HomeMy WebLinkAboutORD 1327ORDINANCE NO. 1327
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM
DESERT, CALIFORNIA, AUTHORIZING IMPLEMENTATION OF A
COMMUNITY CHOICE AGGREGATION PROGRAM, AND APPROVING
THE DESERT CITIES ENERGY CHOICE JOINT POWERS AGREEMENT
The City Council of the City of Palm Desert, California, does hereby ordain as
follows:
SECTION 1. The City of Palm Desert has been actively investigating options to
provide electric services to constituents within its jurisdiction with the intent of achieving
greater local involvement over the provision of electric services and promoting competitive
and renewable energy.
SECTION 2. On September 24, 2002, the Governor signed into law Assembly Bill
117 (Stat. 2002, Ch. 838; see California Public Utilities Code section 366.2; hereinafter
referred to as the "Act"), which authorizes any California city or county, whose governing
body so elects, to combine the electricity load of its residents and businesses in a
community -wide electricity aggregation program known as Community Choice Aggregation
("CCA").
SECTION 3. The Act expressly authorizes participation in a CCA program through a
joint powers agency, and to this end the City has been participating since 2016 in the
evaluation of a proposal for the formation of a joint powers agency to implement and
administer a CCA program for the Coachella Valley region.
SECTION 4. As described in the Joint Powers Agreement attached as Exhibit A, a
CCA program implemented and administered by and through Desert Cities Energy Choice
("DCEC") provides an opportunity to accomplish the following:
A. Reduce greenhouse gas emissions related to the use of power throughout the
jurisdictions of the participating cities and neighboring regions.
B. Provide electric power and other forms of energy to customers at a competitive
cost.
C. Carry out programs to reduce energy consumption.
D. Stimulate and sustain the local economy by developing local jobs in renewable
and conventional energy.
E. Promote long-term electric rate stability, energy security and reliability for
residents through local control of electric generation resources.
SECTION 5. Through Docket No. R.03-10-003, the California Public Utilities
Commission has issued various decisions and rulings addressing the implementation of
Community Choice Aggregation programs, including the recent issuance of a procedure by
which the California Public Utilities Commission will review "Implementation Plans," which
are required for submittal under the Act as the means of describing the Community Choice
Aggregation program and assuring compliance with various elements contained in the Act.
ORDINANCE NO. 1327
SECTION 6. A final Implementation Plan for the CCA program will be submitted to
the California Public Utilities Commission by DCEC as soon after the formation of the joint
powers agency as reasonably practicable, confirming that DCEC's CCA program is in ..�
compliance with all requirements of the Act.
SECTION 7. The Act requires each jurisdiction participating in the CCA program to
individually adopt an ordinance ("CCA ordinance") electing to implement a Community
Choice Aggregation program within its jurisdiction by and through its participation in Desert
Cities Energy Choice.
SECTION 8. Based upon all of the above, the City Council approves the Joint
Powers Agreement attached hereto as Exhibit A and elects to implement a Community
Choice Aggregation program within the City's jurisdiction by and through the City's
participation in Desert Cities Energy Choice, subject to the City's right to forego the actual
implementation of a Community Choice Aggregation program pursuant to specified
withdrawal rights described in the Joint Powers Agreement. The Mayor is hereby authorized
to execute the Joint Powers Agreement and any other related documents for the program
implementation.
SECTION 9. If any section, subsection, sentence, clause, phrase or word of this
Ordinance is for any reason held to be invalid by a court of competent jurisdiction, such
decision shall not affect the validity of the remaining portions of this Ordinance. The City
Council hereby declares it would have passed and adopted this Ordinance and each and all
provisions hereof irrespective of the fact that any one or more of said provisions be declared .�
invalid.
SECTION 10. This Ordinance shall take effect and be in force thirty (30) days from
the date of its adoption.
PASSED, APPROVED, and ADOPTED by the City Council of the City of Palm
Desert, California, at its regular meeting held on the 14th day of December 2017, by the
following vote, to wit:
AYES: HARNIK, KELLY, and JONATHAN
NOES: NESTANDE and WEBER
ABSENT: NONE
ABSTAIN: NONE
ATTEST:
GRACE L. ROCHA, ACTING CITY CLERK
CITY OF PALM DESERT, CALIFORNIA
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SABEIT—JONATHAN, MAYOR
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ORDINANCE NO. 1327
EXHIBIT A
RESTATEMENT AND FIRST AMENDMENT
DESERT COMMUNITY ENERGY
JOINT POWERS AGREEMENT
This Joint Powers Agreement ("Agreement'), effective as of , 2017 is made and
entered into pursuant to the provisions of Title 1, Division 7, Chapter 5, Article 1 (Section 6500 et
seq.) of the California Government Code relating to the joint exercise of powers among the parties
set forth in Exhibit B (individually "Party" or "Member", collectively "Parties" or "Members"). The
term "Parties" or "Members" shall also include an incorporated municipality or county added to
this Agreement in accordance with Section 2.4.
RECITALS
A. The Parties share various powers under California law, including but not limited to
the power to purchase, supply, and aggregate electricity for themselves and
customers within their jurisdictions.
B. In 2006, the State Legislature adopted AB 32, the Global Warming Solutions Act,
which mandates a reduction in greenhouse gas emissions in 2020 to 1990 levels.
In 2016, the Legislature passed SB 32, which codifies a 2030 greenhouse gas
emissions reduction target of 40 percent below 1990 levels.
C. The purposes for entering into this Agreement include:
a. Reducing greenhouse gas emissions related to the use of power
throughout the jurisdictions of the Parties and neighboring regions;
b. Providing electric power and other forms of energy to customers at a
competitive cost;
C. Carrying out programs to reduce energy consumption;
d. Stimulating and sustaining the local economy by developing local jobs in
renewable and conventional energy; and
e. Promoting long-term electric rate stability, energy security and reliability for
residents through local control of electric generation resources.
D. It is the mission and purpose of this Agreement to build a Community Choice
Aggregation program that is locally controlled and delivers cost -competitive clean
electricity, product choice, price stability, energy efficiency and greenhouse gas
emission reductions.
E. It is the intent of this Agreement to promote the development and use of a wide
range of renewable and efficient energy sources and energy efficiency programs,
including but not limited to solar, wind, and biomass energy production. The
Exhibit A - Page 1 of 24
ORDINANCE NO. 1327
purchase of renewable power and greenhouse gas -free energy sources will be the
desired approach to decrease regional greenhouse gas emissions and accelerate
the State's transition to clean power resources to the extent feasible. The DCE
will also add increasing levels of locally generated renewable resources as these
projects are developed and customer energy needs expand.
