[0:01] Let's go ahead and start this meeting. I want to welcome everyone to our March 4th, 2026 MLDW commission meeting.

[0:12] We've got a short agenda but some interesting comments from the chief. So let's go ahead and get started and start with the.

[0:23] How do you, Tanya?

[0:24] How do you, Tanya?

[0:25] You'd like to see things you've prepared in two or three.

[0:28] Probably, for wish of six annies.

[0:30] One nation under the visible with liberty and justice.

[0:42] OK, roll call.

[0:44] Please, sir.

[0:45] Roll call.

[0:46] Commissioner Dickson.

[0:48] Commissioner Peshie.

[0:49] Commissioner Woods.

[0:50] Pierre.

[0:51] Vice chair person.

[0:52] You're, Commissioner Luellen.

[0:55] And Commissioner Butler.

[0:56] President, let the record show a Commissioner Dixon, absent.

[1:00] Okay, can I get a motion for approval in minutes from our February 18th meeting.

[1:06] So, I'm both. Second.

[1:09] The new discussion. All in favor. Yeah. Hi. What's opposed?

[1:16] Um, city council acknowledgements. Yes, sir. I acknowledge you seated certified copies of city council

[1:22] Resolution's date of February 24th, 2026, items 8 through 15 with say night and then it's approved for item number 15.

[1:30] There you go.

[1:31] There you go.

[1:32] No presentations.

[1:34] Yes, sir.

[1:35] Very good.

[1:36] General statements from the public.

[1:38] Got none.

[1:38] No cards.

[1:40] Here we go.

[1:41] Back to you.

[1:41] Chief and go.

[1:43] All right.

[1:45] I will begin with the consent agenda item starting with item number one.

[1:51] Sorry, ma'am, sorry with item number one, a word of a 24 month purchase order for Flora

[1:58] Sillic Acid to Univar Solutions in the amount of $810,000 dollars.

[2:06] Item two is a word of a 36 month purchase order for sodium hypochlorite to Hawkins Incorporated

[2:11] and the amount of $4,592,000 dollars. Item three is approval of a change order to contract number

[2:21] 1,2,2,8, for gas matrix utility landscaping to enlightenment incorporated, doing business as APS facility maintenance,

[2:30] to ratify increase and renew the current contract in the fund of amount of 814,113 dollars and 48 cents.

[2:40] Okay, okay.

[2:42] Item number four, a word of a perks order for mini-diggered

[2:45] darrisx with trailers to all tech industries incorporated in the amount of

[2:50] 580,192 dollars. Item five, approval of a change order to contract number

[2:58] one, two, six, one, nine for UPS preventative maintenance to electric

[3:02] electronic power systems incorporated to expand the scope and increase the

[3:07] contract in the funded amount of 34,310 dollars and item six approval of an annual

[3:15] salary for a new higher position of vice president and chief human resource officer in the

[3:20] amount of 234,769 dollars and 60 cents. So did your comments that concludes the consent agenda items

[3:28] Mr. Chair? And I do believe there were some cards that came across the desk here just a moment ago.

[3:33] So let's have it a procedure, pauses, as you like.

[3:37] Let's go ahead and make a motion to prove these and then we'll go back.

[3:43] Listen, let's just try to make a motion that we'll prove the consent agenda as to that.

[3:47] Second, before we get in to any discussions, let me open up the, we've got some cards that

[3:57] it in like we're here but like getting to to the front desk.

[4:03] Let me remind all those

[4:04] speaking that the MLGW Board of Commissioners meeting will be conducted in an

[4:08] orderly manner to ensure the public has an opportunity to be heard in the

[4:13] process of the Board is maintained at all time. Members of the public may offer

[4:19] public comments by submitting a comment card before the meeting begins at 830. We'll

[4:25] better at getting those delivered up here. As chair, I will only recognize those who are present

[4:30] and have submitted a comment card in the timely manner. Persons are dressing the board.

[4:36] We will not be permitted to engage in gossip, make personal attacks or use the

[4:41] timetorous lander of abusive or vulgar language. Favorite act in accordance with the rules,

[4:47] may result in a removal of the meeting. Our person will submit a comment card or

[4:52] required to state their name, how on the dress for the record, if you represent an organization,

[4:57] you must disclose that name and business, address of the organization, and each first

[5:04] will have three minutes.

[5:07] That being said, we'll start with Mr. Glenda Hicks,

[5:34] good morning, Ms. Hicks.

[5:35] Good morning. So I'm here today, Glenda Hicks, 6 L-8 Gilles, co-founder 21st Century

[5:43] Memphis are bust. I'm here today because of grave concern with in particular two programs.

[5:52] I've had citizens who have engaged with me as a community advocate regarding the specifics

[6:01] of the on-track program and also the formally pre-pay now power up program. The education to

[6:11] citizens is a grave concern. These individuals, one in particular said that she was introduced

[6:19] to the program, the webinar, and was not able to ask questions. I asked her if she had any

[6:29] physical documentation to reference that so that she could review and fully understand the program,

[6:37] And her response to me was that, and was, no, she had to sign up online, and she really did not fully understand the program.

[6:48] And now, of course, with the situation that many of our citizens find themselves in regarding the winter storm and the massive increase of the bills, she's in a situation that she really can't see herself being able to handle

[7:07] financially and based on her understanding of the contract program there isn't any out once you

[7:13] get in if you can't apply if you can't meet those obligations then you're out in whatever

[7:19] amount is the balance comes forward plus what your current bill is. So in essence she's at a

[7:25] basically a thousand dollars and she does not have that money to bring forward. The pre-pay program

[7:32] I understand that the unneeded services are basically on a purdium, and those are applied

[7:40] daily, and that amount is subtracting for whatever amount the individual paints.

[7:47] That wasn't fully understood.

[7:49] I've looked for specifics.

[7:51] I asked for the A through Z on the program.

