1 1 STATE OF RHODE ISLAND AND PROVIDENCE …sos.ri.gov/documents/publicinfo/omdocs/minutes/247/2017/52705.pdf · 1 STATE OF RHODE ISLAND AND PROVIDENCE PLANTATIONS 2 ... *** ANGELO

file:///Z|/...2017/Board%20Meeting%20Minutes%203-28-2017/Board%20of%20Commissioners%20Meeting%20Minutes%204-25-2017.txt[4/18/2017 10:49:23 AM]

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1 STATE OF RHODE ISLAND AND PROVIDENCE PLANTATIONS

2 NARRAGANSETT BAY COMMISSION

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4 ************************** 5 IN RE: * * 6 MONTHLY BOARD MEETING OF * THE COMMISSION * 7 **************************

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9 DATE: March 28, 2017 TIME: 11:00 A.M. 10 PLACE: Narragansett Bay Commission One Service Road 11 Providence, Rhode Island 02905

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13 COMMISSIONERS: 14 CHAIRMAN VINCENT J. MESOLELLA 15 ROBERT P. ANDRADE JAMES BENNETT 16 DR. RICHARD BURROUGHS BRUCE CAMPBELL 17 MARIO CARLINO MICHELLE DeROCHE 18 ***MICHAEL DICHIRO, ESQUIRE JONATHAN FARNUM 19 *** SETH HANDY, ESQUIRE JOSEPH KIMBALL 20 *** PAUL LEMONT, ESQUIRE JOHN MACQUEEN 21 JOAN MILAS *** REMOVE AL MONTANARI HE WASN'T THERE 22 ALAN NATHAN *** ANGELO ROTELLA, ESQUIRE 23 RICHARD WORRELL

24 ALSO ATTENDING: RAYMOND MARSHALL, NBC EXECUTIVE DIRECTOR 25 *** JOSEPH DEANGELIS, ESQUIRE


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1 STAFF AND OTHER ATTENDEES:

2 Thomas Uva NBC 3 Jennifer Harrington NBC Paul Nordstrom NBC 4 Tom Brueckner NBC Karen Giebink NBC 5 Sherri Arnold NBC ***Karen Cortes NBC 6 Kerry Britt NBC ***Eliza Moore NBC 7 ***Kerry Houghton NBC Cecille Antonelli NBC 8 Leah Foster NBC ****Christine Comeau NBC 9 Jamie Samons NBC **** Abel Collins Senate Policy Office 10 Sarah Flickinger NBC *** Barry Wenskowicz NBC 11 Deborah Samson NBC Richard Bernier NBC 12 ***Jim McCaughey NBC *** John Zuba NBC 13 Jackie Giroux NBC Cheryl Pescarino NBC 14 Joanne Maceroni NBC Karen Musumeci NBC 15 **John Motta NBC ** Jim Kelly NBC ** John Hart RI House Finance **Charles J. Donovan, JR., RI House Policy ** Julian Dash Clean Development, LLC 16 *** KAREN: YOU CAN ADD OR DELETE FROM THIS LIST. 17 I'd like to have a master list, if possible, and we can add or delete each time rather than typing 18 them in every time. If that's okay with you?

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1 (HEARING COMMENCED AT 11:02 A.M.)

2 CHAIRMAN MESOLELLA: Okay. All right.

3 Good morning, everyone.

4 THE AUDIENCE: Good morning.

5 CHAIRMAN MESOLELLA: Recognizing a quorum,

6 we will call to order -- the meeting of Tuesday,

7 March 28th, 2017, to order. The first order of

8 business is the Approval of the Minutes of

9 February 28th, 2017. Have all of our members had

10 an opportunity to review the previous minutes,

11 and, if so, are there any comments, questions or

12 corrections? Comments, questions or corrections

13 on the previous minutes?

14 (NO RESPONSE)

15 CHAIRMAN MESOLELLA: Hearing none, all of

16 those that are in favor of approval will say, aye?

17 (UNANIMOUS VOTE)

18 CHAIRMAN MESOLELLA: Are there any

19 opposed?

20 (NO RESPONSE)

21 CHAIRMAN MESOLELLA: There are none

22 opposed, and that motion carries.

23 The next order of business is the

24 Executive Director's Report. Mr. Secretary, do


25 you have a report for us this morning?

4

1 SECRETARY MARSHALL: Yes, I do.

2 CHAIRMAN MESOLELLA: Proceed.

3 SECRETARY MARSHALL: First of all, the

4 report is available to you electronically. As you

5 know, these are more or less things that have

6 happened in February, although, there's a few

7 carryover items into March seeing as we're so late

8 in the month now. The plants have been producing

9 high-quality *** effluent. We had a couple of -- we

10 had one minor issue at each facility in the month

11 of February. It had to do with wet weather flows,

12 and one was related to *** interceptor removal on

13 ***suspended *** solids during the wet weather. The

14 other was a minor variation from the pH level,

15 again, during wet weather, nothing major.

16 Both the budgets at Field's Point and

17 Bucklin Point are in good shape, about 67 percent

18 through the year, and they've each used around 60

19 percent of their budget, so that's good. At

20 Field's Point, the turbines produced 70 percent of

21 the power needed to run the plants. So the three

22 turbines across the street produced 70 percent of

23 the power needed to run the Field's Point

24 facility. So that was a good month.

25 Goldwind, and you may have spotted this as


5

1 you drove in this morning, is getting ready to

2 change out the generators, which are located at

3 the top of each turbine. They're going to start

4 at the one -- I guess the central one as you come

5 down the street. They're working on that right

6 now. They might actually be, you know, removing

7 the hub and the blades. When you leave, you might

8 want to glance over there.

9 So they'll pull the hub and the blades

10 off. They'll set it down. They'll replace the

11 existing generator with a new generator, and then

12 the hub and the blades will go back up. That's

13 about a two-day process, I understand, for each of

14 the turbines. And, hopefully, we'll be -- we'll

15 have three -- essentially, three brand new

16 turbines by, let's say, the end of next week.

17 This, of course, is at their expense. This is a

18 new more efficient generator that they want to

19 actually get into the field and have it operate as

20 a successful installation.

21 And so they approached us and we said,

22 "Sure. If it's not going to cost our ratepayers

23 anything, and we'll essentially extend the life of

24 our installation, then, fine, let's do it." So

25 that's what you -- just sort of take a look over


6

1 there as you go out. You'll certainly see the

2 crane in the air; whether they'll actually have

3 removed anything by then, I'm not sure, but it's

4 worth checking out. The Bucklin Point staff did a

5 real good job proactively replacing some

6 deteriorating pipe and fittings on an assembly on

7 our return activated ***sludge line.

8 I bring that up because it's an example of

9 the operators paying attention on what's going on

10 in the *** plant carefully inspecting things, and it

11 was an issue that could have become a big problem

12 and a real messy, nasty one, if it had failed, and

13 it would also have disrupted the treatment

14 process. That's the reason why, you know, the

15 guys out there, men and women, have a real key

16 role in how successful we are each and every day

17 because flow never stops coming into the plants,

18 as you well know.

19 Interceptor maintenance reports that,

20 again, no dry weather overflows for the fifteenth

21 consecutive month. That's a testament to the

22 staff's excellent work staying up on the

23 preventative maintenance that needs to be done,

24 and the recent snowstorm we had -- what was that,

25 just a couple of weeks ago now, I guess. You

7


1 know, they did a really good job clearing

2 everything out so that we could get back into

3 operation in a very short period of time.

4 Engineering has been keeping close tabs on

5 our aeration system for Field's Point. Generally,

6 things are going well. All our turbo blowers are

7 operational. Our centrifugal blowers have been

8 experiencing a few bumps in the road, but we've

9 been able to keep everything up and running, and

10 the construction on the new blower building and

11 the four new units that we're going to have

12 on-site, excavation for the foundation has already

13 begun. So it will probably take eighteen months

14 anyway for that facility to be up and running in

15 our line. So call it mid to the fall of 2018.

16 The bio-gas project is finally ready to

17 start construction now that we have the DEM air

18 permit. That will be about a year or so before we

19 can get the engine that will burn the methane gas

20 and get that up and running as to our renewable

21 energy portfolio. You'll hear a report on

22 renewable energy under the CEO report in the next

23 ten minutes or so.

24 We have a project on Hartford Avenue. I

25 don't remember if we brought this up to you

8


1 before, but on Hartford Avenue in Johnston,

2 there's the opportunity just west of 295, several

3 of the landowners there, there's about 152 acres

4 have a great deal of interest in having their

5 property developed; a hotel and others have come

6 to them in that they need the sewer.

7 So the mayor met with us, Mike was there

8 as well, and we talked about extending the sewer

9 from where it now terminates by the Honda

10 dealership taking it under 295 up to that parcel

11 of land, and it should pay off quite well for us,

12 you know, from a business point of view. The --

13 nothing is ever simple, of course. DOT has a

14 project that they're planning on milling and

15 paving Route 6 from about 295 all the way out to

16 Danielson Pike, which I believe is actually

17 Scituate.

18 So we've coordinated with them as well.

19 The mayors have held several meetings, and the DOT

20 is going to delay their project a little bit, and

21 then they're going to start at the western-most

22 end. We'll be able to get the sewer in. We hope

23 to bring that bid before you in June and that we

24 can get the pipe in, get the trench patched and

25 then DOT will come back either late this fall or

9


1 early next spring and pave the road. So that will

2 save us a little bit of money as well in terms of

3 paving.

