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3. Public Utilities Board (07/22/26)

Anaheim City Council
September 22, 2026

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3. Public Utilities Board (07/22/26)
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September 22, 2026
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CITY OF ANAHEIM

PUBLIC UTILITIES BOARD

MINUTES
July 22, 2026
The agenda having been posted on Thursday, July 16, 2026, the Regular Meeting of the Public Utilities Board (Board) was called to order by Chairperson J. Seymour at 5:00 p.m. on Wednesday, July 22, 2026, in the Gordon Hoyt Conference Center, 2nd floor, Anaheim West Tower, 201 S. Anaheim Blvd., Anaheim, California.

Board Members Present: Chairperson J. Seymour, Vice-Chairperson A. Pham, M. Lee, A. McMenamin, I. Castillo, T. Ibrahim, S. Kewalramani
Board Members Absent: None
City Staff Present: B. Beelner, A. Lee, P. Starr, C. Parker, J. Lonneker, J. Sanks, T. Castaneda, M.

Seifen, C. Espinoza, P. Mendez, B. Gurrola, P. Bogdanoff, G. Ludesirishoti, S. Nelson, B. Mendoza, A. Ramirez, G. Cruz
Guests Present: Sarah K., Cambridge Virtual Academy; George C., Anaheim High School; Halle C., Loara High School; Gem N., Katella High School; and Eva G., Anaheim High School; A. Kirby, G. Kirby, S. Chan, M. Rodriguez, S. Mercadante, M. Herbert, V. Nelson

AGENDA ITEM ACTION TAKEN

1. RECOGNITION: 2026 HIGH SCHOOL SCHOLARSHIP
RECIPIENTS.

T. Castaneda, Community and Sustainability Programs Manager, provided an overview of the selection process of the High School Scholarship Recipients. T. Castaneda thanked the Board Members who served on the ad hoc Scholarship Selection Committee for their contributions during the selection process. The recipients received a scholarship and a paid internship through the partnership with Workforce Development and Hope Builders, to obtain firsthand experience in the workplace.

T. Castaneda congratulated Sarah K., Cambridge Virtual Academy; George C., Anaheim High School; Halle C., Loara High School; Gem N., Katella High School; and Eva G., Anaheim High School; as the 2026 High School Student Scholarship recipients. The students then gave a brief presentation about their internship experience.

The Board recognized and congratulated the 2026 High School Student Scholarship recipients.
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2. PUBLIC COMMENTS.

There being no electronic public comments submitted by the deadline, Chairperson J. Seymour opened the public comments portion of the meeting.

S. Mercadante voiced her concerns regarding water quality.

M. Herbert voiced his concerns regarding water quality and submitted comments in writing.

Following the public
comments, Chairperson J.

Seymour closed the public
comments portion of the
meeting.

3. ELECTIONS FOR PUBLIC UTILITIES BOARD
CHAIRPERSON AND VICE-CHAIRPERSON. **
A. Lee, Assistant City Attorney, opened the floor for nominations for Chairperson and Vice-Chairperson. Chairperson J. Seymour nominated A. Pham for Vice-Chairperson, who accepted the nomination, and T. Ibrahim nominated J. Seymour for Chairperson, who accepted the nomination.

By voice votes, the Board unanimously voted to close the nominations and voted to elect J. Seymour to the position of Chairperson and A.

Pham to the position of Vice-Chairperson.

T. Ibrahim moved to close the
nominations. M. Lee seconded
the motion. By voice votes, the
Board closed the nominations and
elected J. Seymour as Chairperson
of the Board and A. Pham as ViceChairperson of the Board.

MOTION CARRIED: 7-0.

ABSTAINED: 0.

ABSENT: 0.

4. ELECTION FOR THREE UNDERGROUND CONVERSION
SUBCOMMITTEE MEMBERS. **
Chairperson J. Seymour opened the floor for nominations for three Underground Conversion Subcommittee Members. Chairperson J.

Seymour nominated A. Pham, T. Ibrahim, and A. McMenamin, who accepted their nominations.

By voice votes, the Board unanimously voted to close the nominations and voted to elect A. Pham, T. Ibrahim, and A.

McMenamin to serve on the Underground Conversion Subcommittee.

Chairperson J. Seymour moved
to close the nominations. ViceChairperson A. Pham seconded the motion. By voice votes, the
Board closed the nominations
and elected A. Pham, T. Ibrahim,
and A. McMenamin to serve on
the Underground Conversion
subcommittee.

