HomeMy WebLinkAbout08.17.2018 IMC minutesAlaska Intertie Management Committee
Regular Meeting - MEETING MINUTES
Friday, August 17, 2018
1. CALL TO ORDER
Chairman Mark Johnston called the telephonic meeting of the Intertie Management Committee to
order on August 17, 2018 at 9:01 a.m.
2. ROLL CALL FOR COMMITTEE MEMBERS
Brian Hickey Chugach Electric Association (CEA)
Cory Borgeson Golden Valley Electric Association (GVEA)
Tony Izzo Matanuska Electric Association (MEA)
Kirk Warren Alaska Energy Authority (AEA)
Mark Johnston Anchorage Municipal Light & Power (ML&P)
3. PUBLIC ROLL CALL
Burke Wick, Matt Clarkson (CEA); Ed Jenkin, David Pease (MEA); Jeff Warner (ML&P);
Jocelyn Garner, Brandi White, David Lockard, Teri Webster (AEA); Kirk Gibson (McDowell
Rackner & Gibson PC); John Foutz (City of Seward); Stefan Saldanha (Dept. of Law); Bernie
Smith (Public).
4. AGENDA APPROVAL
MOTION: Mr. Hickey made a motion to approve the agenda. Motion was seconded by Mr. Izzo.
The motion passed unanimously.
5. PUBLIC COMMENTS
None
6. APPROVAL OF PRIOR MINUTES – June 14, 2018
MOTION: Mr. Izzo made a motion to approve the minutes of June 14. Motion was seconded
by Mr. Borgeson. The motion passed unanimously.
7. NEW BUSINESS
A. Annual Election of Officers
MOTION: Mr. Johnson made a motion for Mr. Hickey to be the chair for the next year.
Motion was seconded by Mr. Borgeson. Roll call was taken and the motion passed
unanimously.
MOTION: Mr. Izzo made a motion for Mr. Borgeson to be the vice-chair for the next year.
Motion was seconded by Mr. Warren. Roll call was taken and the motion passed
unanimously.
The Secretary/Treasurer position remains with AEA.
B. Teeland to Hollywood Lease Expiration
August 17, 2018 IMC Meeting Minutes Page 2 of 3
Mr. Warren stated MEA and AEA will be negotiating over the next month the Joint Use
Agreement from 1984 for the lease and permit of the first 5.5 miles of line from Teeland heading
towards Douglas. A new agreement will need to be in place by October 1, 2018.
Mr. Izzo stated MEA has started a draft agreement. He would like to keep it at a cost-based rate
and does not anticipate any noticeable changes for the users.
C. Intertie Extension Appropriation
Mr. Jenkin said the IOC is looking at six projects that might qualify to use the remaining $6.5M
left over appropriations from the Teeland-Douglas bypass project. A detailed list with each
projects scope of work will be given to AEA to determine what projects meet the legislative intent
of the appropriation language.
Mr. Borgeson asked if the Cantwell mobile substation project qualifies. Mr. Warren said he would
have to look at the scope of work. He also said we can always ask for a reappropriation if it
doesn’t fit the original intent but there is always a risk with doing that.
Once AEA has determined which projects would qualify, the IOC would then submit their
recommendation to the IMC to approve.
8. COMMITTEE REPORTS
A. Budget Report
Ms. Garner gave the quarterly budget review for the last quarter of FY18. This draft shows the
annual refund will be $516, 083. The refund per utility will be based upon usage and
administrative costs. The amount due for the Douglas substation project will be netted against the
operating cost and administrative cost refund.
Mr. Borgeson asked about the $49,000 overage of the AEA Administrative costs. Mr. Warren
explained there is not a flat yearly fee for the Intertie Admin costs. It has been an estimated cost
each year. AEA will provide a cost breakdown for the year to the committee.
B. IOC Report
Mr. Jenkin gave a report on the IMC subcommittee’s work. Updates were given on Reliability
Standards, Open Access language review, high voltage trip cases, and the potential benefits of a
reserve fund. Mr. Warner gave a report on Intertie events from February to the present. There were
three related tie outages in February, two outages in July and one August 3rd.
9. COMMITTEE ASSIGNMENTS
Budget Subcommittee – To provide a breakdown of AEA administrative costs for FY18.
Budget Subcommittee – To determine, through the Amended AIA, if the IMC can take out loans
for Intertie work.
10. NEXT MEETING DATE
The next meeting is scheduled for Sept. 21, 2018.
Mr. Izzo asked if the Joint Use Agreement between AEA and MEA needs to be approved by the
IMC. Mr. Gibson stated the budget portion would need approval from the IMC and will check on
if the JUA needs to be approved by the IMC.