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HomeMy WebLinkAboutMinutes 200211 EVANSTON ENERGY COMMISSION MINUTES Friday - January 11, 2002 Room 2404 -- 7:15 a.m. CIVIC CENTER MEMBERS PRESENT: Jackie Brown, Hans Detweiler, Ray Doolin, Tim Flannery, David Grumman, Arlene Haas, Alan Kistler, Del Leppke, Kerry McKenna, Paul Morse, Rudy Wolfson' STAFF PRESENT: Dennis Marino, Mary Baaske PRESIDING OFFICIAL David Grumman ` OTHERS PRESENT: Bud Nesvig, Debbie Hillman, Joel Freeman, Rodney Erickson, Irwin Levinson _ ' ' W t `f I CALL TO ORDER David Grumman, Chair of the Energy Commission, called the meeting to order at 7:15 a.m. WELCOME NEW MEMBER Dave Grumman welcomed Timothy J. Flannery to the Energy Commission. He asked Mr. Flannery to give the Commission a brief summary of his professional background. Mr. Flannery said that currently, he is employed in a private investment partnership investing in publicly trading securities of US energy companies. He has experience in consulting, research and investing in utilities and the energy sector, extensive experience in operations, regulation, commodities research. He has a MBA in Finance from the University of Chicago and a BA in Accounting from the University of Michigan. ACTION LIST David Grumman Write to the Chairs of the Plan Commission and the Environment Board suggesting that there be an information meeting every six months. Mr. Grumman said he would do that in the near future. Evanston Energy Commission Minutes - lanuary 11. 2002 Page Two TECHNICAL REVIEW GROUP (TRG) REPORT TO A&PW Del Leppke reported on the TRG meeting with A&PW. RECENT OUTAGES Dennis Marino reported that Max Rubin was out of town this month and would report at the Energy Commission's February meeting. He added that Mr. Rubin had stated that there were no outages of any great duration during the last month 2002 WORK PLAN Del Leppke stated that there should be subcommittees attached to each of the items , mentioned in the work plan. He asked Commission members to decide which subcommittee they would like to be on by the next Commission meeting. Mr. Leppke also requested that the 2002 Work Plan be discussed at the next meeting. ENERGY POLICY Dave Grumman said that the Energy Policy has been given to the Environment Board. Mr. Levinson said that the Environment Board would review the Energy Policy as soon as their Chair returned from vacation. FRANCHISE ISSUES Hans Detweiler led the discussion on the Energy Franchise Contract Subcommittee's report. Handouts were given to Commission members at the beginning of the meeting. He said that one of the subcommittee's goals is to have an understanding of what the timeline is for the next month or two in terms of moving forward on the process and getting the Energy Commission's recommendations to A&PW. He explained that the items of most importance are: Reliability, Franchise Fee, Duration, Energy Efficiency Provisions, Renewable Energy Provisions, Reporting on Outages and Preventative and Ongoing Maintenance, Indemnification Security, Affirmative Action, and Binding Arbitration. Kerry McKenna elaborated on the packet included in the handouts previously given to Commission members regarding the value of the Commonwealth Edison Franchise. Mr. Detweiler expounded on the four potential leverage points for 2002 franchise negotiations. They are: Value and Duration, CHP, "Pain in the Rear" factor, and "Corporate Campaign". He also pointed out the press release "Overwhelming Public Support in Suburban Cook County for Harnessing Clean Energy to Solve Power Problems." Evanston Energy Commission Minutes - January IL 2002 Paee Three Mr. Detweiler said if the negotiations with ComEd are in July, by what date does the City Council and City Manager need to have agreed on the energy priorities for negotiation? Dennis Marino replied that past practice has been to form a negotiating team appointed by the Council that involves two Energy Commission members and three Aldermen. He added that this team is joined by consultants and that is the team that reports to Council and conducts negotiations. Mr. Marino suggested that the Chair and a member or two of the Energy Commission meet with the City Manager and discuss respective interest and priorities. Del Leppke saw two significant issues to be addressed. One, do we as a Commission recommend that we move toward negotiating a franchise at the end of this three-year extension or do we want to exercise a one-year extension. Two, the Commission has to be clear if it wants to tie the power supply with the franchise. Commission members discussed the pros and cons of exercising a one-year franchise. Hans Detweiler summarized the points of agreement within the Commission. They included: increased reliability and some kind of teeth in the contract so that ComEd will pay the price when they don't meet the terms; franchise fee that is significant and commensurate to Evanston's load; energy efficiency provisions; reporting on outages and preventative and ongoing maintenance; indemnification security; affirmative action; binding arbitration; and a provision for most favored nation. Mr. Detweiler suggested that meeting be set up with the City Manager. David Grumman recommended that Del Leppke and the Franchise Subcommittee meet with the City Manager. The consensus of the Commission was that the City needed additional consulting capabilities in the legal, energy and technical aspects. Hans Detweiler reported on the Evanston Energy Future Group meeting at the Evanston library. He stated that the goals that people identified were: keeping renewable energy, having energy efficiency, increased reliability in the contract. Achieving those goals at a fair and affordable cost was also a high priority. ADJOURNMENT There being no further business before the Commission, they adjourned at 9:30 a.m. Respectfully submitted, Mary-E. B MEMBERS PRESENT: MEMBERS ABSENT: STAFF PRESENT: PRESIDING OFFICIAL OTHERS PRESENT: CALL TO ORDER EVANSTON ENERGY COMMISSION MINUTES Wednesday - February 6, 2002 Room 2404 — 7:15 a.m. CIVIC CENTER Jackie Brown, Hans Detweiler, Tim Flannery, Arlene Haas, Alan Kistler, Del Leppke, Paul Morse, Rudy Wolfson Ray Doolin, Kerry McKenna Dennis Marino, Mary Baaske Del Leppke, Chair Debbie Hillman, Joel Freeman, David Grumman, Bud Nesvig, Leonard Sciarra Del Leppke, Chair of the Energy Commission, called the meeting to order at 7:15 a.m. i` IW I I ii CONSIDERATION OF MINUTES OF JANUARY 119'2002 Hans Detweiler made a motion to approve the minutes of January 11, 2002. Motion seconded by Arlene Haas. Motion passed unanimously. ` COMMITTEE RECOGNITION Hans Detweiler made a motion to officially thank Dave Grumman for his years of service as Chair of the Energy Commission. Paul Morse seconded the motion. Motion passed unanimously. FRANCHISE SUBCOMMITTEE'S MEETING WITH CITY MANAGER Hans Detweiler gave the commission a summary of the Franchise Subcommittee's meeting with the City Manager. He explained that options discussed were time line, a process �1 4 Evanston Energy Commission Minutes - February 6. 2002 Pa ee Two order for moving forward in the negotiation process, and an examination of the options of do we want to push for a full long-term renewal, a one year renewal or a one year renewal with options. After consideration, it was his understanding that while the Commission would like to have a long-term renewal, there is not enough time, staff and lawyers to accomplish this at this time. He felt the focus of this Commission should be on what we can get in the context of a one-year extension and continue to work on a long-term franchise. Time was spent on the identifying the areas that the Commission wanted to get attached to the one-year extension. Reliability reporting was one area that will expire with the current extension and it was the consensus of the Franchise Subcommittee that this should be attached to the one-year extension. Energy efficiency and renewable energy were also discussed. Dennis Marino stated that Herb Hill (First Asst. Corp Counsel) and Max Rubin also were at the meeting with Roger Crum. Mr. L.eppke stated that it was his understanding that City staff was in favor of a one-year extension that would continue what the Commission had been trying ; to accomplish in the last three years. That, at the end of one-year extension that staff would be ready to do a full negotiation. In response to a question, Mr. Marino mentioned that May 1, 2002 is the opening of retail choice by residents of Evanston. Hans Detweiler said that it was important that ComEd's reporting be included in the one-year extension. It was a consensus of the Commission that staff be asked to make certain that consultants be asked to review targeted improvements and make specific comments as soon as possible: ' WORK PLAN - 2002 The planned work of the Evanston Energy Commission for 2002 will be acedinplishm through the activities of five sub -committees with the following proposed responsibilities: • Distribution Systems Franchise & Provider Agreements and Liaison Activities - Evaluate & recommend actions regarding the exercise of the extension options to the existing Letter of Agreement with ComEd; - Evaluate & recommend actions regarding anew franchise for the electricity distribution system; - Review franchise matters relative to energy distribution systems other than electricity; e.g. gas (after work on a new electric system franchise/contract is completed). Energy Supply Su 1 & Transmission Contracts and Liaison Activities'' �' ` ! • I I ' ` ` - Evaluate & recommend actions regarding alternate energy suppliers for electricity to City facilities; Evanston Energy Commission Minutes - February 6.2002 Pa ee Three - Recommend public information actions relative to resident user's options in selecting among alternate energy suppliers. Governmental Policy and Legislative/Regulatory Actions Review and, as appropriate, recommend updated Evanston Energy Policy; - Monitor City liaison with neighboring municipalities on energy matters and recommend initiatives; - Monitor potential effect of Federal and State legislative action on Evanston energy supply and transmission/distribution systems operations and recommend lobbying actions and/or public information actions; Monitor ICC rulemaking and enforcement actions and recommend City participation in hearings and/or other liaison activities; - Evaluate and, as appropriate, recommend public information actions relative to influencing potential legislative and/or regulatory activities. • Oversight, Monitoring & Inspection Actions - Monitor City Staff activities in implementation of franchise & contract/liaison provisions; - Recommend City actions to assure compliance and/or participate directly in compliance actions. • Innovative & Emerging Energy Options - Evaluate and recommend potential City involvement in aggregation activities and, as appropriate, recommend public information actions to inform resident users of options; . I s ,I - Evaluate and recommend energy efficiency improvements for City facilities and study ways/means to integrate benefits with energy franchises/contracts; - Evaluate potential residential & commercial energy efficiency improvement effects on energy supplier & transmission/distribution system considerations and study way/means to elicit public interest and integrate benefits with energy franchises/contracts; - Monitor developments in `green power' and distributed generation technologies and recommend more intensive studies and/or City actions as applicable. SUB -COMMITTEE PERSONNEL & ACTIVITIES (2002) The following members are appointed to serve on the sub -committees as listed. Sub- committees are reminded that they are subject to the Open Meetings Policy and must hold their meetings in a public place (preferably at City Hall) and announce and post the meeting at least 48 hours in advance. Arrangements for meetings can be made through Mary Baaske. Evanston Energy Commission Minutes - February b. 2002 Pa ee Four In some instances it may be desirable for two or more sub -committees to meet together for discussion of closely associated subjects. The Chair is an ex-officio member of each sub -committee and must be informed of each planned meeting. Notify Del Leppke at email: dieppke@aol.com. The convener of each sub -committee should be prepared to report at the monthly regular Commission Meetings. FRANCHISEXONTR.ACTS SUB -COMMITTEE Hans Detweiler - Convener Alan Kistler SUPPLY/TRANSMISSION SUB -COMMITTEE Kerry McKenna - Convener Del Leppke POLICYILEGISLATION/REGULATION Arlene Haas - Convener Del Leppke OVERSIGHT & INSPECTION Rudy Wolfson - Convener Jackie Brown Paul Morse INNOVATIONS Tim Flannery - Convener Ray Doolin RECENT OUTAGES Max Rubin reported that them had been no outages the previous month. COMER QUARTERLY REPORT (I31-02) The Technical Review Group (TRG) will scheduled a meeting with CornEd in late February or early March. REQUEST FOR CITY FACILITIES ELECTRIC USAGE . J- Max Rubin and Dennis Marino reported that they have received the information requested and will give it to the two volunteers. ,� Evanston Energy Commission Minutes - February 6, 2002 MEMBERSHIP Pare Five Dennis Marino reported that there was one vacant position on the Energy Commission and had not heard of any new appointments. COMMUNICATIONS Communications were discussed and accepted into the record. ADJOURNMENT There being no further business before the Commission, it adjourned at 9:08 p.m. Respectfully submitted, e,00&.