F. The Parties desire to establish a separate public agency, known as the Desert
Community Energy, or DCE, under the provisions of the Joint Exercise of Powers
Act of the State of California (Government Code Section 6500 et seq.) ("Act") in
order to collectively study, promote, develop, conduct, operate, and manage
energy programs.
G. The Parties anticipate adopting an ordinance electing to implement through the
DCE a common Community Choice Aggregation (CCA) program, an electric
service enterprise available to cities and counties pursuant to California Public
Utilities Code Sections 331.1(b) and 366.2. The first priority of the DCE will be the
consideration of those actions necessary to implement the CCA Program.
AGREEMENT
NOW, THEREFORE, in consideration of the mutual promises, covenants, and conditions
hereinafter set forth, it is agreed by and among the Parties as follows:
ARTICLE 1: DEFINITIONS AND EXHIBITS
1.1 Definitions. Capitalized terms used in the Agreement shall have the meanings
specified in Exhibit A, unless the context requires otherwise.
1.2 Documents Included. This Agreement consists of this document and the following
exhibits, all of which are hereby incorporated into this Agreement.
Exhibit A:
Definitions
Exhibit B:
List of the Parties
Exhibit C:
Annual Energy Use
Exhibit D:
Voting Shares
Exhibit E:
Signatures
ARTICLE 2: FORMATION OF DESERT COMMUNITY ENERGY
2.1 Effective Date and Term. This Agreement shall become effective and DCE shall
exist as a separate public agency on , 2017 or when the Parties
execute this Agreement, whichever occurs later. The DCE shall provide notice to
the Parties of the Effective Date. DCE shall continue to exist, and this Agreement
shall be effective, until this Agreement is terminated in accordance with Section
6.4, subject to the rights of the Parties to withdraw from DCE.
2.2 Formation. There is formed as of the Effective Date a public agency named Desert
Community Energy. Pursuant to Sections 6506 and 6507 of the Act, DCE is a
public agency separate from the Parties. Pursuant to Sections 6508.1 of the Act,
Exhibit A - Page 2 of 24
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ORDINANCE NO. 1327
the debts, liabilities or obligations of DCE shall not be debts, liabilities or obligations
of the individual Parties unless the governing board of a Party agrees in writing to
assume any of the debts, liabilities or obligations of DCE. A Party who has not
agreed to assume an Authority debt, liability or obligation shall not be responsible
in any way for such debt, liability or obligation even if a majority of the Parties agree
to assume the debt, liability or obligation of DCE. Notwithstanding Section 7.54 of
this Agreement, this Section 2.2 may not be amended unless such amendment is
approved by the governing board of each Party.
2.2.1 Name. DCE may change its name at any time through adoption of a
resolution of the Board of Directors.
2.3 Purpose. The purpose of this Agreement is to establish an independent public
agency in order to exercise powers common to each Party to build a Community
Choice Aggregation program that achieves significant, long-term GHG emission
reductions by offering clean, cost effective and price stable electricity to residents,
businesses, and agricultural producers while carrying out innovative programs to
reduce customer energy use, and to promote local renewable and efficient energy
production technologies. To that end, DCE will study, promote, develop, conduct,
operate, and manage energy, energy efficiency and conservation, and other
energy -related programs, and to exercise all other powers necessary and
incidental to accomplishing this purpose. Without limiting the generality of the
foregoing, the Parties intend for this Agreement to be used as a contractual
mechanism by which the Parties are authorized to participate in the CCA Program,
as further described in Section 4.1. The Parties intend that other agreements shall
define the terms and conditions associated with the implementation of the CCA
Program and any other energy programs approved by DCE.
2.4 Membership in DCE.
2.4.1 The initial Members of DCE are the Cities of Blythe, Cathedral City, Desert
Hot Springs, Indian Wells, Palm Desert, and Palm Springs.
2.4.2 Any city or county may request to become a member of DCE by submitting
a resolution adopted by its City Council or Board of Supervisors to the
Board of DCE. The Board shall review the request and shall vote to
approve or disapprove the request. The Board may establish conditions,
including but not limited to financial conditions, under which the city or
county may become a member of DCE. The Board shall notify the then
members of DCE of this request and the date that the request will be on
the Board's meeting agenda for action. The date set for Board action shall
be at least forty-five (45) days from the date the notice is mailed to the
members. If the request is approved by the Board, the city or county shall
become a member of DCE under
the terms and conditions set forth by the Board and upon approval and
execution of this Agreement by the requesting city or county.
2.5 Powers. DCE shall have all powers common to the Parties and such additional
powers accorded to it by law. DCE is authorized, in its own name, to exercise all
powers and do all acts necessary and proper to carry out the provisions of this
Exhibit A - Page 3 of 24
ORDINANCE NO. 1327
Agreement and fulfill its purposes, including, but not limited to, each of the following own
powers, subject to the voting requirements set forth in Section 3.17:
2.5.1 to make and enter into contracts;
2.5.2 to employ agents and employees, including but not limited to an Executive
Officer;
2.5.3 to acquire, contract, manage, maintain, and operate any buildings,
infrastructure, works, or improvements;
2.5.4 to acquire property by eminent domain, or otherwise, except as limited
under Section 6508 of the Act, and to hold or dispose of any property;
however, DCE shall not exercise the power of eminent domain within the
jurisdiction of a Party over its objection without first meeting and conferring
in good faith;
2.5.5 to lease any property;
2.5.6 to sue and be sued in its own name;
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2.5.7 to incur debts, liabilities, and obligations, including but not limited to loans
from private lending sources pursuant to its temporary borrowing powers
such as Government Code Sections 53850 et seq. and authority under the
Act; am
2.5.8 to form subsidiary or independent corporations or entities if necessary, to
carry out energy supply and energy conservation programs at the lowest `'""
possible cost or to take advantage of legislative or regulatory changes;
2.5.9 to issue revenue bonds and other forms of indebtedness;
2.5.10 to apply for, accept, and receive all licenses, permits, grants, loans or other
aids from any federal, state, or local public agency;
2.5.11 to submit documentation and notices, register, and comply with orders,
tariffs and agreements for the establishment and implementation of the
CCA Program and other energy programs;
2.5.12 to adopt Operating Rules and Regulations;
2.5.13 to make and enter into service agreements relating to the provision of
services necessary to plan, implement, operate and administer the CCA
Program and other energy programs, including the acquisition of electric
power supply and the provision of retail and regulatory support services;
and
2.5.14 to permit additional Parties to enter into this Agreement after the Effective .....
Date and to permit another entity authorized to be a community choice
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Exhibit A - Page 4 of 24
ORDINANCE NO. 1327
aggregator to designate DCE to act as the community choice energy
aggregator on its behalf.
2.6 Limitation on Powers. As required by Government Code Section 6509, the power
of DCE is subject to the restrictions upon the manner of exercising power
possessed by the City of (insert name of one participating city).