MOTION CARRIED: 7-0.

ABSTAINED: 0.

ABSENT: 0.

5. APPOINTMENT OF THREE MEMBERS AND ALTERNATES

FOR THE PUBLIC UTILITIES HEARING BOARD AND

APPOINTMENT OF UP TO THREE MEMBERS FOR THE AD
HOC LEGISLATIVE WORKING GROUP. **
Chairperson J. Seymour appointed Vice-Chairperson A. Pham and Board Members M. Lee and I. Castillo to serve on the ad hoc Legislative Working Group. Vice-Chairperson A. Pham and Board Members M. Lee and I. Castillo accepted their appointments.

Chairperson J. Seymour appointed himself along with A. McMenamin, and T. Ibrahim, who accepted the nomination, to serve on the Public Utilities Hearing Board. Chairperson J. Seymour then appointed ViceChairperson A. Pham and Board Members M. Lee and I. Castillo to 2026 - 57
serve as alternates on the Public Utilities Hearing Board, who accepted their appointments as alternates. Chairperson J. Seymour confirmed all appointments to the Public Utilities Hearing Board.

6. APPROVE THE MINUTES OF THE REGULAR MEETING OF
JUNE 24, 2026. *
M. Lee moved the approval of
the Minutes of the Regular
Meeting of June 24, 2026. ViceChairperson A. Pham seconded the motion.

MOTION CARRIED: 7-0.

ABSTAINED: 0.

ABSENT: 0.

7. RECOMMEND APPROVAL OF RESPONSE TO 2025-2026

ORANGE COUNTY GRAND JURY REPORT REGARDING
PFAS AND PUBLIC AWARENESS.

C. Parker, Assistant General Manager – Water Services, briefed the Board on the recent Orange County Grand Jury report (Grand Jury Report) titled “PFAS (per- and polyfluoroalkyl substances) and Public Awareness: A Closer Look at Orange County (OC) Drinking Water”.

The Grand Jury Report commended the City of Anaheim (Anaheim) for having one of the largest PFAS treatment programs in the country.

C. Parker then shared Anaheim’s proposed responses to the Findings and Recommendations assigned to Anaheim. Anaheim generally agreed with most of the Findings, except the one regarding PFAS education. Although Anaheim does rely on the Orange County Water District to educate the public on PFAS, Anaheim has provided educational resources such as open houses, community district meetings, student tours, workshops at the Sustainability Education Center, Orange County Green Expo, Water Awareness Month, website information, social media, and reports directly to the City Council and Public Utilities Board. Anaheim agrees with the recommendations and has partially implemented them and will be implementing the remaining items in the future.

The Board asked how many other cities throughout Orange County were involved in the Grand Jury Report. C. Parker responded that not every city is involved, there are about 14-15 agencies involved.

M. Lee moved the
recommendation to approve the
response to 2025-2026 Orange
County Grand Jury Report
regarding PFAS and Public
Awareness. I. Castillo seconded
the motion.

MOTION CARRIED: 7-0.

ABSTAINED: 0.

ABSENT: 0.

8. QUARTERLY STATUS REPORT FOR PRE-QUALIFIED

PROFESSIONAL SERVICES, CONSTRUCTION, AND
MATERIAL PURCHASES (APRIL - JUNE 2026).

B. Beelner, Acting Public Utilities General Manager, explained that Anaheim Public Utilities (APU) provides a quarterly status report for pre-qualified professional services, construction, and material purchases, which was included in the Board packet.
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9. UPDATE ON ELECTRIC SYSTEM ITEMS.

J. Lonneker, Assistant General Manager – Electric Services, shared that APU participated in the Fourth of July event at Peralta Park. APU staff engaged with residents by offering rides on the electric bucket trucks.

J. Lonneker updated the Board on the recent ductbank installation underneath the railroad tracks on Nutwood Street for the Cerritos/Nutwood undergrounding project. J. Lonneker explained there was a delay in getting the permits from Union Pacific Railroad Company for this crossing, which is the last segment of the civil work before electrical installation begins. Mayor Pro Tem C. Leon witnessed the installation of the steel encasement within the 20 foot bore pit.

J. Lonneker shared that F. Barvarz, Transmission and Distribution Manager, was invited to speak at The Exchange 2026, an Energy Industry Conference held at the Anaheim Convention Center. F.