[7:54] I cannot find it.

[7:56] They're like glorify points on the website, yes.

[8:00] But how specifically that program works from A to B, I cannot find.

[8:06] So the citizens are not fully educated. That's a concern.

[8:10] Like as a water needs to spend much more time on educating this public as to how billing works.

[8:19] So that it's fully understood. There are, yes, posts made in the media pamphlet that's put in the bill.

[8:29] But we understand what most of our citizens are dealing with and we have to be empathetic to the situation.

[8:36] This is a publicly owned organization.

[8:39] So we need to act accordingly.

[8:42] Thank you.

[8:43] Very good.

[8:44] Thank you, Ms. Seeps.

[8:51] How about Mr. Lachanta?

[8:56] I think it's Rico.

[9:01] Good.

[9:08] Good.

[9:09] Good morning.

[9:12] Good morning.

[9:13] Good morning.

[9:14] On

[9:20] last week, I requested to-

[9:22] Can we get your name again in address?

[9:24] Okay, Lushantra Rudd, I live in District 4.

[9:28] My address is 1200 Davis Street.

[9:31] On last week, I requested to dispute my utility bill.

[9:36] I have been in a hotel right around the corner

[9:40] since December the 29th, okay?

[9:43] My hot water tank busted and my insurance company

[9:47] put me in a hotel.

[9:48] Now I do understand that there was going to be a spike with our bills due to the winter storm.

[9:57] There's no storm, no one was in my home and no utility was being used.

[10:06] I purposely turned off my HVAC system so that I wouldn't have to have this conversation.

[10:13] My bill is $1542.

[10:18] I live alone and there is no way that my bill could be that much.

[10:22] Again, I've been in a hotel and I have records.

[10:25] I have the receipts from home to sweets,

[10:27] Hilton, I'm a Hilton's member and there is no way my bill could be that much.

[10:32] I ran it to Doug on yesterday and I told him that I sent him an email and he said to me that

[10:40] you found a complaint against us with the better business bureau.

[10:44] I sure did, and I'm advising other customers to do the same.

[10:48] I am a great customer of MLGW.

[10:51] Have been for many, many years.

[10:53] May the fact, well over 20 years now.

[10:56] So, I want the bill corrected, not only that,

[11:00] purposely, overbilling your customers is a crime,

[11:05] and it's considered fraud. Thank you.

[11:09] Thank you, Ms.

[11:12] Rudd.

[11:13] Okay.

[11:17] Andrea Bell.

[11:27] Good morning, MLGW.

[11:30] And our esteemed constituents of Shelby County.

[11:33] My name is Andrea Bell with 21st century Memphis or Bust.

[11:40] This is my first time speaking in front of the MLGW Board.

[11:45] I had to rush to drop my children off this morning.

[11:48] So I had a very important message.

[11:52] We have to understand that affordability equals utilities.

[11:59] So I just want to say that I am here because I want to speak to the grit

[12:08] and grinders of Shelby County, Tennessee.

[12:12] I understand all too well that sometimes we have to make a choice

[12:19] of paying a full utility bill versus partial.

[12:27] Sometimes we have to make a choice of paying a full utility bill versus paying rents or mortgage.

[12:38] So I just want to tell you that the propaganda power pay program we are already on.

[12:46] we roll those bills from month to month.

[12:51] Okay.

[12:53] I just also want to make sure that I speak to those who make 100,000 or less.

[13:00] And matter of fact, I'm speaking to those wage owners who only make 40,000.

[13:07] We must understand that we have to have responsibility.

[13:14] In December, we, 21st century, Memphis or Bust, we came here before the board.

[13:20] We went before the council, and we asked for a 4% pause.

[13:25] Okay, yes, I know this was in the plan for three years, but due to the circumstances,

[13:31] we came to you guys, and we asked you for a 4% pause.

[13:35] Sometimes, as leaders, we have to deal with empathy versus facts.

[13:45] I just know that since we've been talking, I understand.

[13:50] So this is why I'm addressing the Memphis Great and Grinders of Shelby County,

[13:56] because we've been before the board. We've been before the Councils, and we've went on death

[14:01] year. We even reached out to our President hoping that empathy will help.

[14:11] I just want to say I'm here because I want to speak to our Memphis Great and Grinders,

[14:17] The people who go to work every day who try to pay their utility bills who try to pay their rent or who also try to feed their children.

[14:28] I'm talking to you today because we're here because we have a situation.

[14:34] We need to vote in 2026 and we need to vote independent because I will always put people over politics.

[14:44] Thank you.

[14:46] Thank you, Miss Phil.

[14:48] We'll put it.

[14:50] All right,

[14:54] so good comments.

[14:55] There are some concerns.

[14:57] We'll get to the bottom.

[15:01] Let's go ahead. We've got the

[15:06] motions been approved, ready for comments. Commissioner Lewellen?

[15:17] I had a couple of questions.

[15:21] on the purchase of sodium hot chloride it says up to 15% but then in the the actual prices

[15:29] it says 15% per year it is it does it fluctuate is it is it an index price or does

[15:37] it all my fling for 15% a year already you want to come and talk to that or should we go

[15:43] Andrew.

[15:45] Hey, good morning.

[15:47] Good morning.

[15:47] Andrew, crosser by President Gasolaw, and

[15:49] we're in engineering operations.

[15:51] I am going to ask you to move by as an

[15:53] into.

[15:53] He's a sick by the one of us.

[15:55] Yeah, sure.

[15:55] Question.

[15:56] I did.

[15:57] Jerby.

[15:57] I'm a sicker.

[15:59] I'm usually.

[16:00] Last few years.

[16:01] It's always an up to it does.

[16:04] It rarely goes to the up to.

[16:06] Okay.

[16:06] He's had it once when.

[16:08] Yeah.

[16:08] They got it out to.

[16:09] But usually it's not all the way up to

[16:10] the up to.

