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Board - Committee - Commission - Council:
RMLD Board of Commissioners
Date: 2023-12-13
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Building: Reading Municipal Light Building Location: Winfred Spurr Audio Visual Room
Address: 230 Ash Street Session: Open Session
Purpose: General Business Version: Final
Attendees: Members - Present;
Philip Pacino, Chair; David Talbot, Vice Chair; Robert Coulter,
Commissioner; Marlena Bita, Commissioner; Pamela Daskalakis,
Commissioner.
Members - Not Present:
Others Present:
RMLD Staff: Gregory Phipps, General Manager; Erica Morse, Executive
Assistant; John Pelletier, Director of Information Technology; Bill Bullock,
Director of Integrated Resources.
Citizens' Advisory Board Rep: Vivek Soni
Public: Mary Ellen O'Neill, 125 Summer Ave, Reading MA
Minutes Respectfully Submitted By: Philip Pacino, Secretary Pro Tem
Topics of Discussion
Call Meetina to Order
Chair Pacino called the RMLD Board of Commissioner's (BoC) meeting to order at 7:15 PM
and announced that the meeting would be held in person, remotely on Zoom, and will be
streamed live on RCN and YouTube.
Opening Remarks and Introductions
Chair Pacino read the RMLD BoC Code of Conduct and asked all remote attendees to identify
themselves.
Vice Chair Talbot attended the meeting remotely.
Vice Chair Talbot entered the meeting at 8:15 PM and left at 9:03 PM.
Public Comment
Citizens' Advisory Board (CAB)
Mr. Soni made a public comment on behalf of the CAB.
IT Capabilities and Executive Session
Mr. Soni reported that the CAB requested an executive session meeting, tentatively
scheduled for March, to discuss IT capabilities, concerns, and progress in a confidential
setting.
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Emissions/Efficiency Analysis Reauest
Mr. Soni mentioned his request for RMLD to conduct an emissions/efficiency analysis to
understand the importance of RMLD's scope 1, 2, and 3 emissions, in line with state
guidelines. This request aims to have RMLD report on its carbon footprint starting in 2024,
aligning with the practices of other utilities.
Mr. Phipps confirmed the initiation of steps to report not only on non -carbon compliance,
but also on greenhouse gas emissions on a quarterly basis, eventually moving to a monthly
report in 2024.
Policy 30 Updates
Mr. Soni noted the CAB's recommendation for specific language to be Inserted in Policy 30
regarding fuel cells, reflecting RMLD's innovative approaches towards on-site energy
generation.
Mr. Phipps acknowledged this, stating that additional sections had been added to the draft
of Policy 30. A red -lined version of the document, including these updates, will be shared
with the Board.
BoC Liaisons
There was no comment from the BoC Liaisons at this meeting.
Public Comment
Mary Ellen O'Neill, former Commissioner and Reading Resident (125 Summer Ave) made a
public comment.
Funding for Heat Pumps and Enerav Efficiency
Ms. O'Neill highlighted the lack of eligibility for oil customers in the WILD territory for
MassSave programs.
Ms. O'Neill cited an example of a neighbor who received a $20K interest-free loan from
MassSave for a heat pump installation and referenced a pilot program in Ipswich focusing
on replacing oil furnaces with electric heat pump systems.
Ms. O'Neill suggested that RMLD could explore similar programs or initiatives to support
energy efficiency, especially for oil customers, noting RMLD's robust financial position as a
potential source for funding such programs.
Tree Cutting and Health Concerns
Ms. O'Neill expressed concerns over the Increased span of tree cutting since RMLD's
contract with Mayer Tree and its impact on tree health, especially In Reading.
Ms. O'Neill highlighted the detrimental effects of continuous development and tree removal
on local tree populations.
Ms. O'Neill urged the BoC to consider compensatory actions for the additional damage to
street trees due to the new trimming parameters. Ms. O'Neill sought assurances or plans to
mitigate these Impacts.
Policy 30 and Renewable Enerav Certificates (RECs)
Ms. O'Neill shared her impressions of the draft on Policy 30, critiquing Its tone and approach
towards the management and sale of certificates.
Ms. O'Neill noted that she perceived the policy's tone as minimally compliant rather than
proactive in addressing renewable energy and environmental sustainability.
Page 1 2
Ms. O'Neill advocated against selling certificates, arguing that it allows corporations to avoid
direct responsibility for reducing carbon footprints.
