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Archive for the 'Utilities Board' Tag

Bach accuses council president of ‘power play’

January 16th, 2013, 6:56 pm by

Mayor Steve Bach said he was “surprised” to learn about a last-minute proposal to change the governance of Colorado Springs Utilities.

The proposed charter change by Chairman Scott Hente and board member Jan Martin calls for replacing the council with a seven-member independent board that would be elected as early as June. Board members would serve four-year terms and be limited to three consecutive terms. The proposal also calls for a supermajority vote of Colorado Springs voters to sell Utilities or any of its assets.

The Gazette asked the mayor to weigh in on the proposal, and here’s what he said in a statement:

“Scott Hente and Jan Martin stated at the Utility Board meeting today that they will bring to City Council next Tuesday a ballot measure for the April Municipal Election, asking voters to approve a change in governance for Colorado Springs Utilities, our largest and most important owned asset.  Mr. Hente and Ms. Martin surprised the other members of the Utility Board and me in making this proposal today at the last minute before the City Council statutory deadline for placing items on the April ballot.  They are suggesting that a new 7-member elected Board control CSU in the future.  While this idea may be worth debate, the community should complete a thorough discussion of all alternatives before this most important decision is made.  This is yet another last minute, piecemeal, proposed change to the City Charter on the eve of Mr. Hente being term limited and leaving City Council.   I’m disappointed that Mr. Hente would attempt this power play as he leaves office, and hope the City Council will turn this back next Tuesday and the other piecemeal Charter changes it is entertaining – which represent bad policy and are not in the best interests of our fellow citizens.”

 

HBA asked candidates whether they would decommission Martin Drake Power Plant

January 16th, 2013, 9:35 am by

As part of its endorsement process, the Housing and Building Association of Colorado Springs posed a long list of questions to City Council candidates, ranging from whether the downtown power plant should be decommissioned to how they would assess Mayor Steve Bach’s first two years in office.

Here is the questionnaire:

Please write a short paragraph about why you are running and your philosophical agenda for the City of Colorado Springs:

Please provide a summary of your professional background your qualifications for serving on the Colorado Springs City Council and as a member of the Board of Directors of Colorado Springs Utilities.

Please answer the following series of questions.  Please submit electronically with the questionnaire.  The questionnaire will be distributed to the members of our PAC interview committee prior to your interview.

Do you favor the current form of government as approved by the voters in 2010 to have a strong mayor form of government?  Explain your position.

Will you support any charter amendments to change the form of government by rolling back or adding to the powers of the Mayor or Council? Please explain.

Does the Mayor have too much or too little power under the new form of government?

How would you change the balance of power between the Mayor and City Council.

What is your assessment of the first two years of the term of Mayor Bach?

Do you support changes in the employee pension plans?

– For police and fire

– For civilian employees

If there are not sufficient revenues to meet the expenses of the City, what is your approach:

– Increase revenue?  How?

– Decrease expenses?  How?

At what level should the City maintain its unrestricted reserve fund balance?

It is estimated that the backlog of storm water drainage improvements is around $500 million?

– As a member of Council, what would be your proposal to deal with this?

Did you support or oppose the extension of PPRTA?  Explain your position.

Are the funds received from PPRTA adequate to meet the needs of the City?

– If not, how would you fund the deficiencies?

What are your views on public transportation, including our bus system, FREX, light rail and a downtown trolley?

– Explain your proposal for funding those items you support.

As a member of Council, you will also be a member of the Board of Directors for Colorado Springs Utilities.

– Do you favor a change in the governance of Utilities, and if so to what?

What are your views about the following Utility issues:

– Implementation of the Neumann technology at the Martin Drake or Nixon power plants.

– Should Martin Drake be decommissioned?  Explain your position.

– Do you favor selling or leasing any of the four utilities?  Explain your position.

If you favor selling or leasing, how would you use the proceeds from the sale or lease.

Do you support Southern Delivery System?  Explain your answer.

Should Utilities sell water to the City at a reduced rate for watering of public parks?

Is the City getting its fair share of funds from CDOT?

– If not, what is your proposal to make sure the City gets its fair share?

Did you support or oppose the lease of Memorial Hospital to University of Colorado Health System?

– Would you have preferred the sale or lease to an entity composed of the leadership of the hospital?

– Explain your positions.

Please provide a closing statement with any additional information you would like to provide to our interview committee.