[16:11] Yeah, and you report you said up to and then

[16:13] was looking at prices and the prices were based on a 15-minute annual increase. I didn't know if it

[16:19] was already, only we're going to close you in an up to, okay, well that's good. The only other

[16:26] wait a minute, does the contract? It says a 15% increase. Is that what we're going to get?

[16:34] Regardless of what the market's bears, the contract is up to. It is up to, yes, it's not the way

[16:42] What the right up, Red, okay.

[16:45] All right.

[16:47] Thank you, okay.

[16:48] There's a question, Mr. President,

[16:50] is there's a long, the utility landscaping,

[16:53] the jumping prices on utility landscaping,

[16:56] that's project basis that,

[16:57] based on capital, will it go back down

[17:00] or is that gonna come in annual expense?

[17:03] Yeah, I have a volunteer team,

[17:04] we'll send you a good talk about that, so.

[17:07] So yes, we had several large projects that impacted

[17:11] the cost last year, we had the Bailey station job. I'm not sure if you remember that we're

[17:16] enlightening and struck the gas, man. We also have an increase in landscaping due to the

[17:23] steel tap coupling replacement program because a lot of that work is done behind the curve.

[17:28] We also had a huge job out on Democrat near the FedEx employee parking lot, which also

[17:35] So required a lot of remediation after our work was completed, what I always tell the employees

[17:42] is to leave the job better or at least the way you found it and customers are starting

[17:47] to expect that and so that explains the increase in this.

[17:51] What you'll see in a few months as well is that water construction will also be presenting

[17:58] a landscaping contract to you for approval.

[18:01] Okay.

[18:03] Those were all questions that I have this time.

[18:05] You're good.

[18:06] Mission Pesh.

[18:08] One comment on item number four.

[18:11] Just wanted to add some context to that.

[18:16] That these are two.

[18:17] The many.

[18:19] Diggered Derek.

[18:21] There are two of them.

[18:22] This is not the price for just one.

[18:23] Just wanted to add context to that.

[18:27] That's all I have.

[18:29] Very good.

[18:30] Mission.

[18:30] person. Thank you, Mr. Chair. Item's number 1 and 2 were answered on my concerns. I would

[18:38] just like for Chief McGowan just talked to us about Item number 6 and any other open

[18:44] position that we have, what are the expectations and the timeline on feeling those critical positions?

[18:51] Sure, so thank you for that question, Mr. Chair. Recently, we've had several positions that you all

[18:57] approved of hoping he'll approve this today, so I got to take it to City Council for approval.

[19:03] We've had several director positions, one in the billing and metering area that we just hired,

[19:09] or that we just concluded yesterday, and got approval from City Council for that position.

[19:15] Last morning, you all approved in the City Council approved last night of Vice President of Safety for us at the same level,

[19:23] and this is for a Vice President Chief Human Resource Officer.

[19:26] I do not forecast any other additional vice president salaries coming forward because our

[19:32] compliment is full. I do want to mention that since my arrival here I've reduced by two

[19:38] the number of vice presidents that we have. We've added a couple of directors in key areas

[19:44] there. This adds back one today. Actually the safety of vice president adds back one vice president.

[19:51] so we're still lower than we were when I got here.

[19:54] Having a leaner, executive suite is important to me

[19:57] to make sure we're getting value for our customers.

[20:01] So two things I mentioned, the significance

[20:04] of that Vice President of Corporate Safety

[20:06] since we were a very large construction company

[20:09] and with the approval last night from City Council

[20:11] will finalize and offer to a candidate.

[20:14] With your approval today, we will take

[20:16] at the next City Council meeting of the Vice President,

[20:19] Chief HR Officer.

[20:20] Now, I want to say for folks that are listening, I mentioned this to the City Council yesterday,

[20:26] that these salaries are based on what the market and the utility industry will bear.

[20:30] That is largely focused in our area of service, so it's in the mid-South area across the Tennessee Valley,

[20:36] so we're not comparing to California or New York.

[20:39] It's the comparable in our market.

[20:42] We need to be competitive in order to, and we've seen some of our folks go to some other places,

[20:48] because they're highly talented to be in recruited away

[20:51] and some of the utilities offer higher salary

[20:54] based on the we do.

[20:55] So we're very cognizant of this.

[20:58] I presented a city council yesterday,

[20:59] just some context that our MLDW remains an incredible value

[21:04] for our customers, not only because of the investments

[21:07] we're making the service we deliver

[21:09] and the rates that we have as you know

[21:11] through our rate survey every year,

[21:14] but a point of data that I delivered a city council yesterday

[21:17] that are executives as a percentage of the total revenues of this company, and when you

[21:24] add the revenues that we collect from all of our customers, for every $100 of revenue

[21:30] we collect, $18 goes to pay for our vice-presidence and above.

[21:35] Now, that doesn't mean much without some context, but we did a survey across the entire

[21:40] Tennessee Valley of just electric utilities, and the next closest lowest percentage is

[21:48] a utility company uses 40 cents and every $100 to pay for their executives. That's VPs and above.

[21:55] The average is around 65 to 80 cents for every $100 for their executive suite, and some of these

[22:02] go up to a dollar 60 for every 100 to pay for their presidents and vice presidents. That's a fair way of

[22:08] suggesting how the value of the VP's for the size of the organization.

[22:12] And again, that's just for electric utilities.

[22:15] It doesn't compare that we also have gas and water to manage here with our executive team.

[22:23] So it represents an incredible value.

[22:25] I'm very mindful of making sure we extract every ounce of value from the dollars that we collect from our customers.

[22:32] And I wanted to provide that context because when you see the value of the salary,

[22:38] people will immediately react about the high salary that they will relative to other folks in the

[22:44] area here. So we are significantly depressed compared to other utilities in the area and that's

[22:51] the environment in which we live. The last comment I'll make on the Chief of HR when we,

[22:56] we have an absent the HR chief since about the first of August. We have done a search,

[23:02] both nationally and locally, I'm glad that the most successful candidates who are finalists are from within this region.

