HOW, HOW DOES ALL OF THAT WORK? WHAT ARE SOME OF THOSE CONSIDERATIONS? NOT TO, YOU KNOW, PUT YOU ON THE SPOT TO ANSWER THAT SPECIFIC THING RIGHT NOW, BUT THOSE ARE SOME OF THE THINGS I THINK WOULD BE, WOULD BE INTERESTING TO LEARN FOR ME.
VICE CHAIR ROBBINS, DID YOU HAVE A QUESTION? VERY POIGNANT COMMENT ABOUT MICROPLASTICS.
UH, I JUST WANTED TO RESPOND TO SOMETHING THAT COMMISSIONER ZIGONG, UH, ASKED.
UH, HE SAID, HOW, HOW ARE DATA CENTERS THAT ARE LOCATED OUTSIDE OF AUSTIN GOING TO AFFECT AUSTIN? AND MY COMMENT, I GUESS I HAVE TWO ANSWER, TWO RESPONSES TO, UH, COMMENTS TO YOUR COMMENT OR QUESTION.
ONE IS THAT IT WOULD BE INDIRECT.
FOR INSTANCE, A MOMENT AGO, UH, A FEW MOMENTS AGO, UH, COMMISSIONER COOK, UH, ASKED ABOUT, UH, DESALINATION, UH, WELL, A DATA CENTER OUTSIDE OF AUSTIN MAY COMPETE FOR THE SAME DESALINATED WATER.
I DON'T BELIEVE IT WOULD DIRECTLY COMPETE WITH AUSTIN'S CURRENT WATER SUPPLY FROM THE HIGHLAND LAKES UNLESS THEY ACTUALLY LOCATED IN AUSTIN.
THE OTHER IS A MORE, IS IS BASICALLY A MORAL QUESTION THAT I'VE HAD SINCE THIS ISSUE HAS ARISEN IN THE PAST ONE OR TWO YEARS.
IS IT SOCIETY'S OBLIGATION TO GIVE THESE DATA CENTERS WHATEVER THEY WANT WHEN IT'S COMPETING WITH HUMAN NEEDS? UH, IT KIND OF REMINDS ME OF THE MOVIE THE MATRIX OR THE MOVIE, THE TERMINATOR HUMANS AGAINST MACHINES.
UH, AND THAT'S REALLY WHAT IT'S COME DOWN TO.
I, I READ ABOUT THIS, UH, ISSUE.
I, I SEE IT COME ACROSS, UH, MY COMPUTER ALMOST EVERY DAY AND NOBODY SEEMS TO BE ASKING THIS QUESTION.
THAT WAS KIND OF WHY I WAS HOPING TO SEE IF MAYBE WE COULD HAVE A BROADER CONVERSATION IN THE COMMISSION ABOUT THAT WITH WATER AND ENERGY.
'CAUSE I, I DON'T DISAGREE WITH YOU AT ALL.
C UH, COM COMMISSIONER SAGAN AND, AND VICE CHAIR ROBBINS, I, I THINK THAT, UM, YOU KNOW, I, I DEFINITELY SHARE SOME OF THOSE CONCERNS ABOUT, YOU KNOW, THE LARGER ISSUES COMING WITH, WITH DATA CENTERS AND POLLUTION.
SOME OF THEM ARE BUILDING THEIR OWN POWER PLANTS, THEY'RE BUILDING THEIR OWN GAS POWER PLANTS TO, TO GENERATE ENERGY.
UM, AND I THINK THAT, YOU KNOW, MAYBE IT'S WORTH THINKING ABOUT A WORKING GROUP, MAYBE ALONG WITH, UM, EUC MEMBERS.
I WOULD THINK WE'D NEED TO PUT A, UM, YOU KNOW, A PURPOSE A A AN OBJECTIVE FOR THAT OF WHAT WE WANTED TO STUDY OR RECOMMEND OR THAT KIND OF THING.
BUT IT'S CERTAINLY SOMETHING THAT I THINK, UM, WE DO NEED TO BE PAYING ATTENTION TO.
UM, 'CAUSE YOU KNOW, VERY SOON IT, IT WILL BE AFFECTING
[00:55:01]
US.SO DID YOU, COMMISSIONER SILVERSTEIN, I, I HAVE A, A TOPIC THAT YOU CAN ACTUALLY DO SOMETHING ABOUT MR. COY RIGHT NOW.
AND, AND THAT IS GOING BACK TO THE, UM, OBSERVATIONS ABOUT MEDIA AND ADVERTISING FROM COMMISSIONER KENARD.
AND I WANTED TO SUGGEST THAT, UM, UT HAS A SCHOOL OF ADVERTISING IN A NUMBER OF CLASSES ON SOCIAL MEDIA.
AND I WONDER IF YOU GUYS HAVE CONSIDERED PUTTING TOGETHER, UM, CLASS PROJECTS CHECKS FOR HOW DO, HOW DO WE SINCE, SINCE THEY'RE A LOT CLOSER TO THE, TO THE MEDIAN AGE OF WATER CUSTOMERS AND HOW TO REACH PEOPLE.
AND, AND MAYBE YOU SHOULD INVITE THEM, YOU KNOW, GIVE, ASK, ASK SOME OF THE PROFESSORS AT UT TO GIVE CLASS ASSIGNMENTS ON HOW DO WE REACH AUSTINITES WITH REALLY APPEALING ADVERTISING AND SOCIAL MEDIA, BECAUSE IT'S PRETTY FREE TOO.
I KNOW THAT THE, UM, MOODY COLLEGE OFFERS SCIENCE COMMUNICATION BOOTCAMPS TOO.
SO MAYBE THAT COULD BE KIND OF PART OF IT AS WELL.
AND THERE'S, THERE'S ACTUALLY THE STAN RICHARDS SCHOOL OF ADVERTISING.
I DON'T KNOW WHO HE WAS, BUT I'M GUESSING HE WAS AN AD GUY.
SO, SO THERE, THERE'S A LOT OF OPTIONS OVER THERE THAT COULD BE WORTH LOOKING INTO AS, AS A SOURCE OF NEW IDEAS AND, AND MATERIAL FOR YOUR TO PERSUADE US TO USE LESS WATER.
I, I SEE COMMISSIONER LUKI, DO YOU HAVE A COMMENT? YEAH.
UM, I'M CURIOUS ABOUT THE RECLAIMED WATER PROJECTS THAT CIP.
UM, SO I COUNTED 11 PROJECTS COMING IN THE FUTURE.
ARE THOSE GONNA BE EACH ONE HAVE LIKE THEIR OWN TOWER, UH, AND THEIR OWN WATER STORAGE SYSTEM? OR ARE THEY, I'M TRYING TO FIGURE OUT WHAT THAT ACTUALLY MEANS.
UM, 15, NO, SOME OF THEM, UM, WILL JUST BE LINES.
AND, UM, THERE'S ONE NEXT FROM THE BOTTOM ON TOPLESS RECLAIMED ELEVATED STORAGE TANK, AND I BELIEVE THE REST OF THEM WILL BE, UM, NEW, NEW MAINS OR RENOVATIONS OF, OF MAINS.
SO AGAIN, KEVIN CRIT AND AUSTIN SOME WATER.
UM, YEAH, I MEAN, I, I THINK THIS SLIDE IS REALLY FOCUSED ON MORE, I WOULD SAY NEAR TERM PROJECTS THAT ARE GOING ON.
I THINK WE MAY HAVE HAD A SIMILAR LINE OF QUESTIONING BEFORE.
UM, THIS PARTICULAR PROJECT, I MEAN, IN OUR MORE NEAR TERM PLANNING, WE DO ANTICIPATE AN ELEVATED STORAGE TANK.
UM, I THINK I DESCRIBED PREVIOUSLY, OUR RECLAIM SYSTEM TODAY IS ABOUT 70 MILES IN LENGTH COMPARED TO OUR WATER DISTRIBUTION SYSTEM, WHICH IS ABOUT 4,000 MILES.
SO YOU CAN KIND OF SEE THERE'S A, A, A SCALE DIFFERENCE.
UM, WE ARE, UM, IN THE PROCESS OF UPDATING OUR LONG RANGE INFRASTRUCTURE PLAN FOR THE RECLAIM SYSTEM.
SO THAT'LL WITHIN THE NEXT YEAR OR SO, WE'LL PROBABLY HAVE MORE INFORMATION TO THE EXTENT THAT THERE'S APPETITE AND INTEREST IN SORT OF SEEING A BROADER PERSPECTIVE OF HOW WE SEE THAT, UM, RECLAIM SYSTEM GROWING.
SO WE'LL PROBABLY BE ABLE TO ANSWER THAT WITH MORE PRECISION ABOUT HOW WE WOULD ADD PRESSURE MAINTENANCE, ELEVATED STORAGE TANKS.
IS IT TRUE THAT THE SYSTEM THAT WE HAVE RIGHT NOW, THE, THE TOWER WE HAVE OVER HERE ON 51ST STREET THAT IT'S ATTACHED TO, UH, HERE AND, AND MILLER ALSO MAYBE SOME OTHER CAMPUSES THAT, UH, WOULD USE A LOT OF, UM, IRRIGATION, UM, MAYBE THE UNIVERSITY OF TEXAS, THINGS LIKE THAT? IS THAT, IS THAT WHAT THEY'RE ATTACHED TO NOW? SO I DON'T HAVE THE IMMEDIATE INFORMATION ABOUT THE DIFFERENT, WHAT WE WOULD DESCRIBE AS PRESSURE ZONES WITHIN THE RECLAIM SYSTEM.
OUR, AGAIN, AS AN ANALOGY, OUR POTABLE WATER SYSTEM HAS NINE SEPARATE PRESSURE ZONES.
UM, SO THERE WOULD BE A SIMILAR, UM, UH, DIFFERENTIATION OF PRESSURE RANGES.
UM, BUT I CAN'T, I DON'T KNOW THAT INFORMATION OFFHAND.
UM, AGAIN, I THINK WE'VE GOT THREE, UM, STORAGE TANKS.
UM, NOT INCLUDING, WELL, THERE'S PRESSURE MAINTENANCE AT THE WALNUT CREEK PLANT.
THERE'S ELEVATED STORAGE AT THE SAR PLANT.
THERE'S THE 51ST STREET TANK AND THE ONTOP THIS TANK.
[01:00:01]
I THINK THAT'S KIND OF THE EXTENT.SO I DON'T KNOW IF IT OPERATES ALL OF THAT WITHIN KIND OF A FIXED RANGE OR IF THOSE ARE SOMEHOW DIVIDED INTO DIFFERENT PRESSURE ZONES OR NOT.
BUT I CAN, WE CAN GET YOU SOME MORE INFORMATION ON THAT.
WHAT I'M REALLY GETTING AT HERE IS THAT WE'VE GOT DIFFERENT COMPANIES THAT ARE, HAVE LARGER CAMPUSES, DIFFERENT, I DON'T KNOW, HOSPITALS, UH, PLACES THAT HAVE LARGE IRRIGATION NEEDS.
AND IT SEEMS LIKE, UH, WE WOULD BUILD THESE RECLAIM WATER TANKS NEAR PLACES THAT WOULD REQUIRE THAT KIND OF SERVICE.
IS THAT, AM I ON THE RIGHT TRACK THERE? YEAH, IT'S, IT'S A COMBINATION.
IT'S, IT'S AS MUCH A POTENTIAL ENERGY QUESTION.
I MEAN, YOU, YOU USE ELEVATED STORAGE TANKS, YOU LOCATE THEM AND THAT'S WHY THEY'RE OFF THE GROUND.
UM, SO, YOU KNOW, I THINK THE AGGREGATE VOLUME OF WATER THAT'S STORED IN ALL OF THOSE, UM, HAS IMPLICATIONS ON THE HYDRAULICS OF THE SYSTEM.
ALSO, SORT OF WHERE THOSE TANKS ARE LOCALLY, LOCALLY, THROUGHOUT THE SYSTEM, UM, HAS AN IMPLICATION ON BEING ABLE TO MANAGE THE ACTUAL PRESSURE AND PRESSURE FLUCTUATIONS WITHIN A VICINITY.
SO, UM, BUT GENERALLY SPEAKING, I MEAN, YOU KNOW, I, YOU KNOW, MORE, MORE, MORE TANKS ARE BETTER.
UM, MORE ELEVATED TANKS ARE BETTER, BUT WE HAVE TO KIND OF PASTE THAT OUT, YOU KNOW, WITH THE, BASED ON THE OVERALL DEMAND.
YEAH, BUT WHO'S USING THAT WATER? IT IT IS A CONNECTED SYSTEM.
SO AT SOME LEVEL, EVERYONE THAT USING RECLAIMED WATER IS USING THE YEAH, BUT WHO'S USING THE RECLAIMED WATER? I MEAN, YOU'VE GOT, IS IT BUSINESSES, IS IT THE STATE, IS IT THE CITY, IS IT THE COUNTY? I MEAN, AT THIS POINT, OUR RECLAIMED WATER CUSTOMERS INCLUDE A WIDE VARIETY OF DIFFERENT CUSTOMER GROUPS.