-,to,4� Mary aaske Planning Division ' - �a r x•�'. a ..t. MEMBERS PRESENT: MEMBERS ABSENT: STAFF PRESENT: PRESIDING OFFICIAL OTHERS PRESENT: CALL TO ORDER EVANSTON ENERGY COMMISSION MINUTES Thursday, March 7, 2002 Room 2404 - 7:15 a.m. CIVIC CENTER Jackie Brown, Hans Detweiler, Tim Flannery, Alan Kistler, Del Leppke, Paul Morse, Rudy Wolfson Ray Doolin, Arlene Haas, Kerry McKenna Dennis Marino, Mary Baaske Del Leppke, Chair Joel Fmeman, David Grumman, Debbie Hillman,' Bud Nesvig, Leonard Sciarra Del Leppke, Chair of the Energy Commission, called the meeting to order at 7:17 a.m. CONSIDERATION OF MINUTES OF FEBRUARY 6, 2002 Paul Morse made a motion to approve the minutes of February 6,2002. Motion seconded by Jackie Brown. Motion passed unanimously. WORK PLAN 2002 Del Leppke asked for approval of the Work Plan for 2002 and asked that Commission members be sure they were on the Committee they wanted. Jackie Brown moved approval of Work Plan 2002. Rudy Wolfson seconded the motion. Mr. Leppke said that the "Evaluate and recommend potential City involvement in aggregation activities and, as appropriate, recommend public information actions to inform resident users of options" section be moved from the, Innovative & Emerging Energy Options Committee to the Energy Supply & Transmission Contracts and Liaison Activities Committee. Motion passed unanimously. Evanston Energy Commission Minutes -March 7, 2001 Page Two TECHNICAL REVIEW GROUP MEETING WITH COMED Dennis Marino reported on the Technical Review Group (TRG) meeting with ComEd that took place on Tuesday, March 5, 2002. He explained that the TRG consisting of Del Leppke, Rudy Wolfson, Max Rubin, Consultants Dave Metz and Jerry Hoppe, and he had a meeting at 8:00 a.m. and then they met with ComEd at 9:30 a.m. Mr. Marino said that the ComEd representatives who were present were Mike Radziewicz, who is the City's liaison with ComEd; his supervisor Joe Trexler, Director of External Affairs, and Dan Brea who is the Northeast Regional Director of ComEd. Topics discussed were: One of the things alluded to in the quarterly report is the fact that data will no longer be available in order to calculate the CAIDI and SAIFI for Evanston relative to 'the Evanston ComEd distribution system. ComEd indicated that the monthly data was no longer required by the ICC. After conferring with ComEd, they said that would see'*hgt they could do to provide this information. Much time was spent discussing targeted feeders, capacity and outages as it relates to feeders. Several feeders that were focused on were 4713, 4716, 8528, 473, and 615. Feeders serving downtown Evanston were discussed at length. Project Four was discussed, the November 1, 2001 study concerning feeder loading and basically what ComEd is going to do about the study they conducted. The curve as it relates to the SAIFI was addressed, especially the concern that the Evanston SAIFI (frequency of outages) was increasing relative to the ComEd system- wide SAIFI for the last two quarters. The duration of outages (CAIDI) continue to be moving in a positive direction. Del Leppke stated that according to the bar charts in the report, in 1999 there were 220 interruptions, in 2000 there were 212 interruptions, in 2001 there were 200 intcr options. So actually the number of interruptions are going down, but the number of interruptions per average customer is going up. What that means is that the outages are affecting a larger number of people and the outages are affecting a larger portion of the circuit. Dennis Mario said that ComEd reported that it had been installing midpoint reclosers on feeders to deal with the feeders that have a large number of customers. Brief discussion on ComEd's construction report. ComEd was asked to address planning beyond the 12-18 month window. Evanston Energy Commission Minutes - March 7, 2001 Page Three TRG briefly updated the ComEd group on the continuing record pace of real estate development, particularly in the downtown area. As a result of the discussion, ComEd staff stated they would organize a tour and give a set of presentations at their Libertyville facility in April. Referring to a report from ComEd on the six targeted feeders (C473, C8528, C615, C4713, and C907), Del Leppke reported that C8528 was called to ComEd's attention because there were three recent underground failures on that circuit. Bud Nesvig said that on page 27 of ComEd's report, there used to be 30 feeders that were loaded over 90% and ComEd has consistently been dropping feeders off this list. Del Leppke said that he would ask the Energy Supply & Transmission Contracts and Liaison Activities subcommittee to follow the ComEd reports through the years and see if certain feeders have been dropped off the report. Rudy Wolfson said he had asked Dave Metz if there were some standards that utilities follow for loading. Mr. Metz said that there were and Mr. Wolfson asked him to prepare a summary of that report so that the Commission could point this report out to the utility company in negotiations. Action Item Dennis Marino To follow up on Rudy Wo json 's request to Dave Metz to investigate standards for loading. Dennis Marino To put expected electrical loads for new construction an the nett agenda for the TRG1ComEd meeting. COMMITTEE REPORTS A. Distribution Systems Franchise & Provider Agreements and Llaison Activities I ' Hans Detweiler said he spoke with Tim Flannery and they discussed efficiency and renewable options in the franchise process. One of the things mentioned at the last Commission meeting was that a list was needed of some of the goals concerning efficiency and renewables. He handed out a memo he had written to the Energy Commission entitled "Options for Energy Efficiency and Renewable Energy in the Franchise process." Mr. Detweiler stated the only thing new in the interim of the last six weeks is that the Clean Energy Foundation has released guidelines for municipalities that want Evanston Energy Commission Minutes - March 7, 2001 Pa etr Four to put renewable energy generation equipment on their buildings. There is now a formal matching program that will do 20% to 30% of the total cost in addition to the 50% of the total cost that the Department of Commerce and Community Affairs will provide. Paul Morse mentioned that perhaps the City could ask ComEd to provide the 20% to 30% of the cost remaining as a gesture of good will. Mr. Detweiler made a motion for the Energy Commission to seek energy efficiency and renewable energy improvements in the franchise negotiation process. Jackie Brown seconded the motion. Tim Flannery and Del L.eppke asked who would prepare the negotiation, whether it would be city staff and resources or a private organization. Mr. Detweiler added that the City of Chicago has done this. In reply to a question from Dave Grumman, Mr.Detweiter replied that it was his understanding that the Commission was looking at a one-year extension of the franchise, but there are various things that may or may not be included in that extension. It is not at all clear that the continuation of reporting would be included in the one-year extension and this would need to be negotiated to make sure that this reporting would continue. In this same sense, energy efficiency and renewable energy benefits could also be negotiated. It was Dave Grumman's and Del Leppke's opinion that ComEd would be more inclined to go along with continuing reports of outages than they would with negotiating energy efficiency and renewable energy. Mr. Detweiler reminded the Commission that the IIlinois Clean Energy Community Foundation did a statewide poll and found that within Cook County, 81% of citizens not only support renewable energy and energy efficiency, but want their municipalities to pay more to get green energy supplies in the market. Several Commission members expressed their concern with the amount of time (Commissioners and City staff) it would take to put such a proposal together. Mr. Detweiler volunteered to take the lead and work with staff. Mr. Grumman stated that the purpose of the extension was that it doesn't require ComEd to say anything, the purpose of the extension is to say that the franchise is extended and ComEd has to go along with it. Mr. L,eppke said that dealing with the motion on the table, the key issue we are discussing now is whether or not to work in renewable energy sources, clean energy, and energy efficiency into the extension. Evanston Energy Commission Minutes - 51arcb 7. 2001 Page Five Mr. Leppke asked if the intention of the motion is to seek a statement from the City stating their willingness to entertain these sorts of proposals and give them serious attention, or is our purpose to give them stronger advice that they should actively pursue it? Mr. Detweiler said his understanding was that it is to encourage the city to include energy efficiency and renewable energy in the negotiation goals and points in the franchise process. Motion passed unanimously. Mr. Detweiler and Mr. Leppke said they would work together to draft a recommendation B. Energy Supply & Transmission Contracts and Liaison Activities No report. C. Governmental Policy and Legislative/Regulatory Actions Arlene Haas will be meeting with Janet Hoffman. D. Oversight, Monitoring & Inspection Actions ` Discussed previously in Technical Review Group report. E. Innovative & Emerging Energy Options No report. RECENT OUTAGES Dennis Marino said there were no outages of significance. REQUEST FOR CITY FACILITIES ELECTRIC USAGE Data was provided to Joel Freeman several weeks ago. MEMBERSHIP Dennis Marino said that there is one vacancy on the Commission, but that Mayor Morton has introduced Theodore Gantos to the City Council for approval for membership. COMMUNICATIONS Evanston Energy Commission Minutes - March 7, 2001 Pa�c Six Dennis Marino drew the Commission `s attention to the communications included in their packet. Communications were accepted into the record. OTHER BUSINESS Len Sciarra asked the Commission to encourage the Aldermen to make the new fire station energy efficient. Jackie Brown asked the Commission to contact Janet Hoffman regarding possible interns for the Energy Commission this year. Del Leppke stated that he has spoken with Ms. Hoffinan and she is aware of our request. Paul Morse mentioned that he has met with Ron Nayler, Associate Vice President of Facilities Management at Northwestern University, and he has indicated his willingness to come to a meeting with the Energy Commission and inform us of what Northwestern is doing and thinking of doing in the area of electrical power. Action Item ; , M Del Leppke To invite Ron Na}•ter to the April S Energy Commission meeting. ADJOURNMENT There being no further business before the Commission, it adjourned at 9:10 a.m. Respectfully submitted, Mary E. ke Plannin Division Community Development Department I 1' t ; j , , It': - MEMBERS PRESENT: MEMBERS ABSENT: