Utility Committee Minutes

Friday, October 11, 2024

9:30 A.m. - 5:00 P.m.

Council Chamber, 2nd floor, City Hall

Present:

• T. Cartmell, 
• M. Janz, 
• A. Salvador, 
• A. Sohi, 
• A. Stevenson, 
• and K. Tang 

---

1.

Call to Order and Related Business

1.1

Call to Order and Land Acknowledgement

Councillor T. Cartmell called the meeting to order at 9:33 a.m., Friday, October 11, 2024, and acknowledged that Utility Committee meets on the traditional land of Treaty 6 Territory and the Métis homeland. The Chair also acknowledged the diverse Indigenous peoples whose ancestors' footsteps have marked this territory for centuries such as: Cree, Dene, Saulteaux, Blackfoot, Nakota Sioux, as well as Métis and Inuit, and now settlers from around the world.

1.2

Roll Call

Councillor T. Cartmell conducted roll call and confirmed the attendance of Members of Utility Committee.

Mayor A. Sohi is a Committee Member pursuant to section 15(3), Council Committees Bylaw 18156.

Councillor A. Paquette was absent with notice.

Councillor M. Janz was absent without notice for a portion of the meeting.

Councillors A. Knack, K. Principe, J. Rice, E. Rutherford and J. Wright; and N. Jacobsen, Meeting Clerk, M. Moussa, A. Karbashewski and T. Orbell, Office of the City Clerk, were also in attendance.

1.3

Adoption of Agenda

• Moved by: A. Salvador

  That the October 11, 2024, Utility Committee meeting agenda be adopted with the following changes:

  Addition: 

  • 7.3 EPCOR Response to Review of 2025-2027 Performance Based Regulation Application for EPCOR Wastewater Treatment and Wastewater Collection

  Replacement attachment:

  • 7.1 Administration Review of EPCOR Water Services 2025-2027 Performance Based Regulation Application for EPCOR Wastewater Treatment and Wastewater Collection
    - Attachment 2
  
  

  In Favour (4)

  T. Cartmell, A. Salvador, K. Tang, and A. Stevenson

  
  
  
  Carried (4 to 0)

1.4

Approval of Minutes

• Moved by: A. Salvador

  That the September 3, 2024, Utility Committee meeting minutes be approved.

  
  

  In Favour (4)

  T. Cartmell, A. Salvador, K. Tang, and A. Stevenson

  
  
  
  Carried (4 to 0)

1.5

Protocol Items

1.5.1

International Day of the Girl Child (A. Salvador)

Councillor A. Salvador, on behalf of Utility Committee, recognized October 11, 2024, as International Day of the Girl Child, a day dedicated to celebrating the voices and power of girls, championing their rights worldwide and reflecting on the challenges they continue to face because of their gender.

2.

Items for Discussion and Related Business

2.1

Select Items for Debate

The following items were selected for debate: 7.1, 7.2, 7.3, 7.4 and 9.1.

2.2

Vote on Reports not Selected for Debate

• Moved by: A. Stevenson

  That the recommendation in the following report be approved:

  • 7.5 Edmonton Waste Management Centre Water Distribution System Upgrade Project
  
  

  In Favour (4)

  T. Cartmell, A. Salvador, K. Tang, and A. Stevenson

  
  
  
  Carried (4 to 0)

2.3

Requests to Speak

There were no Requests to Speak.

2.4

Requests for Specific Time on Agenda

There were no requests for items to be dealt with at a specific time on the agenda.

3.

Councillor Inquiries

There were no Councillor Inquiries.

4.

Reports to be Dealt with at a Different Meeting

There were no Reports to be Dealt with at a Different Meeting.

5.

Requests to Reschedule Reports

There were no Requests to Reschedule Reports.

6.

Unfinished Business

There was no Unfinished Business on the agenda.

7.

Public Reports

7.1

Administration Review of EPCOR Water Services 2025-2027 Performance Based Regulation Application for EPCOR Wastewater Treatment and Wastewater Collection

Items 7.1, 7.2, 7.3 and 7.4 were dealt with together.

