REGULAR MEETING OF THE RESOURCE MANAGEMENT COMMISSION August 19, 2025 6:00 p.m. Austin Energy Headquarters; 1st Floor; Shudde Fath Conference Room 4815 Mueller Blvd, Austin, Texas 78723 Some members of the Resource Management Commission maybe participating by videoconference. Public comment will be allowed in-person or remotely by telephone. Speakers may only register to speak on an item once either in-person or remotely and will be allowed up to three minutes to provide their comments. Registration no later than noon the day before the meeting is required for remote participation. To register contact Natasha Goodwin, at Natasha.Goodwin@austinenergy.com or 512-322-6505. Members: Charlotte Davis, Chair Paul Robbins, Vice Chair Trey Farmer GeNell Gary CALL MEETING TO ORDER AGENDA Joseph Gerland Martin Luecke Raphael Schwartz Alison Silverstein Danielle Zigon Vacant Vacant PUBLIC COMMUNICATION: GENERAL The first 5 speakers signed up prior to the meeting being called to order will each be allowed a three-minute allotment to address their concerns regarding items not posted on the agenda. APPROVAL OF MINUTES 1. Approve the minutes of the Resource Management Commission Meeting on July 15, 2025. DISCUSSION AND ACTION ITEMS 2. Recommend approval authorizing issuance of rebates for multifamily and commercial customer energy efficiency measures by Austin Energy during Fiscal Year 2025-26 in the aggregate amounts of $3,830,000 for multifamily programs and $3,375,000 for commercial programs, for a total combined budget amount of $7,205,000. Funding: $7,205,000 is available in the Operating Budget of Austin Energy. 3. Recommend approval authorizing issuance of commercial and multifamily solar incentives during Fiscal Year 2025-2026, in an aggregated amount not to exceed $5,300,000 for customer-sited commercial solar installations and $2,000,000 for customer-sited multifamily installations, for a total combined budget amount of $7,300,000 to qualifying solar incentive projects. Funding: $7,300,000 is available in the Fiscal Year 2025-2026 Austin Energy Operating Budget. 4. Discussion and recommendation on changing city code that relates to allowable methods for board and commission communications. 5. Discussion and recommendation on policy regarding Texas Gas Service Energy Efficiency Programs. DISCUSSION 6. Presentation by Texas Gas Service regarding an update on the TGS application for a Statewide Energy Efficiency Program by Larry Graham, Manager, Local Government Relations, Texas Gas Service and Judy Hitchye, Managing Attorney, Texas Gas Service. 7. Discussion on natural gas utilities: fuel costs, low-income customer issues, environmental effects, clean-energy programs, and policy related issues related to them. FUTURE AGENDA ITEMS ADJOURNMENT The City of Austin is committed to …
Posting Language ..Title Authorize issuance of rebates for multifamily and commercial customer energy efficiency measures by Austin Energy during Fiscal Year 2025-26 in the aggregate amounts of $3,830,000 for multifamily programs and $3,375,000 for commercial programs, for a total combined budget amount of $7,205,000. Funding: $7,205,000 is available in the Operating Budget of Austin Energy. ..De Lead Department Austin Energy Fiscal Note Funding in the amount of $7,205,000 is available in the Fiscal Year 2025-2026 Austin Energy Operating Budget. Prior Council Action: September 26, 2024 - Council approved issuance of rebates for commercial and multifamily customer energy efficiency measures during Fiscal Year 2024-2025. For More Information: Amy Everhart, Director, Local Government Relations (512) 322-6087; Richard Génecé, Vice President, Customer Energy Solutions (512) 322-6327 Council Committee, Boards and Commission Action: August 11, 2025 - To be reviewed by the Electric Utility Commission August 19, 2025 - To be reviewed by the Resource Management Commission Additional Backup Information: Austin Energy’s energy efficiency rebate programs provide customer incentives to reduce energy demand and associated costs, benefiting all electric utility customers and the utility. Aggregate authority for the issuance of rebates has been requested and approved in FY2020 thru FY2025. This authorization will allow Austin Energy to continue to issue rebates to multifamily, commercial and small business customers during Fiscal Year 2025-2026 for energy efficiency improvements in accordance with program guidelines and up to a combined amount of $7,205,000. The aggregate rebate approval request reflects our continued commitment to be responsive and flexible to customer needs by reducing the wait time needed to be reimbursed for energy efficiency upgrades. Multifamily customers receive an average of three upgrades per unit (e.g., smart thermostats, lighting, solar screens, HVAC tune-up, etc.), helping to reduce their energy costs. New construction incentives are also available for Multifamily properties pursuing passive building certification. This demonstration program will incentivize four to five affordable housing projects for predesign and post construction milestones. The aggregate approval ensures program continuity by assuring that contractors and property managers/owners will receive rebate funding promptly after work has been completed.
