Los Angeles, California, June 16, 2015

Transcription

1 ( Los Angeles, California, June 16, 2015 MINUTES OF REGULAR MEETING OF THE BOARD OF WATER AND POWER COMMISSIONERS OF THE CITY OF LOS ANGELES HELD IN ROOM 1555-H *AS AMENDED JUNE 16, :10 A.M. Meeting called to order by President Mel Levine and roll called: Present- Commissioners: President Levine Jill Banks Barad Michael F. Fleming William W. Funderburk, Jr. Christina E. Noonan ~- Absent- None A quorum present. IN ATTENDANCE were the following: ( Martin L. Adams, Richard M. Brown, Sharon B. Grove, William W. Engles, Neil Guglielmo, Linda P. Le, Marvin D. Moon, Shannon C. Pascual, Susan Rowghani, Ann M. Santilli, Eskel H. Solomon, Nancy H. Sutley, Nance Walker-Bonnelli, Gwendolyn W. Williams, David H. Wright, Acting General Manager General Counsel, Water and Power, City Attorney's Office Assistant General Manager- Customer Service, Power System Power Engineering Manager, Power System Director of Budget, Rates and Financing Planning, Financial Services Retirement Plan Manager, General Manager's Office Director of Power Engineering, Power System. Director of Human Resources, Office of the Chief Administrative Officer Director of Water Engineering and Technical Services- Water System Assistant Chief Financial Officer and Controller Accounting and Financial Reporting, Financial Services Organization Deputy City Attorney IV, General Manager's Office Chief Sustainability and Economic Development Officer, Office of Sustainability and Economic Development Utility Services Manager, Customer Service, Power System Director of Supply Chain Services Senior Assistant General Manager- Power System Also, in attendance: Thedore Bardacke, Camden Collins, John Monroe, Dr. Frederick Pickel, Mayor's Office Ratepayer Advocate, Office ofpublic Accountability Segal Consulting, Retirement Board Actuary (Item No. 21 Via Conference Call) Executive DirectorRatepayer Advocate, Office of Public Accountability ITEM NO. 1 -Opening remarks by the Commission President on agenda and other items relating to Department operations., '"'

2 JUNE 16,2015, 11:10 A.M. Page 2 ITEM NO. 13- Authorizes the Water Supply Assessment for the Jefferson and La Cienega Project located in the West Adams- Baldwin Hills- Leimert Community Plan Area. Submitted by Senior Assistant General Manager- Water System. \ ) This item was ordered deferred. Deferral moved by Commissioner Levine. Seconded by Commissioner Fleming and carried by the following vote: Ayes, Commissioner Barad, Fleming, Funderburk, Jr., Noonan, President Levine; ITEM NO. 2 -A ReportBriefing was given by Martin L. Adams, Acting General Manager. ITEM NO. 3- Comments from Commissioners on agendized items. Requests from Commissioners relating to Departmental operations....,> Commissioner Barad & Funderburk, Jr. - Make sure to test the trouble call system to ensure customers are able to report power outages. Also examine social media applications that can inform communities about possible water and power issues (Request from Item 26 - Management Report). Commissioner Funderburk, Jr. - Work with the Ratepayer advocate to create a standard Acre Feet water savings calculation for stormwater projects. Provide analysis on additional external benefits that these projects provide such as stormwater runoff reductions (Request from Item 12 - Stormwater Capture Project). Commissioner Funderburk, Jr. - Provide a report on how power and water estimates are determined for new construction projects. Provide information on the process for determining the estimated uses for new construction. Please focus particularly on the water assessment process (Request from Item 3- comments from Commissioners). Commissioner Noonan- For future contracts that involve large scale equipment, please make sure to provide warranty information for these items (Request from Item 15 - Caterpillar Equipment). *Commissioner Noonan- Please provide the report on the current concerns of using HDPE and PVC piping to the complete Board (Request from Item 3 comments from Commissioners). '" _ *Commissioner Noonan- Please provide a comprehensive presentation on the current concerns, implementation, cost effectiveness and advances in technology relating to HDPE and PVC piping from a local, national and international perspective to our entire Board within the next six months. ITEM NO. 4- The secretary presented an opportunity for the public to address the Board on items of interest to the public that are within the subject matter jurisdiction of the Board. (Speakers may be limited in speaking time dependent upon the press of business and number of persons wishing to address the Board.) 1 SPEAKER _

3 ~ JUNE 16,2015, 11:10 A.M. Page 3 THE BOARD shall recess into closed session for a conference with legal counsel regarding: A. Existing litigation in the following matters: 1. Sharon Bransford. Steven Shrager and Rachel Tash v. LADWP, Los Angeles Superior Court Case No. BC565618, pursuant to Section (d)(l) of the California Government Code. 2. Daniel Morski. et al. v. LADWP, Los Angeles Superior Court Case No. BC56872, pursuant to Section (d)(1) of the California Government Code. 3. Haley Fontaine. et al. v. LADWP, Los Angeles Superior Court Case No. BC571644, pursuant to Section (d)(l) of the California Government Code. 4. Yaar Kirnhi v. The City of Los Angeles. et al., Los Angeles Superior Court Case No. BC536272, pursuant to Section (d)91) of the California Government Code. 5. Jones v. City of Los Angeles, Los Angeles Superior Court Case No. BC577267, pursuant to Section ( d)(l) of the California Government Code. 6. City of Los Angeles v. Pricewaterhouse Coopers LLP (PwC), Los Angeles Superior Court Case No. BC574690, pursuant to Section (d)(1) of the California Government Code. B. Anticipated litigation in the following matters: 1. Discussion regarding significant exposure to litigation (2 cases), pursuant to Subdivision (d)(2) of Section of the California Government Code. a. City oflos Angeles v. Board of Supervisors ofthe County oflnyo, et al., Superior Court ofca, Inyo County, Case No , pursuant to Section (d)(1) of the California Government Code. 2. Discussion regarding initiation of litigation (2 cases), pursuant to subdivision (d)(4) of section ofthe California Government Code. C. Conference with Labor Negotiators: Pursuant to California Government Code Section , the Board will meet in closed session with the Department's labor negotiators (the Department's General Manager) concerning labor negotiations with the following employee bargaining representatives: International Brotherhood of Electrical Workers, Local 18 MEETING RECESSED at 11:17 a. m. MEETING RECONVENED at 11:21 a.m. ~.

