HomeMy WebLinkAboutStaff Report 8681
City of Palo Alto (ID # 8681)
City Council Staff Report
Report Type: Study Session Meeting Date: 11/27/2017
City of Palo Alto Page 1
Summary Title: Study Session Between the Council and UAC
Title: Joint Study Session of the City Council and the Utilities Advisory
Commission
From: City Manager
Lead Department: Utilities
This report is provided as discussion material for the joint study session of the Palo Alto City
Council and Utilities Advisory Commission (“UAC”). As a study session, no formal action will be
taken during the joint session.
The City Council and the UAC periodically meet in a joint study session to discuss matters that
fall within or are otherwise related to the role, purposes and duties of the UAC. Based on UAC
interests expressed, below is the list of potential topics for discussion during the joint Council-
UAC study session scheduled on November 27, 2017:
1. Fiscal Year 2017 Accomplishments
2. FY 2018 Workplan
3. UAC Interest Areas
a. Resiliency
b. Electric Vehicles
c. Fiber Utility
d. Workforce
4. Council Focus Areas
5. Local Solar Policy
6. Council-UAC Communications & Relationship
The joint Council-UAC study session discussion may also touch on other matters concerning to
the role, duties and purpose of the UAC (See Palo Alto Municipal Code § 2.23.050).
FISCAL YEAR 2017 ACCOMPLISHMENTS
2016-17 was a typically active year for the UAC. With leadership from Chair James F. Cook and
Vice Chair Michael Danaher, the UAC discussed and made recommendations on the following
issues that were then advanced for approval by the City Council:
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Carbon Neutral Gas Plan
Rooftop Solar Net Energy Metering Transition Policy
Design Guidelines for Natural Gas Cost of Service Analysis
Utilities Legislative Policy Guidelines
2017 Water Integrated Resource Plan
Ten-Year Electric and Gas Energy Efficiency Goals (2018 to 2027)
FY 2018 Electric, Gas, Wastewater Collection, and Water Utility Financial Plans
Drought Water Savings
EIR Approval for Recycled Water Pipeline Project
Future Plans for Fiber and Broadband Expansion/Expand Wi-Fi to Unserved City Facilities
and Discontinue Consideration of City-Provided Wi-Fi in Commercial Areas
Draft Sustainability and Climate Action Plan (S/CAP) Implementation Plan (SIP)
Review of Development Services Analysis of Cost-Effectiveness of Mandates for Building
Electrification
Utilities Operating and Capital Budgets for FY 2018
Declining to Set an Energy Storage System Target Due to Lack of Cost-effective Options
Community Solar Preliminary Program Design Elements
In addition to the items above, the UAC also discussed and provided feedback to staff on a
variety of discussion items. Staff greatly appreciates the thoughtful and constructive input
provided by the UAC on a wide range of utility-related topics.
WORKPLAN FOR FY 2018
With ongoing UAC engagement, the Utilities Department is well into the process of updating its
five-year Strategic Plan. The goal of the Strategic Plan is to ensure maximum alignment
between CPAU’s resources and activities with the City Council’s policy direction, citywide
organizational culture, employee and stakeholder interests, and customer service expectations.
The Strategic Plan also is intended to guide CPAU in successfully advancing the City’s mission
and priorities over the next five years through the development of CPAU goals, objectives and
initiatives; revisit the vision and/or mission statements; and result in the identification of
tactical action items and a refined system for tracking performance. The strategic planning
process anticipates an extensive stakeholder engagement process with the UAC providing a key
advisory role in the development of the Strategic Plan. A schematic of the strategic planning
process is provided in Attachment A.
In addition to strategic planning, the UAC’s engagement encompasses both broad strategic
direction and detailed tactical actions in support of the Utilities mission and operations.
Attachment B provides an overview of the anticipated topics to be discussed by the UAC over
the upcoming year, with most items presented as a precursor to City Council consideration. As
can be seen, the UAC has a full docket of substantive issues planned for the year. The UAC also
raised the topic of whether there are issues assigned that detract from organizational focus and
progress in other areas. UAC members may wish to raise specific issues they believe fall into
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this category and suggest modification or clarification of council direction.
