Final – Approved by Board 9/28/04
MINUTES OF THE
BOARD OF COMMISSIONERS' MEETING
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___________________________
The Board of Commissioners met in the Boardroom of the Administrative Offices,
1232 Haco Drive, Lansing, Michigan.
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Present: |
Commissioners Gary L. Calkins, Ronald
C. Callen, Nancy W. Duncan, Tim
Haggart,
Santiago Rios, and Robin M. Smith. |
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Absent: |
Commissioners Ifield P. Joseph, and
Nancy Wonch |
The Secretary declared a quorum present.
Chairman Callen called the meeting to order at 5:40 p.m. He announced that the Board’s Rules of Administrative Procedure specify that the Board shall organize each year at its first regularly scheduled meeting in July by electing a Chair, Vice Chair and Chair Pro Tem. He called for the report of the Nominating Committee.
NOMINATING
COMMITTEE REPORT
Commissioners Present: Tim Haggart, Robin Smith, and Nancy Wonch (Chair)
Absent was Commissioner Nancy Duncan.
The Nominating Committee met on June 30, 2004 at 12 Noon to review Commissioner survey responses for consideration of nominations for Board officers.
The Nominating Committee recommends the following slate of officer candidates for Fiscal Year 2004-05:
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Chair: |
Robin Smith |
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Vice Chair: |
Nancy Duncan |
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Chair Pro Tem: |
Ron Callen |
There being no further business, the meeting adjourned at 12: 35 p.m.
Respectfully submitted,
NOMINATING COMMITTEE
Nancy Wonch, Chair
Motion by Commissioner Callen, seconded by Commissioner Rios, to approve the report as presented.
Action: Carried unanimously.
Motion by Commissioner Calkins, seconded by Commissioner Haggart, to approve the new slate of officers for Fiscal Year 2004-05.
Action: Carried unanimously.
Commissioner Callen congratulated Chair-elect Smith on her election and passed the gavel to her.
Chair Smith made the following remarks:
I want to
thank my colleagues for the vote of confidence. I look forward to working with all of you. I also look forward to working with our
General Manager Sandy Novick and his team for this fiscal year and, most
importantly, the ratepayers in this community.
There are many challenges and challenging issues we face right now in the
utility industry as well as at the Board of Water and Light. I look forward to providing superior utility
services to our customers while maintaining stable rates. The fulfillment of this responsibility to
our customers requires prudent planning as well as investment. The Lansing community is a great place to
live. I was born and raised here. I’m pleased to have the opportunity to serve
as Chair of this Board and I thank Commissioner Ron Callen, the outgoing chair
for the many times I’ve drawn on his wisdom, his expertise and experience; and
I’m sure in the days to come, I will continue to do so. Thank you.
Motion by Commissioner Callen, seconded by Commissioner Haggart, to approve the minutes of the regular Board meeting held May 25, 2004.
Carried unanimously.
THE CHAIR ANNOUNCED THAT MEMBERS OF THE PUBLIC ARE WELCOME TO SPEAK TO THE BOARD ON ANY AGENDA SUBJECT OR ON ANY OTHER SUBJECT NOW, OR AT THE END OF THE MEETING.
James Clift, Policy Director of the Michigan Environmental Council (MEC), spoke on the subject of lead service pipes going to homes in Lansing and handed out a letter from MEC regarding this issue. Mr. Clift thanked the Board and management for holding educational open houses to provide information about lead in drinking water. He presented a summary of MEC’s four recommendations on how the BWL may want to proceed on the lead issue: (1)Testing: Publicize how schools are currently testing water systems in Lansing to insure children are not being exposed to lead while attending school; pay for water tests for any household with lead service lines that requests to be tested; and work with the Ingham County Health Department to provide a free blood test for any child less than six who is exhibiting symptoms that could be related to elevated lead levels.. (2) Public Education: Expand the public education campaign to include information related to health problems related to elevated lead levels in the body. (3) Protecting At-Risk Populations: The lead pipe replacement process should be accelerated to complete replacement over five years as opposed to the proposed ten years. (4) Get the Lead Out: Come together as a community effort to “Stand Up for Lansing – Get the Lead Out.” A multi-faceted campaign is proposed that would combine the efforts of the City of Lansing, the BWL, Ingham County Health Department, housing advocates and community groups in a campaign to reduce lead exposure by replacing lead pipes and insuring lead paint hazards are minimized. Mr. Clift concluded his remarks by offering to work with the BWL on the lead issue.
