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LLOZ /916 I l - LLOZ /9/L ILLOZ /9/9 I LLOZ/9/E LLOZ/9I4 OLOMAL 0 40Z/9/6 i OLOZ /9 /L O LOZ /9,9 O LOZ /9,B O LOZ/9,L (M)) P -wM E' V h Y a IL e r 0 z 0 ZLOZ /9/4 I LOZl9/LL L LOZ/9 /6 LLOZ,9 /L L LOZ/9/9 L LOUM L LOZl9,l MOM" OLOZ/9re OLOZ191L %OZ/9,9 OLOZ/9/6 OLOZ,9/L vnc4 -Uw OIIN 0 9 a � d � o a - � � § \ k� $m2�//22 N �O a U C, a A ►e TWA 'o 0 0 0 U F a¢i 0 O N .o b ts a� 3 U U O w rA rA 0 a� ro �3 a Q /; i A 0 a 0 N t. 6 �pp cd a� 0 3 0 Lo l U 0 0 E LA 0 0 v 0 U cd NO Lol a� r. a b 0 0 M 3 0 0 0 00 3 14 0 U Cd O rp v s && i v J.3 O U 00 0 0 0 N 1] Q READING MUNICIPAL LIGHT DEPARTMENT To: RMLD Iloard of Commissioners Date: February 22, 2012 From: Vinnie Cameron Subject: Telephone System Update At the December 7, 2011, Reading Municipal Light Department (RMLD) Iloard Meeting the Board of Commissioners asked to have the RMLD's telephone system analyzed to see if it is sufficient to handle customer requirements when large outages occur. The request was based on comments concerning the October snow storm that caused considerable damage to the RMLD's distribution system and caused customer outages for up to five days. Over the last year the RMLD experienced two storms (Hurricane Irene and the October Snow Storm) when the phone system was overloaded at the beginning of the storms and from time to time during the next day or uh. The RMLD has investigated the capabilities of the existing telephone system with respect to its operation during periods of storms when a large amount of calls are being made into the RMLD. When a feeder outage occurs there could be over one thousand customers affected. The RMLD has the ability to switch its phone system to storm mode and twenty -five phones can be used to answer phone calls. In addition, the RMLD has a messaging system set • up so that a message can be recorded on its telephone system explaining the nature of the outage(s). The messaging option during outages has shown to be an effective tool in getting outage information to the public. When the messaging is in place the volume of calls being answered by the Station Operators or Customer Specialists is more manageable. Customers calling in about an outage want to be assured the RMLD knows abort the outage, and the messaging option has proven to be effective in getting the information to the customers. During an outage situation twenty-five callers have the option of talking to a RMLD employee or listening to a message explaining the nature of the outage, which the RMI-D updates during the outage. If callers chase to listen to the message, only eight callers can listen to the message simultaneously. Overall, the telephone system works well fora large portion of the RMLD's communication purposes. When a feeder operation nr a storm occurs, the RMLD's telephone system is stressed during the initial stages of the incident The more severe the outage is then the more stressed the phone system will be. The present phone system has an annual maintenance cost of approximately $i,IXX). Ile R %ILD could upgrade its present s% stein to olluw nventy -five callers to listen to the niessaging system simultaneously, which would allow more flexibility tor.ustomers that %rant to know the nature of the outage and hang up. In this option, the number of lines coming into the RMLD would not change. Ile cost of this upgrade would be .tpprommately $32,1X10, with the same maintenance fee that pn•sentle exists. the RMI.I) could also havv an answering see ice on retainer that %could hate calls directed h, them %%hen a storm or sonhe ether large exent atects the R%II 1)'s service A17ACHMENT2 territory. Obviously, more phone calls would be answered by a live person in this • altemative; however, this it would also present some logistical problems. The message about the outage would have to be conveyed to the answering service very quickly along with updates, so that the customers are receiving timely and accurate information concerning the outage situation. The answering service would also need the capability to get outage information back to the Station in order that Engineering is able to assimilate and diagnose the outages in a timely manner. This alternative would cost the RMLD approximately $40,000 per year, in addition to the cost of the existing system. The RMLD should commission a study on best practices with respect to communications with customers during outage situations to determine industry standards and the method that presents the greatest value to the RMLD. It should be noted that the RMLD is also exploring more efficient use of its website and social media to provide information to its customers during outage situations. • • . READING MUNICIPAL LIGHT DEPARTMENT To: RMLD Board of Commission. - Date. February 22, 2012 From: Vinnie Cameron r.,;v / 4 Subject: FYI1 Transfers - Pension Trust and Rate Stabilization Fund At the January 25, 2012 RMLD Bard meeting Commissioner O'Neill asked about the transfers made from the Operating Budget to the Pension Trust and the Rate Stabilization Fund. Commissioner O'Neill wanted to knew if these transfers should have gone before the Budget Committee prior to making the transfers. Pension Trust Transfer On May 25, 2011 the Budget Committee made a motion to recommend to the RMLD Board of Commissioners to transfer $1 million from the Operating Fund to the Pension Trust Fund for FYI 1. the minutes of the May 25, 2011 Budget Committee meeting are attached along with a memo suggesting that the transfer be made. At the May 25, 2011 RMLD Board meeting the RMLD Board made a motion to accept the Pension Trust Fund transfer and made a similar motion to transfer the $1 million into the Pension Trust Fund. The minutes of the RMLD Bard meeting are attached. This transfer was made on June 21, 2011. • Rate Stabilization Fund Transfer I sent a memo to the RMLD Board of Commissioners on November 19, 2010 (attached) concerning the Rate Stabilization Fund balance, which was below the $6 million level, which was set according to my performance items, and is attached. In this memo 1 stated that in the third quarter I would examine the financial position of the RMLD to determine whether the RMLD is able to make a transfer from the Operating Fund to the Rate Stabilization Fund, in order to get it above the Sh million level. On August 12, 2011, the Draft FY11 Financials were sent to the Board of Commissioners. In an e-mail (attached) sent to Chairman Hahn, I stated that the Net Income number was a good number (Melans,m I -leath agreed with it.) I explained that we couldn't finalize the balance sheet until Mil (Melanson I loath) blessed our cash balances, which included the Rate Stabilization Fund transfer. The Draft June, 2011 Income Statement, kWh sales, and Budget Variance Report were included in the financial report for the August 31, 2011 RMLD Bard Meeting (attached.) At the 5rptember 28, 2011 RMLD Board meeting (minutes attached) the RMLD Board appmnrd the RMLD', FN I I Audited Financial Statement. At this meeting I pointed out that the RJILD had transferred from the Operating limit to the Rate Stabilization fund, in order that the Rate Stabilization Fund is in the range of Sh million to 'i7 milbnn, according to my performance items. Going forward, a Budget Committee meeting will be scheduled when the draft audited financials statements are being completed (without transfers) in order to discuss Fxrtential year end transfer(s). Attachments - 6 • • `.w Reading Municipal Light Department Board (RMLD) of Commissioners RMLD Board of Commissioners Budget Committee Minutes Wednesday, May 25, 2011 A[ [ ACHMEN7 1 Start Time of Regular Session: 6.35 p.m. End Time of Regular Session: 7:25 p.m. Attendees: Committee Members: Philip Pactno, Committee Chair Richard Hahn, Member Mary Ellen O Neill, Member Staff: Vinnie Cameron, General Manager Jane Parenteau, Energy Services Manager Robert Fournier, Accounting/Business Manager Mr. Hahn in called the meeting to order at 6:35 p.m. Transfer to the Pension Fund Mr. Cameron said that the Committee informational package includes a memo explaining that the RMLD's Pension Trust Fund is being depleted due to the economic climate and rising pension expenses. Mr. Cameron further explained that over the past several years, the RMLD has not transferred sufficient funds into the RMLD's Pension Trust Fund in order to sustain it Mr. Cameron is asking the Budget Committee to accept his recommendation that the RMLD transfer $1 million from the Operating Fund to the Pension Trust for FY11. Discussion followed. Ms. O'Neill made a motion seconded by Mr. Hahn to recommend to the RMLD Board of Commissioners to transfer $1 million from the Operating Fund to the Pension Trust for FY11. Motion carried 2.0:0. Mr. Pacino was not present for the vote. Review of Draft 2 of the FY12 Capital Budget Mr. Cameron said that it was necessary to create a Draft 2 of the FYI Operating Budget because there were three changes to it. Mr. Cameron said that the fuel portion of the budget needed to be increased by $942,818 because the Swift River Hydro energy costs were not included in the original budget. The increase in the fuel costs occurred because the Swift River energy is more expensive than the spot market energy, which it will replace. Mr. Cameron also explained that $300,1100 worth of FPL Capacity costs were not included in the capacity portion of the power supply budget because the expense was not picked up in the formula in budget spreadsheet. The demolition of the Control Center scheduled for FY11 will not occur until FY12 at a cost of $100,000. The bid to perform the asbestos removal portion of the work had to be withdrawn because it did not meet the needs of the RMLD. The work will be re-bid and is scheduled to be performed in FY12. Discussion followed. Mr. Hahn made a motion seconded by Mr. Pacino to recommend to the RMLD Board of Commissioners to accept Draft 2 of the Operating Budget as presented to the Budget Committee with a Net income of $3,936,043. Motion carried 3:0:0. Budget Committee Meeting May 25, 2011 Ms. O'Neill voiced her concerns that the agenda for the RMLD Board meeting did not have sufficient detail related to the Power and Rate Committee and Budget Committee reports. Discussion followed. At 7:25 pm. Mr. Hahn made a motion seconded by Ms. O'Neill to adjourn the meeting. Motion carried I&A ® READING MUNICIPAL LIGHK DEPARTMENT To: RMLD Board of Commissioners �l Date: May 10, 2011 From: Vinnie Cameron I C �RTYM•'�' Subject: 2011 Pension Fund Transfer In 1966, the Reading Municipal Light Department (RMLD) Board of Commissioners created the Town of Reading Municipal Light Department Employee Pension Trust (Trust) for the purpose of funding the RMLD's annual pension expense for retirees. The RMLD has made withdrawals from the Trust to pay for the RMLD's portion of the Town of Reading pension expense, Over the past several years, the RMLD has seen the Trust balance decline due to the economic pressure in 2008, lower interest rates, and contributions to the Trust not equaling the withdrawals. Additionally, the RMLD's pension expense has increased since 2006 by approximately 449/6 due to an increase m the amount of RMLD retirees. The RMLD needs to increase its annual contributions to the Trust and also determine if there is a better investment strategy that could bolster the earning power of the fund. RMLD Policy 22 — Pension Trust Investments includes certain criteria related to the Trust. The intent of Policy 22 is to ensure that the Pension Trust continues to be a resource to fund the RMLD's annual pension expense. Table 1 shows the actual balances and annual activity in the Trust from 2006 through 2010 with 2011 estimated. The balance in the Trust was over $8 million at the beginning of 2003 and has declined since then for reasons mentioned above. Additionally, the number of RMLD retirees has increased and will continue to increase in the coming years, which will increase the pension expense. Table 1 also shows the RMLD's contributions, interest/dividend income earned and the annual withdrawals. The 2010 Actuarial Study for the Trust showed that the RMLD should be contributing between $1.1 million and 51.4 million annually in order to keep the Trust at its present balance. Not following the funding prescribed in the actuarial study will deplete the Trust within three to four years. L-1 E ;#1 =!E ©�! !} \_�\ t } \}\ \ !!!! 3 k \ § ■` i §�; !} \_�\ t } \}\ \ !!!! 3 F] Jeanne Fob From: Vincent Cameron Sent: Friday, May 20, 2011 2;26 PM To: RMLD Board Members Group; carakatsanelaw@comcasl.net; ajcarakatsane@venzon.net; ghooper@townolWimingtonma.com; tony.capobiancol ftmail.com; taollila@verizon.net Cc: Bob Fournier; Jane Parenteau; Joe Donahoe; Kevin Sullivan; Beth Ellen Antonio; Jeanne Fob; Paula O'Leary Subject: Draft 2 FYI Operating Budget - Summary There has been three updates to the FYI Operating Budget, which will warrant a Draft 2. These updates have been added to the Budget Committee meeting agenda for the meeting prior to the Board meeting next Wednesday, May 25. 1. The Fuel Expense and Fuel Revenue will have an additional $942,818. This amount represents the fuel expenses related to the new hydro contracts the RMLD signed in March. The change is reflected in the Fuel Expense total with the line items for ISO -NE Energy and Swift River Hydro. ISO -NE cost went down and Swift River was added for a net increase to fuel of $942,818. Since this is a fuel related expense the increase effects only the Fuel Expense and Revenue and does not effect the Net Income. 2. The demolition of the Control Center is being re- scheduled until FYI and will be in the Building Maintenance Budget. This building needs to be demolished in two phases due to the amount of asbestos in the building. The RMLD had planned the demolition in FYI but were rejected for non responsiveness of the bidders. The RMLD intends to rebid this project in in FYI and estimates that the entire demolition of the building will be $100,000, which will be added to the Building Maintenance Budget and will increase Operating Expense by $100.000. 3. The Budget Summary page (Power Supply) for did not pick up FPL Cap, expenses of $330,000, which increases the capacity cost to $17,630,016. The net effect of these changes is that Net Income has decreased from $4,366,041 to $3.936,043 or $429,998. A copy of these pages and the Facilities Budget pages will be circulated after the RMLD Board Meeting on Wednesday. The CAB accepted the original FYI Operating Budget based on no significant changes. I would like to get feedback forth the CAB as to their feeling about these changes. The FY12 Operating and Capital Budgets are on the agenda for the RMLD Board Meeting on May 25th. 523 '_011 .0 ! ® n ! | §&j. | | �§ajf \„\ \�!_ |. 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Y . f /1ge y S t 7 Y7 JJJJ o o yo Os� fv i ip ,* El J Reading Municipal Light Board of Commissioner, Re¢nlar Session 230 Ash Street Reading, MA 01867 May 25, 2011 start rime of Regular Session: 7:30 p.m. End Time of Regular Session: 9:00 P.M. Attendees' Commissioners: Richard Hahn, Chairman Philip B. Pacino, Vice Chair Gina Snyder, First Secretary Mary Ellen O'Neill, Second Secretary Robert Soli, Commissioner Staff: Vinnie Cameron, General Manager Paula O'Leary, E &O Operational Assistant Kevin Sullivan, E &O Manager Citizens' Advisory Board Arthur Carakatsane, Chairman Robert Fournier, AccountingfOusiness Manager lane Parenleau, Energy Services Manager ATTACHMENT Chairman Hahn called the meeting to order and stated that the meeting of the Reading Municipal Light Department (RMLD) Board of Commissioners is being broadcast live at the RMLD's office at 230 Ash Street, Reading, MA. Live broadcasts are available only in Reading due to technology constraints. This meeting was video taped for distribution to the community television stations in North Reading, Wilmington and Lynnfield. Opening Remarks/Approval of Meeting Agenda Msvm ratt Hahn asked the Board members present if there were suggested changes or additions to the agenda. . OTleill requested that fume agendas specify any anticipated items for action by the Board. The motion itself need not be listed, but if there arc any anticipated motions, the topic of those should be listed under the committees or separately if appropriate. Chairman Hahn asked if it would be where the Board expects to take a vote. Ms. O Neill responded, "yes;' and explained that if someone wanted to come down and speak on a particular topic, he /she would know what was being discussed at the meeting. Chairman Hahn suggested that in the right hand column on the agenda words be added such as "Vote Required ". Discussion followed. Mr. Pacino suggested the words, "Action Item ", and the Board agreed. Introductions There were no members of the public present, and the CAB representative. Chairman Arthur Carakatsane, would be late arriving. Report from Board Committees Budget Committee — Vice Chair Pacino Report of May 9 and May 25 Meetings Mr. Pacino reported that the Budget Committee reviewed the FY 12 Capital and Operating Budgets as presented on May 9. The CAB approved those versions of the budgets. The Committee approved both the Capital and Operating Budgets as presented at that meeting by a vote of 3:0:0. Pacino reported that at this evening's Committee meeting two item., were considered: 1) The Operating Budget had some changes in an addendum that lowered the Net Income from S4.3 million to $3.9 million, approximately a $430,000 decrease due to dmoral costs related to Power Supply, the demolition of the old Control Center, fuel expenses and fuel revenue. Mr. Pacino said that the Budget Commit'" reviewed those changes this evening with the General Manager and staff and approved the changes by a vote of 3:0:0. Mr. Pacino explained that these changes had been presented to members of the CAB and at least four of the members saw no problems with the addendum. and did not feel a meeting was necessary to discuss the changes. 2) Although the Department is Regular Session Meeting Minutes May 25, 2011 Budget Committee — Vice Chair Pacino Report of May 9 and stay 25 Meetings still below making its 8% return, it made more revenue than anticipated. The Committee discussion about the excess include returning it to the customers or putting it in the Pension Reserve, which is severely under funded. If it were to be refunded not customers may have to give it back in the future in the form of a rate increase. It doesn't rule out a rate increase, but it would delay the process. The Budget Committee felt it was prudent to transfer the funds into the Pension Reserve, and recommended that the motion for the transfer be approved. Mr. Soli asked about whether the CAB was meeting on the changes. Mr. Cameron explained that when the CAB recommends the budget, it includes "no significant changes are made without CAB approval." The CAB was notified by e-mail and asked if they considered these changes significant, and they e- mailed back that they did not. Mr. Soli questioned the Open Meeting Law. Mr. Cameron responded that it was informational only and no discussion took place. Mr. Pacino made a motion seconded by Ms. Snyder that the RMLD Board of Commissioners approve the FYI Capital Budget as presented in the amount of $5,910,048 on the recommendation of the RMLD Board Budget Committee, the RMLD Citizens' Advisory Board, and the General Manager. Motion carried 5:0:0. Mr. Soli questioned why the topic /motion was not on the agenda. Chairman Hahn staled that the discussion of the budget was on the agenda, but not Bagged as a vote. Mr. Cameron noted that the a -mails from the CAB would be a part of the meeting. Mr. Pacino made a motion seconded by Ms. Snyder that the RMLD Board of Commissioners approve the FYI Operating Budg based on a Net Income Amount of $3,939,043 on the recommendation of the RMLD Board Budget Committee, the RMLD Citizem Advisory Board, and the General Manager. Mr. Soli moved to table the motion until Mr. Carakatsane arrived to hear his input. Mr. Pacino seconded the motion. Motion carried 4:1:0. (Chairman Hahn voted against this motion.) Ms. O Neill asked if this is the format (the Net Income Amount) that the Board usually approves for the budget. Mr. Cameron stated that it has been used in the past, although last year was done differently, the Board accepted the Operation and Maintenance section of the budget, but the revenues were not accepted, because a Cost of Service Study (COSS) needed to be done. Mr. Pacino noted that he would have liked to see the two (budget) motions on the agenda. Chairman Hahn asked if they could be attached separately, and Mr. Pacino said that was fine. Chairman Hahn's preference was to attach motions separately or the agenda becomes crowded. He said that motions for bids will continue to be put in the agenda itself, and motions that can be reasonably anticipated will be attached. Power & Rate Committee — Chairman Hahn Report of May 16 Meeting Chairman Hahn reported the following: 1) A discussion continued from the Power & Rate Committees April meeting regarding the possibility of a long term contract with an existing resource in New England, and the Committee decided not to recommend any action at this lime. 2) An Annual Request for Proposals (RFP) for Power Supply was discussed. and a motion was made and approved by a vote of 3:0:0 to recommend to the full Board that they approve the REP as presented. 3) New streetlight rates were recommended by the General Stanger. Chairman Hahn pointed out for the most pan the rates are lower than the existing rates for most categories of streetlights, although some old fashioned streetlights cost more. The Committee made a motion to recommend to the full Board that these new rates be accepted by a vote of 2:1:0 kith Mr, Soli coring against this motion. 4) A change to the Commercial C Rate wa9 discussed at the April 20 Committee meeting, but no action was taken, because it had to go to the CAB. The CAB accepted Ih Commercial C Rate at its May 18 meeting, and the Power & Rate Committee cored to recommend the rate change to the full Board by a sole of 3:0:0. Regular Session Meeting Minutes 3 May 25, 2011 Power & Rate Committee— Chairman Hahn Report of May 16 Meeting CAB Chairman, Mr. Carakatsane, arrived at this time during the meeting. 4witairman Hahn told Mr. Camkatsene that there was one ilem regarding the FYI 2 Operating budget that was held until he arrived. Mr. Caraka lime stated that the CAB had met several times on the FYI 2 budgets and recommended approval of both the Capital and Operating budgets. He noted that the CAB was apprised of the changes to the Operating Budget and no one requested that a discussion be re- opened. He added that they also recommended other items, i.e.