4 So that's a project that we're looking

5 forward to in addition to the sewer project on

6 Greenville Avenue, which has not yet begun, but

7 all the pieces are in place. They're probably

8 looking at mid-April to actually start

9 construction and will be building 7,000 feet of

10 new sewer along Greenville Avenue up to the

11 Citizens Bank new campus. So, we'll have two

12 projects going on in Johnston, which will bring in

13 new customers and new revenue, which is one of the

14 things that you and the chairman have asked us

15 to -- you know, to push for over the next couple

16 of years. So that will be a nice addition to our

17 customer base.

18 Phase III, CSO Design, we have been

19 working for the last year with our consultant to

20 optimize Phase III to try to see what we could do

21 to better serve the need to accumulate or to

22 collect overflows and reduce the cost. We have

23 made some progress on that, so next month we'll be

24 before you giving you a presentation on what we've

25 been able to accomplish over the last year or so.

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1 And we'll also be asking you for additional design


2 funding money to move forward for the next year.

3 So you might remember back in January of

4 2016, we asked you for a certain amount of money,

5 and indicated that we'd be back for more as the

6 project developed. So, I think that's something

7 to look forward to; hopefully, you are. We'll let

8 you know how things are looking. So that pretty

9 much takes care of engineering and construction.

10 Anyone have any questions at this point?

11 COMMISSIONER CAMPBELL: The new turbines,

12 are they going to put out more kilowatt hours than

13 the old ones when you say, "more efficient"?

14 SECRETARY MARSHALL: Yes. We expect that

15 they will. We expect that they will.

16 COMMISSIONER CAMPBELL: The second

17 question is: I notice there's some numbers here

18 on Wind Energy Development. There are three

19 turbines.

20 SECRETARY MARSHALL: Yes.

21 COMMISSIONER CAMPBELL: 3, 1 and 4, and

22 there was some comment that they were producing

23 more than you had budgeted?

24 SECRETARY MARSHALL: Yes.

25 COMMISSIONER CAMPBELL: Are those three

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1 turbines producing more than these three turbines?


2 SECRETARY MARSHALL: Yes, they are.

3 COMMISSIONER CAMPBELL: That's

4 interesting.

5 SECRETARY MARSHALL: That will be part of

6 Tom's presentation that he's going to give us in

7 the next 10 or 15 minutes or so.

8 COMMISSIONER CAMPBELL: Because, I mean,

9 these are on the Bay and those are in the woods.

10 SECRETARY MARSHALL: Right, except those

11 are actually at a higher elevation. So, yeah, the

12 wind speeds are higher up there --

13 COMMISSIONER CAMPBELL: Okay.

14 SECRETARY MARSHALL: -- you know, than

15 they are down here on the Bay.

16 CHAIRMAN MESOLELLA: It's interesting,

17 right?

18 COMMISSIONER CAMPBELL: Yeah.

19 SECRETARY MARSHALL: Okay. So, if there

20 are no other questions, our FY-'17 budget overall

21 is in really good shape. We're about 7 percent

22 under budget, so that's great. FY-'18 budget that

23 we're working on, that will come before the

24 finance committee in May and is coming together

25 nicely. The customer service folks billed $8

12

1 million in February and collected 7.8. So,

2 financially, we are in good shape at this point in


3 time.

4 PP&R has spent a significant amount of

5 time ensuring that all the information that we

6 needed to get into DEM for our new permit

7 revisions was in on time and in a manner that

8 allows them to consider it fully before they issue

9 the final permits. It took an effort by not only

10 Tom's group, but engineering and operations as

11 well. So, we think that we have a good case for

12 the request that we've made and now we'll see what

13 they finally end up deciding.

14 So, in addition to that, we've had a

15 number of reports that have had to be submitted in

16 the last month, including stormwater reports, our

17 annual bio-solids report, our Tier II reports, our

18 local emergency planning council reports for

19 Providence and East Providence. Our pre-treatment

20 annual report. We have more reports to submit

21 than, I think, I can possibly remember. And, so,

22 those are very time-consuming, and we make sure we

23 cross all the T's and dot all the I's so that we

24 are in full compliance with all the expectations

25 that are put upon us.

13

1 In addition, PP&R spent quite a bit of

2 time reviewing the river cleanup grant request


3 that will be before you today as part of the

4 finance committee report. And, also, analyzing

5 the solar RFPs that were submitted by three firms,

6 that will also come before you today. As I think

7 I mentioned just a moment ago, that will be part

8 of CEO.

9 So, finally, in executive, Jamie

10 coordinated a public meeting held in Johnston back

11 in early March. The chairman was there and made

12 the presentation, as was Mike. We actually had a

13 good crowd, a very favorable response. The

14 people, I think, understand that it's a worthwhile

15 project. We will be interfering with their lives

16 for several months, and that they probably will

17 have the right to be annoyed with us, but,

18 hopefully, it won't get too bad.

19 I'm going to supply them all with phone

20 numbers so that they can call 24/7 if there are

21 any problems that they feel need to be addressed.

22 We actually are going to give them the chairman's

23 cell phone number; right?

24 CHAIRMAN MESOLELLA: Well, we say it's

25 mine, but it's really Joanne's.

14

1 SECRETARY MARSHALL: And, basically, the

2 game plan is if you live in the area like Mike

3 does, you will still be able to get to your home,


4 and you'll be able to get around in part because

5 you know the lay of the land, so to speak, but

6 there's going to be detour signs up there that

7 basically says to the rest of us, you know, "Go

8 around." You know, there will be a lane of

9 traffic available to emergency vehicles and school

10 buses and the like, but, you know, if you travel

11 in that area, I would recommend starting to find a

12 different route. Do what you want, but,

13 otherwise, you might be sitting in traffic for a

14 while.

15 When you call Joanne, she'll tell you,

16 "Well, you were warned. I don't know what the

17 issue is." So that project was explained to the

18 public and the contractor was there and the

19 consultant was there and the mayor and the police

20 chief, the fire chief, so I think we had everyone

21 weigh-in, you know, that we needed to. I don't

22 know if you have any observations on that, Mike?

23 COMMISSIONER DiCHIRO: No, it was a well

24 run meeting, and I think the people were receptive

25 to it and DOT, too. They were responsive to the

15

1 peoples' questions, so it was good.

2 SECRETARY MARSHALL: So, now all we have

3 to do is get the pipe in the ground. So,


4 hopefully, that will be done by the time the

5 holidays roll around, let's say it that way.

6 We're planning our May education conference that

7 we hold at Goddard Park for all the school kids.

8 It's a program that Cynthia runs. That's

9 progressing nicely. Legislation is being reviewed

10 by Joanne, I think, to the tune of about 300 bills

11 so far. There's a lot of reading.

12 And we also appeared before the House

13 Finance Committee and the Senate Finance

14 Committees on the proposed $2.5 million scoop of

15 NBC funds, and we think that those committees

16 understand what our position is. They don't seem

17 to be inclined to go in that direction, but I

18 don't pretend to speak for them, that's kind of

19 the drift that we got after we were through making

20 our case.

21 We have a lien sale scheduled for April

22 13th. We have the Environmental Awards Breakfast

23 also scheduled for April 13th. So, I think the

24 Environmental Awards Breakfast, I think is at 8 or

25 8:30, and the lien sale starts here at 11. The

16

1 Awards Breakfast, by the way, is at the *** Kirkbrae.

2 Last week, I was at Water Week in

3 Washington, D.C., as part of the NACWA group, also

4 representing the Bay Commission.


5 We had people come in from all over the

6 country, both wastewater, water, stormwater people

7 and the manufacturers of equipment that we use in

8 our industry. We had 700 people. There were a

9 lot of visits up at Capitol Hill seeing the

10 senators and, you know, the representatives in the

11 house, and emphasizing important ways that our

12 industry can bring the improvements to

13 infrastructure that the administration wants to --

14 you know, to implement, and how it creates jobs,

15 and in addition to that, we're also improving the

16 environment as well. So, that seemed to go very

17 well.

18 None of the congressional committees that

19 are associated with infrastructure or the

20 environment seem to be meeting at this point in

21 time. There are other things going on there as

22 I'm sure you'll hear about and read about. So,

23 when those committees start meeting, I'd expect

24 that I probably will have to make a trip or two

25 down there, you know, to give some testimony,

17

1 which is something I've done in the past, or at

2 any point in my career. So that should be

3 interesting. Hopefully, they'll allow us that

4 opportunity. Is there a question?


5 COMMISSIONER BURROWS: Do you know if any

6 of those committees have a plan for a specific

7 bill and what the timing would be?

8 SECRETARY MARSHALL: No. At this point,

9 they're still supposedly working on drafts of a

10 number of different pieces of legislation. In

11 particular, legislation associated with

12 infrastructure, and, of course, they always say

13 roads, bridges and airports.

14 COMMISSIONER BURROWS: Second tunnel.

15 SECRETARY MARSHALL: And we're trying to

16 get them also to say water, wastewater and

17 stormwater. They say, "Oh, yeah, yeah, we know,"

18 but it would just be nice if they said those words

19 a little more frequently. So, any other

20 questions? Yes, sir?

