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SMUD Day on the Job Summary

The SMUD (Sacramento Municipal Utility District) Day on the Job trip on Friday, April 27 was a resounding success. Particular thanks go to Ingrid Some and Dan MacDonald, who, on behalf of the UC Davis chapter of Net Impact, worked with personal and professional contacts to develop a busy and exciting agenda for the morning.

The UC Davis GSM students had discussions with eleven high-quality and diverse SMUD speakers – including several GSM alumni!

  • Susan Patterson, President of the Board of Directors, who discussed SMUD
    vision and strategic direction as well as recently implemented Governance efforts;
  • GSM Alumnus Arthur Starkovich, Government & Community Affairs Rep, who spoke about some of the nuances of operating a municipal utility;
  • Noreen Roche-Carter, Treasurer, who reviewed the financial balancing act
    required of a not-for-profit electric utility due to limited funds sources;
  • Barry Brunelle, Supervisor, who spoke about the importance of risk management in directing an annual $500+ million budget for gas and commodities trading;
  • Doug Norwood, Engineering Specialist, and Brian Sehnert, Senior Architect, on how green building factors into the equation for SMUD and their customers;
  • Mike DeAngelis, Program Manager, and GSM Alumnus Rob Bremault, Key Account Rep, who work to bring energy efficiency technology to the marketplace;
  • A panel of GSM Alumni that included Ann Graef - Strategic Operations and Miguel de Anquin – Executive Vice President of Premier Power;
  • And, last but definitely not least, Lois Wright- our gracious host, personal contact, and itinerary organizer at SMUD - Government Affairs & Energy Efficiency.

A few interesting lessons learned from the exciting and informative day included:

  • 2006 J.D. Power ranked SMUD #1 utility in the nation for commercial customers.
  • 2005 J.D. Power ranked SMUD #1 utility in the state for residential customers.
  • SMUD recently received a 90% approval rating on the part of its customers.
  • The SMUD Customer Service Center building recently achieved LEED-ES Platinum recognition.
  • 2006 was not the 1st battle with PG&E – this came 80 years earlier, and lasted for 20 years, after SMUD came into existence through Sacramento voter resolution.
  • SMUD rates are typically 30-35% lower than surrounding utilities. While they do expect a rate increase in the coming year, it will be only the 3rd in 15 years.
  • While the Board sets policy and staff implements it, the customer-voter retains absolute power, as was evident in the late 80s decommissioning of Rancho Seco.
  • While SMUD is not bound by the Renewables Portfolio Standard, it is pursuing creative ways to parallel it even despite its “tax incentive ineligibility” hurdle.
  • Due to consistently low levels of attrition, 50% of the staff will reach retirement eligibility in the next 5 years...thus opening many positions, especially for MBAs!

Everyone at SMUD went out of their way to host us hospitably and we look forward to expanding future contact with them. Be on the lookout for more joint events & projects with SMUD!