Ms. O'Neill emphasized the importance of BoC oversight in decisions related to certificate
sales and energy supply contracts.
Tree Manaaement Concerns - Chair Pacino
Later In the meeting Chair Pacino recalled Mary Ellen O'Neill's comment on trees and an
organization she recommended for managing tree-related concerns. Chair Pacino asked if
there was any follow-up or additional information regarding this suggestion.
Mr. Phipps highlighted the extensive research conducted on tree management within the
context of RMLD's responsibilities.
Mr. Phipps emphasized the primary goal of providing reliable, low-cost, non-carbon energy
and how tree trimming plays a crucial role in achieving this, especially in mitigating power
outages caused by storm-related tree damage.
Mr. Phipps noted that the frequency of outages due to trees in Reading is significantly
higher compared to other areas serviced by RMLD. According to Mr. Phipps this Is partly due
to the challenges faced in coordination with the tree warden which sometimes hinder timely
tree trimming activities.
Mr. Phipps detailed the tree trimming program aimed at managing growth to prevent
outages during storms.
Mr. Phipps acknowledged the importance of trees and expressed respect for their role in the
environment.
Mr. Phipps mentioned that RMLD allocates budgetary resources for a tree planting program
to replace trees, with the goal of maintaining a balance between necessary tree trimming
for utility safety and conservation efforts.
Report on the Citizens' Advisory Board Meeting
Commissioner Daskalakis noted that Mr. Soni's update was comprehensive and that there
were great discussions relative to the IT update, certificates, and Polity 30.
Approval of Board of Commissioner's Meeting Minutes
Materials: Draft Meeting Minutes (BoC Packet, attachment 1)
The minutes were approved as presented.
Commissioner Daskalakis made a motion, seconded by Commissioner Bita that the RMLD
Board of Commissioners approve the July 20, 2023, and September 15, 2023, open session
meeting minutes, as presented, on the recommendation of the General Manager and the
Board Secretary. Motion Carried: 4:0:1 (4 in favor, 0 against, 1 absent) Roll Call Vote:
Chair Pacino, Aye; Commissioner Coulter, Aye; Commissioner Blta, Aye; Commissioner
Daskalakis, Aye (Vice Chair Talbot was absent at this point in the meeting).
Information Technology (IT) Report
Materials: Information Technology Presentation (BoC Packet attachment 2)
Mr. Pelletier presented an IT report to the BoC.
Agenda (slide 2
Mr. Pelletier outlined the agenda which covers a range of topics aimed at enhancing
cybersecurity and system performance within RMLD.
Page 1 3
IT and OT Network Modernization (slide 3)
Mr. Pelletier discussed the progress of IT and OT (Operational Technology) network
modernization within the organization and highlighted key project achievements.
Core Switch Uoarades
Mr. Pelletier reported that all planned upgrades to core switches were completed, enhancing
the network's backbone.
Mr. Pelletier mentioned that new data switches have been installed in substations to
improve data handling and connectivity.
Fiber Optic
Mr. Pelletier highlighted a significant increase in fiber optic throughput to substations,
improving overall network performance and reliability.
IT OT Clarification
Mr. Pelletier clarified that OT (Operational Technology) involves generation, distribution and
switching systems. OT is different from IT systems which includes components such as
Office 365 applications in IT systems.
Mr. Pelletier emphasized the importance of continuous system management and
Improvement to ensure system integrity and performance.
Mr. Pelletler noted that ongoing efforts include keeping software code levels updated,
adhering to patch best practices, and replacing equipment that has reached the end of its
useful life.
Virtualized Environment Upgrades (slide 4)
Mr. Pelletier discussed RMLD's efforts in enhancing its virtualized document handling and
disaster recovery capabilities at the Ash Street and the Medford locations. The aim is to
improve document management and access
Mr. Pelletier emphasized RMLD's ongoing commitment to keeping its equipment and
technology up to date and operating at the highest standards.
Disaster Recovery Caoabilitles
Mr. Pelletier noted that part of the virtualization effort includes enhancing disaster recovery
capabilities, with backup servers located at the Medford site for redundancy and resilience.
Uoarades Completed
Mr. Pelletier mentioned that upgrades have been successfully completed across storage
systems and software at both locations. These upgrades brought the systems up to the
latest code levels and storage capacities, ensuring that RMLD benefits from the latest
advancements in technology.