UM, YOU MENTIONED UNIVERSITY OF TEXAS IS A LARGE, UM, RECLAIMED WATER.
UH, AUSTIN ENERGY USES A FAIR AMOUNT OF RECLAIMED WATER AT THE, UH, SANDHILL ENERGY CENTER.
UM, THERE'S A NUMBER OF IRRIGATION USES AND A VARIETY OF GOLF COURSES THROUGHOUT THE CITY.
UM, WE ARE MOVING MORE TO REQUIRING RECLAIMED WATER USE FOR WHAT I WOULD DESCRIBE AS SANITARY PURPOSES.
SO BASICALLY USING IT FOR TOILET FLUSHING AND LIKE NON-POTABLE USES IN BUILDINGS.
UM, I WILL JUST SAY THAT AS WE EVOLVE INTO MORE OF THOSE KIND OF PRIMARY NEEDS FOR COMMERCIAL DEVELOPMENT, UM, WE WILL HAVE TO CONTINUE TO IMPROVE THE RESILIENCE AND, YOU KNOW, THE, THE THINGS LIKE STORAGE VOLUMES AND PRESSURE MAINTENANCE THROUGHOUT THE SYSTEM.
SO YOU'RE, YOU'RE, YOU'RE RIGHT ON POINT.
I MEAN, ALL THOSE THINGS HAVE TO HAPPEN TO MAKE A VIABLE AND RESILIENT SYSTEM.
UM, SO YEAH, IT'S, IT'S A LONG-TERM ENDEAVOR FOR SURE.
YEAH, IT SOUNDS LIKE IT'S A 30 YEAR PROJECT.
UM, ONE OTHER QUESTION, UM, UH, REGARDING THE COMMUNITY OUTREACH GRANTS, UH, GRANTS FOR COMMUNITY ORGANIZATIONS TO HELP WITH, UM, EDUCATING THE PUBLIC, I GUESS WOULD BE THE WAY TO SAY THAT.
UM, WHAT KIND OF GROUPS ARE, ARE GETTING THESE GRANTS? IS IT, WELL, NO ONE'S RECEIVED THE GRANTS YET.
THIS IS AT, OH, THE VERY BEGINNING AND, AND I'M, I DON'T EVEN, I HAVE TO ADMIT, I'M NOT EVEN SURE HOW MANY APPLICATIONS WE'VE RECEIVED.
UM, AS OF YET, THEY'RE NOT DUE UNTIL NOVEMBER 30TH.
WHAT WE'RE DOING IS, IS TO A LARGE DEGREE MODELED AFTER AN EXISTING MINI GRANT PROGRAM.
BRIGHT GREEN FUTURE GRANTS THAT IS ADMINISTERED BY THE OFFICE OF SUSTAINABILITY.
AND AGAIN, THESE ARE SMALL GRANTS FOR 3000.
THOSE BRIGHT GREEN FUTURE GRANTS ARE, ARE MORE GEARED TOWARDS SCHOOLS.
UM, I DON'T KNOW, TO DO A, A RAIN CATCHMENT SYSTEM IN THE SCHOOL GARDEN OR WHAT HAVE YOU.
UM, SO WE'RE LOOKING HOPING THAT THESE WILL BE SMALL NEIGHBORHOOD ORGANIZATIONS, UH, THAT, THAT JUST NEED A LITTLE BIT MORE RESOURCES, UH, TO HELP SPREAD THEIR MESSAGE.
I RUN ONE OF THOSE SMALL NEIGHBORHOOD ORGANIZATIONS.
THAT'S WHY I'M ASKING THIS QUESTION 'CAUSE I'M REALLY CURIOUS ABOUT HOW IT IS I CAN GET $3,000 TO GO DO SOMETHING
WELL, THAT'S ALSO WHAT I'M DOING.
UM, IT'D BE NICE TO HAVE SOME MONEY TO GO BUILD ONE OF THESE AT, UH, AT OUR PARK, FOR EXAMPLE, OR, OR WHEREVER WE CAN PUT ONE.
UH, SO THAT, THAT'S VERY INTERESTING TO ME.
I JUST GOT A GRANT FROM, UH, ROOTS
[01:05:01]
AND WINGS TO DO, UH, UH, TREE GIVEAWAY WHERE WE GAVE AWAY 700 TREES A COUPLE OF WEEKS AGO.AND, AND, UH, SO I DON'T KNOW HOW I GIVE AWAY WATER, BUT I'M GONNA FIGURE IT OUT
UM, AND I'M VERY CURIOUS ABOUT THE LAUNDRY TO LANDSCAPE, GRAY WATER REUSE ASSISTANCE.
UH, ALSO $300 FOR MATERIALS SOUNDS PRETTY GOOD.
$300 FOR LABOR SOUNDS LIKE NOT ENOUGH, BUT, UM, UH, BEING A GUY WHO DOES THAT KIND OF STUFF, I, I, I'M INTERESTED IN, IN ACTUALLY GETTING THE, I GUESS THE SECOND REBATE SINCE THERE'S ONLY BEEN ONE SO FAR.
ALRIGHT, WELL THAT SOUNDS GOOD.
HOW DO YOU DO THAT? THE APPLICATIONS ARE ON OUR WEBSITE.
UM, AS I MENTIONED, SOME OF THE ADDITIONAL RESOURCES WILL BE COMING OUT LATER, BUT THOSE NEW REBATE NUMBERS ARE ALREADY EXISTING ON OUR WEBSITE IN OUR APPLICATIONS.
AND WHAT'S YOUR, WHAT'S YOUR WEBSITE? AUSTIN WATER DO ORG, UM, DOT GOV.
WATERWISE AUSTIN.ORG IS THE ONE THAT ALWAYS COMES TO MIND FOR ME.
BUT, UH, I'M SURE IF WE GOOGLED AUSTIN WATER, I GOOGLE SEARCH FOR CONSERVATION, BE SUCCESSFUL WITH THAT.
WE DO HAVE A, ANOTHER VERY MEATY TOPIC ON OUR AGENDA.
UM, BUT I DO WANNA RECOGNIZE COMMISSIONER SCHWARTZ, I KNOW YOU HADN'T HAD AN OPPORTUNITY TO SPEAK YET.
IF YOU WANNA ASK A QUESTION, PLEASE GO AHEAD.
UM, SO COULD YOU REMIND ME THE, UH, MY UNDERSTANDING IS THERE'S A SMALL REBATE FOR HIGHER, WHAT DO YOU CALL IT? HIGH EFFICIENCY WASHERS THAT THE CITY HAS.
I DON'T KNOW IF AUSTIN ENERGY RUNS THAT OR, OR IF Y'ALL DO.
I THINK IT'D BE AUSTIN ENERGY.
I WAS JUST WONDERING HOW YOU'VE LOOKED AT THAT VERSUS THE, AND I KNOW THAT THERE'S A CODE CHANGE THIS SUMMER THAT YOU MENTIONED FOR THE LAUNDRY LANDSCAPE.
'CAUSE I KNOW THOSE, THE FRONT LOADING HIGH, HIGH EFFICIENCY WASHERS, THEY USE LIKE A QUARTER RIGHT? THEY USE WAY LESS WATER.
AND I, I DON'T KNOW IF THAT'S CODE.
I'M TRYING TO, I BOUGHT A WASHER LIKE A FEW YEARS AGO.
I THINK LIKE HALF OF THEM IN THE STORE WERE FRONT LOADING.
I DON'T KNOW IF THAT'S CODE FOR NEW WASHERS RIGHT NOW.
IF ANYONE KNOWS THAT OR IF Y'ALL LOOKED AT PARTICULARLY FEDERAL CODE.
WHICH, YOU KNOW, ENCOURAGES THE FRONT LOADING WASHERS.
IT'S, IT'S FEDERAL CODE FOR TO HAVE FRONT LOADING NOW? I BELIEVE SO.
AT LEAST THE MOST RECENT ONES.
UM, SO IT DOES, IT DOES PRODUCE LESS WATER, UM, WHICH WOULD BE LESS, UH, ONTO YOUR LANDSCAPE.
HAVE Y'ALL EVER RUN THE NUMBERS OF CONTRIBUTING TO A LARGER REBATE FOR THAT, THAT FOLKS, 'CAUSE I PROBABLY, YOU KNOW, THE VAST MAJORITY OF WASHERS IN THE CITY ARE NON FRONT LOADING, I WOULD ASSUME AT THIS POINT.
SO IN TERMS OF REBATES FOR THE LAUNDRY TO LANDSCAPE, UM, WE'RE JUST REATING THE OUTSIDE, UM, YEAH.
MATERIALS, YOU KNOW, THE SUBSURFACE LINES.
WHICH ARE PRETTY, THE COST OF MATERIALS IS PRETTY MODEST.
UM, YOU KNOW, THERE CAN BE A COST IF YOU'RE PUTTING IN YOURSELF, THERE'S A COST OF SANITY IN YOUR TIME.
BUT, UH, IN TERMS OF THE MATERIALS, THEY'RE RELAT RELATIVELY MODEST 'CAUSE THAT THE WATER FROM THE CLOTHES WASHER CAN ONLY GO SO FAR.
SO YOU'RE NOT RUNNING IT OUT YOUR ENTIRE LAWN.
YOU'RE GENERALLY TAKING THAT CLOTHES WASHER WATER TO A NEARBY BED OR A NEARBY TREE, SOMETHING WITHIN 30 TO 50 FEET OR SO.
I WAS JUST WONDERING IF YOU GUYS DID LIKE AN ANALYSIS OF IT'S IF IT'S CHEAPER TO JUST PAY PEOPLE TO SWITCH OUT THEIR WASHERS TO THE HIGH EFFICIENCY ONES AND THEN YEAH, WE HAVEN'T LOOKED AT THAT FOR, I BELIEVE THEY LOOKED INTO THAT 10 YEARS AGO OR SO, BUT WE HAVEN'T LOOKED INTO THAT RECENTLY BECAUSE SO MANY, THEY'RE BECOMING SO MUCH MORE EFFICIENT.
AND SO MANY OF THE OLD FIVE, YEAH.
LARGE BARREL, HOW MUCH THEY USE.
IT'S LIKE, I THINK IT'S FIVE, SEVEN GALLONS OR SOMETHING.
I GUESS THAT ADDS UP WHEN PEOPLE ARE DOING TONS OF LOADS.
VICE CHAIR, ROBBINS, YOU HAVE A BURNING QUESTION OR COMMENT? I DON'T HAVE A BURNING ANSWER.
I KNOW THIS BECAUSE IT'S BEEN PROVIDED TO ME.
SO, UM, I WAS JUST GONNA MAKE THE SUGGESTION THAT, UH, I, I IF, IF, IF YOU, IF YOU ARE REALLY INTERESTED THAT, UH, THIS WOULD BE GIVEN TO HIM, THAT'S ALL.
UM, ANY OTHER QUESTIONS OR COMMENTS ON THE WATER QUARTERLY REPORT? UH, YES.
A RE A REQUEST FOR THE NEXT QUARTERLY REPORT, PLEASE.
[01:10:01]
I WOULD BE INTERESTED IN LEARNING HOW MUCH ENERGY AUSTIN WATER USES TO MANAGE OUR WATER AND WHETHER YOU ALL ARE, UM, WORKING WITH A, WORKING WITH AUSTIN ENERGY TO, TO LOOK AT HOW TO MAKE THAT ENERGY USE MORE EFFICIENT, AND B, WHETHER YOU ARE TAKING ADVANTAGE OF SOLAR REBATES TO INSTALL SOLAR, TO LIFT ALL THAT WATER INTO UP, UP UPHILL STORAGE FACILITIES.THANK YOU SO MUCH FOR THE PRESENTATION, MR. KLUGE.
UM, WE WILL SEE YOU NEXT TIME.
[3. Discussion and recommend a policy for the Texas Gas Service franchise negotiations. ]
NUMBER THREE ON OUR AGENDA, WHICH IS DISCUSSION AND RECOMMENDED POLICY FOR TEXAS GAS SERVICE FRANCHISE NEGOTIATIONS.UM, VICE CHAIR ROBBINS, THIS IS YOUR ITEM.
UM, EVERYONE SHOULD HAVE RECEIVED IN THEIR PACKET A DRAFT, UH, RECOMMENDATION.
UM, WOULD LOVE TO BRING THAT UP ON THE SCREEN.
AND WHILE THAT'S HAPPENING, UH, VICE CHAIR ROBBINS, WHY DON'T YOU GIVE THE COMMISSION, UH, A, AN OVERVIEW OF WHAT WE ARE TALKING ABOUT AND, AND WHAT WE'D LIKE TO SEE.
UM, THE, THE ATTACHMENT IS KIND OF LONG, SO, UM, OKAY.