STAFF PRESENT: PRESIDING OFFICIAL OTHERS PRESENT: CALL TO ORDER EVANSTON ENERGY COMMISSION MINUTES Friday, April S, 2002 Room 2404 — 7:15 a.m. CIVIC CENTER Jaclve Brown, Hans Detweiler, Arlene Haas, Alan Kistler, Del Leppke, Kerry McKenna, Paul Morse, Ray Doolin, Tim Flannery, Theo Gantos, Rudy Wolfson Dennis Marino, Mary Baaske Del Leppke, Chair Joel Freeman, David Grumman, Bud Nesvig, Leonard Sciarra Del Leppke, Chair of the Energy Commission, called the meeting to order at 7:23 a.m. CONSIDERATION OF MINUTES OF MARCH 7, 2002 Kent' McKenna made a motion to approve the minutes of March 7, 2002. Motion seconded by Paul Morse. Motion passed unanimously. ACTION ITEMS TECHNICAL REVIEW GROUP MEETING WITH COMED Dennis Marino reported that a meeting is being planned for April 23 as a follow-up to the one held last month with ComEd that is part of the quarterly review process. The reason for the meeting on April 23 is both the TRG group and ComEd reps felt it would be good for all of us to be together to hear presentations from ComEd's engineering and planning people based at Libertyville. David Metz and Jerry Hoppe will be with the TRG group. He added that this meeting would allow us to get deeper into discussion of capacity of distribution system and short term/long term capital improvement and construction plans. Evanston Energy Commission Minutes - April 5, 2002 Pa eg Two COMMITTEE REPORTS A. Distribution Systems Franchise & Provider Agreements and Liaison Activities Del Leppke explained that he and Hans Detweiler were working on a draft recommendation for a one-year franchise extension. Mr. Leppke said that the document starts with an introduction, refers to the existing ordinance and franchise, covers a summary of the TRG meetings, covers conclusions/observations on the ComEd compliance during the three year extension, and points out the following two unresolved items. 1. SAIFI - frequency of interruption has gone down, but is now coming back up. 2. Commitments on project 4 - to study all feeders that are 90% over their rated capacity during peak loads and take action as indicated by the results of their study - still open questions on that. He said there are two reasons why the three-year extension should be extended while we are working on these unresolved issues. There is a section on additional concerns - during this three year extension we haven't given much attention to the provisions of Exhibit B which deals with wildlife protection, underground facilities inspection, buried cables inspection, replacement and frequently interrupted devices. Mr. Leppke said that note should be taken of Evanston Energy Future - the citizens group that has various intitiatives dealing with energy management and utilizing renewable distributed generation technologies. Conclusions from this documents are that the requirements of the one-year extension be clarified, that the reporting and ComEd review meetings continue as they have during the three-year extension, and that specific projects that should be completed during this next year be defined. This documents identifies the four following recommended projects. 1, identify areas of the City that have a high density of heavily loaded feeders, analyze existing backup capability similar to Appendix P of the Stanley Report and as required by the results develop a plan for remedial action. Del Leppke asked if the Commission was agreed that this project should be a speck requirement of the extension. Commission members agreed. 2. Identify feeders serving governmental facilities and feeders with projected loadings in excess of 80% serving major customers to develop a program for increasing the efficiency of electric usage on these feeders through ComEd subsidized lighting and equipment retrofits. Del Leppke said that this is where the Commission would look specifically at major loads and if an energy efciency approach should be applied to keeping that load more level and reducing it to improve the margin of capacity within those feeders. This would include Evanston Energy Commission Minutes - Anril 5. 2002 Page Three government and major private industry customers. Dennis Marino asked if there were an assumption built into the recommendation shifting the subsidized electricity provided to City facilities and suggesting that the City volunteer to pay for the electricity and instead that money be shifted over to capital improvements. He added that would be a significant budgetary issue. Mn Leppke responded that this was not addressed yet. Hans Detweiler recommended that if we are discussing having ComEd pay for these efficiency upgrades, it is more desirable if it is occurring where the city is paying for power, but at the same time would still be getting some environmental benefits. It should not be perceived as some sort of substitution by ComEd of covering capital costs for the efficiency substituting that for what is now being provided. It was suggested that instead of the word "major" customers in Project 2, the word 'selective " customers would be used. Del Leppke explained that the ICC sets the rate for the electrical distribution system. He explained that this is what drives some of ComEd's decisions, If they do not get a rate relief they have to find the best way to maintain their liability, capacit; y and capability at the lowest possible cost to them because they can't recover some of it in the rate base. Kerry McKenna agreed and said that was why the feeders are 95% loaded. Mr. Leppke said there were two ways of dealing with this, one is to go to the ICC and convince them to increase the rate so ComEd has more money to improve the capability of the system. This would mean that someone would have to police it and make sure the money is being spent for the right purpose. Another approach would be to recognize that ComEd has a cap on what they can spend and try to work with them and convince them that this is perhaps the least capital intensive. Arlene Haas said that ComEd was required to submit an Implementation Plan for residential customers, since residential customers will have a choice starting in May. As part of that plan, they requested a tariff and asked for 47% and ICC approved 25%. Many groups intervened and stated that ComEd was asking for was to recoup the cost for the power outages. ComEd is paying for an independent audit that will show what ComEd should be asking for and there will be a final order in the fall based on that audit. 3. Identify feeders with sharply peaked load -time curves and develop a plan for remedial action to obtain a more levelized utilization through ComEd's subsidized energy time management systems and/or distributed generation systems. Hans Detweiler said that perhaps the words "an explicit mention of renewable distributed generation "should be added. xr l;i If. Y'. K.• r .. . Evanston Energy Cornmisslon Minutes - Aaril 5. 2002 Pa a Four 4. Identify feeders with the pattern of recurring interruptions caused by lightning, wildlife, and underground failures, analyze potential underlying causes and develop a plan for remedial action. After discussion regarding completing the document in time for the May 6 City Council meeting, Hans Detweiler made a motion to move the May 7, 2002 Energy Commission meeting to April 30, 2002. Paul Morse seconded the motion. Motion passed 6 ayes - 1 abstention (Kerry McKenna). Del Leppke asked the Commission members for their opinion of what it wants to include in its recommendation to A&PW. He asked Commission members if they were comfortable with making, as a precondition, that ComEd agree to continue the reporting and review relationship. Commission members agreed. Mr. Leppke also asked if exercising the extension should be conditional upon ComEd agreeing to do some specific project during the one year? Commission members agreed. Kerry McKenna asked how aggregation would be handled. Hans Detweiler replied that it was definitely something the Commission should look at in the coming year, but he was not sure the proposals were firm at this point. Arlene Haas said that the Center for Neighborhood Technology has dedicated much time in studying aggregation and that there is a Senate Bill that was proposed by Senator Rauschenberger for the ICC and supported by the ICC to study the benefits of municipal aggregation. If this passes to the legislature the report would be submitted by January 15, 2003. Del Leppke said what the Commission wants in a letter to A&PW is to seek clarification of the one-year extension, and if that clarification is appropriate proceed with it, otherwise step back. He added that the letter should identify specific potential projects that should be brought to ComEd's attention and this should be started during the next year. Mr. Leppke thought that the subject of renewable energy, or green power purchase is outside the discussion of the extension of the franchise. He added that under continued work with the A&PW and the City and our recommendations about energy supply, we could start a parallel activity in talking about this moving toward ComEd buying power for governmental facilities. Irwin Levinson said the current four projects being discussed deal with the current power distribution problem. He asked that "in anticipation of our next franchise we would like you to provide information along green or renewable energy" be added to these projects. He felt this would lay the groundwork. Hans Detweiler said that no one really knows how much more green power would cost. If, down the road we are interested in doing green power, we could include a specific mention now that we want to get green power from the grid from ComEd and we put in a specific request we want to get green power via solar panels put on our facilities, then when ComEd comes back we will see what ComEd thinks is cheaper by what they want. He felt that would be very valuable information as we look at our long-term goals. Discussion ensued regarding pros and cons of including green power in the Franchise Agreement. It was decided Evanston Energy Commission Minutes - Anril 5.2002 Pate Five that Hans Detweiler and Del Leppke would draft a Franchise Extension Agreement in time for the April 30 Energy Meeting, at which time members could critique it. B. Energy Supply & Transmission Contracts and Liaison Activities Kerry McKenna said that he needed direction concerning this topic. Del Leppke thought that the Commission needs to start informing the city and talking about aggregation, negotiation for separate power supply for government facilities, and advice to the residents as to what they should do after May 2002 when they can make their own deal for power supply. Mr. McKenna said he would prepare a paper for the next meeting. Dennis Marino mentioned that there are not any competitors present to provide a power supply to residents. C. Governmental Policy and LegislativdRegalatory Actions Arlene Haas said she wanted to emphasize that when the deregulation law was drafted, the municipal aggregation issues for residential was not well thought through and now they are trying to backpedal. Ms. Haas reported that the Environment Board gave her a draft energy policy and she will meet with them April 18'h to come up with a final draft. Del Leppke asked Ms. Haas to keep the Commission informed of what is coming up in the legislation and what new regulations ICC are proposing. D. Oversight, Monitoring & Inspection Actions No report. E. Innovative & Emerging Energy Options No report RECENT OUTAGES Dennis Marino reported that, based on Max Rubin's records, over the past 40 days there have been five reported outages, with two were of some significance in terms of duration. Feeders 778 and 777 were out for two hours and their outage was caused by equipment failure. These feeders affected Skokie and Evanston customers. Feeder 4717 had an outage of eight hours duration and affected three customers. REQUEST FOR CITY FACILITIES ELECTRIC USAGE Dennis Marino reported that the City was able to get data visa -vie ComEd concerning city facilities electric usage. He added that Joel Freeman was kind enough to take that data and analyze it and that report has been included in the Commission's packet. Evanston