- rate changes that are before the Board tonight. Ms. Snyder made a motion seconded by Mr. Patina that the RMLD Board of Commissioners approve the Annual Request for Proposal for Power Supply based on the recommendation of the RMLD Board Power & Rate Committee, the RMLD's Citizens' Advisory Board. and the General Manager to authorize the General Manager to execute one or more Power Supply Agreements in accordance with the RMLD's Strategic Power Supply Plan for power supply purchases for a period not to exceed 2012 through 2015 and in amounts not to exceed 22.050 MW in 2012, 16.750 MW in 2013, 17.600 MW in 2014, and 15.925 MW in 2015. Mr. Patin amended the original motion with the following changes: strike the word "and ", between Committee and the RMLD and place a comma there. Add in after the Citizens' Advisory Board, "and the General Manager, and delete the words in the last sentence after 2015. Ms. Snyder accepted the amended motion. Motion carried 5:0:0. Ms. O'Neill mentioned that she still wants the Department to continue to pursue efforts to obtain additional renewable energy power supply resources. Chairman Hahn noted that it is still the objective of the Board to find reasonably priced renewable energy. Ms. Snyder made a motion seconded by Mr. Pacirw that the Reading Municipal Light Department Board of Commissioners approve adoption of the streetlight rate as proposed based on the recommendation of the RMLD Board Power & Rate Committee, the ';�WILD's Citizen's Advisory Board, and the General Manager. Mr. Soli was concemed that sometime in the f mue someone may ask what did they really vote on since no real record of what is being voted on, i.e., the rates, is in the motion. Chairman Hahn stated that his recollection is that the filing of the rates speaks for what was done, and asked the General Manager if the rates have been attached to motions in the past. Mr. Cameron responded that rates have not been attached in the past, but can be. Mr. Soli said that a COSS has generally been on the meeting agenda, and the Board has approved the COSS, which is the record of what the Board voted on. Ms. O'Neill proposed to amend the main motion to read, "Move that the Reading Municipal Light Department Board of Commissioners approve the adoption of the revised streetlight tale &s shown in attachment A based on the recommendation of the Power & Rate Committee, the RMLD's Citizens' Advisory Board, and the General Manager. Mr. Solt handed out a chart, and said that he would say, "Table I attached ". He said the table shows what the committee voted on, but that he had a problem squaring the number with Table 2, the operating budget, and came up with an S84,000 disparity. Chairman Hahn staled that if Mr. Solis intention is to attach this Table, he could not support that. The only thing voted on was the rates for each class of sneedight. He added that tt is not appropriate to attach this Table to the motion, but if Mr. Soli would like to bring the table to the Committee for discussion that would be fine. Mr. Soli wanted to find out about the disparity that appeared to be in the table between budget and expense on the streedights. 40as noted that there are two components, capital and maintenance per lamp. Chairman Hahn .aid that he has the opportunity to bring it to the Committee, and also noted that the table should be reviewed by the staff and the Committee prior to being presented at a hoard meeting. Regular Session Meeting Minutes 4 May 25, 2011 Power & Rate Committee — Chairman Mahn ` Report of May 16 Meeting Ms. ONeill clarified that the attachment is the chart that the Power & Rate Committee received that showed the different type o� streetlights and the proposed rates. Mr. Cameron suggested that the FYI I Streetlight COSS be attached. Chairman Hahn stated that the Power & Rate Committee and the CAB voted to accept the rates that are contained in the FYI I Streetlight COSS, and suggested creating a two - column table to show the lamps that are offered and the rates that will be charged. He stated that the handout is inappropriate, and he would not attach the entire COSS, because it was the rates that were voted. Ms. O44eill asked if there were one chart in the COSS that contained the rates. Chairman Hahn stated that Table 4 lists the existing rate and the proposed rate, and could be attached to the motion. He asked if the motion could refer to Table 4. Ms. O'Neill amended the motion as follows: Move that the Reading Municipal Light Department Board of Commissioners approve the adoption of the revised streetlight rate as shown in Table 4 of the April 14, 2011 memorandum from the General Manger to the Board of Commissioners based on the recommendation of the RMLD Board Power & Rate Committee, the RMLD Citizens' Advisory Board, and the General Manager. Ms. Snyder accepted the amended motion. Motion carried 3:2:0. (Messrs. Pacino and Soli voted against this motion.) Chairman Hahn asked the General Manager to lake Mr. Soli's handout, review it, and respond to Mr. So17s question. Mr. Cameron stated that the response would go to the entire Board. Ms. Snyder made a motion seconded by Mr. Pacino that the Reading Municipal Light Department Board of Commissioners approve the adoption of the Commercial C rate changes based on the recommendation of the RMLD Board Power & Rate Committee, the RMLD's Citizens' Advisory Board, and the General Manager. Mr. Soli had the same comment and concerns as the previous motion with no rates) being listed in the motion. Ms. Snyder moved to amend the motion as follows: Move that the Reading Municipal light Deparmand Board of Commissioners approve the adoption of the Commercial C rate changes based on the attached RMLD Tariff — MDPU #223 dated to be filed June 1, 2011 and on the recommendation of the RMLD Board Power & Rate Committee, the RMLD's Citizens' Advisory Board, and the General Manager. Ms. O'Neill seconded the motion. Motion carried 3:0:2. (Messrs. Pacino and Soli abstained.) Mr. Pacino made a motion seconded by Mr. Soli to bring the (FY 12 Operating Budget) motion (see below) back to the table. Motion carried 5:0:0. Mr. Carakalsane staled that the CAB received the changes to the Operating Budget, and no member requested a meeting to reconsider the budget. He added that if a member were interested in a meeting, one would have been convened. Move that the RMLD Board of Commissioners approve the FY12 Operating Budget based on a Net Income Amount of S3,939,043 on the recommendation of the RMLD Board Budget Committee, the WILD Citizens' Advisory Board, and the General Manager. Motion carried 5:0:0. Approval oL \pril 27, 2011 Board Minutes Ms. Snyder made a motion seconded by Mr. Pacino to approve the Regular Session meeting minutes of .April 27, 2011 with the following changes requested by Mr. Soli: On Page 5, third paragraph from the bottom, after the words "transfer scheme ", change the period to a comma and add "and its design is being improved." .Motion as revised carried 5:0:0. Pension Trust Transfer Mr. Cameron reminded the Board a motion was needed for a transfer to the Pension roast, Regular Session Meeting Minutes 5 May 25, 2011 Pension Trust Transfer Ms. O Neil made a motion seconded by Ms. Snyder to approve the transfer of $1 million from the Operating Fund to the Pension Trust based on the recommendation of the Budget Commiuee and the General Manager. lotion carried 5:0:0. General Manager's Report - Mr, Cameron E- Billing - The e- billing system went live on May I, 2011 for both the residential and commercial customers, and any residential customer who did not fill out an RMLD update sheet and would like to receive an a -bill should contact the RMLD. Investments - The RMLD has a considerable amount of cash in a MMDT fund that has very low interest, and therefore not working well for the Department. Mr. Cameron advised the Board that he will be going out for an RFP for investment services. if a satisfactory investment firm were selected, he would probably recommend that the OPEB fund be invested to try, to earn more interest. He spoke to the Town Manager and met with the Assistant Town Manager, Treasurer, and Mr. Fournier. They interviewed one firm just to see what they do for other municipal entities. He does have an RFP that he can put together and send out. Chairman Hahn questioned if this is something that the Department would make a recommendation to the Budget Committee. Mr. Cameron slated that bids do not go to a committee and the Board. Chairman Hahn stated that the idea of choosing a different investment strategy, not the RFP itself, is something reasonable to put before the Budget Committee. Mr. Cameron said that he had no problem with submitting it to the Budget Committee. Mr. Soli questioned when the Board went through the paperwork for the OPEB, the Board was very careful about the language saying that the Town Treasurer had that responsibility not the Board. He wondered how all of this would affect the language that is currently set up for the OPEB. Mr. Cameron responded that he didn't know how this would affect that language, and added that the town treasurer would be using this �n to invest money. c Pacino asked if the town would have input with the selection of the firm. Mr. Cameron staled that given that the town treasurer is custodian, they would be part of the selection process. Mr. Patin asked if this is going to change the legal ramifications of what they put in that document. Mr. Cameron suggested speaking to Rubin and Rudman. Mr. Patin stated that he would feel comfortable with Rubin and Rudman looking at it. Chairman Hahn slated that one of the reasons he would want it sent to the Budget Committee is because he thinks it is important to understand what the liability question is. He said that is why the change in strategy should be discussed further before an UP is sent out. The Board should have a better undemanding and have some documentation on the pros and cons of doing this and how it affect, the Department. Chairman Hahn will leave it up to the General Manager as to how to best proceed in improving the use of the assets. Mr. Pacino wished to again stress that if any member of the public has any questions or concerns, the General Manger is available anytime in his office. Mr. Pacino added that the public may contact the General Manger directly or the Chairman of the Board or even Mr. Pacino, the senior member of the Board. Financial Report - April, 20 11 - Mr. Fournier (Attachment 1) Mr. Fournier reported on the Financial Report for April 2011. Mr. Fournier reported that the ten -month year to dale Net Income is a little over $2.6 million. The year to date budgeted Net Income is $1.6 million, making the difference $989,000. Mr. Fournier said that the year to dale Fuel Revenues exceeded Fuel Expenses by 8,000. The energy conservation expenses exceeded energy conservation revenues by $129,000. The flaw soil remediation nses Imal $1.2 million for this fiscal year bringing the total cost combining the two fiscal yeah m$2.3 million. Mr. Fournier reported major expenses over budget were the maintenance of line transformers by S634,000, which represents a lot of the Gaw soil remediation expense, and employee benefits by $325.000. The latter number was due to sick leave buy back payments made. Regular Session Meeting Minutes n May 25.2011 Financial Report — April, 2011 — Mr. Fournier (Attachment 1) The Depreciation Expense and Voluntary Payments to the Towns were on budget. Cumulatively, all five divisions were over budget by $541,275. Discussion followed. Power Supply Report — April, 2011 — Ms. Parenteau (Attachment 2) Ms. Parenteau presented the Power Supply Report for April 2011. Ms. Parenteau reported that RMLD's load for April was 53.3 Million kWh, about a half percent increase compared to April 2010. Energy costs were $2.75 million, which is equivalent to $.051 cents per kilowatt hour. RMLD sales totaled approximately 56.3 million kWhs and, as a result, the RMLD overeolimted by $229,000 resulting in a Deferred Fuel Cash Reserve balance of $2.66 million. In April and May, the Fuel Charge Adjustment was set at $.0535 cents per kilowatt hour. Ms. Parenteau reported that the RMLD purchased approximately 27% of its energy requirement from the ISO Spot Market at an average cost of $41.20 per kilowatt hour. The RMLD hit a peak of 92.6 MW at noon on April 28, 2011 as compared to a peak of 95.6 MW, which occurred on April 7, 2010 at 9:00 P.M. The RMLD's monthly capacity requirement was around 213 MW. The RMLD paid $1.62 million for capacity, which is equivalent to $7.59 per kW- month. Ms. Parenteau noted that on Table 3, the Stoneybrook Peaking Plant had an adjustment. Ms. Parenteau reported that transmission costs for April were $620,000. Discussion followed. Engineering and Operations Report — April, 2011- Mr. Sullivan (Attachment 3) Grow Update Mr. Sullivan reported on the Engineering and Operations Report for April 2011. Mr. Sullivan said that the Gaw Project had no changes in the tangible milestones. He added that the running total of the project is $6.846 million, and the soil remedialion expense for this month is $7,600. Mr. Sullivan listed the following projects worked on during the month: Projects 1, 2, 5, 36, 9, and 11. He added that another project was completed this month making a total of 9 completed projects. Mr. Sullivan said that on the smite installations that them were two commercial services in Wilmington, one on Ballardvale Street and one on Main Street. Residential services: there were approximately 25 -30 services for the month. In routine construction there were 31 cutouts replaced making a total of 338 for fiscal year 2011. Mr. Sullivan reported on the Reliability Report: Customer Average Interruption Duration Index (CAIDI) is up nine minutes due to the storm on April l; the System Average Interruption Frequency Index (SAIFI) decreased with 494 April customers affected by outages as compared to March's 1,877. The Months between Interruptions (MBTI) is up from 22 to 23 months. Mr. Sullivan provided an update on the reliability statistics numbers that include the April 1 stone: 124 calls, 24 (14 on 4/1) outage incidents, 494 customers affected, no feeder outages, 20 area outages, and 4 service outages. Fifteen outages were due to trees, others were caused by birds, insulators and failed hardware. Ms. O'Neill stated that although she understands the numbers on reconciling the Gaw Project, the numbers do not include the soil remediation expenses, and to her that is the total project cost and therefore more realistic. Ms. O'Neill asked for an update on the Meter Upgrade Project, and would like one each month. She added that the publicity has been good on the Project. Mr. Sullivan responded that the running total of installed metes is about 4,900, averaging about 1,000 per month. He added that the concentration of installations has presently been in Reading, but does include all four towns, and installation is also being done on Saturdays, Mr. Soli questioned Mr. Sullivan on an invoice from the Massachusetts Department of Environmental Protection (MassDEP) regarding the Gaw Project asking how long these charges would be billed, and Mr. Sullivan responded that there was just this one charge. Regular Session Meeting Minutes 7 May 25, 2011 M.G.L. Chapter 30B Rid 2011 -14 Residential and Commercial Energy Audits Ms. Snyder made a motion seconded by Ms. O'Neill to award bid 2011 -14 for Tier 11 Residential Energy Audits to Energy Egghead, C as the only qualified bidder on the recommendation of the General Manager. �Wmion carried 5:0:0. Mr. Cameron explained the bid was sent to many potential bidders, and only one was received. He then went over the costs. Ms. Snyder asked if the Department is mocking if customers are saving energy after an audit. Ms. Parreneau sated that it has not been done; however, the Department has the ability to do it. Ms. Snyder stated that she would like to see that. Ms. O Neill had some reservations about awarding the contract to the only one that was received, not knowing why no one else bid. Ms. Parenteau had spoken to the Purchasing Manager, who did contact several of the potential bidders as did Mr. Carpenter. It appears to be a staffing issue for some of the organizations, because the RMLD requires that they be cenified; others want to provide more than just an audit. She added that the bid was advertised in the Reading Chronicle. Chairman Hahn noted that the bid was e- mailed to many companies, and thought that a longer term of two or three years might be more attractive to some. He added that there is not a lot of margin in this for a company, and since the contract takes effect on July 1, there is no time for a second bid. Mr. Halm asked if Egghead is the incumbent firm, and Ms. Parenteau replied that Egghead does provide the current audits. Ms. O'Neill asked if there had been a previous bid, and Ms. Parenteau responded that it had been bid last year. Ms. Pammeau added that the Customer Service Manager has received positive feedback from customers regarding the firm. The Department hopes to go out for a longer -term contract next year. Ms. Pammeau reported that through April 144 audits were completed, and three audits using the blower door. Mr. Soli asked if all the mums have to provide this service, and Mr. Cameron responded that it is his understanding that they do, and added that the investor -awned companies must also provide the service. 4."sion followed. General Discussion Mr. Carakaisane suggested making the Meter Project and E- billing more prominent on RMLD's web site. Regarding e- billing, Ms. Snyder stated that she thought she would receive an a -mail after she returned the red card. Mr. Fournier responded that he would look into it. Ms. O'Neill requested an update on the Green Communities Act in Massachusetts. BOARD MATERIAL AVAILABLE BUT NOT DISCUSSED Rate Comparisons, April, 2011 E -Mail responses to Account Payable /Payroll Questions Upcoming Meetings RMLD Board Meetings Wednesday,.lune 22, 2011 Executive Session Not held. Adjournment At 9:00 p.m. Mr. Soli made a motion seconded by Mr. Pacino to adjourn the Regular Session. Motion carried 4:1:0. (Ms. OTkill voted against this motion.) ® A tme copy of the RMLD Board of Commissioners minutes as approved by a majority of the Commission. Gina Snyder. Secretary RMLD Board of Commissioners ATTACHMENT READING MUNICIPAL LIGHT DEPARTMENT To: RMLD Board of Commissioners Date: November 19, 2010 From: Vinnie Cameron Subject: FY11 -Rate Stabilization Fund and 8% Return on Plant Balances Net Income According to the Reading Municipal Light Department's (RMLD) financial statements the Net Income for FY10 was $2.78 million, which equates to approximately one -half of the RMLD's allowable 8% return. The FY10 Net Income level is higher than the $147,687 Net Income for FY09 due to strong (weather related) sales in the last quarter of FY10 and the decision to decrease the depredation rate to 2 %; which decreases the FY10 Operating Expense by about $1 million. (The FY11 RMLD Operating Budget anticipates the depredation rate to be 3 %, which is the normal level.) Transfers The RMLD did not recommend any transfers for FY10 because the Construction Fund had a $4.8 million balance at the end of FY10, which is adequate to start FY11. The Operating Fund was at $8.1 million at the end of FY10. Rate Stabilization Fund Balance The RMLD's Rate Stabilization Fund (RSF) had a balance of $5.4 million at the end of FY10. The balance of the RSF should be in the range of $6 to $7 million with a target of $6.5 million. This range was put into place by the RMLD Board of Commissioners in 2003. In the third quarter of FY11, I will examine the financial position of the RMLD to determine whether the RMLD is able to make a transfer from the Operating Fund to the RSF, in order to get the level above the $6 million level. 8 %6 Return on Plant The R.MLD does not foresee the need to make its allowable 8 "% return on Net Plant over the next few vears. As stated earlier, the RMLD started out FYI with a balance of $4.8 million in the Construction Fund. The Depreciation Expense should add another $3.5 million during FYIL Presently, the RMLD's Capital Budget of 55.6 million; includes the remainder of the Gaw Sub Station project of about $875,000 and a meter upgrade project of about $766,000, with the remainder of the Capital Budget at $4 million. , Presently, it is my goal, to keep the Capital Budget in the $4 million range not including special projects. With the annual Depreciation Expense approaching $4 million and keeping the Capital Budget at $4 million, the RMLD does not have to collect its entire allowable 8% return in order to meet annual capital expenditures and Return to the Town of Reading. In the future, if a large construction project is undertaken by the RMLD, I would have the option of borrowing money to meet the cost of the project or recommend a rate increase to meet the 8% allowable return, which would result in more money available for construction. N Jeanne FoU From: Vincent Cameron Sent: Thursday, August 25, 2011 12:14 PM To: Richard Hahn Cc: Bob Fournier; Jeanne Fall Page I of I ATTACHMENT Subject: RE: August Board Agenda I talked to Mary Ellen this morning and told her that the P&L that was e- mailed 8/12/11 and will be in the Board books ($2.8 mil in Net Income) is a good number. I also told her that the balance sheet cannot be finalized until MH blesses our cash balances. She was all right with this. I also told here that any questions that can be sent prior to the meeting would be appreciated. From: Richard Hahn [mailto:rhahn@Wcapra.com] Sent: Thursday, August 25, 20117:58 AM To: Vincent Cameron; Mary Ellen O'Neill Cc: Bob Fournier; Jeanne Fob Subject: RE: August Board Agenda I don't know what specific issues MaryEllen has, but will try and call her tonight. What is the status of year -end financials, and when do we expect that they will be finalized? From: Vincent Cameron [mailW:vcameron @RMLD.com] Sent: Thursday, August 25, 20117:33 AM To: Mary Ellen O'Neill Cc: Richard Hahn; Bob Fournier; Jeanne Fad Subject: RE: August Board Agenda Is there anything specific that you want myself or staff to address in the separate discussion on the financials? From: MaryEllen O'Neill [mailto :maryellenoneill @hotmail.com] Sent: Monday, August 22, 20118:57 AM To: Richard Hahn CC: Vincent Cameron Subject: August Board Agenda I'd like to request that the June 30 draft financials be included as a separate discussion item on our August agenda, if that is not already planned. Thanks. H 2, 22,2012 Page I of I Joanna FOG From: Bob Fournier Sent: Friday, August 12, 2011 10:38 AM To: Richard Hahn; Richard Hahn; Phil Pacino; Gina Snyder; Bob Soli; Mary Ellen O'Neill Cc: Vincent Cameron; Jeanne Foti Subject: FY 11 Draft Report Hello to all, Attached are some draft figures for fiscal year ending June 30, 2011. The report includes pages 3A, 5 and 8 as well as the budget variance report. I also left a hard copy in your mail box. Enjoy the weekend! Bob From: adman @nnld.com [malito:admin @rmld.com] Sent: Friday, August 12, 20115:52 AM To: Bob Fournier Subject: Message from 60SW -1 2"22,2012 E I* OPCPATING SES: IBCR G PAW 9ORC —M poA BASE TOM OF REAPING. .NA99KRVSiT[8 M1li1GT °AL MI °2°Aal`QM DRAFT 27,711.576.00 BUSINESS -TT99 PROPRI9TART PJtID CONT JBMJW S M A OP CONST -1.666 STASPJ6NT 9 MVeNlli9, CXPENSIS AMI CHANGES IN N!ID NET A99BTS MTUM M IWEST191RT TO ARADTNO 39,512,6".00 6/30/11 (318,370.771 0.02\ IMRAReT TNCOM OPRMTZNG 2croAL 80009T 8,656,586.00 { 12,0 04.69) YEAR TO MIC YEAR TO M22 V11RIA9CE• cXABG9 OPBRATIIIG ATVWULB: 19CB P P11121 3,095,161.00 952,631.17 47.299 30.76\ BASE Rv6NPi 65.869.023.88 60,663,556.00 5,605,611.89 13.36\ TI6 EAvplt)t 60,971,068.75 60,112,666.00 866,386.75 2.1!