LET'S FIRST, UH, LET ME JUST, UH, PROVIDE A BRIEF INTRODUCTION.
UH, UH, I'VE BEEN INTERESTED IN GAS UTILITY POLICY SINCE TEXAS GAS SERVICES PREDECESSOR SOUTHERN UNION GAS CUT MY SERVICE OFF WITHOUT NOTICE IN 1983.
UH, YOU MIGHT SAY WE'RE OLD FRIENDS,
I COULD ONLY REACH OUT TO A SUB QUORUM.
THAT DOES NOT MEAN THAT WE DO NOT CARE.
UH, AND SINCE WE PROBABLY WILL NOT BE VOTING UNTIL THIS IS POSTED FOR A VOTE TONIGHT, BUT THAT'S ONLY IF THERE'S SOMETHING VERY PRESSING.
IT'S JUST, WE'LL PROBABLY WILL NOT VOTE ON THIS UNTIL JANUARY.
AND SO THIS WILL GIVE YOU PLENTY OF TIME TO GIVE INPUT.
YOU CAN EITHER, UH, SAY, WRITE A LETTER AND ADDRESS IT TO OUR LIAISON, MS. NATASHA GOODWIN, AND SAY, HERE ARE THE THINGS THAT I'D LIKE YOU TO CONSIDER, OR YOU CAN BRING IT UP TONIGHT, OR YOU CAN BRING IT UP IN JANUARY.
UH, I WANT TO MAKE IT REAL CLEAR THAT, UH, UM, YOUR INPUT IS, UH, WELCOME, UM, IF IT'S CONSTRUCTIVE.
UH, NOW REGARDING THIS, UH, RESOLUTION, UM, I, UH, TRIED TO HIGHLIGHT, UH, VARIOUS, UH, SUBJECTS AND THEY ARE JUST THE SELECTION OF THE COMPANY IN TERMS OF FRANCHISE HIGH AND INE EQUITABLE RATES, LOW INCOME ASSISTANCE RATE STRUCTURES, WHETHER IT'S CONSERVATION BASED, WHICH ALSO HELPS LOW INCOME CUSTOMERS, UH, HIGH FUEL COST, SECURITIZATION COSTS, UH, FRANCHISE FEES.
UH, AND IF I DIDN'T SAY THIS BEFORE, ENERGY CONSERVATION.
UH, NOW, UM, THERE WERE A COUPLE OTHER ITEMS, UH, THAT I HAD ORIGINALLY HAD IN THIS.
AND, UH, SINCE I COMMISSIONER, UH, SILVERSTEIN HAS SO MUCH BACKGROUND IN UTILITIES AND I DO EVERYTHING SHE TELLS ME TO, I, UM, ELIMINATED, UH, A COUPLE OF THEM.
[01:15:01]
THAT THEY WERE APPROPRIATE.UH, IN THE, UH, CASE OF, UH, COMMISSIONER ZHAN, SHE MADE, UH, SOME CONSTRUCTIVE SUGGESTIONS AND, UH, ONE OF WHICH, UH, IS TO HAVE, UH, A SUMMARY PAGE AT THE BEGINNING SO THAT ANYBODY WHO READS THIS WILL NOT BE BOGGED DOWN IN POLICY MINUTIA.
UH, WHICH I, IT WAS A GOOD, GOOD IDEA.
UH, COMMISSIONER SCHWARTZ, UH, ALSO HAD A SIMILAR, UH, POINT ON THAT.
UM, COMMISSIONER SCHWARTZ, UH, HAD A REALLY GOOD IDEA.
UM, UM, YOU MIGHT SAY HE STOLE MY THUNDER BECAUSE, UM, I'VE BEEN TRYING TO FIGURE OUT, UM, WHAT A CONSERVATION, UH, PROGRAM MIGHT LOOK LIKE IF IT IS, AGAIN, ADMINISTERED BY THE CITY OF AUSTIN INSTEAD OF TEXAS GAS SERVICE.
AND HE MADE THE COMMENT, WELL, MAYBE WE COULD JUST INCREASE THE FRANCHISE FEE TO INCORPORATE, UH, THE, UM, THE CITY'S CONSERVATION PROGRAMS. UH, ORIGINALLY, I, I BALKED ON SAYING, WELL, IS THAT LEGAL? BECAUSE THE RAILROAD COMMISSION HAS JURISDICTION, DOESN'T IT? BUT I CHECKED THE WORDING OF IT, AND APPARENTLY THE RAILROAD COMMISSION HAS JURISDICTION OVER GAS UTILITY RUN CONSERVATION PROGRAMS AND NOT, UH, PROGRAMS RUN BY OTHER PLACES.
AND SO IF THIS OR FRANCHISE FEES.
UH, AND, UH, SO I, I MEAN, I'M, I'M NOT SPEAKING AS AN ATTORNEY, I'M NOT ONE, BUT, UH, ON FACE VALUE, THAT'S HOW IT, HOW THE LAW READS.
UH, AND SO THAT IS, UH, A REALLY GOOD CONSTRUCTIVE SUGGESTION THAT HE AND I FIGURED OUT AT TWO 30, UH, SUNDAY MORNING.
UM, SO, UH, WITH THAT, I'M GONNA TRY TO, UM, UM, CHAIR, UH, SHOULD, DO YOU THINK IT WOULD BE PRODUCTIVE FOR ME TO READ THE BULLET POINTS OF THE, BE IT THEREFORE RESOLVED TO SUMMARIZE THEM? OR DO YOU THINK THAT THE COMMISSIONERS HAVE ENOUGH GROUNDING THAT THEY CAN JUST JUMP IN? UH, I THINK, UM, EVEN SPEAKING FOR MYSELF, EVEN HAVING HAD THE OPPORTUNITY TO, TO READ THIS BEFORE, I THINK THE COMMISSION COULD BENEFIT FROM JUST A HIGH LEVEL SUMMARY OF LIKE THE BULLET POINTS OF WHAT YOU'RE RECOMMENDING.
AND I, I, I ALSO FAILED TO ACKNOWLEDGE YOUR, UH, POINT, YOUR BIGGEST POINT TO ME WAS THAT YOU HAD RESERVATIONS ABOUT THE CITY, UH, UM, PRE-APPROVAL OF THE CAPITAL.
PRE-APPROVAL OF, UH, CAPITAL THAT MAKES UP MOST OF NEW RATE INCREASES, TO WHICH I REPLIED.
SO FAR, UM, THERE IS NOT ONE THAT HAS BEEN PRESENTED.
UH, THERE HAS TO BE A WAY FOR US TO STOP, UH, THESE LARGE CAPITAL IMPROVEMENTS WITHOUT A REVIEW, BECAUSE AFTER THE FACT THEY ARE TANTAMOUNT TO PRE-APPROVED, THE RAILROAD COMMISSION VERY RARELY REJECTS THEM.
I AM OPEN TO SUGGESTIONS NOW, UH, TO FOLLOW YOUR, YOUR, UM, IDEA.
I'M GONNA READ THE BULLET POINTS AND SUMMARIZE THEM AS QUICKLY AS I CAN.
UH, SELECTION OF COMPANY AND TERM OF FRANCHISE, UH, THE CITY OF AUSTIN SHOULD CONDUCT A COMPETITIVE BILLING BIDDING PROCESS WITH OTHER UTILITIES, AND AUSTIN ENERGY SHOULD BE ONE OF THE CONTENDERS.
I AM NOT AWARE THAT THE CITY STAFF HAS EVER, UH, DONE THIS BEFORE.
UH, I'VE HAD ONE OF THE CITY STAFF TELL ME, WELL, WE DON'T WANT TO, UH, WE'RE NOT INTERESTED IN PURCHASING THEM, BUT
[01:20:01]
I SERIOUSLY DOUBT THEY HAVE EVER PUT A PENCIL TO THIS TO FIGURE OUT IF THERE'S VALUE IN IT OR NOT, IF IT'S BETTER FOR THE RATE PAYER OR WORSE.UH, SECOND, UM, ON THIS TOPIC, UH, A NEW FRANCHISE AGREEMENT SHOULD BE LIMITED TO A TENURE TERM WITH A FIRM EXPIRATION DATE AND NO AUTOMATIC REMOVAL, UH, BECAUSE THIS WOULD GREATER ENSURE REGULATORY ACCOUNTABILITY.
UH, LET ME, UH, BREAK THE TRAIN TO JUST SAY THAT I DID SEND THIS TO LARRY GRAHAM OF TEXAS GAS SERVICE, UH, SEVERAL DAYS AGO, WHO IS, UH, IN ATTENDANCE TONIGHT, AND I DOUBT IF HE AGREES WITH ANY OF IT, BUT HE IS AT LEAST HAD ADVANCED NOTICE.
IF, IF I MAY, VICE CHAIR, CAN I ASK, I, I BELIEVE WE'RE ON, UH, PAGE THREE WHERE IT SAYS 2.0.
IF WE COULD SCROLL THAT, UH, ON THE SCREEN.
VICE CHAIR, YOU'RE TALKING ABOUT THE BE IT RESOLVED? YES, I CORRECT.
SO ON PAGE THREE, MAYBE A LITTLE BIGGER.
HOW ABOUT A LOT BIGGER? UH, IT'S THE 2.0.
SELECTION OF COMPANY AND TERM OF FRENCH.
UH, THE CITY SHOULD DEMAND PRE-APPROVAL OF CAPITAL EXPENDITURES, UH, RELEVANT TO ITS RATES.
SOMEHOW, UH, THE CITY AND ALSO THE CITY SHOULD APPOINT, SHOULD POSE MERGERS, UH, OF OTHER REGIONS IN THE FUTURE.
UH, IF IT IS POSSIBLE, THE CITY SHOULD REVERSE THE MERGER THAT TOOK PLACE IN THE LAST RATE CASE WITH THE CENTRAL GULF REGION.
UH, THIRD, UH, AUSTIN, UH, SHOULD DEMAND FULL CAPITAL RECOVERY FEES FOR NEW HOOKUPS AND DEVELOPMENTS UNDER THE RATE STRUCTURE, CONSERVATION BASE RATES THAT ALSO HELP THE POOR.
UH, THE CITY SHOULD REQUIRE TEXAS GAS SERVICE TO IMPLEMENT A PROGRESSIVE RESIDENTIAL RATE TIERED STRUCTURE WITH NO LESS THAN THREE TIERS, AND THAT A MONTHLY, UH, BASE RATE FEE COLLECT NO MORE THAN 30% OF THE TOTAL RATE BASE, WHICH IS SIMILAR TO WHAT AUSTIN'S UTILITIES DO.
REGARDING LOW INCOME ASSISTANCE, THE CITY SHOULD IMMEDIATELY REQUIRE, UH, TEXAS GAS SERVICE TO ADOPT, ADOPT AN INCOME QUALIFIED MONTHLY CUSTOMER ASSISTANCE PROGRAM TO BE PHASED IN, TO ENROLL AT LEAST 7% OF RATE PAYERS IN THE CITY LIMITS, UH, APPROX.
AND THIS WOULD, UH, THIS PERCENTAGE WOULD, UH, BE RELEVANT TO ABOUT FOUR YEARS FROM NOW.
UH, THE CHAIR ASKED ME WHY 7% ISN'T THAT ARBITRARY? AND I REPLIED, BECAUSE UP UNTIL RECENTLY, THIS WAS ABOUT THE PERCENTAGE OF, UH, PARTICIPATION IN AUSTIN ENERGY'S CUSTOMER ASSISTANCE PROGRAM.
UH, NEXT, UH, THE CITY SHOULD REQUIRE, UH, TGS TO FUND AT LEAST HALF A MILLION DOLLARS ANNUALLY TO GO UP WITH INFLATION FOR INCOME QUALIFIED EMERGENCY BILL ASSISTANCE, AND FUND AT LEAST HALF OF THIS WITH MONEY PAID BY SHAREHOLDERS.
UM, REGARDING HIGH FUEL COST, TEXAS GAS SERVICE, AND THE CITY SHOULD INVESTIGATE WAYS TO LOWER GAS, GAS STORAGE COSTS, DEMAND FEES, AND RESERVATION FEES, UH, DOWN TO HISTORICAL LEVELS, INCLUDING POSSIBLE OWNERSHIP RELEVANT TO THINGS LIKE GAS STORAGE SYSTEMS, UH, REGARDING SECURITIZATION COSTS, UH, GAS COMPANIES AND THE CITY SHOULD CONSIDER FILING LAWSUITS TO RECOVER THE HIGH PREDATORY COSTS THAT ARE BEING CHARGED, UH, FROM ONLY A FEW DAYS.
DURING WINTER STORM URI, UH, GAS COSTS WENT UP FROM ABOUT $3 PER MCF TO AS HIGH AS $1,100 IN A FEW CASES.