Upgrade of Business Operations Application Suite (slide 5)
Coasdale Application Upgrade
Mr. Pelletier reported that RMLD has successfully upgraded the Cogsdale application, which
is fundamental to the business's operations; including billing, customer service, financial
applications, and purchasing.
Mr. Pelletier explained that the upgrade was significant due to its wide-ranging impact on
critical business operations. It required substantial planning, collaboration among teams,
and meticulous execution.
Page 14
Execution Strategy and Challenges
Mr. Pelletier reported that the team ensured the system was updated efficiently, with
minimal disruption to its services.
A key challenge in the upgrade process was the need to minimize downtime, given
Cogsdale's role in handling essential services like meter readings and billing. Extended
downtown would be unacceptable as the business operations depend heavily on the
continuous availability of Cogsdale.
Scads Systems Upgrades (slide 6)
Mr. Pelletier discussed the upgrades and maintenance of the SCADA (Supervisory Control
and Data Acquisition) system.
SCADA System Role
Mr. Pelletier explained that the SCADA System plays a critical role in the organization's
network infrastructure control and switching operations.
Mr. Pelletier emphasized that the system is essential for the operational efficiency of the
organization.
Uporades Implemented
Mr. Pelletier highlighted the comprehensive upgrades that were carried out across the
SCADA system, including application updates, enhancements to physical servers, and the
implementation of the latest security patches. These updates are crucial for maintaining
system integrity and functionality.
Security Considerations
Mr. Pelletier noted the despite the SCADA system not being publicly accessible, it is still vital
to ensure its security through regular updates. The maintenance process involves a two-
step approach that is necessary for protecting the system against potential vulnerabilities.
Ongoing commitment to Employee Cybersecurity Awareness training (slide 7)
Importance of Cvbersecurity Training
Mr. Pelletier discussed the critical Importance of employee cybersecurity training as an
ongoing effort to safeguard RMLD and its employees against cyber threats.
Tralnlno Frequency and Content
Mr. Pelletier noted that the training is conducted quarterly with varied content to prevent
repetition and ensure engagement.
Mr. Pelletier mentioned that training includes phishing awareness and general security tips.
In response to a query from Commissioner Bita, Mr. Pelletier noted that training includes
practical exercises like identifying phishing emails and is responsive to recent cybersecurity
threats.
Enaaaement and Compliance
In response to a query by Commissioner Daskalakis, Mr. Pelletier noted that strategies to
ensure participation Include direct reminders and follow-ups by managers.
Mr. Pelletier added that compliance is monitored, and non -participation is addressed
promptly to maintain high levels of awareness and preparedness.
Personal Security Awareness
Mr. Pelletier highlighted that the training emphasizes the importance of personal
cybersecurity, offering guidance on recognizing suspicious activities even in non -work-
related contexts, such as personal email and phone use.
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RMLD Investment in OT/ICS specific Cybersecurity (slide 8)
Mr. Pelletier discussed the critical importance of both end-user and IT team training within
the organization and highlighted RMLD's dedication to Investing in comprehensive training.
Continuous IT Trainina
Mr. Pelletier acknowledged the necessity of keeping the IT team's skills up-to-date to adapt
to the rapidly changing cybersecurity landscape.
Mr. Pelletier stressed the evolving nature of attack vectors employed by cyber adversaries
Despite the organization's current strengths, the dynamic threat environment requires
continual learning and adaptation.
OT Training
Mr. Pelletier highlighted the Importance of training around securing OT systems, which are
interconnected and susceptible to cyber threats.
Training Resources
Mr. Pelletier mentioned the utilization of the Science Institute for OT training, recognizing its
reputation and effectiveness In providing specialized education tailored to the unique needs
of OT security.
IT staff Cybersecurity skills development (slide 9)
Mr. Pelletier discussed the critical aspects of cybersecurity training and preparedness within
the organization, highlighting RMLD's proactive stance in learning and adapting to enhance
cybersecurity measures.
Digital Forensics Training
Mr. Pelletier highlighted the focus on training for digital forensics to learn from incidents and
prevent future occurrences.
Mr. Pelletier noted that the organization encourages a culture of transparency and learning
from incidents by engaging third -party assessments to evaluate the cybersecurity
environment and identifying areas of strength and opportunities for improvement.
Threat Detection and Remediation
Mr. Pelletier discussed the importance of being able to identify, detain, and stop threats.
Mr. Pelletier emphasized that continuous monitoring and response to cybersecurity Incidents
Is crucial for maintaining organizational security.
