June 17, 2010
The regular meeting of the Board of Directors of the Omaha Public Power District was held in the Board Room on the Atrium Level of Energy Plaza East, on June 17, 2010, at 10:00 a.m.
Present were Directors M. J. Cavanaugh, N. P. Dodge Jr., J. K. Green, G. C. Hall, A. L. McGuire, J. R. Thompson, F. J. Ulrich, and D D. Weber. Also present were W. G. Gates, President and S. M. Bruckner and T. F. Meyerson, General Counsel for the District. Mr. Green, Board Chair, presided, and Ms. Emerson, Corporate Secretary, recorded the minutes. Other members of Management present were D. J. Bannister, T. J. Burke, M. I. Doghman, J. T. Hansen, A. J. Minks, G. R. Williams, L. L. Kapustka, C. L. Buettner, W. J. Lenagh, D. G. Ried, R. J. Rogers, T. G. Tamke, J. J. Hanson, and M. R. Jones. Others present included one J. M. Harding Scholarship Award recipient, Shane Hanson (and his parents Donna and John Hanson), Brinker Harding, Bellevue School Board President John Hansen, Superintendent of Bellevue Public Schools – Dr. John Deegan, four Bellevue Public Schools officials – Dr. Doug Townsend, Jeff Rippe, Jim McMillion, and Matt Blomenkamp, and other Bellevue Public School staff members. Others present were C. E. Perkins from I.B.E.W. Local #763 and approximately 25 employees of the District.
The Corporate Secretary read the following:
“Notice of the time and place of this meeting was publicized by notifying the area news media; by publicizing same in the Omaha World-Herald and Outlets; by displaying such notice on the Arcade Level of Energy Plaza since June 11, 2010; and by mailing such notice to each of the District’s Directors on that same date.
“A copy of the proposed agenda for this meeting has been maintained, on a current basis, and is readily available for public inspection in the office of the District’s Corporate Secretary.
“Additionally, a copy of the Open Meetings Law is available for inspection in the public meeting book located in this meeting room.”
It was moved and seconded that the Board reviewed the April 2010 Comprehensive Financial and Operating Report and that the minutes and the approved absences of Directors Cavanaugh, Thompson, and Weber for the last meeting be approved. The vote was recorded asfollows: Cavanaugh – Yes; Dodge – Yes; Hall – Yes; McGuire – Yes; Thompson – Abstain; Ulrich – Yes; Weber – Abstain, and Green – Yes. The motion carried.
Thereafter, the Corporate Secretary read the following:
“Persons wishing to address the Board on a particular item are asked to approach the microphone as that agenda item is discussed. Comments will be heard following Board discussion of the item and prior to a vote by the Board.”
The next order of business was the J. M. Harding Award Presentation. President Gates opened the 27th award ceremony by welcoming everyone to the presentation. Mr. Gates said that we are here today to recognize Bellevue Public Schools for their innovative energy practices and to present them with the 2010 J. M. Harding Award of Excellence. Mr. Gates said that OPPD established the J. M. Harding Award of Excellence in 1984 to encourage energy-management efforts and to honor organizations and businesses for efficient and innovative use of electricity. The award was named after J. M. Harding who was the chairman of the board when OPPD was formed in 1946, and members of the J. M. Harding family have faithfully attended these presentations for the past 26 years. Representing the Harding family is J. M.’s grandson, Brinker Harding, and Mr. Gates said it was a pleasure to have the Harding family here as OPPD celebrates 64 years of service to its customers and its community. Mr. Gates indicated as chairman, J. M. Harding had a vision that OPPD would operate according to the highest standards of business and customer service. As energy efficiency has become more important, we have found ourselves helping customers use energy more wisely through programs such as commissioning and optimization, lighting retrofits and several others. Mr. Gates also indicated that schools and government entities have long recognized that saving energy is an effective way to be good stewards of taxpayer dollars, and one such entity is Bellevue Public Schools – the recipient of the 2010 Harding Award. Mr. Gates continued that the Bellevue Public School District takes its motto – Champions for Children – to heart. While it prepares students for the future, it makes sure its facilities are energy efficient and affect the environment as little as possible. Also, in its quest to provide quality education, the district has done a fair share of homework to ensure its facilities operate as efficiently and cost-effectively as possible, and as a result, the district has become a champion for energy efficiency and environmental stewardship at all of its locations. For the district’s continuing efforts in this area, OPPD proudly awards Bellevue Public School District with its second J. M. Harding Award of Excellence for efficient and innovative use of energy. The district last won the award in 1997. Thereafter Mr. Gates introduced Mr. John Hansen, School Board President to accept the award and Chairman Green introduced Brinker Harding. Mr. Hansen then commented on the many projects the district has undertaken and appreciates the partnership with OPPD, and that on behalf of the school district, he accepts the award. Thereafter President Gates gave a brief overview of the scholarship program and indicated that the scholarship is given to a student from the University of Nebraska at Omaha with studies in an energy-related field and the second scholarship to a student from Creighton University junior majoring in international business. Mr. Gates indicated the scholarship winner, Song Zheng, from Creighton was unable to attend. Mr. Gates then introduced the UNO recipient, Shane Hanson, to accept his award. Director Dodge acknowledged John and Donna Hanson and their family and expressed his appreciation for their attendance at the ceremony today. At this time, the Board offered their congratulations to Shane and to the Bellevue School District.