Please include a copy of your professional resume with this questionnaire. 

 

Forte to Bach: Hold your questions for study

January 7th, 2013, 11:50 am by

Jerry Forte

Colorado Springs Utilities CEO Jerry Forte wants Mayor Steve Bach to reserve any more questions about the Martin Drake Power Plant for a decommissioning study.

“From both a limited staff perspective and to best honor the study initiative, it would be best if any further questions were vetted as part of the study,” Forte said Saturday in an email to the mayor.

“Adding your voice to the scope and depth of the study would be very helpful in reaching a decision that is best for and can be supported by the community at large, both today and into the future,” Forte said.

The email included answers to a long list of questions that Bach had posed to Forte about the Drake power plant and other Utilities power facilities on Dec. 17.

Bach gave Forte a Christmas Eve deadline to answer the questions. Forte told the mayor he needed more time and delivered his responses to Bach via email on Saturday.

Utilities posted the answers on its website “so that our customers can see the information and stay up to date on energy issues that are affecting the community,” spokesman Dave Grossman said Monday.

Forte told the mayor that answering his questions required “certain assumptions” for current and potential environmental regulations and risk mitigation/generation ownership practices, among others.

“As you know, the utility business is very complex. There are many variables to consider in developing a balanced portfolio that meets the values and rate expectations of Colorado Springs Utilities customers. City Councils/Utilities Boards over the years have consistently directed Colorado Springs Utilities to focus on competitive rates while complying with all regulations and customer expectations. Boards have also valued local control of assets as the best means for self determining our community’s future,” Forte said.
“Colorado Springs Utilities’ competitive rates, national benchmark reliability and customer satisfaction, are the highest indicators of the resultant benefits our community has realized. An excellent track record of performance has also assisted in keeping and attracting large electric users, which directly translates to local jobs.”

Colorado Springs Utilities offers winter watering tips

December 17th, 2012, 11:03 am by

Precipitation — or the lack of precipitation — is going to be big in 2013.

Colorado Springs Utilities, which provides monthly updates on the water situation, told the Utilities Board last week that outdoor watering restrictions and maybe even a water rate increase may be needed next year.

In the meantime, the city-owned utility is offering the following winter water tips:

Winter watering

If you’ve ever experienced the discouragement of lawn winter kill or dead landscape plants in spring, try winter watering. Even though landscape plants are dormant and brown, they need to be watered periodically. Dry winter months often kill plants through dehydration. By winter watering, your lawn and landscape plants will have a much better chance of greening up beautifully when the warm weather of spring returns.

A word to the wise, too. Shrubs and trees that don’t receive regular water will search for hydration on their own, oftentimes in your wastewater pipes. Roots are a common cause of pipe damage, and repairs can be messy and costly. Service lines are the homeowner’s responsibility, so have pipes checked at least once a year or more if you live in a long-established, heavily-treed neighborhood.

Finally, keep in mind that your wastewater bill is calculated using the amount of water used Dec. 1 through the last day of February.

When to water

– Choose a warm winter day with air temperature above 40 degrees F and unfrozen soil.

– Water one to two times per month from November to April.

– It is most critical to water in March and April when the new roots are forming.

– Water at mid-day so it can soak in before it freezes.

What to water

– It is most important to water newly planted lawns, trees, shrubs and flowers.

– Established lawn areas and trees, especially those in sunny, windy, or exposed areas should also be a high priority.

– Established shrubs, flowers, ornamental grasses and groundcovers will also benefit.

– Do not winter water cacti, succulents, buffalograss, blue grama and very xeric plants.

How to water

– Use a hose-end sprinkler or watering wand since automatic sprinkler systems are off during the winter.

– Remove the hose from the spigot after watering to prevent freeze damage.

– Water slowly so it can soak in.

– To figure out how long to water, put out cups to catch some of the water. Water until you can measure 0.5 to 1” deep in the cups.

Water leaks turn drops into dollars

Some facts about water leaks from the Environmental Protection Agency:

– Leaks can account for, on average, 10,000 gallons of water wasted in the home every year, which is enough to fill a backyard swimming pool.

– The amount of water leaked from U.S. homes could exceed more than 1 trillion gallons per year. That’s equivalent to the annual water use of Los Angeles, Chicago, and Miami combined.

– Ten percent of homes have leaks that waste 90 gallons or more per day.

– Common types of leaks found in the home include leaking toilet flappers, dripping faucets, and other leaking valves. All are easily correctable.