The following members of the delegation made a presentation:

• F. Mannarino, EPCOR
• S. Chaudhary, EPCOR
• S. Ancel, EPCOR
• C. Bonneville, EPCOR
• M. Kennedy, EPCOR

The following members of Administration's delegation made a presentation:

• H. Rai, Financial and Corporate Services
• S. Cheung, Financial and Corporate Services

J. Beckett, Utilities Advisor, made a presentation.

The following member of the delegation made a presentation:

• M. Kennedy, EPCOR

The following members of the delegation made a presentation and answered questions:

• F. Mannarino, EPCOR
• S. Chaudhary, EPCOR

The following members of the delegation answered questions:

• S. Ancel, EPCOR
• C. Bonneville, EPCOR

The following members of Administration's delegation answered questions:

• H. Rai, Financial and Corporate Services
• S. Cheung, Financial and Corporate Services
• T. Sass, Financial and Corporate Services

The following members of the delegation answered questions:

• A. Brown, Grant Thornton LLP
• M. Moore, Mooreview Management Consulting Inc.
• R. Spackman, Confluence Advisory Inc.

• Moved by: T. Cartmell

  That Attachment 9 of the October 11, 2024, Financial and Corporate Services report FCS02677, be changed as follows:

  • delete 1. a.
  
  

  In Favour (5)

  T. Cartmell, A. Salvador, M. Janz, K. Tang, and A. Stevenson

  
  
  
  Carried (5 to 0)
• Moved by: T. Cartmell

  That Attachment 9 of the October 11, 2024, Financial and Corporate Services report FCS02677, be changed as follows:

  • replace 1. b. with "That EWSI employ historical depreciation rates for the purpose of the rate filing."
  
  

  In Favour (5)

  T. Cartmell, A. Salvador, M. Janz, K. Tang, and A. Stevenson

  
  
  
  Carried (5 to 0)
• Moved by: T. Cartmell

  That Attachment 9 of the October 11, 2024, Financial and Corporate Services report FCS02677, be changed as follows:

  • delete 3. a.
  
  

  In Favour (5)

  T. Cartmell, A. Salvador, M. Janz, K. Tang, and A. Stevenson

  
  
  
  Carried (5 to 0)
• Moved by: T. Cartmell

  That Attachment 9 of the October 11, 2024, Financial and Corporate Services report FCS02677, be changed as follows:

  • replace 3. b. with "EWSI use a reduction of consumption rate of 1.3% in 2024, unless a replacement rate can be offered in the compliance filing, which is less than 3.8%."
  
  

  In Favour (5)

  T. Cartmell, A. Salvador, M. Janz, K. Tang, and A. Stevenson

  
  
  
  Carried (5 to 0)
• Moved by: T. Cartmell

  That Attachment 9 of the October 11, 2024, Financial and Corporate Services report FCS02677, be changed as follows:

  • replace 10. a. with "Direct EWSI to reduce the proposed rate of return on equity from 10.8% to 10.5%."
  
  

  In Favour (5)

  T. Cartmell, A. Salvador, M. Janz, K. Tang, and A. Stevenson

  
  
  
  Carried (5 to 0)
• Moved by: T. Cartmell

  That Attachment 9 of the October 11, 2024, Financial and Corporate Services report FCS02677, be changed as follows:

  • delete 10. b.
  
  

  In Favour (5)

  T. Cartmell, A. Salvador, M. Janz, K. Tang, and A. Stevenson

  
  
  
  Carried (5 to 0)
• Moved by: T. Cartmell

  That Attachment 9 of the October 11, 2024, Financial and Corporate Services report FCS02677, be changed as follows:

  • delete 11. a.
  
  

  In Favour (5)

  T. Cartmell, A. Salvador, M. Janz, K. Tang, and A. Stevenson

  
  
  
  Carried (5 to 0)
• Moved by: T. Cartmell

  That Attachment 9 of the October 11, 2024, Financial and Corporate Services report FCS02677, be changed as follows:

  • delete 15. a. and b.
  
