SPECIAL CALLED MEETING OF THE RESOURCE MANAGEMENT COMMISSION April 29, 2026 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 video conference. 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 Kamil Cook CALL MEETING TO ORDER AGENDA Trey Farmer GeNell Gary Harry Kennard Martin Luecke Raphael Schwartz Alison Silverstein 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 March 24, 2026. STAFF BRIEFING 2. Staff briefing on the Value of Solar by Tim Harvey Director, Customer Renewable Solutions, Austin Energy. DISCUSSION AND ACTION ITEMS 3. Discussion and recommendation on the value of solar and the social cost of carbon components. 4. Discussion and recommendation on the Texas Gas Service Franchise Agreement. 5. Approve the creation of a working group focused on longer duration storage and its role in Austin Energy's Resource and Generation Plan. 6. Conduct officer elections for the Chair and Vice Chair of the Resource Management Commission. FUTURE AGENDA ITEMS ADJOURNMENT The City of Austin is committed to compliance with the Americans with Disabilities Act. Reasonable modifications and equal access to communications will be provided upon request. For assistance, please contact the Liaison or TTY users’ route through 711. A person may request language access accommodations no later than 48 hours before the scheduled meeting. Please call or email Natasha Goodwin at Austin Energy, at (512) 322-6505 or Natasha.Goodwin@austinenergy.com to request service or for additional information. For more information on the Resource Management Commission, please contact Natasha Goodwin at Austin Energy, at 512-322-6505 or Natasha.Goodwin@austinenergy.com .
Energy Efficiency Services - Commercial and Multifamily Enrollment Pipeline Program Location Name Installation Address MFIQv2 Bridge at Henly 6107 E RIVERSIDE DR UNIT CLUB Council District 3 MFIQv2 Mueller Flats 1071 CLAYTON LN UNIT 17 MFIQv2 MFIQv2 Bridge at Asher 10505 S IH 35 SVRD NB CH Ashford Costa Brava 6407 SPRINGDALE RD UNIT 1 MFIQv2 LUPINE TERRACE 1137 GUNTER ST MFv2 Mackenzie Point Apartments 1044 CAMINO LA COSTA UNIT 10 MFIQv2 MFv2 The Amethyst 13401 METRIC BLVD 01 STONEY RIDGE APARTMENTS 3200 S 1ST ST UNIT 1 4 5 1 1 4 7 3 Measures Duct Sealing and Remediation,ECAD Incentive,Smart PPT Eligible Thermostat,HVAC Tune-Up Attic Insulation,ECAD Incentive,Lighting,Smart PPT Eligible Thermostat,Supplemental Measure,HVAC Tune- Up,Water Saving Devices ECAD Incentive,Smart PPT Eligible Thermostat,HVAC Tune-Up Attic Insulation,Duct Sealing and Remediation,Lighting,Smart PPT Eligible Thermostat,Supplemental Measure,HVAC Tune- Up,Water Saving Devices Attic Insulation,ECAD Incentive,Smart PPT Eligible Thermostat,Plenum Redesign and Remediation,HVAC Tune-Up HVAC Tune-Up HVAC Tune-Up Smart PPT Eligible Thermostat,HVAC Tune-Up Est. kWh Savings 364,850 Est. $ Incentive $257,648 351,389 $232,056 428,247 141,552 $208,074 $132,134 140,753 $109,086 130,689 114,295 197,212 $108,576 $107,640 $104,928 Rebate Fact Sheet - Energy Efficiency Services March 2026 Property Information Rebate Program Enrollment Multifamily 1344018 Customer or Property Mackenzie Point Apartments Property Address Year Built * Total Number of Rentable Units Building Total Square Feet 1044 CAMINO LA COSTA UNIT 10 AUSTIN, TX 78752 1983 348 N/A Measure ** Rebates and Estimated Annual Savings Est. Kilowatt (kW) Reduction Est. Kilowatt- hours (kWh) Reduction Est. $/kW Rebate per Tenant Unit Total Rebate Attic Insulation 78.8 37,591 $1,317 $298 $103,781 Total *** 78.8 * Year built may not include major renovations ** Fact sheets include final inspection information, and some values may have changed since original proposal. *** Assumes 100% Occupancy $103,781 37,591 $1,317 $298 Energy Efficiency Rebates in Past 10-Years Date (Year) Measure Rebate Amount N/A