– Fixing easily corrected household water leaks can save homeowners more than 10 percent on their water bills.

– Keep your home leak-free by repairing dripping faucets, toilet valves, and showerheads. In most cases, fixture replacement parts don’t require a major investment and can be installed by do-it-yourselfers.

– The vast majority of leaks can be eliminated after retrofitting a household with new WaterSense labeled fixtures and other high-efficiency appliances.

 

Inventor: Deal puts technology at Drake in jeopardy

December 13th, 2012, 11:50 am by

David Neumann

The secret agreement between the city of Colorado Springs and the Sierra Club may put a controversial emissions control technology being installed at the downtown power plant in jeopardy.

“My understanding is that recent secret negotiations with the Sierra Club conducted by the City Attorney have resulted in an agreement which partially or wholly suspends our contract,” businessman David Neumann, who invented the sulfur dioxide scrubbers, said in an email to the Colorado Springs Utilities Board.

” I appeal to you to have a full and open discussion with the community before you proceed to endorse the dealings of the City Attorney.  These dealings by the City Attorney may appear to many of the Colorado Springs Utilities’ citizen-owners and ratepayers as truly egregious acts,” he wrote.

Here is the full text of Neumann’s email:

Dear Colorado Springs Utilities Boardmember:

As you know NSG with its 55 employees has a contract to provide emissions control capability for the Martin Drake powerplant in compliance with EPA requirements. Already $60 million of rate payer money has been committed or spent.  NSG stands ready to continue performance of that contract and provide the City with one of the cleanest coal plants in the country.

My understanding is that recent secret negotiations with the Sierra Club conducted by the City Attorney have resulted in an agreement which partially or wholly suspends our contract.   I appeal to you to have a full and open discussion with the community before you proceed to endorse the dealings of the City Attorney.  These dealings by the City Attorney may appear to many of the Colorado Springs Utilities’ citizen-owners and ratepayers as truly egregious acts.

While it is clearly not my place to judge the City Attorney’s actions, I do believe that NSG, as a vendor of Colorado Springs Utilities, has a right to expect full and open discussions, with substantial Community input, before actions are taken that may adversely affect assets of Colorado Springs Utilities, the Community and NSG.

Thanks for considering this,

 

David K. Neumann, CEO

Neumann Systems Group, Inc.

Which groups are pocketing YOUR ratepayer dollars?

November 20th, 2012, 11:42 am by

Should city-owned Colorado Springs Utilities be handing out ratepayer money to groups such as the NAACP and the Colorado Springs Regional Business Alliance?

The utility budgeted about $774,000 to hand out to various organizations and charities in 2013, raising the ire of some Utilities Board members.

“The greater question pointed out by these gifts and the gift-giving process leads to the overall structure of the board and the built-in conflict of interest presented by being both a city councilor and a utility company board member,” Councilman Tim Leigh recently wrote in his electronic newsletter.

“As a utility company board member I understand and condone the giving.  I encourage it.  As a company, the million dollar give-away is chump change used to curry small-time political favor.  I understand the process,” he said.

“But as a city councilor looking out for Fred the Plumber and his good wife Ethel and their 3 kids living in a poorly insulated, small duplex on the east side, I’m compelled to call-out the unfairness of arbitrary gifts of rate payer dollars. ”

Click here to see the list of groups that are poised to receive ratepayer money and the amount.

The Gazette asked Springs Utilities to provide more information about the “Community Focus Fund” program.

Here is their response:

As a citizen-owned utility, we are committed to giving back to the community we serve.  Our community investments programs include investments in community organizations that retain, grow, and recruit businesses in our region;  grants through the Community Focus Fund program; support of designated City Sponsored events; sponsorships of local non-profit events and memberships in local community associations.

Community investment provides financial support for activities and events in the community or in communities impacted by Springs Utilities operations.  Utilities Board policy requires us to demonstrate strong corporate responsibility and be responsive to community needs and values.  Community investment is limited to financial contributions which are budgeted as annual operating expense derived from operating revenues.  We are able to invest no more than 1/4 of one percent of budgeted operations revenues in support of the community.  Our budgeted amount is actually about 1/10 of one percent. The small increase in the 2013 budget covers increased costs in city-sponsored events and realignment of funding to meet community needs.