21 COMMISSIONER WORRELL: Within a week or so

22 there was an article in the Providence newspaper

23 about an agreement with EPA and the City of

24 Providence concerning stormwater remediation.

25 Could you comment on that? How it might impact

18

1 us, et cetera.

2 SECRETARY MARSHALL: Well, I think it can

3 only be a positive thing for us. I mean, the

4 stormwater issue in Providence is one that does

5 need some attention. It hasn't received a lot of


6 resources, you know, devoted to it, and I think

7 the number was -- is it $5 million over ten

8 years -- I think is what the city agreed to spend

9 on their stormwater effort which, I think, at the

10 very least, they need to have some type of mapping

11 done of their system and identify all the

12 different components of it and then start to

13 identify, you know, in addition of pipe sizes and

14 everything, how much flow comes out of each of the

15 outfalls that are part of their system.

16 So, I mean, as far as I can see, it's very

17 basic work. It's not anything that's

18 sophisticated or, I believe, will actually prevent

19 any stormwater or treat any stormwater. I'm

20 glancing at Tom to see if he has any other

21 thoughts on it, but they basically need to get a

22 handle on what's going on, you know, within their

23 system. They have great records, by the way,

24 individual sheets, but it's a matter of pulling

25 that all together and putting the puzzle together,

19

1 essentially, so that they know what it is, you

2 know, that they're dealing with.

3 CHAIRMAN MESOLELLA: The broader issue, I

4 think, is, you know, how are they going to

5 maintain their system to make the appropriate


6 appropriations for the maintenance of the system,

7 because a lot of the problem that has been created

8 is there's been a lack of -- an outright lack of

9 maintenance and just created the issue that

10 they're trying to address now.

11 COMMISSIONER WORRELL: Is there going to

12 be any enforcement or follow-up by EPA on this, or

13 is it just going to be a ho-hum?

14 SECRETARY MARSHALL: Well, I mean, it's

15 really up to DEM at this point because, you know,

16 they have the delegation of authority, and so it's

17 really in DEM's hands. At some point -- well,

18 historically, if EPA doesn't think that the states

19 are doing their job that they should, then they'll

20 step in, but on the other hand, what's being

21 proposed -- and the president's budget, I'm not

22 sure that EPA is going to have much in the way of

23 resources to do anything.

24 Supposedly, they're not touching anything

25 in the SRF funding arena because they understand

20

1 that that money will be used to actually build

2 things, and they want those jobs out on the

3 street. But, on the other hand, if you cut the

4 EPA employment rolls from 15,000 to 5,000, then

5 the question is, "Can you get that money out on

6 the street" because the other third piece is the


7 money that Rhode Island and other states get to

8 run their delegation activities comes from that

9 EPA budget.

10 So, if they cut that off, the question is

11 will the states have the money to then implement

12 the program, too. So there's several moving

13 parts, and the folks at NACWA are doing a real

14 good job reaching out to the administration and

15 trying to work with them so that they understand

16 it won't do any of us any good if we have hundreds

17 of millions of dollars nationwide to improve water

18 and wastewater infrastructure, but then you're not

19 able to actually get the projects on the street

20 because there's no one to review and approve the

21 projects, which then allows you to spend the

22 money. That's all I have.


24 questions of the executive director with regard to

25 his report?

21

1 (NO RESPONSE)

2 SECRETARY MARSHALL: Oh, I have one more

3 thing. A note was just put in front of me. Has

4 everyone received their ethics forms? I know I

5 got mine. So, April 28th is the deadline to turn

6 those in.


7 CHAIRMAN MESOLELLA: Joanne, what's --

8 we'll, get you our legislative report in a bit,

9 but what's going on with legislation? Is the

10 governor legislation going in regarding those who

11 haven't filed ethics reports, or if they owe money

12 to the ethics commission?

13 MS. MACERONI: We know she is proposing an

14 ethics package. I haven't seen anything

15 introduced as of yet.

16 CHAIRMAN MESOLELLA: All right. Okay.

17 Any questions regarding the Executive Director's

18 Report?

19 (NO RESPONSE)

20 CHAIRMAN MESOLELLA: If not, we're moving

21 along to item number 4, which is Acknowledgment of

22 Award, the Government Finance Officer's

23 Association and the Certificate of Achievement for

24 Excellence in Financial Reporting. Ray?

25 SECRETARY MARSHALL: Thank you, Mr.

22

1 Chairman. This is an award that we've received

2 for -- how many consecutive years?

3 CHAIRMAN MESOLELLA: Fifteen.

4 SECRETARY MARSHALL: Fifteen? Fifteen

5 consecutive years. This is an amazing

6 accomplishment, and we're always so proud to have

7 our staff come up and be recognized for this. I'd


8 like Leah Foster, Cheryl Pescarino and Jackie

9 Giroux to come on up and accept the award.

10 (AUDIENCE APPLAUDS AND PHOTOGRAPHS ARE

11 TAKEN)

12 CHAIRMAN MESOLELLA: Thank you.

13 SECRETARY MARSHALL: They're the ones that

14 make sure that everything we do is right to the

15 letter of the rules, regulations, laws. Leah

16 let's us get away with nothing, nothing.

17 CHAIRMAN MESOLELLA: Well, thank you very

18 much, and thank you all. That was great. Okay,

19 the next item is our Committee Reports and Action

20 Items Resulting. The first committee reporting is

21 the Construction, Engineering and Operations

22 Committee. Commissioner MacQueen, do you have a

23 report for us today?

24 COMMISSIONER MacQUEEN: Yes, I do.


23

1 COMMISSIONER MacQUEEN: The first one is

2 "Review and Approval of Resolution 2017:05; Review

3 and Approval of Solar Energy Net Metering Request

4 for Qualifications and Proposals," and I move

5 passage.

6 CHAIRMAN MESOLELLA: Thank you. We have a

7 motion.


8 COMMISSIONER HANDY: I'll have to recuse

9 myself.

10 CHAIRMAN MESOLELLA: Let the record

11 reflect that Commissioner Handy is recusing

12 himself from consideration of this resolution. Is

13 there a second on the motion?

14 COMMISSIONER FARNUM: Second.

15 COMMISSIONER DiCHIRO: Second.

16 CHAIRMAN MESOLELLA: We have a second from

17 Commissioner Farnum and Commissioner DiChiro.

18 Prior to taking the vote, we have a presentation

19 by Tom Uva.

20 (COMMISSIONER HANDY EXITED THE ROOM)

21 MR. UVA: Good morning, Commissioners, I'm

22 going to give you a brief update on our 2016

23 energy performance about what our portfolio is

24 about before I go into the presentation.

25 SECRETARY MARSHALL: What we want you to

24

1 see initially is where we are on our effort to

2 obtain 100 percent of our power from renewable

3 sources.

4 MR. UVA: It's warming up, I hope.

5 SECRETARY MARSHALL: All right. I can set

6 the stage a little bit. I mean, you know we have

7 three wind turbines over at Field's Point, and

8 we've been operating those since November of 2012.


9 They provide on an annual basis nearly half the

10 power that we need to run that facility, and then

11 utilizing the net metering laws, we also purchased

12 the three wind turbines down in Coventry with your

13 -- you know, with your approval, and those are

14 virtually net metered. Tom will review both sets

15 of turbines and how they're performing for you.

16 As a result, we're able to get about 45

17 percent of our total annual power from those six

18 wind turbines, and the goal is to add and to build

19 on that. One of the projects we already have

20 underway is the bio-gas generator over at Bucklin

21 Point, and Tom will start to give you all the

22 numbers on that, and now we have the opportunity

23 to bring some solar into our portfolio as well.

24 Okay, Tom?

25 MR. UVA: Thank you. Thank you, Ray.

25

1 Basically, electric rates in New England are far

2 above the national average. New England rates are

3 about 51 percent above the national average.

4 Rhode Island averages about 44 percent above the

5 national average, and wastewater treatment

6 facilities are large users of energy. They use

7 about 1 percent of the nation's energy to run

8 wastewater. So, at the NBC, we've been very


9 proactive over the years, and we've been

10 addressing energy, alternative energy.

11 We've evaluated the low-hanging fruit as

12 wind and bio-gas. We also do a great deal of

13 energy conservation and energy efficiency, and

14 we're continuously updating and evaluating our

15 energy. Just in energy efficiency alone over the

16 last few years from 2013 on, we've through energy

17 efficiency projects and conservation, we've

18 reduced our energy lowered by 9.8 percent,

19 basically saving the agency $373,000 and reducing

20 over 1,100 pounds of CO2 equivalent metric tons.

21 This is where we use our energy. Most of it is at

22 Fields Point.

23 The next largest facility is the Bucklin

24 Point followed by the *** Ernest Street Pump Station and

25 the Tunnel Pump Station, and the other buildings

26

1 represent the smaller portion here, the *** COB

2 building that you're in, our laboratory and our

3 interceptor maintenance building. This is what we

4 provide now. These light blue boxes show you how

5 much energy is provided by alternative energy

6 sources through our six wind turbines.

7 And, basically, at Bucklin Point, we have

8 1.4 megawatts of average demand at that facility.