Energy Commission Atiattes - April 5, 2002 MEMBERSHIP Page Six Dennis Marino reported that Theo Gantos has been appointed by the Mayor and confirmed by City Council. Mr. Marino explained that Mr. Gantos had a prior engagement and could not be at the meeting tonight, but he intends to be at the next Energy Commission meeting. COWHUNICATIONS Dennis Marino drew the Commission's attention to the communications included in their packet The communications were accepted into the record. OTHER BUSINESS Paul Morse said that Gas Technology Institutes, a non-profit, is sponsoring a conference late in May called "Energizing America's Cities" and thought it would be a good source for ideas of what cities across the United States have been doing. He said he would include information in the next packet. ADJOURNMENT There being no further business before the Commission, it adjourned at 9:23 am. Respectfully submitted, 4 Mary B e P g Division MEMBERS PRESENT: MEMBERS ABSENT: STAFF PRESENT: PRESIDING OFFICIAL OTHERS PRESENT: CALL TO ORDER EVANSTON ENERGY COMMISSION MINUTES Wednesday, June 5, 2002 Room 2404 — 7:15 a.m. CIVIC CENTER Jackie Brown, Hans Detweiler, Theo Gantos, Alan Kistler, Del Leppke, Paul Morse, Rudy Wolfson Ray Doolin, Tim Flannery, Arlene Haas, Kerry McKenna, Dennis Marino, Mary Baaske, Max Rubin Del Leppke, Chair Joel Freeman; David Grumman; Irwin Levinson, Environment Board Del Leppke, Chair of the Energy Commission, called the meeting to order at 7:20 a.m. CONSIDERATION OF THE MINUTES OF APRIL 30, 2002 Alan Kistler moved approval of the April 30, 2002 minutes. Motion seconded by Rudy Wolfson. After much discussion and several suggested revisions by Commission members, the minutes were passed unanimously. REPORT OF MAY 20, 2002 DISCUSSIONS WITH A&PW COMMITTEE Rudy Wolfson said there were two main agenda items that the Energy Commission and Technical Review Group presented to A&PW. They were a report concerning ComEd's performance and reliability, and the Energy Commission's recommendation that a one-year service franchise extension with ComEd be approved. He said that both were approved by the Committee for presentation to the Council as a whole. (Copies of A&PW minutes for May 20 are attached.) Dennis Marino reported that A&PW accepted the report and indicated that a negotiating team should be appointed. Evanston Energy Commission Minutes - June 5. 2002 Paee Two RECOMMENDATION TO EXTEND FRANCHISE FOR ONE YEAR Hans Detweiler said that the rationale for the Commission's recommendation to extend the franchise for one year was summarized to A&PW. He said that he thought that the Commission should decide today what Commission members to recommend for the negotiating team. Dennis Marino said that the appointment process is a mayoral process. He expected that there would be appointments in place for approval on the June 24, 2002 City Council meeting. Commission members discussed what members they thought should be on the negotiating team and some Commission members expressed concern that someone with expertise in energy conservation be represented. Dave Grumman mentioned that there is a need to replace Larry Suffredin on the negotiating team. Del Leppke said that he has spoken with Roger Crum and expressed the need for a lawyer to be on the team. Mr. Leppke asked Dennis Marino to convey the discussion of today regarding Negotiating Team appointments to the Mayor. Mr. Leppke said that as the Negotiating Team gets into position and is looking to the Commission for advice, they could be given rather clear advice as to which areas of the city and which circuits demand some attention and the type of technical attention that the Commission wants included in the extension. He said that where it gets a little fussy is how to begin to approach the question of conservation and energy renewal. He thought that this should be given serious thought between now and the Commission's next meeting. COMMITTEE REPORTS A. Energy Supply & Transmission Contracts and Liaison Activities No new report. B. Governmental Policy and Legislative/Regulatory Actions Del Leppke drew the Commission's attention to the letter to the Governor signed by himself and Roger Crum to approve Senate Bill 1569. C. Oversight, Monitoring & Inspection Actions No new report. D. Innovative & Emerging Energy Options No new report. E. Distribution Systems Franchise & Provider Agreements and Liaison Activities No new report. Evanston Energy Commission Minutes - June 5.2002 MEMBERSHIP Paee Three Dennis Marino reported that the Energy Commission is at full membership. Mr. Marino was asked to check on future participation by Ray Doolan, an Energy Commission member. COMMUNICATIONS Dennis Marino drew the Commission's attention to articles submitted by Theo Gantos, and Rudy Wolfson as well as other communications in the energy packet. RECENT OUTAGES In Max Rubin's report he said that 8515 had an outage due to being hit by lightning. He said that Ald. Rainey called and reported an outage in her area, 17 people were without electricity from 3 a.m. to 12 noon. Mr. Rubin reported that outage was due to feeder 851 being hit by lightning. OTHER BUSINESS Theo Gantos asked how a liaison to the Environment Board would be handled. Del Leppke said that would be handled between the Chairs of the Energy Commission and Environment Board. Irwin Levinson said that the Environment Board agrees that the Energy Policy is acceptable, but the Chair of the Environment Board is out of town and he could not give the official word. Mr. Gantos voiced his opinion that the Energy Policy was too vague. Mr. Leppke replied that policies are vague and general, and that he would get a liaison committee to get to work on an energy and environment plan. Mr. Gantos said that it was his intention to go to as many Environment Board meetings as he could to unofficially keep them informed of what the Energy Commission is doing and to bring back information from the Environment Board to the Energy Commission. ADJOURNMENT There being no further business before the Commission, it adjourned at 9 a.m. Respectfully submitted, 4:7- Mary E. ke Planning Division MEMBERS PRESENT: MEMBERS ABSENT: STAFF PRESENT: PRESIDING OFFICIAL OTHERS PRESENT: CALL TO ORDER EVANSTON ENERGY COMMISSION MINUTES Thursday, July 11, 2002 Room 2404 — 7:15 am. CIVIC CENTER Hans Detweiler, Theo Gantos, Arlene Haas, Alan Kistler, Del Leppke, Paul Morse, Rudy Wolfson Jackie Brown, Ray Doolin, Tim Flannery, Kerry McKenna, Dennis Marino, Max Rubin, Mary Baaske Del Leppke, Chair Dave Grumman, Leonard Sciarra Del Leppke, Chair of the Energy Commission, called the meeting to order at 7:21 am. CONSIDERATION OF THE MINUTES OF JUNE 5, 2002 Hans Detweiler made a motion to approve the minutes of June 5, 2002. Motion seconded by Paul Morse. Motion passed unanimously (1 abstention - Arlene Haas) TEMPORARY EXTENSION OF FRANCHISE FOR 90 DAYS Dennis Marino reported that on July 8, 2002 City Council approved a temporary extension of the franchise for 90 days until October 14. This allows time for negotiation to proceed concerning the recommended longer -term extension of one year as recommended by the Energy Commission. The Negotiating Team recommended to City Council that a temporary extension be granted conditioned upon a letter from ComEd stating that all the terms, obligations, and reporting requirements in the June 25, 1999 letter from ComEd would be included in the temporary extension as well. ComEd did provide such a letter. He added that the negotiating team would meet for the second time later this morning. The negotiating team consists of Rudy Wolfson, Del Leppke, Ald. Moran, Ald. Bernstein, and Evanston Energy Commission Minutes - Juiv l 1.2002 Ps ee Two Ald. Rainey. Hans Detweiler said that he wanted to be informed when these negotiating team meetings would occur. Dennis Marino said that historically, there have been two representatives from the Energy Commission on the negotiating team. The monthly Energy Commission meetings have been used as a way to surface issues to then be taken to the negotiating team. Mr. Marino said he would try to keep Mr. Detweiler informed of all upcoming negotiating team meetings. Mr. Leppke said that the following topics are important items to consider as the City enters negotiations. • Four feeders that Edison has targeted for intensive review this next are important. Two are on ComEd's 1 % list which are the 1 % worst feeders in the northwest region and two are on their 3% list which are the 2-3% worst feeders in the northeast region. Two of the feeders serve the western and northern parts of the business district, plus the Northwestern Campus where they have been experiencing significant outages. • The construction of a new feeder to serve the downtown area. • Examine whether there is a relationship with the overloaded feeders and the loss of reliability. There are still six or seven feeders that are indicated to be loaded above 40% for the summer peak of 2002 and the question is does that affect reliability. • Energy conservation and efficiency and improving the efficiency of our energy usage. Rudy Wolfson added that the Negotiating Team in interested in the possibility of a possible Evanston demonstration on energy conservation. Theo Gantos asked if there has been any discussion with ComEd regarding free power for certain City buildings. Mr. Leppke replied that our current subject is a one-year extension, and during this one year, a lot of different areas will be explored. At this point in time, the Commission is focusing on things that can be done in one year. Dennis Marino said that there had been staff -to -staff discussions briefly in the context of setting up a meeting and one of the issues that surfaced was an interest in energy conservation and efficiency. Hans Detweiler encouraged the City to invite ComEd to involve Mary O'TooIe, Director of Environmental Programs for ComEd, to make sure that she is being briefed. He said that for the Negotiating Team meeting later this morning, he wanted to make a couple of suggestions. Mr. Detweiler suggested three items regarding energy efficiency, 1. Some sort of energy efficiency rebates for consumers (possibly coupons for energy efficient refrigerators, air conditioners, etc.) Evanston Energy Commission Minutes - July 11.2002 Page Three 2. How it is reasonable to restructure free power. Ask ComEd to pay for energy efficiency upgrades on buildings that are getting free power. ComEd would recoup the costs because they would be supplying less power. 3. Where the City is paying for power, any direct assistance that ComEd provided to buildings where the City is paying for power would help the City on the budget crunch as well. 4. Regarding renewables, Mr. Detweiler thought that the City would prefer to have distributed generation renewables as opposed to remote renewables. He said that the Commission should have a dollar amount in mind for the renewable equipment they are asking to be installed. COMMITTEE REPORTS Energy Supply & Transmission Contracts and Liaison Activities No Report Governmental Policy and Legislative/Regulatory Actions Arlene Haas reported that the Governor approved a bill requiring the ICC to study municipal aggregation and that report is due in January of 2003. As part of that study they will be looking at aggregation consumers who will be purchasing electricity from renewable energy sources. She said that she has reminded Kathy Tholin that Evanston would like to be one of the municipalities studied. Ms. Tholin said she would be communicating with the ICC regarding her plans. Ms. Haas added that it would still be helpful to talk to our State Senators or Representatives. Dennis Marino stated that we have sent letters to our State Senators, Representatives, the ICC and the head of the Clean Energy Fund whom Hans Detweiler suggested. He said that the ICC has asked for $100,000 to do this study from a special fund and we will make our interest known again in being one of the studied sites. We would do this by working through Kathy Tholin, sending letters to our elected officials, and working through the ICC. In June the Illinois Public Utility Act was amended to extend the electricity rate freeze for residential customers from January 1, 2005 to January 1, 2007. The change was prompted by the lack of an alternate supplier for residential customers. Del Leppke stated that the Draft Energy Policy has been approved by the Environmental Board, and the Energy Commission and asked Ms. Haas to draft a submittal letter to City Council. Dennis Marino stated that the Energy Policy would now be submitted as a communication for discussion to the A&PW Committee, targeting their September meeting. Leonard Sciarra suggested that a letter be written with signatures for the Environment Board and the Energy Commission submitting the Energy Policy to A&PW. Evanston Energy Commission Minutes - March 11. 