4 JUNE 16,2015, 11:10 A.M. Page 4 Los Angeles, California, June 16, 2015 ~ '\ MINUTES OF CLOSED SESSION OF THE BOARD OF WATER AND POWER COMMISSIONERS OF THE CITY OF LOS ANGELES HELD IN ROOM 1555-H JUNE 16, :21 A.M. Meeting called to order by President Mel Levine and roll called: Present- Commissioners: Absent- President Levine Jill Banks Barad William W. Funderburk, Jr. Michael F. Fleming Christina E. Noonan None ) A quorum present. IN ATTENDANCE were the following: Martin L. Adams, Richard M. Brown, Deborah Dorny, Guy Lipa, Ann M. Santilli, Eskel H. Solomon, Nancy H. Sutley, Richard Tom, David H. Wright, Acting General Manager General Counsel, Water and Power? City Attorney's Office Deputy City Attorney, City Attorney's Office Chief of Staff Assistant Chief Financial Officer and Controller Accounting and Financial Reporting Deputy City Attorney IV Chief Sustainability and Economic Development Officer, Office of Sustainability and Economic Development Assistant General Counsel, Water and Power, City Attorney's Office Senior Assistant General Manager- Power System Also, in attendance: Angela Agrusa, Theodore M. Bardacke, Paul R. Kiesel, Paul 0. Paradis, Linner, LLP (Outside Counsel) Office of the Mayor Kiesel Law LLP, Special Counsel Paradis Law Group, PLLC, Special Counsel A CLOSED SESSION was held for a conference with legal counsel regarding: Existing litigation in the following matters: ITEM NO. 27A(l)- Sharon Bransford, Steven Shrager and Rachel Tash v. LADWP, Los Angeles Superior Court Case No. BC565618, pursuant to Section (d)(1) of the California Government Code. Discussion held - no action taken. -'\..

5 JUNE 16,2015, 11:10 A.M. Page 5 Existing litigation in the following matters: ITEM NO. 27A(2)- Daniel Morski, et al. v. LADWP, Los Angeles Superior Court Case No. BC56872, pursuant to Section ( d)(l) of the California Government Code. Discussion held - no action taken. Existing litigation in the following matters: ITEM NO. 27A(3)- Haley Fontaine, et al. v. LADWP, Los Angeles Superior Court Case No. BC571644, pursuant to Section (d)(1) of the California Government Code. Discussion held - no action taken. Existing litigation in the following matters: - ITEM NO. 27A(4)- Yaar Kimhi v. The City of Los Angeles, et al., Los Angeles Superior Court Case No. BC536272, pursuant to Section (d)91) of the California Government Code. Discussion held - no action taken. Existing litigation in the following matters: ITEM NO. 27 A(S)- Jones v. City of Los Angeles, Los Angeles Superior Court Case No. BC577267, pursuant to Section (d)(l) ofthe California Government Code. Discussion held - no action taken. Existing litigation in the following matters: ITEM NO. 27A(6)- City of Los Angeles v. Pricewaterhouse Coopers LLP (PwC), Los Angeles Superior Court Case No. BC574690, pursuant to Section (d)(l) of the California Government Code. Deferred. \"'--- Anticipated litigation in the following matter: ITEM NO. 27B(l)(lst case)- Discussion regarding significant exposure to litigation (2 cases), pursuant to Subdivision ( d)(2) of Section of the California Government Code. Withdrawn. Anticipated litigation in the following matter: ITEM NO. 27B(1)(2nd case)- Discussion regarding significant exposure to litigation (2 cases), pursuant to Subdivision (d)(2) of Section ofthe California Government Code. Withdrawn. \

6 JUNE 16,2015, 11:10 A.M. Page 6 Anticipated litigation in the following matter: \. ITEM NO. 27B(1A)- City oflos Angeles v. Board of Supervisors ofthe County oflnyo, et al., Superior Court ofca, Inyo County, Case No , pursuant to Section (d)(1) of the California Government Code. Discussion held - no action taken. Anticipated litigation in the following matter: ITEM NO. 27B(2) )(1st case)- Discussion regarding initiation oflitigation (2 cases), pursuant to subdivision (d)( 4) of section of the California Government Code. Withdrawn. Anticipated litigation in the following matter: ITEM NO. 27B(2) )(2nd case)- Discussion regarding initiation oflitigation (2 cases), pursuant to subdivision (d)(4) of section ofthe California Government Code. _ Withdrawn. ITEM NO. 27C- Conference with Labor Negotiators: Pursuant to California Government Code Section , the Board will meet in closed session with the Department's labor negotiators (the Department's General Manager) concerning labor negotiations with the following employee bargaining representatives: Discussion held - no action taken. International Brotherhood of Electrical Workers, Local 18 MEETING RECESSED at 11:43 a. m. MEETING RECONVENED TO OPEN SESSION at 11:45 a.m. Present- Commissioners: President Levine Jill Banks Barad Michael F. Fleming William W. Funderburk, Jr. Christina E. Noonan - \ _ ITEM N0.1- Opening remarks by the Commission President on agenda and other items relating to Department operations. Commissioner Funderburk, Jr., Recognition of: Participants ofthe 2014 L.A. Small Business Academy- CWE; Maroko & Shwe, Inc.; and The "G" Crew.

