MEETING MINUTES
BOARD OF DIRECTORS MEETING
THURSDAY, MAY 4, 2023
9:00 A.M.
___________________________________________________________
CALL TO ORDER
(9:04 a.m. - Video Time Stamp: 00:02:46)
Chair Fudge called the meeting to order.
Board Members present: Chair Fudge, Vice Chair Hopkins, and Directors Bagby, Ford, Barnacle, Elward, Rogers, Zollman, Farrar-Rivas, Strong, and Gjerde.
Staff present: Geof Syphers, Chief Executive Officer; Michael Koszalka, Chief Operating Officer; Stephanie Reynolds, Director of Internal Operations; Neal Reardon, Director of Regulatory Affairs; Erica Torgerson, Director of Customer Service; Chris Golik, Finance Manager; and Josh Nelson, Special Counsel. 9:05 a.m. Director Barnacle entered the meeting.
BOARD OF DIRECTORS CONSENT CALENDAR
(9:05 a.m. - Video Time Stamp: 00:03:15)
1. Approve April 6, 2023, Draft Board of Directors Meeting Minutes
2. Receive Geothermal Opportunity Zone Update
3. Adopt a Resolution Electing to Become Subject to the Uniform Public Construction Cost Accounting Act and Introduce and Waive the First Reading of an Ordinance of the Sonoma Clean Power Authority Establishing Bidding Procedures in Accordance with the Uniform Public Construction Cost Accounting Act
9:07 a.m. the meeting went into recess to address technical difficulties at the Ukiah teleconference location.
9:08 a.m. Director Gjerde entered the meeting and the meeting resumed.
Public Comment: None
Motion to approve the May 4, 2023, Board of Directors Consent Calendar by Director Bagby
Second: Director Elward
AYES: Bagby, Ford, Barnacle, Elward, Rogers, Zollman, Farrar-Rivas, Strong, Fudge, Gjerde, Hopkins
BOARD OF DIRECTORS REGULAR CALENDAR
4. Receive Internal Operations and Monthly Financial Report and Provide Direction as Appropriate
(9:10 a.m. - Video Time Stamp: 00:08:34)
Erica Torgerson, Managing Director of Customer Service, introduced Tania Gibbons, SCP’s new Customer Service Manager. Stephanie Reynolds, Director of Internal Operations, announced SCP’s new Art exhibit located at the Headquarters. She mentioned that Snoopy’s Home Ice had just purchased a new battery-operated electric Zamboni. She then invited Chris Golik, Finance Manager, to discuss SCP’s investments. Mr. Golik mentioned that SCP has investments in 3 places including 2 banks and the Sonoma County Investment Pool. Geof Syphers, CEO, added information on SCP’s Customer Home Retrofit Financing Program, he stated that it has been halted as the program hit its lending limit. Staff are assessing how to improve on targeting future lending toward customers who need it most.
Director Rogers asked if there were any local projects that SCP could invest reserve funds in, and CEO Syphers answered that there may be storage projects and agreed to return later in 2023 with proposals. Director Bagby added that she would like staff to also bring back more marketing and investment opportunities.
Public Comment: None
5. Receive Legislative and Regulatory Updates, Provide Direction and Approve Positions on AB 593 (Haney), AB 982 (Villapudua), and Other Bills as Appropriate
(9:21 a.m. - Video Time Stamp: 00:19:24)
Neal Reardon, Director of Regulatory Affairs, stated that the California Public Utilities Commission (CPUC) granted a clean energy micro-grid for Calistoga which will begin operation in 2025. He also stated that the CPUC passed a resolution that would prevent East Bay Community Energy (EBCE) from expanding to the City of Stockton, as well as prevent Central Coast Community Energy (CCCE) from expanding. He then discussed AB 205 which would set graduated delivery costs by income by 2025. Special Counsel Josh Nelson discussed a recent 9th Circuit decision regarding the City of Berkeley’s gas ban which they held was pre-empted by Federal law, but the decision has been appealed to a full court.
Director Rogers stated that the City of Santa Rosa had also been sued for its gas ban under CEQA, but Santa Rosa prevailed. Vice Chair Hopkins asked if other jurisdictions could do anything about the ruling and Counsel Nelson answered that many jurisdictions have been involved.