2002 Ps ee Four Dennis Marino mentioned that because there is only one City Council meeting in August and the City Council Agenda is always very full for that one meeting, it might be better to wait until the September City Council meeting where it would get move discussion/attention. It was decided to submit the Energy Policy on September 9, 2002. Mr. Marino said that the Energy Policy can be adopted the same night it is introduced. Mr. Leppke said that now that the Draft Policy is drafted, the Commission should start on some implementation. He said that the Environment Board is willing to assign some members to work with some members of the Energy Commission to form a subcommittee to start drafting some implementation statements. As of this meeting the Subcommittee will consist of Arlene Haas and Len Sciarra. Mr. Leppke asked Dennis Marino to speak to the City's Law Department regarding email. He was concerned that communications sent by email between Energy Commission members would be regulated by the Open Meetings Act. Mr. Marino replied that he would speak to them. Mr. Leppke was concerned that the City would have a uniform policy regarding email between all Commission/Committee members and wanted to be sure that the Energy Commission would be following that policy. Mr. Marino stated that he did not see any current move to establish a City-wide policy, after he speaks with the City's Legal Department, the Commission may want to form their own policy. Oversight, Monitoring & Inspection Activities No report. Innovative & Emerging Energy Options No report. Distributions Systems Franchise & Provider Agreements and Lisbon Activies No report. RECENT OUTAGES Max Rubin reported that on July 4, circuit C4712 underground cable failure that lasted approximately 14 hours. On June 25 a wire down from lighting at circuit C661 causing an outage affecting 1263 people that lasted four hours. On June 4, lighting caused an outage on circuit 8515. !d / Evanston Energy Commission Minutes - February 6. 2002 Page Five MEMBERSHIP Dennis Marino reported that he was trying to contact Ray Doolun, but so far has been unable to. COMMUNICATIONS Dennis Marino pointed out several communications included in the Commissioners packet. ADJOURNMENT There being no further business before the Commission, it adjourned at 8:45 am. Respectfully submitted, Mary E ke Plannin Division Community Development Department RE'.'t[-, MEMBERS PRESENT: MEMBERS ABSENT: STAFF PRESENT: PRESIDING OFFICIAL CALL TO ORDER EVANSTON ENERGY COMMISSION Minutes Friday, August 2, 2002 Room 2404 -- 7:15 a.m. CIVIC CENTER Theo Gantos, Arlene Haas, Del Leppke, Paul Morse, Rudy Wolfson Jackie Brown, Hans Detweiler, Ray Doolin, Tim Flannery, Alan Kistler, Kerry McKenna, Max Rubin, Mary Baaske Del Leppke, Chair Del Leppke, Chair of the Energy Commission determined a quorum was not present, and the Energy Commission held an informal meeting without any votes. I. COMED QUARTERLY REPORT - JULY 31, 2002 Commission members discussed the ComEd Quarterly Report dated July 31, 2002. Del Leppke observed that the average number of interruptions per customer continues to go down to 1.04. However, the average length of interruptions went from 106 to 107. He noted that a new category called Transformer was introduced in ComEd's latest report. Mr. Leppke asked the Subcommittee on Oversight, Monitoring & Inspection Actions to discuss the subject of a correlation between heavy loading, outages, transformer failure, because it could possibly be an important part of any continued franchise relationships. II. FRANCHISE EXTENSION NEGOTIATION PROCESS Del Leppke reported that the Franchise Negotiation Team met with Dan Brea, Regional Director of the Northern Division, Joe Trexler, External Affairs Director and Mike Radziewicz, Community Relations Manager of ComEd on July 26, 2002. He added that Ald. Moran has been elected chair of the Franchise Negotiation Team. Mr. Leppke said that the Franchise Negotiation Team discussed in general terms that the Energy Commission would like ComEd's reporting to continue through this one-year extension on the same frequency as in the past and that ComEd representatives be available for discussion after every quarterly report. The Franchise Negotiation Team expressed concem for the four feeders that are included in ComEd's 1% and 3% worst feeders. The representatives from ComEd agreed that they would focus on that during this next year. Evanston Energy Commission Minutes - August 2.2002 Paee Two He said that the Franchise Negotiation Team discussed Appendix B of the Letter of Agreement which has a general broad scope forward looking preventive maintenance items i.e., pole inspection, transformer inspection, underground circuit inspection. The possible need for additional capacity and incentives for decreasing load improving energy efficiency was also discussed. ComEd pointed out that it is doing a number of projects in that regard and that there are a number of incentives that they have been offering. ComEd agreed to pull together a background on the incentives that it does offer. ComEd has been working with the Center for Neighborhood Technology on ways to level the load on circuits so that they don't have high peaks on circuits. He said ComEd would be willing to see whether Evanston would want to participate, or if Evanston did not want to participate, ComEd would be willing to give the City status reports. Wind energy and the possibility of windmills and solar panels were discussed. The next planned meeting of the Franchise Negotiation Team and ComEd will be Tuesday, August 27, 2002, starting at 8:00 a.m. (subsequently cancelled). Mr. Leppke said that City Council approved the 90-day extension of the existing franchise with ComEd. Arlene Haas mentioned that at the last Energy Commission meeting, Hans Detweiler suggested asking Mary O'Toole, from the Environment Division of ComEd to be involved in negotiations. Del Leppke said that Mike Radziewicz said he would be in contact with the Environment Division. ID. COMMITTEE REPORTS A. Energy Supply & Transmission Contracts and Liaison Activities No report. B. Governmental Policy and LegislativelRegulatory Actions Arlene Haas reported that she had been communicating with Dennis Marino, Kathy Tholin and municipal aggregate people and was disappointed to learn that even though the Governor signed Senate Bill 1569, there is no funding for doing the study. She said she is trying to find out what the status of that is. Ms. Haas said that Dennis Marino had contacted someone from the Governmental Affairs Division (CAD) and said CAD was aware that Evanston wanted to be part of the study and directed Mr. Marino to someone in the Energy Services Division who is responsible for overseeing the study. Max Rubin mentioned that the ICC was going to the Clean Energy Group for funding. Ms. Haas said that she knew that the Energy Commission sent a letter to Governor Ryan and State Representatives supporting Senate Bill 1569 and suggesting Evanston as one of the five case studies for the Illinois Commerce Commission Report. Ms. Haas thought it a good idea to follow-up on those letters. Evanston Energy Commission Minutes - August 2.2002 Paee Three Ms. Haas said that Steve Perkins from the Center for Neighborhood Technology, who is heading up the Evanston Energy Future, sent her an email requesting she write an article for one of the local papers about municipal aggregation and Evanston's interest in it. She said she was happy to do this and invited input from the other Commission members. Ms. Haas reported that she had drafted a cover letter for the Energy Policy and sent a copy to Del Leppke for his comments. She has heard from the Environment Board regarding the Energy Policy and they have made no changes. Ms. Haas said that Dennis Marino had been in contact with the legal counsel regarding email communicating. She said that the City Attorney informed Dennis Marino that email communication is fine as long as a quorum of the Commission is not taking action or discussing action to be taken. Del L.cppke asked Theo Gantos to be part of the Governmental Policy and Legislative/Regulatory Actions subcommittee. Mr. Gantos replied that he would. Mr. L eppke said that after the Policy is in place the Commission would have to work on implementation guidelines and the Commission has agreed to work with the Environment Board on drafting them. Theo Gantos asked if the City is currently subject to governmental regulations on alternative fuel vehicles. Max Rubin replied that Evanston just built an EVNORSKO gas fueling facility at the Service Center area. The grand opening was last week. He said it was a joint relationship between Evanston, Northwestern, and Skokie. This facility is for natural gas fueled cars. Currently, Evanston has no such cars, Skokie has two and Northwestern intends to buy several vans. In the next few years all the partners in the project (Evanston, Skokie, and Northwestern University) will have a total of 45 carstvchicles. He said that Evanston is one of only 2000 natural gas fueling stations. Theoretically, if there is a company that has a natural gas fueled car, the City can arrange to bill them. Mr. Gantos said he mentioned alternative fuels because it fits in with any energy policy the Commission would be discussing. C. Oversight, Monitoring & Inspection Actions No report. D. Innovative & Emerging Energy Options Del L.eppke mentioned that Nicor now offers the opportunity to buy gas from different suppliers and is offering four or five different suppliers. He added that there are quite a few consumers in Evanston that are very much confused by this. He wondered if the Energy Commission should involve itself in that issue and publicize some better information on this subject. Arlene Haas said that someone should contact Steve Perkins, Evanston Energy Commission Minutes - Aueust 2.2002 Page Four this subject came up at one of the Energy Future meetings and there is a group working on that. Mr. Leppke suggested that the Commission investigate what is already known about the alternative ways of buying gas and if the Energy Commission can offer as a platform the ability to publicize it. Attendance issues were discussed and Max Rubin mentioned that Mayor Morton has asked for attendance issues from Committees/Commissions having attendance problems. Arlene Haas thought that Joel Freedman might know about alternative gas suppliers. Del Leppke said that he would take the responsibility of discussing this with Tim Flannery or others that would know about alternative gas suppliers. Action Item Mary Baaske To compile an attendance record for those Energy Commission members that are missing meetings and forward that record to Mark Franz, Assistant to the City Manager. E. Distributions Systems Fnwchlse & Provider Agreements and Liaison Activities No report. IV. RECENT OUTAGES Max Rubin gave a report of the outages that occurred in July. Mr. Rubin said that the outages are now being posted on the City's web site and stay there for 60 days. He added that the site is updated daily. Theo Gantos suggested that a link to the outages be put on the Energy Commission page. V. ADJOURNMENT The meeting ended at 8:42 Respectfully submitted, M . Baaske Planning Division Community Development Department EVANSTON ENERGY COMMISSION Minutes Tuesday, September 10, 2002 Room 2404 — 7:15 a.m. CHIC CENTER MEMBERS PRESENT: Arlene Haas, Del Leppke, Jackie Brown, Hans Detweiler, Alan Kistler, Paul Morse, Rudy Wolfson MEMBERS