[01:25:01]
UM, REGARDING FRANCHISE FEES, UM, THE 5% FRANCHISE FEE LEVIED BY THE CITY ON FUEL SHOULD EXEMPT FRANCHISE FEES ON HIGH FUEL CHARGES.WHEN THEY REACH UNEXPECTEDLY HIGH LEVELS.
UH, THIS WOULD BE A FORM OF BILL RELIEF.
UH, COMMISSIONER SCHWARTZ ASKED ME TO CLARIFY.
SO SIMPLY A GOOD EXAMPLE IS IF, UH, FUEL IS $5, 5% OF THAT WOULD BE A 25 CENT FRANCHISE FEE.
IF FUEL IS $8, 5% OF THAT WOULD BE A 40 CENT FRANCHISE FEE.
IF FUEL IS $10, IT WOULD BE A 50% FRANCHISE FEE.
BUT IF THERE IS A CAP THAT WE CANNOT CHARGE THE FRANCHISE FEE, UH, ABOVE, UH, $8, THEN WE WOULD ONLY BE CHARGING 40 CENTS INSTEAD OF 50 CENTS.
AND, UH, I DON'T KNOW THAT ANYONE WOULD BE PENALIZED BY THIS.
THE CITY WOULD NOT GET AS MUCH REVENUE TO TRANSFER TO THE GENERAL FUND, BUT THEN THE CITY WOULDN'T BE PROFITING, IF YOU WILL.
I'LL PUT THAT IN QUOTES FROM EXTRAORDINARILY HIGH FUEL COSTS.
UH, ANOTHER THING ON FRANCHISE IS THAT THE CITY SHOULD CONDUCT A BENCHMARK STUDY OF LARGE TEXAS CITIES TO COM COMPARE THE PRACTICE OF EXEMPTING PUBLIC ENTITIES FROM NATURAL GAS UTILITY FRANCHISE FEES.
UH, I'M GONNA GIVE YOU A BRIEF HISTORICAL BACKGROUND.
BEFORE 19, UH, THE MID 1980S, UH, ALL GAS SOLD TO CUSTOMERS, LARGE AND SMALL.
UH, WAS CHARGED A FRANCHISE FEE BECAUSE IT WAS SOLD BY THE UTILITY COMPANY TO THESE CUSTOMERS.
IN ABOUT THE MID EIGHTIES, UH, TEXAS, UH, MADE PIPELINE'S COMMON CARRIERS, UH, FOR, UH, LARGE CUSTOMERS AND LARGER COMPANIES LIKE THE, I'M SORRY, SAMSUNG, UM, THE STATE OF TEXAS, THEY COULD BUY THEIR GAS ON THE OPEN MARKET, AND ALL OF A SUDDEN THEY WERE NOT CHARGED A FRANCHISE FEE ANYMORE.
NOW, WHEN THE, I POINTED THIS OUT, UH, SOON AFTER IT HAPPENED TO THE VICE PRESIDENT OF SOUTHERN UNION GAS AT THE TIME, AND HIS RESPONSE WAS, SO WHAT? UH, THAT'S NOT OUR PROBLEM.
WE'RE FOLLOWING THE LAW AND WE DON'T HAVE TO CHARGE FRANCHISE FEES FOR TRANSPORT GAS ON THESE LARGE CUSTOMERS ANYMORE, AND WE'RE NOT GONNA DO IT.
WELL, IN 2006, THIS WAS PARTIALLY REFORMED AND THE CITY BEGAN, UH, CHARGING FRANCHISE FEES ON TRANSPORT GAS FOR COMMERCIAL CUSTOMERS, BUT NOT FOR, UM, PUBLIC ENTITIES.
AND I'M SUGGESTING THAT THERE ARE THE, UH, BENCHMARK STUDY DONE OF THE CHANNEL LARGEST TEXAS CITIES TO DETERMINE IF WHAT THE COMMON PRACTICE IS, AND IF THE COMMON PRACTICE IS TO CHARGE FRANCHISE FEES ON TRANSPORT GAS FOR PUBLIC ENTITIES, THEN WE SHOULD IMPLEMENT THAT IN THE FRANCHISE RENEWAL.
UH, AND THEN, UH, MOVING ON TO ENERGY CONSERVATION.
I'LL ECHO, UH, COMMISSIONER SCHWARTZ'S IDEA AGAIN, THAT, UH, WE CONSIDER PUTTING THIS, UH, UM, CHARGING A HIGHER FRANCHISE FEE TO FUND THE CONSERVATION PROGRAMS THAT THE CITY SHOULD TAKE OVER MANAGING THESE PROGRAMS. UH, ON THE CHANCE THAT THE CITY DOESN'T DO EITHER OF THESE, THEN WE NEED TO, UH, TRY TO INTERVENE, UH, AT LEAST, UH, ON AN AMICUS BRIEF BASIS WITH THE RAILROAD COMMISSION, UH, AND, UH, OPPOSE CONSERVATION PROGRAMS THAT ARE NOT COST EFFECTIVE AND PERHAPS ADVERTISE THAT CERTAIN
[01:30:01]
OF THESE GAS CONSERVATION PROGRAMS ARE NOT COST EFFECTIVE.UH, AGAIN, UM, UH, I, I THANK THE COMMISSIONERS THAT HAVE RESPONDED SO FAR, AND, UM, ALTHOUGH IT'S FOR, UM, UH, THE CHAIR TO MANAGE THIS MEETING, UH, I CONSIDER THE FLOOR OPEN.
I, I WILL SAY I REALLY APPRECIATE THE TIME AND ENERGY THAT YOU PUT IN TO, TO THIS.
I KNOW IT IS, YOU TREAT IT LIKE A, A, A JOB AND, UM, YOUR, YOUR COMMITMENT TO IT IS EVIDENT.
UM, THERE ARE, BY MY COUNT EIGHT SECTIONS OF RECOMMENDATIONS WITHIN THIS PROPOSAL.
UM, I, I WANT TO TRY TO MANAGE THIS DISCUSSION EFFICIENTLY.
SO, UM, WHAT I WILL PROPOSE INITIALLY, I, I'D LOVE TO TAKE JUST LIKE, JUST LIKE A QUICK SHOW OF HANDS, POLL BY EACH ONE OF THESE, UM, ITEMS. IF YOU HAVE QUESTIONS OR CONCERNS ABOUT ONE OF THESE AREAS AND YOU WANNA DISCUSS FURTHER, LET'S JUST SEE A SHOW OF HANDS AND THAT'LL HELP US KIND OF PRIORITIZE HOW TO GO THROUGH THERE.
UM, IF YOU FEEL LIKE IT'S GOOD, UNDERSTAND IT, DON'T REALLY NEED MUCH ELSE, THEN, UM, YOU KNOW, THEN YOU CAN KEEP YOUR HAND DOWN.
UM, I, I TAKE IT YOU DON'T WANT ME TO VOTE
SO JUST REAL QUICK, I, I DON'T UNDER, ARE YOU ASKING DO PEOPLE WANT TO DISCUSS THIS TOPIC OR DO PEOPLE SUPPORT THIS TOPIC? BECAUSE I, THERE'S A DIFFERENCE.
I, I THINK, WELL, I DON'T WANT TO BIAS, I DON'T WANNA PUT WORDS IN PEOPLE'S MOUTH, BUT WHAT I, WHAT I DON'T WANNA DO IS JUMP ALL OVER THE PLACE AND GO DOWN RABBIT TRAILS ON, ON DIFFERENT ISLANDS.
SO, SO, SO IS IS YOUR PROPOSAL FOR MANAGING THIS PIECE OF THE CONVERSATION TO, TO SAY, SHOW OF HANDS, IF YOU WANNA TALK ABOUT TOPIC ONE, SHOW YOUR HANDS IF YOU WANNA TALK ABOUT TOPIC TWO.
IF WE DON'T, IF, IF FOR, FOR THOSE OF US WHO ARE PRETTY WELL VERSED IN, I DON'T FEEL THE NEED TO TALK ABOUT MANY OF THESE MM-HMM
SO I WOULD KEEP MY HAND DOWN YES.
THROUGH THE BULK OF THESE ITEMS. YES.
SO THAT, THAT'S THE QUESTION I'M ASKING IS THE PROCEDURAL THING, AS OPPOSED TO THE HOW DO YOU WANNA VOTE THING, RIGHT.
I DON'T, I DON'T WANT PEOPLE TO SAY, TO FEEL LIKE THEY HAVE TO VOTE ON, YOU KNOW, ON THE MERITS OF THESE AT THIS MOMENT.
BUT IF YOU NEED CLARIFICATION, IF IT DOESN'T, IF IT SOUNDS KIND OF, YOU KNOW, YOU WANNA TALK ABOUT IT BEFORE MAKING UP YOUR MIND, THEN THAT'S, I THINK WHAT THIS DISCUSSION IS, IS MOST PRODUCTIVE IN DOING.
SO, UM, 2.0 SELECTION OF COMPANY IN TERM OF FRANCHISE.
CAN I SEE A SHOW OF HANDS OF FOLKS THAT WANNA, WANNA DISCUSS THAT FURTHER? I'M, SCENE ONE, TWO.
UH, 10 YEAR FRANCHISE, I'M SORRY.
UH, THERE'S TWO POINTS UNDER SELECTION OF COMPANY.
THERE'S ALSO, UH, SHOULD IT BE A 10 YEAR TERM? RIGHT? I'M JUST, I'M JUST DOING THE, THE EACH SECTION, NOT EACH BULLET POINT.
UH, RATES ONE, TWO, COUPLE IN RATES.
2.2, WHICH IS RATE STR RATE STRUCTURE.
UH, WHO WOULD LIKE TO DISCUSS RATE STRUCTURE MORE? ONE, TWO.
UM, SECURITIZATION COSTS AND FILING OF LAWSUITS, COMMENTS ONE, TWO.
I THINK THAT 1 1 2 5% FRANCHISE FEES? NO.
UM, AND ENERGY CONSERVATION PROGRAMS? I THINK THAT ONE'S DEFINITELY OKAY.
I DIDN'T GET A WHOLE LOT OF, UM, HANDS IN IN MANY OF THESE.
AND, AND, UM, BUT WHAT I THINK, UM,
[01:35:02]
LET'S START WITH TWO SEVEN, THAT'S THE ONE THAT GOT THE MOST, WHICH WAS ENERGY CONSERVATION PROGRAMS. UM, ARE THERE QUESTIONS OR COMMENTS AROUND ENERGY CONSERVATION PROGRAMS WHO'D LIKE TO START? COMMISSIONER SCHWARTZ? YEAH, I WAS JUST WONDERING IF PAUL OR SOMEONE COULD GET US UP TO SPEED.I KNOW THERE WAS A RATE CASE THIS SUMMER AND, UH, ONE OF THE TWO TEXAS GAS SERVICE PROGRAMS WAS, UM, IS NO LONGER EXISTING.
WAS THAT THE SHARE THE WARMTH PROGRAM OR THEIR CONSERVATION PROGRAM? THE, WITH RESPECT TO THE, THE BRIEFING WE HAD LIKE, UH, THREE OR FOUR MONTHS AGO ABOUT THE, THE NEW PROPOSAL THAT THAT TEXAS GUEST SERVICE HAD TO, UM, HAVE A HUNDRED PERCENT OF THE COST OF THE PROGRAM, UH, BE BORN BY THE CUSTOMERS RATHER THAN THE SHAREHOLDERS OF THE COMPANY.
UM, I GUESS MY QUESTION IS TWOFOLD, JUST TO KIND OF BRING ME UP TO SPEED TO REMEMBER ON THIS ONE.
THE QUESTION IS, WHICH PROGRAM WAS THAT? IF, IF ANYONE KNOWS? AND SECOND QUESTION IS, UM, HAS THERE BEEN AN UPDATE IN THAT SINCE OUR BRIEFING A FEW MONTHS AGO? DOES THAT, WHAT, WHAT WAS THE STATUS OF THE RATE CASE IF, 'CAUSE THAT YEAH, THE RATE CASE, THE RATE CASE IS UNDETERMINED.
AND THE, MY UNDERSTANDING IS THAT AUSTIN, AS WELL AS THE OTHER CITIES OPPOSE THE, UM, THE SHARE THE WARMTH PROPOSAL BECAUSE IT DOES NOT GET A MATCHING INVESTMENT FROM, UH, FROM THE, THE SHAREHOLDERS.
BUT AGAIN, THAT'S UNDETERMINED.
UH, AND THERE WAS A PROPOSAL, UH, FOR A CUSTOMER ASSISTANCE PROGRAM THAT IS ALSO OPPOSED BY THE CITIES.
I'M NOT COMPLETE, SHE COMPLETELY SURE OF THE REASONS BEHIND THAT, BUT I BELIEVE IT IS CURRENTLY BEING OPPOSED.
BUT THOSE, THOSE CONSERVATION PROGRAMS ARE THE ONES THAT WERE REJECTED AT THE RAILROAD COMMISSION.
THAT'S A, HE WAS A COMMISSIONER.