Community investments were first formalized in 1997 with the chartering of the Community Focus Fund by City Council. The Community Focus Fund was established as a community outreach program to support employee volunteerism and provide financial support to local nonprofit organizations and schools.  The program is managed by an employee steering committee of about 20 employees from throughout the organization who make volunteer project and funding decisions based on the program’s charter and guidelines. Funding and volunteering is focused on affordable housing assistance, community, education, environment, safety & health, senior citizens, youth.  Funds are also used to purchase supplies and equipment for employee volunteer projects.

Sponsorship funding is determined by a management team to support organizations and events that have a strong alignment with Springs Utilities’ business objectives such as workplace diversity, conservation and the environment, safety, renewable energy, science education or in support of events where Springs Utilities employees have made significant volunteer commitments to organizations as members of the board of directors.

Funds are also used to fulfill requests from City Council to underwrite the cost of barricades for designated city sponsored events such as the USA Pro Cycling Challenge, parades, etc.

In addition, our primary focus is supporting employee volunteerism.  Year after year, we donate thousands of personal hours to local charities and nonprofit agencies to help make our community a better place.  In 2011, our volunteer hours topped 25,000.

Hente invites Bach to see budget process firsthand

October 16th, 2012, 4:22 pm by

On Friday, Mayor Steve Bach sent Scott Hente two separate letters offering recommendations to make the Colorado Springs Utilities budget process better.

The two letters basically said the same thing, but one was addressed to Hente as the City Council president and the other as the chairman of the Utilities Board.

Hente responded to the mayor’s letters Monday.

Hente sent only one letter.

Here is the full text of that letter:

October 16, 2012

 

Honorable Mayor Steve Bach

City Administration Building

Suite 601, MC 610

 

Dear Steve,

Thank you for your recent letters regarding the Colorado Springs Utilities budget and process. I, along with my colleagues, appreciate your input.

Colorado Springs Utilities has always been committed to discussing its budget in an open forum and provides much of the information you suggested, including placing   all materials and videos of past Utilities Board meetings online for public viewing. In addition, every December the Board adopts, by vote, (and publishes) a planning calendar for the upcoming year which outlines expected reports and decisions required at each meeting. This ensures that the Board receives regular presentations on the budget and financial conditions, and provides a public record to our ratepayers so that they know, with sufficient notification, when they can comment on the budget. Last year was no different.

For example, in July of each year, staff presents the Financial Planning and Budgeting overview for the upcoming five years. The report presented at the July 18, 2012 Utilities Board meeting included the 2013 – 2017 projections by year on debt, days cash on hand, customer energy and water sales/consumption, planned capital projects, and programs and other projections. This report, as is the case for all reports and presentations dealing with the budget, was made in an open forum and was subject to public comment.

It is also important to note that Colorado Springs Utilities is not a municipal government and operates under a different planning and budgetary process. Unlike a municipal government budget, Colorado Springs Utilities’ budget is developed and presented in a specific accounting format that identifies the costs for providing services. This detailed format is used to develop an Annual Operating Plan (AOP) that is an integral part of the planning and budgeting process. The AOP provides financial data based on analysis of the current budget and a forecasted five-year financial plan. Once the AOP and budget is adopted, the Board holds the organization accountable through the CEO Performance Plan and Scorecard.

One other aspect that is significantly different is that the Utility budget is specifically tied to the utility rates that are regulated by the Colorado Springs City Council. The City Council, acting within its authority under both the State Constitution and the City Charter, has certain obligations with respect to public notification and the process in setting the rates.  The calendar approved by the Utility Board for each year ensures that the law is being followed with regards to the dates associated with the rate settings.

The draft of the Colorado Springs Utilities 2013 Annual Operating Plan and Budget was provided to Utilities Board members for preliminary review last week and posted on the Colorado Springs Utilities web site for public viewing.

Colorado Springs Utilities leadership will present the proposed 2013 AOP to the Utilities Board on Wednesday, October 17. No action will be taken at this meeting as City Council will be requested to consider and approve the annual budget, the appropriation of monies, and the identification of the annual sources of funds during the November Formal Council meetings. If approved, the Annual Operating Plan will become effective on January 1, 2013. The public is encouraged to attend and comment throughout this process.

The Utilities Board members have had several opportunities to participate in the 2013 budget process, including a public workshop on September 14. While not every Board member was able to attend the workshop, Jerry Forte and members of his executive team met with them individually to discuss the 2013 budget and approval process.