Joan Bauer, President of the Lansing City Council, thanked the Commissioners and staff for attending the joint meeting with the City Council members this morning. Issues of mutual interest to the City Council and the BWL were discussed ranging from lead in drinking water and tree trimming. Councilmember Bauer echoed James Clift’s sentiments that we need to come together as a community to reduce lead exposure, whether it is hazards from lead paint or lead water services. She also supported Mr. Clift’s proposal to combine the efforts of the City, the BWL, and the State in a campaign to address the lead issue. Councilmember Bauer thanked Commissioner Ron Callen for his past service as Board Chair, and congratulated Commissioner Smith in her endeavor as the new Board Chair. She expressed her gratitude to all the Commissioners for volunteering their services on the Board to represent citizens for the common goal of providing a safe water supply, reliable electric service and low rates for all customers.
There were no communications.
COMMITTEE REPORTS
Present: Commissioners Calkins, Callen, Duncan, Haggart, Rios, (arrived 5:45) Smith and Wonch. Absent: Commissioner Joseph
The Committee of the Whole met on July 8, 2004 at 5:30 p.m. to discuss the following items:
There
were no comments made by the public at the meeting.
May Financials. Senior Vice President of Finance and Administration Dennis McFarland introduced Ms. Sue Sperry, Manager of Finance and Planning and recognized the efforts she is making in that area.
Mr. McFarland updated the Committee on the May Financial
Report. He reported that for the first
time this fiscal year, operating income had fallen slightly below budgeted
levels. He explained that May is
typically a “shoulder” month for the BWL, since it does not produce significant
heating or cooling temperatures to generate revenues. Because of this, a net loss of just under $1 million had been
budgeted for the month of May.
Unfortunately, when the actual numbers came in for May, the loss for the
month was approximately $3 million dollars, most of which could be attributed
to the Electric Utility. Mr. McFarland
identified those items accounting for the variance between Budgeted and Actual
Operating Income which included unanticipated maintenance costs at Erickson
Station, lower than anticipated net electric retail revenue and lower than
anticipated $/MWH received for wholesale electric sales. Mr. McFarland also described several pending
items which will most likely affect FY04 net income which included Ottawa
Station write down, and Environmental Emission Allowances/Liabilities.
Commissioner Rios Introduced. General Manager Sanford Novick introduced Santiago Rios, the new Board Commissioner. Mr. Rios is an attorney and has an extensive managerial background. He welcomed Mr. Rios and stated that a tour of BWL facilities will be arranged in the near future.
Six-Year Financial Forecast. The Six Year Financial Forecast was presented by Senior Vice President of Finance Dennis McFarland. Mr. McFarland emphasized that the forecast did not represent a Financial Plan but consisted of a base case scenario including known events and an extrapolation of current trends. He explained that this information was being presented to lay the groundwork for financial and strategic decision-making to follow. Mr. McFarland explained the major assumptions used in the forecast which included modest retail sales growth rates, anticipated General Motors (GM) plant closings, no rate increases, O & M annual increases of 2.5% and no new bond issues. A Forecasted Income Statement was presented which showed a slight net loss beginning in Fiscal Year 2007 and a total net loss of ~$32 million for the six year period of 2005 – 2010. The forecasted Cash Flow statement showed annual cash deficits for each of the six fiscal years for a total deficit of ~$66 million for the period. Mr. McFarland explained that the BWL was fortunate to begin the period with strong cash reserves since even in this base case scenario, the BWL would end the period with positive cash balances. Much discussion followed on individual Utility positions during the period, as well as cash reserve funds currently held by the Michigan Public Power Agency (MPPA). Mr. McFarland concluded the presentation by describing several open issues including the definition of “Financially Independent Utilities,” timing of water rate increases, timing of steam rate adjustments and the integration of strategic initiatives. It was determined that a six-month time frame would be reasonable for staff to develop further strategies on the six-year forecast and return to the Committee with a recommended financial plan.