SWARTZ WAS ASKING ABOUT TWO THINGS AT ONCE.
THE, YES, THE CONSERVATION PROGRAMS HAVE BEEN REJECTED BY THE RAILROAD COMMISSION AFTER THE BETTER PART OF THE YEAR.
UH, AND AS OF A COUPLE WEEKS AGO, TEXAS GAS SERVICE HAS NOT REAPPLIED, UH, TO, UH, TO DO THAT.
UH, THEY WERE ASKED TO BRING MATCHING FUNDS TO A CONSERVATION PROGRAM, AND I WOULDN'T WANT TO SPEAK FOR THE COMPANY, BUT MAYBE THAT WAS TOO STEEP A HELD TO CLIMB.
THERE'S CURRENTLY NO CONSERVATION PROGRAM, UH, RUN BY THEM, WHICH IS, UM, AT LEAST ON THE BOOKS, UM, A VIOLATION OF THE FRANCHISE AGREEMENT.
BUT GIVEN HOW CRITICAL I'VE BEEN OF THE CONSERVATION PROGRAMS, MAYBE IT'S NOT SUCH A BAD THING.
AND I, I APOLOGIZE FOR THE CONFUSING THIS IN MY QUESTION.
I THINK PART OF THE QUESTION WAS, I, I WHAT, UH, DIDN'T UNDERSTAND WHAT THE STATUS IS, BUT THE, THE SHARE THE WARMTH PROGRAM OR THE LOW INCOME CUSTOMER ASSISTANCE PROGRAMS THAT DOES EXIST CURRENTLY THAT WASN'T KILLED.
UH, UH, LARRY GRAHAM HAS HIS HAND UP, UH, CHAIR DAVIS.
YOU, YOU CAN, UH, RESPOND TO THAT AT THE PODIUM.
SO, LARRY GRAHAM OF TEXAS GAS SERVICE, UM, SO SHARE THE WARMTH.
IT'S A PROGRAM WHERE CUSTOMERS CONTRIBUTE MONEY AND WE ACTUALLY IN OCTOBER, MADE ANOTHER, I THINK $200,000 CONTRIBUTION.
AND SO MOST OF THOSE FUNDS GO TO TRAVIS COUNTY AND THEY AND CATHOLIC CHARITIES.
AND SO THEY POOL IT WITH OTHER MONEY.
SO TO ANSWER YOUR QUESTION, I MEAN, WE, WE JUST PUT ANOTHER $200,000 INTO THE PROGRAM, PROBABLY NOT FOUR WEEKS AGO.
AND TO PAUL'S QUESTION, YOU KNOW, PAUL IS RIGHT ABOUT THE RAY CASE.
THERE IS A, UM, WHAT IS THE LEGAL WORD? THERE'S LIKE A PROPOSED SETTLEMENT, UM, AND THE CITY'S JURISDICTION HAS ENDED.
THE NEXT STEP IS FOR THE ADMINISTRATIVE LAW JUDGE TO ISSUE A, UM, A PROPOSAL FOR DECISION FOR THE THREE RAILROAD COMMISSIONERS.
[01:40:01]
SO WE'LL KNOW MORE ABOUT WHERE SOME OF THESE ISSUES YOU'VE TALKED ABOUT, WHERE THEY'RE GONNA LAND, WE'LL KNOW IN DECEMBER PRETTY QUICK I THINK.BUT A NUMBER OF THE THINGS YOU'VE TOUCHED ON ARE INVOLVED, YOU KNOW, ARE, ARE INVOLVED WITH THE RATE CASE WE MADE PROPOSALS, AND SO ANYWAY, WE'LL, WE'LL KNOW MORE SOON.
UM, SO ON THOSE ENERGY CONSERVATION PROGRAMS, UM, THE TWO ELEMENTS THERE, AUSTIN SHOULD TAKE OVER PLANNING AND MANAGEMENT OF CONSERVATION PROGRAMS AND, UH, IF NOT SUCCESSFUL IN DOING SO, THEN ADVERTISING WHEN THE PROGRAMS ARE NOT COST EFFECTIVE, INTERVENE AND PROVIDE TESTIMONY AND PROHIBIT TGS FROM SPENDING UNUTILIZED GAS CONSERVATION PROGRAM FUNDS FOR OTHER PURPOSES.
IS THERE ANY MORE DISCUSSION ON THAT SPECIFIC SECTION? YES, COMMISSIONER GARY? YES.
SO THE FIRST POINT WHERE IT SAYS, AUSTIN SHOULD TAKE OVER PLANNING AND MANAGEMENT, WHAT DOES THAT LOOK LIKE? UM, BECAUSE WHAT I MEAN CLARITY ON, IT SOUNDS LIKE YOU'RE WANTING AUTHORITY TO GO TO THE CITY OF AUSTIN TO TAKE OVER THEIR PROGRAM.
SO I JUST WANNA KNOW THE THOUGHT PROCESS BEHIND THAT, THAT STATEMENT I SHARE.
UM, WELL, THERE, THERE'S A, A THIRD POINT THAT, UH, AGAIN, WAS NOT WRITTEN BECAUSE IT WAS ONLY MENTIONED A COUPLE DAYS AGO, WHICH IS THAT THE CITY SHOULD CHARGE A HIGHER FRANCHISE FEE AND THEN USE THAT TO FUND ITS OWN PROGRAM.
BUT, UH, PRESUMING THAT DOES NOT HAPPEN, UH, THE CITY OF AUSTIN MANAGED THE PREDECESSOR FOR TEXAS GAS SERVICE, THEIR CONSERVATION PROGRAMS, UH, BETWEEN 1987 AND 1997.
UH, THERE'S SOME HISTORY ABOUT WHY THAT STARTED AND WHY IT ENDED.
BUT THE CITY HAS, UH, DONE THAT AND THEY BASICALLY MANAGED, UH, TEXAS GAS, EXCUSE ME, SOUTHERN UNION GASES, UH, PROGRAMS, UH, THROUGH ITS OWN CONSERVATION AND DEMAND SIDE MANAGEMENT DEPARTMENT.
THEY HAD A SPECIAL PERSON WHO WAS DESIGNATED TO DO THAT.
OKAY, SO WE'RE TALKING ABOUT TECH DEBTS.
SO WHILE THEY'VE BEEN IN CONTRACT, HAS THIS BEEN MANAGED BY THE CITY OF AUSTIN? AND IF NOT, THEN WHY ARE, WHY WOULD ONE SUGGEST THAT THIS NEEDS TO HAPPEN? LIKE WHAT HAS CHANGED? UH, DO YOU WANT TO SILVERSTEIN COMMISSIONER SILVERSTEIN, WOULD YOU LIKE TO RESPOND? PART PART OF THE THOUGHT BEHIND THIS IS THAT FOR THE CITY OF AUSTIN IS ALREADY DEALING WITH AND SERVING THE SAME POOL OF CUSTOMERS, THERE IS PROBABLY 90 PLUS PERCENT OVERLAP BETWEEN THE CUSTOMERS WHOM THE CITY OF AUSTIN IS SERVING, AND THOSE WHO ARE SERVED BY TGS.
AUSTIN IS ALREADY RUNNING SOME VERY EFFECTIVE CONSERVATION PROGRAMS, WHICH OVERLAPS SIGNIFICANTLY IN TERMS OF THE SERVICES THAT AUSTIN IS OFFERING AND THAT HAVE BENEFIT TO GAS USE AS WELL AS ELECTRIC USE.
IT IS NOT A SIGNIFICANTLY GREATER LIFT IF AUSTIN IS, IS AUSTIN'S CONSERVATION PROGRAM IS FUNDED TO EXPAND TO ADDRESS GAS USES.
AND ONE OF THE OTHER THINGS WE TALKED ABOUT WHEN THIS IDEA ORIGINALLY CAME UP WAS THE POSSIBILITY OF, OF TEXAS GAS SERVICE ACTUALLY CONTRACTING THE CITY OF AUSTIN, AUSTIN ENERGY'S CONSERVATION TEAM TO, TO SPEND THE TEXAS GAS SERVICE CONSERVATION FUNDS ON, ON PROGRAMS THAT THE CITY OF AUSTIN DOES THAT, THAT AUSTIN ENERGY DESIGNS, BECAUSE AUSTIN ENERGY'S PROGRAMS ARE CONSISTENTLY, SIGNIFICANTLY MORE COST EFFECTIVE AND EFFECTIVE AT DELIVERING ENERGY SAVINGS THAN TGS HAS BEEN BECAUSE OF TOO MANY OF THEIR PROGRAMS ARE PROMOTING GAS USE AND GAS APPLIANCES RATHER THAN ACTUALLY SAVING ENERGY.
UM, SO, SO I DON'T, FOR ME, I DON'T LIKE THAT, UM, TAKEOVER.
I THINK UNLESS THERE IS SUFFICIENT DATA THAT THEY HAVEN'T BEEN DOING AN EXCELLENT JOB WITH COMPARISON.
I'M, I'M NOT IN FAVOR OF THAT STATEMENT.
[01:45:01]
IF WE WANNA REWORD IT AND WE WORK COLLABORATIVELY WITH AUSTIN, BUT SURELY NOT TAKE OVER THEIR PROGRAMS. I MEAN, HAVE, HAS THIS BEEN RAN BY LEGAL OR ANY LEGAL AUSTIN'S LEGAL DEPARTMENT THIS ENTIRE, UH, RESOLUTION? LET VICE CHAIR, UH, ROBIN SPEAK TO THAT.I KNOW THERE IS CONSIDERABLE DATA BEHIND THE COMMISSIONER GARY, WHILE I WAS ON MY BACK IN THE HOSPITAL DURING THE LAST MEETING, UH, YOU MADE A POINT THAT DATA BE PROVIDED FOR VARIOUS CRITICISMS THAT I HAD AND IN THE REHAB FACILITY, I GOT MY EMAIL WORKING AND DID SEND THAT AND YOU SHOULD HAVE IT.
AND THERE, IF THAT DATA, WHICH, UH, WAS SENT TO THE RAILROAD COMMISSION DOES NOT CONVINCE YOU, THEN I DON'T KNOW WHAT ELSE TO GIVE YOU.
MAY I PLEASE FINISH? IIII JUST NEED, EXCUSE ME, MAY I PLEASE FINISH IF YOU CAN ANSWER MY QUESTION? I DID.
UH, YOU SAID WHERE IS THE DATA? I SENT IT TO YOU.
NOW MY QUESTION AND, AND NOW REGARDING, UH, IS THIS LEGAL? WE DID IT FOR 10 YEARS.
HAVE WE RUN IT BY THAT WAS MY, HAVE WE RUN IT BY CITY LEGAL FOR THIS CURRENT? THAT'S MY QUESTION.
HAVE WE RUN IT BY CITY LEGAL FOR THIS CURRENT RESOLUTION? CORRECT.
SINCE WE ARE JUST TALKING ABOUT THIS NOW? NO, WE HAVEN'T, BUT THERE'S 10 YEARS OF PRECEDENT.
UM, I WOULD LIKE TO REMIND COMMISSIONERS TO HAVE A CIVIL DISCUSSION.
WE'RE NOT GONNA AGREE ON EVERYTHING.
THANK YOU BOTH FOR YOUR, YOUR PASSION, UH, ON THIS TOPIC.
UM, UNLESS THERE'S ANY OTHER DISCUSSION ON AROUND CONSERVATION PROGRAMS THAT I'M READY TO MOVE ON TO THE NEXT ITEM.
THE, THE OTHER ITEM THAT I THINK, UH, IS, IS, UM, IMPORTANT FOR US TO TALK ABOUT IS ON RATES AND RATE STRUCTURE.
UM, I WOULD LIKE TO JUST THROW OUT THERE THAT, UM, FROM MY UNDERSTANDING RATE CASES, ANYTHING TO DO WITH RATES OR PART OF RATE CASE, IT'S NOT PART OF FRANCHISE.
SO I WOULD LIKE TO UNDERSTAND BETTER, UM, HOW THE, YOU KNOW, DETERMINATION OF OF RATE STRUCTURE.
I, I CERTAINLY SUPPORT PROGRESSIVE TIERED RATE STRUCTURES.
UM, AND I ALSO AM NOT SURE HOW THAT FITS INTO A FRANCHISE AGREEMENT AND THE APPROPRIATENESS OF THAT.
SO I WILL OPEN THE DISCUSSION BY ASKING FOR SOME CLARIFICATION FROM THE, THE SPONSORS ON THAT ITEM.
IF ONE OF THE OTHER COMMISSIONERS EXPRESSED RESERVATIONS THAT IT, OUR RATES SHOULD RATES BE IN A FRANCHISE, AND MY RESPONSE WAS IF THEY ARE GENERIC RECOMMENDATIONS, THEN YES.
CAN WE, SHOULD WE SAY YOU MUST CHARGE $4 OR WHATEVER.
THAT, BUT CAN WE MAKE GENERIC RECOMMENDATIONS? YEAH, WE CAN.