9 Our electric bill is about 1.4 million annually,


10 and at Bucklin Point we've been evaluating

11 combined heat and power, diesel -- combined heat

12 and power generator, basically, a reciprocating

13 engine. We flare off excess methane right now,

14 and we're going to capture that methane from our

15 digesters, and it's going to provide 37 percent of

16 the electric demand to the Bucklin Point Plant

17 when this is done saving us about $440,000

18 annually in electric cost, and it's going to be

19 completed in the spring of 2018 as Ray had

20 mentioned.

21 At Fields Point, our electric load is 1.7

22 megawatts. And our electric bill here is about

23 1.75 million, and with the three wind turbines at

24 Field's Point, we've knocked off about $770,000 a

25 year off of the electric cost at the *** 11 cent rate.

27

1 And when we export to the Grid, we get *** 11 cent credit.

2 So, when it's windier than 15 miles an hour, we're

3 exporting to the Grid and we're powering the plant

4 completely. So, when you hear on the news it's

5 windy out, we're doing pretty well. We like the

6 wind here.

7 And due to the Board's support, we were

8 the first wind farm in Rhode Island and,

9 basically, as a result of that, since it went


10 operational in October of 2012, we've generated

11 renewable energy credits, which has resulted in

12 about 1.5 million in revenue to the NBC, and

13 almost 4.7 million in total financial benefits to

14 the NBC since this system became operational at

15 Fields Point. The wind turbines for 2016, I'm

16 going to give you a little overview on the 2016

17 performance.

18 We generated 7.1 million kilowatt hours of

19 electricity. Saved about 788,000 in electric

20 cost. Sold 6,246 renewable energy credits that

21 generated $313,694 from the REC sales, and total

22 revenue was about a little over $1.1 million. We

23 also now -- the new legislation that was passed a

24 year or so ago requires -- allows for off-site net

25 metering, which means you can remotely net meter

28

1 from a site you don't own into the Grid.

2 As a result, we've purchased three

3 turbines in Coventry, and those are similar

4 turbines to this. But, as Ray indicated, they're

5 at a higher elevation and they generate more

6 power, and those turbines are going to provide 26

7 percent of our total electricity demand. They

8 went online late last year, so you'll see the data

9 shortly for that. It wasn't as great -- their

10 revenue wasn't as great as Field's Point, but


11 that's because they were only operational a

12 portion of the year. Overall, wind will provide

13 47 percent of NBC's renewable energy portfolio.

14 The turbines in Coventry, we purchased WED

15 3 and 4 on July 18th, and WED 1, which is built on

16 a superfund site on October 15th. So we did a lot

17 of due diligence. The legal was astonishing, all

18 the work they had to do to deal with the issues

19 there, but we're able to generate 3.1 million

20 kilowatt hours of electricity in that short period

21 of time. We generated 3,158 renewable energy

22 credits. They have not been sold yet. They'll be

23 sold this year within the next month or so, and

24 total revenue was a little over $442,000 from

25 those turbines.

29

1 Collectively, we've generated over $10

2 million kilowatt hours of electricity between both

3 turbines, both sets of turbines at Coventry and

4 Field's Point -- generated over 10,000 renewable

5 energy credits, and total revenue was almost $1.6

6 million from these two wind systems. So this is

7 what we have now. This graph, this light blue

8 line shows how our electricity demand changes on a

9 monthly basis. This dark blue line is an average

10 monthly usage, and what you see in green is the


11 Fields Point wind energy.

12 So that's how much is provided by -- of

13 our electricity is provided by our Field's Point

14 wind turbines. The difference in this space would

15 be what we purchased, and this is when we add in

16 the Coventry wind turbines. So what we're seeing

17 now, this is in orange, and this is providing 45

18 percent of our NBC energy demand. That's where we

19 are today. This is a typical year by the way,

20 just an average year. We have the bio-gas project

21 that's going online in the spring of 2018. That's

22 these light blue lines, and you'll notice that

23 doesn't change much. It's the same amount every

24 month. *** As long as we're producing gas from our

25 sludge. That unit will hum along and produce

30

1 electricity and heat for us.

2 You can see how the wind columns change

3 from month-to-month. So wind is very variable.

4 In the summer, it slows down. In the winter, the

5 wind is honking and we like that. So, what's

6 missing from our portfolio is solar, and that's

7 what we're here to talk about today following this

8 brief presentation. This is what the solar is in

9 this lavender color, and you can see how the solar

10 will vary, and you can see how during the months

11 of March, April and May wind is so much that we


12 actually exceed what our needs are. But then in

13 the other months September, October, November and

14 December, our production and generation drops off.

15 The wind isn't as great in the fall. The

16 solar -- the days are shorter, so we don't

17 generate as much, but this will give us 103

18 percent of our demand on average. What does that

19 mean? What happens if we exceed? Well, the

20 legislation will allow us to design up to 125

21 percent of what we need, and 10 megawatts of solar

22 will bring us to that. The legislation states

23 that if you exceed 125 percent, we're not really

24 sure what National Grid will do.

25 They may true-up our bill at the end of

31

1 the year, in which case it won't be a problem. If

2 they tend to true-up the bills on a monthly basis,

3 they could take that 1 percent, and we wouldn't

4 get any benefit from it. But there is also

5 legislation that states that that would go to low

6 income housing and other sources. So it could be

7 a benefit to the Bay Commission, where we'd

8 actually get good publicity on the few occasions

9 that we do exceed, that it could help those

10 underprivileged individuals in our state, and we

11 could get some good PR from them. Mario, you have


12 a question?

13 COMMISSIONER CARLINO: Who decides on

14 that? Is it the legislation?

15 MR. UVA: I think it's the legislation

16 that's still pending. We don't really -- there's

17 really no one that's doing exactly this yet, and

18 until the PUC and it all works out in play, and I

19 think the way it's written, it's going to be at

20 the end of the year there will be a true-up. So,

21 basically, when this is all said and done, we're

22 getting 19 percent of our power demand from Fields

23 Point, 26 percent would come from Coventry.

24 Those turbines are higher than ours.

25 They're 400 feet tall. They're higher than

32

1 Field's Point. Field's Point is 365 feet tall.

2 It's essentially built at sea level. Those are

3 probably *** at sea level of 500 feet tall. So

4 they're a lot higher and the higher you are, the

5 more you catch the wind. Bio-gas will be 14

6 percent of our portfolio and solar would be 44

7 percent. So this will give us a well-rounded

8 diverse energy portfolio.

9 And, basically, we went out to request for

10 qualifications in January of 2017 to propose two 5

11 megawatt facilities -- solar facilities for the

12 NBC. We kept options open for -- either we would


13 own and operate it. That was one the options.

14 The other option is to -- a contractor would own

15 and operate it and provide the electricity to us

16 through a Power Purchase Agreement, a PPA. We had

17 three qualified firms that responded to the RFP,

18 and I will be presenting to you now Resolution

19 2017:05, which summarizes this whole thing. Does

20 anybody have any questions about our performance

21 for the past year, or anything I can answer on how

22 we've done?

23 COMMISSIONER BENNETT: Tom, I've got just

24 a couple of questions.

25 MR. UVA: Sure.

33

1 COMMISSIONER BENNETT: I'm assuming the

2 tax credits are federal tax credits?

3 MR. UVA: Federal tax credits will not

4 effect us because we're tax exempt. However, when

5 we answer a PPA, the developer will get those tax

6 credits. So, that's how they're able to offer

7 that to us through energy savings.

8 COMMISSIONER BENNETT: You're able to sell

9 them? I know we can't use them, you're able to

10 sell them?

11 MR. UVA: Yes. They will own them.

12 COMMISSIONER BENNETT: Okay. So the


13 numbers look pretty good, the stack, the whole

14 stack of financing. So you've got a little bit of

15 -- your goal is to get to 103 percent, but you got

16 to 125 percent before any crazy legislation kicks

17 in; correct?

18 MR. UVA: Right. There may be one month

19 where it's possible -- there's a risk you could

20 lose maybe 1 percent of the income in the

21 particular month, but we don't expect that to

22 happen.

23 COMMISSIONER BENNETT: I guess the

24 question I'm trying to get at is, you know, you

25 put some of these really on sites that are -- no

34

1 one else would do anything. A superfund site up

2 in Coventry.

3 MR. UVA: That was an ideal location. We

4 say that now that we're through all of the legal

5 issues.

6 COMMISSIONER BENNETT: It makes sense.

7 MR. UVA: Those are ideal locations for

8 these types of projects.

9 COMMISSIONER BENNETT: Is there plans to

10 expand this program; either at solar or wind?

11 CHAIRMAN MESOLELLA: Well, other than this

12 10 megawatts that we're going to vote on shortly,

13 I think we're at capacity. I think we've achieved


14 our goal. We'll be 103 percent of our total

15 energy demand which, I mean, that's exceptional.

16 I mean who does that? So -- but, we're only

17 allowed by statute to generate up to --

18 MR. UVA: To 125 mean plate capacity.

19 CHAIRMAN MESOLELLA: Anything over the 100

20 is -- what happened with that additional 25

21 percent is --

22 MR. UVA: *** They would take anything we do

23 above it. So it's not in our best interest to do

24 anything more than that.

25 CHAIRMAN MESOLELLA: So, I don't think

35

1 it's worth it for us to make any further financial

2 commitments to doing more than we actually --

3 COMMISSIONER BENNETT: There was something

4 about new legislation that comes in that will

5 allow you to take that excess to put towards

6 affordable housing. Is that in the legislation,

7 or --

8 MR. UVA: That's similar to what I was

9 referring to, Commissioner, but we don't know.