Vulnerability Identification and Management
Mr. Pelletier discussed the systems in place for identifying vulnerabilities.
Mr. Pelletier highlighted a protocol for addressing high vulnerabilities within 24 hours
through remediation or risk acceptance to minimize exposure.
External Su000rt and Guidance
Mr. Pelletier noted the Importance of utilizing external agencies, such as CISA, for
assistance with vulnerability management and remedlation strategies.
Mr. Pelletier emphasized the need for consistent review and application of federal guidelines
to the organization's context.
Certificate Management
Materials: Certificate Management Presentation (BoC Packet, attachment 3)
Outline (slide 2)
Mr. Bullock outlined the presentation topics, as noted on slide 2.
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Policy Timeline (slide 3)
Mr. Bullock provided an overview of the development and evolution of the RPS (Renewable
Portfolio Standard).
RPS Inception and Puroose
The RPS for IOUs (Investor -Owned Utilities) was Introduced in 1998 through the Electricity
Restructuring Act, aiming to support Investor resilience by promoting renewable energy
sources
Reaulatory Framework Establishment
In 2003, the Department of Energy Resources promulgated specific rules for the RPS,
including the creation of classifications for renewable energy contributions.
The 2008 legislative amendment expanded the types of renewable resources eligible for RPS
compliance and increased the targets, demonstrating a commitment to environmental
sustainability.
Recent Advancements
The Massachusetts 2021 Climate Law extended the RPS concept, setting significant
greenhouse gas reduction goals and establishing deadlines for achieving these objectives
(50% by 2030, 75% by 2040, and net -zero by 2050).
Compliance for RPS and MLP GGES (slide 4)
Mr. Bullock provided a comparative analysis of the RPS as applied to IOUs versus MLPs
(Municipal Light Plant).
RPS Application
Mr. Bullock explained how the RPS applies to IOUs emphasized common compliance goal
but different compliance trajectories between IOUs and MLPs.
compliance r raieccones
Mr. Bullock referenced the graph on slide 4, demonstrating the progress of MLPs in meeting
compliance goals compared to IOUs.
Mr. Bullock highlighted a step function for municipal compliance alongside a gradual
increase for investor-owned utilities.
Mr. Bullock emphasized that MLPs are on a path to match or exceed the compliance levels
of IOUs.
L.omouance memoas
Mr. Bullock noted that the graph differentiates between adherence through actual renewable
resources, (indicated in green) and alternative compliance methods as defined by
legislation, (shown in blue).
Challenoes and Adaptations
Mr. Bullock acknowledged the difficulties In achieving the necessary penetration of
renewable resources to meet future targets.
Mr. Bulock highlighted that different compliance standards have been established to address
the need for varied approaches to reach environmental objectives.
Many Types of Certificates (slide 5)
Certificate Types
Mr. Bullock discussed the various types of certificates associated with renewable energy and
explained the classification system based on emissions and renewable status.
Page 17
Classification Framework
Mr. Bullock referred to the chart on slide 5, which is a two-dimensional framework where
the Y-axis represents emissions, and the X-axis denotes whether an energy source Is
classified as renewable.
Mr. Bullock mentioned that the framework clarifies the spectrum of energy sources and their
environmental impacts.
Mon-Kenewaoie. Low-tmission bounces
Mr. Bullock discussed energy sources like nuclear and large hydro, which do not emit
greenhouse gases but are not considered renewable.
Mr. Bullock explained that these sources still contribute to environmental goals by
generating certificates that can be retired.
Renewable and Emission -Free Sources
Mr. Bullock emphasized that sources such as small hydro, solar, and wind, are Ideal for
compliance due to their renewable nature and lack of emissions.
However, the limited availability of these resources poses a challenge to meeting
compliance standards.
Alternative Compliance Sources
Mr. Bullock mentioned sources that emit but are considered for compliance due to their role
in significantly reducing CO2 emissions, such as liquid gas and waste.
Certificate purpose and market prices (slide 6)
Mr. Bullock provided an overview of the value associated with different types of
Environmental Attribute Certificates (Certificates) and their role in promoting renewable
energy development.
Class 1 RECs
Mr. Bullock discussed Class 1 RECs (most valuable), which are generated from new
renewable energy sources, such as solar farms, and are aimed at encouraging the
development of new renewable energy projects.
Class 2 RECs
Mr. Bullock discussed Class 2 RECs, which are associated with existing renewable energy
sources. These RECs have a lower value compared to Class 1 but still play a significant role
In recognizing and supporting existing renewable energy production.