ABSENT: Theo Gantos, Ray Doolin, Tim Flannery, Kerry McKenna, STAFF PRESENT: Dennis Marino, Max Rubin, Mary Baaske PRESIDING OFFICIAL Del Leppke, Chair OTHERS PRESENT: Dave Grumman CALL TO ORDER Del Leppke called the meeting to order at 7:20, a quorum being present. CONSIDERATION OF MINUTES OF JULY 11, 2002 Rudy Wolfson moved approval of the minutes of July 11, 2002. Motion seconded by Hans Detweiler. Motion passed unanimously. CONSIDERATION OF MINUTES OF AUGUST 2, 2002 Hans Detweilcr moved approval of the minutes of August 2, 2002. Motion seconded by Arlene Haas. With minor corrections, the motion passed 6 ayes and 1 abstention (Jackie Brown). FRANCHISE EXTENSION NEGOTIATION PROCESS Dennis Marino reported that the next Franchise Extension Negotiation meeting would be Tuesday, September 17, 2002. He explained that the Negotiating Team met the last week of July and subsequently met with ComEd. At that time, ComEd asked for some time to respond to the dialog with the Negotiating Team. The temporary extension expires on October 14, which is also the night of a Council meeting. Mr. Marino mentioned that the Negotiating Team consists of Del Leppke, Rudy Wolfson, Aid. Moran, Aid. Rainey, and Aid. Bernstein. Evanston Energy Commission Minutes - September 11, 2002 Page Two COMMITTEE REPORTS A. Energy Supply & Transmission Contracts and Liaison Activities No report. B. Governmental Policy and Legislative/Regulatory Actions Deferred to later. C. Oversight, Monitoring & Inspection Actions No report. Jackie Brown asked if a meeting was scheduled for the Technical Review Group. Dennis Marino stated that the Commission has the option to schedule such a meeting, and the TRG meetings are different in • character and depth than the Negotiating Team sessions and Del Leppke thought it might be advisable to schedule a TRG meeting. D. Innovative & Emerging Energy Options No report. E. Distribution Systems Franchise & Provider Agreements And Liaison Activities No report. RECENT OUTAGES Max Rubin said that the electricity outages are now officially on the City's web site. He explained that these are all lockouts. There probably would not be any outages listed affecting one or two people unless it was a lockout. Mr. Rubin gave a report of the outages that occurred in August. Included in his report he stated that there are four feeders for Downtown Evanston, _ and on August 22, three of them were down. ENERGY POLICY Dennis Marino stated that the Energy Policy was an action item for A&PW on September 23, 2002. Arlene Haas and Del Leppke said they would attend that meeting. Paul Morse asked if the Energy Policy was being presented in conjunction with the Environment Board. Arlene Haas said that the Environment Board endorsed. the Energy Policy. ICC AGGREGATION STUDY Arlene Haas said she had been communicating with Anthony Star who works with Kathy Tholin at the Center for Neighborhood Technology and they have a draft list of municipalities and Evanston is on that list. She said that Mr. Star raised the issue that they didn't have funding Evanston Energy Commission Minutes - Seatember 11.2002 Page Three for these studies, and while this would affect the scope of the studies, the studies would defnitcly move forward. MEMBERSHIP In response to a question from Del Leppke, Dennis Marino reported that there are two members that have not been able to attend quite a few meetings. He said that along with Del Lcppke he would be in contact with them to see if they were able to continue being on the Commission. COMMUNICATIONS Dennis Marino drew the Commission's attention to the communications included in the Energy Commission packet. ADJOURNMENT There being no further business before the Commission, it adjourned at 8:24. Respectfully submitted, Mary E. ke Plannin ivision Community Development Department . -„ �. .,..,�7!r".',r:,•°.t�'.,.�f"�i'ra�vsn _J't P; •i[xt��n_r. ",�g': w•t' _ EVANSTON ENERGY COMMISSION Minutes Wednesday, October 2, 2002 Room 2404 — 7:15 a.m. CIVIC CENTER MEMBERS FRESENT: Arlene Haas, Del Leppke, Jacide Brown, Theo Gantos, Alan Kistler, Paul Morse, Rudy Wolfson MEMBERS ABSENT: Hans Detweiler, Ray Doolin, Tim Flannery, Kerry McKenna, STAFF PRESENT: Dennis Marino, Max Rubin, Mary Baaske PRESIDING OFFICIAL Del Leppke, Chair OTHERS PRESENT: Mary Gavin, Evanston Round Table; Anthony Star, Community Energy Cooperative Leonard Sciaira, Environment Board CALL TO ORDER Del Leppke called the meeting to order at 7:20, a quorum being present. He acknowledged Mary Gavin with the Evanston Round Table, and Anthony Star with the Community Energy Cooperative who were present in the audience. CONSIDERATION OF MINUTES OF SEPTEMBER 10, 2002 Paul Morse moved approval of the September 10, 2002 minutes. Motion seconded by Alan Kistler. Motion passed unanimously. ENERGY POLICY DISCUSSION Rudy Wolfson reported that Comld made a series of project proposals that formed a concise and clear statement of what they propose to do within the franchise extension period. Mr. Wolfson said one of the items the TRG has been concerned about is the installation of reclosers in the midpoint of overhead distribution lines. A recloser is a convenience item, which increases the reliability of feeders and prevents an entire feeder from having an extended outage. He said ComEd plans to install these reclosers on feeders that, at the end of the year, have too many lockouts. SCADA monitoring will be installed on a station in Wilmette. (Evanston is served in part from this station). Evanston Energy Commission Minutes - October 2.2002 Paee Two Another TRG concern is that ComEd identified the distribution circuits that are scheduled for inspection this year. Included in this inspection are lightning arrestors. In the fall of this year ComEd will also be listing the feeders that will be inspected in 2003. They have increased the scope of the inspection to cover lightning, tree inspection and wildlife protection. ComEd has indicated that they will be improving the 1 % worst performing feeders in the service area. Basically, they intend to install more arrestors where needed, load reduction, refusing and wild life protection and are projecting to have this work done by mid-2003. Specific feeders where multiple interruptions have occurred will be monitored thoroughly. Over the past year, there has been a lot of upgrading of the vaults in the downtown. Currently, there are four feeders in the downtown and ComEd has planned to install a new feeder in 2004. ComEd has replaced one transformer and has another one on order and should arrive approximately September 28, 2002. As in past years, feeders loaded greater than 90% will be determined this fall, and ComEd intends to consider unloading some of those feeders where appropriate some time in early 2003. Mr. Wolfson said that the issue of a green power pilot project has been an ongoing subject for many parties. The ComEd representatives that the Negotiating Team is meeting with are not the right people to discuss the subject of Green Power. ComEd representatives mentioned meeting with Mary O'Toole, a ComEd specialist on alternative power. Dennis Marino reported that in the open session of the Negotiating Team Meeting, Hans Detweiler made an extensive presentation to the Negotiating Team concerning particular issues related to conservation efficiency and renewables. He added that Theo Gantos also participated in the conversation. Theo Gantos said he was concerned that ComEd has not been asked to do a pilot green pricing program in this area. Mr. Wolfson said that issue has been raised with ComEd and ComEd indicated they wanted to think about it. He said that ComEd already has programs for industry where they give credits for exchanging regular motors for energy efficient motors Mr. Gantos asked if distributed generation had been discussed. Mr. Marino said that it had been discussed in the past, but is not a current subject. Mr. L.eppke said that since this is a one-year extension, the Commission had somewhat limited itself to getting a continuation of an existing work and moving forward to another phase and only attempting to get started on the next phase. Mr. Gantos said his concern was that if we continue to adopt the mindset that we're only negotiating an extension, then the City is kept in a very bad negotiation position. The ^w.. b. . �v �t,.�s,, a.°��::r, .gyp, i�! - .. ,'4 �• Evanston Energy Commission Minutes - October 2, 2002 Pase Three subject was brought up and talked about rather extensively. His view is that to try get it completely formalized within this one-year period is asking for trouble. Mr. Gantos said his view was the more things we defer into a larger agreement the tougher our negotiation will be. He was also concerned that we may be talking to the wrong people at ComEd. When asked if the discussion of free power to City buildings was a topic of interest, Mr. Marino said that the facilities that are now covered would still be covered. Theo Gantos asked what the Commission's options are at this point. Mr. Marino replied that the Commission has already recommended a one-year franchise extension. In that recommendation, the Commission indicated that certain performance type things should occur. Rudy Wolfson said that our role is not losing anything that the City had before, making sure that ComEd commits themselves to continue the Technical Review Group meetings with the understanding that the Commission is going to approach energy conservation now or in the near future. Mr. Wolfson mentioned that he would be attending an October 10 presentation at the IEEE Power Engineering Society Chicago Chapter meeting on Photovoltaic Power Systems. ENERGY POLICY DISCUSSION Arlene Haas reported that she had presented the Energy Policy to the A&PW Committee. She said that the A&PW Committee was critical of the Policy. She thought it best to meet with them again as they were running out of time when she presented the Energy Policy. Ald. Moran had an issue with a few provisions, especially the provision that talks about audits. He was really concerned with what the cost of that would be and could we realistically audit ComEd. Ms. Haas said that the Commission has already done things like the Stanley Report and having the TRG which is like an audit and felt we should bring the Energy Policy up at an A&PW meeting again. A&PW's big concern was being required to spend resources in a way the City does not have the capacity to do. Ms. Haas felt that if the Energy Commission could have another meeting with A&PW the language issues could be worked out. Theo Gantos commended Ms. Haas on the presentation she made to A&PW. He said that he thought the mistake was in using the old policy as a base when perhaps the Commission should have started completely over. Len Sciarra said that he thought that if A&PW wanted to change the Energy Policy language from shall to seek to just stick with the original policy. He said that the original Energy Policy says "shall" and he thought energy conservation was very important to Evanston and they should do it. There is so much problem with reliability because too much energy is used, if demand is decreased there won't be so many problems. He felt the Energy Policy is fine as is and just needs to be explained to A&PW. Theo Gantos made a motion that the Energy Commission create an annual report including these important issues and ask A&PW for a meeting to discuss them. Del Leppke said that in the past the Commission usually generates an annual report in January. Mr. Gantos Evanston Energy Commission Minutes - October 2.2002 Page Four amended his motion to "create a special report that the Commission thinks needs to be addressed in a joint meeting." Motion died for lack of a second. Jackie Brown thought that that perhaps we should have information prepared to address some of the concerns that the Commission thinks A&PW has. Mr. Gantos suggested preparing a packet that addressed these concerns and send it to A&PW, then, if A&PW thinks it merits a special meeting, one could be arranged. He said that maybe "shall" should be replaced by "it is a stated goal." Del Leppke suggested going back to the policy writing team and for them to take this conversation and put something together. Ms. Haas said that right now Commission members are guessing at what the Aldermen want, and it would be more efficient to go back to A&PW on October 14 and see what each Alderman on A&PW is concerned about and then redraft the policy. 