CEO Syphers introduced SCP’s lobbyist Kate Brandenburg. Ms. Brandenburg stated that she is looking at over 100 pieces of legislation for SCP. She also mentioned that the Governor’s Trailer Bill has been placed into AB 1373 so there will be a hearing on it. CEO Syphers expanded on the Governor’s Budget by explaining there are three major policy elements which could affect SCP. First, it allows the CPUC to order any investor-owned utility or the California Department of Water to buy any power resource it wishes on behalf of any electric provider. The risk that introduces, CEO Syphers said, is that SCP could not ensure its own procurement could be financed when the CPUC could supersede that procurement with its own and apply costs to SCP’s ratepayers.
Vice Chair Hopkins asked how the Governor’s Budget trailer bill would affect local economic development projects and CEO Syphers responded that it could introduce risks.
CEO Syphers then discussed various bills affecting SCP. He mentioned that AB 1379 (Papan) regarding teleconference rules was pulled. He stated SB 83 (Wiener/Wood) which would set interconnection timelines was sent to appropriations. He said SB 527 (Min) regarding neighborhood decarbonization was sent to appropriations. He mentioned SB 527 (Becker) regarding public meetings just came out of the judicial committee and was heading to the Senate floor. He recommended approval for 593 (Haney) regarding carbon reduction and recommended a watch position on AB 982 (Villapudua).
Director Elward reminded the Board that SCP needs to balance the interests of all its customers.
Public Comment: None
Motion to Receive Legislative and Regulatory Updates, Provide Direction and Approve Positions on AB 593 (Haney), AB 982 (Villapudua) by Director Barnacle
Second: Director Rogers
AYES: Bagby, Ford, Barnacle, Elward, Rogers, Zollman, Farrar-Rivas, Strong, Fudge, Gjerde, Hopkins
6. Approve the Proposed Annual Budget for Fiscal Year 2023-2024 (10:07 a.m. - Video Time Stamp: 01:05:18)
Michael Koszalka, COO, stated this was the fourth public viewing of the budget, adding that it was the second time it has been presented to the Board. He added there was one change since the Board’s last viewing, a $50,000 increase in the Industry Memberships & Dues line item of the proposed budget due to an increase in CC Power dues.
Chair Fudge asked for some details in how CleanStart rates compare with EverGreen and CEO Syphers responded that it depends on the type of customer and agreed to supply more information to the Chair following the meeting. Director Barnacle stated that he would like SCP to look into other investments going forward and CEO Syphers responded that staff would bring investment options to the Board at a future meeting late in 2023.
Public Comment: None
Motion to Approve the Proposed Annual Budget for Fiscal Year 2023-2024 by Director Barnacle
Second: Vice Chair Hopkins
AYES: Bagby, Ford, Barnacle, Elward, Rogers, Zollman, Farrar-Rivas, Strong, Fudge, Gjerde, Hopkins
BOARD OF DIRECTORS MEMBER ANNOUNCEMENTS
(10:14 a.m. - Video Time Stamp: 01:12:54)
Director Bagby mentioned that Friday Night Live would be returning to Cloverdale on May 26, 2023. Director Strong thanked Leif Christiansen, Commercial Accounts Manager, for giving a presentation regarding EverGreen to the City of Willits. Chair Fudge announced the Town of Windsor voted to join EverGreen and the Town will buy two light-duty electric trucks.
Director Elward requested SCP give introductory presentations to local jurisdictions. Director Bagby asked if the local City Managers could hold a meeting at the Energy Center. Director Barnacle mentioned a monster truck event at Petaluma Speedway on May 5th and Director Farrar-Rivas mentioned the return of the Sonoma Farmer’s Market on May 9th.
PUBLIC COMMENT ON MATTERS NOT LISTED ON THE AGENDA
(10:25 a.m. - Video Time Stamp: 01:23:43)
Public Comment: Stephanie Reynolds mentioned that SCP had its 9th Anniversary on May 1st.
Crispin Hollinshead sent a written letter which was read to the Board discussing the climate crisis.
ADJOURN
(10:30 a.m. - Video Time Stamp: 01:28:26)
The meeting was adjourned by unanimous consent.
Respectfully Submitted,
Darin A. Bartow, JD
Clerk of the Board