Emission -Free Enerav Certificates
Mr. Bullock discussed Emission -Free Energy Certificates, which are generated by large hydro
and nuclear plants, these certificates are valued for their contribution to emission reduction,
despite their lower market value and the energy sources not being classified as renewable.
certmcace ueneranon ano t omonance
Mr. Bullock explained that the issuance of Certificates is contingent upon the generation of a
megawatt -hour (MWh) of electricity by the qualifying renewable energy assets.
Mr. Bullock noted the variability in Certificate value depending on the class and the state
and provided specific examples for Massachusetts certificates.
Certificate Management (slide 7)
Mr. Bullock discussed the management and strategic planning of Certificates within the
organization.
page I a
Certificate Retirement Overview
Mr. Bullock highlighted RMLD's compliance efforts and the cost implications for ratepayers.
Mr. Bullock referenced the chart on slide 7, which shows the retirement of various types of
Certificates (nuclear, hydro, wind, solar, and others).
Strateoic Certificate Forecast no
Mr. Bullock discussed RMLD's projected certificate management from 2024 to 2050, based
on current contracts and anticipated policy compliance.
Mr. Bullock highlighted the addition of nuclear Certificates in 2022 as a strategic move to
comply without needing to retire many hydro Certificates.
Incremental REC Retirement
Mr. Bullock discussed the strategy of incrementally Increasing the percentage of total RECs
retired each year.
Mr. Bullock emphasized the balanced approach to managing financial impacts on RMLD and
ratepayers.
Percentage of Total RECs Retired
Chair Pacino sought clarification on the percentage of total RECs represented in the chart,
with a specific reference to the 23% retirement rate In 2023 and the planned incremental
Increases.
Certificate Management (continued) (slide 8)
Cost vs. Value of Certificates
Mr. Bullock discussed the financial aspects of managing Certificates and highlighted the cost
of retirement versus the value of selling Certificates.
Mr. Bullock referenced the graph on slide 8, with blue bars representing the cost of
Certificate retirements and green bars indicating the revenue from selling Certificates.
Mr. Bullock highlighted that over the past seven years, the cost of Certificate retirements
has been maintained at or below $lm, while the potential revenue from selling Certificates
could reach up to $8m annually.
Certificate Management Process
Mr. Phipps provided an overview of the process for purchasing and selling Certificates,
emphasizing that the revenue from Certificate sales is not new Income but rather selling
certificates that were purchase in association with energy and hence, selling certificates Is a
means to recover fuel costs and reduce the net cost of certificate compliance.
tnrernal comouance unuaauon
Mr. Phipps emphasized that RMLD has voluntarily increased its internal compliance
obligation by 3% annually starting at 20% in 2020. This is a strategic decision not
mandated by state policy but aimed at enhancing the organization's sustainability
commitments and avoid rate shock in 2030 by steadily increasing certificate retirement each
year.
Mr. Phipps discussed the Impact of global energy market changes and legislative
developments on RMLD's Certificate management and compliance strategies.
Mr. Phipps mentioned the impact of natural gas transportability and highlighted the
complexity of managing Certificates in a rapidly evolving landscape.
Discussion on Certificate Management
The discussion addressed the dynamics of managing and retiring Certificates within the
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organization, focusing on the financial implications and the Impact of a renewable choice
program offered to customers.
Financial Impact of Certificate Management
In response to a query by Commissioner Bita, Mr. Bullock highlighted the Fluctuation in the
cost and value of Certificates over the years, with specific attention to the increased value in
2023 due to strategic retirement and selling practices.
Renewable Choice Prooram
In response to a query by Chair Pacino, Mr. Phipps explained that the Renewable Choice
program is designed to Increase customer participation in renewable energy consumption,
allowing customers to opt for 50%, 75%, or 100% renewable energy.
Mr. Phipps discussed the program's impact on Certificate retirement and sales, including its
financial viability and customer uptake.
Communication and Participation
Mr. Phipps acknowledged the need for improved communication strategies to boost
participation in the renewable choice program.
Mr. Phipps suggested more frequent webinars, newsletter features, and direct engagement
during customer service interactions.
Market Dynamics and Policy Impact
Mr. Phipps discussed the changing energy market and the Impact of policies such as the
2021 Climate Bill on Certificate management and compliance strategies.
Customer Impact and Rate Plannino
Mr. Soni and Commissioner Coulter stressed the importance of clear communication to
customers regarding their options for supporting renewable energy and the implications for
rates and sustainability efforts.