ARTICLE 3: GOVERNANCE AND INTERNAL ORGANIZATION
3.1 Governing Body. DCE shall be governed by a legislative body known as the Board
of Directors ("Board"). The initial Board shall consist of one (1) director appointed
by each of the initial members. Each Director shall serve at the pleasure of the
governing board of the Party appointing such Director, and may be removed as
Director by such governing board at any time. If at any time a vacancy occurs on
the Board, a replacement shall be appointed to fill the position of the previous
Director within 60 days of the date that such position becomes vacant. Directors
shall be elected officials or senior staff of the appointing Party that is the signatory
to this Agreement. Each Party may appoint an alternate to serve in the absence
of its Director. Alternates may be either elected officials or senior staff of the
appointing Party that is the signatory to this Agreement. The Board shall exercise
all powers and conduct all business of DCE, either directly or by delegation to other
bodies or persons pursuant to this Agreement.
If additional cities or counties join DCE, as set forth in section 2.4, each city or
county that becomes a member of DCE shall be entitled to one (1) director and
one (1) alternate appointed as set forth above.
Ex Officio Directors. The Board may appoint ex officio members of the Board. Ex
off icio directors shall receive all meeting notices, shall have the right to participate
in Board discussions and the right to place items on the agenda but shall not be
counted towards a quorum and shall have no vote.
3.2 Regular Board Meetings. The Board shall hold at least one regular annual meeting
and shall provide for such other regular meetings as it deems necessary. Meetings
of the Board shall be held at such locations within one of the member jurisdictions,
and at such times as may be designated from time to time by the Board. Directors
may participate in meetings telephonically, with full voting rights, only to the extent
permitted by law. All meetings shall be conducted in accordance with the
provisions of the Ralph M. Brown Act (California Government Code Sections
54950 et seq.).
3.3 Special Meetings of the Board. Subject to all noticing requirements of the Ralph
M. Brown Act, special meetings of the Board may be called in accordance with the
provisions of California Government Code Sections 54956 and 54956.5, to be held
at such times and places within one of the member jurisdictions as may be ordered
by the Chair. A majority of the Board may also call a special meeting for any
purpose.
3.4 Chair and Vice -Chair. The Directors shall select, from among themselves, a Chair,
who shall be the presiding officer of all Board meetings, and a Vice Chair, who
shall serve in the absence of the Chair. The Chair and Vice Chair shall serve at
Exhibit A - Page 5 of 24
ORDINANCE NO. 1327
the pleasure of the Board. There shall be no limit on the number of terms held by
ameither the Chair or Vice Chair.
3.5 Conduct of Meetings. The Chair or, in the absence of the Chair, the Vice -Chair, 400
shall preside at all meetings of the Board.
3.6 Resignation of a Director. Any Director may resign effective on giving written
notice to the Board and the other Members, unless the notice specifies a later time
for the effectiveness of such resignation. A successor shall be appointed by the
affected Member as provided for in this Agreement.
3.7 Quorum. Except as otherwise provided in this Agreement, every act or decision
by the Board shall be made by a majority vote of the Directors present at a meeting
duly held at which a quorum is present. No action may be taken by the Directors
if a quorum of the Board is not present. In the absence of a quorum, any meeting
of the Board may be adjourned from time to time by a vote of the majority present,
but no other business may be transacted except as provided for in this Section.
A quorum shall exist if a majority of the Directors then designated by and serving
on behalf of the Members are present at any duly called meeting of the Board. Ex
officio, non -voting directors shall not be included when calculating the number of
Directors necessary to constitute a quorum or the number of votes necessary to
approve an action. In the event that a Member has failed to designate a Director,
or a Member's designated Director has died, resigned, left office, been terminated
or is otherwise unwilling or unable to act as the designating Member's
representative, and a replacement Director has not yet been designated, and there
is no designated alternate, such that a Member has no duly acting representative
on the Board, then that Member's vacant Board position shall not be included when
calculating the number of Directors necessary to constitute a quorum or the
number of votes necessary to approve an action.
3.8 Other Officers. The Executive Officer of DCE shall be the secretary of DCE, or as
otherwise determined by the Board. Any officer, employee or agent of any Member
of DCE may also be an officer, employee, or agent of any of the Members. DCE
shall have the power to appoint such additional officers and to employ such
employees and assistants as may be appropriate. Each and all of said officers,
employees and assistants shall serve at the pleasure of DCE and shall perform
such duties and shall have such powers as DCE may, from time to time, determine.
Any officer may resign at any time by giving written notice to the secretary. Any
such resignation shall be effective upon receipt of such notice or at any later time
specified in the notice. Officers shall assume the duties of their offices immediately
after their appointment and shall hold office until their successors are appointed,
except in the case of their removal or resignation. Vacancies of officers shall be
filled by appointment of the Board and such appointee shall hold office until the
appointment of his or her successor.
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3.9 Minutes. The secretary of DCE shall cause to be kept minutes of regular,
adjourned regular and special meetings of the Board. The secretary shall cause
a copy of all minutes, along with copies of all ordinances and resolutions, to be --�
forwarded to each of the Parties hereto.
Exhibit A - Page 6 of 24
ORDINANCE NO. 1327
3.10 Rules. A majority of Directors may adopt rules governing meetings if not
inconsistent or in conflict with this Agreement. In the absence of rules adopted by
the Directors, Roberts' Rules of Order, as they may be amended from time to time,
shall govern the meetings of the Board in so far as they are not inconsistent or in
conflict with this Agreement or any DCE bylaws.
3.11 Powers and Functions of the Board. The Board shall exercise general governance
and oversight over the business and activities of DCE, consistent with this
Agreement and applicable law. The Board shall provide general policy guidance
to the CCA Program. Board approval shall be required for any of the following
actions:
3.11.1 The issuance of bonds or any other financing even if program revenues
are expected to pay for such financing.
3.11.2 The appointment or termination of the Executive Officer and General
Counsel.
3.11.3 The appointment or removal of officers described in Section 3.17,
subject to Section 3.17.1.
3.11.4 Any decision to provide retirement or post -retirement benefits that are
defined benefit programs, subject to the requirements of section
5.3.4, below.
3.11.5 The adoption of the Annual Budget.
3.11.6 The adoption of an ordinance.
3.11.7 The approval of agreements, except as provided by Section 3.12.
3.11.8 The initiation or resolution of claims and litigation where DCE will be
the defendant, plaintiff, petitioner, respondent, cross complainant or
cross petitioner, or intervenor; provided, however, that the Executive
Officer or General Counsel, on behalf of DCE, may intervene in,
become a party to, or file comments with respect to any proceeding
pending at the California Public Utilities Commission, the Federal
Energy Regulatory Commission, or any other administrative agency,
without approval of the Board as long as such action is consistent with
any adopted Board policies.