Value of Solar Discussion RESOURCE MANAGEMENT COMMISSION - APRIL 29, 2026 RAPHAEL SCHWARTZ Austin Energy Goals Local solar goals: • “Promote Innovative Local Solar Solutions Austin Energy will continue building local solar solutions and expanding local solar access for all customers. Austin Energy will plan to . . . reach 405 MW of installed local solar capacity by 2035 — including 160 MW of existing capacity.” • Need to average ~ 23 MW per year going forward. • FY2026 expected to trail 2025 ---23 ? https://austinenergy.com/about/news/news-releases/2025/Austin-Energy-adds-record-18MW-of-local-solar-to-the-grid Many successful solar programs • Residential solar • Commercial solar • Commercial Standard Offer • Community Solar program • Solar on city owned buildings • New lease program • and more… Oct. 21, 2025 Resource Management Commission Obstacles….. •US solar market is in a “transition year” in 2026 • Loss of 30% federal subsidy - Residential expected to see 33% declines nationally [1] • ‘Foreign Entity of Concern’ another major cost increase from new legislation • Commercial Standard Offer was already struggling to scale in FY2025 (thin margins) • Residential Standard Offer program appears will not move forward? • ‘Solar for All’ appears to be dead • Austin Energy does not have much appetite to increase subsidies… [1] https://pv-magazine-usa.com/2026/03/17/residential-solar-to-decline-33-year-over-year-said-roth-capital-partners/ Value of Solar tariff • AE uses a Value of Solar tariff that is ‘buy all, sell all’. • Originally set up in 2012 to assess the true value of local solar to the utility • Leadership has been clear that the intention is to: Properly value the customer-sited solar as a resource to the utility and fairly compensate the customer without burdening non-solar customers. • Four components make up avoided costs. • Some tariffs don’t include the environmental “societal benefit” Stepping away from ‘subsidies’ • AE has tried to step away from actual incentives in recent years: • • Rolling out new programs (Standard Offer programs) which do not value the carbon emission reduction or any environmental aspect of solar Charging commercial solar customers relatively high permitting fees • AE has made clear that even modest incentives are not sustainable for the utility long term • • Strong desire for programs to be ‘sustainable and scalable’ by tying programs to financial avoided costs Every dollar spent on societal benefits or incentives limits program sustainability in the utility’s view Value of Solar • Value of Solar payout is mainly dependent on energy scarcity on ERCOT …
MEMORANDUM To: Mayor and City Council Through: Ed Van Eenoo, Chief Financial Officer From: Date: Subject: Marija Norton, CPA, City Controller April 25, 2026 Key Terms in the Proposed Texas Gas Service Franchise Agreement for First Reading The purpose of this memorandum is to provide a summary of the key terms in the proposed Texas Gas Service (TGS) franchise agreement that City Council will see for first reading on the May 7, 2026, City Council Agenda. The current franchise agreement will expire on October 16, 2026. Pursuant to City Charter, adop(cid:415)on of this franchise agreement requires three separate readings of the ordinance at Council, with the first and the third reading at least 30 days apart. In addi(cid:415)on, the effec(cid:415)ve date of the final agreement is sixty days from approval of the ordinance of third reading. Summary of Key Terms • • • Defini(cid:415)on of “Gross Revenues” (Sec(cid:415)on 1.18) – The defini(cid:415)on of “Gross Revenues” is updated to streamline meanings and make the term consistent with gas franchise conven(cid:415)ons across Texas. Term (Sec(cid:415)on 2.4) – The proposed agreement provides for a 10-year term with no automa(cid:415)c renewal. The exis(cid:415)ng agreement has been in effect for a total of 20 years, consis(cid:415)ng of a 10-year base term and an automa(cid:415)c second 10-year term. TGS will be required to no(cid:415)fy the City one year in advance of the expira(cid:415)on of the 10-year term. The proposal also includes a bridge term for the agreement to include any period between the October 16, 2026 expira(cid:415)on of the current agreement and the effec(cid:415)ve date of the new agreement. Low-Income Assistance Program (Sec(cid:415)on 4.7) – By January 1, 2029, TGS will work with the City to implement a monthly assistance program for income-qualified customers in the City. This will be pursuant to a tariff approved by the City and the assistance will be funded through a monthly charge on non-qualifying customer bills. City Staff and TGS are currently working on a specific program proposal to present to Council. This is a new term not currently required in the exis(cid:415)ng agreement. Con(cid:415)nued TGS Appearance Before RMC (Sec(cid:415)on 4.8) – Under the proposed agreement, TGS will be required to a(cid:425)end at least two Resource Management Commission mee(cid:415)ngs each calendar year. • • Annual Capital Improvement Report (Sec(cid:415)on 4.9) – Star(cid:415)ng in December 2026, TGS will submit an annual report on expected capital improvements for the upcoming year to …