VICE, VICE CHAIR, I WOULD, I WOULD, UM, SUGGEST THAT SPECIFYING THREE, AT LEAST THREE TIERS IS A LITTLE MORE SPECIFIC.
AND IF YOU KNOW, GENERIC IS THERE, I I WOULD CERTAINLY SUPPORT, UM, PROGRESSIVE RATE STRUCTURES THAT INCENTIVIZE PEOPLE TO USE LESS GAS, NOT MORE.
THAT WOULD BE A SUGGESTION THAT, THAT SPECIFYING THREE TIERS DOES TO ME FEEL A LITTLE MORE SPECIFIC IN GENERAL.
I CAN, UH, WHAT IS YOUR FEELING ABOUT THE, UH, RATE BASED FEES COLLECT? NO MORE THAN 30% OF THE TOTAL RIGHT BASE? I MEAN, FOR ME, THAT, LIKE, THAT'S A NUMBER THAT SEEMS SPECIFIC TO ME, BUT IT'S NOT SOMETHING I'LL FALL ON MY SWORD OVER, BUT
I DON'T MIND, UH, PERSONALLY I WOULDN'T MIND DELETING THE THREE TIERS, UH, PART AND JUST SAY PROGRESSIVE RATE STRUCTURE, UH, REGARDING THE MONTHLY FEES OF NO MORE THAN 30%.
I'M TRYING TO MIRROR WHAT AUSTIN WATER AND AUSTIN ENERGY ARE DOING.
UM, AND I DO SEE THERE ARE A COUPLE OF COMMISSIONERS THAT HAVE COMMENTS ON
[01:50:01]
THAT.I SAW COMMISSIONER SCHWARTZ AND THEN COMMISSIONER SILVERSTEIN.
YOU WANNA CON GO AHEAD, PLEASE.
UH, YEAH, I WAS JUST GONNA MENTION, GENERALLY I THINK I GAVE THAT FEEDBACK AT ONE POINT WHERE, WHERE I WAS WONDERING WHAT THE, UM, WHAT THE APPROPRIATE SPLIT IS BETWEEN THESE TWO TYPE OF, UH, BETWEEN THE FRANCHISE AND THE, THE RATE CASE STRUCTURE.
I DID GO BACK AND WATCH THE MAY MEETING WHERE MARIA NORTON OR MAYOR JUNE PRESENTED TO US AND THERE WAS AN EXCHANGE ABOUT WHETHER IT'S APPROPRIATE FOR RATE ISSUES TO BE INCLUDED IN FRANCHISE AGREEMENT.
AND SHE DID AGREE AT LEAST, YOU KNOW, IN THAT DISCUSSION THAT THERE WAS, UM, I DON'T WANNA MISQUOTE IT, BUT THERE, THERE WAS SOME AGREEMENT FROM CITY STAFF THAT MAYBE, UM, THE, THAT IT, IT WOULDN'T BE UNREASONABLE TO INCLUDE RATE ISSUES IN THE FRANCHISE AGREEMENT.
BUT I ALSO UNDERSTAND THAT THE RATE CASE IS REALLY WHERE ACTUAL RATES DOLLARS AND CENTS BELONG.
SO I JUST WANTED TO CLARIFY THAT I SINCE KIND OF LEARNED THAT, AND I, I DON'T REALLY MYSELF KNOW WHAT THE APPROPRIATE WAY TO, TO INCLUDE THIS WOULD BE.
I KNOW I READ THE CURRENT FRANCHISE AGREEMENT, IT DOESN'T NECESSARILY TALK ABOUT RATES, BUT, BUT YEAH, I JUST KIND OF WANTED TO VOICE MY SUPPORT THAT I SEE THIS AS A REALLY IMPORTANT ISSUE AS FAR AS LIKE, YOU KNOW, UH, SOMETHING THAT THE, THE CITY SHOULD CARE A LOT ABOUT IN THE, ANY LEVERAGE THAT IT HAS OVER RENEWING THIS.
SO IT SEEMS TO ME I SUPPORT INCLUDING THIS IN THE FRANCHISE AGREEMENT, OR AT LEAST US AS RMC ASKING THE CITY, UH, STAFF AND, UH, COUNCIL TO, YOU KNOW, LOOK AT THIS IN THE NEGOTIATION.
THANK YOU COMMISSIONER SILVERSTEIN.
I'D LIKE TO ASK MR. GRAHAM A COUPLE QUESTIONS IF I MAY.
THE, THE FIRST IS, HOW OFTEN DOES TEXAS GAS SERVICE GO BEFORE THE RAILROAD COMMISSION FOR RATE CASE? UM, I WOULD SAY GENERALLY SPEAKING, THREE TO FIVE YEARS, YOU KNOW, WE DID, WE, WE DID DO ONE LAST YEAR.
UM, THIS YEAR THE PURPOSE WAS MAINLY TO CONSOLIDATE THE SERVICE AREAS AND, UM, REALLY TO CHANGE SOME OTHER THINGS THAT WE CAN ONLY DO IN A RATE CASE.
SO YEAH, THE GENERALLY THREE TO FIVE YEARS, I THINK WE MAY GO BACK TO FIVE YEARS.
SO IF WE ADOPTED AND RECOMMENDED PROVISIONS LIKE THIS, IT WOULD IN ACTUALITY TAKE THREE TO FIVE YEARS MINIMUM BEFORE THEY WOULD EVER HAVE ANY PRACTICAL EFFECT IN TERMS OF POTENTIALLY REACHING THE RAILROAD COMMISSION AND AFFECTING A NEW OUTCOME RELATIVE TO WHERE WHAT WE ARE GONNA SEE IN THE NEXT THREE MONTHS.
YEAH, AND I, I HONESTLY CAN'T TELL YOU WHEN THE NEXT ONE IS RIGHT.
BUT IT'S LIKELY TO BE SEVERAL YEARS AND SOME OF THE THINGS THAT YOU GUYS ARE TALKING ABOUT CAN ONLY HAPPEN PROCEDURALLY DURING THE RIGHT CASE.
AND THE SECOND QUESTION IS SPECIFIC TO THE TOPIC OF, UM, CAPITAL RECOVERY FEES FOR NEW HOOKUPS AND DEVELOPMENTS, IS THAT A TGS POLICY ISSUE INTERNAL, OR IS THAT SUBJECT TO RAILROAD COMMISSION DIRECTION? UM, GOOD QUESTION.
I THINK THAT THE POLICY THAT WE USE ON MAIN EXTENSIONS, WHICH I THINK IS THE, THE HEART OF THIS IS, UM, IT'S IN THE RULES OF SERVICE.
AND IT IS SOMETHING THAT THE, THE CITIES AND THE RAILROAD COMMISSION HAVE A SAY OVER THAT, THAT POLICY RIGHT AS IT IS TODAY.
SO NOT THE POLICY IS, YOU KNOW, WHAT IS THE ECONOMIC MODEL THAT WE USE TO DETERMINE IF WE'RE GONNA DO A MAIN EXTENSION AND HOW MUCH WE'RE GONNA CHARGE IF WE'RE GONNA DO IT.
THAT POLICY, I THINK, I BELIEVE IS WHAT INCLUDED IN WHAT WE CALL A RULES OF SERVICE, AND THAT IS APPROVED WHEN WE UPDATE, IT'S UPDATED WITH THE, UH, RATE CASE.
SO THAT'S A TARIFF APPROVED BY THE RAILROAD COMMISSION, AND IT IS NOT A POLICY THAT THE CITY OF AUSTIN CAN ASK FOR SPECIFIC TREATMENT WITHIN OUR BOARD.
I THINK WE PROPOSE THE POLICY, BUT IT HAS TO BE ADOPTED OR APPROVED.
CAN I SAY ONE LAST THING? JUST, I JUST WANNA MAKE SURE EVERYBODY UNDERSTANDS THAT THE FRANCHISE IS NOT SOMETHING THAT THE CITY APPROVES UNILATERALLY.
THE CITY CAN PASS AN ORDINANCE, BUT A FRANCHISE ISN'T EFFECTIVE UNTIL WE SIGN IT.
SO I JUST WANNA MAKE SURE THAT YOU ALL UNDERSTAND THAT THE FRANCHISE IS NOT JUST THE CITY IMPOSING SOMETHING UPON US, IT'S SOMETHING THAT WE NEGOTIATE WITH THE CITY.
AND IF THE CONDITIONS ARE SUCH, YOU KNOW, THEY'RE THAT WE,
[01:55:01]
YOU KNOW, CAN'T AGREE WITH OR CAN'T LIVE WITH, WE WON'T SIGN IT.SO I, I JUST, I JUST WANNA MAKE SURE YOU GUYS UNDERSTAND THAT THAT'S HOW THE PROCESS WILL WORK.
IT HASN'T STARTED YET, BUT IT, IT WILL AND, AND THAT IS WHY THEY CALL IT A FRANCHISE AGREEMENT.
UM, YES, COMMISSIONER FARMER, SORRY.
IT JUST SAYS YOU GET BACK TO YOUR SEAT.
SO WHAT HAPPENS IF YOU DON'T COME TO AGREEMENT? SO THAT IS THE $64 QUESTION.
SO, YOU KNOW, WE HAVE, AND I I YOU LEFT SOME ZEROES OFF THERE,
WHAT'S THAT? WHAT'D YOU SAY? YOU LEFT SOME ZEROS OFF THAT NUMBER.
I, I THINK I'VE HEARD, SO WE HAVE FRANCHISES WITH 104 CITIES OR SOMETHING, AND OBVIOUSLY ONLY EL PASO AND AUSTIN ARE LARGE CITIES.
WE, WE HAVE FRANCHISES WITH A LOT OF SMALL CITIES.
THERE HAVE BEEN OTHER CITIES IN TEXAS WHERE THE CITY AND THE GI THINK CENTER POINT, FOR EXAMPLE, HAVE NOT, UH, THEY'VE LET A FRANCHISE EXPIRE AND LAPSE SO WE CAN CONTINUE TO PAY THE CITY THE FRANCHISE FEE AND CONTINUE TO NEGOTIATE IT.
WE CAN TAKE THE FRANCHISE FEE AND NOT PAY THE CITY, PUT IT IN SOME SORT OF ESCROW ACCOUNT UNTIL WE HAVE A FRANCHISE.
YOU KNOW, PRACTICALLY SPEAKING LIKE PAUL, I'M NOT AN ATTORNEY.
UM, I THINK IT'S UNLIKELY THAT THE CITY COULD ASK US TO STOP DISTRIBUTING GAS TO 240,000 CUSTOMERS.
I THINK IT'S UNLIKELY THAT THE CITY WOULD DO THAT.
IF THEY DID, WE WOULD APPEAL IT AND I THINK SOME JUDGE WOULD SAY, GET IN A ROOM AND FIGURE THIS OUT.
SO, UM, THAT'S NOT OUR INTENTION.
I THINK IF WE GOT UP TO THE WIRE, WE COULD CITY COULD EXTEND THE FRANCHISE FOR ANOTHER FEW MONTHS.
WE'VE DONE THAT WITH OTHER CITIES JUST TO, YOU KNOW, THE OTHER THING IS, IT'S A LEASE, RIGHT? WE HAVE THOUSANDS OF MILES OF PIPE IN THE CITY STREET, SO IT'S GONNA BE DIFFICULT BE IMPRACTICAL FOR US TO PICK UP OUR PIPE AND, AND LEAVE.
RIGHT? SO I THINK I TOLD PAUL IT'S LIKE A MARRIAGE.
WE'LL, WE'LL HAVE TO FIGURE OUT A WAY TO GET ALONG TOGETHER.
SO, SO, BUT IT'S A GOOD QUESTION.
UM, OTHER QUESTIONS OR CONCERNS OR COMMENTS AROUND RATES AND RATE STRUCTURE PLEASE? I JUST, I JUST, UM, I HAVE A FIRST GRADER WHO'S WITH HER GRANDPARENTS RIGHT NOW, SO I'M GONNA HAVE TO GET OUTTA HERE PRETTY QUICKLY.
UM, I, I GUESS I JUST WANT TO LIKE, TAKE TEMPERATURE.
IS THERE AN INTENT, DO YOU FEEL LIKE, TO VOTE ON THIS TONIGHT? BECAUSE I CAN HANG OUT FOR LIKE 10 MORE MINUTES IF WE'RE GONNA VOTE, BUT I THINK IF IT'S JUST MORE DISCUSSION, I'M PROBABLY GONNA SCOOT.
UH, I'M, I DON'T THINK, I DON'T THINK WE ARE READY TO VOTE ON THIS TONIGHT.
UH, THIS IS ONLY POSTED FOR A VOTE, UH, AND IN SOME EXTREME SITUATION THAT I COULDN'T PREDICT.
UH, SO THAT WAS MY READ ON IT.