3.11.9 The setting of rates for power sold by DCE and the setting of charges
for any other category of service provided by DCE.
3.11.10 Termination of the CCA Program.
3.12 CVAG's Participation. CVAG shall provide, under contract with DCE,
administrative services required by DCE during the first five (5) years of the
implementation of the DCE; and thereafter as the administrative services contract
may be renewed from time to time by DCE, and shall exercise such other powers
and duties as the Board deems necessary to achieve the purpose of this
Exhibit A - Page 7 of 24
ORDINANCE NO. 1327
Agreement. During any such term, CVAG's Executive Director may serve as the
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secretary of DCE.
3.13 Executive Officer. Except as may be provided pursuant to any administrative
services agreement referenced in Section 3.12, the Board of Directors shall have
the authority to appoint an Executive Officer for DCE, who shall be responsible for
the day-to-day operation and management of DCE and the CCA Program. The
Executive Officer may be retained under contract with DCE, be an employee of
DCE, be an employee of CVAG, or be an employee of one of the Parties. The
Executive Officer shall report directly to the Board and serve as staff to DCE.
Except as otherwise set forth in this Agreement, the Executive Officer may
exercise all powers of DCE, including the power to hire, discipline and terminate
employees as well as the power to approve any agreement if the total amount
payable under the agreement is less than $100,000 in any fiscal year, or such
higher amount as may be established by the Board from time to time, by resolution
of the Board, except the powers specifically set forth in Section 3.11 or those
powers which by law must be exercised by the Board of Directors. The Executive
Officer shall serve at the pleasure of the Board.
3.14 DCE Staff. Except as may be provided pursuant to any administrative services
agreement referenced in Section 3.12, DCE may contract with CVAG for staff
services, retain its own staff, or contract with another entity for services. Unless
other employment is approved by the Commission, the DCE Executive Officer may
utilize CVAG staff as may be necessary to accomplish the purposes of DCE.
CVAG staff time, as well as office expenses, direct and indirect overhead, shall be .m
charged to DCE utilizing direct billing and other accounting practices that provide
for a clear separation of funds. WO
3.15 Commissions, Boards, and Committees
3.15.1 The Board may establish commissions, boards or committees, including
but not limited to a standing executive committee of the Board, as the
Board deems appropriate, to assist the Board in carrying out its authority
and functions under this Agreement and may delegate authority to such
commissions, boards or committees as set forth in a Board resolution.
Such delegation may be modified, amended or revoked at any time the
Board may deem appropriate. Any decision delegated pursuant to this
subsection may be appealed to the Board, as the Board so determines.
3.15.2 The Board may also establish any advisory commissions, boards, and
committees as the Board deems appropriate to assist the Board in carrying
out its functions and implementing the CCA Program, other energy
programs and the provisions of this Agreement.
3.15.3 Any board, commission or committee formed under this section shall
comply with the requirements of the Ralph M. Brown Act. The Board may
establish rules, regulations, policies, bylaws or procedures to govern any
such commissions, boards, or committees, and shall determine whether
members shall be compensated or entitled to reimbursement for expenses.
Exhibit A - Page 8 of 24
ORDINANCE NO. 1327
3.16 Director Compensation. Directors shall serve without compensation from DCE.
However, Directors may be compensated by their respective appointing
authorities. The Board, however, may adopt by resolution a policy relating to the
reimbursement by DCE of expenses or other costs incurred by Directors.
3.17 Voting. As described in Section 3.7 and in Section 3.17.3, action by DCE Board
will be taken solely by a majority vote of the total number of Directors present
except as provided in Section 3.17.5 below. In addition, as described in Section
3.17.4, upon request of two (2) Directors, a weighted vote by shares will also be
conducted. When such a request is made, an action must be approved by both a
majority vote of Directors present and a majority of the Weighted Voting Shares
present. No action may be approved solely by a majority vote by shares. The
voting shares of Directors and approval requirements for actions of the Board shall
be as follows:
3.17.1 Weighted Votinq Shares
Each member agency shall have a Voting Share as determined by the
following formulas:
(a) Pro Rata Voting Share. Each Member shall have an equal voting
share determined by the following formula: ( [1 / total number of
Members] multiplied by '/2 ), expressed as a percentage to two
decimal places; and
(b) Annual Energy Voting Share. Each Member shall have an
additional voting share determined by the following formula:
([Total Annual Energy Use (expressed in MWh) in the Member's
jurisdiction / combined Total Annual Energy Use in all Members'
jurisdictions] multiplied by '/z), expressed as a percentage to two
decimal places. Annual Energy Use values are to be based on total
CCA-related retail energy sales of all electric customer accounts as
of December 31 of the most recent year for which such data is
available. In the absence of actual data, the Board may approve
the use of reasonably estimated Annual Energy Use values.
(c) Weighted Voting Share. Each Member's Weighted Voting Share
shall be the respective sum of the values computed in (a) and (b)
above, expressed as a percentage to two decimal places. The
combined total Weighted Voting Shares of all Members is 100.00
percent.
3.17.2 Exhibit Showinq Weighted Voting Shares. The initial Weighted Voting
Shares are set forth in Exhibit D based on data available as of the Effective
Date of this Agreement. Exhibit D shall be revised no less than annually
as necessary to account for changes in the number of Members and or
changes in the Members' annual MWh retail energy usage. Adjustments
to Exhibit D shall be approved by the Board.
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ORDINANCE NO. 1327
3.17.3 Action Approval Requirements. Except as provided in Sections 3.17 and
3.17.4 and 3.17.5, the Board shall act solely upon the affirmative vote of a
majority of Directors present at the meeting.
3.17.4 Option for Approval by Voting Shares. Notwithstanding Section 3.17.3, any
two (2) Directors present at a meeting may demand that approval of any
matter related to the CCA Program be determined on the basis of both
Weighted Voting Shares and by the affirmative vote of a majority of
Directors present at the meeting. If two Directors make such a demand
with respect to approval of any such matter, then approval of such matter
shall require the affirmative vote of a majority of Directors present at the
meeting and the affirmative vote of Directors having a majority of Weighted
Voting Shares present, as determined by Section 3.17.1 except as
provided in Section 3.17.5.