Lead Task Force Report. General Manager Sanford Novick reiterated that he had previously discussed his concern about lead water services with the Board. He reported that BWL is in compliance with all state and Federal regulations for drinking water safety, but currently is not doing enough with this issue. He noted that BWL needs to be more proactive and aggressive. An article is anticipated to appear in Sunday’s, July 11th Lansing State Journal telling the public about the BWL’s 14,000 lead services. Annually the BWL has informed customers about issues with lead in drinking water. The BWL is in compliance, and is not required to replace the lead services. Director of Special Projects Clyde Dugan presented the Lead Task Force recommendations on implementing the accelerated lead replacement program. Mr. Dugan pointed out that there are many sources of lead. The BWL has determined that there is no detectable lead in the water supplied to our mains and no significant sources of lead in the distribution system. Water service lines from the street to homes can be made of numerous materials or combinations of materials that contain lead. The BWL is regulated under the Safe Drinking Water Act and maintains less than 15 parts per billion (ppb) of lead in at least 90% of samples taken from customer taps. The BWL is required to notify all customers annually on ways they can minimize their exposure to lead in the drinking water. The Task Force recommends a corrosion control program, and formal service replacement program. Service replacement priorities are:
Mr. Dugan reported that previously, BWL was replacing
between 300-400 lead services per year.
Many of the services are in the CSO area and if the schedule for CSO is
set, the changes will be made when that project is being done rather that
disrupting customer services more than once.
In already completed CSO projects, lead services have been
replaced.
For Fiscal Year 2005, the BWL will:
For the future, the BWL will:
If there are sensitive populations, the BWL will try to
replace them during the first year. The
BWL needs to communicate to the consumer what they can do to protect themselves
from the danger of lead. Education and
communication are being worked on. The
BWL realizes this will be a public relations issue. The BWL would like the approval of the Commissioners to start
with $2.5M per year whether that is 15 years or 10 years. The cost to replace the lead services is
expected to be over $30 million. Staff
will report back to the Board in six months with the status of the project. At that point it will be determined if more
money needs to be budgeted for the project. The task force recommendation was
replacing all lead pipes in 15 years and Commissioners chose to accelerate the
program and replace all of the lead services owned by the BWL within ten
years. Motion by Commissioner Calkins,
seconded by Commissioner Duncan that this be voted on at the Board meeting on
July 27, 2004. Discussion was held as
to whether BWL forces or contractors would perform the work. Staff will cost the project being performed
by BWL employees versus contractors.
The BWL is currently not staffed to do this kind of work; and, in
addition, equipment will have to be purchased.
Information will be placed on the BWL website regarding issues with lead
in drinking water.
Motor Wheel Disposal Site. General Manager Sanford Novick updated the Commissioners on the Motor Wheel Disposal Site. He reported that nothing has changed at the site. Reporting requirements have changed and Goodyear is going to have to start publicly reporting something that has been in existence for quite awhile. It does not affect the BWL water supply. Neither the BWL nor Goodyear will have to do anything differently. Goodyear is very committed to cleaning up the site. Their remediation is successful.
Delta Township Wholesale Water Contract.