7 ( \ ' JUNE 16,2015, 11:10 A.M. Page 7 ITEM NO.6- Recommendation for approval of the minutes of the June 2, 2015 Regular Meeting of the Board of Water and Power Commissioners. Approval moved by Commissioner Fleming. Seconded by Commissioner Levine and carried by the following vote: Ayes, Commissioner Fleming, Funderburk, Jr., Noonan, President Levine; Commissioner Barad abstained was not at that meeting. Written recommendations, approved by the General Manager, transmitting the following resolutions, approved as to form and legality by the City Attorney: Commissioner Fleming moved adoption of the following eight resolutions, approved as to form and legality by the City Attorney: "--- ITEM NO. 7 - Authorizes execution of Willow Creek Wind Project Energy Exchange Agreement No. BP between Powerex Corporation and Los Angeles Department of Water and Power for a term of29 months and an amount not to exceed $5,000,000 annually. Submitted by Senior Assistant General Manager- Power System. RESOLUTION NO WHEREAS, the Los Angeles Department of Water and Power (LADWP), pursuant to the approval of Resolution No , executed a fifteen (15) year Power Purchase Agreement for the Willow Creek Wind Project, a 72 Megawatt wind power generating facility located in Morrow and Gilliam Counties, Oregon, interconnecting at the Bonneville Power Administration (BP A) transmission system (Willow Creek); and WHEREAS, LADWP, pursuant to the approval ofresolution No , requested from BP A long-term firm point-to-point transmission service for the path between Willow Creek and LADWP's system (Transmission Service); and ''- WHEREAS, said Transmission Service is currently unavailable and BP A is unable to accommodate LADWP's request at this time, and is unlikely going to be able to approve such request for the next three (3) years; and WHEREAS, LADWP must seek alternative transmission arrangements to move the energy from Willow Creek to LADWP's system in order to serve native load and. meet its Renewables Portfolio Standard goal; and WHEREAS, a Request for Proposal, a competitive bid process for the delivery, firming and shaping of intermittent power and renewable energy projects from the Northwest, subject to LADWP's procurement policies, was conducted in a cooperative arrangement with the Southern California Public Power Authority; and WHEREAS, Powerex Corporation (Powerex); a corporation organized and existing under the laws of the Province ofbritish Columbia, and doing business in California as Powerex Energy Corporation was selected to provide for the delivery, firming and shaping ofladwp's Willow Creek energy, after LADWP did a comprehensive quantitative and qualitative evaluation and analysis of all the proposals received; and WHEREAS, the Agreement is for a term of 29 months and the annual estimated cost for this Agreement shall be approximately $3,100,000 and not to exceed $5,000,000 annually; and "--

8 JUNE 16,2015, 11:10 A.M. Page 8 WHEREAS, this Board previously approved Energy Exchange Agreement No. BP with Powerex, a similar agreement with the same terms and conditions, however, because the parties were not able to deliver an executed agreement to each other by April29, 2015, the previously approved agreement is no longer valid and had been rescinded by Powerex; and \ WHEREAS, this Energy Exchange Agreement between LADWP and Powerex, No. BP (Agreement), reflects the newly revised energy delivery schedule, is needed to establish the terms and conditions of the transmission arrangement negotiated between LADWP and Powerex for the transmission ofladwp's energy from Willow Creek to LADWP's system; and WHEREAS, in accordance to the Los Angeles Administrative Code Section (1), the Board of Water and Power Commissioners (Board) is authorized to purchase transmission and ancillary services for a period not to exceed three years without further City Council approval; and WHEREAS, LADWP is also requesting the Board to authorize the General Manager to amend all future amendments to this Agreement as necessary to revise the delivery schedule or to make revisions that are ministerial and administrative in nature, provided that such amendments do not extend the duration of the Agreement or increase LADWP's cost obligation under the Agreement. \ NOW, THEREFORE, BE IT RESOLVED that the Agreement, a copy is on file with the Secretary of the Board, approved as to form and legality by the City Attorney, is hereby approved. BE IT FURTHER RESOLVED that the President or Vice President of this Board, or the General Manager, or such person as the General Manager shall designate in writing, and the Secretary, Assistant Secretary, or the Acting Secretary of this Board be and they are hereby authorized and directed to execute said Agreement for and on behalf of the Department. BE IT FURTHER RESOLVED that the General Manager is authorized to amend all future amendments to this Agreement as necessary to revise the delivery schedule or that are ministerial and administrative in nature, provided that such amendments do not extend the duration of the Agreement or increase LADWP's cost obligation under the Agreement. BE IT FURTHER RESOLVED that the Chief Accounting Employee of the LADWP, upon proper certification, is authorized and directed to draw demands on the Power Revenue Fund in payment of the obligations arising under said Agreement. ITEM NO.8- Authorizes Extension of Paperless Billing Incentive to extend the Program through September 30, Submitted by Senior Assistant General Manager- Power System. j RESOLUTION NO WHEREAS, Los Angeles Department of Water and Power (LADWP) offers its customers a paperless billing option to receive bill notifications via and to stop the physical printing and mailing of the bill; and WHEREAS, LADWP has offered paperless billing since 2009 to provide customers bill delivery options that meet their preference; and WHEREAS, paperless billing provides customers cost and time savings, while saving natural resources with less paper bill printing; and WHEREAS, LADWP currently has customer enrollments below industry average for paperless billing; and

