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RESOLUTION NO. _______________
A RESOLUTION OF THE COUNCIL OF THE CITY OF
BURBANK AUTHORIZING THE PARTICIPATION AND
APPLICATION TO THE CALIFORNIA DEPARTMENT OF
COMMUNITY SERVICES AND DEVELOPMENT ’S 2022
CALIFORNIA ARREARAGE PAYMENT PROGRAM (2022
CAPP); AUTHORIZING THE BURBANK WATER AND
POWER GENERAL MANAGER, AS DESIGNEE OF THE
CITY MANAGER, TO EXECUTE APPLICATIONS FOR AND
UPON RECEIPT OF FUNDS APPLY CREDITS TO
DELINQUENT ELECTRIC ACCOUNTS AND ALL
SUBSEQUENT CAPP PROGRAMS
THE COUNCIL OF THE CITY OF BURBANK FINDS:
1. On March 4, 2020, Governor Newsom proclaimed a state of emergency due to the COVID-19 pandemic, issued Executive Order N -28-20 directing the California Public Utilities Commission to monitor customer service protection measures implemented by utilities, issued Executive Order N-33-20 to require individuals to stay at home except as needed to maintain continuity of critical operations, and issued Executive Order N-60-20 that created a r isk-based approach to reopening the economy, among other executive actions.
2. On April 21, 2020, the Burbank City Council authorized the suspension of water and power disconnections and late fees. This suspension continues to be in effect for residential customers.
3. October 27, 2020, the Burbank City Council authorized electric service disconnections and municipal services late fees to be reinstated for medium, large, and extra-large commercial customers effective December 1, 2020.
4. On August 23, 2022, the Burbank City Council authorized electric service disconnections and municipal services late fees to be reinstated for small commercial customers effective September 1, 2022.
5. The State of California in response to the ongoing economic conditions caused by the COVID-19 pandemic, Item 4700-101-3398 of Section 2.00 of the State Budget Act of 2022, as established by Assembly Bill No. 205 ( Chapter 21, Statutes of 2021) and as amended by Senate Bill No. 129 (Chapter 69, Statutes of 2021), provided $1,197,000,000 to the State Department of Community Services and Development (“CSD”) to administer the 2022 California Arrearage Payment Program ( 2022 CAPP) to reduce delinquent electricity and a natural gas utility balances for customers experiencing financial hardships related to the economic impacts of the COVID-19 pandemic. Funding for 2022 CAPP is payable from the State’s share of the federal Coronavirus Fiscal Recovery Fund of 2022. The City of Burbank submitted the application for 2021 California ATTACHMENT 1
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Arrearage Program (2021 CAPP) in 2021 for $2,236,319.31. In February 2022, the City of Burbank applied $1,688,603.12 to eligible customer accounts.
6. Californians continue to struggle to afford the cost of energy due to the economic impacts of the ongoing COVID-19 pandemic. On September 26, 2022, CSD opened the application process for utilities applying for another round of assistance through the 2022 CAPP program.
7. Burbank Water and Power (BWP), a locally publicly owned electric utility , is an eligible utility applicant who may apply to the department for 2022 CAPP funds for eligible customer accounts for past due bills during the extended COVID-19 pandemic bill relief period, March 4, 2020 – December 31, 2021.
8. CSD may approve funding allocations for 2022 CAPP Program, subject to the terms and conditions of the guidelines, program requirements, and other contracts between the CSD and 2022 CAPP recipients.
9. Eligible customers are active residential customers with past due bills that are 60 days or more in arrears. Customer’s enrolled in payment plans or payment arrangements are eligible for 2022 CAPP. The extended COVID -19 pandemic bill relief period means the period starts March 4, 2020, and ends December 31, 2021.
10. To receive 2022 CAPP funding on behalf of eligible customers a utility applicant must complete an application including submitting all necessary data and information to support the utility applicant’s request for 2022 CAPP funding.
11. CSD is required to disburse funds as expeditiously as possible to utility applicants, but no later than January 31, 2023.
12. Within 60 days of receiving 2022 CAPP funds, a utility applicant must issue 2022 CAPP assistance benefits to customers as bill credits to help address the eligible past due balance and must include a statement that the credits are a result of California’s 2022 CAPP funding. An eligible utility customer need not apply for the program.
13. Assembly Bill No. 135 created customer protections to require a utility applicant to notify customers of the option to enter into an extended payment plan with late fees and penalties waived for any remaining balance after 2022 CAPP funds are credited to the customer’s account, to refrain from discontinuing service while 2022 CAPP applications are pending, for 90 days after the 2022 CAPP benefit is applied to a customer account, and while a customer remains current on a repayment plan, and to waive associated late fees and accrued interest for customers awarded 2022 CAPP benefits.
14. City of Burbank operates a publicly owned electric utility with eligible customers that have past due bills during the COVID-19 pandemic bill.
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THE COUNCIL OF THE CITY OF BURBANK RESOLVES THAT:
1. The General Manager of BWP, as designee of the City Manager, is hereby authorized and directed to participate in the 2022 CAPP program, by submitting an application to apply for CSD funding to apply credits to delinquent electric accounts.
2. The General Manager of BWP, as designee of the City Manager, is designated to provide the assurances, certifications, and commitment required for the financial assistance application, including executing a financial assistance application or agreement with State Department of Community Services and Development and any amendments or changes there too, in each case, subject to the review and approval of each such document by the City Attorney’s Office.
3. Upon award, the General Manager of BWP, as designee of the City Manager, is is authorized to accept the 2022 CAPP funds. The General Manager of BWP on behalf of the City Manager or General Manager’s designee is authorized to take any necessary action to e ffectuate the receiving and appropriating a credit to delinquent electric accounts.
4. BWP will use reasonable efforts to work with the State Department of Community Services and Development to meet established deadlines for entering into an agreement.
5. The General Manager of BWP, as designee of the City Manager, is designated to represent the City in carrying out the City’s responsibilities under the 2022 CAPP Program in compliance with applicable state guidelines and laws.
6. The General Manager of BWP, as designee of the City Manager, is hereby authorized to take the foregoing actions with respect to any subsequent CAPP programs or successor programs.
PASSED AND ADOPTED this ___day of October 2022.
__________________________
Jess A. Talamantes
Mayor
Approved as to Form:
Attest: Office of the City Attorney
___________________________ By: _______________________ Zizette Mullins, MMC, City Clerk Joseph H. McDougall City Attorney
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STATE OF CALIFORNIA )
CITY OF BURBANK ) ss.
COUNTY OF LOS ANGELES )
I, Zizette Mullins, MMC, City Clerk of the City of Burbank, do hereby certify that the foregoing Resolution was duly and regularly passed and adopted by the Council of the City of Burbank at its regular meeting held on the ___ day of October 2022, by the following vote:
AYES:
NOES:
ABSENT:
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Zizette Mullins, MMC, City Clerk