General Manager Sanford Novick reported on the Delta Township Wholesale
Water Contract. A meeting is scheduled
with the township on July 15, 2004 and the BWL is continuing to work with the
township. The BWL is trying to
renegotiate the contract and wants to continue the good relationship with Delta
Township and we are working on this issue.
Traffic Signal Maintenance Agreement with MDOT. Senior Vice President of Operations Bill Cook reported that the BWL provides traffic signal maintenance for local political jurisdictions. There is a contract with the Michigan Department of Transportation (MDOT) covering 148 intersections. The BWL provides energy, traffic control devices, personnel and equipment to perform maintenance on the signals. The contract has expired and is currently in effect month-to-month. Staff recommends a new agreement with the same provisions with MDOT for five years with a 90-day cancellation notice by either party. MDOT values this maintenance service at about $800,000 for five years. Traffic signals are shared by various entities. A resolution to enter into a Traffic Signal Maintenance Agreement with MDOT will be brought forth at the July 27, 2004 Board meeting.
Ethics Procedure Changes. General Manager Sanford Novick reported that the BWL will comply with the Lansing Ethics Ordinance as written. The zero tolerance directive, which has been in effect for the past year, is not necessary for most employees. The policy that will be followed in relation to the acceptance of unsolicited non-monetary gifts shall be the same policy as that for City employees. The policy states “BWL employees may accept unsolicited non-monetary gifts from vendors, as long as the total gifts from any one vendor do not exceed $50.00 in value in any year. A gift is anything of value given without the expectation of receiving something in return.”
Silver
Bells Sponsorship Renewal. Motion
by Commissioner Calkins and seconded by Commissioner Wonch that the General
Manager is authorized to present a resolution at the next regular meeting
recommending approval to renew Silver Bells in the City Signature
Sponsorship. The sponsorship for a
three-year period will be at a level of $15,000 per year plus $5,000 per year
of in-kind assistance. This will be
brought to the full board on July 27, 2004.
312 N. Grand Avenue Property. General Manager Sanford Novick gave a status report on the Agreement to Sell between the BWL and River Street Triangle, LLC. The agreement pertains to the sale of BWL property at 312 N. Grand Avenue. He reported that City Council has extended their agreement with River Street Triangle for six months without a required deposit or option payment. It is anticipated this issue will be discussed at the joint breakfast meeting between the Commissioners and City Councilmembers scheduled for July 27, 2004. Mr. Novick noted that the BWL can cancel the contract with River Street Triangle at any time without City Council approval.
General Discussion. Commissioner Callen reported that he has talked with Council President Joan Bauer and indicated that among issues that could come up at the joint breakfast meeting on July 27 are: (1) Tree Trimming, (2) the proposed Street Light and Hydrant Riders with the City, (3) River Street Triangle Agreement for the 312 S. Grand Avenue, (4) Ottawa Station, and (5) Communication. Councilmember Bauer has received a listing of suggested BWL and Councilmember pairings.
General
Manager Novick reported that the developer with whom BWL has been working,
relative to the Ottawa Station, has a potential tenant. The Request for Proposal (RFP) from the
State for office space has not come forth at this point.
Selection Process for Director of Internal
Audit. Human Resources Director
Mary Dwyer reviewed the information provided to the Commissioners with respect
to the Internal Audit selection process.
The Commissioners concurred with the revised action plan as presented
for filling the Internal Auditor position.
Discussion was held on the questions to be asked of each candidate. The list was narrowed to 22 questions. Commissioners may ask clarifying questions
during the interview. The Commissioners
will offer to interview the top seven candidates.
Status of Union Negotiations – Closed Session. By motion of Commissioner Smith, seconded by Commissioner Wonch, that the Committee of the Whole convene in closed session to discuss the status of collective bargaining negotiations (9:00 p.m.).
Action: Adopted by roll call vote:
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Yeas: |
Commissioners Calkins, Callen, Duncan, Haggart, Rios, Smith, and Wonch |
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Nays: |
None |
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Absent: |
Commissioner Joseph |
Motion by Commissioner Calkins and seconded by Commissioner Wonch to return to open session (9:15 p.m.)