9 JUNE 16,2015, 11:10 A.M. Page 9 WHEREAS, LADWP established an incentive program, that began on January 1, 2015, and concludes on June 30, 2015, to encourage customers to emoll in paperless billing and reduce bill printing and mailing costs, which credited emolling customers with $10 to their account. Customers who terminate paperless billing after less than one year in the program will have the $10 credit reversed. However, LADWP may waive reversal of the $10 credit in cases of hardship or other special circumstances. NOW, THEREFORE, BE IT RESOLVED that LADWP continue its incentive to encourage customers to emoll in paperless billing by extending the incentive period through September 30, BE IT FURTHER RESOLVED that the Customer Service Division ofladwp is authorized to apply credit to applicable accounts in accordance with the terms of this resolution, and to reverse the credit and charge customers who do not remain emolled for 12 months from the date of emollment, while the account remains active. BE IT FURTHER RESOLVED, that the President or Vice President of the Board, or the General Manager, or such person as the General Manager shall designate in writing, and the Secretary, Assistant Secretary, or the Acting Secretary of the Board be and are hereby authorized and directed to implement the credit, for and on behalf ofladwp customers. ITEM NO. 10- Authorizes Electric Vehicle Charger Rebate Program Extension of Time. This extension extends the program through December 31,2015. No additional funding is being requested and the existing terms and conditions will remain unchanged. Submitted by Senior Assistant General Manager- Power System. RESOLUTION NO WHEREAS, the City of Los Angeles continues its long-term commitment to reducing air pollution from mobile sources and reducing the nation's dependency on foreign petroleum; and WHEREAS, electric vehicles (EVs) have the potential to significantly reduce petroleum consumption and emissions from the transportation sector which accounts for approximately 70 percent of the air pollution in the Los Angeles Basin; and ' '" WHEREAS, EV s have the potential to provide a new energy market and revenue stream for the Los Angeles Department of Water and Power (LADWP) through off-peak charging, and LADWP desires to promote and encourage the use of this technology to leverage the delivery of electricity, an alternative transportation fuel, to create a unique and historical opportunity to store electricity through expanded EV adoption; and WHEREAS, EV charging will have a night-time charging pattern that will complement LADWP's renewable energy resource mix; and adoption of this technology presents an opportunity to provide peak shaving, outage mitigation, and demand response for our customers; and WHEREAS, the installation of charging infrastructure is critical to the successful deployment and utilization of EV s and the overall commercialization of this technology; and WHEREAS, the LADWP Board, at its meeting held on July 16,2013, approved the EV charger rebate program "Charge up LA! Home Work and On the Go" for residential and commercial customers ofladwp effective from August 1, 2013, to June 30, 2015, or until funds are exhausted, whichever comes first; and WHEREAS, LADWP desires to extend the expiration date of its existing rebate program from June 30,2015, to December 31,2015, with the same terms, conditions and approved funding level. I \

10 JUNE 16,2015, 11:10 A.M. Page 10 -,, WHEREAS, LADWP desires to establish a Memorandum of Agreement with the South Coast Air Quality Management District (SCAQMD) to obtain reimbursements from the SCAQMD in an amount not to exceed $287,500 for certain commercial charger rebates issued by LADWP. NOW, THEREFORE, BE IT RESOLVED that the expiration date of the EV charger rebate program "Charge up LA! Home Work and On the Go" is extended from June 30,2015, to December 31, 2015, or until funds are exhausted, whichever comes first. BE IT FURTHER RESOLVED that the LADWP Board also approves an MOA with the SCAQMD, approved as to form and legality by the City Attorney, between LADWP and the SCAQMD. BE IT FURTHER RESOLVED that the President, or the Vice President, or the General Manager, or such other person as the General Manager shall designate in writing, and the Secretary, Assistant Secretary, or Acting Secretary ofthe Board be and they are hereby authorized, empowered, and directed to execute the MOA with the SCAQMD on behalf of LADWP. BE IT FURTHER RESOLVED that the Chief Accounting Employee of the LADWP, upon proper certification, is authorized and directed to draw demands on the Power Revenue Fund in payment of the obligations arising under this resolution. -, ) ITEM NO. 14- Approves Amendment No.2 to Agreement Nos. WR and for Water Conservation Funding with the Metropolitan Water District of Southern California. This amendment will extend both agreements for an additional ten years through June 30, Submitted by Senior Assistant General Manager- Water System. RESOLUTION NO WHEREAS, the Los Angeles Department of Water and Power (LADWP) has Agreement No. WR and Agreement No (Agreements) with the Metropolitan Water District of Southern California (MWD) to participate in MWD's Region Wide Residential and Commercial SoCal WaterSmart Programs; and WHEREAS, LADWP's participation in MWD's Region Wide Residential and Commercial SoCal WaterSmart Programs have resulted in cost-effective use ofladwp funds to promote increased water conservation for the City of Los Angeles; and WHEREAS, Agreement No. WR06-l012 will be expiring on June 30,2015 and Agreement No will be expiring on December 31, 2015; and -"\ WHEREAS, the Second Amendment will extend Agreements through June 30, 2025; and NOW, THEREFORE, BE IT RESOLVED that LADWP proposes approval of Second Amendment to Agreements with MWD. BE IT FURTHER RESOLVED that Agreements will be funded through LADWP's Demand Side Management Component of the Water Adjustment Procurement Factor. BE IT FURTHER RESOLVED that Second Amendment to Agreements, approved as to form and legality by the City Attorney, and filed with the Secretary of the Board, is hereby approved. BE IT FURTHER RESOLVED that the Chief Accounting Employee ofladwp, upon proper certification, is authorized and directed to draw demands on the Water Revenue Fund, in accordance with the terms of these Agreements and this Resolution.

