Board Members present: Dorothy
Anderson, Sandra Bishop, Mike Dyer, Jeff Osanka, and Susie
Smith.
Others present: Randy Berggren, Tom
Buckhouse, Garry Kunkel, Dick Helgeson, Jim Origliosso, Marty
Douglass, Paula Fleitell, Kim Ohmart, Roseanna McArthur, John
Mitchell, and Krista Hince of the EWEB staff; Tonie Nathan, member of
the public; and Kim Kunkel, Minutes Recorder.
President Smith called the meeting to order.
General Manager Randy Berggren presented a brief overview of the agenda, noting that the focus would be customer-related issues. He introduced several EWEB staff members involved in customer matters who would participate in presentations throughout the day.
A. 1997 Electric Survey Results
Referring to materials distributed to the Board, Planning Analyst Paula Fleitell reviewed highlights of the 1997 Biennial Electric Division Survey. Ms. Fleitell presented an overview of customers' views regarding both the importance of attributes versus performance and the variance between importance and performance with respect to the following:
Ms. Fleitell reported that when asked to give their overall impressions of EWEB, with 1 being the lowest and 5 being the highest, 37.5 percent of the customers rated EWEB a "5," and 50.5 percent rated EWEB a "4." That is an overall 88 percent better than average rating.
Commissioner Anderson said she was surprised that "community-owned" was ranked so low as a factor that would influence customers' decisions regarding whether to retain EWEB as an energy provider. Ms. Fleitell acknowledged that many customers are unaware that EWEB is a publicly-owned utility.
Vice President Osanka suggested that because the public tends to view EWEB as a business, that EWEB clarify, via the next issues of Pipeline for example, that it is a community-owned entity.
B. 1997 Water Survey Results
Referring to a packet of information distributed to the Board, Planning Analyst Kim Ohmart reviewed highlights of the 1997 Water Utility Survey Results & Analysis. Ms. Ohmart presented an overview of customers' views regarding both importance and performance of attributes and variance between importance and performance with respect to the following:
In addition, Ms. Ohmart reviewed customers' perceptions of how EWEB compares to other businesses, water safety, how the utility responds to customer concerns and opinions concerning water issues, and a number of other factors measured by the survey.
Ms. Fleitell said notable findings included customers' opinions concerning water quality, cost control, and EWEB's commitment to community involvement.
C. Summary of Corporate Issues Common Among 1997 EWEB Customer Surveys
Ms. Fleitell said three separate surveys of EWEB's residential customers have been conducted during the past year. These include the 1997 Biennial Electric Survey, the 1997 Water Utility Survey, and the 1997 Green Survey. Ms. Fleitell said the results of the three surveys revealed the following issues that are relevant to EWEB as a whole:
D. 1997 Focus on Results--Customer Satisfaction
Referring to information distributed to the Board, Strategic Planning Manager Deborah Brewer explained that the "Focus on Results Program" established three targets for monitoring and reporting performance related to the on-site contact EWEB makes with its customers. She said these included Customer Satisfaction, Safety, and Financial Success. In summary, Ms. Brewer said EWEB customers are extremely satisfied with their interactions with EWEB representatives and consistently separate their perceptions of a product with the service received.
Based on a customer's comment in the survey, Vice President Osanka requested information regarding THM (Trihalomethane), a carcinogenic.
(The Commissioners took a short break)
With regard to the survey finding that many customers consider EWEB to be either a business or subsidiary of the City of Eugene rather than a publicly-owned utility, Commissioner Dyer said he was not surprised. He said that despite this misunderstanding, a majority of customers appreciate EWEB's efforts to respond to their needs and provide outstanding service. Commissioner Dyer said he wonders whether customers are simply unaware of EWEB's efforts to control costs or think EWEB does a poor job of controlling costs. He expressed his opinion that a factor in the public's perception of EWEB's cost control efforts may stem from Board decisions to invest in power sources that are more costly than some alternatives. Acknowledging that customers placed a high level of importance on energy conservation and renewable resources, Commissioner Dyer expressed his opinion that customers want certain attributes, but are unwilling to pay for them.
Commissioner Anderson said she was interested in the fact that many customers consider public ownership to be minimally important to their decision regarding whether to retain EWEB as a power provider. She said the utility should address this. Additionally, Commissioner Anderson expressed interest in addressing the public's perception regarding
She said she would like to explore the ways in which public perceptions are related to customers' lack of knowledge that EWEB is a publicly-owned utility.
President Smith stated that the survey results are astounding in terms of the level at which the public is educated about EWEB and its appreciation for the services EWEB provides. She said she is not surprised that when the issue of cost is raised, people express resentment or concern. President Smith said the survey results indicate to her that EWEB should avoid overreacting to the gaps between importance and performance, continue being cost-conscious stewards of the environment, and acknowledge that EWEB cannot please all customers all the time. She said the survey indicates that overall EWEB is performing exceptionally and there is always room for improvement.
Commissioner Bishop said that to her, the stand-out issues are cost control and water quality. She said people generally want services without paying for them. With regard to issues of environmental stewardship and renewable resources, Commissioner Bishop said that while EWEB must take care in spending the public's money, she believes that investing in such resources as wind power will pay off in the long-term. With regard to clarifying that EWEB is publicly-owned, Commissioner Bishop noted that "community" and "public" have different meanings to different people. She suggested selecting key terms EWEB will use to educate the public and explaining to people the meanings of those terms.
Vice President Osanka flagged for future discussion the possibility that survey respondents may not have understood the concept of a rate structure that encourages efficient use of water. In addition, he said many customers do not know that EWEB Commissioners are elected officials who must engage in politics, including responding to customers. Vice President Osanka said that given the public has not expressed a great deal of interest in attending EWEB Board Meetings, Commissioners should make an effort to reach out to the public via community meetings. He suggested that Board members attend one different community meeting per month.