No recommendations were brought forth from the closed session.
Commissioner Callen spoke briefly on three items; namely, depositions being taken on a current lawsuit, his meeting with City Council on July 15, 2004 with regard to his reappointment to the Board, and updates from Commissioners on a recent American Public Power Association (APPA) meeting in Seattle.
There being no further business, the Committee of the Whole adjourned at 9:20 p.m.
Respectfully submitted,
Tim Haggart, Chair Pro Tem
Committee of the Whole
Motion by Commissioner Haggart, seconded by Commissioner Calkins, to approve the report as presented.
Action: Carried unanimously.
General Manager Novick reported that there was lengthy discussion regarding lead in drinking water at the joint Board and City Council breakfast meeting this morning (July 27). Over the past several weeks, customer service representatives responded to numerous customer calls regarding lead in drinking water. Calls have started to taper off, however, newspaper articles are continuing to appear in the Lansing State Journal. He commented that turnout at the community open house on July 22 has been very good, and reminded that open houses are set for July 28 at Cristo Rey and August 3 in the BWL Boardroom. The Ingham County Commissioners and a couple of state legislators are also taking an active interest in the lead issue.
MANAGER’S RECOMMENDATIONS
Background materials on items presented are
on file in the Office of the Corporate Secretary.
Resolution 2004-7-3
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A. |
ANNUAL SPONSORSHIP OF SILVER BELLS IN THE CITY FOR THREE YEARS
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WHEREAS, Silver Bells in the City traditionally opens the winter holiday season in Mid-Michigan, and
WHEREAS, this event attracts an estimated 80,000 people to downtown Lansing to enjoy free caroling and buggy rides, a lighted float parade, and to witness the lighting of the official state holiday tree, and
WHEREAS, Silver Bells in the City contributes to the economic well being of downtown Lansing while fostering a sense of community among those who participate in this event, and
WHEREAS, the Board of Water and Light has been associated with Silver Bells in the City since 1998 as a signature sponsor of the event.
RESOLVED, That the Board of Commissioners approve an annual sponsorship of Silver Bells in the City in the amount of $15,000 plus an additional $5,000 per year in in-kind assistance, for a period of three years.
Staff
Remarks: Funds for this sponsorship
are included in this year’s Communications budget. This sponsorship was also anticipated in the development of media
messages promoting community events sponsored by the BWL.
Motion by Commissioner Duncan, seconded by Commissioner Haggart, to approve the resolution.
Action: Carried unanimously.
Resolution
2004-7-4
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B. |
EXTENSION OF TRAFFIC SIGNAL MAINTENANCE AND ENERGY SERVICES CONTRACT
WITH MICHIGAN DEPARTMENT OF TRANSPORTATION FOR A PERIOD OF FIVE YEARS
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RESOLVED, That the Michigan Department of Transportation – Lansing Board of Water and Light Traffic Signal Maintenance/Non-Maintenance and Energy Contract, for the period of April 1, 2004 through March 31, 2009, is hereby approved as presented. (Summary attached)
Motion by Commissioner Haggart, seconded by Commissioner Duncan, to approve the resolution.
Action: Carried unanimously.
Resolution
2004-7-5
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C. |
LEAD SERVICE REPLACEMENT
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WHEREAS, the Board of Water and Light is committed to provide safe and sufficient water to its customers and is in full compliance with the Safe Drinking Water Act, and
WHEREAS, the Board of Water & Light owns water service lines to customers homes and businesses, some of which contain lead components, and
WHEREAS, the Commissioners have determined that in the best interests of its customers, these lead water service components should be voluntarily replaced in a timely fashion.
RESOLVED, That lead service line components be replaced with approved service line materials within ten years.
Motion by Commissioner Calkins seconded by Commissioner Duncan, to approve the resolution.