11 ( JUNE 16,2015, 11:10 A.M. Page 11 BE IT FURTHER RESOLVED that the President or Vice President, or the General Manager, or such person as the General Manager shall designate in writing, and the Secretary, Assistant Secretary, or the Acting Secretary of the Board are hereby authorized and directed to execute said Agreements for and on behalf ofladwp. ITEM NO. 17- Authorizes execution of Agreement No for Third-Party Administration Services for the Flexible Benefits Program. Award to eflexgroup, a T ASC Division for a term of three years. Submitted by Chief Administrative Officer. RESOLUTION NO WHEREAS, Los Angeles Department of Water and Power (LADWP) proposes to enter into Agreement No with eflexgroup, a TASC Division (eflex) as the Third-Party Administrator (TPA) for Flex Plan for a term of three years; and WHEREAS, LADWP evaluated firms, and found eflex as the most qualified to provide thirdparty administration services for the Flex Plan administration in compliance with the Internal Revenue Service (IRS) and Department of Treasury regulations; and; ', WHEREAS, eflex has reviewed the services to be provided and incorporated in this Agreement, and represents that it has the qualities, expertise, skills and abilities to perform such work; and WHEREAS, there are sufficient funds in LADWP's Flexible Spending Account (FSA) Fund No. 776 to advance $75,000 to the TPA for initial payment offsa claims to participants, and replenished thereafter through weekly disbursements from LADWP's FSA Fund No. 776 to reimburse the TP A for payment of such claims; and NOW, THEREFORE, BE IT RESOLVED that LADWP proposes to enter into Agreement No with eflex for a three-year fixed bi-weekly administrative fee of$1.42 that will be paid to eflex by the LADWP employees participating in the Flex Plan. BE IT FURTHER RESOLVED that pursuant to City Charter Section 1022, the Board finds that it is more feasible to have the work performed by an independent contractor. BE IT FURTHER RESOLVED that Agreement No , approved as to form and legality by the City Attorney, and filed with the Secretary of the Board, is hereby approved. \,, BE IT FURTHER RESOLVED that the Chief Accounting Employee of the LADWP, upon proper certification, is authorized and directed to draw demands on the Water Revenue Fund, in accordance with the terms of this agreement and this resolution. BE IT FURTHER RESOLVED that the President or Vice President, or the General Manager, or such person as the General Manager shall designate in writing, and the Secretary, Assistant Secretary, or the Acting Secretary of the Board are hereby authorized and directed to execute said agreement for and on behalf ofladwp. ITEM NO. 18- Authorizes Agreement No for Receiving Water Monitoring Services. A ward to MBC Applied Environmental Sciences for a term of three years and an amount not to exceed $8,000,000. Submitted by Chief Sustainability and Economic Development Officer. RESOLUTION NO WHEREAS, Los Angeles Department of Water and Power (LADWP) proposes to enter into Agreement No with MBC Applied EnvironmentalSciences for professional, scientific, and technical services in connection with LADWP projects such as receiving water monitoring services for a term of three years; and <.

12 JUNE 16,2015, 11:10 A.M. Page 12 NOW THEREFORE, BE IT RESOLVED, that Agreement No by and between the Los Angeles Department of Water and Power and MBC Applied Environmental Sciences now on file with the Secretary of the Board of Water and Power Commissioners and approved as to form and legality by the City Attorney for furnishing professional scientific and technical services in connection with proposed water and power projects be and the same is hereby approved; and \ BE IT FURTHER RESOLVED that said services require special expertise which can be performed by the consultant and is not available from City employees; and BE IT FURTHER RESOLVED that LADWP proposes to enter into Agreement No in an amount not to exceed $8,000,000. BE IT FURTHER RESOLVED pursuant to City Charter Section 1022, the Board finds that it is more feasible to have work performed by an independent contractor. BE IT FURTHER RESOLVED that the Chief Accounting Employee ofthe LADWP, upon proper certification, is authorized and directed to draw demands on both the Water and Power Revenue Funds, in accordance with the terms of this agreement and this resolution. BE IT FURTHER RESOLVED that the President or Vice President, or the General Manager, or such person as the General Manager shall designate in writing, and the Secretary, Assistant Secretary, or the Acting Secretary of the Board are hereby authorized and directed to execute said agreement for and on behalf ofladwp. \ ITEM NO. 19- Authorizes execution of Memorandum of Understanding between the Utility Water Act Group and the Los Angeles Department of Water and Power for the period October 1, 2015 through September 30, 2020, and an amount not to exceed $450,000 over the MOU period. Submitted by Chief Sustainability and Economic Development Officer. RESOLUTION NO WHEREAS, there is a vital need for electric utilities to maintain a forum for the mutual exchange of ideas, to conduct research, to establish such methods of operations with respect to wastewater discharge as will inure to the benefit of the Nation's environment, and to comdinate such activities with those of the United States Environmental Protection Agency; and WHEREAS, the Utility Water Act Group (UW AG) is an association of approximately 186 electric utilities plus three (3) trade associations located throughout the United States and is the only such association that is actively engaged in accomplishing the above purposes in addition to actively monitoring and coordinating federal guidelines and regulations for wastewater discharge from electric generating stations; and -", WHEREAS, UW AG's overall operations are conducted by representatives of its member agencies and does not employ its own personnel; and WHEREAS, it is in the best interest of the Department of Water and Power of the City of Los Angeles (LADWP) that it continue to support UWAG in the attainment ofthese mutual goals. NOW, THEREFORE, BE IT RESOLVED that this Memorandum of Understanding (MOU), approved as to form and legality by the City Attorney and filed with the Secretary of the Board, between LADWP and UWAG, for a term of five years and providing for the appropriation of an amount not to exceed $137,000 annually or $450,000 for the term of this MOU to defer a portion of the expenses ofuwag, be and the same is hereby approved; and BE IT FURTHER RESOLVED, that this MOU is exempt from council approval under City Administrative Code Section 1 0.5(b )(2); and -~