Barvarz provided insight on how APU uses automation throughout the electric grid for situational awareness to assist in locating the cause of the outage, to improve response time to isolate a power outage and using electric metering infrastructure for expedited disconnects and reconnects. APU’s response time is in the top quartile across the nation, and leverages automation when new equipment is installed.

10. UPDATE ON (I) WATER SYSTEM ITEMS AND (II)

INFORMATIONAL REPORT REGARDING WATER
QUALITY COMMENTS.

C. Parker briefed the Board on the Water Supply Dashboard, noting that the Orange County Groundwater Basin and State Water Project (SWP) are in good condition. The Colorado River is still in a strained condition. The United States Bureau of Reclamation (USBR) has recently provided some grant money to assist in conservation. The seven states are still trying to negotiate a deal with USBR oversight.

The southern states have already agreed to provide additional conservation on their own.

C. Parker provided an update on the “Informational Report Regarding Water Quality Comments Made at the May Public Utilities Board Meeting” which APU provided to address matters of broader public interest covering drinking water operations and regulations involving technical distinctions that may not be understandable from individual observations, photographs, or isolated operational events.

C. Parker then discussed the PFAS Notification for Well 51, stating that all regulations were followed and that Anaheim coordinated with the California State Water Resources Control Board, Division of Drinking Water (DDW) on the issue. DDW did not issue any notice 2026 - 59
of violations on the notification. C. Parker then confirmed that Well 51 remained in service as the DDW only issued a notification; no action was required other than notification to the governing board (i.e., City Council). C. Parker then mentioned that the City Council and Public Utilities Board were told that Well 51 was shut down on February 17, 2026, but was not actually shut down until March 6, 2026. C. Parker noted that per the water operations review, improvements have been made to communication processes.

Regardless, Well 51 was not required to be shut down, so all regulations were met.

C. Parker also discussed the OC Grand Jury report on PFAS and that the City was commended for having one of the largest PFAS treatment programs in the country. Additionally, C. Parker explained the Walnut Canyon Reservoir operations and distribution flushing and mentioned that a valve at the reservoir remained closed for an extended period due to an instrumentation project. When operators decided to open the valve, it was opened slowly to gradually allow water into the Lenain Water Treatment Plant. This process resulted in some temporary cloudy water into the plant before treatment.

However, all plant effluent (water leaving the plant to distribution) met applicable regulations. The distribution water monitoring did identify conditions warranting some additional measures to maintain long term water quality. Flushing, an Environmental Protection Agency (EPA) approved practice, was one of the measures utilized to maintain water quality. Anaheim coordinated with DDW regarding this issue, and Anaheim received no violations regarding this activity.

Additionally, DDW completed an investigation regarding a flushing and compliance testing complaint with the California EPA filed by three Water Operations employees on March 8, 2026. DDW
determined that there were no violations.

C. Parker then discussed the Water Operations Consulting (Auditing) Services. The effort included bringing in an outside firm to provide independent monitoring and review of water system operations practices. The engagement was valuable while the City reviewed and considered personnel matters. The consultant work included onsite monitoring by state licensed professionals, review of operating logs, assessment of best management practices, and assistance in maintaining operational continuity. Anaheim will be implementing improvements in the future based on this activity. In conclusion, water quality and regulatory compliance are essential responsibilities of a water agency, and APU has a history of working collaboratively with our regional partners and regulatory agencies to provide safe, reliable, high-quality water to its customers.

The Board asked if the public could obtain water quality data through a Public Records Request. C. Parker confirmed that APU has already been providing data to the public through such requests. 2026 - 60
The Board asked if APU has received customer inquiries regarding brown water. C. Parker responded that APU has not received any inquiries.

The Board asked if APU is in compliance with mandated federal and state regulations. C. Parker said that APU remains in compliance.

11. UPDATE ON FINANCE AND ENERGY RESOURCES ITEMS.

B. Beelner discussed the monthly Electric Finance Dashboard for the period ending June 2026. B. Beelner mentioned that the fiscal year ended with electric revenue 0.4% ($1.7M) below budget with operating revenue coming in 8.4% ($36.8M) below budget. APU will carry over approximately half of the operating expenditure to the next fiscal year with the remainder used for capital needs.

B. Beelner then discussed the Water Finance Dashboard. B. Beelner informed the Board that water revenue for the Fiscal Year 2026 came in 0.1% ($0.1M) above budget and mentioned that the fiscal year ended with water operating expenditures at 8.2% ($7.5M) below budget.

