INITIATION TIME FRAME – Estimated time frame on how quickly the Company should be able to initiate its implementation efforts given the Company’s resources and general operating environment. The time necessary to complete implementation is expected to vary depending on the nature of the recommendation and the scope of the efforts necessary and resources available to effectively implement the recommendation. BENEFITS – Net quantifiable benefits have been provided where they could be estimated as discussed in Section D - Benefits. Our estimated overall level of benefits rankings are not solely based on quantifiable dollars but rather the Audit Staff’s assessment of the potential overall impact of the recommendation on the efficiency and/or effectiveness of the Company and/or the services it provides. HIGH BENEFITS – Implementation of the recommendation would result in major service improvements, substantial improvements in management practices and performance, and/or significant cost savings. MEDIUM BENEFITS – Implementation of the recommendation would result in important service improvements, meaningful improvements in management practices and performance, and/or meaningful cost savings. LOW BENEFITS – Implementation of the recommendation is likely to result in service improvements, management practices and performances, and/or enhance cost controls.
Rec. No. Recommendation Page No. Initiation Time Frame Benefits (including $ estimates) Chapter III – Corporate Governance III-1 Rotate the external audit firm on a periodic basis or, at a minimum, ensure that the audit firm periodically rotates its audit manager and audit teams. 14 Within 1 year Medium Chapter IV – Executive Management None. Chapter V – Affiliated Interests None. Chapter VI – Financial Management VI-1 Establish a formal dividend policy. 36 30 days Medium VI-2 Create a formal policy that documents the Company’s operations and maintenance budgeting process. 36 30 days Medium VI-3 Fully and accurately complete all schedules in the Public Utility Commission Annual Report. 36 7 – 12 months Medium Chapter VII – Customer Service VII-1 Complete implementation of mobile automated meter reading and enact additional measures as necessary to minimize the number of meters not read within six months and twelve months and that, at a minimum, customer supplied reads are acquired every six months. 52 3 – 6 months Medium VII-2 Accelerate efforts to relocate inside meters sets or, at a minimum, the associated regulators outside the structure. 52 Within 1 year Medium VII-3 Strive to minimize write-offs of delinquent accounts receivable by exploring potential solutions to enhance the collection efforts. 52 3 – 6 months Medium $15,000 Annual Savings VII-4 Ensure that delinquent account collection agencies are achieving their performance goals, and as necessary, replace poor performing agencies with new collection agencies. 52 3 – 6 months Medium Chapter VIII – Gas Operations VIII-1 Strive to maintain the expedited replacement schedule of first generation pipe. 72 30 days High VIII-2 Assess high levels of overtime by individual field operations employees and adjust overtime practices, call out procedures, shift work, and/or stand by procedures as needed. 72 3 – 6 months High VIII-3 Expedite hiring of vacant operations related positions and timely conduct a study to determine needed staffing in anticipation of expanded capital projects and field operations retirements. 72 Within 1 year Medium
Rec. No. Recommendation Page No. Initiation Time Frame Benefits (including $ estimates) Chapter VIII – Gas Operations (continued) VIII-4 Improve dispatching methodologies to ensure that all emergency dispatches can be completed within 15 minutes of the emergency call receipt by implementing new or modifying existing procedures for call outs, stand by lists, shift work, and/or staffing levels. 72 3 – 6 Months High Chapter IX – Emergency Preparedness None. Chapter X – Human Resources None.
ready to render assistance to the caller). An acknowledgement that the consumer is on the line does not constitute an answer. CPA’s call center performance for the years 2007 through 2011 using the three measures monitored by PUC-BCS is shown on Exhibit VII-2. It is important that all three statistics be considered together as telephone access for the consumer may not be accurately portrayed by the individual statistics. The Company has maintained an average Busy-Out Rate rounded to 0% for the period and improved its Call Abandonment Rate performance from 2008-2011. CPA has shown a minor deterioration in its percentage of Calls Answered within 30 Seconds over the 2009 to 2011 period. Exhibit VII – 2 Columbia Gas of Pennsylvania, Inc. Call Center Performance For the Years 2007 - 2011 Year Busy-Out Rate Call Abandonment Rate % of Calls Answered within 30 Seconds 2007 0% 3% 74% 2008 0% 5% 69% 2009 0% 2% 82% 2010 0% 2% 80% 2011 0% 2% 77% Source: 2007-2011 PUC-BCS Customer Service Performance Reports During the past six years (i.e., 2007 – 2012) the following changes have been made to enhance performance at the Customer Contact Center: Contact Plus - This is an improved method of rating and scoring quality assurance that is competency based and uses customer friendly phrasing for the CSRs. This was implemented in July 2009 and was revised/updated in July 2012. Customer Payment Vendor - A new customer payment vendor was introduced that granted the option for customers to make payments by credit card. This was implemented in March 2011. VSIST - A new front end application was developed which allows CSRs to follow a script format throughout certain call types. This type of technology also implements check points to ensure all data has been gathered and processed. This was implemented in February 2011 and was revised/updated in August 2012. Smart Forms - These are customer required forms and letters developed for auto population with the required information. CSRs no longer have to craft
2007 – October 2012 Year CPA OSHA Reportable Incidents CPA Goal Reportable Injuries CPA OSHA Incidence Rate 2nd Quartile Value (50% mark) for OSHA Incidence AGA Panel Ave 1st Quartile Value (Top 25%) for OSHA Incidence Rate AGA Panel Ave CPA Goal for OSHA Incidence Rate 2007 26 35 4.97 4.62 3.41 None 2008 31 28 6.54 4.22 2.82 None 2009 27 19 4.79 3.89 2.58 3.87 2010 17 17 3.64 3.71 2.35 3.37 2011 10 14 2.07 3.04 1.98 2.53 2012* 10 9 2.33 NA NA 1.61 * 2012 data is as of the end of October 2012 NA – Not available as of close of fieldwork. Source: Data Requests 209 & 283 Defensive driving policy developed which includes training requirements (implementation of the Smith Driving Program), backing policy, restriction on cell phone use while driving, and a 360 degree pre trip vehicle walk around. [implemented in January] Injury notification procedures – all injuries are required to be reported to the General Manager and Senior VP of Operations within 48 hours. [implemented in January] 2008 HSE began conducting ten job site inspections per month. Hazards, coaching opportunities, at risk findings, and OSHA compliance issues were documented and reviewed at Operations Center Manager staff meetings. [implemented in January] Formal local safety teams began to meet monthly. Minutes are maintained, communicated, and discussed during the meetings. [implemented in April] HSE began to generate safety reports that are sent to all leaders (such as the Field Operation Leaders and the Manager of the Operations Centers (see background for Chapter GO – Gas Operations) discussing any injury or collision events from the week prior. The report also includes data and information on current performance versus the safety milestones from the year. [implemented in July]