3.17.5 Special Voting Requirements for Certain Matters.
(a) Two -Thirds and Weighted Voting Approval Requirements Relating
to Sections 6.2 and 7.54. Notwithstanding any other provision of
this Agreement, action of the Board on the matters set forth in
Section 6.2 (involuntary termination of a Member), or Section 7.54
(amendment of this Agreement) shall require the affirmative vote of
at least two-thirds of Directors present; provided, however, that: (i)
notwithstanding the foregoing, any two (2) Directors present at a
meeting may demand that the vote be determined on the basis of
both Weighted Voting Shares and by the affirmative vote of
Directors present, and if any two (2) Directors make such a
demand, then approval shall require the affirmative vote of both at
least two-thirds of Directors present and the affirmative vote of
Directors having at least two-thirds of the Weighted Voting Shares
present, as determined by Section 3.17.1; and (ii) for votes to
involuntarily terminate a Member under Section 6.2, the Director for
the Member subject to involuntary termination may not vote, and
the number of Directors constituting two-thirds of all Directors, and
the Weighted Voting Share of each Member shall be recalculated
as if the Member subject to possible termination were not a
Member.
(b) Seventy -Five Percent Special Voting Requirements for Eminent
Domain and Contributions or Pledge of Assets.
(i) A decision to exercise the power of eminent domain on
behalf of DCE to acquire any property interest other than an
easement, right-of-way, or temporary construction
easement shall require a vote of at least 75% of all
Directors.
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(ii) The imposition on any Member of any obligation to make
contributions or pledge assets as a condition of continued
participation in the CCA Program shall require a vote of at O.-M
least 75% of all Directors and the approval of the governing
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Exhibit A - Page 10 of 24
ORDINANCE NO. 1327
boards of the Members which are being asked to make such
contribution or pledge.
(iii) Notwithstanding the foregoing, any two (2) Directors present
at the meeting may demand that a vote under subsections
(i) or (ii) be determined on the basis of Weighted Voting
Shares and by the affirmative vote of Directors, and if any
two (2) Directors make such a demand, then approval shall
require both the affirmative vote of at least 75% of all
Directors and the affirmative vote of Directors having at least
75% of all Weighted Voting Shares, as determined by
Section 3.17.1. For purposes of this section, "imposition on
any Member of any obligation to make contributions or
pledge assets as a condition of continued participation in the
CCA Program" does not include any obligations of
a withdrawing or terminated Member imposed under
Section 6.3.
3.18 Treasurer and Auditor. The Treasurer shall function as the combined offices of
Treasurer and Auditor pursuant to Government code section 6505.6 and shall
strictly comply with the statutes related to the duties and responsibilities specified
in Section 65.5 of the Act. The Treasurer for DCE shall be the depository and have
custody of all money of DCE from whatever source and shall draw all warrants and
pay demands against DCE as approved by the Board. The Treasurer shall cause
an independent audit(s) of the finances of DCE to be made by a certified public
accountant, or public accountant, in compliance with Section 6505 of the Act. The
Treasurer shall report directly to the Board and shall comply with the requirements
of treasurers of incorporated municipalities. The Board may transfer the
responsibilities of Treasurer to any person or entity as the law may provide at the
time. The duties and obligations of the Treasurer are further specified in Article 5.
The Treasurer shall serve at the pleasure of the Board.
3.19 Administrative Services Provider. The Board may appoint one or more
administrative services providers to serve as DCE's agent for planning,
implementing, operating and administering the CCA Program, and any other
program approved by the Board. The appointed administrative services provider
may be one of the Members, or CVAG as provided in Section 3.12. A separate
services agreement shall set forth the terms and conditions by which the appointed
administrative services provider(s) shall perform or cause to be performed tasks
necessary for planning, implementing, operating and administering the CCA
Program and other approved programs. Any such services agreement shall set
forth the terms and the circumstances under which the services agreement may
be terminated by DCE. This section shall not in any way be construed to limit the
discretion of DCE to hire its own employees to administer all or any portion of the
CCA Program or any other program.
ARTICLE 4: IMPLEMENTATION ACTION AND AUTHORITY DOCUMENTS
4.1 Preliminary Implementation of the CCA Program.
Exhibit A - Page 11 of 24
ORDINANCE NO. 1327
4.1.1 Enabling Ordinance. To be eligible to participate in the CCA Program, each
Party must adopt an ordinance in accordance with Public Utilities Code
Section 366.2(c)(12) for the purpose of specifying that the Party intends to
implement a CCA Program by and through its participation in DCE.
4.1.2 Implementation Plan. DCE shall cause to be prepared an Implementation
Plan meeting the requirements of Public Utilities Code Section 366.2 and
any applicable Public Utilities Commission regulations as soon after the
Effective Date as reasonably practicable. The Implementation Plan shall
not be filed with the Public Utilities Commission until it is approved by the
Board in the manner provided by Section 3.17.
4.1.3 Termination of CCA Program. Nothing contained in this Article or this
Agreement shall be construed to limit the discretion of DCE to terminate
the implementation or operation of the CCA Program at any time in
accordance with any applicable requirements of state law.
4.2 Authority Documents. The Parties acknowledge and agree that the affairs of DCE
will be implemented through various documents duly adopted by the Board through
Board resolution. The Parties agree to abide by and comply with the terms and
conditions of all such documents that may be adopted by the Board, subject to the
Parties' right to withdraw from DCE as described in Article 6.
ARTICLE 5: FINANCIAL PROVISIONS
5.1 Fiscal Year. DCE's fiscal year shall be 12 months commencing July 1 and ending
June 30. The fiscal year may be changed by Board resolution.
5.2 Depository.
5.2.1 All funds of DCE shall be held in separate accounts in the name of DCE
and not commingled with funds of any Party or any other person or entity.
5.2.2 All funds of DCE shall be strictly and separately accounted for, and regular
reports shall be rendered of all receipts and disbursements, at least
quarterly during the fiscal year. The books and records of DCE shall be
open to inspection by the Parties at all reasonable times. The Board shall
contract with a certified public accountant or public accountant to make an
annual audit of the accounts and records of DCE, which shall be conducted
in accordance with the requirements of Section 6505 of the Act.
5.2.3 All expenditures shall be made in accordance with the approved budget
and upon the approval of any officer so authorized by the Board in
accordance with its Operating Rules and Regulations. The Treasurer shall
draw checks or warrants or make payments by other means for claims or
disbursements not within an applicable budget only upon the prior approval
of the Board.
5.3 Budget and Recovery of Costs.
...0
Exhibit A - Page 12 of 24
ORDINANCE NO. 1327
5.3.1 Budget. The initial budget shall be approved by the Board. The Board may
revise the budget from time to time as may be reasonably necessary to
address contingencies and unexpected expenses. All subsequent budgets
of DCE shall be approved by the Board in accordance with the Operating
Rules and Regulations.