13 I JUNE 16,2015, 11:10 A.M. Page 13 BE IT FURTHER RESOLVED that the Chief Accounting Employee ofladwp, upon proper certification, is authorized and directed to draw demands on the Water Revenue Fund in payment of the obligations arising under this MOU and this resolution; BE IT FURTHER RESOLVED that the President or Vice President, or the General Manager, or such person as the General Manager shall designate in writing, and the Secretary, Assistant Secretary, or the Acting Secretary ofthe Board are hereby authorized and directed to execute said MOU for and on behalf ofladwp. ITEM NO. 20 -Approves the Proposed Amendments to the Water and Power Employees' Retirement Plan to Add Medical Professionals Who Can Provide Medical Certification of Temporary and Extended Temporary Disability. Submitted by Retirement Plan Manager. RESOLUTION NO WHEREAS, changes in the medical profession and in California state law have expanded the list of medical professionals who can provide medical care; and ' WHEREAS, the Water and Power Employees' Retirement Plan (Plan) only accepts certification for Temporary and Extended Temporary Disability benefits from licensed physician and chiropractors pursuant to Plan Sections V C (2)(a) and V C (6)(b); and NOW, THEREFORE, BE IT RESOLVED, that the Board of Water and Power Commissioners approve the following Plan amendments and direct the Retirement Plan Manager to transmit the same to the Retirement Board, as hereinafter provided: 1. Section V C (2)(a) is amended by the addition of the underlined and italicized language as shown: "- Whenever a disability continues for more than Ten Workdays, the member shall provide a certificate of Temporary Disability or Extended Temporary Disability in such form and at such times as may be required by the Board. Such certificate shall be completed by the member's treating physician and certify the disability, its cause and duration. Beginning June 1, 1978, certification by a licensed chiropractor, when made within the scope of his or her license will be deemed to be an acceptable certificate of Temporary Disability or Extended Temporary Disability; provided, however, that such certification must be verified by the Plan's medical consultant as being within the scope of the chiropractor's license for the specific disability for which the member is being treated by such chiropractor. Beginning Effective Date of Amendment, certification by a licensed psychologist, licensed nurse practitioner, licensed physician assistant, and licensed midwife. when made within the scope of his or her license will be deemed to be an acceptable certificate of Temporary Disability or Extended Temporary Disability; provided. however. that such certification must be verified by the Plan's medical consultant as being within the scope of the medical professional's license for the specific disability for which the member is being treated by such medical professional. Said certificate with respect to the disability of a member on the date upon which disability benefits begin shall be required by the Board prior to the authorization of payment of any Temporary or Extended Temporary benefit to the member for any period of disability subsequent to said eleventh Workday. 2. Section V C ( 6)(b) is amended by the addition of the underlined and italicized language as shown: ' No member shall be entitled to disability benefits hereunder for any period of Temporary Disability or Extended Temporary Disability subsequent to the member's eleventh Workday of such Temporary Disability during which the disabled member is not under the care of a regularly licensed physician or surgeon, or a licensed chiropractor, psychologist, nurse practitioner, physician assistant or midwife, who is treating a disability which falls within the scope of his or her license.

14 JUNE 16,2015, 11:10 A.M. Page Words underlined in this resolution shall not be underlined in the Plan document. " 4. Words italicized in this resolution shall not be included in the Plan document, and shall be replaced with the appropriate date. 5. The Effective Date of Amendment shall be the date the Retirement Board adopts the resolution to amend the Plan. Seconded by Commissioner Levine and carried by the following vote: Ayes, Commissioner Barad, Fleming, Funderburk, Jr., Noonan, President Levine; ITEM NO.9- Revises the established eligibility criteria for Low-Income Discount Program participants effective July 1, 2015 through June 30, Submitted by Senior Assistant General Manager- Power System. RESOLUTION NO ' WHEREAS, the rates for water and electric service set by the Board of Water and Power Commissioners ofthe City of Los Angeles (Board) and approved by ordinance provide a subsidy for qualified low-income residential customers; and WHEREAS, the Board is authorized to establish from time to time the low-income eligibility criteria for use in the water and electric rates. NOW, THEREFORE, BE IT RESOLVED that the eligibility requirements and criteria for the low-income subsidy effective July 1, 2015 are: The combined gross income from all sources, whether taxable or non-taxable, for all persons who live in the household, including but not limited to, income derived from salaries, wages, child support, alimony, interest, rental income, dividends, benefits including Aid to Families with Dependent Children, Social Security benefits, spousal support payments, veteran benefits, disability, unemployment, retirement, cash, tips, public assistance, food stamps and all employment-related non-cash income shall not exceed the following: HOUSEHOLD SIZE MAXIMUM ANNUAL GROSS INCOME 1 $31,860 2 $31,860 3 $40,180 4 $48,500 5 $56,820 6 $65,140 7 $73,460 8 $81,780 Each Additional Person $8,320. '" BE IT FURTHER RESOLVED that the eligibility requirements and criteria herein adopted also serve as the Board's definition of the low-income residential class for the Sewer Service Charge low-income subsidy under City of Los Angeles Municipal Code Section (h). Approval moved by Commissioner Fleming. Seconded by Commissioner Levine and carried by the following vote: Ayes, Commissioner Barad, Fleming, Funderburk, Jr., Noonan, President Levine; -"

15 JUNE 16, 2015, 11:10 A.M. Page 15 ITEM NO. 11- Authorizes execution of Recycled Water Rate Agreement No. WR Award to Robert Dale Gibson for a term of three years at $1.057 per hundred cubic feet from the date of execution. Submitted by Senior Assistant General Manager- Water System. RESOLUTION NO WHEREAS, Robert Dale Gibson is currently using recycled water from the Los Angeles Department of Water and Power's (LADWP) recycled water system at 6599 Wentworth Street, Sun Valley, California; and WHEREAS, Agreement No. WR (Agreement) is entered into between LADWP and Robert Dale Gibson to provide recycled water service for approved uses as specified in the Agreement; and WHEREAS, Water Rates Ordinance No (Water Rates Ordinance), ScheduleD requires that "Commodity Charges for Reclaimed Water Service shall be set by contract approved by the Board of Water and Power Commissioners" (Board); and - WHEREAS, Agreement establishes a recycled water rate of $1.057 per hundred cubic feet and shall be effective for three years from the date of execution by authorized representatives of both parties, unless superseded by any subsequent adjustments to the commodity charge in Schedule A.3.a. along with any future revisions to ScheduleD of the Water Rates Ordinance imposed during the term of the Agreement. NOW, THEREFORE, BE IT RESOLVED that the proposed Agreement, approved as to form and legality by the City Attorney and filed with the Secretary of the Board, providing for the sale and distribution of recycled water to Robert Dale Gibson is hereby approved. BE IT FURTHER RESOLVED that the President or Vice President of this Board, or the General Manager, or such person as the General Manager shall designate in writing and the Secretary, Assistant Secretary or the Acting Secretary of the Board are hereby authorized, and directed to execute said Agreement for and on behalf of LADWP. Approval moved by Commissioner Barad. Seconded by Commissioner Levine and carried by the following vote: Ayes, Commissioner Barad, Fleming, Funderburk, Jr., Noonan, President Levine; '- ITEM NO. 12-Authorizes execution of Memorandum of Agreement With the Los Angeles Department of Public Works Bureau of Sanitation Regarding the San Fernando Valley Distributed Storm water Capture Project. The term of this agreement is for three years and LADWP will fund up to $15 million. Submitted by Senior Assistant General Manager Water System. RESOLUTION NO AS AMENDED SEE ATTACHED VERBAL MOTION WHEREAS, the City of Los Angeles (City) possesses the right to the surface waters of the Los Angeles River, its tributaries, and the native groundwater of the San Fernando Groundwater Basin (Basin) in accordance with the California Superior Court's Judgment dated January 26, 1979, in The City of Los Angeles vs. City ofsan Fernando, et. a., Case No ;and WHEREAS, the Los Angeles Department of Water and Power (LADWP) desires to optimize the use oflocal water resources, including stormwater and groundwater, to reduce the City's dependence on imported water supplies; and \