The next item on the agenda was the recognition of Fort Calhoun Station employees. Chairman Green recounted the May 13 incident in which Paula Beebe, an administrative clerk at the Fort Calhoun Station, suffered a heart attack. Mr. Green acknowledged the significance of the Fort Calhoun employee Emergency Medical Technicians (EMTs) who came to Paula’s rescue, and said they helped make the difference between life and death. The EMTs used an Automated External Defibrillator (AED) as a part of their normal course of action to help restart Paula’s heart until other help arrived. Mr. Green indicated he and the entire Board of Directors extend their sincere thanks to the following individuals: Helen Thompson, Greg Smith, Don Kurtti, Mike Smith, Jay Mulkey, Pete Gunderson, Mike McKinley, Duane Gage, Sherry Chamberlain, Scott Robbins, and Dave Brown.
The following resolutions were then read, and upon motion duly seconded, were placed on roll call. The vote on each resolution is indicated following the description of that resolution.
RESOLUTION NO. 5824 approves the Engineer’s Certification and authorizes Management to negotiate the necessary contract(s) to install modifications for the 2011 and 2012 refueling outages as required by the Extended Power Uprate project at an estimated cost of $14.5 million. Director Dodge led the discussion stating the equipment is necessary to ensure continued safe, reliable operation of the nuclear plant at power uprate conditions that will be in effect following the fall 2012 refueling outage. This will require approximately 20 modifications and the cost represents approximately 7.5% of the entire uprate project budget. The process is complicated and requires exact specifications. He also indicated the sealed bid process is impractical and not in the best interest of the public. Management will report back prior to any contracts being signed so the contract(s) may be reviewed by the Board of Directors. For these reasons, the Nuclear Oversight Committee urges passage of this motion. Director Hall inquired as to the number of additional people this project will involve. Vice President Bannister indicated the exact number of additional people brought on site is not known at this time; however, by negotiating with different firms, OPPD may be able to utilize the same individuals to work on multiple projects thereby reducing the number of people that will be needed. Director McGuire inquired if we have bundled different contract work into one resolution before, and Mr. Bannister indicated this has been done in a 2006 major component replacement at the Fort Calhoun Station. Following the discussion, the vote was recorded as follows: Cavanaugh – Yes; Dodge – Yes; Hall – Yes; McGuire – Yes; Thompson – Yes; Ulrich – Yes; Weber – Yes; and Green – Yes. The motion carried.
RESOLUTION NO. 5825 authorizes Management to execute an interlocal agreement with Douglas, Washington, and Sarpy Counties of Nebraska, and Pottawattamie County of Iowa, and the Douglas County Technology Commission to share communications infrastructure and provide maintenance services for a wide area network microwave system, and the final form of the agreement to be reviewed and approved by the District’s General Counsel.
Director Cavanagh led the discussion indicating OPPD is entering into an interlocal agreement to participate in a wide area network microwave system with Douglas, Sarpy, and Washington Counties in Nebraska, Douglas County Technology Commission as well as Pottawattamie County in Iowa. This system was built by Douglas County through an Urban Areas Security Initiative (UASI) grant to achieve regional information sharing. All members, except for OPPD, will share in the on-going maintenance costs.
In exchange, OPPD will provide the labor and expertise to maintain the system. As a result of this agreement, OPPD will save the cost of two microwave link replacements which equate to $200,000, and Board approval is recommended. Following these comments, the vote was recorded as follows: Cavanaugh – Yes; Dodge – Yes; Hall – Yes; McGuire – Yes; Thompson – Yes; Ulrich – Yes; Weber – Yes; and Green – Yes. The motion carried.
Copies of the foregoing resolutions are filed in the District’s Corporate Records file.
The next item of business was the opportunity for those in attendance to address the Board on any items of District concern. No one in attendance addressed the Board.
There being no further business, the meeting adjourned at 10:25 a.m.
A. J. Minks D. S. Emerson
Assistant Secretary Corporate Secretary