Action: Carried unanimously.
UNFINISHED BUSINESS
No unfinished business
No new business
RESOLUTIONS
No resolutions.
BWL Residential Energy Efficiency Program. General Manager Novick reported that one of his FY’04 objectives was to launch a Residential Energy Conservation Plan. He introduced Sue Warren, Marketing Specialist in the Customer Projects and System Integrity, who has been coordinating with advisory groups in the development of this program. Ms. Warren presented an overview of the BWL EnergyWise program designed to reduce energy usage and decrease pollution. The primary objective of the program is to educate and assist customers in identifying beneficial water and energy efficiency choices, to pursue partnerships that will benefit BWL customers, and act as a referral agency for existing local energy programs and services. Ms. Warren distributed copies of the new EnergyWise brochure. She noted that BWL has become an ENERGY STAR PARTNER, which is nationally known for its energy-efficient solutions, making it easy to save money while protecting the environment and our community for future generations. The BWL is also pursuing partnerships with local nonprofit organizations to increase exposure and participation with minimal costs. The estimated first-year cost of the program is approximately $15,000 for brochures, printing costs, promotional materials, postage and booth fees. The program, anticipated to be launched by October 1, 2004, will be marketed in the CONNECTIONS NEWSLETTER, the BWL website and through the partnerships.
Chili Cook-Off Report. Communications Director John Strickler displayed the trophy given to the 16 first and second place winners of this year’s Chili Cook-Off. He also provided commemorative posters to the Commissioners. Mr. Strickler reported that 38 restaurants and organizations participated in the Chili Cook-Off this year, an increase of 10 over last year. Attendance was down a bit as the event was held inside the Lansing Center due to the weather. The event raised slightly over $25,000 for the BWL’s two charities and will be split evenly with Adopt-A-River program and the HOPE Scholarship Fund. Mr. Strickler showed a news clip taken by TV station WLNS, Channel 6, which was televised on the news the evening of the event.
Balanced Scorecard. General Manager Novick reported that as part of strategic planning to achieve continuous improvement at all levels of the BWL, the Hometown Balanced Scorecard program is being implemented to track utility performance in key areas throughout the year. Senior Vice President of Finance and Administration Dennis McFarland is the sponsor of this process improvement. Mr. McFarland introduced Balance Scorecard team leader David Kus who presented an overview of the program. Mr. Kus reported that the Balanced Scorecard enables the BWL to clarify its vision and strategy and translate it into action. It views the organization from four perspectives: Customer, Financial, Internal Processes, and Learning and Growth. It also identifies performance improvement opportunities and targets. Balanced Scorecard team members also include: Steve Brennan from Production, Kellee Christensen from Customer Projects and System Integrity, and Shelley Wells from Human Resources. Mr. Kus noted that the project was chartered to develop a Balanced Scorecard to measure BWL performance over 6-8 performance metrics, to create targets for each, and to emphasize benchmarking performance outside the BWL. The specific corporate measurements established for the program will be communicated throughout the BWL.
Service to the Water Industry Recognition from the AWWA. Greg Adsit, Manager of Water Production, presented a plaque for “Service to the Water Industry Recognition from the American Water Works Association for 75 Years of Service to the Water Industry.” The plaque was presented to Special Projects Director Clyde Dugan at the AWWA annual meeting in Orlando, Florida.
COMMISSIONERS’ COMMENTS
Chair Robin Smith welcomed newly appointed Commissioner Santiago Rios to the Board. She announced the following Board committee assignments based on preferences specified by Commissioners in a survey completed last month.