Thank you again for your comments and input. I hope you will consider attending the upcoming Utilities Board meeting and the subsequent Formal City Council meetings to see firsthand how the process works.  I’m confident you will walk away impressed with the operations and management of Colorado Springs Utilities.

Respectfully,

Scott Hente, President

Colorado Springs City Council

Quote of the Day

September 21st, 2012, 12:30 pm by

Colorado Springs Utilities is all the talk these days, and everybody seems to have a iron in the fire, including Mayor Steve Bach.

But under the new form of government, it’s the City Council — not the mayor — that oversees the $1.1 billion city enterprise.

So, what does council President Scott Hente think about Bach’s constant involvement with the four-service utility?

“The mayor has the right as any citizen in this community does to express his opinions about any of the services that our municipality provides. However, he tells me on a very frequent basis that some things are the responsibility of the executive branch of this community. You know what? I respect that, so if some things are the responsibility of the executive branch of this community, then some things are the responsibility of the legislative branch of this community and Utilities is one of them. So, I guess what’s good for the goose is good for the gander.”

 

Is Skorman angry at Herpin over joke?

September 21st, 2012, 11:00 am by

When City Councilman Bernie Herpin joked Wednesday that Richard Skorman’s ashes could be spread at the coal-fired power plant downtown when he died, some people laughed.

Others thought it was in poor taste.

So, what did Skorman think?

Skorman said Friday that he thought Herpin’s remark was funny.

“I didn’t take it seriously. I knew he was doing it in jest,” Skorman said.

“I didn’t laugh because I was too involved in what I was talking about, but I thought it was a pretty good joke,” he added.

 

Forte: Springs Utilities ‘a treasure worth preserving’

September 21st, 2012, 10:21 am by

Jerry Forte

Colorado Springs Utilities CEO Jerry Forte is trying to calm his employees after a tumultuous week.

Forte sent employees an email Friday assuring them that the city-owned enterprise is a “treasure worth preserving” despite talks of selling it.

“I am confident that our organization will more than meet the demands of our time- because I know you,” Forte said in the email.

“When the facts are all researched and debated, I know that the overwhelming conclusion will be that Colorado Springs Utilities is a treasure worth preserving, because our people are a treasure,” he said.

Here is the full text of Forte’s email, which he also sent to the Utilities Board:

We certainly are living in interesting and challenging times! During periods like this, I like to fall back on what I know is true. That always helps me see the path forward with more clarity. So what do we know? We know that Colorado Springs Utilities is one of the finest four service utilities in the entire nation because our mission is grounded in the values of safety, reliability and competitiveness. Our vision to be a treasured community asset for Colorado Springs is realized because our people strive to work every day by a set of values that are much more than a sound bite or a plaque on the wall.

The recent conversations concerning the sale of Colorado Springs Utilities prompt several questions in my mind. How do you place a value on our employee’s response to the Waldo Canyon fire? How do you place a value on having some of the best customer satisfaction in the country? How do you place a value on world class reliability? What about competitive rates? How do you value record breaking volunteerism in service to our customers? How do you value employees that go the extra mile every day to serve the community they cherish and live in?  What is the value of local ownership- the ability to appeal directly to elected officials as opposed to an unelected bureaucracy in Denver, or a Board of Directors that resides in another state? If the community wants to discuss the future of a power plant, in Colorado Springs, that can take place in an open, transparent, fact-based and constructive manner. What is the value of that?

While these conversations may seem difficult, we must not shy away from them. We are proud of our track record and believe that it will stand up to any and all evaluation. We are not afraid of facts, in fact, we insist on them. What we all stand for is an open, honest, informed and transparent public conversation that allows all stakeholders a place at the table. That is what community is all about, that is what we are all about.

So how do we navigate these times and move forward? First, since we exist to serve this community, we must always keep in mind what is genuinely best for all of Colorado Springs.  Second, we need to insist on honest and balanced public conversations, seeking to understand and then to be understood, being open to new ideas. Third, and most importantly, we need to arm ourselves with the facts and get involved. We need to have many conversations with our friends and neighbors, and we need to inform them in a non-defensive manner. We need to enrich every conversation by the way we demonstrate our values, by the way we boldly stand for the truth.

I am confident that our organization will more than meet the demands of our time- because I know you. When the facts are all researched and debated, I know that the overwhelming conclusion will be that Colorado Springs Utilities is a treasure worth preserving, because our people are a treasure.