5.3.2 Funding of Initial Costs. The Parties acknowledge that implementing the
CCA Program will require some form of funding either provided by all or
some of the Parties or attained in some other manner. If the CCA Program
becomes operational, these Initial Costs paid by such Parties or attained
from other sources shall be included in the customer charges for electric
services as provided by Section 5.3.3 to the extent permitted by law, and
respective Parties or other sources shall be reimbursed from the payment
of such charges by customers of DCE. CVAG shall also be entitled to
reimbursement for Initial Costs. DCE may establish a reasonable time
period over which such costs are recovered and repaid to respective
Parties or other sources. In the event that the CCA Program does not
become operational, respective Parties shall not be entitled to any
reimbursement of the funded Initial Costs from DCE or any Party. If any of
the initial member agencies or other sources assists in funding initial costs,
they shall also be entitled to reimbursement pursuant to this section. The
Board shall approve the manner of funding and repayment of initial CCA
program costs which may include reasonable interest charges.
5.3.3 CCA Program Costs. The Parties desire that all costs incurred by DCE that
are directly or indirectly attributable to the provision of electric,
conservation, efficiency, incentives, financing, or other services provided
under the CCA Program, including but not limited to the establishment and
maintenance of various reserves and performance funds and
administrative, accounting, legal, consulting, and other similar costs, shall
be recovered through charges to CCA customers receiving such electric
services, or from revenues from grants or other third -party sources, to the
extent permitted by law.
5.3.4 Employee Retirement and Post -retirement Benefits. Should the Board
determine to provide a defined benefits retirement benefit to DCE
employees (such as PERS) or other post -retirement benefits that would be
within an Other Post -Retirement Benefits (OPEB) obligation to DCE
employees, prior to providing such benefit(s) to any employee, the Board
shall (1) obtain a third party independent actuarial report on the long term
costs of the benefit or benefits, (2) adopt a funding plan for the payment of
both current and long-term costs that provides for the payment of all such
costs on a current, pay-as-you-go, basis and eliminates any known or
reasonably anticipated unfunded liability associated with the benefit(s) and
(3) notice all Member agencies of the pending consideration of the
benefit(s) together with the actuarial report and funding plan, for at least
sixty (60) days and obtain the consent, by resolution of not less than 75
percent of the then current Member agency boards or councils
ARTICLE 6: WITHDRAWAL AND TERMINATION
Exhibit A - Page 13 of 24
ORDINANCE NO. 1327
6.1 Withdrawal.
6.1.1 Right to Withdraw. A Party may withdraw its participation in the CCA
Program, effective as of the beginning of DCE's next fiscal year, by giving
no less than 6 months advance written notice of its election to do so, which
notice shall be given to DCE and each Party. Withdrawal of a Party shall
require an affirmative vote of the Party's governing board.
6.1.2 Right to Withdraw After Amendment. Notwithstanding Section 6.1.1, a
Party may withdraw its membership in DCE following an amendment to this
Agreement adopted by the Board which the Party's Director voted against,
provided such notice is given in writing within thirty (30) days following the
date of the vote. Withdrawal of a Party shall require an affirmative vote of
the Party's governing board and shall not be subject to the six month
advance notice provided in Section 6.1.1. In the event of such withdrawal,
the Party shall be subject to the provisions of Section 6.3.
6.1.3 The Right to Withdraw Prior to Program Launch. After receiving bids from
power suppliers, DCE shall provide to the Parties the report from the
electrical utility consultant(s) retained by DCE that compares the total
estimated electrical rates that DCE will be charging to customers as well
as the estimated greenhouse gas emissions rate and the amount of
estimated renewable energy used with that of the incumbent utility (SCE),
providing such information as is available to assist with forecasting of
conditions over the next three years. if the FepeFt PFGVides that DGE is
GUIStemeFs that aFe equal tG OF leweF than the *RGUFnbeF;t Utility OF t9 PFGVide
A Party may
immediately withdraw its membership in DCE without any further financial
obligation, as long as the Party provides written notice of its intent to
withdraw to DCE Board no more than thirty (30) days after
receiving the report. A Party may also withdraw its membership in DCE
prior to December 31, 2017 for any reason. Any withdrawing Party shall not
be entitled to any return of funds it may have provided to DCE, provided,
however, that if, after the program is launched there are unobligated and
unused funds, the withdrawing member shall be refunded its pro rata share
of the unobligated and unused funds.
6.1.4 Continuing Financial Obligation; Further Assurances. Except as provided
by Section 6.1.3, a Party that withdraws its participation in the CCA
Program may be subject to certain continuing financial obligations, as
described in Section 6.3. Each withdrawing Party and DCE shall execute
and deliver all further instruments and documents, and take any further
action that may be reasonably necessary, as determined by the Board, to
effectuate the orderly withdrawal of such Party from participation in the
CCA Program.
6.2 Involuntary Termination of a Party. Participation of a Party in the CCA program
may be terminated for material non-compliance with provisions of this Agreement
or any other agreement relating to the Party's participation in the CCA Program
wwo
Exhibit A - Page 14 of 24
ORDINANCE NO. 1327
upon a vote of Board members as provided in Section 3.17.5. Prior to any vote to
terminate participation with respect to a Party, written notice of the proposed
termination and the reason(s) for such termination shall be delivered to the Party
whose termination is proposed at least thirty (30) days prior to the regular Board
meeting at which such matter shall first be discussed as an agenda item. The
written notice of proposed termination shall specify the particular provisions of this
Agreement or other agreement that the Party has allegedly violated. The Party
subject to possible termination shall have the opportunity at the next regular Board
meeting to respond to any reasons and allegations that may be cited as a basis
for termination prior to a vote regarding termination. A Party that has had its
participation in the CCA Program terminated may be subject to certain continuing
liabilities, as described in Section 6.3.
6.3 Continuing Financial Obligations; Refund. Except as provided by Section 6.1.3,
upon a withdrawal or involuntary termination of a Party, the Party shall remain
responsible for any claims, demands, damages, or other financial obligations
arising from such Party's membership or participation in the CCA Program through
the effective date of its withdrawal or involuntary termination, it being agreed that
the Party shall not be responsible for any new financial obligations arising after the
date of the Party's withdrawal or involuntary termination. Claims, demands,
damages, or other financial obligations for which a withdrawing or terminated Party
may remain liable include, but are not limited to, losses from the resale of power
contracted for by DCE to serve the Party's load and any unfunded liabilities such
as unfunded retirement contributions or costs and any unfunded post -retirement
benefits. With respect to such financial obligations, upon notice by a Party that it
wishes to withdraw from the CCA Program, DCE shall notify the Party of the
minimum waiting period under which the Party would have no costs for withdrawal
if the Party agrees to stay in the CCA Program for such period. The waiting period
will be set to the minimum duration such that there are no costs transferred to
remaining ratepayers. If the Party elects to withdraw before the end of the
minimum waiting period, the charge for exiting shall be set at a dollar amount that
would offset actual costs to the remaining ratepayers, and may not include punitive
charges that exceed actual costs. In addition, such Party shall also be responsible
for any costs or obligations associated with the Party's participation in any program
in accordance with the provisions of any agreements relating to such program
provided such costs or obligations were incurred prior to the withdrawal of the
Party. DCE may withhold funds otherwise owing to the Party or may require the
Party to deposit sufficient funds with DCE, as reasonably determined by DCE and
approved by a vote of the Board, to cover the Party's financial obligations for the
costs described above. Any amount of the Party's funds held on deposit with DCE
above that which is required to pay any existing or ongoing financial obligations
shall be returned to the Party. If there is a disagreement related to the charge(s)
for exiting, the Parties shall attempt to settle the amount through mediation or other
dispute resolution process as authorized by section 7.1. If the dispute is not
resolved, the Parties may agree to proceed to arbitration, or any party may seek
judicial review. The liability of any Party under this section 6.3 is subject and
subordinate to the provisions of Section 2.2, and nothing in this section 6.3 shall
reduce, impair, or eliminate any immunity from liability provided by Section 2.2.