Nancy W. Duncan, Chair
Ronald C. Callen
Ifield P. Joseph
Robin M. Smith
Alternates: Gary Calkins, Nancy A. Wonch
Tim Haggart, Chair
Gary Calkins
Santiago Rios
Nancy A. Wonch
Alternates: Ronald C. Callen, Robin Smith
Nancy Wonch, Chair
Tim Haggart
Ifield Joseph
Robin Smith
Alternates: Gary Calkins, Nancy W. Duncan
ABSENCES
On motion by Commissioner Haggart and seconded by Commissioner Callen, that the absence of Commissioners Joseph and Wonch be excused.
Carried unanimously.
PUBLIC COMMENTS
The Commissioners heard comments from Crystal Perry, 938 Alexandria Drive, Lansing, regarding electric service reliability problems occurring at her residence. Ms. Perry reported that the outages are continuing at her home and the problem has not been resolved.
Chair Robin Smith noted that Ms. Perry appeared at the May 25, 2004 Board meeting to register a complaint. She called on General Manager Novick to give a brief report on the status of current and future plans with regard to Ms. Perry’s reliability difficulty.
General Manager Novick reported that he has been working with Ms. Perry to resolve her service reliability concerns. The BWL’s commitment is to provide outstanding service. A reasonable accommodation was recently made with her past problem; however, a storm came through the next week, which took down a large limb, landing on a power line and causing another outage. Mr. Novick noted that he has personally visited the neighborhood with an engineering group and linemen who actually came out to do repair work. With the recent controversy regarding lead water services, Ms. Perry has agreed to give BWL another week to find a solution that will help the electric reliability situation in her area..
Commissioner Smith thanked Ms. Perry for coming and gave her the Board’s assurance that the BWL will work hard to accomplish its commitment of providing reliable service.
The Commissioners heard comments from Bethany Renfer who resides on Magnolia Avenue, Lansing, regarding concerns with lead water services and the ten-year changeout of lead service lines. She urged the Board to consider a shorter lead service replacement time frame. Ms. Renfer noted that she and her husband enrolled in the BWL monitoring program for lead in the drinking water in 2001, when they moved into their home. In the first year test results came back at an acceptable level, but in 2002 results tested above the EPA’s 15 parts per billion action level. They immediately purchased a drinking water filter, since they were advised by BWL that it would cost them several thousand dollars to have their lead service line removed. She noted that it is disturbing to her that this being the first Board meeting after the lead issue went public that there was limited discussion at today’s Board meeting about how the BWL plans to address lead services. She suggested establishing a community-wide task force to explore ways to reduce lead exposure and she urged implementing an aggressive public education campaign on health risks. Ms. Renfer stated she is available as a citizen to assist in efforts to address concerns with lead service lines.
Chair Robin Smith thanked Ms. Renfer for her proactiveness. She stated that at a Committee of the Whole meeting earlier this month, the Commissioners received a report from a staff task force that recommended a 15-year replacement program to remove all 14,000 lead components in services, but the Commissioners directed that the schedule be shortened by five years. Commissioner Smith called on General Manager Novick to report on the rationale for the ten-year time frame.
General Manager Novick reported that he had an opportunity to meet with Mr. and Mrs. Renfer at one of the BWL-sponsored drinking water educational open houses held last week. He reported that the BWL is completing a plan that will let customers know when their neighborhood will be scheduled for changing out lead services. This project is a large undertaking involving vast resources and every effort will be made to complete it efficiently and much more quickly than ten years. The schedule will be refined as the project continues. Mr. Novick noted that the reason there was not a lot of discussion at this evening’s meeting is because this is a topic that has received a lot of attention from the media and the Commissioners have been working diligently on this issue for several months.
Commissioner Rios told Ms. Renfer that as a new Commissioner, he appreciates her comments and assured her they are taken seriously. He noted that the Commissioners met with the City Council this morning and that both BWL and the City are looking at the best way to address the lead water service issue in a collaborative way.
On motion by Commissioner Callen, seconded by Commissioner Haggart, the meeting adjourned at 6:50 p.m.
/s/ Mary E. Sova, Secretary
Filed with Lansing City Clerk
August 6, 2004