Posting Language ..Title Authorize issuance of commercial and multifamily solar incentives during Fiscal Year 2025-2026, in an aggregated amount not to exceed $5,300,000 for customer-sited commercial solar installations and $2,000,000 for customer- sited multifamily installations, for a total combined budget amount of $7,300,000 to qualifying solar incentive projects. Funding: $7,300,000 is available in the Fiscal Year 2025-2026 Austin Energy Operating Budget. ..De Lead Department Austin Energy Fiscal Note Funding in the amount of $7,300,000 is available in the Fiscal Year 2025-2026 Austin Energy Operating Budget. Prior Council Action: September 26, 2024 - Council approved issuance of rebates for commercial and multifamily customer energy efficiency measures during Fiscal Year 2024-2025. For More Information: Amy Everhart, Director, Local Government Relations (512) 322-6087; Richard Génecé, Vice President, Customer Energy Solutions (512) 322-6327 Council Committee, Boards and Commission Action: August 11, 2025 - To be reviewed by the Electric Utility Commission August 19, 2025 - To be reviewed by the Resource Management Commission Additional Backup Information: The purpose of the Austin Energy solar incentives is to expand adoption of customer-sited solar. The Performance-Based Incentive (PBI) solar program offers commercial customers payments based on the metered solar production of their approved PV system for the first 5 years of operation. The Austin Energy Solar Capacity-Based Incentive (CBI) Programs support solar installations via a one-time, upfront rebate payment. These programs advance the stated goals of expanding locally-sited solar, carbon reduction, and resiliency. The authorization of aggregate authority for the issuance of solar incentives will allow Austin Energy to continue to issue solar incentives to multifamily, commercial and small business customers during Fiscal Year 2025-2026 (FY2026) for customer-sited solar installations in accordance with program guidelines and up to a combined amount of $7,300,000. This aggregate rebate approval request reflects our continued commitment to be responsive and flexible to customer needs. The process allows Austin Energy to approve projects for construction and avoid the one to two months of delay that would have otherwise occurred while moving through the RCA process.
BOARD/COMMISSION RECOMMENDATION Resource Management Commission Recommendation No. 20250819-### Recommendation to Amend City Code to Use Both City and Personal Email Addresses for Board and Commission Members WHEREAS, members of the Resource Management Commission and other City boards and commissions are volunteers; WHEREAS, the City of Austin policy, based on city code, is that staff liaisons for City boards and commissions must use only commissioners’ official city email addresses; WHEREAS, many volunteer commission and board members rely extensively on personal email addresses and have missed communications from City liaisons, other city staff, and fellow commissioners; WHEREAS, making communicating with staff and fellow commissioners can make board and commission service more accessible and make commissioners more productive in serving the City of Austin; WHEREAS, many volunteer commissioners find managing multiple email accounts can be a significant burden on top of their family, employment, community, and other activities; WHEREAS, commissioners understand that all communications about board or commission business are subject to disclosure under the Texas Public Information Act, regardless of what communication channel – including city or personal email – the commissioner uses; WHEREAS, commissioners understand that official city email (BC) address should still be included on all official communications, but commissioners’ personal email addresses can be copied on those and other communications; WHEREAS, the Electric Utility Commission, in Recommendation 20250609-003, has asked the Austin City Council to amend the City Code to allow volunteers serving on City boards and commissions to use a combination of personal and city email accounts; NOW THEREFORE BE IT RESOLVED that the Resource Management Commission joins the Electric Utility Commission in asking the City Council to change the city code to allow for communications to and from City of Austin volunteer board and commission members to go to both official city email addresses and personal email addresses. Date of Approval: Motioned By: Seconded By: Record of the Vote: For: Against: Abstain: Absent: Attest:
BOARD/COMMISSION RECOMMENDATION Resource Management Commission Recommendation No. 20250819-005 Recommendation on Texas Gas Service Conservation Proposal Pending Before the Railroad Commission of Texas WHEREAS, Texas Gas Service (TGS) has submitted a three-year energy conservation program proposal to the Railroad Commission of Texas for its Central-Gulf region; and WHEREAS, TGS has proposed giving rebates paid by customers for standby generators that consume, not save energy; and WHEREAS, TGS has proposed giving rebates paid by customers for gas ranges, which harm indoor air quality, while providing no proof that this appliance program saves energy or money; and WHEREAS, TGS has proposed continuation of rebates for gas clothes dryers, tankless water heaters, and central furnaces, which do not pay back their investment in energy savings in Austin’s climate or in Residential settings; and WHEREAS, these proposed programs will cost ratepayers almost $5 million over the three-year proposal; and WHEREAS, TGS has not renewed its co-funding with Austin Energy for duct sealing and ceiling insulation, which have been shown to be some of the highest ROI energy savings programs; and WHEREAS, TGS has not, to date, fully complied with the legislative intent of the law granting the Railroad Commission of Texas the authority to regulate energy conservation programs run by gas utilities by: 1) failing to prove that all of its programs actually save energy; and 2) omitting program-specific energy and monetary savings in its filings; and WHEREAS, from about 1987 to about 1997 the City of Austin had an agreement with TGS to design and administer gas conservation programs, funded by TGS; and WHEREAS, TGS is continuing a long-standing pattern of funding energy conservation programs that are not cost effective; NOW THEREFORE BE IT RESOLVED that the Resource Management Commission advise the City Council to ask its appropriate City staff to go on record with the Railroad Commission of Texas to oppose the current program proposals; and BE IT FURTHER RESOLVED that the Commission is on record asking that any future franchise negotiations include a requirement that the company’s energy conservation program planning and administration be subcontracted to the City of Austin; and BE IT FURTHER RESOLVED that a copy of this recommendation be provided to the Market Oversight Section of the Railroad Commission of Texas in the most timely manner possible.
Second Natural Gas Utility Policy Briefing Resource Management Commission Paul Robbins August 19, 2025 There Are Other Gas Utility Issues Besides High Rates 1. High Fuel Costs 2. Taxes & Fees 3. Low-Income Assistance 4. Greenwashing– Faulty Programs for Conservation & Renewable Natural Gas Three Reasons for High Fuel Prices 1. Rising Support Costs 2. Securitization 3. Gas Exports “Securitization” Winter Storm Uri Surcharge Legalized Piracy • $3.5 Billion Financed Over 16 Years • $1.11/MCF Surcharge • ≈ $38/Year/Residential Austin Customer • ≈ $608 Over 16-Year Payoff U.S. Liquefied Natural Gas Competes on World Market Taxes & Fees • ≈ 3% for State Fees • 5% for City of Austin Franchise Fee • No Cap on Amount Low-Income Assistance 2024 Austin Energy – $20.1 Million Austin Water – $17.4 Million Austin Watershed Protection – $1.2 Million Total City of Austin Utilities – $38.7 Million (1.5% of Gross Revenue) Texas Gas Service – $200,000 (For Entire Central-Gulf Region) Gas Companies are Greenwashing Clean Energy Efficiency of the Direct Use of Natural Gas From Atmos RMC June Presentation y c n e i c i f f E y g r e n E Direct Use of Natural Gas Source Energy Extraction, Processing, Transportation 100 MMBTUs Water Heater Efficiency Generation No Losses X 90 MMBTUs 90 MMBTUs 52 MMBTUs ERCOT Energy Electric Mix Source Energy Extraction, Processing, Transportation Generation Line Loss Water Heater Efficiency 100 MMBTUs 89 MMBTUs 54 MMBTUs 52 MMBTUs 48 MMBTUs ERCOT Electric Mix With Heat Pump Water Heater ERCOT Energy Electric Mix Source Energy Extraction, Processing, Transportation Generation Line Loss Heat Pump Water Heater 100 MMBTUs 89 MMBTUs 54 MMBTUs 52 MMBTUs 91 MMBTUs- 233 MMBTUs TGS gives rebates way in excess of the national average. Conservation Total Resource Benefit/Cost Test Total Lifetime Investment vs. Lifetime Monetary Savings = Gas Dryer With Moisture Sensor • Between $200 and $300 to save –– 50¢/Year (Gas-to-Gas change-out). • No other gas utilities give rebates for dryer stubs except One Gas. • Payback of 666 Years at Higher Rebate Level. Tankless Water Heaters • $4,150 to $5,050 for New Tankless Installation vs. $1,600- $1,850 for Tank Unit (2021 dollars). • Requires Regular Scale Cleaning • Claims of Increased Lifetime May Be Exaggerated • No Payback. In fact, it will cost $2,800 to $3,800 more over life. • Expensive • Scale Cleaning • Freeze Damage Efficient Furnaces Built for Northern Climates • …