\ pUPCHA6® ➢0x606 CAPMM 1,053,106.66 5,344 3.00 90 61 - 90,26 MAHE= D"COUNT8 1,012,296.31 D 6 16.J\ A Mrax C(M9CRVwTIOi RP/Di1R 500,567.71 533,228.00 132,660.291 -6.131 Gm 86596911E 607,175.66 300,000.00 307,175.66 102.39\ PABNY c.TT 1"5,705 R11 1600 000.001 1125.705.9E 20.95\ TOTAL ..21ATMG RR9ENOE6 69.295,501.12 87,026,609.00 2,210,692.12 2.61\ OPCPATING SES: IBCR G PAW 9ORC —M poA BASE 27,300,316.76 27,711.576.00 1611,257.261 CONT JBMJW S M A OP CONST -1.666 700,000.00 PURC9A9® ➢p19R 6103E 39,522,230.25 MTUM M IWEST191RT TO ARADTNO 39,512,6".00 9,566.25 (318,370.771 0.02\ IMRAReT TNCOM OPRMTZNG 9,290,513.09 1346,235.571 8,656,586.00 633,927.09 12,0 04.69) 7.326 9,995.31 NAINTQIANC[ 8,067,792.77 176,750.30 3,095,161.00 952,631.17 47.299 30.76\ 11 568.111.861 DEPRECIATION 3,652,788.53 62.166 3,500,000.00 167,231.651 2,261,626.00 -1.356 23.086 WLUNTART ➢A�9 TO TOIMB 1,330,070.00 98,039,716.12 1,320,000.00 10,070.00 NET ASSETS AT 61m OP duNE 0.766 90.301.360.12 TOTAL OPR6111T261G REPQ78R8 66,963,671.62 83,795,985.00 1,167,696.62 1.376 OEZMTIM MCOM 6,351,828.70 3,228,626.00 1,123,205.70 36.79\ NONOP9MSI9G 69pDN199 IL'B@IBB91 CONT JBMJW S M A OP CONST 696,768.89 700,000.00 (3,251.111 -0.661 MTUM M IWEST191RT TO ARADTNO 12,50,370.77) 12,225,000.001 (318,370.771 16.316 IMRAReT TNCOM 103,766,0 650,000.00 1346,235.571 -76.9" INTEMBT 2E 9i 12,0 04.69) (12,000.001 9,995.31 - 93.29\ OTNEM (MSS AND MORE) 176,750.30 120.000.00 56,750.30 47.299 TOTA NOSIOPEMTIN A 19%9) 11 568.111.861 (967.000.00) (601 111.961 62.166 CHANGE iN NET ASSETS 2,783,717.86 2,261,626.00 522,093.86 23.086 "T ASSETS wT 9RGINNING OP YEM 90,91919".61 98,039,716.12 2,790,168.69 3.16\ NET ASSETS AT 61m OP duNE 93.603.592.67 90.301.360.12 3.302.262.34 3.666 • 1 I - ACTUAL '' N M SMUT wE7 OF C M LIO, DCPA ,BST, DRAFT NUN3CIPAL LTOST DEPAATHBNT ,ALLB W /30/11 S xgl,b 6 /JO /11 SALES 01 eiCTRICZTY: HR:ftl EARS EGR KMStl COPMIT YL.R LAST As SO ➢ASE CURRENT Y¢AR TO ➢AY{ x i CNARI.Z msm—T 9AL66 20,229,374 20,315,920 266,312,661 260,162,737 5.62% CO M, Ax0 INDUSTRIAL BALL, 36,210,666 36,606,223 606,009,796 416,695,791 2.599 PRIPATD ,TRA62 LIOW£RO 70,916 72,739 652,109 965,695 1.57% TOTAL 9RIVATA CONSCT¢R, 56 510 960 54 196 782 653.17E SB< 677.524,023 3.13% MONICIPAL 9ALeb' 9TREIT LSOMTL96 236,953 230,052 2.552.096 2,966,675 01519 MUNICIPAL EUI DINO9 960,191 791,609 91960,718 9,929.182 0.90% TOTAL WJ CI9AL cws6 M 999 0]6 10]0 661 12.694.81[ 1Y. 795 857 0.91% 9A199 FOR mss 566,655 1,111,696 3,619,995 1,296,196 12.15% SCHOOL 1,260,662 1,256,056 14,103,666 16,609,597 -0.66% 1ryfAi RIWIPST HOUR, SOLO 59.615.311 58.591,02, 666.390.8]9_ 709.213.661 3.63% • 0 %, L /NN DP PTA ING, McxvA3 LxG DRAFT xxvT x/6 bY To N 6/3011 "SMIMTIAL ROM b ING LYXIIIO NO.bl3DING YSLHI3CIDM lfMltl COW 6 Dm 58,13\ 1.19\ 0.67 8.911 62.16% "SIDBNTTAL 20,315,820 61030,986 3,308,199 6,273.965 6,102,890 C011 B IND 31,806,223 3,385,727 270,260 5,107,651 25,162,571 Pw BT LIGHTS 721139 11,011 1,360 21,100 35,990 PU9 ST LIGMTB 239,052 90,636 32,137 39,880 86,299 SI1NI =08 701,109 111,132 132,133 175,132 312,112 MI-3 /mMs 1,111,696 11111,696 0 0 0 SCHOOL 1,256,096 119,110 283,113 167,680 353,115 AM TO DAM TOTAL SB.591 .025 11.211.106 1.021 110 10.005.288 33.233.101 ILA3 TO DATL "SlIN, iTLAL 35.91, 11.25% 3.13% 6.30% 11.31% 9E9IDB1P M 260,162,737 91,152,319 36,936.826 60,316,137 81,657,155 C001 0 INC, 116,695,791 50,979,111 3,319,656 63,219,153 290,917,611 PVT ST LIGHTS 865,695 168,210 16,320 253.069 127,076 PUP ST LIGMTB 2,066,675 965,232 389,396 111,011 1,035,000 HONI =G6 9,929,182 2,659,252 1,711,101 11993,050 3,562,380 SALBS /M.- 1,281,191 1,281,191 0 0 0 SCHOOL 11,609,587 51179,566 3,119,600 1,921,520 1,385,901 TOTAL 109.211661 165.63.961 15.526.182 128.181.101 389.815.131 AST TG9 TO DAM A68xBMTM 266,312,681 76,962,011 35,091,633 56,182,959 11,116,265 0011 B IND 106,009,791 15,569,109 3,239,015 63,231,011 269,950,563 PVT ST LIGHTS 852,109 167,216 16,320 251,360 117,233 PUB ST LIGHTS 2,852,096 919,067 393,126 116,295 1,033,308 MMx =08 9,910,710 2,626,968 1,667,323 1,860,016 3,670,381 99111 /R18Aii 9,119,995 3,819,995 0 0 0 BCNOOL 11,703,146 5,318,733 3,017,113 1,913,160 1,621,110 TOTN, 681.]90.839 139.11].132 1].111.990 121522.811 ]16.919,810 NILOIgTT IOUA9 BOLD TO TOTAL TOTAL 3BADIMO LSNNPIp,O MO.R.ADI11G M2Il0R }pl NORTH 31SIDBM M 31.67 10.20% 5.659 7.299 11.67 CQ 6 END 59.119 5.784 0.664 9.23% 13.918 PVT SR LIM. 0.12% 0.02% 0.00% 0.019 0.06% PUB ST LIM$ 0.11% 0.116 0.066 0.07% 0.119 HUNS =GB 1.35% 0.29% 0.23% 0,309 0.53% 9ALBB /39BAL9 1.90% 1.90% 0.009 0.009 0.00% SON OOL 2.11% 0.11% 0.18% 0.29% 0.60% TOTAL SOO.OD% 19 .19% 6.88% 11.22% 56. 11% YEAR TO OATS "SMIMTIAL 36.68% 11.60% 3.211 8.50% 11.691 COW 6 Dm 58,13\ 1.19\ 0.67 8.911 62.16% PVT SR LIGHTS 0.12% 0.02% 0.00% 0.06\ 0.06% PUB ST LIGHTS 0161% 0.16% 0.05% 0.07% 0.13% HUNI 61D00 1160% 0.37% 0.26% 0.28% 0.51% SALB9 /9B8ALB 0.60% 0.60% 0.00% 0.00% 0.00% SCHOOL 2.01% 0.13% 0.666 0.27 0.62% TOTAL 100.00\ 20.5]% 6.61% 1X.07 56.99% AM TO DAM "SlIN, iTLAL 35.91, 11.25% 3.13% 6.30% 11.31% CMI I I m 59.32% 7.27 0.68\ 9.26% 62.36% PVT ST LIM$ 0.12% 0.02% 0.00% 0.06% 0.06% P/B 8T LIGHTS 0.62% 0.17 0.064 0.07% 0.15\ NM BLOGB 1.664 0.38% 0126% 0.27% 0.55% °•..e /VS9ALt 0.56% 0.56% 0.00% 0.00% 0.00% SCHOOi. 2.15% 0.18% 0.641 0,26% 0.659 %ORAL iD0.00\ 20.37% 6.33% 16.201 55 AB% BUSINESS DIVISION: ACCOUNTING 728,412 768,852 (40,440) -5.26% CUSTOMR SERVICE 460,004 652,549 DRAFT - 30.57% HIS FOR PERIOD NDING J 30.12011 584,983 (20,564) -3.524 DIVISIONS AND DEPARTMMS ACTUAL BODGET VARIANCE CXANR 1,095,617 N _SN[9R• Nn D ATION4 199,902 202,420 (2,519) -1.24% 9.116.191 E60 NOR ENGIMERIM 474,229 457,828 16,401 3.58% DIVISION TOTALS LIM 2,400,522 11969,601 410,921 20.65% MTER READING 72,072 64,35E 7,714 11.99% (411,257) NETER TECHNICIANS 310,116 483,021 (172,905) - 35.801 STATION OP 555,868 511,643 44,225 8.641 STATION TECHS 1,626,260 885,279 740,901 83.7D% DIVISION TOTAL 5,638.966 81,489,055 22.74% 1.456.094 41594,149 1,044,819 EMRGY SRAVICR9 DIVIRi DN z=u 1.130.883 -6.43% 1,235.006 (104,123) GENERAT. p GEMRAI, NANAGEA 494,156 365,328 128,828 35.26% HUMAN RESOURCES 126,322 204,964 (78,642) - 38.37% CQS4UNIT7 RELATIONS 144,405 175,712 (31,307) - 17.82% CAB 4,599 15,000 (10,401) - 69.34% BOARD 3,664 7,500 (3,836) - 51.14% DIVISION TOTAL 773.146 768.504 4,642 0.60% . FACILITY MN R' GENERAL BENEFITS 3,037,176 2,053,915 983,261 47.87% BUILDING MAINTENANCE 635,989 696,532 (60,543) -8.69% MATERIALS NANAGEMENT 334,149 348,615 (14,466) -4.150 DIVISION TOTAL 4,007,315 3.099.063 908.252 29.31% BUSINESS DIVISION: ACCOUNTING 728,412 768,852 (40,440) -5.26% CUSTOMR SERVICE 460,004 652,549 (202,545) - 30.57% HIS 564,420 584,983 (20,564) -3.524 NISCELLAMOUS DEDUCTIONS 7,363,361 1,095,617 267,744 3.77% DIVISION TOTAL 9.116.191 9.112.001 4,293 0.05% DIVISION TOTALS 20,666,508 18,808,723 1,857,785 9.88% PURCHASED POWER - BASE 27,300,311 27,711.574 (411,257) -1.48% PURCHASED POWER - FUEL 39,522,230 39,512.664 • 9,566 0.02% TOTAL 81,489,055 86.0321961 1.456.094 1.69% Reading Municipal Light Board of Commissioners Sts Vinnie Cameron, General Manager Jeanne Fort, Executive Assistant Jane Parenteau, Energy Services Manager Citizens' Advisory Board Tony Capoblanco, Member Beth Ellen Antonio, human Resources Manager Robert Fournier. AccountinWBusiness Manager Kevin Sullivan, E &O Manager ATTACHMENTS Chairman Hahn called the meeting to order and stated that the meeting of the Reading Municipal Light Department (RMLD) Board of Commissioners is being broadcast live at the RMLD's office at 230 Ash Street, Reading, MA. Live broadcasts are available only in Reading due to technology constraints. This meeting was video taped for distribution to the community television stations in Noah Reading, Wilmington and Lynnfreld. Opening Remarks/Approvel of Meeting Agenda haianan Hahn reported that Commissioner Snyder will not be present at the meeting this evening, Commissioner O'Neill i1 be the Secretary and Commissioner Pacino is en route. Introductions There were no members of the public present, and the CAB representative, Tony Capobia rco had no report for the Board Approval of July 27, 2011 Board Minutes Ms. O'Neill made a motion seconded by Mr. Soli to approve the Regular Session meeting minutes of July 27, 2011 with the change presented by Mr. Soli, on page three, to add "revenue per kilowatt hour" to the last sentence in the next to last paragraph. Motion carried 3:0:0. General Manager's Report— Mr. Cameron Hurricane Irene Mr. Cameron stated that the storm hit this weekend and he wanted to thank all the RMLD employees who worked diligently to reverse the eRects of Hurricane Irene. There was quite a bit of damage in the service territory, Reading, Noah Reading, Wilmington and Lynnfield. Mr. Cameron reported that on Sunday, August 28 at 7:00 a.m. the crews had their first call and power was restated to all customers by Monday, August 29 at 11:00 p.m. The employees were out working on system issues during the storm. Mr. Cameron wanted to thank RMLD's customers who lost power for their patience during the storm. Chairman Hahn echoed Mr. Cameron's comments because at least one utility, as noted on the 6:00 p.m. news, reported that 88,000 customers have been out for one to two days which is tough. Chairman Hahn thanked the staff at the RMLD for all their etfons during the atoms. RMLD Employee LeeAnn Fratonl Mr. Cameron aid that RMLD employee LmAnn Fratonl who worked as an Accounting .Assistant in the Accounting Department at the RMLD passed away a few weeks ago. She had worked at the RMLD for ten years and was a loyal, rcated employee whose passing greatly affected the RMLD staff. She was a well liked employee who will be missed. Regular Session 230 Ash Street Reading, MA 01867 August 31, 2011 Start Time of Regular Session: 7:35 p.m. End Time of Regular Session: 8:59 p.m. Attendees. Commissioner; Richard Hahn, Chairman Philip B. Pacino, Vice Chair Mary Ellen O'Neill, Secretary Robert Soli, Commissioner Absent: Gina Snyder, Commissioner Sts Vinnie Cameron, General Manager Jeanne Fort, Executive Assistant Jane Parenteau, Energy Services Manager Citizens' Advisory Board Tony Capoblanco, Member Beth Ellen Antonio, human Resources Manager Robert Fournier. AccountinWBusiness Manager Kevin Sullivan, E &O Manager ATTACHMENTS Chairman Hahn called the meeting to order and stated that the meeting of the Reading Municipal Light Department (RMLD) Board of Commissioners is being broadcast live at the RMLD's office at 230 Ash Street, Reading, MA. Live broadcasts are available only in Reading due to technology constraints. This meeting was video taped for distribution to the community television stations in Noah Reading, Wilmington and Lynnfreld. Opening Remarks/Approvel of Meeting Agenda haianan Hahn reported that Commissioner Snyder will not be present at the meeting this evening, Commissioner O'Neill i1 be the Secretary and Commissioner Pacino is en route. Introductions There were no members of the public present, and the CAB representative, Tony Capobia rco had no report for the Board Approval of July 27, 2011 Board Minutes Ms. O'Neill made a motion seconded by Mr. Soli to approve the Regular Session meeting minutes of July 27, 2011 with the change presented by Mr. Soli, on page three, to add "revenue per kilowatt hour" to the last sentence in the next to last paragraph. Motion carried 3:0:0. General Manager's Report— Mr. Cameron Hurricane Irene Mr. Cameron stated that the storm hit this weekend and he wanted to thank all the RMLD employees who worked diligently to reverse the eRects of Hurricane Irene. There was quite a bit of damage in the service territory, Reading, Noah Reading, Wilmington and Lynnfield. Mr. Cameron reported that on Sunday, August 28 at 7:00 a.m. the crews had their first call and power was restated to all customers by Monday, August 29 at 11:00 p.m. The employees were out working on system issues during the storm. Mr. Cameron wanted to thank RMLD's customers who lost power for their patience during the storm. Chairman Hahn echoed Mr. Cameron's comments because at least one utility, as noted on the 6:00 p.m. news, reported that 88,000 customers have been out for one to two days which is tough. Chairman Hahn thanked the staff at the RMLD for all their etfons during the atoms. RMLD Employee LeeAnn Fratonl Mr. Cameron aid that RMLD employee LmAnn Fratonl who worked as an Accounting .Assistant in the Accounting Department at the RMLD passed away a few weeks ago. She had worked at the RMLD for ten years and was a loyal, rcated employee whose passing greatly affected the RMLD staff. She was a well liked employee who will be missed. Regular Session Meeting Minutes 2 August 31, 2011 General Manager's Report — Mr. Cameron Northeast Public Power Association (NEPPA) Conference Mr. Cameron reported that the NEPPA Conference in Maine was well attended with very good subjects discussed such as renewables and federal legislation issues. Mr. Cameron said that Mark Spitzer, FERC Commissioner, spoke about what is going on in Washington with respect to energy regulation. Chairman Hahn pointed out that Commissioner Pacino had previously mentioned the review by the Accounting Board about a possible switch to the International Standards which may be imposed on utilities. Chairman Hahn said that there was a video distributed by the Chief Accountant at FERC who is opposing this because it would burden utilities with tremendous coat to convert their systems. Chairman Hahn commented that Mr. Patin asked Mark Spitzer, who did not plan to talk about this, a question about this issue. Chairman Hahn stated that Mr. Spitzer was favorable towards Mr. Pecino's position on this issue. Chairman Hahn mentioned that Mr. Spitzer's remarks arc refreshing. Mr. Cameron added that NEPPA's Long Time Distinguished Service Award was presented to Commissioner Pacino. The award is reserved for commissioners who have served a long time on a municipal light board. Mr. Soli reported on the following that wait covered at the NEPPA Conference: NEPPA's lobbyist in Washington, DC and the FERC Commissioner pointed out that Congress is the most dysfunctional they have ever seen and with that the greening of the energy field has virtually disappeared from the national scene. Coal is in favor. There are two new potential nuclear power plants underway; however, it is unlikely that there will be more due to the recent events in Japan and the uneconomical cost of building. Renewabies arc going to be hard to achieve except for solar on rooftops which has a huge potential. It was stated that the 25 year prediction for the decay of the utility infrastructure was related to the nation's low rate of underground wires. New York City's power is largely underground and, m a result, had very few power outages compared to other states during the recent hurricane. Underground sounds like a good thing. It was pointed out that the ISO structure is not really successful and is not achieving the ends the FERC wanted, however, there is no other structure to replace it. Groton Electric Light Department presented its Smart Grid program which includes a staff of ten with five thousand residential customers. The smart meters afford them power outage indications, performing trouble - reporting, transformer sizing for the peaks, daily meter reading and peak delay. This has resulted in only one blown transformer for their July peak. Mr. Pacino entered the meeting at this point. Reading Fall Fair Mr. Cameron reported that the Town of Reading Fail Fair will be on September 1 I downtown. There will be a moment of silence in memory for the victims of 9/11. RMLD Historic Calcuttan Mr. Cameron said that the RMLD historic calendars are being worked on. Mr. Pacino showed the NEPPA's Long Time Distinguished Award he received at the NEPPA Conference; he said that he was honored and thanked the Board and the voters in Reading for their support. Ms. O'Neill thanked Mr. Soli for his report on the NEPPA Conference. Chairman Hahn asked if the slide presentations shown at the NEPPA Conference are available. Mr. Cameron responded that he will check with NEPPA and ensure the presentations are on their website. Preliminary Draft Financial Report — June, 2011 — Mr. Fournier (Attachment 1) Mr. Fournier reported that the auditors from Melanson & Heath were at the RMLD the week of August S. The draft numbers have not changed to date nor does he expect them to change. Mr. Fournier Mated that Change in Net Assets or Net Income was $2,783,000 which represents 6.44% of RMLD's allowable X% mount Kilowatt hour sales increased 25 million from last year or 163% at 709 million kilowatt hours. The Budget Variance report by divisions was over budget by SI.S million or 10% which is attributable to the increase in the pension contribution amount; 5100,000 was budgeted and S million was transferred into this fund in June per Board vote. Regular Session Meeting Minutes August 31,'_011 Preliminary Draft Financial Report —June, 2011 — Mr. Fournier (Attachment 1) Mr. Fournier reported that the soil remediation expense $600,000 was budgeted and the actual cost for FYI I was $1.4 0illum. Melanson & Heath will make their formal presentation to the Audit Committee and to the Board in September. Mr. Fournier addressed questions submitted by Commissioner O'Neill: The budgeted amount for line labor expense (account 581 -1) was $377.306. The actual expense for FYI l was $524,774 resulting in the line labor expenses being over budget by $147,468. These labor costs represent weather related dead time, training, vacations, and sick time. Overhead labor is over budget due to the capital labor offset. Station Tech Budget is over budget by $740,000 because of the Gaw Substation soil remediation project, which wait budgeted to be $600,000 but came in at $1.4 million. General Manager's budget is over budget by $128,000 due to the MMWEC arbitration. General Benefits pension contribution was budgeted to be $100,000 but an additional $1 million was transferred in June. The capital work overhead distribution credit came in at $200,000 less than budgeted. Mr. Fournier reported that the most cast of the Gaw soil remediation project which began in September 2009 is a little less than $2.5 million. Mr. Fournier said that the rate surcharge instituted in FYI 1 for these costs has recovered $607,000 to date. The energy conservation charge started in October 2008 has collected $1.475 million to date. The RMLD has spent $1.3 million on energy conservation programs, which leaves a balance of $171,000 at the beginning of FY 12. Chairman Hahn asked if the RMLD Board Audit Committee needs to meet with the Town of Reading Audit Committee in September. Mr. Pacino responded that the RMLD Board Audit Committee will meet with the Town of Reading Audit Committee at 6:10 p.m. prior to the September Board meeting. Ms. O'Neill asked about the Purchase Power Capacity, how it is used and how the Board is kept informed of this. Mr. Cameron explained why the Purchased Power Adjustment Charge (PPAC) was calculated and went through how it adjusts for fluctuations in the Base Capacity costs. Mr. Cameron said that the PPAC is beneficial in that it keeps the RMLD from filing rate increases when there is an increase in the Base Capacity Costs. Fournier said that he would have the draft July statement with the revenues to the Board tomorrow. ower Supply Report —July, 2011— Ms. Parenteau (Attachment 2) Ms. Parenteau reported on the Power Supply Report for July 2011. Ms. Pareoteau reported that RMLD's load for July was 75.1 million kilowatt hours, about a 3.7% decrease compared to July 2010. Energy costs were 54.1 million, which is equivalent to 5.0550 per kilowatt hour. The July Fuel Charge was set at 5.0600/kWh. RMLD sales totaled approximately 67.5 million kilowatt hours and, as a result, the RMLD undercollected by $160,000 resulting in a preliminary Deferred Fuel Cash Reserve balance of $2.9 million, which takes into account the June seems[ based on end of year financials. In August, the Fuel Charge Adjustment was decreased by one half mill to $.0550 per kilowatt hour and in September will be decreased 5.05 per kilowatt hour. Ms. Parenteau reported that the RMLD purchased approximately 16.71,16 of its energy requirement from the ISO Spot Market at an average cost of $.049 /kWh. The RMLD hit a peak of 170.4 megawatts at 2:00 p.m. on July 22, 2011 with a temperature of 101 degrees as compared to a demand of 168 megawatts, which occurred on July 6, 2010 at 4:00 p.m. with a temperature 96 degrees. The RMLD's all time peak was 172.5 megawatts on August 2, 2006. The RMLD's monthly capacity requirement was 199.8 megawatts. The RMLD paid $1.39 million for capacity, which is equivalent to S7 per kilowatt-month. Ms. Parenteau reported that transmission costs for July were $855,000 a 15.4% increase from June 2011 Discussion followed. Engineering and Operations Report — July, 2011 - Mr. Sullivan (Attachment 3) Gaw Update Mc Sullivan reported on the Engineering and Operations Report for July 2011. Sullivan said that the Gaw Substation - fmmfonner Upgrade project is complete. Mr. Sullivan stated that in October he will provide the Board with an update once the project is dosed out and all billings have been received. Total soil remediation costs are at $2.4A million. Regular Session Meeting Minutes August 31, 2011 Engineering and Operations Report —July, 2011 - Mr. Sullivan (Attachment 3) Geer Update Mr. Sullivan stated that for the meter upgrade project as of August 12, meters installed are 8,000. Mr. Sullivan said that the variance report for fiscal year 2012, Project 2 — High Capacity Tie 4W 18 and 3 W 8 Franklin Street — is being worked on and the crews have been working on routine construction. There were two new commercial services installed and 22 -25 new residential services. A total of 21 new cutouts were installed. Mr. Sullivan reported on the Reliability Report that the CAIDI number is down 11 minutes between June and July. The CAIDI rolling average is about the same at 49 minutes for the yew. The average July CAIDI is 65 minutes. The RMLD is at 51 minutes, which is the lowest July CAIDI the RMLD has had in six years. The System Average Interruption Frequency Index (SAIFI) is up from .78 to .91 incidents due to 300 more customers that were affected from the previous month for a total of 2,232 customers. The average July SAIFI is 1.05 incidents. The Months between Interruptions (MBTI) increased 26 to 27 months. Mr. Sullivan reported that on July 21 to July 23 there were heat events and total faulted transformers for the month were nine and in August there were two. Ms. O'Neill stated that she had she lost her power for three hours on August 2 during a violent storm late that afternoon. Ms. O'Neill asked if, after such an event, does the staff look at how it played out, could things have been done differently, what worked, what did mt. Mr. Sullivan responded that there was a team meeting the morning after the outage where those issues were covered. Mr. Sullivan said that it was like a perfect storm because at 3:00 p.m. there was nothing on the radar to indicate violent weather so there was no one on standby. Mr. Sullivan explained that every day we consistently listen to the weather report. If there is any mdw that indicates the need, storms crews will be held while being cognizant of fiscal responsibility. At 6;02 pan. when the storm occurred there were 2 feeder outages, 5 area outages, 2 separate circuits out with 2,443 customers being affected. Crews were called in, and them were trees down. It was not a tree that caused the breaker to open, but a lightning strike on the circuit with concurrent damage on that circuit in Reading. Discussion followed. M.G.L. Chapter 30B Bid — Material (Attachment 4) 2012 -01 Tree Trimming Mr. Sullivan reported that this bid for nee trimming services was sent out to eight bidders with three responding. Mr. Sullivan added this is a three yew bid; 1455,619 has been budgeted in fiscal yew 2012. Chairman Hahn stated that the total amount of the bid is an estimate, but not a guarantee based on RMLD's need. Mr. Sullivan concurred but noted that the amount is based on history. Discussion followed. Ms. O'Neill made a motion seconded by Mr. Soli that bid 2012 -01 for Tree Trimming Services he awarded to Asplundh Tree Expert Co. for S 1,216,145.88 as the lowest qualified bidder based on the recommendation of the General Manages. Motion carried 4:0:0. General Discussion Chairman Hahn said that the General Manager (GM) Committee needs to conduct the annual performance review of the General Manager. Chairman Hahn asked that each commissioner fill out the GM evaluation form and return the completed form to him by September 9. He will collate the information in preparation for the GM Committee meeting on September 13. Chairman Hahn stated that if the Executive Session minutes are the only item for Executive Session and that there are no changes to them, then the Board can approve such minutes in Regular Session. 