10 You know, every year there's probably a dozen

11 energy bills that pop up, and until it shakes out

12 in June, we won't know what's happening. So we're

13 basing everything we're doing on existing


14 legislation.

15 CHAIRMAN MESOLELLA: I think the one that

16 you're talking about really has to do with

17 allowing affordable housing projects to

18 participate in the virtual net metering program.

19 MR. UVA: Yes, that's true.

20 CHAIRMAN MESOLELLA: That doesn't -- so,

21 if you have a big -- like the City of Providence,

22 the Providence Housing Authority say, for

23 instance, we have thousands of units, they now

24 would be able to initiate a program where they can

25 enter into an agreement with a contractor, a

36

1 developer like we are to buy their power, and ***

2 enter into that virtual net metering program.

3 That's what you're referring to. I'm familiar

4 with that legislation. So, anyway, we have a

5 motion and a second on the resolution. I don't

6 know that we've explained -- did we explain the --

7 MR. UVA: We gave you a history of our

8 portfolio. I can go into the resolution right now

9 for you.

10 CHAIRMAN MESOLELLA: Go ahead. Explain

11 the process of the RFP.

12 MR. UVA: So, basically, to complete our

13 portfolio, it's kind of a three-legged stool. We

14 have bio-gas, we have wind. The third leg of the


15 stool is the solar, and that's the third piece of

16 the pie that we want to put in place. And I

17 reviewed with you the percentages of each that

18 would be provided. In January of 2017, we went

19 out to bid seeking two options. One option is to

20 provide us the electricity, they own and operate

21 it; and the other option is we own and operate it.

22 "Sell us the site, build it for us. We'll pay you

23 to operate it. We own it."

24 So we've evaluated all of those proposals.

25 We've received a total of -- three developers

37

1 submitted a total of seven proposals. Two

2 proposals -- two developers submitted proposals

3 where we would own and operate it. We've

4 evaluated the own-and-operate option, and there's

5 a lot of risk involved. In addition, a lot of

6 capital expense upfront. Probably 28 to $30

7 million upfront if we went with 10 megawatts --

8 two 10 megawatt sites.

9 So it's in our best interest to go with

10 the PPA option. When you own it, you're in it.

11 You've got to come up with the capital cost. You

12 could lose that money. It's like investing in the

13 stock market. If the legislation changes, if

14 their electric rates go down, you could lose


15 money. So we already own six turbines, and we're

16 into it. So a power purchase option, we thought,

17 would be best for the agency to protect the

18 ratepayers. There's no money upfront. We just

19 have to negotiate the best contract with the

20 developers, and that's in our best interest.

21 The power purchase agreements that were

22 proposed, there were three developers that

23 submitted proposals: Wind Energy Development of

24 North Kingstown, Southern Sky Renewable Energy of

25 Rhode Island located in Warwick, and Energy

38

1 Development Partners of Providence. All three of

2 these companies submitted proposals for a PPA that

3 would mimic or ride along the virtual net metering

4 discounts rate. So, in other words, National

5 Grid, when they export to the Grid, they would get

6 a fixed rate, and they would sell the electricity

7 to us at a discount off that rate.

8 And the discounts range anywhere from 15

9 percent to 25 percent depending upon the

10 developer. So, if it was a 14 -- if National Grid

11 is paying ***14 cents , we get maybe 3 1/2 cents off of

12 that. So we're getting a discount. We're always

13 getting that 3 1/2 cent for everything we export.

14 So we're always making 3 1/2 cents a kilowatt.

15 *** What's exported, it would credit our electric bills at


16 these other sites. And what would happen is we'd

17 always get 3 1/2 cent credit. So, it's always

18 kind of a moneymaking thing. It's a good deal.

19 If electric rates go down, our rate would

20 go down. Some of the PPAs were structured, or one

21 of the -- several of the PPAs were structured

22 where it was a set rate with an annual escalator,

23 okay. So you start off at a certain rate and it

24 always goes up, so it never went down. If

25 electric rates drop, you're still paying more

39

1 every year. So the one that ties into the net

2 metering rate would look like the best for us.

3 There was also one proposal by one

4 developer where we would pay for the electricity

5 upfront for 25 years. So you have to pay that

6 cost upfront, and that was very risky. And,

7 naturally, the risky ones could offer the best

8 rewards. So, you know, they're very enticing, but

9 we need to make sure that we have a good sound

10 investment for our ratepayers. So, based upon

11 that -- we also -- one of the other things that we

12 specified is we wanted all the renewable energy

13 credits. Two of the proposers gave us all the

14 renewable energy credit straight out.

15 One proposer wants to charge us $15 per


16 REC for the first ten years, and then they would

17 be free. So we've worked all of those numbers

18 into our calculations, and based upon our

19 calculations, we want to be able to pursue

20 negotiations with these three companies for a PPA

21 that mimics the virtual net metering discount

22 rate. And based upon that, we could realize a

23 revenue of 5.6 million to 9.8 million dependent

24 upon what project we choose for each 5 megawatt

25 project. So, double those values would be our

40

1 financial savings over the 25 years *** to two 5

2 megawatt projects.

3 So, these projects would provide about

4 43.8 percent of NBC energy needs. Taking us up to

5 the 103 percent marks would be completely net

6 zero, totally renewable sustainable energy for the

7 agency. This project alone -- these solar

8 projects would reduce 4,600 metric tons of carbon

9 dioxide equivalents. The PPA project would

10 require no capital investment. It will require

11 some negotiations with these developers so we can

12 get the best deal for the agency. What we're

13 proposing to you today is that the Board approve

14 2017:05 to authorize the chairman and executive

15 director to oversee these negotiations and enter

16 contract with one or more company. So, whichever


17 one steps up to the plate and can give us the best

18 deal and can deliver.

19 One of the other things I wanted to

20 mention is that this RFP required every developer

21 to propose the sites and tell us what sites they

22 have secured. We want site security, and we want

23 to be able to go forward. These negotiations of

24 these PPAs can be very tedious because it's not

25 just engineers trying to negotiate building a

41

1 site, it's lawyers and accountants and finance

2 people and everybody getting their say into these

3 contracts.

4 So these things can drag out, and we want

5 to resolve these and lock in as soon as we can

6 because there are grandfathering clauses we want

7 to meet, grandfathering deadlines, existing net

8 metering legislation. It talks about a deadline

9 of June or July of 2017. In our RFP, we told the

10 developers we wanted to have the interconnect in

11 by April of 2017. So the clock is ticking, and we

12 know that's not very realistic, but we're going to

13 negotiate that they get it in before the deadline.

14 So, at this point, I'll take questions.

15 COMMISSIONER WORRELL: How many -- we have

16 -- in this resolution we're presenting three


17 providers. They exist because of an RFP we sent

18 out earlier in the year at some point?

19 CHAIRMAN MESOLELLA: That's correct.

20 COMMISSIONER WORRELL: And these three

21 were chosen. Were there any others that submitted

22 bids that were not chosen?

23 MR. UVA: No.

24 COMMISSIONER WORRELL: What do we have by

25 way of due diligence that we've done with regard

42

1 to those three that we did choose?

2 MR. UVA: All three have qualifications

3 and have done projects. One has done projects

4 extensively in Massachusetts, not in Rhode Island.

5 Wind Energy Development, we purchased the turbines

6 from them. They have extensive knowledge of

7 dealing with the Rhode Island PUC, the Rhode

8 Island State and Building and all of those issues

9 within Rhode Island as does EDP. So they're all

10 qualified to do renewable energy projects. Wind

11 Energy Development has not done solar yet, but

12 they have done wind and it's very, very similar.

13 They all have good engineering teams. They all

14 have good credentials for putting these projects

15 together. So those are the things that we looked

16 at when we evaluated the qualifications.

17 COMMISSIONER WORRELL: How about their


18 financials?

19 MR. UVA: They all submitted letters to

20 show that they have the finances to put these

21 projects together.

22 COMMISSIONER WORRELL: These are all

23 public companies or private companies?

24 MR. UVA: Private companies, I believe.

25 SECRETARY MARSHALL: Private.

43

1 MR. UVA: Any other questions?

2 COMMISSIONER DiCHIRO: Do we know where

3 these solar panels will be located?

4 MR. UVA: Yes, we did require in the RFP

5 that they submit the sites and maps, and also

6 submit zoning and contracts, though, sometimes

7 it's leases of a farm. So they've already been

8 through these different towns and have their

9 zoning in place. Some of them already have the

10 interconnects in place, but we also understand

11 that some of these entities may be proposing these

12 sites to other municipalities. So we want to get

13 in and start negotiating and secure the sites that

14 are best for the NBC.

15 Part of the legislation says that we have

16 to have site control. That means as part of the

17 lease arrangement, as part of the contract, we may


18 have to lease -- they may lease the site to us for

19 a dollar and we'll hire them to run it. So that's

20 what they call site control. That meets the

21 definition of the legislation. So these are some

22 of the things that have to be worked out, and do

23 we want site control all over the state? Some

24 sites have 5 megawatts. Some sites have 10

25 megawatts. Other sites have 2 megawatts, 1

44

1 megawatt, they're all over the state.