[23:10] Some have lived in Memphis before and live in the area still, so with your successful approval,

[23:18] with your approval, this will give the successful candidate an offer here.

[23:22] When we did this search before, we were not as specific about what the salary range was,

[23:27] we had found candidates and made offers, we weren't even close. They needed the demand and more

[23:35] salary than we could even begin to offer. Like Charger, there's a provision that no one here

[23:39] can make more than the CEO does and all of the candidates that were finalists in the last time

[23:44] wanted significantly more than the CEO salary here, which I could not offer. And so we made it clear

[23:51] to the candidates this time. This is where we are. This is what we can do. And so we had that

[23:58] predicate going into those discussions. And so I'm very pleased we have really good finalists

[24:02] for this that are going to be very helpful to us. And they all understand the conditions under

[24:07] which the salaries are being offered here. So I just a little context for you. I don't have any

[24:13] others besides this that are coming forward at this level. And so it makes some other comments about

[24:19] In my comments at the end about recent city council actions with our authorities to make offers for hires as well as contracts. Hopefully that answers the question of the first.

[24:29] Yeah, thank you. Thank you for that and thank you for that content because it is so important that we stay on top of salaries and recruit to actually try to retain what we have right now and also recruit.

[24:43] and I'm very surprised that you're able to do this

[24:45] without a sign of bonus in a thing like that,

[24:48] but I sure we need to consider it down the road

[24:51] that it's going to be the norm on sign of bonus six,

[24:54] et cetera.

[24:55] And the other thing is I just add is I'm so glad to hear

[24:58] if you put an emphasis on safety with a VP of safety

[25:01] because we'll look at our school and cards.

[25:04] I think that it's monumental as far as having

[25:07] saved to be priority number one.

[25:09] And also, too, I think people is the best tool that we have and to have someone that's overseeing the HR is very critical to this organization.

[25:19] Something that we're able to feel that position. So I have this check. Very good. Let me, you talked about safety.

[25:26] The one and way approved, he will be over working hand and hand with the union. How are we integrating that?

[25:34] So, for the safety program, it matters not whether you're represented or not represented.

[25:41] We have a great collaborative working relationship, I'm not sure if Cory and Tommy are in here, but they're in here.

[25:46] Cory and Tommy are y'all back here.

[25:49] Okay, well, we work very collaboratively with those folks.

[25:53] They, on the safety thing, there is no disagreement.

[25:56] There is no space between us whatsoever.

[25:59] When we have a safety, I go to that force.

[26:03] We do have robust conversations about how we can, you know,

[26:07] hope folks accountable for safety behaviors are to have in a way that is going

[26:12] to, you know, disrupt the normal work flow.

[26:17] So, they have always been supportive of the safety protocols that we have here.

[26:21] They have brought suggestions forward as well.

[26:25] So, whether you're represented or not,

[26:29] Our equipment, our people, our important and so we're hopeful through this higher that we can add some more capacity,

[26:40] so we'll get some leading up there.

[26:44] It's also, first of all, on the safety cell, we responsible for compliance and preparedness.

[26:51] Give us a little extra coverage there as well. Preparedness is important.

[26:56] You know, it's in many utilities that pick up game and you do the vets you can, but

[27:00] well, somebody who has got to harmonize and make sure that we have covered all of the

[27:05] bases and training to emergency response plans to an effective response when things occur.

[27:14] So I'm very excited about that because that is an critically important component as we saw.

[27:19] I'll

[27:22] say spotty preparedness across utilities, so we're trying to set a very high bar.

[27:28] Very good.

[27:29] Thank you.

[27:30] Mr. Woods, no additional questions.

[27:33] Thank you Mr. Butler.

[27:36] Yes, I have won.

[27:37] I just wanted to acknowledge last week I had the opportunity to tour a couple of facilities

[27:42] with BP Rosser.

[27:44] Really had a chance to see the inner workings of both the liquefied natural gas plant, plus

[27:50] She and water treatment plant and just found it to be extremely rewarding. I do remember when I first got on the board a couple years ago that Commissioner Pesci recommended that I do that and the mistake I made I just didn't do it time enough. So I just want to encourage my fellow commissioners if you haven't had the opportunity to really see the production capabilities and the future of how enhanced capital projects will continue to create value for the customers that we serve.

[28:18] I think the Look Five Natural Gas Plan is just an amazing gym for us and I just wanted

[28:24] to highlight that and I had no idea how valuable an asset it was and just want to thank

[28:30] President McGowan for his leadership of thinking about what the future holds for us as a

[28:36] community with that asset and also thank B.P. Rosser for her investment and time and energy.

[28:41] Very good. Very good. Any other comments? Can we get a vote?

[28:48] Yes, sir. The thing to agenda items one through six.

[28:53] Commissioner Peshie. Yes.

[28:54] Mr. Woods. Yes.

[28:57] Vice Chair person. Yes.

[28:59] Chairman Polman. Yes.

[29:00] Do we have the concurrence of Commissioner Welling? Yes.

[29:03] And do we have the concurrence of Commissioner Butler? Yes.

[29:06] Those items pass.

[29:08] Good.

[29:11] President McGowan.

[29:12] Briefing. Yes, sir.

[29:14] So there are presentations about a few comments.

[29:17] So, I too appreciate the public coming down and talking to us and sharing their thoughts.

[29:22] It's always very helpful and we'll take action on those things we do have customer dispute process.

[29:28] I think it's going to be followed for our customer who had the dispute there.

[29:31] So, I think that's scheduled already.

[29:33] So, we'll be able to have a very detailed investigation and look into that.

[29:38] So, a couple of exciting things happened to our system in the last week.

[29:43] I think the news covered, we had a 24-inch water main break at the corner of Positoc and 4th Avenue in downtown.