'fhe Executive Session will continue to be posted in the event there are changes to the minutes. Chairman Hahn noted that this approach was recommended to him by Town Hall. The Board agreed to adopt this approach. sllr1 L Chairman O'Neill requested that money be designated in the next budget for renovations to Station One which is on the • National Historic Register. Mr. Cameron stated that This year's budget has 175,000 for a structural study of that building. IF it is to be refurbished it would be used for storage. Chairman O'Neill stated that she would like to have a lobby that would be opened for touts with educational history if possible. Kegulm Session Meeting Minutes August 31,'_011 General Discussion c Soli showed a book Hot - Living Through The .Next Fifly Years On Earth authored by Mark Hensgaard which he found he library. Mr. Soli said that due to the inattention of Congress to climate change, we will have stronger hurricanes and nda as discussed in this book Chairman Hahn said that the EPA passed the cross state air pollution rule on August 2, 2011 which requires fairly massive reductions in S02 and NOx emissions from coal plants in 28 states. Although Massachusetts is not one of those states thou winds blow this way. Mr. Parma added that the Republicans have this as one of the ten items to be repealed. Chairman Hahn commented that the predecessor rule was overturned in the courts. BOARD MATERIAL AVAILABLE BUT NOT DISCUSSED Rate Comparisons, August 2011 E -Mall responses to Account Payable /Payroll Quntlons Upcoming Meetings RMLD Board Meetinn Wednesday, September 28. 2011 and Wednesday, October 26, 2011 RMLD Board Committee Meetines Tuesday, September 13, 2011, General Manager Committee Wednesday, September 28, 2011 Audit Committee with the Town of Reading Audit Committee Executive Session At 8:35 p.m. Ms. O'Neill made a motion seconded by Mr. Patin that the Board go into Emotive Session to approve Executive Session meeting minutes of July 27, 2011, to discuss MMWEC Arbitration and return to Regular Session for oununent. Soli, Aye; Chairman Hahn. Aye; Ma. O'Neill, Aye; and Mr. Paciao, Aye. Non carried 4:0:0. Adjournment At 8:59 p.m. Mr. Patin made a motion seconded by Ms. O'Neill to adjourn the Regular Session. Motion carried 4:0:0. A we copy of the RMLD Board of Commissioners minutes as approved by a majority of the Commission. Mary Ellen O'Neill, Secretary RMLD Board of Commissioners LM Reading Municipal Light Board of Commissioners S[& : Vionle Cameron, General Manager Jeanne Fall, Executive Assistant Jane Parentemu, Energy Services Manager Citizens' Advisory Board Arthur Carakabane, Chair .tared Carpenter, Energy Efficiency Engineer Robert Fournier, Accounting, Business Manager Kevin Sullivan, E &O Manager Guest: Frank Biron, President; Melanson Heath & Company, PC Karen Snow, Supervisor, Melauson Heath & Company, PC ATTACHMENT Chairman Hahn called the meeting to order and stated that the meeting of the Reading Municipal Light Department (RMLD) Board of Commissioners is being broadcast live at the RMLD's office at 230 Ash Street, Reading, MA. Live broadcasts are vailable only in Reading due to technology constraints. This meeting was video taped for distribution to the community .vision stations in North Reading, Wilmington and Lynnfield. Opening Remarks/Approval of Meeting Agenda There were no suggested changes to the agenda. Introductions There were no members of the public present. CAB representative, Chair Arthur Carekatsane had nothing to report, however, there will be a Citizens' Advisory Board meeting on Tuesday, October 4, 2011 at the RMLD. Presentation of Fiscal Year 2011 Audit Melanson Heath & Company, PC Audit Review — Mr. Frank Blron Mr. Fournier introduced Mr. Boon and Ms. Snow from Melanson Heath & Company to present the audited financials for fiscal year (FY) 2011. Mr. Biron stated that he is the President and Ms. Snow has been the supervisor of the audit for the past few years. Mr. Biron explained that the report is in draft form until it is officially accepted by the Board; however, there is the potential that there may be a couple of adjustments. The audit was completed in the last month and the financial statements will not be ready for a couple of weeks. Mr. Biron reported that there was a recent development that occurred which is found in a new Footnote 20 which appears on page twenty -eight and deals with an NSTAAR situation. Mr. Biron said that the Footnote was drafted late yesterday and revised today and, as a result, there may be adjustments made to the financial statements. Mr. Biron reported that if not for the NSTAR situation, the rest of the audit went pretty smoothly. The books were closed and reconciled. The financial statement reflects that the Department had a very good year which is reflected in the cash balances being strong, balances have been where they have been in the past, and there is neither debt nor bonds payable on the brooks. Mr. Biron pointed out that the Department started to fund the Other Post Employment Benefits (OPEB) liability which is an unusual thing to fund because most municipalities have not funded this; however it is a practice recommended by (imemment .Accounting Standards Board 445. It was a good broom line for the year with a profit of $2.7 to S2.8 million #L his cousstent with the poor year. Reealar Session 230 :ksh Street Reading, MA 01867 September 28, 2011 Start Time of Regular Session: 7:40 p.m. End Time of Regular Session: 9:50 P.M. Attendees: Commissioners: Richard Hahn, Chairman Philip B. Patinas Vice Chair Mary Ellen O'Neill, Commissioner Robert Sul], Commissioner Gina Snyder, Secretary S[& : Vionle Cameron, General Manager Jeanne Fall, Executive Assistant Jane Parentemu, Energy Services Manager Citizens' Advisory Board Arthur Carakabane, Chair .tared Carpenter, Energy Efficiency Engineer Robert Fournier, Accounting, Business Manager Kevin Sullivan, E &O Manager Guest: Frank Biron, President; Melanson Heath & Company, PC Karen Snow, Supervisor, Melauson Heath & Company, PC ATTACHMENT Chairman Hahn called the meeting to order and stated that the meeting of the Reading Municipal Light Department (RMLD) Board of Commissioners is being broadcast live at the RMLD's office at 230 Ash Street, Reading, MA. Live broadcasts are vailable only in Reading due to technology constraints. This meeting was video taped for distribution to the community .vision stations in North Reading, Wilmington and Lynnfield. Opening Remarks/Approval of Meeting Agenda There were no suggested changes to the agenda. Introductions There were no members of the public present. CAB representative, Chair Arthur Carekatsane had nothing to report, however, there will be a Citizens' Advisory Board meeting on Tuesday, October 4, 2011 at the RMLD. Presentation of Fiscal Year 2011 Audit Melanson Heath & Company, PC Audit Review — Mr. Frank Blron Mr. Fournier introduced Mr. Boon and Ms. Snow from Melanson Heath & Company to present the audited financials for fiscal year (FY) 2011. Mr. Biron stated that he is the President and Ms. Snow has been the supervisor of the audit for the past few years. Mr. Biron explained that the report is in draft form until it is officially accepted by the Board; however, there is the potential that there may be a couple of adjustments. The audit was completed in the last month and the financial statements will not be ready for a couple of weeks. Mr. Biron reported that there was a recent development that occurred which is found in a new Footnote 20 which appears on page twenty -eight and deals with an NSTAAR situation. Mr. Biron said that the Footnote was drafted late yesterday and revised today and, as a result, there may be adjustments made to the financial statements. Mr. Biron reported that if not for the NSTAR situation, the rest of the audit went pretty smoothly. The books were closed and reconciled. The financial statement reflects that the Department had a very good year which is reflected in the cash balances being strong, balances have been where they have been in the past, and there is neither debt nor bonds payable on the brooks. Mr. Biron pointed out that the Department started to fund the Other Post Employment Benefits (OPEB) liability which is an unusual thing to fund because most municipalities have not funded this; however it is a practice recommended by (imemment .Accounting Standards Board 445. It was a good broom line for the year with a profit of $2.7 to S2.8 million #L his cousstent with the poor year. Regular Session Meeting Minutes September 28, 2011 Presentation of Fiscal Year 2011 Audit Melanson Heath & Company, PC Audit Review — Mr. Frank Biron Mr. Soli asked about the bottom line numbers. Mr. Biron reponed that this is found on page seven. In FYI I the profit is $2,783,718 and in FY 10 it was $2,780,148. Mr. Biron said that the revenues arc up because more kilowatt hours were sold during the year by 3.5% and the revenue is up 3.5 %. The cost of power was down during the year which contributed to the profit however, an additional $800,000 was paid into the retirement system. The reason behind this payment is due to the poor investment results based on the economy over the past few years that impacted the retirement system. The actuaries perforated a valuation and determined that more money had to be paid into the retirement system. The Department took $1 million of its current year's revenue and put it into the retirement system. A year earlier it was only $200,000. The depreciation expense for the year was $3,452,000, a 3% rate in FYI I where in FYI 0, it was $2,240,000 a 2% depreciation rate. Chairman Hahn asked on the depreciation rate in FY08 and FY09 it was at 3 %. in FYIO down to 2 %, back up to 3% in FY 11. Ms. Snow replied that it was a one yew decrease for the depreciation. Mr. Biron explained the new Footnote, number 20 on page twenty- eight. Mr. Boon staled that in 1979, the Department entered into an agreement with Boston Edison (BECo, now known as NSTAR) for the transmission of power coming into the system. At that lime, it was called the radial transmission lines. Part of that agreement was for the Department to pay a $12,000 monthly bill for operating and maintenance expenses relating to those lines. In 2003, this line was reclassified from a radial transmission line to a looped transmission line, where a looped transmission line's costs should have been shared with all utilities in New England. When that happened in 2003, apparently the Department was not made aware of that. The bills continued to come in from NSTAR and were be paid monthly. This came to light this yew, in May when the Department discovered what had happened, looked into it and concluded that they should have not been billed on a monthly basis from NSTAR. Our unders tanding is that the agreement effective in 1979 was terminated on June 1, 2011, and the payments stopped at that point. The original contract with BECo had a clause that the Department could not go back further than twelve months to contest a bill. However, these bills go back to 2003. Under the ISO-NE for Regional Network Service the Department was able to obtain eighteen months of rebates for the Radial Line Support bills. ISO -NE would credit the Department's transmission costs to make up for that eighteen month period over the next two years, which equates to approximately $220,000 of credits. However, what is lost is the rest of those months from 2003 to 2009 for $1,072,000. This issue is included in the Footnote and they may have to book a receivable for $220,000, but Melanson Heath will look into this in more detail. Chairman Hahn asked Mr. Cameron if he wanted to add anything. Mr. Cameron stated that Melanson & Heath did a good job of surnmarizing this and spent a lot of time understanding the issue, which was not easy to understand. Chairman Hahn asked if the statute of limitations is pan of the rate schedule that ISO files with the FERC. Mr. Biron replied that the original contract was from 1979. Chairman Hahn asked if the Department signed this. Mr. Biron responded that he has been told it is signed, but has not seen it. Mr. Biron explained that this issue came to light this week. It may require a couple more revisions. Ms. Snyder said that based on the prior discussion it seemed that this has been thoroughly vetted by the attorneys for any other recourse. Mr. Biron responded that he has copies of documentation that went back and forth however; he was not part of that process. Audit Committee — Vice Chair Pacino Mr. Pacino reported that the RMLD Board and the Town of Reading Audit Committee with representation from the following Town of Reading committees: Chairman of the Finance Committee, representative of the School Department, the Selectmen's representative and the Vice Chairman of the Finance Committee met prior to the Board meeting. Mr. Pacino stated that there was much discussion about Footnote 20. The Town of Reading Audit Committee in the motion to accept felt that Footnote 20 is required to be part of the final audit in the financial statements. Mr. Pacino said that there was also discussion on the decrease in the return on investment to the town; the question about the CPI decreasing during the year and whether there should have been a corresponding decrease in the payment to the town. The Department will look into this. Mr. Pacino added there was a lot of discussion about the 51.072,000 overpayments and he is unsure if this should be • addressed under the General Manager's Report and the root causes because he would like to know more about this. Regular Session Meeting Mmures 3 September 28, 2011 Audit Committee — Vice Chair Pacino Mr. Pacino reported that the Town of Reading Audit Committee voted that the audit be accepted with the proviso that Footnote 20 is in there and that the issue on the return to the investment to the town be resolved. On the return on vestment, there is a committee that exists consisting of two members of the Citizens' Advisory Board, two members of the LD Board and one member of the Reading Board of Selectmen. Mr. Pacino said that the Vice Chairman of the Finance Committee said that this is something that should be looked at. Mr. Pacino believes the last time this was put in place was 1997 and there may be information they will be looking for from the Department. Mr. Pacino said that he and Mr. Soli voted to accept the audit with the same provisos that the Town of Reading Audit Committee had to recommend the audit to the RMLD Board. Chairman Hahn clarified that the CPI went negative. Mr. Pacino replied, yes. Mr. Cameron said that the CPI for the period 2009 to 2010 went negative. At a Board meeting in 1997, it was voted that the payment to the Town of Reading would be based on the 1997 Town Payment and it would be adjusted by the Boston- Brockton- Nashua CPI. Mr. Cameron does not remember anything in the motion slating that the Town Payment could not decrease. In that year (2009 to 2010) it went negative, the town's payment decreased by $16,000. Mr. Pacino commented that his recollection is that the payment was not to go down, however, Mr. Cameron is going to check the documentation. Mr. Cameron said that he will get that information to the town. Chairman Hahn asked for clarification on this issue. On another matter, Ms. O'Neill asked when the Retirement Trust is going to be discussed next and would like to know when the quarterly update will be provided. Mr. Fournier responded that the Retirement Trust will be discussed at the October RMLD Board meeting. Mr. Pacino made a motion seconded by Ms. Snyder that the RMLD Board of Commissioners accept the audited financial statements presented by Meianson Heath and Company for the fiscal year ending June 30, 2011 with the provision that Footnote 20 be included; revised as needed, and that the issue with regard to the payment to the town be clarified. s. O'Neill asked in terms of the town do they want clarification or reevaluation of the town payment. Mr. Pacino itit nded that it could be a $16,000 liability not picked up in the financial statements. Chairman Hahn stressed that he old prefer to see the document that definitively shows the CPI calculation. Ms. O'Neill clarified that in terms of the CPI the RMLD has been working on that since 1997 do they want it to be reevaluated. Mr. Pacino commented that the issue is whether more money should have been paid out and whether there is a liability out there for that difference. Chairman Hahn said that he is unsure why the CPI issue could not have been resolved before this evening. Ms. O'Neill pointed out that the town was aware of the decrease last January or February; she does not understand why that is an issue now and does not agree that there is any liability. Ms. O'Neill said that she is open to looking into a reevaluation of the formula; however, we need to play by the rules unless they arc changed. Mr. Soli asked if there would be a hardship if there is a $16,000 liability change for Melanson Heath to include. Mc Biron replied, no. Mr. Biron said that they would need loser the original document, and it would be a simple adjustment or if it remains the same no adjustment is required. Chairman Hahn said that this evening is the first time he has heard of this issue and is surprised it is surfacing at the last minute because the adjustment is always based on the CPI. Chairman Hahn commented that it should not affect the statements. Mr. Cameron said that the town was informed in April. Ms. O'Neill asked if the town's representative is going to send a lever requesting this. Mr. Pacino responded that the only request that was made was for the documentation on how the return on investment is calculated. Mr. Cameron said that Manic West asked that this information be sent to Bob Lel-wheur and he would send it to the appropriate people. Chairman Hahn aid that this may raise discussion going forward on the CPI. Mr. Pacino added that it may and the Town of Reading Audit Committee mentioned that they may hire a consultant on their side because of it being based on the CPI. Nis, O'Neill made a motion seconded by Ms. Snyder that the RMLD Board of Commissioners amends the main motion to delete "and that the issue with regard to the payment to the town he clarified.- Motion carried 3:1:1. Vice Chair Pacino voted against, Mr. Soli abstained. cPacino made a motion seconded by Ms. Snyder that the RMLD Board of Commissioners accept the financial tatements ented by Melanson Heath and Company for the fiscal year ending June 30,'_011 with the provision that Footnote 20 be laded with revised as needed in language. Motion carried 5:0:0. Chairman Hahn thanked Mr. Biron and bus. Snow for their hard work, service, and patience. Regular Session Meeting Minutes 4 September 28, 2011 Quarterly Conservation Program Update— Mr. Carpenter Mr. Carpenter presented his quarterly Energy Conservation Program update. Mr. Carpenter addressed the following; Residential Time of Use Growth, New Project Update. Demand Response Update and Energy Saved from Energy Efficiency programs. Mr. Carpenter reported that the Residential Time of Use program was in the Apni -May edition of the In Brief. In 2009, there were 30 new customers, 33 in 2010 and 50 in 2011 on a calendar year basis. The red customer cards that were secured through the RMLD's mass mailing are being used to set up a -mails on energy savings tips. Mr. Carpenter stated that on the new project updates, the residential vegetable oil generator for 10kW is up and running which puts out 6.0 10 6.5 kW. The 75kW solar army in North Reading should be completed by October 18. There have been multiple 50kW peak reduction projects completed. There am more L.E.D. and induction lighting projects. Mr. Soli asked about the induction lighting. Mr. Carpenter responded that they have received induction lighting for this building. Mr. Carpenter explained that induction lighting costs a bit less (ban L.E.D. lighting and lasts twice as long for 50,000 hours whereas induction can last for 100,000 hours. Their energy use is very similar m well as their efficiency. Mr. Carpenter reported on the Demand Response in that (hey were able to predict the annual peak day and time to call an event without technology to do it for an event. They have identified customers who are willing to partake in the demand response program. There was monitoring equipment installed at the RMLD as a (est. Currently, there are customers that have contracts for demand response with ISO New England for 5 megawatts. The RMLD has to decide by 2013 if they want to replace third parties with something else. Mr. Carpenter said that kW saved is estimated on the energy efficiency programs at 5,000 going back to 2005. The RMLD has rebated $1.54 million to commercial and residential customers. The net present value of savings through 2027 is $13.5 million. Ms. O'Neill commented on the Time of Use rate what is the total number of residential customers. Mr. Carpenter responded that the total number is about one hundred ninety. Ms. O'Neill asked besides the In Brief what else has been done to promote this program. Mr. Carpenter said that the a -mails to RMLD's customers who provided (hem were one of the mechanisms to draw interest in this program; however, it was not easy to implement. Ms. O'Neill suggested going forward the approach to take is consumer education on both the residential and commercial side, including utilizing RCN which has an advertising loop as a public service announcement, presenting a half hour energy program for all the community televisions the RMLD serves on energy conservation, rebates and Time of Use rate. Such programs can be timely based on the time of year. Discussion followed. Mr. Soli said that when the yew Time of Use rates were changed it was agreed that a report on the new rates would be made to the Board in six months. Mr. Cameron said that he will provide the residential and commercial customer information at the November or December meeting. Mr. Carakatsane stated that the CAB expected to get a report on the Time of Use rates at the end of the year Approval of August 31, 2011 Board Minutes Ms. Snyder made a motion seconded by Mr. Pacino to approve the Regular Session meeting minutes of August 31, 2011 with the changes presented by Mr. Soli, on page Iwo, two paragraphs above Reading Fall Fair in the second line, trouble reporting, put in a hyphen between them, last sentence in the paragraph add *only' before one, page three delete, 'by an additional one half mill' and page live the first paragraph first sentence atter'Hot', put hyphen in. Motion carried 4:0:1. Ms. Snyder abstained. Report of Board Committee - General Manager Committee — Chairman Hahn General Manager's Evaluation July 1, 2010 to June 30, 2011 Chairman llahn reported that the General Manager Committee is charged with the task of reviewing the General Manager's performance during the fiscal year for which a performance plan has been set as well as making a salary recommendation based on that performance to the Board. Chairman Ilahn stated that also, a performance plan has been proposed for the next fiscal year. In fiscal yew 2011• there were wean categories that the General Manager was rated on which cover all aspects of the operations of the RMLD. Chairman liahn stated that each commission member was asked to BII out the evaluation form which was assembled into a racing summary. Chairman Hahn stated (hat the scores assigned the General Manager's performance plan ranged from 95 0-e to W. with the average at 93 n °'b. According to the formula utilized, in the 2011 performance plan a score of 90% or greater with the CPI of that year plus the CPI of 2% translates into a 5.1 ". increase. Regular Session Meeting Minutes September 28, 2011 Report of Board Committee - General Manager Committee — Chairman Hahn E - eneral Manager's Evaluation July 1, 2010 to June 30, 2011 