2 So, do we want to get involved having

3 these different sites all around that we have to

4 deal with? So, this is going to be some of the

5 negotiation. We definitely want to pursue some of

6 the sites *** that are larger non-controversial, and the

7 due diligence has already been done and we can

8 quickly close on some of these PPAs, if possible.

9 *** COMMISSIONER NATHAN: It seems to me that

10 wind energy is mechanical moving.

11 MR. UVA: Yes.

12 COMMISSIONER NATHAN: And solar, just sort

13 of, is there. If this was available to us five

14 years ago, ten years ago, would we have gone with

15 just solar only because it doesn't have a chance

16 of breaking down like the mechanical ones --

17 MR. UVA: It still has mechanical parts,

18 Commissioner Nathan, and you have inverters. You


19 have cooling fans. There's a lot of equipment.

20 These solar panels degragate (sic) every year. So

21 you get a little bit less of output every year,

22 and they take a huge footprint. We have evaluated

23 solar at Bucklin Point and we were going to put in

24 a 2.6 megawatt facility at Bucklin Point on our

25 old sludge landfill, but we need that land right

45

1 now for the Phase III tunnel. And then after

2 that's built, then maybe half of that land will be

3 available.

4 One thing about clean water, it's very

5 energy intensive, and DEM regulations are

6 constantly becoming stricter. Every time a

7 regulation gets stricter, we have to build a new

8 facility that requires more energy. When the

9 tunnel pump station goes on line, we'll have

10 entirely new energy loads that we're going to have

11 to deal with, and solar will be another option

12 there. We've also evaluated hydro at this

13 facility, and we've evaluated solar parking lot

14 establishments here. So we've done a lot of

15 things, and we may be able to add some other

16 things as time goes on, small projects that help

17 us as we increase our load.

18 COMMISSIONER NATHAN: So, if we go through


19 with the solar, we'll end up with wind and solar

20 about the same percentage on a yearly basis?

21 MR. UVA: Yes, yes.

22 CHAIRMAN MESOLELLA: Commissioner *** Burroughs?

23 *** COMMISSIONER BURROUGHS: You talked about

24 financial and just recently technical risk. Could

25 you elaborate in terms of the regulatory risk?

46

1 You know, do we anticipate legal changes in Rhode

2 Island and could that surprise us?

3 MR. UVA: Absolutely. Last year there was

4 legislation introduced, I think, by probably

5 someone from National Grid. It was really to

6 phaseout net metering in favor of distributed

7 generation. So with distributed generation, the

8 developers bid a set price for 15 years, and so

9 they know that price. And net metering -- so it's

10 usually lower than the net metering rate. So,

11 Joanne and I went and met with the senate and

12 educated them about this, and that bill got

13 changed because of our efforts there. But we are

14 concerned about that.

15 You know, we're concerned about the

16 legislative changes than can have an effect on us,

17 but that's why we want to get it built to get

18 grandfathered because we're hoping that the

19 grandfather will be all set, but nothing is for


20 sure. In one of the midwest states someone has

21 filed suit. I think it was the Buffets. Was it

22 the Buffets, Barry?

23 ***MR. WENSKOWICZ: Koch Brothers, maybe.

24 MR. UVA: The Koch Brothers. They filed

25 suit to try to eliminate net metering because

47

1 they're in the oil business. So, I would be

2 remiss if I didn't recognize Barry *** Wenskowicz and

3 Jim McCaughey. Would you guys stand up? These

4 are our two energy experts that run all of these

5 calculations for us, and every time the wind

6 changes they come into my office with new

7 calculations and new results, but we're very

8 fortunate to have these guys on our team.

9 CHAIRMAN MESOLELLA: Okay. Are there any

10 other questions regarding this resolution?

11 COMMISSIONER MILAS: Thank you for the

12 good presentation.

13 MR. UVA: Thank you, I appreciate it.

14 COMMISSIONER CARLINO: Can we have that

15 presentation?

16 MR. UVA: Absolutely. We can get it to

17 Karen, and she can put it on the Board's website.

18 SECRETARY MARSHALL: Great. Thank you.

19 Mario, we're going to redact your copy.


20 CHAIRMAN MESOLELLA: So, before we take

21 the vote, we have a motion and we have a second.

22 It would be my intention to very aggressively

23 negotiate with all of the three proposers. I'd

24 like it to come before the Board at our April

25 meeting. We do have some time constraints that we

48

1 have to deal with. So it would be pretty

2 aggressive negotiating sessions, but I'd like *** it

3 to come before the Board next month with a

4 recommendation. So, having said that, we have a

5 motion. We have a second. Everyone has read the

6 resolution, I believe. All of those that are in

7 favor will say, aye?

8 (UNANIMOUS VOTE)


10 opposed?

11 (NO RESPONSE)


13 opposed, and the motion carries. Further report,

14 Commissioner MacQueen?

15 COMMISSIONER MacQUEEN: "Review and

16 Approval or Resolution 2017:06; Award of Contract

17 814.00C Digester *** Pipe and Miscellaneous

18 Improvement - Bucklin Point Waste Water Treatment

19 Facility." Ray?

20 SECRETARY MARSHALL: This project, which


21 will take place at Bucklin Point, involves the

22 replacement of the old gas piping and controls

23 that were installed back in the 1960s on our

24 anaerobic digesters. We took bids on March 16th.

25 We had four bids. The low bidder was Hart

49

1 Engineering. This will maximize the bio-gas

2 co-generation project that we're going to

3 implement. Hart is well known to us. They've

4 done a number of projects for us over the years.

5 They have two or three that are ongoing

6 right now. We're completely confident that they

7 can complete this project. They do have to meet

8 MBE/WBE goals, and they need to get those approved

9 by the state. There will be some ancillary costs

10 associated with the project, which might be some

11 engineering specialty consultants and some

12 inspection and administration cost by our staff,

13 but it's a pretty straightforward project, and we

14 request your approval of Resolution 2017:06.

15 COMMISSIONER BENNETT: Motion.

16 CHAIRMAN MESOLELLA: We have a motion. Do

17 we have a second?

18 COMMISSIONER CARLINO: Second.

19 CHAIRMAN MESOLELLA: Commissioner Carlino

20 seconds the motion. Discussion on Resolution


21 2017:06?

22 (NO RESPONSE)

23 CHAIRMAN MESOLELLA: Since there is no

24 further discussion, all of those that are in favor

25 of passage of Resolution 2017:06 will please say,

50

1 aye?

2 (UNANIMOUS VOTE)


4 opposed?

5 (NO RESPONSE)


7 opposed, and that motion carries. Further report,

8 Commissioner MacQueen?

9 COMMISSIONER MacQUEEN: "Review and

10 Approval of Resolution 2017:07; Contract 306.00C -

11 Floatable Controls Project - OF 205, 219 and 220

12 Increase COR Authorization Amount." I approve.

13 CHAIRMAN MESOLELLA: I have a motion to

14 approve Resolution 2017:07 seconded by

15 Commissioner Milas, Commissioner Carlino and

16 Commissioner Worrell. Ray?

17 SECRETARY MARSHALL: Yes. This is a

18 request to exceed the authorization for change

19 orders on a contract, 306, in particular, that

20 Rocchio did for us back on Phase II. We, meaning,

21 the chairman and I have the authority based on the


22 Board's approvals to go up to 5 percent of the

23 contract amount, which would be $210,000 in on

24 this particular contract. The bid price was 4.2

25 million. We're asking for authorization to go up

51

1 to $220,000.

2 We had some -- a situation at overflow

3 205, not the result of anything that Rocchio did

4 wrong, but just the way the water drains onto that

5 site. We had some erosion. We needed them to go

6 out and do some work for us, which they did. We

7 did it time and materials. We kept track of what

8 they were doing. So we put the little retention

9 pond. We created some rip-rap washout areas. If

10 you want to know what rip-rap is, you can ask Bob,

11 he knows it well. It's really just a minor

12 amount. We did exceed, or we will exceed the

13 change order amount by a slight amount, and that's

14 what we are asking for your approval for in

15 2017:07.

16 CHAIRMAN MESOLELLA: Okay. So, any

17 further explanation? You've read the resolution.

18 We have a motion, we have a second. All those in

19 favor of Resolution 2017:07 will say, aye?

20 (UNANIMOUS VOTE)



22 opposed?

23 (NO RESPONSE)


25 opposed, and that motion carries. I do believe

52

1 that completes your report.

2 COMMISSIONER MacQUEEN: It does, yes.

3 CHAIRMAN MESOLELLA: Thank you very much.

4 Moving right along to the finance committee.

5 Commissioner Andrade, do you have a report for us?

6 COMMISSIONER ANDRADE: Yes, I do, Mr.

7 Chairman.


9 COMMISSIONER ANDRADE: The committee met

10 this morning and acted on four resolutions all

11 relating to recommendation for the use of

12 environmental enforcement funds. All were

13 approved unanimously by the committee, and the

14 first is "Resolution 2017:08; Recommendation For

15 Use of Environmental Enforcement Funds For River

16 Cleanup Grants." Mr. Secretary, do you want to

17 explain that a little bit?