BOARD/COMMISSION RECOMMENDATION Resource Management Commission Recommendation No. 20260429-004 Recommendation on Texas Gas Service Franchise WHEREAS, The City is in the process of renewing its franchise agreement with Texas Gas Service; and WHEREAS, the Resource Management Commission on January 20, 2026 made several recommendations pertaining to the renewal of the franchise agreement in Recommendation 20260120-002; and WHEREAS, many of those recommendations have been incorporated into the draft ordinance but several important terms are inadequate or absent; and WHEREAS, Texas Gas Service does not collect full payment for new infrastructure (known as Contribution in Aid of Construction or Capital Recovery Fees) required for new customers, thus subsidizing new customers while increasing gas bills of existing customers; and WHEREAS, the draft ordinance does not require Texas Gas to fund or operate any energy conservation programs or emergency bill assistance programs; and WHEREAS, the Sustainable Buildings section of the Austin Climate Equity Plan includes a goal of reducing natural gas-related emissions by 30% by 2030; and WHEREAS, the draft ordinance does not specify any minimum scope or standard on leak detection; NOW THEREFORE, BE IT RESOLVED that the Resource Management Commission recommends that the City require as part of its franchise agreement with Texas Gas Service that: ● The Company shall implement an emergency bill assistance program for income- qualified customers to be funded at an initial level of at least $500,000, to be indexed for inflation during the term of the agreement, with 50% of the funding coming from Texas Gas Service shareholders. This would be a separate program from the monthly bill assistance program for income-qualified Customers currently found in the draft ordinance. (Section 4.7) ● The Company shall include all expected capital expenditures relevant to ratemaking (including those to occur outside of the Austin metropolitan area that will ultimately affect rates for Austin customers) in its annual report to Austin Financial Services (Section 4.9) ● Beginning in January 2027, the Company shall collect a new tariff to be adopted by the City to hire a consultant of the City’s choosing to review the prudence of these expected capital expenditures. This consultant will make this report available for the public, redacting any confidential or proprietary information as designated by the Company to the extent allowed by law. ● Beginning with implementation of rates determined by the next full rate case, the Company shall immediately collect full Contributions in Aid of Construction for …
BOARD/COMMISSION RECOMMENDATION Resource Management Commission Recommendation No. 20260429-004 Recommendation on Texas Gas Service Franchise WHEREAS, The City is in the process of renewing its franchise agreement with Texas Gas Service; and WHEREAS, the Resource Management Commission on January 20, 2026 made several recommendations pertaining to the renewal of the franchise agreement in Recommendation 20260120-002; and WHEREAS, many of those recommendations have been incorporated into the draft ordinance but several important terms are inadequate or absent; and WHEREAS, Texas Gas Service does not collect full payment for new infrastructure (known as Contribution in Aid of Construction or Capital Recovery Fees) required for new customers, thus subsidizing new customers while increasing gas bills of existing customers; and WHEREAS, the draft ordinance does not require Texas Gas to fund or operate any energy conservation programs or emergency bill assistance programs; and WHEREAS, the Sustainable Buildings section of the Austin Climate Equity Plan includes a goal of reducing natural gas-related emissions by 30% by 2030; and WHEREAS, the draft ordinance does not specify any minimum scope or standard on leak detection; and WHEREAS, the Houston Ship Channel index does not include storage and demand reservation fees, and therefore some large transport gas customers may not be paying their adequate share of franchise fees, NOW THEREFORE, BE IT RESOLVED that the Resource Management Commission recommends that the City require as part of its franchise agreement with Texas Gas Service that: The Company shall implement an emergency bill assistance program for income- ● qualified customers to be funded at an initial level of at