Commissioner Dyer stated that if EWEB enters into a competitive environment, its service, rates, and reliability, rather than its status as a publicly-owned utility, will be the factors that customers evaluate in deciding whether to retain EWEB as their power provider.
Mr. Berggren requested that each Board member select three priorities from the previous discussion and describe why they were chosen. He said staff would consolidate notes after the discussion and report back after lunch, identifying areas of agreement and areas lacking consensus.
The Board responded as follows:
Commissioner Anderson:
President Smith:
Commissioner Dyer:
(Suggest including in a future survey the question of whether customers would support EWEB serving 50 percent of its load with natural gas and cutting its rates by 15 percent.)
Commissioner Bishop:
Vice President Osanka:
(The Commissioners adjourned for lunch)
Assistant to the General Manager/Performance Improvement Roseanna McArthur stated that Board members agreed that the following issues were the highest priorities with respect to customers' current perceptions of EWEB:
With regard to quality service, Commissioner Anderson said she has heard customers express appreciation for EWEB's "responsiveness." She said EWEB should work to maintain a high level of responsiveness.
Commissioner Dyer noted that in relation to "customer versus customer," the survey results indicate that issues of "growth" are a concern shared by many respondents.
The Board agreed that the aforementioned 7 items accurately reflect the priorities that were indicated by survey results related to customers' current perspectives of EWEB.
Mr. Berggren requested that Board members consider how they would like EWEB to be perceived by customers in the future.
The Board responded, as follows:
Commissioner Anderson:
Commissioner Dyer:
President Smith:
Vice President Osanka commented that while EWEB would like the community's approval and support, there are at times equally desirable goals the utility must choose between. Rather than seeking the community's approval for its decisions, EWEB might consider the value of achieving a reputation for making difficult decisions that are deemed to be in the best interest of its customers. In addition, Vice President Osanka said EWEB should say what it does and communicate more with the public in order to spark familiarity with and interest in EWEB.
Commissioner Bishop:
The Commissioners engaged in an extensive discussion regarding whether EWEB should provide customers with a full menu of power sources.
Mr. Berggren requested that Board members select three priorities from the previous discussion and describe why they were chosen. He said staff would consolidate notes after the discussion and report back following the break with regard to identified areas of agreement and areas that lack consensus.
With regard to how the Board would like EWEB to be perceived by customers in the future, Commissioners indicated on large display charts their priorities, as follows:
Commissioner Anderson:
President Smith:
Commissioner Dyer:
Commissioner Bishop:
Vice President Osanka:
(The Board took a short break)
Ms. McArthur reported how the Board's's perceived priorities related to customers' future perceptions of EWEB were matched with its perceived priorities related to customers' current perceptions of EWEB.
A. Gap Assessment on Customer Perspectives
Mr. Berggren identified the three primary gaps between the priorities on current customer perceptions and the priorities for the desired customer perceptions, as follows:
B. Gap Strategies Discussion
Mr. Berggren said the purpose of this discussion was to highlight the various approaches available to treat the gaps identified above and identify significant considerations that need to be included in formal response strategies for closing gaps in customer perceptions.
President Smith commented that she does not see the need for identifying and implementing immediate priorities with respect to bridging the identified gaps. She said it is her opinion that EWEB's performance is generally perceived by customers as excellent. President Smith said EWEB should gage its activity level around its sense of significance.
Vice President Osanka stated that because, hypothetically speaking, retail wheeling will be encouraged by EWEB, the utility must respond to the identified gaps as quickly as possible. He said EWEB must position itself to respond to a changing, competitive environment.
Commissioner Dyer expressed his opinion that EWEB must first determine whether the gaps are really between "what is" and "what could be" or simply representative of the community's perceptions. He said the two scenarios demand radically different approaches.
Mr. Berggren said that one possibility of a "next step" is continued survey and analysis work designed to clarify the nature of each gap.
The Board and staff discussed the possibility of implementing "pilot" approaches to test the impact on community perception. "Customer ownership" was mentioned as a gap for which implementing such an approach might be useful.
Commissioner Bishop stated that there may be a way to both continue the survey work and take action. She said she would be uncomfortable with simply beginning a series of new inquiries. Commissioner Bishop noted that some gaps may be due to an inherent disconnect between customers' desires for services and the willingness to pay for it.
President Smith expressed the opinion that EWEB's efforts to bridge the gaps should integrate its new emphasis into the types of communication it already has with the community, rather than launching a major new effort. As an example, she suggested that one approach might be to utilize the information gained from the 1997 surveys to enrich the way EWEB communicates about its Resource Plan through focus groups and other community outreach efforts.
Vice President Osanka expressed support for staff proceeding to develop alternative approaches and using the Resource Plan as a means by which to test those approaches.
Members of the EWEB staff offered their comments, stressing the value of utilizing the survey information in the day-to-day operation of the utility and ongoing communications with customers. In addition, staff members agreed that this information is valuable in terms of measuring the value customers place on specific services offered by EWEB and modifying the utility's investments accordingly.
Commissioner Bishop noted that gaps are not necessarily negative indications. For example, the identified gap related to "customer ownership" may in fact represent a level of trust in EWEB. Commissioner Bishop said the possibility exists that some citizens, given their busy lives, simply trust EWEB and therefore elect not to attend Board Meetings until and unless there is an obvious crisis.
Commissioner Bishop requested a future presentation to the Board concerning who is responsible for designing and implementing EWEB surveys and how the survey function fits into the structure of the organization.
The meeting adjourned at 3:00 p.m.