Residential Bill Impacts of Certificate Retirement (slide 9)
Renewable Energy Certificates and Policy Adiustments
Mr. Bullock provided an overview of the current and projected percentages of renewable
energy in RMLD's power supply and the Implications for policy and customer billing.
Mr. Bullock noted an annual increase in renewable energy percentages and outlined the
financial impact of different retirement rates of Certificates on the average customer bill.
Mr. Bullock discussed the effects of retiring 30% of Certificates versus retiring all available
certificates on the average bill.
Vice Chair Talbot entered the meeting at 8:15 PM.
Financial Implications
Mr. Phipps discussed how changes in the retirement rate of renewable energy certificates
would affect the average customer bill, with detailed projections provided for upcoming
years.
Commissioner Coulter raised concerns about the balance between advancing renewable
energy goals and managing costs to customers.
Mr. Phipps discussed the impact of Inflation, energy market conditions, and cost margins on
billing.
Strateaic Positionino and Market Analysis
Commissioners Daskalakis and Coulter asked about RMLD's strategic positions relative to
other MLPs regarding the retirement of renewable energy certificates and non -carbon
Page I Io
energy percentages
Strategies to increase the department's non -carbon energy percentage and the cost
implications of these strategies were discussed.
Future Planning and Decision Guidance
Mr. Phipps acknowledged the need for further analysis and strategic planning, with an
emphasis on balancing renewable energy goals with financial sustainability and market
competitiveness.
Mr. Phipps highlighted the Importance of aligning future plans with RMLD's mission, focusing
on reliable service, cost management, and advancing non -carbon energy goals.
Mr. Phipps noted the potential for more aggressive retirement of renewable energy
certificates as part of future strategic adjustments.
Mr. Soni recommended focusing on RMLD's decision-making regarding the extent of
certificate retirement.
YTD 2023 Power Supply Mix (slide 12)
Mr. Phipps highlighted the historical reliance on natural gas, constituting 50-55% of the
energy mix, and the recent shift towards a lower percentage due to Increased renewable
energy usage.
Mr. Phipps emphasized that this shift signifies RMLD's efforts to reduce its greenhouse gas
footprint and highlights the complexities of comparing strategies across different MLPs due
to varying contract terms and market positions.
Renewable Enerav Certificates and Strateav
Mr. Phipps discussed the strategic considerations for balancing the retirement rate of
Certificates with the need to maintain reliable, low-cost, and non -carbon energy sources.
Mr. Phipps discussed the potential costs and benefits of accelerating the retirement goals
and the impact on RMLD's financial projections.
Financial Protections and Market Analysis
Mr. Phipps referenced slide 9, which showed detailed financial projections for increasing the
retirement rate of Certificates from 50% to 72% by 2029.
Mr. Phipps discussed the incremental cost implications of such a strategy and how to
optimize the department's financial and environmental goals.
Transaction Facility Agreement (TFA) Contracts Overyiew
In response to a query by Commissioner Daskalakis, Mr. Phipps referenced slide 12, and
explained the role of TFAs in forecasting load and securing favorable prices.
Mr. Phipps outlined the reasons for the program's diminished use given more recent market
conditions that did not favor the TFA model.
Mr. Phipps and Mr. Bullock discussed the historical success of TFA contracts, and the
challenges posed by rising unit prices in the current market.
Certificates Process Flow
Mr. Phipps addressed Vice Chair Talbot's queries regarding the certificates process and
noted the existence of detailed slides prepared to respond to Vice Chair Talbot's questions
from previous meetings.
Vice Chair Talbot sought clarification on the process of disposing of certificates, Including
Page 1 11
who handles the disposal, the direct Involvement of the Board, and the Identity of the
purchasers.
Vice Chair Talbot emphasized the importance of transparency in this process.
Due to Vice Chair Talbot's remote attendance, It was proposed that these slides could be
discussed in more detail either in the current meeting or offline.
Policy Review
Materials: Policy Review Packet (BoC Packet, attachment 4)
Mr. Phipps presented the Policy Review to the BoC.
Polity 30: Renewable And Greenhouse Gas (GHG)
Mr. Phipps discussed RMLD's recommendations for modifying Policy 30 and suggested that
the Board could vote on these modifications in the current meeting or take time to review
the details further.
RMLD Policy Chances
Mr. Phipps noted that RMLD is looking to streamline and update board policies to reflect
current operations and strategic goals.