16 JUNE 16,2015, 11:10 A.M. Page 16 '\ WHEREAS, Los Angeles Department of Public Works Bureau of Sanitation (LAS AN) is a bureau of the municipally owned Los Angeles Department of Public Works responsible for the design and construction of capital improvement projects within the City limits; and WHEREAS, LADWP and LASAN are committed to pursuing opportunities to enhance water conservation, stormwater capture, and improve water quality; and WHEREAS, LADWP and LASAN are proposing multiple projects to direct stormwater from a combined 538-acre drainage area into a variety of stormwater capture Best Management Practices (BMP) for infiltration into the underlying soils and the Basin with up to 494 acrefeet per year of water; and WHEREAS, this Memorandum of Agreement (Agreement) has a duration ofthree years after the date of execution, and LADWP and LASAN currently estimates the total Project cost to be $30 million ofwhich LADWP is funding up to a maximum of$15 million towards the implementation of storm water capture facilities. NOW, THEREFORE, BE IT RESOLVED, that the proposed Agreement between LADWP and LASAN for the Project, approved as to form and legality by the City Attorney, and filed with the Secretary of the Board, is hereby approved. BE IT FURTHER RESOLVED, that the President or Vice President, or the General Manager, or such person as the General Manager shall designate in writing, and the Secretary, Assistant Secretary, or the Acting Secretary of the Board are hereby authorized and directed to execute said Agreement for and on behalf ofladwp. '\ BE IT FURTHER RESOLVED, that the President or Vice President, or the General Manager, or such person as the General Manager shall designate in writing, and the Secretary, Assistant Secretary, or the Acting Secretary of the Board are hereby authorized to amend andor modify the subject Agreement for and on behalf ofladwp for items of non-material andor administrative in nature that does not change either price or term of the Agreement. BE IT FURTHER RESOLVED, that the Chief Accounting Employee ofladwp, upon proper certification, is authorized and directed to draw demands on the Water Revenue Fund in accordance with the terms of this Agreement and this Resolution. Dr. Pickel commented on this item. (Verbal Motion moved by Commissioner Funderburk, Jr., and seconded by Commissioner Levine, "That the Ratepayer Advocate's Office and the LADWP report back together, establishing cost-benefit parameters for projects like these and others."). Approval moved by Commissioner Funderburk, Jr. --, \ Seconded by Commissioner Levine and carried by the following vote: Ayes, Commissioner Barad, Fleming, Funderburk, Jr., Noonan, President Levine; ITEM NO. 15- Contract No. 618 for Engines, Parts, NewRemanufactured for Caterpillar Equipment. Award to Quinn Company for a term of three years and an amount not to exceed $2,931,250. Submitted by Chief Administrative Officer. RESOLUTION NO WHEREAS, Los Angeles Department of Water and Power (LADWP) proposes to enter into Contract No. 618 with Quinn Company for engines and parts, new and remanufactured for Caterpillar construction equipment for a total amount of $2,931,250 and for a period of three years; and _

17 JUNE 16,2015, 11:10A.M.Page 17 WHEREAS, LADWP requires a single source contract with Quinn Company because they are the only authorized dealership for Caterpillar Inc.'s construction equipment in Southern California with original equipment manufacturer's warranty. NOW, THEREFORE, BE IT RESOLVED that Contract No. 618, approved as to form and legality by the City Attorney is hereby approved. BE IT FURTHER RESOLVED that the Chief Accounting Employee of the LADWP, upon proper certification, is authorized and directed to draw demands on the Water and Power Revenue Fund( s ), in accordance with the terms of this contract awarded pursuant to Contract No. 618 and this resolution. BE IT FURTHER RESOLVED that the President or Vice President, or the General Manager, or such person as the General Manager shall designate in writing, and the Secretary, Assistant Secretary, or the Acting Secretary of the Board are hereby authorized and directed to execute said contract for and on behalf of LADWP. Approval moved by Commissioner Fleming., '-- Seconded by Commissioner Levine and carried by the following vote: Ayes, Commissioner Barad, Fleming, Funderburk, Jr., Noonan, President Levine; ITEM N0.16- Authorizes Agreement No for Prescription Safety Eyewear Services. Award to Vision Service Plan for a term of three years and an amount not to exceed $477,000. Submitted by Chief Administrative Officer. RESOLUTION NO WHEREAS, Los Angeles Department of Water and Power (LADWP) proposes to enter into Agreement No with Vision Service Plan (VSP) for prescription safety eyewear services for a term of three years; and WHEREAS, LADWP evaluated and selected VSP as the most qualified firm for the prescription safety eyewear services; and '- WHEREAS, VSP has reviewed the services to be provided and incorporated in this Agreement, and represents that it has the qualities, expertise, skills and abilities to perform such work. NOW, THEREFORE, BE IT RESOLVED that LADWP proposes to enter into Agreement No with VSP in an amount not to exceed $477,000. BE IT FURTHER RESOLVED that pursuant to City Charter Section 1022, the Board finds that it is more feasible to have the work performed by an independent contractor. BE IT FURTHER RESOLVED that Agreement No , approved as to form and legality by the City Attorney, and filed with the Secretary of the Board, is hereby approved. BE IT FURTHER RESOLVED that the Chief Accounting Employee of the LADWP, upon proper certification, is authorized and directed to draw demands on the Water Revenue Fund, in accordance with the terms of this agreement and this resolution. BE IT FURTHER RESOLVED that the President or Vice President, or the General Manager, or such person as the General Manager shall designate in writing, and the Secretary, Assistant Secretary, or the Acting Secretary ofthe Board are hereby authorized and directed to execute said agreement for and on behalf ofladwp. '"-