18 SECRETARY MARSHALL: Sure. Every year we

19 solicit *** requests from our community groups and

20 the cities and towns within our district. It's

21 money they use on Earth Day to do various cleanups

22 of rivers and streams and ponds and lakes within


23 their own areas, as well as parks and other public

24 spaces. They usually use the money for the

25 purchasing of trash bags, gloves, dumpsters and

53

1 other supplies that they need. It creates a lot

2 of goodwill in the community. It expands our area

3 of accomplishment, as opposed to just doing a

4 strict river cleanup like we used to do for many

5 years on the Woonasquatucket. It spreads it

6 around the service area.

7 All of the solicitations, all the notices

8 and advertisements will have *** our logo on it, along

9 with the group that is sponsoring the event, and

10 we had 18 applications which were reviewed by our

11 staff. They found that they all met the

12 qualifications or the criteria. The grants range

13 from as little as $400 to as much as 1,000. And

14 the 18 in total came up to $11,000, and we do have

15 money in the environmental enforcement fund river

16 cleanup to account for this purpose, and we ask

17 for your approval of Resolution 2017:08.

18 COMMISSIONER MacQUEEN: I move approval.


20 (UNANIMOUS VOTE)

21 CHAIRMAN MESOLELLA: We have a motion, we

22 have a second. A motion from Commissioner Andrade


23 and seconded by Commissioner DiChiro. A list of

24 the recipients are included in the memo so you

25 know who they are. ***Having heard the explanation,

54

1 "All of those that are in favor will say, aye"?

2 (UNANIMOUS VOTE)


4 opposed?

5 (NO RESPONSE)


7 opposed, and that motion passes. Commissioner

8 Andrade, further report?

9 COMMISSIONER ANDRADE: Yes, Mr. Chairman.

10 "Resolution 2017:09: Recommendation for Use of

11 Environmental Enforcement Funds - City of

12 Pawtucket Rain Barrels." I move approval.

13 CHAIRMAN MESOLELLA: I have a motion to

14 approve Resolution 2017:09, also seconded by

15 Commissioner DiChiro, Milas and MacQueen. The

16 resolution is pretty self-explanatory. I mean,

17 it's basically -- it's a grant to the City of

18 Pawtucket to use $2,500 for the --

19 COMMISSIONER ROTELLA: For rain barrels.

20 CHAIRMAN MESOLELLA: Sorry?

21 COMMISSIONER ROTELLA: For rain barrels.

22 CHAIRMAN MESOLELLA: For rain barrels.

23 Pretty simple, pretty straightforward.


24 Commissioner Campbell, do you have a question?

25 COMMISSIONER CARLINO: Yes. How do these

55

1 rain barrels work? How do you get the water out?

2 CHAIRMAN MESOLELLA: There's a spout.

3 COMMISSIONER CARLINO: Oh, there's a

4 spout.

5 CHAIRMAN MESOLELLA: We had a bunch of

6 those. Jamie, where are they?

7 MS. SAMONS: Oh, they're long gone.

8 CHAIRMAN MESOLELLA: I mean, I only have

9 about nine or ten in my yard; right? *** Only kidding.

10 **** COMMISSIONER MACQUEEN : How do they work?

11 CHAIRMAN MESOLELLA: They work fine. They

12 collect the water. No, we had a rain barrel

13 program, right, Jamie?

14 MS. SAMONS: We did.

15 CHAIRMAN MESOLELLA: Was that pretty

16 successful?

17 MS. SAMONS: It was very successful for

18 two years, and then it became gradually less

19 successful over the last few years and it stopped.

20 CHAIRMAN MESOLELLA: So they have a spout.

21 I think they put them -- usually connect them to

22 roof liters; right?

23 COMMISSIONER NATHAN: Right or gutters.


24 CHAIRMAN MESOLELLA: Connect them to a

25 roof liter and it collects the water. Okay,

56

1 anyway, that's it. All in favor will say, aye?

2 (UNANIMOUS VOTE)

3 CHAIRMAN MESOLELLA: Any opposed? Nobody

4 is opposed to collecting water from the rain.

5 Further report?

6 COMMISSIONER ANDRADE: "Resolution 2017:10

7 - Recommendation for Use of Environmental

8 Enforcement Funds - Blackstone Valley River

9 Classroom." I move approval.


11 CHAIRMAN MESOLELLA: We have a motion to

12 approve Resolution 2017:10.

13 COMMISSIONER MILAS: I have to recuse

14 myself.

15 CHAIRMAN MESOLELLA: All right. We have a

16 motion to approve Resolution 2017:10. We have a

17 second. I think it was Commission DiChiro.

18 Please let the record reflect that Commissioner

19 Milas recuses herself from consideration of this

20 vote. Explanation, Mr. Secretary?

21 SECRETARY MARSHALL: The Blackstone Valley

22 Tourism Council has a riverboat on the Blackstone

23 River. It's called the Explorer. They teach the

24 history of the river to young people, as well as


25 river ecology. They're able to do some hands on

57

1 water quality testing and so they learn the

2 importance of keeping the river and, therefore,

3 the Bay healthy. This is a program that we have

4 helped fund in the past, and the $2,600 is

5 available under the environmental enforcement

6 fund, and we request your approval.

7 CHAIRMAN MESOLELLA: Okay. They've been a

8 great partner with us through the years. We've

9 worked well with them and, so, I would obviously

10 throw my support behind approval of this matter as

11 well. We do have a motion from Commissioner

12 Andrade to approve Resolution 2017:10. Did I make

13 a mistake on the last resolution, by the way?

14 SECRETARY MARSHALL: I don't think so.

15 CHAIRMAN MESOLELLA: And it was seconded

16 by Commissioner DiChiro. All in favor of passage

17 of 2017:10 will say, aye?

18 (UNANIMOUS VOTE)

19 CHAIRMAN MESOLELLA: Any opposed?

20 (NO RESPONSE)

21 CHAIRMAN MESOLELLA: None opposed, and the

22 motion carries. The last resolution, item D.

23 Commissioner Andrade?

24 COMMISSIONER ANDRADE: Yes, "Resolution


25 2017:11 is a Recommendation for Use of

58

1 Environmental Enforcement Funds for the - YMCA

2 Scholarship," and that resolution was amended. I

3 move approval of the amended resolution. Mr.

4 Secretary will explain the amendment.

5 SECRETARY MARSHALL: Sure. The amendment

6 is to indicate to the YMCA and the scholarship

7 fund that the money should go to children who will

8 be participating in their summer camps that have a

9 financial need in order to be able to attend. Did

10 I state that correctly?

11 COMMISSIONER MILAS: Well, not "should,"

12 has to.

13 SECRETARY MARSHALL: Has to.

14 CHAIRMAN MESOLELLA: You're not recusing

15 on this matter?

16 COMMISSIONER MILAS: No.

17 CHAIRMAN MESOLELLA: Not on this matter,

18 okay. So there's a motion to approve Resolution

19 2017:11 as amended. Seconded by Commissioner

20 Milas. Further discussion on the matter? There

21 is no further discussion. All in favor will say,

22 aye?

23 (UNANIMOUS VOTE)


25 opposed?


59

1 (NO RESPONSE)


3 opposed and that motion carries. I do believe

4 that concludes the report.

5 COMMISSIONER ANDRADE: It does, sir.

6 CHAIRMAN MESOLELLA: Okay, excellent.

7 Moving right along. There is no report -- there's

8 no meeting from long range planning; am I correct?

9 SECRETARY MARSHALL: Correct.

10 CHAIRMAN MESOLELLA: Rules and regs? No

11 meeting? Ad hoc committee on ethics, no meeting.

12 Executive committee did not meet, nor did the

13 Compensation Committee meet. Legislative report? *** Joanne, you're on.

14 MS. MACERONI: ***Thank

15 you. As Director Marshall indicated, we went

16 before both the house and the senate finance

17 committee regarding the $2.5 million scoop. Ray

18 did an excellent job of presenting the NBC's

19 concerns with backup testimony from Karen Giebink,

20 Director of Finance. And I concur with Ray. The

21 members of the general assembly or the committee

22 members appear to understand what our concerns

23 were. So, hopefully, as time goes by, we'll be

24 able to, again, work with them and the governor's

25 office to remove the scoop.


60

1 Other than that, we do have some bills

2 that I'm following. The first that I've listed in

3 my report is a bill that would increase the Rhode

4 Island Water Resources Board from 15 to 23 members

5 by adding chairs of commissions such as the

6 Narragansett Bay Commission, the PUC, the CRMC.

7 Right now, the Board consists of members

8 representing the engineering community water

9 users, water distributors. So it seems like

10 they're trying to expand the scope of the Water

11 Resources Board.

12 I haven't had the opportunity yet to speak

13 with the sponsor, but as far as now, we're going

14 to remain neutral on this bill and just monitor

15 it. There are three or four bills that look to

16 amend the open meeting statute. We'll be

17 monitoring those. So, if they pass, we will make

18 sure that we comply with any of the amendments.

19 There's also a bill that would require all members

20 of the bar to acquire and maintain malpractice

21 insurance.

22 The apparent purpose of this bill is to

23 protect private clients of practicing attorneys

24 from economic loss in the event of malpractice.

25 It's obvious to us and to others that insofar as

61


1 government attorneys, such as the attorneys we

2 have at the Narragansett Bay Commission do not

3 have private clients, such a mandatory coverage

4 would not be needed. So we've already spoken to

5 the sponsor of the senate bill, and we're going to

6 be working with the Department of Administration.