least $500,000, to be indexed for inflation during the term of the agreement, with 50% of the funding coming from Texas Gas Service shareholders. This would be a separate program from the monthly bill assistance program for income-qualified Customers currently found in the draft ordinance. (Section 4.7) The Company shall include all expected capital expenditures relevant to ratemaking ● (including those to occur outside of the Austin metropolitan area that will ultimately affect rates for Austin customers) in its annual report to Austin Financial Services (Section 4.9) Beginning in December 2026, the Company shall annually file with the City a report ● detailing the Company’s expected capital investments for the upcoming year and actual capital investments for the prior year. Every two years, the City will hire a consultant to review multiple years of the Company’s actual and projected capital investments and …
Section 1.18 (e) the value of Transport Gas transported by the Company for Transport Customers, through the System of the Company located in the City’s Public Rights-of-Way (“Third Party Sales”) (excluding the value of any gas transported to another gas utility in the City for resale to its customers within the City), with the value of such gas to be established by utilizing either the purchase price ($/MMbtu) of the Transport Gas as reported to the Company by its Transport customers or a price equal to 125% of the Houston Ship Channel Index of prices ($/MMbtu) for large packages of gas published each month in Inside FERC’s Gas Market (or a successor publication or another publication agreed upon by the City and Company) as reasonably near the time that the transportation service is performed; and
RESOURCE MANAGEMENT COMMISSION MEETING MINUTES Wednesday, April 29, 2026 RESOURCE MANAGEMENT COMMISSION SPECIAL CALLED MEETING MINUTES Wednesday, April 29, 2026 The Resource Management Commission convened in a Special Called meeting on Wednesday, April 29, 2026, at Austin Energy Headquarters 4815 Mueller Blvd, Austin, TX 78723. Chair Charlotte Davis called the Resource Management Commission meeting to order at 6:02 p.m. Board Members/Commissioners in Attendance: Commissioner Charlotte Davis, Chair; Commissioner Paul Robbins, Vice Chair; Commissioner Kamil Cook; Commissioner Trey Farmer; Commissioner Martin Luecke; Commissioner Raphael Schwartz; Commissioner Alison Silverstein. Board Members/Commissioners Commissioner Harry Kennard. in Attendance Remotely: Commissioner GeNell Gary; PUBLIC COMMUNICATION: General- • Al Braden- TGS APPROVAL OF MINUTES 1. Approve the minutes of the Resource Management Commission Meeting on March 24, 2026. The motion approving the minutes of the Resource Management Commission regular called meeting of March 24, 2026 was approved on Vice Chair Robbins motion, Commissioner Luecke’s second on a 9-0 vote with two vacancies. STAFF BRIEFING 2. Staff briefing on the Value of Solar by Tim Harvey Director, Customer Renewable Solutions, Austin Energy. The briefing on the Value of Solar was presented by Tim Harvey Director, Customer Renewable Solutions, Austin Energy. DISCUSSION AND ACTION ITEMS 3. Discussion and recommendation on the value of solar and the social cost of carbon components. The commission discussed the value of solar and the social cost of carbon components but did not take any action. 5. Approve the creation of a working group focused on longer duration storage and its role in Austin Energy's Resource and Generation Plan. RESOURCE MANAGEMENT COMMISSION MEETING MINUTES Wednesday, April 29, 2026 The motion approving the creation of a working group focused on longer duration storage and its role in Austin Energy's Resource and Generation Plan was approved on Chair Davis motion, Vice Chair Robbins second on a 9-0 vote with two vacancies. 6. Conduct officer elections for the Chair and Vice Chair of the Resource Management Commission. The Commission recommended Commissioner Charlotte Davis as Chair on Vice Chair Robbins motion, Commissioner Silverstein’s second on a 9-0 vote with two vacancies. The Commission recommended Commissioner Paul Robbins as Vice Chair on Commissioner Silverstein’s motion, Chair Davis second on an 8-1 vote with Commissioner Gary voting against and two vacancies. 4. Discussion and recommendation on the Texas Gas Service Franchise Agreement. The motion approving a recommendation on the Texas Gas Service Franchise Agreement on Vice Chair Robbins motion, …