1CC AGGREGATION STUDY Anthony Star, of the Community Energy Cooperative said that last May residential choice for electricity started in Illinois, but there were no suppliers offering it. On the commercial/ industrial side there has been some progress with businesses switching to alternative suppliers. He said there are three things that the 1CC will be looking at in its proposed aggregation study. How risky are electric markets? Since there will be some risks, what are some of the things you can do to manage those risks? What is the value you can get? Mr. Star showed the Commission some graphs that show how many hours each month the price of electricity is at a certain point. What you can see is that the majority of the time the price of power in northern Illinois is very low. It does occasionally go up, but when it does go up there are three things to note about it; the number of hours that go up are very few, the spikes are short term in length, and they tend to occur on hot summer afternoons. The graph showed savings of 10% to 15% if you were able to participate in electricity markets. What you can do to manage those risks include financial management tools, varied limited electrical hedging, energy efficiency, load shifting, and local generation solar panels etc. What is the value of doing all these things? Taking part in the energy market is one way, the second is a new way to encourage efficiency, real time pricing, and municipal aggregation where a municipality negotiates a real time rate or alternative supplier. He said most of the models the CEC has examined include looking at the individual user. In 2007, the theory is that the electrical market in Illinois will be more restructured, there will be a lot more choice on who our electrical suppliers will be. Evanston Energy Commission Minutes - October 2, 2002 Paste Five Mr. Star was meeting with ComEd tomorrow to work out some issues in terms of the data requested. The primary part of the study will be each of the five communities getting information from the utility; historical, hourly, and load data from all of the substations that feed that community. This will be a full technical analysis based upon getting the energy use data from the utility. The other part of the report will look at what are the barriers, issues, and what else is going on around the state and country regarding municipal aggregation. The bill does say that the study is due to the General Assembly by January 15, 2003. Mr. Star didn't think it would be on time because there is no money to do it. He felt it would probably be a few months later. One of the key things he sees at this point is that the congress commission staff' is trying to get this information from ComEd, looking at the legislation, working on an outline, etc. Community Energy Cooperative did negotiate a three-year pilot program with ComEd to test real time pricing. It will start in January of 2003, and Community Energy Cooperative will be allowed to sign up to 1000 households on this rate. He added that they would like to get 200 people from Evanston signed up on this rate. Theo Gantos said that his question related to these 1000 homes. He said that when Kathy Tholin was addressing the Commission, she said that this rate would not be economical today, you would actually lose money. The price you pay when the price is up is more than offset by the small discount you get during regular times. Mr. Star said that she must have misspoke when she said that. The way this rate is negotiated is a set amount per kilowatt-hour includes what the distribution and energy costs. This rate is a fixed distribution cost of energy per kilowatt-hour there is a small participation incentive built in. He showed a graph that showed if you had been using this rate for the last three years you would have averaged a 10% saving. RECENT OUTAGES Max Rubin reported that there had been no outages since the last Energy Commission meeting. Mr. Rubin explained the reports that the Commission had been given from the City's Accounting Department regarding free power for some of the City's buildings. MEMBERSHIP Del Leppke said that he had spoken with Mr. Doolin and his physical condition was such that Mr. Doolin felt he should resign. Mr. Doolin said he would send the Mayor a letter of resignation. Dennis Marino said that Mr. Flannery had accepted a new position and would probably not be able to be involved with the Commission. Mr. Leppke said he has spoken !o Mr. McKenna's wife and he has been in Thailand for the last few months. She said she would bring this up the next time she spoke to him. � .. - r.. .f'. 5'�.Y".. i-��'.n .'4.:J: ° - :(` :'1•.1�4'�:�!I aYRp4±!.K-,S�s+J!�`11'p�Y!Iin_1� .��1p�� -• i�l'r! COMMUNICATIONS Evanston Energy Commission Minutes - October 2.2002 Pape Six Arlene Haas said that she had found a model -zoning ordinance for small wind energy systems. She thought that it might be useful in the future. Theo Crantas brought attention to the items he submitted regarding natural gas vehicles. Del Leppke suggested putting the subject alternate energy on the agenda for the December 2002 meeting. Communications were accepted into the record. ADJOURNMENT There being no further business before the Commission, Rudy Wolfson moved adjournment. Arlene Haas seconded the motion. Motion passed unanimously. The Commission adjourned at 9:15 am. Respectfully submitted, Mary E ke Planni Division EVANSTON ENERGY COMMISSION Minutes Thursday, November 7, 2002 Room 2404 — 7:15 am. CIVIC CENTER MEMBERS PRESENT: Hans Detweiler, Arlene Haas, Jackie Brown, Theo Csantos, Alan Kistler, Paul Morse, Rudy Wolfson MEMBERS ABSENT: Ray Doolin, Tim Flannery, Del Leppke, Kerry McKenna, STAFF PRESENT: Dennis Marino, Max Rubin, Mary Baaske PRESIDING OFFICIAL Rudy Wolfson, Vice -Chair CALL TO ORDER Rudy Wolfson called the meeting to order at 7:17 a.m. CONSIDERATION OF MINUTES OF OCTOBER 29 2002 Hans Dctweiler moved approval of the October 2, 2002 Energy Commission minutes. Motion seconded by Arlene Haas. Motion passed unanimously. FRANCHISE EXTENSION Rudy Wolfson reported that the franchise has been extended to July 14, 2003. This extension recognizes that significant progress has been made in improving reliability performance over the last several years. This progress has been consistently reported quarterly by ComEd. In Ordinance 98-0-02, Exhibits A&B and ComEd's letter of October 9, 2002, ComEd committed to specific projects and to continue to further improve reliability. So that ComEd will know what future needs the city will have, there will be two meetings every year between CoriEd, the TRG and staff. In addition, the quarterly meetings with ComEd, TRG and staff will continue. Arlene Haas asked if the Commission would set up a schedule for working on a new franchise. Mr. Wolfson said that he thought the Commission should start working on a new franchise as soon as possible and that the franchise should be for a longer period than one year, hopefully it will be for 3 - 5 years. Hans Detweiler said it was his understanding that Mary O'Toole with ComEd was interested in beginning discussions regarding energy conservation or green power. Mr. Marino stated that ComEd has mentioned renewable energy in previous discussions. Energy Commission Minutes - November 7. 2002 Pace Two Mr. Marino stated that the meeting with A&PW originally scheduled for November 21 has been cancelled at the request of Del Leppke. ENERGY POLICY DISCUSSION Jackie Brown reported that Friday, November I a TRG meeting with ComEd occurred in which data was reviewed from July 31 and October 3I. She said the biggest concern was equipment failure because that is what causes the longest outages. They went over the outage report and discussed the target feeders and the reliability issues of those target feeders. Some of the feeders were on the improvement list and were on that list for capacity are now being seen on the reliability list. The goal is that the load on all feeders should be under 100% by June of 2003.' Ms. Brown said that ComEd was focusing its efforts on improvement. ComEd makes two conference calls a day among the three operating officers in the northeast, (staff in planning, engineering and operations are also included in these discussions) where the schedule for the day and operational issues are discussed. The vice-president is called immediately after these conference calls to keep him informed. Rudy Wolfson said that the October report from ComEd shows that statistically there has been a drop in the average number of interruptions per customer, and a slight drop in the length of the interruption. Ms. Brown said that ComEd was bringing in a contract person to discuss renewable energy November 20 - 22. ENERGY POLICY Hans Detweiler made a motion that the Commission request a meeting in early December to discuss efficiency and renewables and the goals of the Energy Policy, the goals of efficiency and renewables in the franchise conversation and we do that in early December instead of waiting until January. Theo Gantos seconded the motion. Motion failed 5-2. COMMITTEE REPORTS A. Energy Supply & Transmission Contracts and Liaison Activities No Report B. Governmental Policy and Legislative/Regulatory Actions Arlene Haas reported that early this spring the ICC had approved a rate increase for delivery for ComEd. A number of groups, including the City of Chicago and the Illinois Attorney General's Office, petitioned the state and said that a percentage of ComEd's request for a rate increase was due to infrastructure improvements that ComEd had made as a result of the 1999 blackout and should not be included in the rate increase. They recommended that an independent audit be conducted. An independent audit was done and it was found that part of Energy Commission Minutes - November 7. 2002 Page Three the money ComEd was requesting was for infrastructure improvements and that the auditors recommended that S 153,000,000 of the amount that ComEd was requesting should be taken off their request. She thought the rate would be determined early next year. Arlene Haas made a motion that the Energy Commission cosponsor the Evanston Energy Future Forum. Theo Gantos seconded the motion. Motion passed unanimously. C. Oversight, Monitoring & Inspection Actions Report given previously in the meeting. Dennis Marino mentioned that at the next quarterly meeting, he will ask Dave Metz, consultant to join in that meeting. ICC AGGREGATION STUDY Arlene Haas said that she and Dennis Marino met with Anthony Star who is with Community Energy Cooperative and Gregory Bush, lobbyist about the ICC study. She said that even if the City does aggregate, for the aggregation to be done successfully everyone would have to do real time pricing. Ms. Haas wasn't sure it would be realistic to expect the entire community to convert to real time pricing. Rudy Wolfson asked if we had been selected as one of the pilot cities. Ms. Haas said that Evanston had been selected as one of the pilot cities. Dennis Marino said that he thought that the ICC study would focus primarily on municipal aggregation. The managers of the study expressed doubt that any private entity or not - for -profit sector entity could handle the information and transaction costs of acquiring and keeping customers. CNT is, in part, doing the study because the ICC did not get any appropriation from the Legislature to do the study. The ICC will still be involved in receiving the study and then making whatever changes are necessary. Ms. Haas mentioned that ComEd is looking for people in Evanston to sign up for real time pricing. She suggested it would be a good for Energy Commission members to sign up for this real time pricing. MEMBERSHIP It was reported that Kerry McKenna may resign because he is out of the country much of the time and Ray Doolin has resigned. RECENT OUTAGES Max Rubin stated the City's outages are posted on the City's web site. He gave an