7 They are proposing an amendment to eliminate this

8 requirement from all the government attorneys

9 throughout the state.

10 Last, but not least is a bill -- excuse

11 me, that proposes to amend the state purchasing

12 statute. Presently, if a bid is awarded and there

13 is a company who wants to appeal the award, they

14 can appeal it to the judiciary, but it's only in a

15 case where there's been a malfeasance or an

16 abusive discretion that the award would be

17 overturned. That stipulation has been in effect

18 for decades. This bill proposes to take that

19 away, and it will make the burden, I think, harder

20 on entities such as ourselves in justifying why an

21 award wasn't given to somebody.

22 So it's going to increase lawsuits. It's

23 not a bill that is good for anybody because,

24 again, the bidding process is by lowest

25 responsible responsive bidder, and that's what we

62


1 always go by. So we feel strongly in opposing

2 this bill and, again, we'll be working with the

3 department of administration to oppose it. Again,

4 I still have other bills that I'm reviewing with

5 staff *** regarding personnel issues, et cetera, so every

6 month there will be something new to report. Any

7 questions?

8 CHAIRMAN MESOLELLA: Did that conclude

9 your report?

10 MS. MACERONI: Yes.


12 questions of Joanne regarding her legislative

13 report?

14 (NO RESPONSE)

15 CHAIRMAN MESOLELLA: Okay. Thank you very

16 much, Joanne. The Citizens Advisory Committee, is

17 anyone hear from the Citizens Advisory Committee.

18 MS. *** SAMONS: The Citizens Advisory Committee

19 did not meet this month.

20 CHAIRMAN MESOLELLA: Okay. Thank you.

21 All right. The next report is the Chairman's

22 report. Although I've been very busy, I don't

23 have much to report. *** Much of my activities

24 have been concentrated in the Town of Johnston

25 along with Commissioner DiChiro. You heard the

63


1 executive director report on the progress

2 associated with Greenville Avenue, and that's

3 moving along very nicely. The next project, which

4 is of significant importance to us is the Hartford

5 Avenue project. There is a meeting, I don't know

6 if you have received your invitation yet,

7 Commissioner DiChiro?

8 COMMISSIONER DiCHIRO: Not yet.

9 CHAIRMAN MESOLELLA: Thursday, next

10 Thursday?

11 COMMISSIONER DiCHIRO: Next Thursday,

12 okay.

13 CHAIRMAN MESOLELLA: Is it an evening

14 meeting? I can't remember, but we're being asked

15 to meet with the people who are abutters to the

16 improvement on Hartford Avenue that will be

17 impacted and affected by the improvement we're

18 going to make alongside of DOT on Route 6,

19 Hartford Avenue, as it goes past the Route 295

20 overpass. The other thing is, I think we need to

21 make very clear today is that we're going to be

22 making this improvement, and it will be at the

23 expense of the Narragansett Bay Commission.

24 However, we will be developing a profile.

25 We haven't decided on what that matrix

64

1 would look like, so there are literally hundreds


2 of acres of potential connections there,

3 subdivisions, and it's being -- these improvements

4 are being made largely to allow for industrial

5 development of that area, and the Narragansett Bay

6 Commission will be recouping its capital

7 investment through the connection process. What

8 that model is going to look like, or what that

9 matrix is going to look like, I think we need to

10 have some discussion about that. Maybe we'll call

11 on Commissioner Carlino to assist in that

12 discussion since National Grid is very good at

13 assessing --

14 COMMISSIONER ***CARLINO: ***At changing legislation.

15 CHAIRMAN MESOLELLA: You guys understand

16 how to get that done.

17 COMMISSIONER CARLINO: We're changing

18 legislation.

19 CHAIRMAN MESOLELLA: Yeah. So we're going

20 to be making this improvement. It's going to be a

21 capital expenditure for the ***Commission, but all

22 of those funds, the capital costs will eventually

23 be recouped by people who will be tying in to the

24 line that we're going to put in, and Commissioner

25 DiChiro is going to be assisting me with the

65

1 ***Mayor's Polisena and the residents. They have his


2 cell phone number, not mine. So, that's moving

3 along very nicely. I want to make certain that

4 the Board members know that the next meeting is

5 scheduled for April 25th, and at that meeting we

6 will be holding election of officers, which we

7 normally do in April.

8 Also, on April 13th is the Environmental

9 Awards Breakfast. It's at the *** Kirkbrae for

10 those wishing to be in attendance. I do believe

11 that completes the Chairman's report for today.

12 New business? Commissioner Bennett?

13 COMMISSIONER BENNETT: I was going to do

14 it under "Other Business," but I think --

15 CHAIRMAN MESOLELLA: Okay. I'm sorry,

16 you're right. Is there any new business that's

17 come before the Board?

18 COMMISSIONER BENNETT: Mr. Chairman --

19 CHAIRMAN MESOLELLA: There is no business.

20 Other business?

21 COMMISSIONER BENNETT: Mr. Chairman, you

22 know how much I like to eat.

23 CHAIRMAN MESOLELLA: I do.

24 COMMISSIONER BENNETT: And drink, but not

25 necessarily in that order.

66

1 CHAIRMAN MESOLELLA: Well, mostly drink.

2 COMMISSIONER BENNETT: I just want to


3 congratulate Commissioner Rotella on a new

4 restaurant in East Greenwich that is opening up

5 this week, and if it's any *** indicator of

6 the success he's had in other places, I'm sure

7 it's going to be great. The good news is that

8 there's another great restaurant in East

9 Greenwich. The bad news for you, Angelo, is I'm

10 going to be there a lot.

11 CHAIRMAN MESOLELLA: Well,

12 congratulations, Angelo.

13 (AUDIENCE APPLAUDS)

14 COMMISSIONER NATHAN: Mr. Chair, what's

15 the name of the restaurant?

16 COMMISSIONER BENNETT: Rocco's Bistro.

17 Right next to La Masseria.

18 CHAIRMAN MESOLELLA: All right. Under

19 "Other Business"? Commissioner Rotella?

20 COMMISSIONER ROTELLA: Yes, I'd like to

21 propose a resolution offering congratulations and

22 best wishes from this NBC Board to our recently

23 elected Senator President Dominick Ruggerio.

24 CHAIRMAN MESOLELLA: All right. We have a

25 motion to extend resolution of congratulations and

67

1 best wishes to President -- elected President of

2 the Senate Dom Ruggerio. Is there a second to the


3 motion?


5 CHAIRMAN MESOLELLA: We have a second from

6 Commissioner DiChiro, Commissioner Milas and

7 Commissioner Handy. All of those that are in

8 favor will say, aye?

9 (UNANIMOUS VOTE)


11 opposed?

12 (NO RESPONSE)


14 opposed, and that motion carries. Is there any

15 other business to come before the Board at this

16 time?

17 COMMISSIONER DiCHIRO: Quick question.

18 CHAIRMAN MESOLELLA: Commissioner DiChiro?

19 COMMISSIONER DiCHIRO: I noticed in the

20 paper that Providence is looking into valuing the

21 Water Supply Board again. Are we involved in that

22 at all in possibly acquiring it?

23 CHAIRMAN MESOLELLA: Well, you know, it's

24 funny you should ask that question. Listen, we're

25 not involved in the evaluation process. I think

68

1 our position is very clear, it's not worth

2 anything. The users -- the ratepayers have

3 already paid for it. So, I mean, I don't know


4 what the purpose is. I can tell you this, at

5 literally every turn, every time I'm out somewhere

6 somebody is asking me when we're going to take it

7 over. I haven't had any official word other than

8 the fact that when they have that discussion,

9 we're always mentioned in the mix, but I know

10 nothing of how they're proceeding at this time.

11 COMMISSIONER DiCHIRO: Okay.

12 CHAIRMAN MESOLELLA: So, is there any

13 other business?

14 (NO RESPONSE)

15 CHAIRMAN MESOLELLA: Hearing none,

16 Commissioner Rotella?

17 COMMISSIONER ROTELLA: Move adjournment.

18 CHAIRMAN MESOLELLA: We have a motion to

19 adjourn seconded by Commissioner Bennett. All in

20 favor of adjournment will say, aye?

21 (UNANIMOUS VOTE)

22 CHAIRMAN MESOLELLA: Any opposed?

23 (NO RESPONSE)


25 opposed. Thank you all for your time and the

69

1 motion passes.

2 (HEARING CONCLUDED AT 12:23 P.M.)

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1 C-E-R-T-I-F-I-C-A-T-I-O-N

2 STATE OF RHODE ISLAND AND PROVIDENCE PLANTATIONS 3 PROVIDENCE, SC.

4


I, SALLY BRASSARD, do hereby certify that 5 the foregoing is a true, accurate, and complete

6 transcript of my notes taken of the above-entitled

7 proceeding.

8 IN WITNESS WHEREOF, I have hereunto set my

9 hand this 29th day of March, 2017.

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14 ________________________________ SALLY BRASSARD, CSR/RPR 15 NOTARY PUBLIC MY COMMISSION EXPIRES: 1/16/21 16

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Documents

1 1 STATE OF RHODE ISLAND AND PROVIDENCE …sos.ri.gov/documents/publicinfo/omdocs/minutes/247/2017/52705.pdf · 1 STATE OF RHODE ISLAND AND PROVIDENCE PLANTATIONS 2 ... *** ANGELO