6.4 Mutual Termination. This Agreement may be terminated by mutual agreement of
all the Parties; provided, however, the foregoing shall not be construed as limiting
Exhibit A - Page 15 of 24
ORDINANCE NO. 1327
the rights of a Party to withdraw its participation in the CCA Program, as described ,�
in Section 6.1.
6.5 Disposition of Property upon Termination of Authority. Upon termination of this
Agreement, any surplus money or assets in possession of DCE for use under this
Agreement, after payment of all liabilities, costs, expenses, and charges incurred
under this Agreement and under any program documents, shall be returned to the
then -existing Parties in proportion to the contributions made by each.
ARTICLE 7: MISCELLANEOUS PROVISIONS
7.1 Dispute Resolution. The Parties and DCE shall make reasonable efforts to
informally settle all disputes arising out of or in connection with this Agreement.
Should such informal efforts to settle a dispute, after reasonable efforts, fail, the
dispute shall be mediated in accordance with policies and procedures established
by the Board.
7.2 Liability of Directors, Officers, and Employees. The Directors, officers, and
employees of DCE shall use ordinary care and reasonable diligence in the exercise
of their powers and in the performance of their duties pursuant to this Agreement.
No current or former Director, officer, or employee will be responsible for any act
or omission by another Director, officer, or employee. DCE shall defend, indemnify
and hold harmless the individual current and former Directors, officers, and
employees for any acts or omissions in the scope of their employment or duties in
the manner provided by Government Code Sections 995 et seq. Nothing in this ..�
section shall be construed to limit the defenses available under the law, to the
Parties, DCE, or its Directors, officers, or employees two
7.3 Indemnification of Parties. DCE shall acquire such insurance coverage as is
necessary to protect the interests of DCE, the Parties, and the public. Subject to
the provisions of Section 7A and provided that a Party has acted in good faith and
in accordance with this Agreement, DCE shall defend with counsel acceptable to
said Party, indemnify and hold such Party free and harmless from any loss, liability
or damage incurred or suffered by such Party by reason of litigation arising from
or as a result of any of the following: the Party's participation in the JPA; action
taken to approve and/or implement the CCA; or any other act performed or to be
performed by the Party pursuant to this Agreement; provided, however that such
indemnification or agreement to hold harmless pursuant to this section shall be
recoverable only out of DCE assets and not from other Parties. To the extent
DCE's assets are insufficient to satisfy its obligations under this Section, any
member Agency forced to expend its own funds to satisfy what would otherwise
be DCE's obligations shall be entitled to reimbursement from DCE.
7.4 Limitations on Liability. The Parties acknowledge that Section 895.2 of the
California Government Code provides that a Member is jointly and severally liable
for the torts of the joint powers agency, but that Sections 895.4 and 895.6 of that
Code allow the members of a joint powers agency to contractually agree to
indemnity and contribution provisions that allow such liability to be apportioned
among the members based on their respective degree of fault giving rise to the
liability. The Parties further acknowledge that they have agreed at Section 7.3
above to indemnify and defend those Member agencies against loss, liability or N
Exhibit A - Page 16 of 24
ORDINANCE NO. 1327
damage suffered by a Member Agency individually as a result of that Agency's
good faith acts taken pursuant to this Agreement. Now, therefore, in contemplation
of such authority, the Parties agree that, as among themselves, each shall assume
that portion of the liability imposed upon DCE or any of its Members, officers,
agents or employees by law for injury caused by any negligent or wrongful act or
omission occurring during the performance of this Agreement that is not covered
by insurance, that is determined by the DCE to be that Member's proportionate
share accruing during the Member's period of participation in DCE. Said
determination shall be by three -fourths vote of the Member Agencies, meaning an
affirmative vote of three -fourths of the total number of Member Agencies. The
Members acknowledge that, given the possible variables, determination of a
proper apportionment may be difficult. Therefore, subject only to arbitration rights
set out at Section 6.3, the Members agree that the Board's good faith
determination of a fair apportionment shall be final, binding and enforceable as a
term of this Agreement. Each Member shall to the extent provided herein indemnify
and hold harmless the other Members for any loss, costs or expenses that may be
imposed on such other Members solely by virtue of Section 895.2.
7.5 Amendment of this Agreement. This Agreement may not be amended except by
a written amendment approved by a vote of Board members as provided in Section
3.17.5. DCE shall provide written notice to all Parties of amendments to this
Agreement, including the effective date of such amendments, at least 30 days prior
to the date upon which the Board votes on such amendments. Exhibits A through
E of this Agreement may be revised from time to time by Board vote and copies of
such revised exhibits shall be distributed to all Parties.
7.6 Assignment. Except as otherwise expressly provided in this Agreement, the rights
and duties of the Parties may not be assigned or delegated without the advance
written consent of all of the other Parties, and any attempt to assign or delegate
such rights or duties in contravention of this Section 7.65 shall be null and void.
This Agreement shall inure to the benefit of, and be binding upon, the successors
and assigns of the Parties. This Section 7.65 does not prohibit a Party from
entering into an independent agreement with another agency, person, or entity
regarding the financing of that Party's contributions to DCE, or the disposition of
proceeds which that Party receives under this Agreement, so long as such
independent agreement does not affect, or purport to affect, the rights and duties
of DCE or the Parties under this Agreement.
7.7 Severability. If one or more clauses, sentences, paragraphs or provisions of this
Agreement shall be held to be unlawful, invalid or unenforceable, it is hereby
agreed by the Parties, that the remainder of the Agreement shall not be affected
thereby. Such clauses, sentences, paragraphs or provision shall be deemed
reformed so as to be lawful, valid and enforced to the maximum extent possible.
7.8 Further Assurances. Each Party agrees to execute and deliver all further
instruments and documents, and take any further action that may be reasonably
necessary, to effectuate the purposes and intent of this Agreement.