[29:53] That is a early 1900s era water main that carries a significant.

[30:00] If it can amount of water, 24 inches is a very large water main. That burst spontaneously, you know, some a week or more after the storm caused a very large fracture in that plate.

[30:11] Our team was on the scene. In order to secure that, you have to figure out where the leaks coming from and they did a good job of turning, I think, about 60 valves to try to isolate that and to try to keep water on for as many customers as they possibly could.

[30:26] They got that isolated and relatively short order, although during the period of time there

[30:30] was a heck of a lot of water, it was pretty spectacular if you looked at the news coverage,

[30:34] watching that water flow down, the street there.

[30:37] I once they got that secured, though, we were able to continue with essentially normal operations

[30:42] downtown.

[30:42] We disrupted only a very small number of customers.

[30:47] The Grizzly's game was able to go forward that night at the FedEx form, though.

[30:50] This was right across the street, so it was critically important for our team.

[30:54] they worked very hard for the neighbors that were in convenience. We had a lot of trucks in that area.

[30:58] We had a lot of heavy equipment, but the team did a really good job of, in a very complex utility

[31:05] landscape, because there's also a 16-inch water main that's right above that. There's sewer

[31:10] mains, a lot of underground electric infrastructure there too. So it was a delicate operation.

[31:15] If you saw the pictures, it was pretty complex operation. So our water team,

[31:19] I'm very thankful for them.

[31:21] They responded quickly and got that handle in a really effective way.

[31:27] Over this weekend, we had a third party contractor working in the Fraser area, up in the

[31:34] Old Island Hawkins Mill Road area, and they struck a six-inch natural gas distribution

[31:40] main underground causing a leak, which our team had to secure an isolate that caused an

[31:46] impact to approximately 1,000 residents in that area.

[31:52] I want to thank the team because they did a great job of isolating that in a very safe fashion.

[31:58] And they also found alternate paths in order to bring gas back to the customers in those areas.

[32:03] So there was a small interruption where thankful that the temperature wasn't lower.

[32:07] And the customers in that area didn't have to worry about heat.

[32:10] It was really about the longevity of being how long you wouldn't have gas to cook or heat water with.

[32:16] But happened on Saturday and by Sunday, I'll call out again our gas team, you know, VP Ross

[32:23] around her whole team, but also Timothy Davis's customer service team, made an army

[32:27] of people from the meter shop to the customer service shop.

[32:32] You know, Jason Dunnvitt is our supervisor in that area, and he does a great job of managing

[32:36] this whole thing.

[32:38] He had an army of folks going door to door securing gas meters, and then also equally important

[32:44] when we purged the system and bring all those gas meters back online, many of those customers need

[32:49] a pilot light real light. And so they did Yolman's work, literally getting nearly everybody

[32:56] relit that Sunday in short order. So the last thing is that it really shows the power of our new

[33:03] conveys system communication system. We were able to geographically isolate the customers who were

[33:14] direct message to their email or text, letting them know what was happening.

[33:18] So I think, as you know, customers hate when things go wrong, but they really hate

[33:23] us when they don't know why or what's going to happen.

[33:25] And so in addition to the door to door efforts, the door hangers and our teams who are

[33:29] face to face this conveys system proved its mental during this period of time and sharing

[33:34] information with customers.

[33:36] So obviously we kept you all elected officials, the City Council and the Mayor informed

[33:40] as well, but I'm just glad that we were able to get that back

[33:44] on quickly and safely for everyone.

[33:48] So a great job by our team is you all know

[33:50] who've met those front line folks that do just a great job

[33:52] of coordination.

[33:55] I mentioned to you last time that there are always

[33:58] this is the legislative season up in Nashville.

[34:01] And so there's several bills that we are tracking

[34:03] and monitoring just to determine how

[34:07] or if they will affect MLGW in one way or another.

[34:11] The first is a data center bill.

[34:13] Now there were several data center bills.

[34:16] We heard the President speak about this at the state of the union,

[34:19] about allowing behind the meter generation.

[34:22] Largely, that's what's being codified here in Tennessee law.

[34:26] Also, with these proposed bills,

[34:28] also that customer should not bear the burden

[34:30] of infrastructure necessary to serve data centers.

[34:33] Now, from the versions that have been brought forward

[34:37] So for essentially aligns with exactly what we have been doing here with mandating the data

[34:42] centers, pay for all of the infrastructure necessary to serve them so that our customers

[34:46] are not impacted.

[34:48] Tennessee Valley Authority is changing the rate structure, such that it's not an incentive

[34:53] for manufacturing rate that are moving to more of a commercial rate for data centers.

[34:58] It largely because of the lack of jobs that come with them, but we realize there is

[35:03] other value.

[35:03] But, so there is some things happening that are consistent there, and we'll watch that to see if there's any recommended changes that could refine that and make it even better.

[35:17] There is a bill that just came forward in the last day or so, you all recall that we put into place a builder option where developers and builders could install some of the infrastructure necessary for their subdivisions.

[35:29] We have been underway for about the last year.

[35:32] It was implemented in July of last year.

[35:34] And so this bill would add some additional refinements to that.

[35:39] It would add some requirements on both the developers and the utilities,

[35:43] as far as timelines and consequences of what happens if you don't meet the timelines.

[35:50] So again, a lot to unpack there and we'll see where that one goes.

[35:53] But we've been moving forward earnestly with the builder option to work with our developer partners to determine how we can help them be more efficient in getting those infrastructure in the ground.

[36:06] Obviously, an infrastructure ultimately becomes ours, so there has to be some requirements that we put into place to accept that infrastructure.

[36:15] The last is that there is a bill that's really focused on municipal utility board representation.

[36:22] This is something that we have talked about here, especially for areas that are extraterritorial to the municipality that owns that utility.

[36:29] This has long been a conversation.