BUT, BUT, UH, IF YOU HAVE COMMENTS ABOUT HOW TO MAKE THIS BETTER OR QUESTIONS, UH, PLEASE, UH, IF YOU HAVE TO LEAVE NOW, SUBMIT THEM TO NATASHA GOODWIN TO MS. NATASHA GOODWIN, AND, UH, I WILL, I WILL ANSWER TO THE WHOLE GROUP THROUGH HER.
UM, GIVEN THAT I WANTED, IT SEEMED LIKE THE OTHER PROVISIONS WERE ABOUT THE SAME IN TERMS OF, UM, TEMPERATURE.
SO I, AT THIS TIME, I WANNA JUST OPEN IT UP TO THE COMMISSIONERS FOR ANY COMMENTS AROUND THE RECOMMENDATION IN ANY AREA.
COMMISSIONER COOK, I HAVE A LOT OF QUESTIONS JUMPING INTO THIS.
BUT I THINK LIKE IT WILL BE FIGURED OUT IN TIME.
I THINK ONE QUESTION I HAVE RIGHT NOW, LIKE VERY BASICALLY IS, UM, TALKING ABOUT THE SECURITIZATION COSTS MM-HMM
UM, WHAT IS THE RELATIONSHIP WITH TGS AND LIKE THE SECURITIZATION COSTS FROM THE WINTER STORM URI? AND MAYBE I I CAN, I CAN TAKE THAT ONE.
THE, UM, TEXAS GAS SERVICE WAS ANOTHER RETAIL CUSTOMER, SO THEY WERE BUYING FROM THE GAS, UM, MARKETERS AND SHIPPERS AND, AND SO THEY HAD TO TAKE THE AMOUNTS THAT WERE BEING OFFERED AT THE TIME AND HAD LIMITED CONTROL OVER AS THE, AS THE VOLUMES THAT WERE DEMANDED WENT UP.
THEY ESSENTIALLY HAD TO TAKE PAY WHATEVER THE MARKET WOULD BEAR AT
[02:00:01]
THIS.AND, AND THEY ARE BEING, THE PURPOSE OF SECURITIZATION IS TO, UM, MAKE THEM WHOLE BY HAVING US PAY FOR THOSE OVER A LENGTHY PERIOD OF TIME, LIKE AMORTIZING A HOME MORTGAGE RATHER THAN PAYING FOR IT ALL AT ONCE.
UM, THE, MOST OF THE LAWSUITS THAT WERE FILED TO RECOVER THE COST CHARGED DURING WINTER STORM URI ARE LONG IN PROCESS.
WE WOULD BE, AND MOST OF THE ONES THAT HAVE BEEN RESOLVED TO DATE HAVE BEEN RESOLVED AGAINST THE FOLKS WHO WERE SAYING, BUT FORCE MAJEURE WOULD MEAN THAT YOU COULDN'T CHARGE ME THIS.
AND, AND INVARIABLY THE LAWS, I DON'T RECALL ANY CASES WHERE A SUIT AGAINST, UM, HIGH PRICES HAS BEEN SUCCESSFUL, OTHER, AT LEAST NOT IN THE STATE OF TEXAS.
SO, SO I THINK THAT, THAT, WHILE I SUPPORT IN PRINCIPLE, THE IDEA THAT THAT TEXAS GAS SERVICE AND THE RATE PAYERS OF AUSTIN SHOULD BE COMPLAINING, IT WON'T GET US ANYWHERE EXCEPT MORE LEGAL BILLS IS, IS MY PERSONAL SENSE.
SO JUST TO LIKE, REALLY YEAH, CLARIFY, THIS IS SAYING THAT GAS COMPANIES, INCLUDING TGS AND THE CITY OF AUSTIN, SHOULD CONSIDER FILING LAWSUITS TO GET THAT MONEY, YOU KNOW, TO LIKE NOT HAVE TO PAY THAT BILL THAT WAS, YOU KNOW, PR GOUGED OR WHATEVER, YOU KNOW, YOUR POLITICAL TAKE IS ON WHAT HAPPENED.
UM, THAT IS WHAT IT'S SAYING, RIGHT? UH, JUST, UH, MY OWN CLARIFICATION IS THAT THE AVERAGE RESIDENTIAL TEXAS SERVICE GAS CUSTOMER WILL BE PAYING ABOUT $38 EXTRA A YEAR THROUGH THE YEAR 2039, UH, FOR SECURITIZATION, UH, SINCE, UH, OUR, SINCE MANY TEXANS USE MORE, UH, GAS THAN AUSTIN, IT'S ABOUT $60 AVERAGE FOR ALL RESIDENTIAL CUSTOMERS IN THE STATE, UH, THROUGH THE YEAR 2039.
AND, UH, I BELIEVE IN AT LEAST ONE CASE, UH, THE CITY, UH, SAN ANTONIO CITY PUBLIC SERVICE DID SUE AND GET SOME REIMBURSEMENT BACK FOR THEIR EXCESSIVE GAS COSTS.
THEY, HOWEVER, WERE UNDER SEAL AND NO ONE KNOWS WHAT THE SETTLEMENT WAS.
AND, AND THE SECURITIZATION ITSELF WAS ESTABLISHED BY THE, THE LEGISLATURE.
SO THERE'S, THE SECURITIZATION IS ITSELF ADDING MORE COSTS, BUT WE'RE PAYING LOWER COSTS OVER TIME THAN WE WOULD HAD TGS DONE THE ALTERNATIVE, WHICH WAS TO JAM, YOU KNOW, A BILLION DOLLARS OR WHATEVER OF, OF, OF THE HIGHER GAS COST INTO OUR RATES IMMEDIATELY.
BUT I DON'T, AND I DON'T KNOW WHAT THE STATUTE OF LIMITATIONS IS ON, ON HOW LONG IT TAKE YOU'VE GOT TO, TO FILE THESE SUITS, SO I KNOW THAT, I'M SURE YOU KNOW THAT THERE'S, UH, A, IT'S CALLED THE CIRCLE X LAWSUIT.
AND I'M AWARE THEY HAVE NOT YET PREVAILED IN A TEXAS COURT.
UH, I DON'T KNOW THAT, UH, AUSTIN HAS JOINED THIS LAWSUIT, BUT IT'S TOO LATE TO DO THAT NOW, IS IT? YEP.
WE HAD TO BE A PLAINTIFF AT A CERTAIN DATE.
YEAH, IT'S PRETTY FAR DOWN THE TRACK.
OTHER QUESTIONS OR COMMENTS AROUND THE RECOMMENDATION? YES, COMMISSIONER GARY.
UM, I STILL HAD QUESTIONS ABOUT THE ITEM THAT WE WERE SPEAKING ABOUT BRIEFLY BEFORE YOU MOVED ON TO SOMETHING ELSE, BUT FOR THE SAKE OF TIME AND FOR THE SAKE OF GOING BACK AND FORTH, UM, IT SEEMS LIKE IT'S AN ISSUE WITH ME ASKING QUESTIONS.
I WILL SEND THE QUESTIONS, UH, TO MS. GOODWIN AND THEN IF WE CAN GET 'EM ANSWERED, IF I CAN GET MY QUESTIONS ANSWERED BY, UH, EMAIL, UH, FROM THE, UM, COMMISSIONERS THAT WORKED ON THIS TO, TO BETTER GET CLARITY ON THE RESOLUTION TO PREVENT ANY OTHER, YOU KNOW, BACK AND FORTH.
YEAH, THE OTHER THING I THINK, UM, VICE CHAIR ROBBINS THAT YOU DID MENTION AT THE, AT THE BEGINNING WHEN YOU WERE TEEING THIS UP WAS THE, UM, THE ITEM AROUND PRE-APPROVAL OF CAPITAL
[02:05:01]
EXPENDITURES, WHICH IS, UH, ONE THAT THE CITY SHOULD DEMAND, UM, PRE-APPROVAL FOR CAPITAL EXPENDITURES.AND I JUST, I DON'T KNOW WHAT TO DO ABOUT, ABOUT THAT.
UM, I KNOW THAT, THAT THAT IS A PROVISION THAT HAS GOTTEN SIGNIFICANT PUSHBACK, UM, FROM STAFF AND AROUND LIABILITY ISSUES.
AND, UM, I THINK I, I SUGGESTED, YOU KNOW, WHAT, IF THERE'S SOME SORT OF A WAY TO, YOU KNOW, FOR SAY A PUBLIC HEARING AROUND THOSE, IF THINGS GO BEYOND A CERTAIN AMOUNT OR, YOU KNOW, I DON'T KNOW WHAT THE, THE ANSWER IS.
I, I DEFINITELY DO SHARE THE CONCERN THAT THERE IS SEEMINGLY NO CEILING WHATSOEVER ON ANY CAPITAL EXPENDITURES THAT COULD BE MADE.
AND THEN, UH, THE COST OF WHICH PUSHED ONTO THE RATE PAYERS.
UM, AT THE SAME TIME, I, I HAVE SOME CONCERNS AROUND WHAT THE BUREAUCRACY OF HAVING THE CITY APPROVE A CAPITAL EXPENDITURE WOULD, WOULD LOOK LIKE IN PRACTICE.
UM, SO IT'S NOT REALLY A QUESTION, IT'S JUST KIND OF MY THOUGHT PROCESS.
AND THERE'S A LOT OF SMART PEOPLE IN THIS ROOM, MANY, MOST OF WHOM HAVE MORE KNOWLEDGE AROUND THE SPECIFIC AREA THAN THAN ME.
SO I'D, I'D LOVE TO HEAR ANY, YOU KNOW, ANY THOUGHTS OR FEEDBACK ON AROUND THAT.
COMMISSIONER SILVERSTEIN, I HAVE, UM, HUGE SYMPATHY WITH, UM, THE CONCERN OVER THE MAGNITUDE OF THE CAPITAL INVESTMENTS THAT HAVE BEEN MADE.
I UNDERSTAND THAT IN THE CASE OF THE, UM, PARTICULARLY WITH RESPECT TO PART, PART OF THOSE ARE, ARE STANDARD SYSTEM EXPANSION AND, AND, AND SORT OF MAINTENANCE REPLACEMENT KINDS OF FUNCTIONS.
AND THE OTHER PART IS, IS LIKE A HARDENING AND RISK MANAGEMENT PROGRAM THAT HAS BEEN APPROVED BY THE LEG, DIRECTED BY THE LEGISLATURE.
AND IT IS, THEY HAVE EVERY RIGHT TO SPEND THAT MONEY AND NO OBVIOUS COST EFFECTNESS REQUIREMENTS FOR ANY OF IT.
WITH THAT SAID, HOWEVER, UM, AND, AND IT IS NOT CLEAR HOW OFTEN THE RAILROAD COMMISSION ACTS AS A CHECK ON THESE INVESTMENTS, BUT THE FUNDAMENTAL, ONE OF THE FUNDAMENTAL RULES OF UTILITY REGULATION AS ESTABLISHED IN THIS COUNTRY HAS BEEN FOR YEARS THAT THE REGULATORS DON'T MICROMANAGE THE UTILITIES INVESTMENTS IN ADVANCE.
YOU DECIDE LATER, YOU KNOW, THEY, THEY HAVE A SYSTEM THAT THEY NEED TO MANAGE, THEY HAVE PROFESSIONALS WHO MAKE DECISIONS ABOUT HOW TO DO THAT IN THE BEST WAY POSSIBLE.
AND THEY ARE SUPPOSED TO BE GOOD STEWARDS OF THE MONEY THAT THEY ARE SPENDING, THAT THEY'RE COLLECTING FROM US.
AND SO WHILE I WOULD LIKE TO BE ABLE TO SAY, YOU SHOULDN'T SPEND THAT MONEY BECAUSE WE DON'T WANT THAT MUCH MONEY SPENT, PRE-APPROVAL IS NOT PRE-APPROVAL BY A CITY IS, I DON'T THINK, AND I DON'T THINK IT'S, I DON'T KNOW THAT IT'S BEEN DONE ANYWHERE.
AND IT IS NOT SOMETHING THAT, UM, THAT AS AN EX REGULATOR OF UTILITIES I'M COMFORTABLE WITH.
I WISH THE REG, THE RAILROAD COMMISSION, WERE DOING A BETTER JOB AT HOLDING UTILITIES ACCOUNTABLE AND EVALUATING THESE INVESTMENTS WITH A MORE CRITICAL EYE.
BUT THAT IS NOT THE WORLD WE LIVE IN AT THIS TIME.
SO I AM STUCK BETWEEN SUPPORTING THE IDEA AND NOT BEING ABLE TO SUPPORT THE ACTUALITY OF AUSTIN SHOULD HAVE PREAPPROVAL.
I THINK IT WOULD BE NICE TO EXPLORE, UM, TO HAVE, HAVE THEM SAY, HEY AUSTIN, WE'RE SPENDING THIS AND PARTS OF IT ARE IN YOUR JURISDICTION AND PARTS OF IT ARE SPILLOVER AND, BUT HERE IS WHY WE'RE DOING IT.