The Power Supply Dashboard did not have any specific information requiring discussion; however, B. Beelner provided an update of the installation following the repair of Unit 1 of the Canyon Power Plant.

The Board inquired about the lifespan of the repaired unit. B. Beelner mentioned that the original 30-year lifespan remained with an expected life until 2040. B. Beelner reminded the Board that APU is moving to a carbon-free portfolio by 2045, meaning that the unit will not run past that date.

The Board asked about potential technological options to allow the Canyon Power Plant to continue to run past that date. B. Beelner shared that several agencies have identified hydrogen as a potential solution; however B. Beelner cautioned the Board that hydrogen has limitations and current technological concerns.

The Board inquired what the lead time to financially prepare and implement the conversion to hydrogen. B. Beelner informed the Board that APU has not done that study and will follow up with staff and provide an update to the Board.

The Board mentioned it has been an advantage owning a power plant.

The Board asked if APU has a strategic plan that would allow us to continue in the same mode before we go to all clean energy. B.

Beelner shared that APU is currently in the process to model what a carbon free Anaheim will look like.

APU staff will provide an
update to the Board.
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12. UPDATE ON ADMINISTRATION AND RISK SERVICES
ITEMS.

J. Sanks, Assistant General Manager – Administration and Risk Services, shared that APU tracked 85 legislative bills in June, fewer than previous months as bills failed to meet legislative deadlines. J.

Sanks highlighted that APU supports two bills related to metal theft. Assembly Bill (AB) 1941 would increase penalties for organized metal theft. Senate Bill (SB) 1266 would require that the value of stolen metal be calculated as the full cost to repair and replace the stolen materials, including labor and equipment, rather than the fair market scrap value. J. Sanks shared updates related to portable solar generation. These small solar systems, sometimes referred to as “balcony solar” could be installed on small residential patios. J. Sanks shared that APU was watching AB 2612, which would require adopting building standards for these systems, and was concerned about SB 868, which would prevent utilities from requiring interconnections for these devices.

The Board asked how balcony solar systems might be connected to the electric system. J. Sanks described that they would be plugged into a customer’s ordinary household receptable and would backfeed power into the home. J. Sanks noted that this could present a safety hazard for electric crews if there was unexpected electricity on a circuit.

J. Sanks described APU’s safety performance, noting that the Lost Time Injury Rate and Days Away, Restricted, and Transferred Injury Rate were lower than the same period last year. The overall injury rate was slightly elevated, but still consistent with previous years. J.

Sanks described that the increased reporting of close calls and good catches was a sign of a proactive safety program. J. Sanks described that three injuries occurred last month, including a foot injury and two strains. APU continues to provide ergonomic safety training for crews to reduce the risk of strain injuries. J. Sanks also described that the University of California, Irvine – Health had recently provided burn first aid training for APU staff exposed to electrical hazards.

13. ITEMS BY SECRETARY.

B. Beelner shared the following updates:
• D. Lee, former Public Utilities General Manager, hosted an APU employee luncheon event in celebration of his retirement after 26 years of service; and
• APU hosted a retirement reception for D. Lee to congratulate and express gratitude for his dedicated service to the Anaheim community.
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*Indicates voting item(s) that will be forwarded to City Council for action upon recommendation by the Board. **Indicates voting item(s) that do not require further approval actions.

B. Beelner shared agenda items planned for next month:
• Agreement for an Enterprise Service Bus Software Solution and Services;
• Approval of New Large Load Rule;
• Award of Design/Build Contract for Santa Ana Canyon Road Water Main Extension; and
• Electric and Water Bond Refunding.

14. ITEMS BY BOARD MEMBERS.

I. Castillo mentioned B. Beelner did a great job as emcee at D. Lee’s Retirement Reception.

M. Lee expressed appreciation to APU staff following the transition in management.

15. ADJOURN: (NEXT REGULAR MEETING ON AUGUST 26,
2026 AT 5:00 P.M.)
I. Castillo moved to adjourn the
Regular Meeting in the Gordon
Hoyt Conference Center at 6:19
p.m. to the Board’s Regular
Meeting date of August 26, 2026,
at 5:00 p.m. A. McMenamin
seconded the motion.

MOTION CARRIED: 7-0.

ABSTAINED: 0.

ABSENT: 0.

Respectfully submitted,
Brian Beelner
Acting Public Utilities General Manager

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