[36:32] You all know we've had it here recently, and you know, Commissioner Butler, Commissioner of the Well, and our part of the reason that we want to have that representation.

[36:41] But this is largely born of the storm, and as you all heard from some of the areas, this dialogue was brought up because of the response to the winter storm in some areas of the state.

[36:53] Any time you have a storm like that, people always wonder if they're getting the attention they deserve, and so I think that brings into discussion.

[37:01] the representation on a utility board. So we'll follow that one more, more to follow on that.

[37:09] Obviously with all of these, there are varying amendments that can happen throughout the day.

[37:15] There are various amendments. We've seen that multiple times a day in some cases and throughout the week.

[37:21] We are working with our utility organization, the Tennessee Municipal Electric Power Agency,

[37:26] who represents all municipal's, the TECA, who represents the cooperatives. Obviously, our representatives

[37:33] that we have in Nashville to keep us posted on things that are happening. And we speak as a

[37:40] big aid. Also, I was just there on Monday speaking with the largest utilities. And we share

[37:44] information to about how we might be able to provide feedback that's helpful and to provide

[37:51] information to avoid unintended consequences, you know, any time you do

[37:56] some things, there could be an unintended consequence. We just want to make sure everybody's

[38:00] making a most well informed decision. So as they move along, we'll let you know where those

[38:04] things stand, those are the three that that are, I would highlight is in particular could have

[38:10] some kind of an impact here, but as we, as they change a more full, let you know what that is.

[38:16] And when I say impact, I'm not necessarily suggesting negative impact or positive impact,

[38:20] be some kind of a change. So,

[38:26] lastly, I'll mention the city council action that was recently

[38:31] undertaken, I'm thankful for Councilor Chairwoman Swerge of Washington, as well as Council

[38:36] of McKinowley Councilman Spinoza, who, if you're listening, thank you and also to the Memphis City

[38:41] Council members who recently put an ordinance in place to change the contracting and hiring

[38:48] limits or methods like gas water as you know, they set those limits for us.

[38:54] Last night, they approved the minutes of the meeting that finalized the ordinance

[38:58] that set the new limits for a methods like gas and water, essentially capping the

[39:04] authority that we have at methods like gas and water at $500,000 for contracting or spending

[39:11] before we have to bring it to city council for approval and capping our hiring limits

[39:16] that $180,000 before we have to bring it to City Council for approval.

[39:22] Now I want to mention you all recall previously that limit was that $150,000 for spending

[39:30] at $120,000 for hiring after having been at the 580, about two years before that.

[39:37] So back up to that level.

[39:40] Now, practically what that means for us is that as the President, I have the opportunity

[39:44] to make decisions for hiring up $280,000 for having to bring it forward for new hires.

[39:50] And I also have the authority to bring up, and this will sound a little strange.

[39:54] I have the authority to approve spending and contracts up to $250,000 for that, having to

[40:01] bring it forward.

[40:02] Our current MLGW board limit is set at $250,000.

[40:06] So anything over that, at $250,000 in one dollar, I have to bring that forward to you all

[40:11] for approval.

[40:13] How it's structured now based on the ordinance is I have up to 250 anything between 250 and 500 you all can't approve without having to take the city council anything above 500,000 I have to bring to you and the city council. That's how we're structured today based on the ordinance that was passed.

[40:31] out. I'm not suggesting any change today. This is brand new and so we want to see how we

[40:38] settle out with this new approach, but the one thing I can say is nothing will change in our approach

[40:43] about how we present information to you. Nothing will change in our approach about how we present

[40:48] information to Memphis City Council. And as I made a commitment to the City Council persons,

[40:53] all of our records are subject to examination and I'll make regular reports to them about

[40:58] any contracts that we have that are below those limits so they can continue to see

[41:03] what we have been doing and

[41:05] I think there will be no surprises there because it's going to be the same things that we do purchasing cable and trucks and

[41:12] all of the necessary components to keep this utility running so

[41:15] I am again very thankful to the Memphis City Council and to their partnership

[41:20] They have been very supportive of this utility and what we have been doing to move forward

[41:24] to improve reliability for all of our customers

[41:28] And to make sure that we are ready for the challenges of tomorrow.

[41:31] So I think also been a lot of learning on the council from the information we've been providing.

[41:37] And so I think they have a more well informed basis for making decisions.

[41:41] And so I'm thankful for their attention.

[41:43] And just like you all, there is no lack of interaction.

[41:46] A communication when they have questions.

[41:49] We are there to answer and we engage with them regularly.

[41:52] One on one to share information.

[41:54] So I think that's one of the reasons that they have decided to make this move because they feel like they have good information at connection.

[42:03] So that's really it.

[42:05] Chairman, no additional actions required on your part at this point.

[42:10] But I want to share that report with you and I will keep you posted as things move forward up in Nashville.

[42:16] There's anything we need to report out.

[42:17] Perfect.

[42:22] I want to just make everyone aware that Councilwoman Pearl Walker is on board and we appreciate her support and focus or attention to this commission.

[42:35] Thank you Mr. Chair. She's our new chair at the Evel Jimmy committee and she's doing just a fantastic job of guiding us through this and so I appreciate her advocacy and leadership.

[42:44] Very good.

[42:46] Any other comments?

[42:48] I just wanted to say one of the reasons I believe the council is increasing our minimums

[42:58] is because of trust and transparency.

[43:01] And I appreciate that new, the procurement team, giving them good basis for what we're doing,

[43:08] being very clear, being very transparent about those

[43:13] hires, about the purchases.

[43:17] And that's the main reason.

[43:20] And that's what we wanted.

[43:22] That was one of the questions I was asked years ago,

[43:25] coming on the council as a commissioner,

[43:30] will I be transparent?

[43:33] And that's true for all of us as well.

[43:36] And they watched, and they've seen that, and we have trust now, but that transparency, I appreciate everyone for that.

[43:45] It's not just in the staff here, but it's also in this very thoughtful board.

