DEPARTMENT: Office of the City Clerk
DEPARTMENT HEAD: Leticia M. Vacek (OCC)
COUNCIL DISTRICTS IMPACTED: City Wide
SUBJECT:
Reappointing Dr. Willis Mackey to the SA Energy Acquisition Public Facility Corporation (PFC) Board of Directors
SUMMARY:
A Resolution to reappoint Dr. Willis Mackey to the SA Energy Acquisition Public Facility Corporation (PFC) Board of Directors for a term commencing February 1, 2020 and expiring January 31, 2022.
BACKGROUND INFORMATION:
The CPS Energy Board of Trustees is comprised of five citizens, one of whom is the Mayor. The Mayor is a voting member of the Board, and is charged with keeping the City Council advised and informed of any actions, deliberations and decisions of the Board. Other than the Mayor, the remaining Board members are selected from geographic quadrants of the City (NE, NW, SE and SW Quadrants). City ordinances and related CPS Energy bond covenants dictate how bond funds may be used, dictate how revenues generated by CPS Energy are allocated, and grants the Board of Trustees control, management, and operation of CPS Energy systems. Ordinances related to CPS Energy bonds require that nominees for vacancies on the CPS Energy Board of Trustees be elected by a majority of the remaining members of the Board of Trustees, to include the vote of the Mayor as a member of the Board, and that those nominees be submitted to the City Council for confirmation or rejection.
In Resolution No. 2007-04-19-0455, approved on April 19, 2007, the City Council approved the creation of the PFC, which articles of incorporation and by-laws require the City Council appoint the members of the CPS Energy Board of Trustees along with the General Manager and CEO and the Chief Financial Officer of CPS Energy to the Board of the new public facility corporation. The PFC was created for the purpose of financing and acquiring electric energy and power, oil, gas, coal, and other liquid, gaseous or solid hydrocarbon fuels for use by CPS Energy in operating its generation plants and in providing service to its customers. The PFC Board of Directors serve for a term of two years.
In Resolution 2018-05-05-0023R, Dr. Willis Mackey was appointed to the CPS Energy Board of Trustees representing the Southeast Quadrant for a term commencing April 6, 2018 and expiring January 31, 2023; and in the same resolution, Dr. Mackey was appointed to the SA Energy Acquisition Public Facility Corporation Board of Directors for a term commencing April 6, 2018 and expiring January 31, 2020.
The CPS Energy Board of Trustees has requested that Dr. Mackey be reappointed to the PFC Board of Directors for a term to begin on February 1, 2020 and end January 31, 2022.
ISSUE:
Pursuant to Resolution No. 2007-04-19-0455, City Council appoints the members of the CPS Energy Board of Trustees along with the General Manager and CEO and the Chief Financial Officer of CPS Energy to the board of the PFC.
ALTERNATIVES:
If current PFC Board members are not reappointed, PFC bylaws approved in Resolution No. 2007-04-19-0455 provide that current Board members continue to serve until successors are appointed.
FISCAL IMPACT:
There is no fiscal impact.
RECOMMENDATION:
The nomination of Dr. Willis Mackey was received from the CPS Energy Board of Trustees on January 7, 2020, and coordinated with the Mayor’s Office, the Office of the City Attorney, and the Office of Public Utilities. The Office of the City Clerk recommends reappointment.