A Study in Disaster Planning

Terry Huval, P.E.Director

Lafayette Utilities SystemLafayette, LA

APPA Business & Financial ConferenceSavannah, GeorgiaSeptember 15, 2009

Lafayette Utilities System• 30 Miles North of the Gulf of Mexico • Electric (61,000), Water and Wastewater

Lafayette Utilities System• Long History of System Investments• Active Tree Trimming Program

Your Response To Natural Disasters

• Provides your utility with an “Opportunity”

– Can make your utility a Hero,

– Or, a Failure in the eyes of your customers

• Requires proper PLANNING and EXECUTION to be successful

A Perspective: Customer Expectations Have

Changed• Decades ago, customers were more understanding of long outages in the aftermath of major storms, such as hurricanes

• In 1992, Hurricane Andrew affected large portions of South Louisiana

– One small electric co-operative did not properly prepare

– While the remainder of the area utilities completed their service restoration within 10 days, this co-op took more than 3 weeks

– Within a year the customer owners of this co-op forced it to be sold to an investor-owned utility (with much higher electric rates!)

Customer Expectations Have Changed (cont.)

• In 2002, Hurricane Lili interrupted all electric service in an 8 parish area, including Lafayette

– Lafayette Utilities System began restoring service faster than any other utility in this area

– Within hours after LUS restored service to its first customers, a number of remaining customers demanded that their service be restored immediately

• The conclusion: Customers do not want excuses – they want immediate action

Hurricane Lili, October 2002

Planning Is The Key

Must be WELL THOUGHT OUT

Must be COMMUNICATED to your employees

Must provide FLEXIBILITY

Must be SHARED with the public

LUS Storm Restoration Plan

• A living document that provides specific tasks to be done before, during, and after a major storm

• It is reviewed and updated each year, in advance of the hurricane season

Key Components of the Plan

Establish threshold for

action

Establish threshold for

action

When to increase inventories

When to activate emergency response operations

Most employees will work in non-traditional roles

Provide annual training for employees for these new duties

Outside line crews (public power - contractors)Tree trimming crewsContract technician supportEnlist retirees

Develop “Emergency

Organizational Chart”

Develop “Emergency

Organizational Chart”

Determine additional

resources you will need

Key Components to a Plan (cont.)

Material deliveries

Food provisions

Lodging

Advanced Media Support is Important

Advanced Direct Mail to customers

Hospitals, police, fire, water plants, sewer plants, media outlets

Plan for logistics support

Communicate with governing board and the

public

Communicate with governing board and the

public

Determine priority of restoration

Key Components to a Plan (cont.)

Employee Duty Reassignments:

Crew Liaisons

Phone Team

Lodging Logistics Team

Public Information/Media

Food Team

Training PriorTo Hurricane

Season

Key Components to a Plan (cont.)

Virtually Self-Contained Work and Assessment Teams, complete with line crews, tree trimming crews, heavy equipment operators

Responsible for all safety checks and line clearances

Reduces communications and transportation bottlenecks

Easier coordination of work assignments and status updates

Electrical Team Coordinators

Going Operational – General Employee

Instructions

•Hurricane Gustav is currently a Category 3, with 115 mph winds heading N/W at 15 mph with a span of 150 miles. •Estimated landfall is Monday at the south of Lafayette at a category 3 with 120 mph winds. •Civil Leave was declared starting Monday, September 1, at 8:00 am until further notice.

Anyone not remaining at an LUS Facility during the storm shall report to work Monday after the winds drop below 40 mph, unless your team has already established your time shift. Should you have major damage to your home and/or property, or debris blocking roads, it is the employee’s responsibility and duty to call their Emergency Team Leader.General Employee Instructions•Communications and Vehicle Team is to gather radios and batteries at Walker Road. When the storm winds drop below 40 mph, this team shall set up at the Cajundome. No rental vehicles are needed at this time. Call your Team Leader for additional instructions.•Contact Contractor Crew shall meet in Matt Broussard’s office immediately. Anticipate getting 50 line crews and 40 tree trimming crews. •Contractor Check-In Team shall setup immediately. Meter Reader Liaisons are to meet the Team Leader at 4:00 pm this afternoon at the Cajundome.•Damage Survey Team meeting shall be held at 4:00 pm this afternoon in the Training Center (Classroom).

…..

August 29, 2008

To: LUS Employees

Despite the ‘Best Laid Plans’ – Unique Circumstances

• Example:2005 Hurricanes Katrina and Rita– No Hotel Rooms Available

• Evacuees from Katrina filled all hotels

– No Diesel Fuel Available• Due to increased military and contractor presence

– No Ice• Due to high demand in the Gulf South

• Be Flexible to deal with the Unexpected– A properly executed plan gives you room to make changes

Examples of Complications

All lights are out: no generation

source is available

!

Promised contract line crews get

diverted to investor-owned

utilities

!

Radio communications are log jammed

!

Not everyone likes “Cajun”

food

!

Hotel rooms are not

available

!

Continuous Improvement Process

• Mutual Aid Agreements– Quick Public Power Help

• Employee Duty Reassignments– Advanced Training

• Electrical Team Coordinators– Reduced Bottlenecks

Despite 60% of customers out, power was restored to all LUS customers within 3 days of storm’s passing

Other Things To ConsiderBe Fully Accessible to the Media

•They can be your friend or your enemy–If they feel you are “unavailable” or “spinning the truth”, the public will get a bad message–If they are involved with you and your team, they can be a tremendous asset

Customers can be Very Impatient!

•After 3 days without power, some customers become very intolerant

•Get tight security for your facilities early–Keep customers from coming in and disrupting your operations–Beware of customers posing as vendors’ employees

Other Things To ConsiderFEMA

•Essential Funding Source, but very unpredictable•Need staff to become familiar with the latest regulations

•For Hurricane Lili (2002)•$5.5 million cost (Category F as “Utilities”)

•FEMA reimbursement of 75%•State reimbursement of 10%•Net out-of-pocket $825,000

•For Hurricane Rita (2005)•$1.9 million cost (Category B as “Debris Removal”)

•FEMA reimbursement of 100%•Much debate with FEMA•Took over a year to settle

•For Hurricane Gustav (2008)•$3.7 million cost (Category B & F)

•FEMA has not yet finalized the reimbursement

Working with FEMAFEMA

•All Costs captured in one Account

•Keep track of Inventory

•Not for everyday O&M

•Have one point person to collect all costs

•Documentation

•Have a working relationship with FEMA

Other Things To Consider (cont.)

Evacuation Evacuation RoutesRoutes

Special Needs Special Needs CustomersCustomers

Generator Generator SafetySafety

Disaster Supply Disaster Supply ChecklistChecklist

Provide useful information to customers in advance •LUS Hurricane Handbook

•Well-received by customers and the media

Shelter Shelter InformationInformation

Family Family Disaster Disaster

PlanPlan

To Summarize …Work to get your customers on before your competitors

Stay on top of the game

Make your response to disaster an opportunity to make your customers proud of your utility

Advanced and thoughtful preparation is the key

Have a thorough, written plan

Communicate with employees, your governing authority, the public and the media

Be quick on your feet when the unexpected comes

Count on Public Power utilities to be your best allies

Questions and Comments

Lafayette Utilities SystemP.O. Box 4017-C

Lafayette, LA 70502www.LUS.org