Inclusion of New Communities:
San Joaquin County
(unincorporated)
Background
1. Ava Joint Powers Agreement (JPA) Sec. 3.1 ("Addition of Parties")
2. Previously invoked to include the following JPA members:
• Cities of Newark, Pleasanton, and Tracy (2019)
• City of Stockton (2022)
• City of Lathrop (2023)
3. CPUC Reso E-4907: Requires one-year wait between JPA membership/CPUC Implementation Plan submission and start of Ava service to new JPA member-jurisdiction • Board approval re JPA membership during CY 2024 = Start of service CY 2026
4. In 2023, CPUC's new Resource Adequacy (RA) requirements delayed Stockton's start of service until 2025
5. Lathrop & Stockton: Ava service scheduled to begin April 2025
6. San Joaquin County (unincorporated): If approved CY 2024, service could begin CY 2026 • Enrollment could be phased by sector/customer category:
➢ E.g., three phases: Q1/Jan: Muni/Com ---> Q2/April: Res ---> Q4/Oct: Agr (or Q1 '27) Ava Member Jurisdictions
3 Ava's current Joint Powers Authority (JPA) and
service area include: Alameda County, all AC cities
(except the City of Alameda), and the City of Tracy
in San Joaquin County (SJC).
In 2019, Tracy became the first SJC jurisdiction to
join Ava's JPA. The SJC cities of Stockton and
Lathrop joined the JPA in 2022 and 2023,
respectively. These latter two SJC cities are
scheduled to begin service with Ava in 2025.
San Joaquin County: Key Ava JPA Membership Milestones
1. July 28, 2022: Ava staff invited by SJC Sup. Rickman (former Mayor of Tracy) to meet with County Administrator & staff;
▪ PG&E load data forms requested by Ava
2. Sept. 26, 2023: Ava staff invited to present to SJC Board of Supervisors (BOS). Unanimous vote to proceed with Ava membership & approve PG&E load data request for Ava's analysis;
3. October 12, 2023: County's PG&E Load Data Request forms fully executed by SJC & PG&E
4. March 12, 2024: BOS unanimously passes first reading of CCA/Ava ordinance
5. March 21, 2024: PG&E provides SJC load data for Ava's analysis (w/errors & missing info)
6. April 9, 2024: BOS unanimously passes CCA ordinance and Resolution to join Ava
7. June 27, 2024: SJC's executed JPA signature page sent to Ava Timeline: San Joaquin County’s AvaMembership & Service
5 Ava enrolls
new customers
in uninc SJC
Community
Outreach
Ava updates
Imp. Plan for
CPUC
certification
Ava Board
considers
including SJC
Ava conducts
analysis
SJC BOS votes
to join Ava
Ava staff
invited to
present to SJC
BOS
*Pending Board approval, SJC's 2026 start of service would be scheduled following additional staff analyses to optimize cost, customer experience, and power resource procurement.
Customer enrollments could occur during a single month/year; or they could be phased by sector. ▪ E.g., three phases: Q1/Jan: Muni/Com ---> Q2/April: Res ---> Q4/Oct: Agr (or Q1 '27) San Joaquin County: Background
6 • Features: Highly agricultural economy; demographic
diversity; major transportation corridors (highways and rail lines); Port of Stockton; rich culture/history
• Pop: ~800,000 (cities + unincorporated areas) in 2023 o Unincorporated pop: ~200,000 (smaller
than Fremont; larger than Hayward)
o Growing population & development of
new homes (especially Lathrop)
•
•
o
o
o
o
1. Mission: Ava service to SJC accelerates progress toward JPA's express purpose ▪ Expand access to competitively-priced renewable energy ▪ Reduce greenhouse gas (GHG) emissions
▪ Provide lower rates than PG&E
▪ Catalyze local development & innovative programs
▪ Advance environmental justice
2. Strategy: Ava service to SJC creates strategic opportunities for the agency ▪ Economies of scale re long-term power procurement and retail rate savings ▪ Broader policy/political network re State/Federal legislative & regulatory issues ▪ Sector-specific programs & project development
➢ e.g. AgFIT; Valley Link fuel cell (green hydrogen) train ▪ Transportation corridors for EV charging network
➢I 5; I 205; I 580; Hwy 4; Hwy 12; Hwy 26; Hwy 88; Hwy 99; Hwy 120 ▪ Expanded stakeholder engagement in historically marginalized communities Qualitative Considerations: SJC re Ava's Mission & Strategy Unincorporated SJC : Membership Analysis Summary
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SummaryData
9 2023 Daily Load
10 SummerHourly LoadShape
11 Quantitative Analysis: Base-Case
• Financial Base-Case scenario is based upon expected forward looking estimates for revenues and power resource/energy costs ("PR" = Power Resource)
• The table provides Base-Case assumptions and results for 2026; and are based on estimates as of July 2024 • Data reflects service to SJC for full CY 2026. Exact enrollment timing may be adjusted to optimize cost impacts 12 1. Extend JPA membership to unincorporated San Joaquin County; and
2. Authorize staff to update Ava's Implementation Plan (IP) to reflect SJC's membership & resubmit IP to the CPUC by end of 2024. o Expected service in CY 2026, based on CPUC certification by EOY 2024 o Consider phasing SJC enrollment through 2026 by customer sector ▪ Additional analysis needed to optimize phasing
Timing: Bring to BOD for vote @ July 17, 2024, meeting
o To allow time for staff to submit updated Implementation Plan for CPUC certification by Sept 30, 2024.
▪ CPUC has 90 days to certify Ava's updated plan
o December CPUC certification needed to make the 2026 Resource Adequacy (RA) filing including new County load;
o Back up timeline: Sept 18, 2024, BOD meeting (requires preemptive draft of updated IP)
Staff
Recommendation
Thank you!
Additional slides
Process of Joining Ava
1. Initial meetings with City/County staff & elected officials • PG&E load data request forms
2. Presentations to City Council/BOS;
• Discussion item --> PG&E load data request forms
• Vote #1 - CCA Ordinance & Resolution to join Ava
• Vote #2 - Second CCA Ordinance vote (best completed by June to make Sept 30 RA deadline)
3. Ava staff conducts quantitative membership analysis
4. Ava Board/committees review analysis and Board considers including new community
5. Pending Board approval, Ava updates JPA and files updated Implementation Plan with the CPUC before 9/30 for preferable RA compliance
6. Next CY: Initial community outreach in new community (e.g., meetings w/CBOs, Chambers, et al)
7. CY+1: Ava enrolls customers in new community, typically April (could be phased) 2023 Hourly Load
18