VWshainnan Hahn pointed out that this comes after a year when the General Manager was awarded no increase largely due to the economic conditions that the RMLD faced (done on the General Manager's recommendation). It was not performance- based because performance was excellent. The 5.1 % represents an increase over two years of 2.5 %. Chairman Hahn said that the performance plan for FYI2 has red line changes in it. Chairman Halm said that changes have been made such as a comment section under the rating categories, per Mr. Pacino's request; and we are seeking guidance on what an appropriate score may be. Mr. Soli had suggested a study on making the system hurricane proof and it was something the committee did not want to add now. Ms. Snyder made a motion seconded by Ms. O74eill that the RMLD Board of Commissioners approve that the General Manager's salary be increased by 5.1 % retroactive to July I. 2011, based on the General Manager's performance review for the period 711110 through 6/30/11. Motion carried 4:0:1. Mr. Patin abstained. Mr. Soli said that there are two items: the first is the rating and the second is that there is no motion for the performance plan for the next fiscal year. Chairman Hahn replied that is comet. Ms. Snyder made a motion seconded by Ms. O'Neill that the RMLD Board of Commissioners approve the FYI2 performance plan for the General Manager. Motion carried 5:0:0. Mr. Soli made a suggestion to have a twenty -five year plan to make the system more resistant to hurricanes and ice storms. Discussion followed. Mr. Soli made a motion seconded by Ms. Snyder to add to Section III of the FY12 performance plan for the General Manager. The Reliability of the RMLD System, a new item, number 8: To propose a budget for funding a twenty five year for increasing the RMLD's resistance 10 hurricanes and ice storms. tlon carried 4:0:1. Chairman Hahn abstained. Ms. O'Neill made a motion seconded by Mr. Snyder that Section IV. Manage Employees, Item 5; be amended to read "Submit a report to the Board on the safety incidents at the RMLD by December 31st." Motion carried 5:0:0. Mr. Soli made a motion seconded by Ms. O'Neill that Section 11. Energy Efficiency and Load Management, add Item 7. Propose budget funding to decrease the RMLD energy use at the 230 Ash Street complex by at least 5% in FY13. Motion carried 5:0:0. General Manager's Report — Mr. Cameron Mr. Cameron stated that he wanted to mention to the Board that a of transfer of 5500,000 from the Operating Fund to the Rate Stabilization Fund was made and is found on page nine. This transfer was executed in response to one of his performance items in that the Rate Stabilization Fund needs to be at a level of $6.0 to 57.0 million. That leaves 56.5 million in the Operating Fund, which is adequate to pay the bills on a monthly basis. Reading Fall Fair RMLD employees Mr. Carpenter and Mses. Gottwald and Hanifan were at this event. There was a great turnout and interest at RMLD's table. There were questions on billing, conservation, and the operations at the RMLD. Attendees at this event were very complimentary about the RMLD. RMLD Calendars The RMLD calendars will be out within the nest month. The RMLD will communicate the date the calendars are available. RMLD Annusl Report he RMLD Annual Report is currently being worked on and will be available at the Subsequent Town Meeting. Mr. eron explained that in the past the Chair of the RMLD Board has presented the report to Subsequent Town Meeting ch will be held on Monday. November 14. Chairman Hahn is not available to make the presentation: Vice Chair Pacino will make the presentation. Kegular Session Meeting Minutes September 28, 2011 General Manager's Report— Mr. Cameron Mr. Patin said that he understands why Footnote 20 came about, however he would like an explanation. This is the first time they have seen this, and it has not been seen by the Board before. He would like an explanation why, there were legal costs that went on here, there was no discussion with the Board in advance, and he is concerned that the Department left S I million on the table that is gone, which negatively impacted the ratepayers and what steps will the Department take going forward to ensure this does not happen. Mr. Pacino pointed out that in the General Manager's Performance items it states that minimum task is to maintain comprehensive coverage on new information related to governmental regulations, financial conditions, technological changes, energy and resource developments as they relate to public utilities. Mr. Pacino stated that in Item 1, under SA Leadership, the General Manager failed on this one to address this. Mr. Pacino asked if there is any other situation that is similar to this within the Department, and if it applies to other situations he wand this addressed as well. Ms. O'Neill suggested this issue not be addressed this evening; it needs to be treated like a case study, what went wrong, where do the responsibilities lie. Mr. Pacino replied that this situation needs to be addressed, it should not occur again, and going forward, to be assured that there are no other situations. Ms. Snyder said that she is in agreement with Ms. O'Neill. Chairman Hahn said that he wants to we - a write up with a detailed summary to be brought to the General Manager Committee within two weeks. There will be input at the committee level on this at the General Manager's Committee. All members of the Board should receive a copy of the report. Mr. Pacino asked if there arc any other situations this may apply to. Mr. Cameron replied, no. Mr. Cameron said that the Department looked at its contracts; there arc no other contracts with respect to transmission; and the power supply is straight forward with regard to who is responsible. There are power supply agreements that are firm with other bilaterals or heat rate fuel index contracts. Mr. Cameron reported that there are agreements on the PSA's with MMWEC however, the RMLD is in a dispute relative to the amount of the back up that accompanies the PSA's. Mr. Cameron said that there is nothing out there on the power supply in which this would occur. It has been fully vetted. Mr. Soli commented whether the MMWEC dispute is something the auditors should have been made aware of. Mr. Cameron replied that the auditors arc aware of the MMWEC issue and a Footnote is found in the financials. Financial Report— August, 2011 — Mr. Fournier (Attachment 1) Mr. Fournier reported on the Financial Report for August 2011. Mr. Fournier apologized for the tardiness of the Financial Report and noted that until FYI I numbers are final, there won't be a full balance sheet. Mr. Fournier stated that for the first two months of the fiscal year 2012 the Net Income was $769,000 bringing the year to date Net Income to S 1,467,000 and the budgeted amount was S 1.892,000 with the difference under budget being $425,000 or 22.5 %. Year to date Fuel Expenses exceeded year to date Fuel Revenue by $84,000. The Base Revenues are under budget by $449,000 or 4.75 %. Actual Base Revenues were $9 million compared to the budgeted amount of $9.4 million. Mr. Fournier said that the Purchase Power Base Expense was under budget by $291.000 or 5.82 %. The actual Purchase Power Base cost was 54.7 million compared to the budgeted amount of 55.0 million. The Operating and Maintenance Expense were over budget by $14,000 or .72:0. The actual Operating and Maintenance Expense $1.940 compared to the budgeted amount of $1.926 million. The Depreciation Expense and Voluntary Payment to the Towns is on budget. Kilowatt hour sales are 138,858,000 kWh which is 1.1 million or less than 1% behind last year's. Cumulatively, the five divisions are over budget by a little less than 54,000 or .12 %. Mr. Fournier stated that neat month he will be reporting on the quarterly Pension Trust and will present the balance sheet on time. Power Supply Report —August. 2011— Ms. Parenteau (Attachment 2) Ms. Parenteau reported on the Power Supply Report for August 2011. Ms. Parenteau reported that RMLD's load for .August was 69.6 million kilowatt hours, about a 2.8% decrease compared to August2010. Energy costs were $3.8 million, which is equivalent to 5.0545 per kilowatt hour. The August Fuel Charge was set at 5.055 kWh. RMLD overcollected on fuel by 576,000 resulting in a Deferred Fuel Cash Revene balance of $2.97 million. Kegular Session Meeting Minutes September 28, 2W 1 Power Supply Report — August, 2011 —Ms. Parenteau (Attachment 2) mFuel Charge Adjustment was decreased less than $.05 per kilowatt hour in September, and is currently expected to in at that level until the end of December. The Deferred Fuel is forecasted to go a little higher then go down in November and December. Rather than fluctuate it up and down it was decided to keep it level to maintain consistency, expecting that the Deferred Fuel will be at $2.5 million by December. Ms. Parenteau reported that the RMLD purchased approximately 11.3% of its energy requirement from (be ISO Spot Market at an average cost of $41.50 per megawan hour. The RMLD hit a peak of 144 megawatts at 2:00 p.m. on August I, 2011 with a temperature of 90 degrees as compared to a demand of 159.6 megawatts, which occurred on August 31 2010 at 5:00 p.m. with a temperature 92 degrees. This August was considerably less mild than last year. The RMLD's capacity requirement which is based on last year's peak was set at 199.8 megawatts. For capacity, the RMLD paid $1.4 million which is equivalent to $7.08 per kilowatt month. Ms. Parenteau reported that transmission costs for August were $960,000 an I 1 ° o increase from July 2011. Ms. O'Neill asked on the energy chart is the amount on this from Swift River what the RMLD anticipated. Ms. Parenteau responded, yes, that it is a run of the river project so they tend to go higher in the spring and fall whereas in the summer months it is anticipated to come in lower. Ms. O'Neill asked on the transmission costs going up I I% for one month. Ms. Parenteau replied that with transmission the billings are a month behind compared to August last year it tends to come in high because it is based on July's peak. Engineering and Operations Report — August, 2011- Mr. Sullivan (Attachment 3) Gam Update Mr. Sullivan reported on the Engineering and Operations Report for August 2011. Mr. Sullivan reported that there were no changes from July for the Gaw transformer upgrade project. Mr. Sullivan stated that the RMLD is in a close out phase and it is anticipated that completion will be in the next couple of months. 6. Sullivan stated that the soil remediation expense remains at $2.482 million. Mr. Sullivan stated that the meter upgrade project to date is 9,200 meters we installed. Mr. Sullivan said that the variance report projects worked on for the month arc: Project 1 — 5W9 Reconductoring Ballardvale Street — this has begun this month and all ten poles have been put in by Verizon, and Project 2 — High Capacity Tie 4W 18 and 3W8 Franklin Street continues. There were no new commercial services and 25 new residential services were installed. Under routine construction there is a line for storm trouble for the August 2 thunderstorm and Hurricane Irene. A total of 44 new cutouts were installed for a running total of 65. Mr. Sullivan reported on the Reliability Report that the CAIDI number is up significantly due to the violent thunderstorm of August 2. The CAIDI rolling average is up for the same reason at five minutes for the year due to this occurrence. The System Average Interruption Frequency Index (SAIFI) is down marginally where the rolling average is up marginally. For the month, there were 2,018 customers out, however these figures do not include Hurricane Irene. During hurricane Irene over 15% of the territory was out of service, and the service industry standard is when 15% of the service territory is affected in one incident, this is not included in the starts. The Months between Interruptions (MBTI) increased to 26 months. Mr. Sullivan reported on the outages bawd on the August 2 and .August 28 storms with the number of calls more than 3,500. Incidents for the month were 39, number of customers affected 2,018 with the outage types being feeder outages 2, area outages 34, service outages 2. Feeder outages based on Hurricane Irene were 14 and 7 incidents of lightning damage. Ms. O'Neill asked for clarification that the standard is if an event occurs when over 15% or more of the territory is afTected, those slats are not included. Mr. Sullivan replied that is correct. Ms. O'Neill asked on the variance report in terms of routine construction we have gone through half of the budget in two months and why are we not working on other projects. Mr. 1lr Ivan responded that a large amount of this is due to a carry over on one project in routine construction. Snyder asked about the GIS GAP analysis report, it mentioned the concept of identifying transformers and poles by customers when outages occur because it fosters a better response. Ms. Snyder wanted to know when the RMLD will he moving forward with wine of the recommendations in the report. Mc Sullivan said that with the new meters that are being installed it will allow for that type of data gathering for outages. Regular Session Meeting Minutes September 26,'_011 M.C.L. Chapter 308 Bid— Mr. Sullivan (Attachment 4) 2012 -10 Disconnect Switches Mr. Sullivan reported that the bid was sent to nine bidders and seven responded. This bid is for the four remaining so disconnect transformers at Gaw which is in the Capital Budget. Mr. Soli asked are the other 13 switches the same. Mr. Sullivan replied, yes that is why the option of factory rep was not utilized. Ms. O'Neill commented that six out of the seven bidders were non responsive. It seems counterproductive. Mr. Sullivan pointed out that when you open the bids you can never be sure what you get. Ms. O'Neill asked if the RMLD's material was not accessible and clear. Chairman Hahn stated that if they manufacture a switch with cast pens and the specs state no cast parts, there's no way to ask why did they bid, but that cannot be changed. Ms. Snyder made a motion seconded by Mr. Pacino that bid 2012 -10 for 115KV, 2000 Amp Horizontal Disconnect Switches be awarded to EMSPEC Electra Mechanical Systems Inc. for a total cost of $44,000.00 as the lowest qualified bidder on the recommendation of the General Manager. Motion carried 5:0:0. 2012 -11 Three Phase Pad Mounted Dead Front Feed Transformer Mr. Sullivan stated that the bid was sent to 17 bidders with four responding. The bid is for three phase pad mounted dead front loop feed transformers. There is no line item in the capital budget for these transformers because they are "assigned as required" one in Reading Woods and 10 to Burlington Avenue Condo Project in Wilmington. Mr. Soli asked about Stuart Irby 2, which was thrown out and is it a show stopper! Mr. Cameron responded that in the mien for award you must supply the material specified. Mr. Soli asked if you can seek minor clarification. Mr. Cameron pointed out that bidder must follow the engineering specs. Ms. Snyder made a motion seconded by Mr. Pacino that bid 2012 -11 for Three Phase Pad Mounted Dead Front Loop Feed Transformers be awarded to: Power Sales for a total cost of $157,352.00 as the lowest qualified bidder on the recommendation of the General Manager. Motion carried 5:0:0. General Discussion There was on discussion. BOARD MATERIAL AVAILABLE BUT NOT DISCUSSED Rate Comparisons, September 2011 E -Mail responses to Account Payable /Payroll Questions Upcoming Meetings R:MLD Board Meetings Wednesday, October 26, 2011, Chairman Hahn "ill not he present. Wednesday, November 30, 2011 R.ILD Board Committee Meetin¢ Power & Rate Committee Sleeting, Monday, October 3, 2011 Citizens' Advisory Board MeelineBoard Meeline Tuesday, October 4, 2011 at the RM LD • .pproval of August 31, 2011 Executive Session Minutes (Executive Minute Tab) Ms. Snyder made a motion seconded by Ms. O'Neill that the RMLD Board of Commissioners approve Executive Session_ meeting minutes of August 31, 2011 as presented. .lotion carried 4:0:1. Ms. Snyder abstained. R.:gular Session Meeting Minutes September 28, 2011 tjournment 9:50 p.m. Ms. Snyder made a motion seconded by Ms. O'Neill to adjourn the Regular Session. lotion carried 5:0:0. A true copy of the RMLD Board of Commissioners minutes as approved by a majority of the Commission. Gina Snyder, Secretary RMLD Board of Commissioners Dear Representative /Senator I am writing to express opposition to H.3896, which was voted favorably out of the Joint Committee on Telecommunications, Utilities and Energy. The bill is now pending in the House Ways and Means Committee. There are forty municipal lighting plants ( "MLPs ") in Massachusetts, of which one of them is the Reading Municipal Light Department (RMLD), which is owned by the Town of Reading. Collectively, MLPs provide approximately 14% of all electricity consumed in Massachusetts. The MLPs were established by vote in individual municipalities or by special act to serve the citizens and businesses to those municipalities. The MLPs have the exclusive right to distribute electricity within the borders of the municipalities they serve. The MLPs are overseen by locally elected or appointed Boards and thew operations are overseen by General Managers hired by the Boards. The MLPs establish rates approved by their Boards that pay the costs of the operation of their plant. The RMLD is very proud of the fact that it has historically and is currently providing highly reliable power at the lowest electric rates in the Commonwealth. The RMLD is unique in Wpanson to other MLPs because in addition to the Town of Reading the RMLD serves n, North Reading and Lynnfield Center. ® The RMLD has instituted Energy Conservatio 'able Energy Programs in its service territory, which provides educational and ' e to customers who choose to enact energy conservation measures and ' r e energy projects. Overall, the local control aspect of Public Power provides a iety benefits to its customers including providing assistance to customers to become m ironmentally friendly and lower their carbon footprint. If H.3896 were to pass, RMLD customers would pay an additional $350,000 per year, or an additional 1% of its base rates, to the Commonwealth for energy conservation and renewable energy projects. The RMLD already provides these benefits to its customers through its Energy Conservation and Renewable Energy Program. In addition, if the RMLD's exemption from the Energy Conservation Charge of $.0025 /kWh is lifted then the RMLD customers will be paying $1,050,000 more for the energy conservation programs, which the RMLD presently has in place. In 2008, the RMLD added an Energy Conservation Charge into its rate structure for the specific purpose of funding its Energy Conservation and Renewable Energy Program. Since 2008, the RMLD has collected $1.6 million through the Energy Conservation Charge and it has spent $1.5 million in the form of rebates and incentives to RMLD customers for energy conservation measures and the renewable energy projects. The amount of funds the RMLD commits to its Energy Conservation and Renewable Energy Program is mainly dependent on the economics and the cost /benefits that the elements of the program provide to the RMLD and its customers. The RMLD can adjust its Energy Conservation Charge to meet the financial requirements of its program from time to time. Below is a description of the Energy Conservation and Renewable Energy initiatives that have been instituted: Energy Conservation and Renewable Energy Program Residential Tier 1 and Tier 2 Services The RMLD follows the guidelines of the Department of Energy Resources with respect to providing Tier 1 and Tier 2 services to residential customers. The RMLD has trained its Customer Specialists to answer customer questions on energy conservation. The RMLD also has contracted with a company who performs energy audits for residential customers. Appliance Rebate Program . In 2005 the RMLD started an Appliance Rebate Program�s program offers rebates to residential customers who have purchased an Energy Star ;ated appliance. The appliances in the program include washers, dryers, air conditioners, heat pumps, refrigerators, dishwashers, dehumidifiers, ceiling fans, high performance water heaters, and programmable thermostats. The RMLD has rebated approximately $250,000 to 4,300 customers, who have applied for appliance rebates. Residential Time of Use Rate The RMLD offers a Time of Use rate to its residential customers that allow customers to move their electrical usage to off Peak periods to save money on their electric bills as well as helping the RMLD lower its peak demand. The Residential Time of Use Rate has been in effect since 1993. Residential Water Heating Rate The RMLD offers a Water Heating Rate to its residential customers who are willing to have their electric water heaters controlled during peak periods. The RMLD is in the process of upgrading this program and recently received a $50,000 grant from the Massachusetts Department of Energy Resources to assist in the funding of the upgrade. The upgrade will include a demand response control technology. 