CAB Recommendations
Mr. Phipps highlighted the recent redlines made based on feedback from the CAB, as
previously discussed by Mr. Soni
Proposed Policy 30 Modifications
Mr. Phipps provided a brief overview of the proposed modifications to Policy 30 and
emphasized the focus on RMLD's commitment to the Commonwealth's greenhouse gas
reduction goals and the exploration of new technologies to support these goals.
Mr. Phipps highlighted a proposed modification that includes the exploration of other
generation technologies that comply with legislative and regulatory frameworks, Including
carbon capture fuel cells, hydrogen systems, and law -temperature geothermal for electricity
generation.
Mr. Phipps emphasized RMLD's proactive approach to Identifying and implementing novel
solutions that align with legislative goals and technological advancements.
Vote Postponement
The BoC agreed to postpone voting on policy changes until the next meeting to allow the
Commissioners more time to review the proposed changes in detail.
BoC Policies Review Schedule
Chair Pacino and Commissioner Daskalakis asked questions regarding the schedule for
reviewing BoC policies.
It was clarified that all BoC policies should be reviewed at least every three years, with the
option for more frequent updates or changes as necessary.
Procurement Reauests for Board Approval
Materials: Procurements Requests for Approval (BoC Packet, attachment 5 )
Mr. Phipps presented the procurement requests for approval to the BoC.
IFP 2023-36 Single Phase Pole Mounted Transformers
Bid Process Review
Page 1 12
Mr. Phipps reviewed the bid process for single-phase pole -mounted transformers, noting
that MVA Power Transformer was selected from five bids for a trial order due to their
satisfactory balance of quality, cost, and delivery.
Trial Order with MVA
Mr. Phipps discussed the trial order from MVA , providing details on the quality assessment
of the 20 tested transformers out of an initial order of 52.
Mr. Phipps highlighted that the results were positive, and RMLD is recommending a
subsequent order.
Evaluation of Other Vendors
Commissioner Coulter inquired about the other vendors, particularly ULS and Switch Gear
US LLC, concerning their delivery times and pricing.
Mr. Phipps clarified that despite the domestic preference, MVA offered the most cost-
effective solution without significantly compromising on quality or delivery times.
Future Procurement Strateov
Mr. Phipps recognized the need to maintain a cautious approach with MVA due to the global
scarcity of transformers and the desire for domestic options.
Mr. Phipps confirmed that RMLD is recommending moving forward with MVA due to the
Immediate need for transformers and MVA's satisfactory performance on the trial order.
Commissioner Daskalakis made a motion, seconded by Commissioner Coulter, that IFP
2023-36 for Single Phase Pole Mounted Transformers be awarded to: MVA Power, Inc., for
$381,752.00, pursuant to M.G.L. c. 164 § 56D, on the recommendation of the General
Manager. Motion Carried: 4:0:1 (4 in favor, 1 abstained, 0 absent) Roll Call Vote: Chair
Pacino, Aye; Vice Chair Talbot, Abstain; Commissioner Coulter, Aye; Commissioner Bita,
Aye; Commissioner Daskalakis, Aye
2024 NextEra Public Power Summit Attendance
Materials: NextEra Public Power Summit (BoC Packet attachment 6 )
Mr. Phipps discussed the request for GM attendance at the 2024 NextEra Public Power
Summit.
tvenr uverview ano cosc
Mr. Phipps introduced the topic of attending a public policy event hosted by NextEra next
year, highlighting the potential benefits of networking and gaining insights from one of the
larger and more innovative US -based energy companies.
Mr. Phipps confirmed the cost of attendance would be below $1000, with NextEra covering
all expenses except for the flight.
vame ano �oonsorsmo
Commissioner Daskalakis inquired about the value of attendance and the possibility of
NextEra sponsoring the entire cost.
Mr. Phipps responded that if NextEra were to sponsor full attendance, the cost might reach
around $1,000.
Vice Chair Talbot left at this point in the meeting (9:03PM).
Contracts and Influence Concerns
Commissioner Coulter raised a concern about potential influences on energy purchase
contracts and noted that all such contracts must be reviewed by the BoC.
Page 1 13
Commissioner Coulter emphasized the importance of transparency and impartiality,
especially if NextEra, as a customer, offers to cover expenses.
Accommodation Preferences
Commissioner Bita questioned the choice of accommodation, implying the importance of
staying at a place conducive to networking and informal discussions, which often occur
outside formal event settings.