THAT WOULD BE LIKE A BRIEFING FUNCTION, BUT NOT AN APPROVAL FUNCTION.
UM, AND, YOU KNOW, MAYBE AUSTIN COULD SAY, HEY, HAVE YOU THOUGHT ABOUT DOING THIS RATHER THAN THAT, BUT I DON'T THINK IT'S OUR JOB TO HOLD THEM DOWN OR SLOW THEM DOWN IN ANY SIGNIFICANT WAY.
CAPITAL PRO CAPITAL CONTRIBUTIONS IN NATIVE CONSTRUCTION AND, AND, AND EXPANSION, YOU KNOW, CHARGING PEOPLE FOR THE, THE LINE EXTENSIONS.
WE SHOULD BE ALL OVER THAT BECAUSE THERE'S AN AWFUL LOT OF MONEY THAT PRIVATE PARTIES SHOULD BE SPENDING FOR THEIR OWN SERVICE THAT WE'RE ALL PAYING FOR.
THANK YOU COMMISSIONER SILVERSTEIN, SIR.
UM, OUR RATES, IF, IF TEXAS GAS SERVICE GETS ITS REQUESTED RATE, OUR RATES WILL HAVE GONE UP 132%
[02:10:01]
IN A NINE YEAR PERIOD, UH, AND WELL A 10 YEAR PERIOD.UH, AND I DON'T KNOW THAT IT IS, YOU SAY IT'S NOT OUR BUSINESS TO TELL THEM THEIR BUSINESS, BUT I KIND OF THINK IT'S GOTTEN TO THAT EXTREME WHERE IT IS.
I MEAN, WHEN IS HARDENING GOLD PLATING? AND THAT'S THE ARGUMENT HERE.
THE CITY OF AUSTIN DOES NOT HAVE THE TECHNICAL CAPABILITY TO TELL WHETHER WHAT IS HARDENING AND WHAT IS GOLD PLATING, BUT THEY COULD HIRE IT.
SO COULD THE RAILROAD COMMISSION, UM, I MEAN THE, THE, THE PROBLEM, BUT THEY'RE NOT, I KNOW, AND THE PROBLEM IS THAT I DON'T SEE THE, THE, THE ASSOCIATION OF TEXAS GAS SERVICE CITIES OR WHATEVER THEY'RE CALLED STEPPING UP AND SAYING, LET'S HIRE A CONSULTANT TO LOOK AT THOSE AND LET'S TAKE A MORE COMPELLING ANALYSIS AND ANSWER TO THE RAILROAD COMMISSION.
THE THE PROBLEM IS THAT I, THERE, I THINK THERE ARE LIMITS TO WHAT THE CITY OF AUSTIN CAN DO ON OUR OWN.
AND I THINK WE NEED TO PICK, PICK OUR PRIORITIES.
AND, AND ONE OF MY PRIORITIES HERE IS IF I HAD TO PICK, UM, LINE EXTENSIONS CONTRIBUTIONS IN NATIVE RE IN NATIVE CAPITAL INVESTMENT THERE, CONSERVATION PROGRAMS THAT ACTUALLY WORK AND ARE COST EFFECTIVE LOW INCOME SUPPORT PROGRAMS ON A LONGER TRACK RATE DESIGN BECAUSE, UM, AND, AND I WOULD LIKE TO BE ASKING THE RAILROAD COMMISSION TO DO A BETTER JOB AT COST EFFECTIVE ANALYSIS OF, OF LIKE HARDENING AND CAPITAL INVESTMENT PROGRAMS BROADLY, INSTEAD OF JUST BEING A, A CHECKBOX FOR ALL OF THE, THE GAS COMPANY REQUESTS.
SO I'D LIKE TO SEE SYSTEMATIC STRUCTURAL CHANGE, BUT MOST OF THAT CAN'T BE DONE WITHIN THE CONTEXT OF A FRANCHISE AGREEMENT.
UM, IF THE CITY OF AUSTIN IS A MAJOR, BUT NOT TOTAL PART OF THE CURRENT REGION, AND IF ALL THE REGIONS, THE THREE CURRENT REGIONS OF TEXAS GAS SERVICE ARE CONSOLIDATED, WHAT WE WOULD BE AN EVEN SMALLER PART, BUT IT WOULD BE IN THE SELF-INTEREST OF ALL THE CITIES, UH, IN EITHER OUR CURRENT REGION OR THE PROPOSED EXPANDED REGIONS TO DO THIS.
NOW, IF WE HAPPEN TO BE THE FIRST ONE, NOTHING PREVENTS US FROM, UH, GOING TO, UH, EL PASO OR, UH, THE VALLEY AND ASKING THEM TO JOIN US, UH, IN HIRING A CONSULTANT FOR PRE-REVIEW OF THEIR CAPITAL EXPENDITURES.
UH, AND YOU'RE SAYING, WELL, THE RAILROAD COMMISSION SHOULD BE DOING IT IN A PERFECT WORLD.
YEAH, BUT SINCE THEY'RE NOT, THIS WOULD BE THE BEST WAY, IN MY HUMBLE OPINION, TO COMPENSATE.
AND, AND WHAT I'M TRYING TO SAY IS REGULATORY SYSTEMS DON'T RUN ON PRE-REVIEW REGULATORY SYSTEMS THAT WORK IN MOST PLACES SET UP A SET OF PRINCIPLES AND RULES ABOUT THIS IS WHAT YOU CAN DO, THIS IS THE SCREENING PROCESS, NOW GO MAKE IT WORK.
AND PRE-REVIEW OF INDIVIDUAL EXPENDITURES AND, AND COMMITMENTS IS NOT ONE OF THOSE THINGS.
OH, I, THAT'S WHY MR. KLUGE TOLD US, HERE'S A LIST OF THE THINGS THAT WE ARE PUTTING OUR, OUR, OUR, OUR CAPITAL EXPANSION PROJECTS.
HE DIDN'T SAY, MAY I PLEASE SPEND THIS MONEY.
HE SAID, THIS IS WHAT WE'RE DOING BECAUSE IT'S THEIR PROFESSIONAL JUDGMENT THAT THESE ARE THE THINGS TO BE NEED TO BE DONE TO IMPROVE THEIR SYSTEM AND TO FIX LEAKS AND TO EXPAND IT.
AND ALL OF THOSE THINGS ARE APPROVED BY CITY COUNCIL.
I'VE, I'VE LIVED IN THE CITY SINCE THE SEVENTIES AND THE, UH, I, I MEAN, YOU COULD ARGUE THAT, UH, YOU KNOW, SOME COUNCIL MEMBERS PAY MORE ATTENTION TO IT THAN OTHERS, BUT ALL OF THOSE THINGS ARE PRE-APPROVED.
THAT'S BECAUSE OUR CITY COUNCIL ARE THE MANAGERS AND OWNERS OF BOSTON WATER
[02:15:01]
AND WASTEWATER, AND WE ARE, WE ARE, WE ARE NO LONGER IN A PRODUCTIVE SPACE HERE.I ACTUALLY DO THINK THAT THIS, THIS DISCUSSION HAS BEEN QUITE PRODUCTIVE.
UM, BUT I DO SENSE THE ENERGY IN THE ROOM KIND OF WANING AND, UH, SINCE I, I DON'T THINK ANYBODY'S DYING TO VOTE ON THIS TONIGHT.
I WOULD SUGGEST THAT WE TABLE THIS DISCUSSION AND PICK IT BACK UP AT OUR JANUARY MEETING.
COMMISSIONER ZAIN, DID YOU I, I, SORRY.
UNLESS ANYONE HAS ANY OTHER COMMENTS OR AROUND THAT THIS ITEM TONIGHT? NO.
COMMISSIONER ZI? UH, MY ONLY COMMENT IS, I THINK JUST FOR THE BENEFIT OF EVERYBODY, I THINK WE NEED A TABLE, LIKE A SUMMARY TABLE THAT SAYS WHAT THE RECOMMENDATION IS, WHAT THE PLAIN LANGUAGE IS, WHO IT CLEARLY BENEFITS, AND MAYBE JUST LIKE THE PRO AND THE CON IN LIKE ONE SENTENCE ACROSS THIS IS, THIS FEELS A LITTLE DENSE AND I, I JUST DON'T, I DON'T KNOW HOW, UM, HOW WELL WE'RE ENGAGING AS A RESULT OF MAYBE SOME DIFFERENCES IN, UM, I DON'T KNOW, UH, EDUCATION.
CAN I, CAN I OFFER SOMETHING REAL QUICK? UM, WE, THERE ARE TEMPLATES THAT Y'ALL CAN USE TO MAKE RECOMMENDATIONS TO COUNCIL COUNSEL, WE'D BE HAPPY TO SEND YOU ON THERE.
THEY'RE VERY CLEAR, AS YOU ARE SAYING.
AND I KNOW, UM, YOU KNOW, AS A, AS A SUB QUORUM CAN OBVIOUSLY WORK ON, ON SOME OF THOSE THINGS OFFLINE TOO AND THEN BRING IT BACK TO THE GROUP, UM, OR IF YOU WANNA COMMUNICATE TO THE ENTIRE COMMISSION THROUGH THE STAFF LIAISON THROUGH MS. GOODWIN.
[FUTURE AGENDA ITEMS]
UM, SO THAT BRINGS US TO FUTURE AGENDA ITEMS. WELL, I HOPE THAT THIS WILL BE POSTED ON THE NEXT MEETING.THIS WILL DEFINITELY BE IN THE NEXT MEETING, CORRECT? YES.
UM, YES, COMMISSIONER SILVERSTEIN, A QUESTION FROM MS. EVERHART, DO YOU KNOW THE STATUS OF THE DISTRICT HEATING AND COOLING PROPOSAL
I JUST KEEP HEARING IT'S NOT READY YET.
CAN, UM, LET US PLACE IT PLEASE.
AS A REPORT AND DISCUSSION ON THE JANUARY MEETING AGENDA.
WE'LL TAKE THE RECOMMENDATION UNDER CONSIDERATION AND, AND WELL, LET'S KEEP IT ON UNTIL WE HAVE ABSOLUTE INFORMATION FROM STAFF THAT THERE IS NO REPORT AVAILABLE.
AND I DON'T EXPECT TO HEAR THAT DECISION UNTIL A WEEK BEFORE WHEN THE, LIKE, THE DAY OF THE THIS AGENDA GETS POSTED SHOULD BE THE DATE AT WHICH WE ARE INFORMED THAT THEY HAVE FAILED FOR ANOTHER TWO MONTHS TO BRING THIS SUCKER TO FRUITION.
HOW IS THAT PAUL
C COMMISSIONER ZUN MADE THAT EXCELLENT PROPOSAL ABOUT SETTING UP A, A JOINT EUC AND AND WATER COMMISSION AND, AND RMC ON DATA CENTERS AND LARGE, LARGE LOADS BROADLY THAT WANNA CONSUME WATER AND ENERGY.
AND IT WOULD BE A REALLY GOOD IDEA TO, TO TRY TO INITIATE THAT IN JANUARY, IF NOT BEFORE.
AND IF YOU COULD MAYBE, UH, HAVE POSTING LANGUAGE, UM, FOR WHAT THAT DISCUSSION, IT'D PROBABLY BE A DISCUSSION ITEM.
UM, LET'S MAKE SURE TO GET THAT, UM, TO MS. GOODWIN AS JUST A REMINDER, UH, TO COMMISSIONERS FOR ITEMS THAT YOU WANT ON THE, ON THE, UM, AGENDA.
UH, THEY NEED TO BE, UH, INTO STAFF LIAISON BY THE DEADLINE.
THERE'S A CALENDAR THAT'S POSTED FOR THAT AND YOU, AND THERE NEEDS TO BE POSTING LANGUAGE AND CO-SPONSORS ALL.
ANYTHING ELSE? I'LL ENTERTAIN A MOTION TO ADJOURN.
WITH THAT, UH, WE WILL ADJOURN 8:20 PM THANK YOU EVERYONE FOR YOUR TIME.
YOU HAVE EXHAUSTED DRIVING AND, OH, MY HUSBAND DID THE DRIVING.
WELL, I AM SO EXHAUSTED FROM ALL THESE MEDICATIONS THAT IT'S NOT SAFE FOR ME TO DRIVE A LONG DISTANCE.
SO HE WAS VERY SWEET AND OFFERED TO DRIVE.
DOES HE DO THAT A LOT FOR YOU OR DO YOU NOT DO THESE LIKE LONG DISTANCE DRIVES? WE DON'T DO MANY LONG DISTANCE DRIVES.
[02:20:04]
HENCE DINNER FROM BUCKY'S.SO, UH, I'LL GIVE YOUR PERSONAL SURE.
THANKS FOR LETTING PERSONAL ADDRESS.
BECAUSE IF YOUR WIFE, YOU WON'T LOOK AT YOUR EMAIL VERY OFTEN.