David Malcom

The public meeting provided an overview of a study regarding the value of customer-owned distributed solar energy. Key topics included an examination of the financial benefits distributed solar brings to the system, specifically concerning the Southwest Power Pool market, energy capacity, distribution system impacts, and environmental credits such as renewable energy certificates and carbon offsets. The discussion also covered the methodology for modeling these benefits, including the use of software to project costs and the importance of ensuring that solar integration does not create a cost shift to non-participating customers.

The meeting included public comments regarding climate change and data center energy impacts. The Operations and Power Supply Committee provided updates on the Terry Bundy Generating Station expansion and a Value of Solar study. Legislative reports were presented on various bills affecting public utilities and critical infrastructure. The board reviewed and ratified labor agreements for two IBEW union groups, Trades & Crafts and Rokeby Generation Station, following recent negotiations.

The board discussed community benefits and renewable energy investments, including solar power incentives and storage. Reports were presented by the Operations and Power Supply Committee, covering local generation updates and transmission planning, and the Finance Committee, which covered the external audit of 2025 financial statements, first-quarter financial results, and technology capital budgets. The board approved the 2026 Bond Issuance, Resolution 2026-3, to fund turbine additions and refund outstanding debt. Additionally, the board reviewed the 2026 Nebraska legislative session, received an update on the Value of Solar study, and held an executive session to discuss potential litigation.

The annual report covers the committee's oversight of the 401k and 457b retirement plans throughout the year. Key topics included the ongoing monitoring of investment options, adherence to governance policies, and contract management for third-party administrators and consultants. The committee reviewed plan performance, fee structures, and the implementation of new initiatives such as the Student Loan Retirement Match Program and 457b Roth project. Additionally, the committee received fiduciary training, engaged in cybersecurity discussions, and evaluated the potential inclusion of new investment asset classes.

The meeting commenced with a safety briefing and a review of Board member duties. Key discussions included customer comments regarding the Value of Solar Study and legislative positions LES should adopt on energy-specific bills. Committee reports covered operational updates, including the Value of Solar Study progress, 2025 unaudited financial results, financial health KPIs, semi-annual investment reports, internal audit reports, and safety/HR goals for 2026. Significant time was dedicated to reviewing the 2026 State Legislative Report, with detailed positions taken on numerous legislative bills (LB 964, LB 1010, LB 1026, LB 1027, LB 1064, LB 1096, LB 1111, LB 1172, LB 1186, LB 1193, LB 1255, LB 1259, LB 1261). The committee also reviewed the 2025 System Reliability Interruption Report, detailing outage statistics, causes, and proactive improvement programs. The Board entered an Executive Session to discuss market-sensitive information regarding All-in Generation Costs.