• Telecommunications - Phase II Business Plan - Ken Beeson, Telecommunications Project Manager, Jim Origliosso, Treasurer, Debra Wright, Telecommunications Project, and Cathy Hamilton, Communications Coordinator

• Agenda check (President Anderson)
• Approval of Consent Calendar (Items will be approved by one motion and without discussion. If discussion is required, specific items will be removed from the Consent Calendar and considered separately.)
• Correspondence (5 min.)
• Items from Board Members (5 min.)
• Public input
• Electric Rate Proposal - Dick Varner, Fiscal Services Supervisor (Presentation - 10 min./ Discussion - 10 min./Information)
• Public Hearing on Electric Rate Proposal (20 min.)
• Electric Rate Change - Dick Varner (Presentation - 5 min./Discussion - 10 min./Action)
• Status of short-term conservation community outreach - John Mitchell, Communications Coordinator and Mike Logan, Energy Management Section Manager (Presentation - 5 min./Discussion - 5 min./Information)
• Interim Funding for Telecommunications School Lateral - Debra Wright, Telecommunications Project (Presentation - 15 min./Discussion - 15 min./Action) (rescheduled to 2/20 Board Meeting)
• Items removed from Consent Calendar

• Minutes of the January 3, 2001 Work Session and Regular Board Meeting

BUSINESS SERVICES AGREEMENTS

• Floyd L. Farstad - Treatment/Compliance Reporting Services - Water Production - Water Division. This is an extension of an existing contract for consulting services in support of compliance reporting at Hayden Bridge. This work involves review, analysis and compilation of water quality treatment process and operating data for submission to the Oregon State Health Division. The contract, $7,620, authorizes payment in the amounts authorized in the 2001 operating budget. Total monies paid to date is $36,300. The contract person is Doug Wise, 484-2411, ext. 3620.
• Sun Maintenance - Hardware/Software Support Renewal - Information Services, Corporate Services. Annual maintenance renewal from January 2001 through December. Total monies paid to date is $62,077. Amount of this contract is $40,000 for Server Maintenance. Contact person is Greg Armstead, 484-2411, ext. 3761.
• Thomason Ford - Vehicle Acquisition - Shop - Facilities Services. Purchase of eight alternative-fueled Ford F-150 half-ton pickup trucks capable of operating on propane or gasoline. Vehicles to be purchased from Thomason Ford of Beaverton, Oregon through the State of Oregon Vehicle Purchase Contract. Contract is $172,279 for the eight trucks. Contact person is Kevin McCarthy, 383-2411, ext. 3778.
• Bob Hinrich's & Associates - Strategic Metering Project - Energy Management Services - Customer Services. The amendment extends the telecommunications services provided by Bob Hinrich's & Associates to support our existing automated meter reading system, including site assessment, site preparation and troubleshooting as needed for existing and new AMR sites. Contract amount is $12,000. Total monies spent to date since 1998 is $34,161.26. Contact person is Mike Logan, 484-2411, ext. 3061.
• Montgomery Watson - Leaburg-Walterville Relicening - Electric Division. This is the second amendment for the Montgomery Watson contract for a total of $48,847. To address debris loading in the Walterville canal and the safety of boats entering the canal to reach the boat landing, we asked the engineers to design a new entrance at the mouth of the Waterville canal intake, and move the boat ramp outside the canal intake. The cost of the design is $21,270.

Staff did not include costs for evaluating changes to the Leaburg fish screen in the original agreement since the Federal Energy Regulatory Commission did not require these changes under the original license in 1997. Since the legal challenge to the 1997 license, we must now address these "prescriptions." Although staff is working with the fisheries agencies to identify as effective, but less costly, ways to protect the fishery resources, we must complete preliminary studies and designs to determine how much facility change is necessary to comply with the prescriptions as presented. The preliminary study and designs will cost $10,324. For background purposes, the Board should know that the prescriptions presented by the agencies could cost millions of dollars to construct.

The increased cost of power has prompted some changes in the way we view the work ahead of us at Leaburg-Walterville. One change is to replace selected auxiliary equipment in the powerhouses. Because the cost of power was relatively low, we were more willing to take some risk in experiencing a forced outage, due to not replacing auxiliary systems during other work in the powerhouses. Since power costs have escalated, we believe that re-evaluating replacement of auxiliary equipment is prudent. This amendment provides $7,534 for these studies.

Due to the increased cost of power, we are also rethinking the replacement of the two Francis turbine units at the Leaburg facility. To retrofit the power house to accommodate a larger Kaplan turbine was not cost effective earlier, since the additional physical work cost more than the additional generation benefits gained from a Kaplan turbine over the life of the unit. The higher power costs may make this approach more viable. This amendment provides $9,719 for a preliminary evaluation of a Kaplan turbine at Leaburg. If the analysis shows that the concept has merit, a future amendment will be considered for detailed analysis and design for installing a Kaplan unit to replace one Francis turbine, and replacement of the other Francis turbine in kind.

As I have stated before, as we continue to develop the details relating to the Leaburg-Walterville project, we will make appropriate changes to the scope of work for Montgomery Watson. Contact person is Gale Banry, 484-2411, ext. 3413.

Pioneer - Electric Division. This is for the purchase of five network transformers for installation in 2001 to serve the new public library building and TelecommLocate facility in downtwon Eugene. The anticipated delivery date is July, 2001. Of the total purchase price of $116,230, $96,365 will be reimbursed by the TelecommLocate developer and the City of Eugene. Contact person is Dean Ahlsten, 484-2411, 3210.