[43:51] We ask good questions because I know they watch and listen to what the board asks.

[43:55] And so I think it's a great deal of confidence, and it's board.

[43:58] And the depth of understanding you all have in the detailed questions that you all have to before we bring things forward.

[44:04] I appreciate that. Good. Good. Have something. Um, two quick things. Number one, I will offer someone

[44:12] to address the right pair that came to the podium with the $1,500 deal and live in a hotel,

[44:19] etc. She has a hearing. I believe it's tomorrow. Okay. With our costs with our billing dispute team.

[44:26] So there will be a formal hearing tomorrow for something. Just make sure that we knew that in the

[44:31] thing is, you know, we get to wait time at the time, people come to the polling and they talk

[44:37] about bills and existence. Can you just go over them, maybe with them, somebody can just go

[44:42] over them. We're not cutting people all. They need to call us. We would try to make arrangements.

[44:49] Oh, can someone just kind of kind of re-interrate that, like, what is going on? What is the

[44:54] process for those people who may be struggling to pay their bills? Because we know last month that you

[45:00] Kind of game forecast of this month, the deals could be a spike because of the cost of gas, but at least just in

[45:07] form of public, just here again today as to what process they can take to avoid being cut off and what we are doing about

[45:15] those situation.

[45:16] Sure, I'm happy to start and the Timothy can fill in, but we do have many programs available to our

[45:21] customers with all starts with that versus conversation to come to the community office and

[45:26] to speak with a credit counselor or to call the call us and ask to speak with a customer

[45:33] credit counselor who can discuss with them their particular situation. For particularly

[45:39] sticky processes we do have a customer advocate team who can dig into the complex issues like

[45:46] the one you heard about here where there could be some circumstance besides just a high bill

[45:53] things working fine and I just can't afford it. But for our customers who are having that issue,

[46:00] the number one step is to get into contact whether in person or over the phone with MLGW,

[46:04] so we can begin to work on a process. As you know, we have several moratoriums that we have in

[46:10] the winter time, we have moratoriums when it's cold as we don't cut people off. During the period of

[46:15] that storm, we had two weeks when we didn't cut anybody off because the kids were all out of school,

[46:20] even though the temperatures were at a place where we could have done those

[46:24] cut-offs. We have raised additional money for utility assistance. We are

[46:29] working with the county on their CSA funding. So we have a number of paths that we

[46:35] can go down to keep people's lights on. We always hear about there's lack of

[46:41] information. We share as much information as we possibly came with customers

[46:45] individually. And so we get into the details with the customers about what their

[46:50] options are. So our team is, and I think Timothy will talk about these building and escalations

[46:56] desk that will give us some additional depth to provide detail information to our customer.

[47:03] So it starts with a call or a visit, and then our team that is then their DNA, it's find a way to

[47:09] help you keep the utilities on to get a plan there. So the thing that we cannot do is necessarily

[47:16] just forgive or forget about the charges that come in. We will always make sure that if

[47:21] there is a charge that is inappropriate, we will credit that back to you. If it's our fault,

[47:27] if the meter stop working or broke and we had to estimate and we'd figure out that it was wrong,

[47:31] we'll give you that credit back. But for the rest of the rate payers, we were paying in full and meeting

[47:38] their requirements, we can't just forgive or forget. So we have to work on a program to recover the

[47:43] for the benefit of the entire system, so we've had all the Timothy talk about how his team approaches

[47:49] in the culture that they have of trying to help customers. I'll put a finer point on President

[47:54] McGowan's comments. Timothy Davis, Chief Customer Officer at its highest level, we do very

[48:02] well in this regard, but we know we can always do better, right? Any one customer that has a problem

[48:08] is one too many. And we've creating a culture here where we put people first and we're meeting

[48:13] customers where they are. Let me give you some particulars. Kenneth Cop here, our director of

[48:19] call center, customer, care operations. His team takes roughly 1.4 million calls a year.

[48:28] Roughly 32 percent of those calls are for payment arrangements. That is,

[48:32] customers calling, which is what Commissioner Horson just alluded to, give us a call.

[48:38] We are here to help.

[48:39] So 32% of those calls, specifically for payment arrangements, and we work out opportunities

[48:46] for those.

[48:47] We have panoply, a huge amount of services that we provide to customers, and my 44 years of experience

[48:57] M-O-G-W offers more customer options and programs and any other utility I've ever been to.

[49:06] And those are utilities in four different states from California to here.

[49:11] In addition to that, as President McGowan alluded to, we have a number of more atoriums.

[49:16] During the last weather moratorium, we suspended disconnections. Over that four-day period,

[49:24] We had roughly 83 hundred customers that should have been disconnected for a non-payment.

[49:30] And again, that's President McGowan alluded to roughly 39 percent of our customers

[49:35] do not pay on time.

[49:37] Now, we've done a number of things to make improvements, so as I mentioned, those 83 hundred

[49:43] customers that should have been disconnected that weren't.

[49:47] We have implemented a new system as President McGowan alluded to call convey in partnership

[49:52] with our vice president, Q and communications, Ursula Madden.

[49:58] We specifically sent 83 hundred text messages to those customers to inform them.

[50:06] You are now subject to disconnection as the moratorium has ended.

[50:11] Roughly 52 hundred of those customers responded to make payment arrangements.

[50:17] Kenneth Colp, again, our director of customer care, typically takes around 5,000 calls a day.

[50:24] During that time, he took a 13,000 calls a day in support of helping those customers.

[50:33] In addition to that, in partnership with Ursula Madden, we have created, to my knowledge, the first of its kind in our nation, a power fund.

[50:46] that we're putting together.

[50:49] It's in its initials offerings right now,

[50:52] but for all intents and purposes,

[50:55] it's a fund that's a 501C3 that allows industry,

[51:00] partners, community partners to donate.