0 Renewable Energy Projects The RMLD gives incentive payments to residential customers who develop renewable energy projects at their homes. To date the RMLD has given over $64,000 in rebates to eleven solar projects that total 57.2 kW and two cogeneration projects totaling 9.2 kW. Commercial Energy Audits The RMLD provides third party energy audits at reduced rates for customers who want to examine their manufacturing processes to determine if there are energy efficiency measures they can take advantage of that will lower their peak demand and annual energy usage. Additionally, the RMLD Energy Efficiency Engineer who works with customers to provide a detailed audit of specific equipment or the RMLD will help fund a full standard audit performed by an outside auditor. Lighting Rebates '��i`t�� RMLD offers lighting rebates up to $10,000 for coryl i customers who upgrade their lighting to more efficient technologies. (j Energy Efficiency Rebates The RMLD offers rebates to customers instal ' en fficient measures to reduce their peak load and annual energy usage throu ore efficient HVAC systems, variable speed drives, compressed air systems, bu' g con Is, and other more efficient measures. In most cases, these energy efficiency measures ve en recommended by the RMLD through audits, which have been performed by the R or its contractor. These recommendations are dependent on cost /benefit analysis that shows the economic payback to the customer for each recommended energy efficiency measure. Commercial Time of Use Rate The RMLD offers Time of Use Rates to its commercial customers who have the ability to move a portion of their energy usage to Off Peak periods. In doing so, commercial customers are able to lower their electric bills and assist the RMLD in reducing its peak demand. Renewable Energy Rebates Commercial customers who install renewable energy projects at their facilities receive rebates based on the mode of generation and the amount of peak load reduction the RMLD will see on their system. To date,. the RMLD has rebated approximately $30,000 for a commercial solar facility of 75 kW. The RMLD is working with other solar projects that are in the final stage of design, which total approximately of 300 kW. Additionally, there is the potential for fifteen other commercial solar projects that have a projected total of approximately 15 MW. The RMLD has an extensive Energy Conservation and Renewable Energy Program and is constantly seeking ways to enhance and expand this program to meet the needs of customers who want to reduce their electricity cost and decrease their carbon footprint. H. 38% should be opposed for the following reasons: • H. 3896 would mandate an increase in monthly bills to RMLD customers to fund renewable energy and energy efficiency programs. • H. 38% would jeopardize RMLD's service territory by mandating that they open their systems to outside generation thus repealing the exclusive service territory provisions of the Electric Utility Restructuring Act of 1997. Rate Setting is the exclusive domain of the individual MLP Boards. The RMLD's rates are not established by the Department of Public Utilities but area e`x'amined and approved by its Light Board of Commissioners. This bill is a frontal attacl�o�u a listing MLP's and local control, which is the essence of Public Power. i �'A� The RMLD already funds energy conservation pr a04* xN renewable energy, as you can see above, without the cost increases mandated RRR's addition rather than the increased revenues mandated by this bill goin or its benevolent dispersal, the revenues raised by MLP rates currently are u withhNe LP territory for the benefit of its customers as determined by the MLP Board f gs as reliability, infrastructure investment renewable energy programs and energy programs. The RMLD has a more informed view of what its customer's desire in the form of energy conservation and renewable energy programs, which enables the RMLD to be more flexible in designing the programs it offers. Section 21 of the bill would mandate that MLP's open their service territory to outside generation by allowing its customers to negotiate directly with generation companies. This means that after each MLP municipality determined to reject the Commonwealth's option to allow outside generation within their boundaries, the Commonwealth would ignore that and impose outside generation in those municipalities. The result would be that the RMLD, which has engaged in long term power contracts to fulfill the usage requirements of its customers, would not have sufficient revenues to pay for those obligations with the approach imposed by H.3896 and would lead to higher rates because fewer and fewer customers would now pay for all historical commitments entered into to provide electricity to all customers. The MLP's throughout the Commonwealth have programs in place to increase their alternative and renewable energy portfolios and continue to expand on those programs as appropriate for their service territory and determined by the MLP Board. While the legislation appears to recognize that MLPs should participate in the future distribution of Regional Greenhouse Gas Initiative "so- called RGGI" monies, over the last four years, MLPs did not receive their share of those funds. Meanwhile distribution companies and municipal aggregators received millions of dollars from the $150 million accumulated in the fund. In any event, increases in the costs to MLP customers under this bill far exceed any return from future RGGP monies. This legislation is touted by its sponsors and supporters as creating competition and allowing choice in the existing electric market. In fact, under this bill, it is likely that very few, if any, municipalities would have the necessary funds to purchase an investor owned utilities' distribution system in order to create their own municipal electric utility. The bill released by Committee has boldly morphed into a new revenue stream to create additional energy programs on the backs of MLP customers under the guise of increased competition and choice. I urge you to vigorously oppose this legislation as it would result in the erosion of public power in Massachusetts as well as diminishing both competition and choice in Massachusetts. 1 J Dt: February 24, 2012 To: RMLB, Vincent F. Cameron, Jr., Jeanne Foti Fr: Bob Fournier Sj: January 31, 2012 Report The results for the seven months ending January 31, 2012, for the fiscal year 2012 will be summarized in the following paragraphs. 1) Change in Net Assets: (Page 3A) For the month of January, the net income or the positive change in net assets was $498,065, increasing the year to date net income to $2,424,272. The year to date budgeted net income was $4,945,104, resulting in net income being under budget by 2,520,831 or 50.98 %. Actual year to date fuel expenses exceeded fuel revenues by $603,035. 2) Revenues: (Page 11 B) Year to date base revenues were under budget by $1,956,634 or 6.69 %. Actual base revenues were $27.3 million compared to the budgeted amount of $29.2 million. 3) Expenses: (Page 12A) *Year to date purchased power base expense was under budget by $1,025,092 or 6.42 %. Actual purchased power base costs were $14.9 million compared to the budgeted amount of $15.9 million. *Yew to date operating and maintenance (O &M) expenses combined were under budget by $196,513 or 2.8 %. Actual O &M expenses were $6.7 million compared to the budgeted amount of $6.9 million. *Depreciation expense and voluntary payments to the Towns were on budget. 4) Cash (Page 9) *Operating Fund was at $9,618,141. *Capital Fund balance was at $4,010,961 • Rate Stabilization Fund was at $6,068,389. • Deferred Fuel Fund balance was at $2,452,189. • Energy Conservation Fund balance was at $173,774. 5) General Information: Year to date kwh sales (Page 5) were 419,400,557 which is 15 million kwh or 3.46 %, behind last year's actual figure. GA W revenues collected ytd were $419,402 bringing the total collected since inception to $1,026,576. 6) Budget Variance: Cumulatively, the five divisions were under budget by $234,610 or 2.1 %. ATTACHMENT FINANCIAL REPORT JANUARY 31, 2012 ISSUE DATE: FEBRUARY 24, 2012 ASSETS CURRENT UNRESTRICTED CASH RESTRICTED CASH RESTRICTED INVESTMENTS RECEIVABLES, NET PREPAID HER EMBER INVENTORY TOTAL CURRENT ASSETS NONCURRENT INVESTMENT IN ASSOCIATED CO CAPITAL ASSETS, NET TOTAL NONCURRENT ASSETS TOTAL ASSETS TONE OF READING, MASSACHUSETTS MUNICIPAL LIGHT DEPARTMENT BUSINESS -TYPE PROPRIETARY FUND STATEMENT OF NET ASSETS 1/31/13 PERVIOUS YEAR COYRSNT YEAR (BCE A P.9) 6,85],]66.85 9,631,141.13 (8CM A P.9) 15,656,]11.]9 18,361,538.39 (AM A P.9) 3,300,000.00 0.00 (8CM B P.10) 8,439,635.63 7,608,499.01 3,010,033.75 (8CM 9 P.101 3,306,0]6.]9 ].010.033.]5 3,310,533.49 3.934.698.58 1.]33,34].0 1,403,3SS .34 11,335,106.55 39,42S.049.35 (SCH C P.1) ISCH C P.31 LIABILITIES ClURRENT CUCSTOMER PAYABLE CUSTOMER ADVANCES DEPOSITS ACCRUED) LIABILITIES FOR CONSTRUCTION ACCEDED LxABxcxrxe9 TOTAL CIO RANT LIABILITIES NONCURRENT ACCRUED EMPLOYES COMPEDSATED ABSENCES TOTAL NONCONAEIT LIABILITIES TOTAL LIABILITIES NET ASSETS INVEST® IN CAPITAL ASSETS, NET OP RELATED DEBT RESTRICTED FOR D6PRNCIATION FUND (P.9) UNRESTRICTED TOTAL NET ASSETS (P.3) TOTAL LIABILITIES AND NET ASSETS 88,151.36 ]3,]65.66 0,447, 30.61 67,854,146.97 0.515. SJ 8.0 6].91].913.63 104.619.1]]. as 10].15].961.98 6,848,434.98 6,170,495.64 515,693.20 604,388.69 330,793.90 394,339.94 1,090,331.95 1,331,163.70 6.785. 144.03 8.390.40].9] 3,010,033.75 3,934,696.50 ].010.033.]5 3.934.698.58 11,335,106.55 11,805.3]6.)8 0,44],30].61 0,054,146.97 4,740,173.37 4,010,961.89 30,636,539.03 34,163,746.57 93.014.100.00 96.037,855.43 104.619.277.50 107.353,961.98 TO" OF READING, MASSACHUSETTS MUNICIPAL LION] DEFART,NNT NONCURRENT ASSET SCHEDULE 1/31/1] SCHEDULE OR INVESTMENTS IN ASSOCIATED COMPANIES MEN ENOLAND NITRO ELECTRIC NICE ENOLAND HYDRO TRANSMISSION TOTAL INVESTMENTS IN ASSOCIATED COMPANIES SCHEDULE OF CAPITAL ASSETS LAND STRUCTURES AND INPROVEMERS EQUIPMENT AND FURNISHINGS INFRASTRUCTURE TOTAL CAPITAL ASSETS, NET TOTAL NONCURRENT ASSETS 1]I 1,265,861.13 SCHEDULE C 1,265,961.33 PREVIOUS YEAR CONSENT YEAR 13,530.60 13,16],136.)9 15,)6).66 12,930,140.56 64,612.66 46,260,)80.]1 58,016.02 6),0)1,610.86 B B. 151.]6 67,447,387.62 67 856 46 7$.765.66 1,265,861.13 1,265,961.33 6,)53,629.08 6,595,553.36 13,16],136.)9 12,930,140.56 46,260,)80.]1 6),0)1,610.86 67,447,387.62 67 856 46 9] 6].535,538.8] 6),91).912.63 11 11 OPERATING EXPENSES: (SON N P. 11) PURCHASED POWER EARN TONE OF READING, MA99ACNO98TT9 1,970,396.64 3,424,272.96 16,306,717.23 31.56% 14,934,246.56 NK A99K9 AT BEGINNING 06 YEAR -6.07% MUNICIPAL LION) ..YARTMBNT 3,338,331.18 14,651,135.51 92.814.100.80 33,747,761.61 STATEMENT PONT . 9TYPE OF RBVENXg, PROPRIETARY FUIYD EXPENSES AND CHANGES IN POMD NET A996T8 862,010.77 453,931.67 4,950,034.69 4,969,115.69 /31/13 RAINTENAMCN 655,595.19 303,566.15 2,639,911.03 NONTN 1,800,621.68 IWNTS LAST YEAR CORRM YW 387,739.05 TN \ 196,017.47 WT YYN 3,014,103.35 CORRM YEAR TO DATE TO MTN CMNON OPNRATIXO RENINUMB: (9CN D 1.11) 113 000.00 765.085.00 767.106.00 1.79% BASE REVENUE 4,034,763.61 3,745,112.26 27,334,930.54 27,3BO,961.32 -0.16% PDEL RAVWDM 3,639,696.16 3,114,395.49 35.147,934.40 22,542,547.15 - 10.36\ PDRCNASED POWER CAPACITY 33,606.08 (10.759.33) 1,156.560.63 (79,673.49) - 306.09% PORPBITED DISCODNT9 94.513.95 87.893.05 613,667.00 566,459.36 -7.69% NEZRGE CONSERVATION REVENGE 30,397.73 55.711.95 111,149.11 353,307.69 13.52% SAW RNVMNGE 61,534.17 55.637.77 394.545.11 419,403.62 41.39% NYPA CREDIT (59.937.361 151.431.30) 1437. 390.431 (397. 514.54) -6.92% TOTAL OPERATING RE lCWUZS 7,833,476.33 61997,689.99 54,411,306.57 50,665,09D.93 -6.07% OPERATING EXPENSES: (SON N P. 11) PURCHASED POWER EARN 3,I43,04S.8I 1,970,396.64 3,424,272.96 16,306,717.23 31.56% 14,934,246.56 NK A99K9 AT BEGINNING 06 YEAR -6.07% PDRCRASED POWER FUEL 3,620,614.67 3,338,331.18 14,651,135.51 92.814.100.80 33,747,761.61 -7.72% OPERATING 862,010.77 453,931.67 4,950,034.69 4,969,115.69 0.39% RAINTENAMCN 655,595.19 303,566.15 2,639,911.03 1,800,621.68 - 31.71% DEPRECIATION 387,739.05 196,017.47 3,014,103.35 3,073,19].]9 3.88% VOLDKARY PATIENTS TO TOWNS _ 105,885.00 113 000.00 765.085.00 767.106.00 1.79% TOTAL OPERATING EXPENSES 7,775,680.60 6,453,153.11 53,409,086.90 47,311,139.91 -7.97% OPERATING INCOME 47,595.73 544,536.99 3,011.499.71 3,373,961.12 12.04% �&*NRATINB RBVNINE9 (=PMSRB) CONTR3aPPIONS IN AID 09 WEST 35.00 3,975.90 3,424,272.96 34,697.41 31.56% 37,619.64 NK A99K9 AT BEGINNING 06 YEAR 7.86% RETURN ON INVESTXM TO READING (180,990.00) (183,019.75) (1,366,930.001 92.814.100.80 (1,206,806.2S) 1.57% INTEREST INCOME 6,749.10 3.867.39 67,066.73 60,559.01 -9.70% INTEREST EXPENSE (1,000.34) (500.11) (9,294.00) (5,236.99) - 43.76% OTNMR (3D9E AND AMORT) 1.300.00 130,015.00 157,006.27 144,158.43 55.31% TOTAL MGNOPERATINO NEW (EXP) (172,916.141 (46.471.60) (1.017.263.SU (949.680.16) -6.64% CHANGE IN NET AB9K9 11]5.330.311 498. 065 IN 1,994.236.19 3,424,272.96 31.56% NK A99K9 AT BEGINNING 06 YEAR 90,819.864.61 93,603,582.47 3.07% NET A99K9 AT END 09 SANIARY 92.814.100.80 96.037.855.43 3.46% 01 TOW OF READING, MASSACHUSETTS MUNICIPAL LIGHT REATNHRT 809LNE85 -TY ➢i PROPRIETARY POND STATENZNT OF REVERIES, REFEREES AND CHANGES IN FUND NET ASSETS 1/31/11 OPERATING REVENUES: (SCE P P.11B) BASE REVENGE FUEL REVENUE PURCHASED PONRR CAPACLTY FORFEITED DISCOUNTS 6N8RGY CONBBRVATION REVENUE GAN REVENUE NYPA CREDIT TOTAL OPERATING REVENUES OPERATING EXPENSE, (SCE O p.12A) PURCHASED POWER BASE PURCHASED POWER FUEL OPERATING NAINTRNANCi DEPRECIATION VOLUNTARY PAYKENTS TO TONNE TOTAL OPERATING EXPENSES OPERATING INCOER NONOPRRATINO REVERIES (6%181168) CONTRIBUTIONS IN AID OF CONST RETURN ON IWESTNEiT TO READING INTEREST INC @R INTEREST EXPRESS OTHER (SIDES AND MORT) TOTAL NONOPBRATING REV (6XP( CHANGE IN NET ASSETS NET ASSETS AT BROINNINO OF YEAR NET ASSETS AT END OF JANUARY ( ) • ACTUAL UNDER BwciT ACTUAL BUDGHT 6 YEAR TO GATE YEAR TO DATE VARIANCE. CHANGE 27,380,962.22 29,23],59].00 (1,956,636.]81 -6.69% 22,542,567.15 25,278,866.00 (2,736,298.85) - 10.82% (79,673.69) (83,535.00) 3,861.51 -6.62% 566,659.28 643,227.00 (]6,]6].]2) - 11.93% 353,207.69 161 325,826.00 27,383.69 8.60% 619,602.62 106,691.00 16,]11.62 00) 3.664 (39].816.56) (350.000.001 (67,816.56) 13.66% $0,685,090.93 55,656,650.00 (6,771,559.07) -8.60% 16,936,266.56 15,959,339,00 (1,025,092.66) -6.121 22,76],]67.61 23,871,656.00 (1,123,688.39) -6.71% 6,969,115.69 5,332,685.00 (363,569.31) -6.82% 1,800,621.68 1,633,566.00 167,055.68 10.131 2,072,192.29 161 2,100,000.00 (17,807.71) -1.329 787,106.00 791.000.00 (3.811 00) -0.68% 67,311,129.81 69,688,066.00 12,376,916.191 -6.78% 3,373,961.12 5,768,606.00 (2,396,662.88) - 61.51% 0 37,629.64 (1,286,806.25) 300,000.00 (1,295,000.00) (261,370.36) - 87.669 60,559.01 105,000.00 8,191.75 (66,660.99) -0.639 - 61.329 (5,226.99) (3,500.00) (1,726.99) 69.369 266,158.63 70,000.00 176,158.63 268.809 (969.688 161 (423,500,00) J126,109.16) 15.329 2,626,272.96 6,965,106.00 (2,520,831.06) 93,603,502.67 93,603,582.67 0.00 96,02],BSS. 1] 98.568.686.6] 13.530.811.061 1111 - 50.989 0.009 2.569 E ;�w TO" OF READING, MASSACHUSETTS MUNICIPAL LIGHT DEPARTMENT RECONCILIATION OF CAPITAL FUNDS 1/31/12 SOURCE OF CAPITAL FUNDS: DEPRECIATION FUND BALANCE 7/1/11 CONSTRUCTION FUND BALANCE 7/1/11 INTEREST ON DEPRECIATION FUND FY 12 DEPRECIATION TRANSFER FY lI FORCED ACCOUNTS RBIIOURSEMENT GAN SUBSTATION (FY 12) TOTAL SOURCE OF CAPITAL FUNDS USE OF CAPITAL FUNDS: PAID ADDITIONS TO PLANT TNRU JANUARY PAID ADDITIONS TO GAN THEO JANUARY TOTAL USE OF CAPITAL PUNDS GENERAL LEDGER CAPITAL FUNDS BALANCE 1/31/12 PAID ADDITIONS TO PAID ADDITIONS TO PAID ADDITIONS TO PAID ADDITIONS TO PAID ADDITIONS TO TOTAL CAN GAN GAN GAN GAN FROM PY 12 FROM PY 11 FROM PY 1C FROM FY 09 FROM FY O9 2,365.029.67 0.00 6,297,961.13 0.00 6,655.16 2,072.192.29 0.00 0.00 6,3]6,]91.56 2,365,829.67 8.010.961.09 0.00 531.]06.00 1,372,676.00 3,136,766.00 1, 095, 9]5.DO 6.93],]99.00 TOWN OF READING, EASSACNU9ETTS MUWL CI PAL LIGSfT OtP IT SALES OF KILOWATT HOUSE 1/31/13 • SALES OF ELECTRICITY: MONTH LAST YEAR WOMTH CURRENT YEAR LAST YEAR TO MTN CURRENT YEAR TO DATt YID 6 CHANGE RESIDENTIAL BALES COWN. AND INDUSTRIAL SALES PRIVATE STREET LIGHTING 23,596,837 34,924,989 ]),252 23,442,292 31,431,195 73,395 163,SB7,538 252,473,263 502,929 156,374,445 245,324,]]1 510,436 -4.416 -3.876 1.49% TOTAL PRIVATE CONSUNER8 58.595.0]8 416.56] 729 402.109.652 -3.476 MUNICIPAL BALES, STREET LIGHTING MUNICIPAL BUILDINGS 339,009 964,827 339,295 858,971 1,6]1,58] 5.835,481 1,6]3,92] 51666,816 0.146 -3.896 TOTAL MUNICIPAL CONSUWERB 1.20) B]6 1.098.366 ].50].068 7.340.)4) -2.32% SALES FOR RESALE 313,394 382,836 2,124,784 3,049,706 -3.534 SCHOOL 1,409,774 1,316,235 8,335,900 7,900,456 -4.07% TOTAL KILOWATT HOURS SOLD 61.5]0.983 56.644.119 111 431.481 419.400.557 -3.46% A • "I TOWN O9 READING, MASSACHUSETTS MUNICIPAL LIGHT DRPARTMENS KILOWATT BOOKS SOLO BY TOM TOTAL READING LYNNPIELD NO.RWDINO WILMINGTON NONTH RRBIDENTIAL 33,443,393 7,111,119 3,015,072 5,446,383 6,069,718 DOWN 6 IND 31,431,195 4,344,014 254,630 4,838,190 22,004,361 PVT BY LIGHTS 73,395 13,]1] 1,360 21,956 36,342 PUS BY LIGHTS 339,395 80,536 32,480 39,920 86,359 HUNI SLOGS 058,971 262,1]] 13],39] 146,929 312,468 SALES /RESALE 382,836 382,836 0 0 0 SCHOOL 1,316,235 483,145 268,030 163,380 401,780 TOTAL 56,644.119 13,5]].564 3,]09.969 10.646.658 39.]10.928 YEAR SO DATE RESIDENTIAL 156,374,445 48,878,075 33,339,481 36.480,432 46,6]6,46] CONN. IND 245,224,]]1 31,163,673 1,975,510 38,029,964 174,055,616 PVT BY LIGHTS 510,436 97,575 9,530 149,664 353,647 PUS BY LIGNTB 1,6]3,92] 563,252 337,103 279,240 604,333 HUNI SLOGS 5.666,816 1,408,517 966,513 1,136,928 2,154,850 SALES /RESALR 3,049,706 2,049,706 0 0 0 SCHOOL 7.900,456 3,836,675 1,746,000 11008,080 3,319,493 TOTAL 419.400.55] 86,907. 673 2].364.143 7],094.298 338,064,444 LAST YEAR TO DATE RESIDENTIAL 163,507,530 51,137.761 23,366,372 38,108,144 $0,975,361 COM 6 IND 253,473,262 31,146.526 2,018,005 38,139,079 181,179.653 PVT SS LIGHTS 502,929 97,889 9,530 148,923 246.598 PUS ST LIGHTS 1.6]1.58] 563,052 327,311 377,819 603,505 MINI SLOGS 5,835,481 1,503,035 1.013,702 1,206,439 2,114,305 Aw SALES / RESALS 2,124,784 3,124,764 0 0 0 SCHOOL 8,235,900 3,926,145 1,748,130 1,073,360 3,486,365 TOTAL 434.431.483 89.500.193 38.383.940 78,94).]62 237,605.58] KILOWATT HOURS SOLO TO TOTAL TOTAL READING LYNNYIELD NO.RRADING WILMINGTON MONTH RESIDENTIAL 39.62% 12.55% 5.32% 9.62% 12.13% COMM 6 IND 55.49% 7.67% 0.45% 8.52% 38.B5% PVT BY LIGHTS 0.13% 0.02% 0.00% 0.04% 0.07% PUS ST LIGHTS 0.43% 0.14% 0.06% 0.07% 0.15% BUSY BLDGS 1.53% 0.46% 0.34% 0.26% 0.56% SALES /RESALE 0.50% 0.50% 0.00% 0.00% 0.00% SCHOOL 3.32% 0.85% 0.47% 0.39% 0.71% TOTAL 100.00% 33.19% 6.54\ 1e.e0\ 52.47% YEAR TO DATE RESIDENTIAL 37.29% 11.65% 5.33% 8.70% 11.61% Dow 6 IMO 58.47% 7.43% 0.47% 9.07% 41.50% PVT BY LIGHTS 0.12% 0.02% 0.00% 0.04% 0.06% PUS BY LIGHTS 0.40% 0.13% 0.05% 0.07% 0.15\ WONI SLOGS 1.35% 0.34% 0.33% 0.37% 0.51\ SALES /RESALR 0.49% 0.49% 0.00% 0.00% 0.00% SCHOOL 1.88% 0.67% 0.42% 0.34% 0.55% TOTAL 100.00\ 30.7]4 6.50\ 18.39% 54.301 LAST YEAR TO DATE RESIDENTIAL 37.65% 11.77% 5.38% 8.77% 11.73% COME 6 IND 58.12% 7.17% 0.46% 8.79% 41.71% PVT SS LIGHTS 0.12% 0.02% 0.00% 0.03% 0.07% PUB SS LIGHTS 0.39% 0.13% 0.05% 0.06% 0.14% WONT BL008 1.34% 0.35% 0.33% 0.28% 0.48% SALES /RESALE 0.49% 0.49% 0.00% 0.00% 0.00% SCHOOL 1.90% 0.67% 0.40% 0.35% 0.58% TOTAL 100.00\ 20.60\ 6.53\ 18.17% 54.71% Ifl TOM OP READING, N,SSACNOSRTTS MUNICIPAL LIG" DEPARTMENT FORMULA INCOMP 1/31/11 TOTAL OPERATING RN 38 ADD, POLE RENTAL LESS: (P.3) 50,695,090.93 INTEREST INCOME ON CUSTOMER DEPOSITS OPERATING EXPENSES (P,3) CUSTOMER DEPOSIT INTEREST EXPENSE FORMULA INCOME (LOSS) M 1,955.00 793.01 (67,311,129.91) (5,316.991 3.370.961.15 F- -3 • 0 0 SALE OF .CNN IP.5I KBH PURCHASED AVE BASE COST PER KNR AVE BASE SALE PER AM AVE COST PER AM AVE SALE PER KM FUEL CHARGE REVENUE P.3) LOAM FACTOR ^. LOAD TOW Of RSAVINO, MASSACHUSSITS MUNICIPAL LIOHI DSPART10aiT GHNERAL STATISTICS 1/31/12 MONTH OP SAM 2011 51,520,982 62,562,960 0.035865 0.065586 0.093760 0.121583 3,129,698.16 76.60% 112,176 MONTH 09 % CBANOB YBAB THEO JAN 2012 2010 3011 JAM 2011 JAN 2012 56,616,119 7.35% -3.66% 06,631,681 619,600,557 59,550.250 5.70% .2.67% 616,397,850 633,579,697 0.033086 -6.83% - 68.69% 0.061130 0.031666 0.066118 9.67% 3.62% 0.062898 0.065066 0.089115 -5.78% -5.17% 0.091936 0.086909 0.121100 -0.76% -1.65% 0.120705 0.118797 3,116,395.19 -3.61% - 10.36% 25,167.931.60 22,562,567.15 76.56% 106,556 3 °` ;0 r O, �n o, ~,n ' �y of °y j I O &o 4, i r ��s '7n 41, LO N m �O LO 'IT N c O O O O O O > Q O .�a' 69- > U9. b04 � -0 � 4— 3 °` ;0 r O, �n o, ~,n ' �y of °y j I O &o 4, i r ��s '7n 41, LO m �O LO 'IT N TO O O O O O O .�a' 69- U9. U9. b04 � A TOM OP READING, MASSACHUSETTS HUNICIPAL LIGHT DBPARTMBNT SCHEDULE OF CASH AND INVESTHBNTS ( 1/31/1] 1� SCHEDULE A PREVIOUS YEAR CURRENT YEAR UH eeH_ TRi IM 'A.., CASH - OPERATING FUND 6,854,766.95 9,618,141.11 CASH - PETTY CASH 3,000.00 31000.00 TOTAL UNRESTRICTED CASH 6.857.766.85 9,6]1,141.11 HBHTHICTED. CAull� CASH - DEPRECIATION FUND 4,740,173.30 4,010,961.89 CASH - TO" PAYMENT ]91.]50.00 596,000.00 CASH - DEFERRED PURL RESERVE 1,395,420.56 1,452,199.78 CASH - RATE STABILIZATION POND 4,381,131.86 6,068,389.05 CASH - UNCOLLBCIISLB ACCTS RESERVE 200.000.00 200,000.00 CASH - SICK LEAVE BENEFITS ],0]4,793.05 2.951.851.04 CASH - HAZARD MASTS RESERVE 150,000.00 150,000.00 CASH - CUSTOMER DEPOSITS 515,693.20 604,388.69 CASH - ENERGY CONSERVATION 343,798.77 173,774.11 CASH - OPES 614,450.98 1,172,973.81 TOTAL RESTRICTED CASH 15,656.711.79 18.381,5]8.39 H88T=TBp-INY89TMBNTB: RATE STABILIZATION • 11000,000.00 0.00 9ICR LEAVE BUYBACK 1,000,000.00 0.00 OPEN ••• 100,000.00 0.00 TOTAL RESTRICTED INVZSTMBIITS 1,100.000.00 0.00 TOTAL CASH BALANCE 24.714.478.64 ]6.00].669.51 JAR ID1L PRBDDIE MAC 1,000,000.00; DID 09/10/101 INT 3.00%1 HATURITY 09/15/20 •• FREDDIE MAC 1,000.000.001 DID 09/10/10! INT 2.001; MATURITY 09/15/20 .^ PRBDDIE NAC 100,000.00 DID 09/10/10, INT ].00b HATURITY 09115/30 A TOWN OF READING, MASSACHUSETTS MUNICIPAL LIGHT DEPARTMENT SCHEDULE OF ACCOUNTS RECEIVABLE 1/31/11 SCHEDULE OF ACCOUNTS RECEIVABLE RESIDENTIAL AND CORMERCIAL ACCOUNTS RECEIVABLE - OTHER ACCOUNTS RECEIVABLE - LIENS ACCOUNTS RECEIVABLE - WWY33 ADVANCES SALES DISCOUNT LIABILITY RESERVE FOR =COLLECTIBLE ACCOUNTS TOTAL ACCOUNTS RECEIVABLE BILLRD ONBILLED ACCOUNTS RECEIVABLE TOTAL ACCOUNTS RECEIVABLE, EST PREPAID INSURANCE PREPAYMENT PURCHASED POWER PREPAYMENT PAINT PRRPAYMENT WATSON PURCHASED POWER WORKING CAPITAL ACCOUNTS RECEIVABLE AGING JANUARY 3011: RESIDENTIAL AND C0MMERCIAL LESS: SALES DISCOUNT LIABILITY GENERAL LEDGER BALANCE CURRENT! 30 DAYS 60 DAYS 90 DAYS OVER 90 DAYS TOTAL M PREVIOUS YEAR 6,805,109.81 138,]46.10 105,586.11 1,067.16 135],]16.4040 ) ❑84,66.611 1, 184, 476.50 4,055,159.11 0.439.635.61 1,411,713.81 379,185.17 339,666.63 159,877.3] 14,533.70 3.306.0]6.79 3,398,034.16 (3]1.147.53) 3,015,]86.63 1,670,304.31 81.10% 179,431.05 8.61% 117,584.94 3.93% 55,963.13 1.71% 111.149.01 3.46% 3.145.513.44 100.00% 6CNEDULE B iiu'l tiYi'1 X31 3,398,036.16 173,757.74 68,665.99 691.14 (3]3,347.53) (190.69].06) 1,976,104.64 4,930,194.37 ].908.499.01 1,465,398.59 336,BS3.70 136,330.65 155,415.05 14,513.]0 1.310.511.49 F3 TOW OF READING, MASSACHUSETTS MUNICIPAL LIGHT DRPARTUMMT SUB -TOTAL SCHEDULE OF OPERATING REVENUE 52,472,954.94 49,823,509.37 .5.05\ 1/]1/12 FORFEITED DISCOUNTS 94.513.95 87,993.05 61],66].00 8CN ®GLE D 566.459.28 4.69\ MONTE 32,606.08 MONTH (10,759.23) LAST YEAR 111561560.83 CURRENT YEAR YTO \ SALES 09 ELECTRICITY: LAST YEAR CURRENT YEAR TO DATE TO DATE CHANGE RESIDENTIAL BALES 3,230,361.85 2,986,106.]] 21,591,005.90 61,534.17 20,631,257.22 56,637.)) -4.45\ 294,545.11 CORE AND INDUSTRIAL SALES 4,049,)40.5) 3,545,526.02 28,501,661.35 (59,937.36) 27,056.607.04 (51,411.30) -5.07\ (427,390.42) PRIVATE STREET LIGHTING 10,981.54 6,336.67 73,039.51 47.717.22 - 35.39\ TOTAL PRIVATE CONHUIDIRB 7.291.103.96 6,537,969.06 50.167. 306.76 47.135.SB1.40 -4.85\ 50.685.090.93 MUNICIPAL SALES, STREET LIGHTING 47,157.01 30,461.BB 324.965.18 226,4)1.8) - 30.31\ MUNICIPAL BUILDINGS 119,103.91 104.255.50 716.441.00 690,109.80 -3.68% TOTAL MUNICIPAL COMMAS 166.260.92 134.)17.]8 1.041.406.18 91fi 581.67 . 11.99\ SALES FOR "SALE 39,967.63 35,092.33 262,906.76 352.014.50 -4.14\ SCHOOL 167,129.26 151,836.98 1,001,235.24 919,331.72 -8.18\ SUB -TOTAL 7,664,461.77 6,859,517.75 52,472,954.94 49,823,509.37 .5.05\ FORFEITED DISCOUNTS 94.513.95 87,993.05 61],66].00 566.459.28 4.69\ P ORCHASED PONBR CAPACITY 32,606.08 (10,759.23) 111561560.83 (79,673.49) - 306.89\ ENERGY CONSERVATION - RESIDENTIAL ENERGY CONSERVATION - COMMERCIAL 11,803.45 18,494.27 22,452.71 33.259.24 $1,033.64 229,315.47 132,998.64 220,209.05 62.52\ -3.97\ GAN REVENUE 61,534.17 56,637.)) 294,545.11 419,402.62 42.39\ NYPA CREDIT (59,937.36) (51,411.30) (427,390.42) (397,514.54) -6.92\ TOTAL REVENUE -6.87\ 7.323.476.33 6.997.689.99 54.421.386.5) 50.685.090.93 Ill, TOM 08 READING, EASSACHUSHTTS MUNICIPAL LIGHT DEPARTMENT SCMeOVLE OF OPBEATINp REVENUE BY tONN 1/]1/33 MONTN TOTAL READING LYNNPIBLD NORTH NO.RRADINO NILMINOTON RESIDENTIAL 2,986,106.37 INDUS /NUNS BLDG 918,530.]] 