Mr. Phipps assured the BOC of his Intention to participate in a manner that aligns with the
BoC's expectations and the professional nature of the event
Commissioner Daskalakis made a motion, seconded by Commissioner Coulter, that the
RMLD Board of Commissioners approve Greg Phipps's travel to, and attendance at, the 2024
Public Power Summit, to take place on February 11th - 14th 2023, at the Boca Raton, Boca
Raton, FL. Motion Carried: 4:0:1 (4 in favor, 0 against, 1 absent) Roll Call Vote: Chair
Pacino, Aye; Commissioner Coulter, Aye; Commissioner Bita, Aye; Commissioner
Daskalakls, Aye (Vice Chair Talbot was absent at this point in the meeting).
General Manager's Report
Materials: General Manager's Report (BoC Packet, attachment 7)
Mr. Phipps provided a General Manager's Report to the BoC.
Recruitment and Staff Updates
Mr. Phipps reported on the recruitment status of a Director of Engineering and a Director of
Operations.
Mr. Phipps reported that the Director of Operations position has been successfully filled
following an extensive search and interviews.
The team is still In the process of recruiting for the Director of Engineering, emphasizing
selectivity in hiring to maintain team quality.
Mr. Phipps discussed the new Director of Enterprise Data position, with plans to recruit by
2024.
Flex Time Proaram and Employee Morale
Mr. Phipps discussed the Flex Time program which was implemented in July 2022 for all
employees except line workers. The program, initially set for May to September, extended
to October.
Mr. Phipps reported that the program showed positive results, and subsequently has been
refined and implementation extended through March.
Mr. Phipps noted that efforts to ensure coverage on Fridays and weekends are ongoing,
indicating successful cooperation with the union.
Financial Updates and Forecasts
Mr. Phipps emphasized that the team Is closely monitoring load forecasts, which have
significant implications for sales, costs, and regulatory compliance.
Mr. Phipps mentioned that 2023 started with mild weather, affecting hydroelectric power
generation positively due to a wetter 2023 summer.
Mr. Phipps noted that load forecasts for kilowatt hours show a decrease of just under 3%
from the previous year due to milder weather, aligning with 2020 load levels.
Mr. Phipps highlighted that the 2024 winter forecast is mild, which may lead to lower than
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budgeted power supply costs for 2024
Sustainability and Environmental Initiatives
Mr. Phipps discussed ongoing efforts in carbon capture and fuel cells, highlighting the
team's focus on reducing the carbon footprint.
Mr. Phipps noted that an update on these initiatives will be provided in January,
incorporating feedback and questions from the last meeting.
Property and Infrastructure Developments
Mr. Phipps reported on collaboration with the town of Reading regarding the Ash St campus,
involving grants and creative project ideas.
Mr. Phipps discussed the Maple Meadows energy part acquisition and environmental
considerations.
Mr. Phipps mentioned RMLD's presentation to the Reading Select Board and the Water
Department at Lynnfield. The presentation focused on solar and battery systems for water
treatment.
Distributed Generation Stratepv
Mr. Phipps provided an update on distributed generation within the territory, noting ongoing
projects and support from local authorities.
Mr. Phipps noted that the strategy involves expanding solar potential in more areas, and
RMLD is planning to present to the Water Board of Commission in March.
Chair Pacino commented on the Lynnfeld Board meeting, highlighting the open-mindedness
to Innovative solutions for non -carbon electricity generation.
Mr. Phipps emphasized the importance of thinking outside the box and learning from others
in developing business models for sustainability.
The next RMLD Board of Commissioners meeting will be held on Wednesday January 31,
2024, at 6:30 PM.
Adiournment
At 9:20 PM Commissioner Daskalakis made a motion, seconded by Commissioner Blta, that
the Board of Commissioners adjourn regular session. Motion Carried: 4:0:1 (4 in favor, 0
against, 1 absent) Roll Call Vote: Chair Pacino, Aye; Commissioner Coulter, Aye;
Commissioner Bita, Aye; Commissioner Daskalakis, Aye (Vice Chair Talbot was absent at
this point in the meeting).
A true copy of the RMLD Board of Commissioners minutes
As approved by a majority the Commission.
iiGi� B�aGii10
PhiIiPBPa no1Rp,15, ]024 1EDT)
Philip B. Pacino, Secretary Pro Tem
RMLD Board of Commissioners
As approved on April 17, 2024
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