Title
Resolution - Approval to Amend 2025 Capital Improvement Plan (CIP) for Category Level Expenditure - N Fulmer
Other Info
Submitted By: Nathan Fulmer
Department: Distribution Operations
Financial Impact and Cost/Benefit Considerations: $2.1M in additional capital for category level expenditures.
Discussion
Pursuant to Pedernales Electric Cooperative, Inc. (PEC or Cooperative) Budget Policy, the Cooperative’s Finance Department, in consultation with the Cooperative’s Executive Management team, is required to prepare a budget amendment for the Board’s review and consideration when capital expenditures exceed 3% of the Board approved category level budget.
The authority to approve PEC’s operational budget and capital improvement budget amendments is reserved to the Board under the Cooperative’s Board Authority and Responsibilities Policy.
The Board, having been presented with the proposed budget amendment of $2.1M in additional capital expenditures for the Conversion or Line Changes category for 2025, may consider approving the budget amendment for the category level expenditures as presented. The increase to the Conversion or Line Changes category for 2025 was due to an increase to the scope of work for two rehabilitation projects for work that continued in 2025 from prior years. PEC’s total Distribution CIP was $5.2 million under budget in 2025.
Body
BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE COOPERATIVE, that the 2025 Amended Capital Improvement Plan (CIP) Budget as presented this day is approved; and
NOW THEREFORE BE IT RESOLVED that the Chief Financial Officer and Chief Operations Officer - Distribution, or designees, are authorized to take such actions as needed to implement this resolution.