43.53\ 53.32\ 0.14\ 0.094 0.51\ 1.31\ 399,915.20 5.83\ 0.70\ 0.06\ 0.00\ 0.004 0.45\ 723,338.10 13.33\ 36.11\ 0.16\ 0.04\ 0.00\ 0.67\ 914,332.71 INDUS /NUNS BLDG 3,649,781.52 PUB. ST.LIGHTS 546,639.66 1),]99.28 TOTAL 576,647.19 23.28\ 2,178,895.39 19.11\ PUB.ST.LIGNIS 30,461.88 PRV.ST.LIGHTS 91606.25 3,002.86 5,521.08 11,527.91 41.414 55.694 0.44\ 0.10\ 0.514 1.95\ PRV.ST.LIGHTS 6,336.67 CO -OP RESALE 11159.93 116.90 1,989.62 3,0)2.]3 CO -OP RESALE 35,092.33 SCHOOL 35,092.33 7.074 0.00 52.054 0.00 0.00 133,608.17 SCHOOL 151,838.98 TOTAL 55,780.00 30,664.17 19,541.73 0.00 45,853.09 37.554,2)8 .15 TOTAL 6,059,617.75 3.596.608.39 482.396.39 1.327.041.53 3.153.671.46 THIS YEAR TO DATE RESIDENTIAL 30,631,257.22 6,464,504.95 2,938,871.91 4,801,274.13 6,426,606.23 INDUS /MUNI SLOG 27,746,716.84 3,823,007.92 352,644.62 4,133,337.19 19,138,727.11 PUS. ST.LIGHTS 226,471.87 72,925.06 28,087.06 40,374.65 85,085.10 PRV.ST.LIDXT9 47,717.32 8,917.68 873.00 14,702.26 23,224,28 CO -OP RESALE 253.014.50 252,014.50 0.00 0.00 SCHOOL 919,331.72 332,052.32 199,337.84 120,267.15 0.00 20,04.41 TOTAL 19.823,509.]7 _ 10.952.122.13 1,519.811.41 9 .01IS5.39 35,911.317.14 LAST YEAR TO DATE RESIDENTIAL 21,591,805.90 6,782,125.34 3,057,452.60 NORTH 51036,665.92 HEADING 6,715,562.06 NO.RRADING INDUS /NUNS BLDG 29,218,103.35 43.53\ 53.32\ 0.14\ 0.094 0.51\ 1.31\ 3,923,828.61 5.83\ 0.70\ 0.06\ 0.00\ 0.004 0.45\ 365,997.70 13.33\ 36.11\ 0.16\ 0.04\ 0.00\ 0.67\ 4,544,681.78 20,383,594.26 100.00\ PUB. ST.LIGHTS 324,965.10 113,774.59 TOTAL 39,633.23 23.28\ 53,530.13 19.11\ 119,027.23 PRV.ST.LIGHTS 73,839.51 13,985.66 1,392.01 22,866.05 41.414 55.694 0.44\ 0.10\ 0.514 1.95\ 35,595.79 5.90\ 0.71\ 0.06\ 0.00\ 0.00\ 0.40\ CO -OP RESALE 262,906.76 362,906.76 0.00 TOTAL SCHOOL 1,001,335.24 7.074 35],09).86 52.054 209,030.00 0.00 133,608.17 0.00 301,499.13 TOTAL 52.02.851.96 _ 11,15].)18.82 3,6)3.505.6] 9,)91.)5].05 37.554,2)8 .15 PERCENTAGE OF OPERATING INCOME TO TOTAL 41.16\ 55.65\ 0.61\ 0.11\ 0.50\ 1.901 12.93\ 7.48\ 0.13\ 0.03\ 0.50\ 0.68\ 5.83\ 0.70\ 0.004 0.00\ 0.00\ 0.404 NORTH TOTAL HEADING NN LYPIBLD NO.RRADING MILMINGTOM RESIDENTIAL INDUS /NU132 BLDG PUB.ST.LIGHTS PRV.ST.LIGHTS CO -OP RESALE eCH00L 43.53\ 53.32\ 0.14\ 0.094 0.51\ 1.31\ 13.03\ 7.974 0.14\ 0.02\ 0.51\ 0.81\ 5.83\ 0.70\ 0.06\ 0.00\ 0.004 0.45\ 10.54\ 0.414 0.08\ 0.00\ 0.004 0.25\ 13.33\ 36.11\ 0.16\ 0.04\ 0.00\ 0.67\ TOTAL 100.00\ 31.844 7 ,014 TOTAL 100.00\ 23.28\ ).01\ 19.11\ 50.349 THIS YEAR TO DATE 11161 RESIDENTIAL INDUS /MUNI BLDG PUB.ST.LIGHTS PRV.ET.LIGHTS CO -OP RESALE SCHOOL 41.414 55.694 0.44\ 0.10\ 0.514 1.95\ 12.97\ ].6]\ 0.15\ 0.024 0.514 O.fi]\ 5.90\ 0.71\ 0.06\ 0.00\ 0.00\ 0.40\ 9.61\ 0.90\ 0.08\ 0.03\ . 000\ 0.24\ 12.90\ 38.41\ 0.15\ O.OSt 0.00\ 0.54\ TOTAL 100.004 ]1.994 7.074 18.89\ 52.054 LAST YEAR TO OATS RESIDENTIAL INDUS /HUNS BLDG PUB. ST. LIGHTS PRV.ST.LIGHTS CO -OP RESALE SCHOOL 41.16\ 55.65\ 0.61\ 0.11\ 0.50\ 1.901 12.93\ 7.48\ 0.13\ 0.03\ 0.50\ 0.68\ 5.83\ 0.70\ 0.004 0.00\ 0.00\ 0.404 9.60\ 8.66\ 0.104 0.014 0.254 12.804 30.81\ 0.]]\ 0.07 0.57\ TOTAL 100.00\ 31.844 7 ,014 18.65\ 51.504 11161 SALES OF ELECTRICITY: RESIDENTIAL CORN AND INDUSTRIAL SALES PRIVATE STREET LIGHTING MUNICIPAL BUILDINGS PUBLIC STREET LIGHTING SALES FOR RESALE SCHOOL TOTAL BASE SALES TOTAL FUEL SALES TOTAL OPERATING REVENUE i FORFEITED DISCOUNTS PURCHASED PONER CAPACITY ENERGY CONSERVATION - RESIDENTIAL ENERGY CONSERVATION - COMMERCIAL GAN REVENUE NYPA CREDIT TOTAL OPERATING REVENUES ( I • ACTUAL UNDER BUDGET TOW OF READING, MASSACHUSETTS MUNICIPAL LIONS DEPARTMENT BUDGETED REVENUE VARIANCE REPORT 1/31/12 SCHEDULE P ACTUAL BUDGET % YEAR TO DATE YEAR TO DATE VARIANCE • CHANGE 11,208,590.01 13,129.335.00 (920.744.98) -7.01% 14,197,303.93 15,115,903.00 (818,599.07) -5.42% 136,796.83 300.886.00 (164,099.17) - 54.54% 141,564.02 174,415.00 (32,850.98) - 18.83E 496.707.42 517.050.00 (10.350.50) -3.94% 27,280,961.32 19,137,597.00 (1,956,634.78) -6.69% 22.542.547.15 25.278.846.00 (2.736.290.85) - 10.82% 49,823,509.37 54,516,443.00 (4,692,933.63) -8.61% 566,459.28 643,227.00 176,767.711 - 11.93% (79.673.49) (83,535.00) 3,861.51 -4.62% 132.998.64 122,692.00 10,306.64 8.40% 220,209.05 203,132.00 17,077.05 8.41% 419,402.62 404,691.00 14,711.62 3.64% (397,814.54) (350,000.00) (47,014.54) 13.66% -8.60% 50.685.090.93 55 456 650.00 14,)73. 559.0)) TOM OF READING, MASSAC9HUSZTTS MUNICIPAL LION) DEPARTMENT SCNNDOLi OF OPERATING EXPENSES 1 /IS /l2 SCHEDULE 8 MIMTENAMCE EIP8NB6B: HAINT OF TRANSMISSION PLANT PRIM OP BTRUM AND BQOIPM SAINT OF LINES - OR SAINT OF LIMB - GO MAINS OF LIM TRANSFORMERS PRINT OF ST IT B SIG SYSTEM PRINT OF GARAGE AND STOCKROOM PRIM OF ENTERS MINE OF OM PLANT TOTAL MINTENANCE EXPENSES DEPRECIATION EXPENSE PURCHASED PONER FUEL EXPIRES VOLUNTARY PATMMI TO TOMS TOTAL OPERATING EXPENSES 117.06 MONTH 137.08 MUM 1,589.60 LAST YEAR 1.509.58 CUMMM YEAR YTD % OPERATION EXPENSES: LAST YEAR CURRENT YEtR TO DATE 89,161.66 TO DATE 186,043.40 CEANGS PURCHASED POMR BASE EXPENSE 1.343.845.83 111,388.06 1.970.396.64 140,398.83 16.388.717.13 900,519.41 14,934,146.54 1.070,013.31 -9.87% 33.66% OPERATION SUPER AND ENOIM -TRANS 0.00 0.00 0.00 0.00 0.00% OPRRATSOM SUP AND ENGINEERING zip 33,668.76 (8,389.19) 31,507.31 1,293,045.04 170,114.05 31,187.43 309,701.74 - 97.59% 14.61% (18.34) STATION SUP LABOR AND RISC 8,859.13 7,736.16 63,135.39 66,914.43 6.00% LIM RISC LABOR AM EXPENSE 43,491.14 307,482.09 38,506.15 298,546.62 356,301.13 -2.91% 354,941.18 7,$93.73 5.07% 9,654.55 STATION LABOR AND EIPRESS 19,841.11 19,667.64 368,317.63 383,853.46 5.46% STREET LIGHTING EXPENSE 7,599.92 46,703.38 14,177.67 - 18.84% 50,440.36 655,595.19 68,061.51 281.566.15 34.97% 1.639.911.01 RATER EXPENSE 14,501.33 e1OB0.36 194,366.47 150,315.95 - 11.66% NISC DISTRIBUTION EXPENSE 14,046.77 15,739.70 193,357.63 194,913.35 1.30% MRYRR READING LABOR A EXPRESS 5,300.39 6,977.37 44,181.91 53,554.07 31.62% ACCT A COLL LABOR A MESSER 103,301.55 111,605.63 156,901.41 511,569.78 7.36% UNCOLLECTIBLR ACCOUNTS 15,000.00 16,000.00 105,000.00 111,000.00 6.67% ENERGY AUDIT EXPENSE 39,958.16 30,615.79 117,665.91 161,481.13 15.39% ADMIN 6 OEN SALARIES 53,561.74 59,011.95 411,056.66 437,113.65 6.04% OFFICE SUPPLIER A EXPENSE 16,735.90 19.168.89 155,667.39 116,641.10 - 30.18% OUTSIDE SERVICES 17,390.36 36,301.15 115,609.34 113,657.00 93.46% PROPERTY INSURANCE 31,705.39 13.165.13 116,066.71 110,567.04 1.14% INJURIES RED DAMAGES 3,190.35 3.969.16 34,576.49 7,916.13 - 67.755 EMPLOYERS PENSIONS A BENEFITS 359,736.87 )62.184.63) 1,014,536.66 601.198.43 - 33.41% RISC GENERAL EXPENSE 7,131.58 91144.60 91,735.53 130.960.38 30.4E RENT EXPRESS 16,613.93 51695.39 101,578.33 103.891.73 1.90% ENERGY CONSERVATION 30,485.30 39.935.13 376,333.80 350,331.85 26.79% TOTAL OPERATION EXPENSES 563.010.77 453.931.67 4.950.034.69 •.969.115.69 0. .. MIMTENAMCE EIP8NB6B: HAINT OF TRANSMISSION PLANT PRIM OP BTRUM AND BQOIPM SAINT OF LINES - OR SAINT OF LIMB - GO MAINS OF LIM TRANSFORMERS PRINT OF ST IT B SIG SYSTEM PRINT OF GARAGE AND STOCKROOM PRIM OF ENTERS MINE OF OM PLANT TOTAL MINTENANCE EXPENSES DEPRECIATION EXPENSE PURCHASED PONER FUEL EXPIRES VOLUNTARY PATMMI TO TOMS TOTAL OPERATING EXPENSES 117.06 137.08 1,589.60 1.509.58 0.00% 11,647.93 76,364.71 89,161.66 186,043.40 110.90% 111,388.06 140,398.83 900,519.41 1.070,013.31 33.66% 17,303.03 9,400.19 83,078.45 115,381.36 38.76% 433,483.83 (8,389.19) 1,293,045.04 31,187.43 - 97.59% (18.34) (48.03) (117.88) (350.51) 197.34% 57,796.92 49,668.05 307,482.09 298,546.62 -2.91% 7,$93.73 9,654.55 7,593.]] 49,608.01 553.16% 5,175.06 51489.96 57,547.90 46,703.38 - 18.84% 655,595.19 281.566.15 1.639.911.01 1.800.621.68 - 31.79% 18],]39.05 396.027.47 3,014,103.35 1,071,193.39 2.804 3,520,814.67 3,338,331.19 24,651.135.51 11,747,767.61 -7.72% 105,885.00 113,000.00 765,885.00 767,186.00 1.78% ].]]5.880.60 6.43].153.11 51.109.986.80 47 II1.139.81 -7.97% •• FY 12 total include GAN ,011 tamadi.tion a.panae totalling 80.00 Total coat. to data E.Y ..tit. pI.J.ct L 82.481,815.80. Ll i vn lei TONE 01 READING, MASSACHUSETTS MUNICIPAL LIGHT DEPARTMENT BUDGETED OPERATING EXPENSE VARIANCE REPORT /31/12 SCHEDULE O it \I ACTUAL BUDGET % OPERATION RXPREBEB: YEAR TO GATE YEAR TO DATE VARIANCE • C9ANOE PURCHASED PONRR BABE EXPENSE 14.9]6.366.56 15.959.339.00 (1.025.09] -461 -6.42% OPERATION SUPER AND ENGIN -TRANS 0.00 0.00 0.00 0.00% OPERATION SUP AND ENGINEERING EXP 309,703.74 255,549.00 54.15).]4 21.19% STATION SDP LABOR AND MISC 66,914.43 35,363.00 31,553.43 89.23% LINE RISC LABOR AND EXPENSE 384,641.18 418,459.00 (33,517.82) -8.01% STATION LABOR AND EXPENSE ]8],853.46 257,401.00 ]5,45].46 9.89% STREET LIGHTING EXPENSE 681061.51 49,735.00 18,346.53 36.89% MYRA EXPENSE 150,325.95 $9,159.00 61,166.95 68.60% MISC DISTRIBUTION EXPRESS 194,91].]5 302,468.00 (7,555.75) -3.73% METER READING LABOR 6 EXPRESS 53,854.07 44,096.00 9,756.07 22.12% ACC] 6 COLL LABOR A EXPENSE 811,869.78 039,190.00 (17,3]0.]]) -2.09% UNCOLLECTIBLR ACCOUNTS 112,000.00 113,000.00 0.00 0.00% ENERGY AUDIT EXPENSE 262.482.13 245,466.00 17.016.13 6.93% ADMIN 6 GEM SALARIES 437.113.65 429,227.00 7,886.65 1.64% OFFICE SUPPLIES 6 EXPENSE 126,641.10 155,127.00 (38,485.90) - 16.36% OUTSIDE SERVICES 223,657.00 321,330.00 (97,663.00) - 30.39% PROPERTY INSURANCE 219,567.64 371,364.00 (5],696.161 -19.43% INJURIES AND DARAGRS 7,926.23 32,741.00 (24,814.77) - 75.79% EMPLOYERS PENSIONS 6 08NSPITS 68],198.4] 9)),189.00 (250,990.58) - 26.90% RISC GENERAL EXPENSE 120,960.38 143,355.00 121,294.611 - 14.97% ARMY EXPENSE 10),891.7] 133,669.00 419,777.28) - 15.996 ENERGY CONSERVATION 350,111.85 385,006.00 (34,7B4.15) -9.03% TOTAL OPERATION EXPENSES 4.969.115.69 5.)33.685.00 (363.569.31) -6.82% MAINTENANCE EIPENBE9t MAINT OF TRANSMISSION PLANT 1,569.58 1,750.00 (160.42) -9.17% MAINT OF STRUCT AND EQUIPMENT 188,042.40 64,203.00 123,839.40 192.89% MAINT OP LINES - ON 1,070.013.21 816,026.00 253,987.21 31.13% MAINT OF LINES - UG 115.301.36 124,813.00 (9,531.64) -7.64% MAINT OF LINE TRANSFORMER •• 31,107.43 126,199.00 (95,011.57) - 75.29% RAINY OF $I LT 6 SIG SYSTEM (350.51) 5,610.00 (5,960.51) - 106.25% RAINY OF GARAp9 AND STOCKROOM ]98,546.8] 370,811.00 (7],]64.18) - 19.49% MAINT OF RETIRE 49,608.01 49,838.00 (219.99) -0.44% RAINT OF GEN PLANT 46,703.38 74,)]6.00 (27,623.62) - 37.16% TOTAL MAINTENANCE EXPENSES 1.800.6]1.68 1.633.566.00 167.055.60 10.23% DEPRECIATION EXPENSE ],07],19].]9 2,100,000.00 (27,807.711 -1.32% PURCHASE) POWER FUEL EXPENSE 32,747,767.61 23,871,456.00 (1,123,680.39) -4.71% VOLUNTARY PAYMENTS TO TOMB 787,186.00 791.000.00 (3,814.00) -0.48% TOTAL OPERATING EXPENSES --77, 91 -4.70% 311, 129 49.688.046.00 12.376.916.19) • I 1 ACTUAL UNDER BUDGET •• PY 12 total i..l.d.. GAN soil zawdlatSON axpa0... totalling $0.00 Total coat. t. data for e.tl Ka p..J..t 1. $2,482,825.80. it \I TORN OF READING, MASSACHUSETTS NGNICIPAL LIGHT DePARTHEM BUDGETED OPERATING EXPENSE VARIANCE REPORT 1/31/13 RESPONSIBLE XS 0.00 RBNAININO 0.00 SENIOR 3012 ACTUAL BUDGET REMAINING OPERATION EXPENSES: NANAGBR ANNUAL BUDGET YEAR TO DATE BALANCE BUDGET PURCHASED POTTER BASE EXPENSE JP 3).403.1)).00 11.9)1.366.56 13.467.930.46 45.50% OPERATION SUPER AND BNOIN -TRANS XS 0.00 1,356,000.00 0.00 0.00 OPERATION SOF AND ENGINEERING EXP RE 438,974.00 TOTAL OPERATING ZXPM993 309.)03.)4 129,371.36 STATION SUP LABOR AND EXEC XS 61,909.00 36.456.3)0.19 66,914.43 (41005.43) LINE RISC LABOR AND EXPENSE RE 693,484.00 384,941.18 307,543.81 STATION LABOR AND EXPIRES BE 441,934.00 383,853.46 159,070.54 STREET LIGHTING EXPENSE BE 85,338.00 68,081.51 17,356.49 METER XKPENEE XS 153,130.00 150.335.95 1,604.05 RISC DISTRIBUTION EXPENSE m 353,508.00 194,913.IS 157,595.75 RATER RRADINO LABOR 6 EXPENSE BE 76,330.00 53,854.07 33,365.93 ACCT 6 COLL LABOR 6 EXPENSE M 1,427,355.00 811,869.78 615,385.33 "COLLECTIBLE ACCOUNTS RF 192,000.00 112,000.00 801000.00 RENEW AUDIT EXPENSE JP 414,098.00 363,403.13 151,615.67 ADRIN 6 ORE SALARIES VC 745,939.00 437,113.65 308.035.35 OFFICE SUPPLIES 6 EXPENSE VC 265,700.00 136,641.10 139.058.90 OWSIDE SERVICES VC 454.350.00 323,657.00 330,593.00 PROPERTY INSURANCE JD 465,000.00 318,567.84 346,433.16 INJURIES AND DAMAGES 10 55,859.00 7,936.33 47,933.77 EMPLOYEES PENSIONS 6 BENEFITS JD 1,441,637.00 682,196.42 759,438.58 RISC GENERAL EXPENSE VC 303,091.00 130,960.38 82,130.63 REM EXPRESS .i0 213,000.00 103,891.73 108,108.38 ENERGY CONSERVATION JP 643,789.00 350,331.65 393,567.15 TOTAL OPERATION EXPENSES 8.833.105.00 41969,115.69 3.853.989.31 RAIMENANCE EXPENSES: RAINT OF TRANSMISSION PLANT 99 3,000.00 11589.56 1,410.43 RAIM OF STRDCT AND SQUIRM BB 107,073.00 186,043.40 (00,970.40) RAIM OF LIMB - OR RE 11419,953.00 1,070.013.31 349,939.79 BRIM OF LIMB - U0 B8 214,037.00 115,391.36 96,755.64 BRIM OF LINE TRANSPORRIRS • • B8 1881500.00 31,187.43 157,312.57 BRIM OF IT IT 6 8I0 SYSTEN JD 91636.00 (350.51) 91986.51 BRIM OF GARAGE AND STOCBROON JD 662,139.00 398,546.82 363,593.10 BRIM OF MINES RE 85,444.00 49,608.01 35,B35.99 BRIM OF GEN PLANT RP 137,620.00 46,703.38 80,916.63 TOTAL MAIMENANCS EXPENSES 3,817.401.00 1.800.621.68 1.016.779.33 DEPRECIATION EXPENSE M 3.600,000.00 2,071,192.29 1,52),60).71 PURCHASED POKER FUEL EXPENSE Jp 39,768,517.00 31,747,767.61 17,031,049.39 VOLUNTARY PAYNEMS TO TONNE RP 1,356,000.00 707,186.00 568,814.00 TOTAL OPERATING ZXPM993 83.)6).500.00 47.311.119.81 36.456.3)0.19 FY 13 total includes GAN Boil r vediation expavaa totalling $0.00 Total costa to data for entire project 1. $1,483,835.80. It i.) 14 cw TORN 09 READING, MASSACHUSETTS MUNICIPAL LIGHT DEPARTMENT PROFESSIONAL SERVICES 01/31 /1011 PROFESSIONAL SERVICES BY PROJECT PROFESSIONAL SERVICES BY VENDOR ITEM DEPARTMENT ACTUAL BUDONT ROMAREE INSURANCE VARIANCE 1 RKLD AND PENSION TRUST AUDIT 7668 ACCOUNTING 34,940.00 UTILITY SERVICES INC. 31,150.00 1,690.00 41,903.61 3 PENSION ACTUARIAL EVALUATION ACCOUNTING 0.00 CHOATE HALL AND STEWART 0.00 0.00 1,140.00 3 LBGAD- PSRC /ISO ISSUES ENERGY SERVICE 0.00 CNERC 10,500.00 (10,500.00) 1,513.19 4 LEGAL- POWER SUPPLY ISSUES ENERGY SERVICE 30,109.35 16,150.00 3.859.35 5 PROFESSIONAL SERVICES ENERGY SERVICE 1,484.31 14,000.00 (61515.60) 6 NERC COMPLIANCE E A 0 11,990.00 10,850.00 1.140.00 7 LOAD CAPACITY STUDY /GIB ENGINEERING 9,380.00 11,150.00 (1,970.00) 8 LEGAL SERVICES- GENERAL ON 91,670.70 39,169.00 61,501.70 9 LEGAL SERVICES- OENBRAL MR 16,156.41 14,500.00 1,756.41 30 LEGAL SERVICES- NEGOTIATIONS MR 633.10 0.00 633.30 11 LEGAL GENERAL BLDG. MAIM. 1,311.50 675.00 1,437.50 13 SURVEY RIGHT OF WAY BLDG. MAIM. 0.00 3,919.00 (11919.00) 13 ENVIRONMENTAL BLDG. MAINT. 0.00 1.919.00 (1,919.00) 14 STATION 1 STRUCTURAL PBASABILITY BLDG. MAINT. 0.00 50,D00.00 (50,000.00) 15 DEMOLITION OF CONTROL CENTER BLDG. MAIM. 1,513.19 1001000.00 (97.476.81) 16 INSURANCE CONSULTANT OEM. BENEFIT 6,456.33 1,919.00 3,539.33 17 LEGAL GEN. BENEFIT 0.00 1,919.00 (1,919.00) TOTAL 333.657.00 311,330.00 197,653.001 PROFESSIONAL SERVICES BY VENDOR ACTUAL ROMAREE INSURANCE 61041.66 ROBIN AND RUDMAN 110,945.94 UTILITY SERVICES INC. 13,481.67 9RLANSON SRAM A COMPANY 41,903.61 DUNCAN AND ALLEN 61183.99 CHOATE HALL AND STEWART 16,888.61 PROFESSIONAL ENVIRONMENT AL SERVICES 1,140.00 COX 9,180.00 CNERC 4,169.31 COVINO ENVIRONMENTAL ASSOCIATION 1,513.19 TOTAL 113,657.00 (13) RNLD BUDGET VARIANCE REPORT FOR PERIOD ENDING JANUARY 31. 2012 DIVISION ENGINEERING AND OPERATIONS ENERGY SERVICES GENERAL MANAGER FACILITY MANAGER BUSINESS DIVISION SUB -TOTAL PURCHASED POWER - BASS PURCHASED POWER - FUEL TOTAL ACTUAL BUDGET VARIANCE 2,912,154 2,475,829 436,325 650,367 681,516 (31,149) 495,434 431,685 63,750 1,559,655 2,156,370 (596,715) 5,303,539 5,410,361 (106,821) 10,921,150 11,155,760 (234,610) 14,934,247 15,959,339 22,747,768 23,871,456 CHANGE 17.62% -4.57% 14.77% - 27.67% -1.97% -2.10% (1,025,092) -6.42% (1,123,688) -4.71% 98,603,164 50,986,555 (2 383 391) -4.67% 0 V RED so DBlERAEp FUEL CA88 AE9ERYt ANALYBSB 01/31/12 GROSS RORTELY TOTAL DATE CRARGEB RRVEEORB RYlA CREDIT DZYBRRA) DAlERRED J. -11 3,055,226.78 Jul -11 6,131,396.63 6.069,765.65 (79,163.65) (1601815.031 2,096,609.75 Aug -11 3,795,607.97 3,926,561.80 (52,328.76) 76,605.09 2,971,016.86 69g -11 2,916,869.60 3,166,562.66 (56,869.90) 192,823.36 3,163,838.18 Oet -11 2,955,398.39 2,852,952.53 (65,133.69) (167,579.55) 3,016,250.63 R0Y-11 2,663,266.66 2,566,526.70 (67,651.31) (166,171.07) 2,670,087.S6 D9c -11 2,966,917.38 2,889,822.56 (63,655.95) (162,550.79) 2,727,536.77 JRV -12 3,338,331.18 3,116,395.69 (51,611.30) (275,366.99) 2,652,189.78 RMLO STAFFING REPORT FOR FISCAL YEAR ENDING JUNE, 2012 ACTUAL CONTRACTORS UG LINE 12 BUD JUL AUG SEP OCT NOV DEC SAN TOTAL 11 11 11 11 11 11 12 GENE • a A BR GENERAL MANAGER HUMAN RESOURCES COMMUNITY RELATIONS TOTAL 2 1 1 4 2 1 1 4 2 1 1 4 2 1 1 4 2 1 1 9 75 2 1 1 4 2 1 1 4 2 1 1 9 EUSINESS ACCOUNTING CUSTOMER SERVICE • MONT INFORMATION SYS • MISCELLANEOUS TOTAL 2.00 7.75 6.25 1 17.00 1.50 8.75 5.25 1 16.50 1.50 8.75 5.25 1 16.50 1.50 8.75 5.25 1 16.50 2.00 8.75 5.25 1 17.00 2.00 8.75 5.25 1 17.00 2.00 8.75 5.25 1 17 00 2.00 B.75 5.25 1 17 00 ENGINEERING I OPERATIONS AGM E&O ENGINEERING LINE METER STATION TOTAL 2 5 21 4 8 90 2 5 20 4 8 39 2 5 20 4 8 39 2 5 20 4 8 39 5 20 9 B 39 5 20 4 B 39 5 20 9 8 39 5 21 9 ] 39 PROJECT BUILDING GENERAL BENEFITS TRANSPORTATION MATERIALS MONT TOTAL 2 2 0 4 8 2 2 0 4 8 2 2 0 4 B 2 2 0 4 8 2 2 0 4 B 2 2 0 9 8 2 2 0 4 8 2 2 0 4 8 ENERGY SEgyICEfl ENERGY SERVICES + TOTAL 5.5 5.5 5.5 5.5 5.5 5.5 5.5 5.5 5.5 5.5 5.5 5.s 5.5 5.5 4.5 4.5 RMLD TOTAL 74.5 73 73 73 73.5 73.5 73.5 72.5 CONTRACTORS UG LINE 2 2 TOTAL 2 2 2 2 2 2 2 2 2 2 2 2 2 GRAND TOTAL 76.5 75 75 75 75.5 75.5 75.5 74.5 part time employee To: Vincent Cameron From: Energy Services Date: February 22, 2012 Subject: Purchase Power Summary — January, 2012 Energy Services Division (ESD) has completed the Purchase Power Summary for the month of January, 2012. ENERGY ATTACHMENT The RMLD's total metered load for the month was 59,550,250 kWh, which was a decrease of 4.71%, compared to the January, 2011 figures. Table 1 is a breakdown by source of the energy purchases. TABLE 1 Amount of Cost of % of Total Total $ $ as a Resource Energy Energy Energy Coats % (kWh) ($uMmi) l Millstone a3 3,702,713 -$5.74 8.22% - $21,254 464% Seabrook 4,357,337 $8.18 7.32% $35,651 1.07% JP Morgan 9,390,600 $56.15 15.77% $527,261 15.79% Stonybrook CC 202,919 $17044 0.34% $34,586 1.04% Constellation 13,008,800 $68.47 21,84% $890,735 26.68% NYPA 2,027.882 $4.92 3.41% $9,977 0.30% ISO Interchange 6,158,228 $4715 10.34% $290,352 870% NEMA Congestion 0 $0.00 0.00% - $1,983 -0.06% Coop Resales Ba,408 $132.20 0.15% $11.887 0.35% Stonybrook Peaking 0 $0.00 0.00% $24 0.00% MacOushe 18,072,000 $7275 30.35% $1.314,662 39.36% Braintree Watson Unit 97,769 $126.06 0.18% $12,325 0.37% Swig River Prolecis 2.413,794 $95.86 4.10% $234.309 7.02% Monthly Total 59,550.250 $56.06 100.00% $3,338.331 100.00% ATTACHMENT Table 2 breaks down the ISO interchange between the DA LMP Settlement and the RT net Energy for the month of January, 2012. It Table 2 Amount Cost %of Total Resource of Energy of Energy Energy (kWh) ($ /Mwh) ISO DA LMP' 7,416,503 44.46 12.45% Settlement Amount of Cost of RT Net Energy— - 1,258,275 26.57 -2.11% Settlement ISO Interchange 6,158,228 47.15 10.34% (subtotal) CAPACITY The RMLD hit a demand of 106,558 M, which occurred on January 16, 2012 at 6 pm. The RMLD's monthly UCAP requirement for January, 12, was 201,318 Ms. Table 3 shows the sources of capacity that the RMLD utilized to meet its requirement. Table 3 Amount of Cost of %of %of Capacity Capacity Total Total Source (kWs) ($ /kW- month) Capacity Total Cost $ Cost Millstone e3 4,991 $51.65 2.48% $257,774 19.28% Seabrook 7,910 $49.81 3.93% $393,962 29.46% Stonybrook Peaking 24,981 $2.00 12.41% $50,021 3.74% Stonybrook CC 42,925 $3.85 21.32% $165,263 12.36% NYPA 4,666 $2.81 2.32% $13,101 0.98% Hydro Quebec 4,274 $478 2.12% $20,448 1.53% ISO -NE Supply Auction 101,051 $3.25 50.19% $328,647 24.57% Braintree Watson Unit 10,520 $10.28 5.23% $108,133 809% Total 201,318 $8.84 100.00% $1,337,348 100.00% a TRANSMISSION The RMLD's total transmission costs for the month of January were $638,899. This is an increase of 2.74% from the December transmission costs of $621,443. In January, 2011 the transmission costs were $754,397. Table 4 shows the dollar amounts for energy and capacity per source. Table 5 Table 4 Current Month Last Month (Dac -11) Last Year (Jan '11) Peak Demand (kW) 106,555 106.371 112.174 Cost of 59,550.250 59.123.502 5.813.607 Energy (S) %of Anil. of EreM Power Resource Energy Capacity Total cost Total Cost (kWh) ($kWh) $621443 Millstone 03 - $21.254 $257,774 $236,520 5.06% 3,702,713 $0.0639 Seabrook $35,651 $393.962 $429,813 9. t9% 4,357,337 $0.0986 Stonybmok CC $34,586 $165,263 $199,849 4.27% 202,919 $0.9849 Hydro Ouebec $0 $20.446 $20,446 0.44% 0 $0.0000 Constellation $890,735 $0 $890,735 19.05% 13,005,600 $0.0685 NYPA $9,977 $13.101 $23,079 0.49% 2.027.882 $0.0114 ISO Interchange $290,352 $328.647 $818,999 13.24% 6,158,228 $0.1005 NEMA Congertion - $1,983 $0 - $1,983 -0.04% 0 $0.0000 Coop Resales $11,687 $0 $11,687 0.25% 88,408 $0.1322 Stonybrook Peaking $24 $50,021 $50,044 1.07% 0 $0.0000 JP Morgan $527.261 $0 $527.251 1118% 9,390.600 $0.0561 MacOuarie $1,314,662 $0 $1,314,682 28.12% 18,072,000 $0.0727 Braintree Watson Unit $12,325 $108.133 $120.459 2.58% 97,769 $11321 Swift River Projects $234.309 $0 $234,309 5.01% 2.443,794 $0.0959 Monthly Total $3,338,331 $1,337,348 $4,875,680 100.00% 59,550,250 $0.0755 TRANSMISSION The RMLD's total transmission costs for the month of January were $638,899. This is an increase of 2.74% from the December transmission costs of $621,443. In January, 2011 the transmission costs were $754,397. Table 5 shows costs for the current month vs. last month and last year (January, 2011) Table 5 Current Month Last Month (Dac -11) Last Year (Jan '11) Peak Demand (kW) 106,555 106.371 112.174 Energy (kWh) 59,550.250 59.123.502 5.813.607 Energy (S) $3.338.331 S2.968,917 $3.620.815 Capacity (S) $1,337.348 $1.397.529 SI 492.489 Transmission (It Total $638899 $621443 $754.397 $5,314.578 $4987,889 55.867,701 �r r� AL IL } E cc \ ) //\////\/ | E eat §§§§ §§ [ !§!m!ƒ!!! | k /| {)!E §k {) --- ,,/ |)| w \ /(2!k!k \($)22222 L) Ow ) 0000 /// � ! E ! §9999 §!! - 2 § «} § §22f! �# ! )|{ /i)f | ; ƒ k§§ { {f�� ! \ ¥\ «l®e k ! r#rrrr §! / )k / / / / } \} | k k k ATTACHMENT V d O L IL eu M m L Im CL L eu E 0 N C e4 E= L46 rn ao n cD LO v M N r o �aa suoilliw ui s,ielloa a0 a T T r C O T a D tl n a =iiimm! iimiioiii IMiiiiii =iiiiii 'ilmiiiiii m�iiiiii imoiiiiii i"imoiiiiii i"imoiiiiii E'iMIiiiiii w'imliiiiii M'iiiiiiiil M+�i101iiiiil iii i- EmlliMMi rn ao n cD LO v M N r o �aa suoilliw ui s,ielloa a0 a T T r C O T a D tl n a u U N O a` N R CL 3 R 0 d L Ql C U C O V d cc c n N N Of D7 (6 (c cm m (O LO O OD I O (p F d m a`a` O N 0) O a ro v n ,LL N 7 n N O N 1 � la -- --- - -- m -------------- - - --- n - ---- ---- ----- (o - -- --------- - - - - -- rn ------- - ----- -- w n v n () > w W O C7 N O (D t0 {C 17 �U ' (O 0— 0 n M OD 0 0 O m 1 m noo COO) v000 o aO �M o0 o 0N 0 0 0 t; d 0 0 0 0 0 0 0 6666 Q O M O O 0 O7 OD IE �E �U 0 0 0 to N n (O (O 0 0 (O O It (O coo O E 00 O co Cl) O Cl) 4 00 N (O n 00 N O .- O— N — V M m O O O O N O 0 000 0 0 0 2 N — 0 0 0 N 0 0 0 0 0 660 O 000 ----- --- ------------------- -' co (n O N O O O V O O y N 1 N N N N LL C C r C C C C E E E c > E C i E C E C E C (0 a co ca O_ O) a Ol O_ OI O d 0 'j 0) LL O 'j h O 'j N O 'j N cr D D J W L N O J W L N J W co J W L CO I U `O Q N Cl N Co Cl 4) U N -1 O 5 J U U OJ 00 (` 0J (` 0J Q O(� D C U U V U 9 co O O � f` O E d 0 E d 0 0 rL y r L) 0- cr LL LLQLL 110 CL Cl LL 0LL¢LL c n N N Of D7 (6 (c cm m (O LO O OD I O (p F d m a`a` 2/24/2012 10:58 AM READING MUNICIPAL LIGHT DEPARTMENT FY 12 CAPITAL BUDGET VARIANCE REPORT FOR PERIOD ENDING JANUARY 31, 2012 N PROJECT DESCRIPTION ESO Construction • System Projects 1 SW9 Reconductonng - Ballardvale Street 2 High Capacity Tie 4W 1B and 3W8 Franklin Street 7 Upgrading Old Lynnfield Ctr URDs SCADA Protects 4 RTU Replacement Dls169uUon Automation Pm6i 5 Reclosures 6 Capacitor Banks 7 SCADA Radio Communication System Station Uourades Station #4 GAWI 8 Relay Replacement Project 9 115kV Disconnect Replacement New Customer Service Connectiom, 12 Service Installations- Commerc,01ndusti ial Customers 17 Service Installations - Residential Customers 14 Routine Construction Various Routine Construction Total Construction Projects Other Protects 15 GIS 16 TransformenwCapacilors Annual Purchases 17 Meter Annual Purchases 17A Meter Upgrade Project 18 Purchase New Small Vehicle 19 Purchase Line Department Vehicle 20 Purchase Puller Trailer 21 Roof Top Units 22 Engineering Software and Data Conversion 23 Planer 27 Hardware Upgrades 28 Software and Licensing OTH Cooling Tower Replacement Total Other Projects TOTAL RMLD CAPITAL PROJECT EXPENDITURES ® 29 Force AccounVRermoumame Projects TOTAL FY 12 CAPITAL PROJECT EXPENDIITURES ALL 152,543 ACTUAL YTD ACTUAL ANNUAL 272,139 7,797,112 COST COST BUDGET 7,855 TOWN JANUARY THRU 1131112 AMOUNT VARIANCE W 31,951 159.632 242.649 83.017 R 40.702 112,368 157.766 45,398 LC 75,000 377 579,927 579.550 R 30.000 1,640 130155 128,615 ALL 197.901 197.901 ALL 8.362 9.542 105,052 95,510 ALL 94 435 68375 231,386 231,386 R 343 2.803 99.656 96,853 R 22,650 49,738 88,585 38.847 ALL 4,998 29,960 62.530 32,550 ALL 10,591 104.152 206,017 101.865 ALL 152,543 1,296,880 1,016,382 (280,498) 272,139 7,797,112 7.119,709 1,750,994 ALL 471,902 2,786,870 5, 970,047 7,544,277 8,715 50.000 41,285 102,340 157.352 198.800 41,448 7.855 7,855 46,360 38,505 21,759 318,050 1.740.656 1,424,606 31,544 36,000 4.456 386,000 386,000 75,000 75,000 30,000 30.000 76 690 76.690 18.000 19.000 7,809 32436 40.000 7.564 26 060 94 435 68375 18.706 - (18706) 139,787 598,718 2,791,941 2,193,227 411,902 2,365,870 5,910,047 3,544.217 ALL 471,902 2,786,870 5, 970,047 7,544,277 Reading Municipal Light Department Engineering and Operations Monthly Report January, 2012 FY 2012 Capital Plan E &O Construction — System Proiects 1. 