  

  In Favour (5)

  T. Cartmell, A. Salvador, M. Janz, K. Tang, and A. Stevenson

  
  
  
  Carried (5 to 0)
• Moved by: K. Tang

  That Attachment 9 of the October 11, 2024, Financial and Corporate Services report FCS02677, be changed as follows:

  • delete 16. a.
  
  

  In Favour (5)

  T. Cartmell, A. Salvador, M. Janz, K. Tang, and A. Stevenson

  
  
  
  Carried (5 to 0)
• Moved by: T. Cartmell

  That Attachment 9 of the October 11, 2024, Financial and Corporate Services report FCS02677, be changed as follows:

  • delete 17. a. and b.
  
  

  In Favour (5)

  T. Cartmell, A. Salvador, M. Janz, K. Tang, and A. Stevenson

  
  
  
  Carried (5 to 0)
• Moved by: T. Cartmell

  That Attachment 9 of the October 11, 2024, Financial and Corporate Services report FCS02677, be changed as follows:

  • replace 18. a. with "EWSI revise the H2S exceedances monitoring to be done on a discrete station basis and not an averaging basis."
  
  

  In Favour (5)

  T. Cartmell, A. Salvador, M. Janz, K. Tang, and A. Stevenson

  
  
  
  Carried (5 to 0)
• Moved by: T. Cartmell

  1. That the proposed 2025-2027 Wastewater Performance Based Regulation application be adjusted for recommendations in Attachment 9, as amended, of the October 11, 2024, Financial and Corporate Services report FCS02677, prior to City Council approval of Wastewater rates effective April 1, 2025.
  
  Workplan for 2028 Performance Based Regulation Application (EPCOR Wastewater Treatment and Wastewater Collection)
  2. That Administration work with EPCOR to develop a workplan that supports the implementation of the recommendations in Attachment 10 of the October 11, 2024, Financial and Corporate Services report FCS02677, including recommendations from the Utility Advisor, and return to Committee.
  Due Date: Second Quarter 2025, Utility Committee

  3. That, subsequent to the submission of the workplan referred to in part 2, that EPCOR incorporate the recommendations in Attachment 10 of the October 11, 2024, Financial and Corporate Services report FCS02677 into the next Wastewater Performance Based Regulation application. 

  
  

  In Favour (5)

  T. Cartmell, A. Salvador, M. Janz, K. Tang, and A. Stevenson

  
  
  
  Carried (5 to 0)

7.2

Utility Advisor Review of EPCOR Water Services 2025-2027 Performance Based Regulation Application for EPCOR Wastewater Treatment and Wastewater Collection

Items 7.1, 7.2, 7.3 and 7.4 were dealt with together.

• Moved by: T. Cartmell

  That the October 11, 2024, Utility Advisor report EXT02684, be received for information. 

  
  

  In Favour (5)

  T. Cartmell, A. Salvador, M. Janz, K. Tang, and A. Stevenson

  
  
  
  Carried (5 to 0)

7.3

EPCOR Response to Review of 2025-2027 Performance Based Regulation Application for EPCOR Wastewater Treatment and Wastewater Collection

Items 7.1, 7.2, 7.3 and 7.4 were dealt with together.

• Moved by: T. Cartmell

  That the October 11, 2024, EPCOR Water Services report EXT02702, be received for information.

  
  

  In Favour (5)

  T. Cartmell, A. Salvador, M. Janz, K. Tang, and A. Stevenson

  
  
  
  Carried (5 to 0)

7.4

Bylaw 20865 - EPCOR Wastewater Services Bylaw - A Bylaw to Replace Bylaw 19627 - EPCOR Drainage Services and Wastewater Treatment Bylaw

Items 7.1, 7.2, 7.3 and 7.4 were dealt with together.