18 JUNE 16,2015, 11:10 A.M. Page 18 Approval moved by Commissioner Levine. " Seconded by Commissioner Barad and carried by the following vote: Ayes, Commissioner Barad, Fleming, Funderburk, Jr., President Levine; Noes, Commissioner Noonan. ITEM NO. 21- Approves the Proposed Plan Amendments to the Water and Power Employees' Retirement Plan to Change the Regular Interest Rate, and the Mortality Table and Interest Rate Used in the Calculation of Retirement Allowances and Conversion to Optional Benefits Amounts. Submitted by Retirement Plan Manager. RESOLUTION NO WHEREAS, the Board of Administration (Retirement Board) of the Water and Power Employees' Retirement Plan (Plan) has adopted an investment return assumption of7.5% per year and a mortality assumption based on the RP-2000 Combined Healthy Mortality Table; and., WHEREAS, members receive interest on their Regular and Additional Contribution accounts at 7.75% per year pursuant to Section IV (A) 4 of the Plan; and WHEREAS, retirement allowances are calculated based on the 1983 Group Annuity Mortality Table (1983-GAM) and credited with an interest rate of 8% pursuant to Section Ill C (9) of the Plan; and WHEREAS, conversion to optional benefit amounts are calculated based on the 1983-GAM and credited with an interest rate of 8% pursuant to Sections IV F (5) and VII L (3) of the Plan. NOW, THEREFORE, BE IT RESOLVED, that the Board of Water and Power Commissioners approve the following Plan amendments and direct the Retirement Plan Manager to transmit the same to the Retirement Board, as hereinafter provided: 1. Section III C (9) is amended by the addition of a paragraph after the third paragraph as shown: On and after May 1, 2016, every retirement allowance shall be calculated based upon the "RP Combined Healthy Mortality Table" converted to a unisex basis with adjustments established to reflect Plan experience, and an interest rate of seven and one-half percent (7.5%) per annum; provided, however, that the retirement allowances of members retired prior to May 1, 2016 shall not be changed. The method of conversion to a unisex basis and the determination of the adjustments shall be adopted by the Board of Administration based on the recommendation of its Actuary. \ 2. Section IV A ( 4) is amended by the deletion of struck-through language and the addition of underlined and italicized language as shown: "Regular Interest" means interest at the rates shown opposite the respective periods shown in the table below: TIME PERIOD Beginning July 1, 1983 April13, 2011 Effective Date of Amendment Ending April 13, 2011 Present Date prior to Effective Date of Amendment Present Rate 8.0% 7.75% 7.5% ~ _)

19 JUNE 16,2015, 11:10 A.M. Page Section IV F (5) is amended by the addition ~fa paragraph as shown: On and after May 1, 2016, interest at the rate of seven and one-half percent (7.5%) per annum, compounded annually, shall be used in the calculation of benefits under any mortality table adopted by the Board regardless of the amount of distributable surplus which may be credited to the accounts of members under the provisions of this Plan. 4. Section VII L (3) is amended by the addition of a paragraph as shown: On and after May 1, 2016, interest at the rate of seven and one-half percent (7.5%) per annum, compounded annually, shall be used in the calculation of benefits under any mortality table adopted by the Board regardless of the amount of distributable surplus which may be credited to the accounts of members under the provisions of this Plan. 5. Words underlined in this resolution shall not be underlined in the Plan document. 6. Words italicized in this resolution shall not be included in the Plan document, and shall be changed to the first day of the month following the adoption of the resolution to amend the Plan by the Retirement Board. ' '- John Monroe of Segal Consulting, Retirement Board Actuary was present via Conference Call. Approval moved by Commissioner Fleming. Seconded by Commissioner Levine and carried by the following vote: Ayes, Commissioner Barad, Fleming, Funderburk, Jr., Noonan, President Levine; ITEM NO. 22 -Approves the proposed Amendment to the Schedule of Charges for Energy Facilities- Fiscal Year Submitted by ChiefFinancial Officer, Chief Administrative Officer and Senior Assistant General Manager- Power System. RESOLUTION NO "'-- WHEREAS, the Board of Water and Power Commissioners (Board) approved the Schedule of Charges for Energy Facilities Fiscal Year as required in the Rules Governing Water and Electric Service for the City of Los Angeles at its June 15, 2010, meeting; and WHEREAS, after review of schedule costs by the Power System of the Los Angeles Department of Water and Power, the General Manager recommends that the Overhead Temporary Electric Service Facilities Installation and Removal Charge be increased from $300 to $1,000. NOW, THEREFORE, BE IT RESOLVED that the attached Schedule of Charges for Energy Facilities Fiscal Year , a copy of which is on file with the Secretary of the Board, be and is hereby approved, and all charges and costs not amended by this Board resolution shall remain in effect. BE IT FURTHER RESOLVED that the Secretary of the Board shall certifyto the passage of this resolution and cause it to be published in a daily newspaper printed and published in the City of Los Angeles. BE IT FURTHER RESOLVED that the attached Schedule of Charges for Energy Facilities Fiscal Year shall not take effect earlier than July 1, <..