5W9 Reconductoring — Ballardvale Street - Wilmington — Installed primary spacer cable and cutouts; pole transfers; engineering labor; installed swamp anchor; 2. High Capacity Tie 4W1 8/3W8 Franklin Street — Reading — Installed pulling blocks, rope, pole to pole guy, spacer cable, spacers, transformer, and gang operated switch; spliced; pole transfers. 3. Upgrading of Old Lynnfield Center URDs — Engineering correspondence with Town of Lynnfield; developing specifications. SCADA Proiects 4. RTU Replacement at Station 4 — Reading — No activity. Distribution Automation (DA) Proiects 5. Reclosers — No activity. 6. Capacitor Banks — Build capacitor banks. 7. SCADA Radio Communication System — No activity. Station Upgrades 8. Relay Replacement Project — Station 4 — Reading — Technical Services Manager labor. 9. 115 kV Disconnect Replacement — Station 4 — Reading — No activity. New Customer Service Connections 12. Service Installations — Commercial /Industrial Customers — This item includes new service connections, upgrades, and service replacements for the commercial and industrial customers. This represents the time and materials associated with the replacement of an existing or installation of a new overhead service, the connection of an underground service, etc. This does not include the time and materials associated with pole replacements /installations, transformer replacement/installations, primary or �..i secondary cable replacement/installations etc. This portion of the project comes under �y routine construction. Notable: Charles River- 26161allardvale Street, Wilmington and 57 -59 High Street, Reading. 13. Service Installations —Residential Customers— This item includes new or upgraded overhead and underground services, temporary overhead services, and large underground development. J 14. Routine Construction —The drivers of the Routine Construction budget category YTD are listed. This is not an inclusive list of all items within this category. Pole Settin ranters $208,490 Maintenance OverheadlUnderground $299,101 Projects Assigned as Required $357,754 Pole Damage includes knockdowns some reimbursable $33,791 Station Group $2,967 Hazmat/Ofl Spills $3,118 Porcelain Cutout Replacement Program $2,533 Lighting Street Li ht Connections $58,526 Storm Trouble $77,567 Underground Subdivisions $52,164 Animal Guard Installation $50,446 Miscellaneous Capital Costs $150,424 TOTAL $1,296,680 *In the month of January two cutouts were charged under this program. Approximately 22 cutouts were installed new or replaced because of damage making a total of 24 cutouts replaced this month. U Reliability Report vVTwo key industry standard metrics have been identified to enable the RMLD to measure and track system reliability. A rolling 12 -month view is being used for the purposes of this report. Customer Average Interruption Duration Index ( CAIDI) — Measures how quickly the RMLD restores power to customers when their power goes out. CAIDI = Total of Customer Interruption Duration for the Month in Minutes/ Total number of customers interrupted. CM RMLD 12 month system average outage duration — 60.29 minutes RMLD 4 year average outage (2006 -2009) — 50.98 minutes per outage On average, RMLD customers that experience an outage are restored in 60.29 minutes. 3 System Average Interruption Frequency (SAIFI) — Measures how many outages each customer experiences per year on average. SAIFI = Total number of customer's interrupted / Total number of customers. RMLD 12 month system average -.44 outages per year RMLD 4 year average outage frequency -.82 The graph below tracks the month -by -month SAIFI performance. Months Between Interruptions (MBTI) Another view of the SAIFI data is the number of months Reading customers have no interruptions. At this time, the average RMLD customer experiences an outage approximately every 27.3 months. 4 ri 1.00 0.91 0.90 fg 0.80 0.70 t F 0.80 0.50 0.50 e 0.40 31 u 0.30 zo 0.21 0.20 a. 1 0.10 0.00 cif �-4--• RMLD monthly outage frequency — • RMLD 12 month system average outage frequency .44 RMLD4 year average outa efre en .82 200 6,2009 Months Between Interruptions (MBTI) Another view of the SAIFI data is the number of months Reading customers have no interruptions. At this time, the average RMLD customer experiences an outage approximately every 27.3 months. 4 ri RMLD ^k ae.dia Mu.kip i Light nepu,.w A {LIA {lA IO�p f0{ O,N { {ATION{ 230 A,h 9 150 P.O. Box N R, Redio9.MA0186] -0250 Ib1: (791) 94-1340 Fn; (791) 942 -2409 Web: www.mdd.cwo February 21, 2012 Town of Reading Municipal Light Board Subject: RTU Station Controllers and Supplementary Services On January 11, 2012 a bid invitation was placed as a legal notice in the Reading Chronicle reguesting proposals for RTU Station Controllers and Supplementary Services for the Reading Municipal Light Department. An invitation to bid was emailed to the following: Power Equipment Sales Schneider Electric Nova Tech Reliatronics JFGray Power Tech UPSC Power Sales Group WESCO Graybar Electric Company Shamrock Power Sales Hasgo Power Robinson Sales EL Flowers Stuart Irby HD Supply Bids were received from Survalent Technology Corporation and CG Automation Solutions USA Inc. The bids were ppublicly opened and read aloud at ii:oo am. February 8, 2012 in the Town of Reading Municipal Light Department's Board Room, 23o Ash Street, Reading, Massachusetts. The bids were reviewed, analyzed and evaluated by the General Manager and the staff. Move that bid 2012 -27 for RTU Station Controllers and Supplementary Services be awarded to: Survalent Technology Corp. for a total coat of 894,023.00 Item (desc.) Manufacturer Total Net Cost Item I Two RTU Station Controllers & Survalent 94,023.00 support services as the lowest qualified bidder on the recommendation of the General Manager. Fie: Bid /M2 /Rn), ATTACHMENTS RMLD'o Reading Municipal Light Department \ _ Pu111LI I naa rove enfaa e ; 270 Ash Smae, P.O. Be. 150 Remains, MA 01867-0250 The total FY12 CaRital Budget allocation for "Remote Terminal Unit (RTU) Replacement — Station 4" is $52,000. In 2011, the RMLD was found to be out of compliance regarding substation distribution transmission as required by ISO OP#i8. Fulfilling OF n18 requires the installation of an additional RTU beyond what had been planned for FY12. /cent F. C reron Jr. Kevip Su ivan / / /��/ �J L� Peter Price • L Filc Bid /M2 /RNs 8m _g U 8 c 8 n m a 3 c ul a 0 im m ov 8�a r S � a s�aa aka g`cy v -c e a EE @ g a s` E m i g E a 8 z ffi g m � i U 5 • °q S i $ °i a° ccp n° tgg c y 0 < U G v a E E m E $ 2T m N =� U 3 h a RMLD��1pt'NueuiyJ Li4ht lkps mep 230 AM Stn,, �✓ PO. Box 130 Rr,diry, MA 018610250 Tel. 119g9t 13Q Fu: (781) 942 -2409 Web: www. rm1d.com February 14, 2012 Town of Reading Municipal Light Board Subject. Line Truck Lift Equipment Inspection and Preventative Maintenance Service On January 12, 2012 a bid invitation was Placed as a legal notice in the Reading Chronicle requesting Proposals for Line Truck Lift Equipment Inspection and Preventative Maintenance Service for the Reading Municipal Light Department An invitation to bid was .mailed to the following: D. C. Bates Equipment Consolidated Utility Equipment Services, Inc. (C.U.E.S.) J &D Power Equipment, Inc. James A. Kiley Co. r A bid was received from James A. Kiley Co. The bid was publicly opened and read aloud at 11:00 a.m. February, 8, 2012 in the Town of Reading Municipal I.Ight Department's Audio Visual Spurt Room, 230 Ash Sheet Reading, Massachusetts. The bid was reviewed, analyzed and evaluated by the General Manager and staff. Move that bid 2012 -29 for Line Truck Lift Equipment Inspection and Preventative Maintenance Service be awarded to James A. Kiley Co. for 5115,560.00 Vern I Line Truck Lift Equipment Inspection and Preventative Maintenance $115,560.00 Service as the lowest qualified and responsive bidder on the recommendation of the General Manager. This is a three -year contract. IFB 2012 -29 is funded through the Transportation Operating budget. cura�wu�z�rr nnnt F ('amv n, Jr..- - - 2 Craig wn 20 12 .*r I me rrtwk Lilt 6)upment I"%P, tion and Pre,ema6 , klamten., r I, er.J,r T F. n act a d O O Zvi m N T d O O �I O � � O N e 7 Rl a e 7 � N 0 N y u E n CL % 3 .. W n N Q C � C A e m v al E E E moo` m m �ci m io a 4 J, RMLD Readln8 Mueicipd Liebr Department ® 210 A m sh 3oe 230 Boa Reamng. MA 01867L230 Tel: oea 944.1340 FY: (781) 942.2409 Web: rwvr.rmld.com February I;, 2012 Town of Reading Municipal Light Board Subject. Line Truck Chassis Inspection and preventative Maintenance Service On January 12, 2012 a bid invitation was placed as a legal notice in the Reading Chronicle requesting Proposals for Line Truck Chassis Inspection and Preventative Maintenance Service for the Reading Municipal Light Department. An invitation to bid was emailed to the following: Dynamic Heavy Repair Glynn Equipment Repair Lowell Fleet Maintenance Ryder Truck Rental & Leasing Taylor & Lloyd, Inc. S. Benedetto & Sons, Inc. A bid was received from Taylor & Lloyd, Inc. The bid was publicly opened and read aloud At 11:00 a.m. February 8, 2012 in the Town of Reading Municipal Light Department's Audio Visual Spurr Room, 230 Ash Street Reading, Massachusetts. The bid was reviewed, analyzed and evaluated by the General Manager and staff, Move that bid 2012 -30 for Line Truck Chassis Inspection and Preventative Maintenance Service be awarded to: Taylor & Lloyd, Inc. for $106,517.66 Item 1 Line Truck Chassis Inspection and Preventative Maintenance Service $106,517,66 as the lowest qualified and responsive bidder on the recommendation of the General Manager. This is a three -year contract. IFB 2012-30 is funded through the Transportation Operating budget. inn•nt F Ca a•rnn, Ir. 4 —12 0 eu• rmcL t- l....... Inya n .n enJ Prn. ntaln'o alammmty.• Fn icr.La F r Wf a F el N o� y � y & N 1 U aN w °u N N E e N 0 N A C t � O Y ] n a O V R ry J � C F m N v O m J 4 p m m S. g E 2 RMLD February 15, 2012 Reading Municipal Light Dep-rLOUat a L,eele IVara rOa G Mteee,... 230 Ash Sbaet PO. Ira ISO Reading, MA 01867,0250 Tel; (781) 9441340 Fa: p61) 942-2409 Web: wwa.nndd.. Town of Reading Municipal Light Board Subject: Meters On January 18, 2012 a bid invitation was placed as a legal notice in the Reading Chronicle requesting proposals for Form 12 S Network ERT Meters for the Reading Municipal Light Department An invitation to bid was emailed to the following: WESCO Graybar Electric Company Austin International Inc. Power Tech UPSC Stuart Irby Holbrook Associates Sensus Metering Systems AvCom Inc. JF Gray Meterman Supply Inc. Shamrock Power Hasgo Power Robinson Sales EL Flowers Power Sales HD Supply Bids were received from Avcom, Irby and Graybar Electric The bids were publicly opened and read aloud at tucto a.m. February 8, 2012 in the Town of Reading Municipal Light Department's Board Room, 23o Ash Street, Reading, Massachusetts. The bids were reviewed, analyzed and evaluated by the General Manager and the staff. Move that bid 2o12 -3t for Form 12 S Network ERT Meters be awarded to: Avcom Inc. for a total cost Of 837,550.00 Item Manufacturer ft I nit ost Total Net Coat 1 Form 125, Class 200, 120 volts Network ERT meters Itron 500 75.10 37.550.00 as the lowest qualified bidder on the recommendation of the General Manager. These meters are for the new projects Reading Woods, 3o Haven St. and the Diamond Crystal project in Wilmington. The Capital Budget allowed for 130 units totaling 810,400 (item B). intent F. Ca loon, Jr. i= -,�,1� 1_� Sullivan Nick D'Alleva I II,, n,e, 1-1 c. 2012.51 )\ � \ \) , }!, m � )) � !! !� � }) � t) w 4) / k | ; | ! , ! ! ! ! | ! \ @� \| ! |§ � � 2 ) ! k t ! | � ! / ! ! ! k !!@ ! & |�! f �|� \ $f{ 2 ff� } |!` N / |\ !)! \� 4! |)� k�\ � " 0 \ ! . f �! \} � !; ! , ! ! ! ! | ! \ @� \| ! |§ � � 2 ) ! k t ! | � ! / ! ! ! k !!@ ! & |�! f �|� \ $f{ 2 ff� } |!` N / |\ !)! \� 4! |)� k�\ � " 0 � (4 �| |� it I §| \ „■ \| �§ | jIt Oil t\ §a ) 9 II §§ § # 0§ „ � || dal i| || | � }§ |§ .� || dal i| || | � }§ Pugs I of I Jeanne Fotl From: Vincent Cameron Sent: Tuesday, January 24, 2012 1 58 PM To: RMLD Board Members Group Cc: Bob Fournier; Steve Kazanjian; Jane Parenteau; Jared Carpenter; Jeanne Foti; Kevin Sullivan Subject: FW: Account Payable Questions - January 13. 2012 Categories: Red Category O'Neill 1. Mini (customer) - I am curious why all the documentation provided from the customer was unsigned quotes, not actual invoices. The RMLD rebates are based on technologies and not what was spent by the customer. Information on the projects is for RMLD records and to see how the market is progressing. We keep a record of many Projects costs, however, the projects costs are private and for internal use only. If the customer negotiated a better price for the project, we would not know about it. The RMLD does actual inspections and we do not require signed invoices as proof the work was complete. 2. United Power Group - This cost will be added to the Gaw capital project? Why was no contract prepared, there seemed to be ample time? Some of this cost was a Gaw project extra and some of the cost was NERC based. The work related to the transfer scheme rewiring was Gaw project related. While UPG was on site present, we asked UPG to do some work on the Under Frequency relays to satisfy the North American Electric Reliability Council CW requirements. 1 'a 11)11 Page I of 3 Jeanne Fod From: Vincent Cameron Sent: Tuesday, February 07, 2012 1104 AM To: RMID Board Members Group Cc: Bob Fournier ; Steve Kazanjian; Jeanne Foil; Wendy Markiewicz Subject: FWD Account Payable Questions - Februray 3, January 27 6 20 Categories: Red Category February 3 O'Neill 1. Wire Transfer - MA - GM signature needed. It is signed. 2. Asplundh - One invoice for 32,238.25 is missing. There was a question on one of the Asplundh bills, which was put in for payment. I pulled it out to review it and didn't get it back in. It turned out the bill was correct. 3. Rubin & Rudman - Please discuss first invoice re 2011 power supply in Feb. exec. session. Please discuss fourth invoke re EOEEA in Feb exec. session, Yes. Soli 1. Sales Tax - GM signature? It is signed. 2. Rubin 6 Rudman - What is a tolling agreement? What is EOEEA? A tolling agreement is an agreement to waive a right to claim that litigation should be dismissed due to the expiration of a statute of limitations, which was related to the MMWEC Arbitration. The EOEEA is the Executive Office of Energy and Environmental Affairs. Snyder 1. Asplundh - 3rd bill work dated V21 11 -1 assume this is a typo? No invoice, no for customer copy the $223625 There was a question on one of the bills. I pulled it out to review it and didn't get it back in We are talking to Asplundh about d. 2 ECNE - What is this organization? Does it provide good value? Energy Council of Northeast. The Engineering Dept uses this group for engineering support and input on .arious subjects 3 Office Depot A hat the heater for? s osonabng Some of the areas m the office can be cold and this provides heat for the employees 2 7 1oI2 Page 2 of 3 ll January 27 O'Neill 1. Cushing, Jamallo • Wheeler - Please detail what'LSP ser ncei are included in the $15K on PO 12- E00104. The spill at Ryan Road was a transformer that came oft a pole and hit the ground after a tree hit a pole during the October snow storm. There was a release of od, which needed to be cleaned up. 2. Rubin and Rudman - Are legal expenses usually this high for finalizing a bid? I would like both bids and associated legal costs discussed in the next executive session, if appropriate, in open session. Yes. I will do this. 3. TransOata - Please explain this bill. What happened to these meters? Why were they worth repairing at this price? These meters needed repair due to lightening and other problems. The RMLD spent $3,317 to repair them. To replace each meter would have Post over a $1 k a piece. 4. Town of Wilmington -Why no P07 This is payment to the Town of Wilmington for a pole relocation. This is necessary for relocating pole, so there is no PO necessary. Snyder 1. Century Bank - How do you check these -some of the numbers am extraordinarily large. The last column "Required Balances* is for Century Bank internal use only and is not related to the RMLD transactions We have called Century and asked them to take this off the statement. 2. Concentra - Who gets these physicals? New employees. 3. TransOata -What is 'scrambled memory' and why some ® 250 + some at 375? ( +Ditto Above) The memory has been affected due to lightening or some other problem. It is cheaper to fix the memory than to buy a new unit. 4. Utility Services - What is Aurora Vulnerability? + What is misoperations report? Aurora Vulnerability - The destabihzation of rotating equipment v ?a physical or cyber means with a motive to destroy such equipment Misoperatwn reporting - Quarterly reporting of any misoperations on the 11 5kV that may have rnuenced the DP I Dpsbibution Provider) reliability Causes to this may be vegetation . relay overtrip operations, equipment failure, etc January 20 V, Neill I Fourr,er Petty Cash Why didn't Crange C,ty order go through ;he PC process 2 7 2012 Page 3 of 3 The RMLD needed a circuit breaker box for the Wildwood substation, immediately. The employees made the purchase on an emergency basis without a PO. Snyder 1. ISO - Some of these go back to 2008 how are we checking? The Energy Service Division (ESD) balances kwh and dollars monthly. ESD will call the ISO -NE if they believe the credits are incorrect. 2. Petty cash remember: Need receipts for everything. I have checked the receipts and they are all there. 3. Reading Car Care * Stoneham Motor - Reminder: P.O. post dales work. Should be done before work authorized. Sometimes there is work needed to be done that the RMLD needs estimates on. When we find out the amount we cut the PO. The vendor may date their invoice the day the car arrived. 4. Standard Electric - The standard electric confusion + explanation re: lack of P.O. is an example of why need P.O. front. Please explain what was billed vs. credit. The RMLD needed a circuit breaker box for the Wildwood substation, immediately. The employees made the purchase on an emergency basis without a PO. One for $214.77 and another for $188.98. The credit part of the bills is the payment for each purchase. There was a discount of $2.20 on one bill. The payment is correct. 4 Jeanne Foil Executive Assistant Reading Municipal Light Department 781 - 942$434 Phone 781 -942 -2409 Fax APlease consider the environment before printing this e-mail. 7 'uI'_ Page I of I Jeanne Fod From: Vincent Cameron Sent: Friday, February 17, 2012 9'.35 AM To: RMLD Board Members Group Cc: Bob Fournier; Steve Kazanjian; Jeanne Foti; Wendy Markiewicz Subject: FW: Account Payable Questions - February 10 Categorlee: Red Category Snyder 1. Pfeiffer - Why is this from May 2011 + customer listed is Timothy Shand? Commissioners - Please call me on this and I will explain the situation. 2. Sage - Could you clarify each of these line items please. 1. Automatic Check Handling 2. Paperless Invoices, 3. Bounced Checks, 4, Rejected Transactions, 5. Total Transactions, 8. Statement Fee, and 7. Credit Card Fee. 3. PURMA -Why wasn't door repair paid by the insurance? Under the contract with JCM the repair is RMLD's responsibility. The repair cost is under our deductible amount. C4. TCI of Ny - Why are we still seeing PCB's? This was a pole mounted distribution transformer installed in 1978 on Old Farm Road, Reading. It was taken out of service recently and a larger transformer was installed. After being taken out of service, the transformer tested out at 97 PPM of PCBs and was disposed of properly. We have approximately 885 transformers in service that were purchased between 1980 - 1979. We are checking manufacturer records for these transformers to determine the insulating oil make up, The RMLD has an approximate total of 3,208 transformers in service. O'Neill 1. TCI of NV -Where was this material from? Please see Item 4 above. Payroll Hahn 1. Overtime discrepancies between payroll and OT listing. The Line Dept payroll overtime costs for 2117112 matched against the Bi- Weekly O!T payroll listing in the Excel spreadsheet. The Bi- Weekly O!T payroll listing is a new report on the Off BI- Weekly payroll and when it printed out (in EXCELI it printed the 2/3112 Bi- Weekly OIT amounts column and not the 2117112 Bi- Weekly 017 amounts column . e reprinted the O1T report for 2117112 with the correct Bi Weekly amounts I put the 2117112 Bi- Weekly OIT report with a copy of the 20 7112 payroll in your mail slot. 1 11 'III2 Page I of I Jstanne Fod From: Vincent Cameron Sant: Wednesday, February 22, 2012 1:45 PM To: RMLD Board Members Group Cc: Bob Fournier; Jane Parenteau; Steve Kazanjian; Jeanne Foti; Wendy Markiewicz Subject: Answer to Payables 2/17/12 Categories: Red Category Snyder 1. MacQuarie - Financials - What is Energy Swap + what is the relation between Volume, Fixed, and Float prices + amount due? How do we track the peak and off peak usage in the physicals sales? Energy Swap represents the Heat Rate contract that RMLD signed with MacQuarie. On four separate occasions in 2011, RMLD locked in the Natural gas prices which represent the Fixed Prices column. The float prices are the penultimate pricing for natural gas when the market closes in December, 2011 for January 2012. The amount due for financial is simply the difference between fixed and float price times the volume. The On -Peak and Off Peak usage is the original amount that RMLD issued the RFP for. Those amounts are fixed within the Purchase Power Agreement. RMLD tracks the amounts through the ISO -NE billing system. We are able to verify the Mwhs supplied by each supplier. Once the natural gas prices are "locked" in, RMLD calculates the pricing of the contract and verifies the amounts that are invoiced. 2. Accurate Calibration - What is the annual calibration? This seems like something for which the PO should have done upfront for sure. Same goals for American Arbitration. The RMLD has it meter testing equipment calibrated once a year. The Requisition was created on January 20. 2012, the day of the invoice. The PO was cut the next day. The American Arbitration bill goes to our attorneys first and then to us. We didn't get the bill until February 7, 2012, the day the requisition was created. The PO was cut on February 10, 2012. 3. Collins -Wasn't this door a recent bill? The recent bill was replacement of the entry door in the Barbas Warehouse that had to be replaced. The Collins bill is to repair an overhead door at 213 Ash Street, which is the garage. 4. DOER - Is this a new assessment? No. We get this assessment once a year for Residential Conservation Services from the Massachusetts Department of Energy Resources. 5. JCM Realty - What is so much electricity in the warehouse? The electricity is for lighting, heating, ventilation (fans), office space, etc. The history on the bill shows that it is very steady usage. O'Neill 1. Choate. Hall. and Stewart - Please review at the Feb. Executive Session. Yes I was going to suggest to put that on the agenda. 2 1 2012