[51:02] We've already received $2 million in that fund from TVA,

[51:07] and myself, I am actively working along with the

[51:11] President McGowan and Vice President Madden to go out in the community and seek more money

[51:18] for that fund to create expanded offerings.

[51:21] In addition to that, we came before this council with support of our legal team to expand

[51:27] the offerings of share of the pennies.

[51:31] So it can meet the demands of the current needs of customers and even sandbox initiatives

[51:36] that we're working on to provide power to customers, back up batteries to our medically vulnerable

[51:42] customers for no cost. So I am extremely proud of where we are, what we're doing. And the

[51:51] culture we've created in our customers, it often goes unnoticed that many of our employees when

[51:57] they talk to these customers and understand they have issues, they take a collection amongst

[52:02] themselves. It just often doesn't go and they're going to be embarrassed that I bring this up.

[52:07] But they often take up a collection amongst themselves to help customers pay their bills.

[52:12] We're trying to expand our formally called prepay. Now we're calling it power pay to offer

[52:19] additional options to customers. But again, I'll start. I'll end as I begin. No matter how well we're

[52:25] doing, we know we have an opportunity to do better. I'm happy to answer any additional

[52:30] questions you have on the stop.

[52:32] No, thank you for that, Tim.

[52:33] And I really, and thank you, too, Chief of God.

[52:36] And I wanted to public and write papers to hear that.

[52:38] We do have plans.

[52:39] We'll do have processes.

[52:41] And what you just mentioned today, I think that was a pretty

[52:44] comprehensive overview of what we try to do.

[52:47] This is what I write players.

[52:48] So I want to public to totally understand

[52:51] that we hear of all of them.

[52:52] I just make a phone call.

[52:54] And you guys are doing whatever you can to work with them.

[52:57] Thank you.

[52:58] Very good.

[52:58] And in that address of some of the empathy questions about this, we are business, but we are

[53:04] very empathetic and have programs in where other rate payers are contributing in and helping

[53:10] out.

[53:11] Like we all should do.

[53:13] Any other comments?

[53:14] Questions?

[53:18] I'll ask one, particularly since you're about to onboard a new VP of HR.

[53:22] When you're talking about our gas team, I want to theme the great work that they've done

[53:27] in the ice storm, the work they were just doing over the weekend, I'm often thinking about the

[53:32] next pipeline, the next generation of talent. And if not today, Mr. President, due to time constraints,

[53:38] I would love to hear robust conversation around who's the next group of girls and guys that

[53:44] are going to be leading this amazing work. We often talk about the infrastructure investment that

[53:49] we're making, but I'm very interested in the people investment that we're making. Love when we

[53:57] one right here in Memphis because these are high paying jobs, critical jobs and I'm

[54:05] afraid of my kids can change a light bill by the time that they finish school.

[54:08] I love them dearly, but that workforce talent pipeline is critical to this work that you mentioned

[54:13] Mr. President that we are a construction company. I just wonder where those skills are coming from.

[54:18] Get deep question, but I'm sure there's some things you guys are thinking about all through.

[54:23] Well, we'd be happy to, you know, commissioner, one of the things that, you know, your peers have heard from us is, and we owe you another report as we go into the summer, I think.

[54:32] So if I, I'll give you a more detailed report as we go into the summer, but we do have what we had called boot camps for utility worker, lineman, mechanics, hundreds of kids who are participating in this many of whom we have hired.

[54:47] here to give them that inspiration and that technical training.

[54:50] I'm Mr. Davis, I'm just an article about his customer service academy, the Cs Academy

[54:56] where we have, we cut these young people in high school, gave them training over the summer

[55:01] and now they're working in our call center, taking many of these calls, finding a path.

[55:06] And the common theme is I never thought that I would be working until I didn't know what I was

[55:10] going to do, but now I have a purpose.

[55:11] And so we're expanding that this summer into the IT space as well.

[55:17] Ms. Fallon is going to have an academy for IT.

[55:21] So now we'll have utility worker Lyme and mechanic customer service and IT.

[55:27] But frankly, we think it's a model that other large companies should follow is to go out.

[55:32] You know, you can't just wait for the fish to jump in the boat.

[55:36] For the right one, you know, you got to go out and cultivate and you got to get out there and fish where

[55:41] those folks are that you want to attract. To use that analogy, you can't just wait for them,

[55:47] you got to get out there and cultivate that. So that's what we're doing, inspiring young people,

[55:52] so that there is a pool from which we can pull and to offer opportunities for young people here

[55:58] to, as you said, join this team and move on up. There is an opportunity here. One of the things

[56:04] we try to do is do some stories here and I've talked with that Chief Madden about this,

[56:09] telling the inspirational story about folks who started here, you know, a few years ago and

[56:16] look where they are today. Folks who thought they might not ever have the opportunity

[56:20] to be a supervisor or a manager or even a vice president. And so I'm very optimistic about

[56:28] the pool that we're doing. I think we're on the leading edge of showing how to cultivate talent

[56:33] and inspire young people and give them an actual opportunity immediately. Instead of just, you

[56:37] you know, hey, which you like to come and get familiar with, but we're actually offering those

[56:41] opportunities for folks.

[56:42] So we'll give you a full briefing on this as we get into the summer about what we're

[56:46] about to offer.

[56:48] So I'll call you in the next three or four board meetings.

[56:50] We'll get back to you on that.

[56:52] But this is something we are dedicated to hiring the right folks to make sure that all of

[56:58] these kids are coming from right here and she'll be counting.

[57:02] So, next, the comments, questions, can I get a motion?

[57:08] Some of you.

[57:09] Okay.

[57:10] What was that motion?

[57:12] Motion.

[57:12] Motion to adjourn.

[57:13] Thank you.

[57:14] Second, that motion.

[57:15] All in favor?

[57:17] You are adjourned.

[57:18] Thank you all.

Memphis Light, Gas & Water Division Board Meeting

Transcript