• Moved by: T. Cartmell

  Bylaw 20865 - EPCOR Wastewater Services Bylaw - A Bylaw to Replace Bylaw 19627 - EPCOR Drainage Services and Wastewater Treatment Bylaw

  That Bylaw 20865 - EPCOR Wastewater Services Bylaw be referred back to Administration to work with EPCOR Water Services Inc. to update the Bylaw as per the recommendations in Attachment 9, as amended, of the October 11, 2024, Financial and Corporate Services report FCS02677, and return to City Council with an updated draft of Bylaw 20865 prior to April 1, 2025.

  Due Date: March 2025, City Council 

  
  

  In Favour (5)

  T. Cartmell, A. Salvador, M. Janz, K. Tang, and A. Stevenson

  
  
  
  Carried (5 to 0)

7.5

Edmonton Waste Management Centre Water Distribution System Upgrade Project

This item was not selected for debate and was dealt with as part of item 2.2. The following motion carried:

That Utility Committee recommend to City Council:

1. That the business case for the Edmonton Waste Management Centre Water Distribution System Upgrade Project, as set out in Attachment 1 of the October 11, 2024, City Operations report CO02388, be approved.
2. That Attachment 1 of the October 11, 2024, City Operations report CO02388 remain private pursuant to sections 24 (advice from officials) and 25 (disclosure harmful to economic and other interests of a public body) of the Freedom of Information and Protection of Privacy Act.

8.

Responses to Councillor Inquiries

There were no Responses to Councillor Inquiries on the agenda.

9.

Private Reports

9.1

Contractual Update

• Moved by: K. Tang

  That Utility Committee meet in private pursuant to sections 16 (disclosure harmful to business interests of a third party), 24 (advice from officials) and 25 (disclosure harmful to economic and other interests of a public body) of the Freedom of Information and Protection of Privacy Act for the discussion of item 9.1.

  
  

  In Favour (5)

  T. Cartmell, A. Salvador, M. Janz, K. Tang, and A. Stevenson

  
  
  
  Carried (5 to 0)

  Utility Committee met in private at 4:10 p.m., Friday, October 11, 2024.

  The following member of the delegation made a presentation and answered questions:

  • A. Giesbrecht, City Clerk

  The following member of Administration's delegation answered questions:

  • J. Smid, Financial and Corporate Services

  N. Jacobsen, Meeting Clerk, answered questions.

  
  
• Moved by: T. Cartmell

  That Utility Committee meet in public.

  With the unanimous consent of Utility Committee, the motion carried.

  Utility Committee met in public at 4:42 p.m., Friday, October 11, 2024.

  
  
  
  
  
• Moved by: K. Tang
  1. That Attachment 2 be added to the October 11, 2024, Office of the City Clerk report OCC02693.
  2. That Attachment 2 of the October 11, 2024, Office of the City Clerk report OCC02693, remain private pursuant to sections 16 (disclosure harmful to business interest of a third party), 24 (advice from officials) and 25 (disclosure harmful to economic and other interest of a public body) of the Freedom of Information and Protection of Privacy Act.
  3. That Utility Committee recommend to City Council:
     1. That the actions outlined in Attachment 2 of the October 11, 2024, Office of the City Clerk report OCC02693, be approved.
     2. That the October 11, 2024, Office of the City Clerk report OCC02693 remain private pursuant to sections 16 (disclosure harmful to business interest of a third party), 24 (advice from officials) and 25 (disclosure harmful to economic and other interest of a public body) of the Freedom of Information and Protection of Privacy Act.
  
  

  In Favour (4)

  T. Cartmell, A. Salvador, K. Tang, and A. Stevenson

  
  
  
  Carried (4 to 0)

10.

Motions Pending

There were no Motions Pending on the agenda.

11.

Notices of Motion and Motions without Customary Notice

Councillor T. Cartmell asked whether there were any Notices of Motion. There were none.

12.

Adjournment

The meeting adjourned at 4:44 p.m., Friday October 11, 2024.