7.9 Execution by Counterparts. This Agreement may be executed in any number of
counterparts, and upon execution by all Parties, each executed counterpart shall
have the same force and effect as an original instrument and as if all Parties had
Exhibit A - Page 17 of 24
ORDINANCE NO. 1327
signed the same instrument. Any signature page of this Agreement may be w
detached from any counterpart of this Agreement without impairing the legal effect
of any signatures thereon, and may be attached to another counterpart of this
Agreement identical in form hereto but having attached to it one or more signature
pages.
7.10 Parties to be Served Notice. Any notice authorized or required to be given
pursuant to this Agreement shall be validly given if served in writing either
personally, by deposit in the United States mail, first class postage prepaid with
return receipt requested, or by a recognized courier service. Notices given (a)
personally or by courier service shall be conclusively deemed received at the time
of delivery and receipt and (b) by mail shall be conclusively deemed given 48 hours
after the deposit thereof (excluding Saturdays, Sundays and holidays) if the sender
receives the return receipt. All notices shall be addressed to the office of the clerk
or secretary of DCE or Party, as the case may be, or such other person designated
in writing by DCE or Party. Notices given to one Party shall be copied to all other
Parties. Notices given to DCE shall be copied to all Parties.
7.11 No Third Party Beneficiaries. This Agreement shall reflect the Parties' rights and
obligations as by and among themselves. Nothing herein shall create any right in
any third party to enforce any right or obligation set out in this Agreement as
against any Party hereto.
am
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Exhibit A - Page 18 of 24
ORDINANCE NO. 1327
Exhibit A
Definitions
1. "Act" means the Joint Exercise of Powers Act of the State of California (Government Code
Section 6500 et seg.)
2. "Administrative Services Agreement" means an agreement or agreements entered into
after the Effective Date by DCE with one or more entity that will perform tasks necessary
for planning, implementing, operating and/or administering the CCA Program, or any
portion of the CCA Program or any other energy programs adopted by DCE.
3. "Agreement" means this Joint Powers Agreement.
4. "Annual Energy Use" has the meaning given in Section 3.17.1(b).
5. "Authority" means the DCE.
6. "Authority Document(s)" means document(s) duly adopted by the Board by resolution or
motion implementing the powers, functions, and activities of DCE, including but not limited
to the Operating Rules and Regulations, the annual budget, and plans and policies.
7. "Board" means the Board of Directors of DCE.
8. "CCA" or "Community Choice Aggregation" means an electric service option available to
cities and counties pursuant to Public Utilities Code Section 366.2.
9. "CCA Program" means DCE's program relating to CCA that is principally described in
Article 2 of this Agreement.
10. TVAG" shall mean the Coachella Valley Association of Governments.
11. "Director" means a member of the Board of Directors appointed by and representing a
Party.
12. "Effective Date" means 2017 or when initial members of DCE
execute this Agreement, whichever occurs later, as further described in Section 2.1.
13. "Implementation Plan" means the plan generally described in Section 4.1.2 of this
Agreement that is required under Public Utilities Code Section 366.2 to be filed with the
California Public Utilities Commission for the purpose of describing a proposed CCA
Program.
14. "Initial Costs" means all costs incurred by the DCE and or any Parties relating to the
establishment and initial operation of DCE, such as the hiring of an Executive Officer and
any administrative staff, and any required accounting, administrative, technical, or legal
services in support of DCE's initial activities or in support of the negotiation, preparation,
and approval of one or more Administrative Services Agreements.
15. "Operating Rules and Regulations" means one or more sets of rules, regulations, policies,
bylaws and procedures governing the operation of DCE.
Exhibit A - Page 19 of 24
ORDINANCE NO. 1327
16. "Parties" or "Members" means, collectively, the signatories to this Agreement. ,.-"
17. "Party", "Member" or "Member Agency" means a signatory to this Agreement.
18. "Total Annual Energy Use" has the meaning given in Section 3.17.1(b).
an
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Exhibit A - Page 20 of 24
ORDINANCE NO. 1327
Exhibit B
List of Parties
Parties: City of Blythe — not in first phase
City of Cathedral City
City of Desert Hot Springs — not in first phase
City of Indian Wells — not in first phase
City of Palm Desert
City of Palm Springs
Exhibit A - Page 21 of 24
ORDINANCE NO. 1327
Exhibit C
PROFORMA
Annual Energy Use
city
Electric
Customers
Average Load
GWh
Revenues
Million $/ r
Cathedral City
24,137
329
30
Palm Desert
39,459
699
58
Palm Springs
37,826
640
56
Total
101,4221
1,668
$ 144
F otal does not include opt out rate, estimated at 10%
Exhibit A - Page 22 of 24
ORDINANCE NO. 1327
Exhibit D
PROFORMA
VOTING SHARES
CVCEA CCA Program Participation and Weighted Voting Shares
Active Participants
Annual
Use
(MWh)
Percent
Annual MWh
MWh
Voting
Share
Pro Rata
Vote
Share
Wtd Voting
Share
Cathedral City
329,000
19.72%
9.86%
16.67%
26.53%
Palm Desert
699,000
41.91 %
20.95%
16.67%
37.62%
Palm Springs
640,000
38.37%
19.18%
16.67%
35.85%
TOTALS
1 1,668,000
100.00%
50.00%
1 50.00%
100.00%
Formulas used:
1. ANNUAL ENERGY USE VOTING SHARE: TOTAL ANNUAL ENERGY USE (EXPRESSED IN
MWH) IN THE MEMBER'S JURISDICTION / COMBINED TOTAL ANNUAL ENERGY USE ALL
MEMBERS' JURISDICTIONS] MULTIPLIED BY%), EXPRESSED AS A PERCENTAGE TO TWO
DECIMAL PLACES. SEE SECTION 3.17.1 (B)
2. PRO-RATA VOTING SHARE: [1 / TOTAL NUMBER OF MEMBERS] MULTIPLIED BY'/z),
EXPRESSED AS A PERCENTAGE TO TWO DECIMAL PLACES. SEE SECTION 3.17.1 (A)
3. WEIGHTED VOTING SHARE: [THE RESPECTIVE SUM OF THE VALUES COMPUTED IN (1) AND
(2) ABOVE, EXPRESSED AS A PERCENTAGE TO TWO DECIMAL PLACES. SEE SECTION 3.17.1
(C)
Exhibit A - Page 23 of 24
ORDINANCE NO. 1327
Exhibit E
Signatures
IN WITNESS WHEREOF, the Parties hereto have executed this Joint Powers
Agreement establishing the Desert Community Energy, Community Choice Aggregation
program.
By:
Name:
Title:
Date:
Party:
(One signature page for each Member)
w-W.
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Exhibit A - Page 24 of 24