accounting of the outages that occurred in October. COMMUNICATIONS Communications were accepted into the record. • Energy Commission Minutes - November 7, 2002 Pane Four ADJOURNMENT There being no further business before the Commission, it adjourned at 8:47 a.m. Respectfully submitted, M . Baaske Planning Division EVANSTON ENERGY COMMISSION Minutes Friday, December 6, 2002 Room 2404 — 7:15 a.m. CIVIC CENTER MEMBERS PRESENT: Jackie Brown, Hans Detweiler, Arlene Haas, Theo Gantos, Alan Kistler, Del Leppke, Rudy Wolfson MEMBERS ABSENT: Tim Flannery, Kerry McKenna, Paul Morse STAFF PRESENT: Dennis Marino, Max Rubin, Mary Baaske PRESIDING OFFICIAL Del Leppke, Chair OTHERS PRESENT: Dave Grumman, Irwin Levinson, Joel Freeman, Ross `'agnieres, Steve Grbavac, CALL TO ORDER Del Leppke called the meeting to order at 7:17 a.m. Mr. Leppke acknowledged visitors David Grumman, Irwin Levinson, Joel Freeman, Ross V'agnieres, Steven Grbavac CONSIDERATION OF MINUTES OF NOVEMBER 7, 2002 Hans Detweiler made a motion to approve the minutes of November 7, 2002. Motion seconded by Rudy Wolfson. Motion passed unanimously. In reading the Minutes of November 7, 2002, Del Leppke said he noticed that the Commission approved co-sponsorship of the Evanston Energy Future Forum. He asked for an update and what was the Commission's obligation. Arlene Haas said the obligation of the Energy Commission is to disseminate the facts. Theo Gantos said he would keep the Commission up to date on the schedule as it occurs. Mr. Leppke distributed real time pricing application forms to members of the Commission. TECHNICAL REVIEW GROUP ACTIVITIES. Dennis Marino reported that there had been two meetings this quarter involving ComEd and the Technical Review Group. One meeting dealt with the previously submitted quarterly report (discussed at the last Energy Commission meeting), the second meeting involved resource Evanston Energy Commission Minutes - December 6.2002 Paee Two people from ComEd as well as an entity from Environmental Resources Trust (ERT) that is heavily involved in renewable power issues and very active with the City of Chicago. The TRG met with ComEd at their offices in Chicago and there is hope that this will evolve into several more meetings to discuss this issue and how it relates to Evanston. Rudy Wolfson said that Alden Hathaway of Environmental Resources Trust, and James Wallace, Mark Jansky and Paul Wallace of ComEd were at the meeting. Mr. Wolfson said the primary discussion concerned Eco power that is being marketed with an agreement of a not -for - profit organization called Environmental Resources Trust. They sell certificates which adds a certain surcharge to those that buy them to their bill and in turn with that money they use 30% for overhead and operations and 700/a is put aside in trust for grants or 0% loans to various utilities to develop Eco power. He thought that they were more concerned about working with wind, solar or landfill gas. He said that surcharges are about $4.50 per megawatt hour on wind, $3.50 per megawatt hour on solar and $2.40 per megawatt hour on landfill. The City of Chicago is investing in these, using franchise fee revenue from ComEd. There are various schools where grants have been made to put solar installations in the school Dennis Marino commented that the innovation in Chicago in this arena is financed by franchises, which are in excess of $75,000,000 a year. However, not all the franchise fee money is used for solar projects. Mr. Marino said that Alden Hathaway has offered to come and meet with the Energy Commission, he is in town once a month related to his duties with the City of Chicago and his work with ComEd. He said that he is hoping to arrange a follow-up meeting with ComEd that would involve Mary O'Toole and Paul Wallace and others to dig into the conservation issues that were not talked about in previous meetings as much as was hoped. Steve Grbavac, Director of Operations and Purchasing at ETHS, stated that ETHS was currently working on a grant for a solar cell system. Mr. Grbavac said he would keep the Energy Commission informed as things progressed. ENERGY POLICY DISCUSSION Arlene Haas said that the Energy Policy was revised. Del Leppke said that the two things that need to be revised in the old Energy Policy, are: 1. The policy has no implementation policy, no statement with regard to its implementation. 2. In the first item in the old policy there is a statement that the City shall strive for the goals of reliability, reasonable costs and flexibility in providing for its energy supply without any indication as to how this can be achieved. He did not see any statement or commitment of the City's policy toward alternate energy sources. Mr. Leppke asked what the Energy Commission's policy is with regard to achieving increased reliability, with respect to alternate energy sources, and implementing this statement in the policy? I Evanston Energy Commission Minutes - December 6.2002 Page Three Theo Gantos said that after looking at A&PW minutes of meetings attended by the Energy Commission, he saw several references to the fact that Aldermen want to have a meaningful discussion about goals prior to any specific energy policy. He suggested that before the Commission presents another document, the Energy Commission have another meeting with A&PW. Arlene Haas said she thought it was made clear to A&PW that once the Energy Policy was approved, the Energy Commission would then draft an implementation plan. After much discussion by the Commission, Arlene Haas made a motion that the Commission go into discussion with A&PW with the document. Rudy Wolfson seconded the motion. Motion passed 5 ayes, 1 nay and 1 abstention. Arlene Haas made a motion to approve the changes to the Energy Policy. Motion seconded by Hans Detweiler. Ms. Haas pointed out the changes made to the Policy. Hans Detweiler suggested amending point two for the purpose of including renewable energy to say "The City of Evanston will promote environmental protection and the distribution supply and use of energy and therefore support clean renewable energy production and energy conservation." Ms. Haas accepted that amendment to her motion. Motion passed unanimously. Theo Gantos wanted it noted that he takes exception to the policy and thinks it a mistake to go back to A&PW with another document. Dennis Marino said that there are two Council meetings in January and that Max Rubin will attempt to schedule a meeting with A&PW on one of the off Mondays. Del Leppke told the Commission that it would be made clear to A&PW that this is a draft for their discussion. COMMITTEE REPORTS A. Energy Supply & Transmission Contracts and Liaison Activities D. Innovative and Emerging Energy Options Del Leppke said that it was his thought to merge A. Energy Supply & Transmission Contracts and Liaison Activities and D. innovative and Emerging Energy Options into one Committee. Theo Gantos volunteered to chair this Committee. B. Governmental policy and Legislative/Regulatory Actions Del Leppke said that he did not feel that there is a common understanding of exactly how the franchise fee is developed and how the franchise fee is applied. He requested that Arlene Haas review and get background information and present it to the Commission. Evanston Energy Commission Minutes - December b. 2002 C. Oversight, Monitoring and Inspection Actions Pace Four Reported on earlier in the meeting. Del Leppke asked the Commission to consider whether or not there is a need for a revised Stanley Report, and does the Commission need an update before we go into franchise negotiations. E. Distribution Systems Franchise and Provider Agreements and Liaison Activities Del Leppke and Rudy Wolfson commended Hans Detweiler on his memo to the A&PW Committee. Hans Detweiler suggested that the January or February Energy Commission be on a date that Alden Hathaway would be in town and he could then make a presentation to the Commission. Dennis Marino suggested moving the January meeting to January 10 when, perhaps, Mr. Hathaway could attend. Mr. Detweiler said that he was seeking to lay out what he sees as the categories of possible action in the memo. The categories include energy efficiency, where we are receiving ratepayer finance power, energy options of the general public and renewable options for city facilities. Rudy Wolfson said he would like to add an item 5 to the memo entitled Reduction in Overall Energy Use. He has read that in mid-century that the need for energy will be double. Del Leppke suggested going back and looking at the Northwest Municipal Franchise, the Standard Franchise, or the Chicago Franchise and sort out the various segments of the franchise that need to be discussed in order to get a template and have general goals in mind. Then, talk to whomever the City Council appoints to be in the negotiating team to understand how we can advise and help them. He asked Mr. Detweiler and his subcommittee (Hans Detweiler, Alan Kistler, and Theo Gantos) to give the Energy Commission some framework. Mr. Detweiler asked Dennis Marino how he thought the Commission should proceed. Mr. Marino replied that he thought they should list some key issues, and take a look at the franchise templates Mr. Leppke mentioned and see if anything else should be included. F. Chairman's Report Del Leppke requested that at the end of the Committee reports, the Chairman's Report be listed. He said that the Chairs of the Environmental Board, the Planning Commission, and the Energy Commission had a meeting. He said that the Environmental Board is intending to try to get the updated Boca Code to be included in the City Ordinance. They are asking the Energy Commission for their support in going to A&PW. Mr. Leppke said that the Energy Commission needed a better understanding on what is included in the Boca code and suggested assigning this to a subcommittee. Evanston Energy Commission Minutes - December 6.2002 Paae Five Dennis Marino said that an alternative would be to invite James Wolinski, Director of the Community Development Department or Carolyn Brzeainski, Assistant Director of Building to address that issue. Theo Gantos and Arlene Haas volunteered to look into this and report back to the Commission. AGGREGATION STUDY Dennis Marino reported that he was expecting a draft sometime in January on the Aggregation Study being done by the Center for Neighborhood Technology (CNT). The Commission has the material from the Community Energy Cooperative concerning the pricing plan that is part of the CNT study. MEMBERSHIP Dennis Marino reported that the Mayor has received the resignation of Ray Doolin and that Joel Freeman has been introduced in Council as a new member and is up for confirmation in the December 16 City Council meeting. RECENT OUTAGES Max Rubin reported that there were two outages in November. Feeder 477 and 615 had outages lasted from 45 minutes to an hour. COMMUNICATIONS Dennis Marino drew the Commission's attention to the November 15 report from ComEd, which is the first quarterly report under the new franchise extension. He explained that the format is similar to other quarterly reports, but the content, of course, was different. The last page of the report was feeders under the 1 % & 2% feeder program. The Device Frequent Interruption program that deals with any kind of equipment that has 3 or 4 interruptions. He explained that the TRG would be looking at this report in great detail. Mr. Marino also pointed out two articles, one entitled Distributed Generation, and the other entitled Howling Winds. OTHER BUSINESS Del Leppke asked when new officers should be elected. Dennis Marino replied that it has been done in the first quarter of the year and thought that the Commission should wait until its vacancies were filled. Theo Gantos pointed out that December 18 is the next meeting of the Evanston Energy Future. He encouraged everyone to attend. r3, - ,-r�. r.- �� .� ;..y. - .v.: •- .kh`.. _ •-tr.r •«r.;�►,, ,� i,, ft.�.ly. .t..ht.�t'. ,+ '.+•-'l •.. Evanston Energy Commission Minutes - December 6. 2002 ADJOURNMENT There being no further business before the Commission, they adjourned at 9:22. Respectfully submitted, Division Pace Six