Attachments:
Attachment A: Utilities Strategic Planning Process
Attachment B: Forecast 12Month Rolling Calendar
Trends & Data Collection Vision & Issue Definition Strategies & Tactics Implementation & Plan
City of Palo Alto Utilities | Strategic Planning Process
October 18, 2017BluePoint Planning
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UA
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July August September November December 2018 Jan-Mar
Initial Trends Draft Vision
& Issues
Vision & Issues
Defined
Initial Strategies
& Tactics
Draft
Strategic Plan
Final
Strategic
Plan
Review &
Revised
Strategic Plan
Core Planning
Team (CPT)
Meeting #1
Utility
Stakeholder
Group (USG) #1
CPT
Meeting #2
UAC
Meeting #2
9/6
USG #2
CPT
Meeting #3
CPT
Meeting #4 Council
Presentation
Kick Off
Meeting
UAC
Meeting #4
12/6
Community
Workshop
UAC
Meeting #3
11/1
Ongoing Employee Input
Ongoing Coordination
Employee
Small Group
Meetings
All Hands
Meeting City Mgmt
Stakeholder
Meeting
Employee
Workshop #2
Employee
Workshop #1
Utility Advisory
Commission
Meeting #1
7/12
October
CPT
Meeting #5
10/4
ATTACHMENT A
FORECAST
12-MONTH ROLLING CALENDAR
Utilities Advisory Commission City Council
November
2017
Debrief from the Joint Study Session
2017 Util Strategic Planning – Strategies & Tactics
Smart Grid Assessment and Developing Util Tech Roadmap
Adopt Revised Util Rule & Reg 11, “Billing, Adjustments &
Payment of Bills”
2018 Update of the Util Legislative Guidelines
Review of Proposed Distributed Energy Resources Plan
Customer Segmentation
Oaxaca Carbon Offset Purchasing Agreement (Council)
December
2017
2017 Utilities Strategic Plan: Recommend Approval
Recycled Water Project Alternative Evaluation and Business
Plan
Hydroelectric Generation Variability Management Strategy
Electric Integrated Resource Plan – Renewable Portfolio
Standard required and possible modifications
Upgrade Downtown Project (Council)
Extension of Elster Contract (Council)
January
2018
Preliminary Results of Distribution Systems Assessment to
Facilitate Distributed Energy Resources: 2020 and 2030
Electric Integrated Resource Plan – Renewable Portfolio Standard
requirements and possible modifications (Council)
February
2018
Approval of Distributed Energy Resource Plans: 2018 to 2030
Preliminary Findings and Recommendation on Smart Grid
Assessment and Implementing Utility Technology Roadmap
Electric Integrated Resource Plan – Carbon Neutral Portfolio
Hydroelectric Variability Management Strategy (Finance)
2017 Utilities Strategic Plan: Recommend Approval (Finance)
March
2018
Financial Forecasts / Rate Changes
Electric Integrated Resource Plan – Portfolio Management and
Transmission
Electric Integrated Resource Plan – Carbon Neutral Portfolio (Finance)
Approval of Distributed Energy Resource Plans: 2018 to 2030 (Council)
Hydroelectric Variability Management Strategy (Council)
2017 Utilities Strategic Plan: Approval (Council)
April
2018
Financial Forecasts / Rate Changes Financial Forecasts / Rate Changes (Finance)
Electric Integrated Resource Plan – Carbon Neutral Portfolio (Council)
May
2018
Budget Workshop Financial Forecasts / Rate Changes (Finance)
June
2018
Electric Integrated Resource Plan – Proposed Objectives, Key
Strategies and Implementation Plan
Financial Forecasts / Rate Changes (Council)
July
2018
Electric Integrated Resource Plan – Proposed Objectives, Key Strategies
and Implementation Plan (Finance)
August
2018
September
2018
October
2018
To be Scheduled
Water Benchmarking Study
Update UAC Bylaws
Update on City ERP and Utilities Billing System
Long-Term Direction for Utilities
Crossbore Updates, Next Steps: Phase 2 Implementation
Utl Engineering Services contract with Utilimap
Electric Rate Design Review Related to EV and Heat Pumps
Community Solar Program Elements
ATTACHMENT B