Draft Minutes
Board of Directors Meeting
Wednesday, December 17, 2025
6:00 pm
In Person:
Board Room
Ava Community Energy
1999 Harrison St, Ste 2300
Oakland, CA 94612
Or from the following locations:
• Clipper Club - 5 Captain Dr. Emeryville, CA 94608
• 4917 Knowlson Terrace, Fremont, CA 94555
• 35653 Scarborough Dr., Newark, CA 94560
• 1100 Webster St, 2nd Floor Conference Room, Oakland, CA 94607 • Larch Clover Community Center – 11157 West Larch Road, Tracy, CA 95376 • Stockton City Hall – 425 N El Dorado St., Stockton, CA 95202 Via Zoom:
https://avaenergy-org.zoom.us/j/87023071843
Or join by phone:
Dial(for higher quality, dial a number based on your current location): US: +1 669 900 6833 or +1 346 248 7799 or +1 253 215 8782 or +1 929 205 6099 or +1 301 715 8592 or 888 475 4499 (Toll Free) or 877 853 5257 (Toll Free)
Webinar ID: 870 2307 1843
Meetings are accessible to people with disabilities. Individuals who need special assistance or a disability-related modification or accommodation to participate in this meeting, or who have a disability and wish to request an alternative format for the meeting materials, should contact the Clerk of the Board at least 2 working days before the meeting at (510) 906- 0491 or [email protected].
If you have anything that you wish to be distributed to the Board of Directors, please email it to the clerk by 5:00 pm the day prior to the meeting.
1. (2:26) Welcome & Roll Call
Ava Community Energy
Board of Directors Page | 2
Present: Members: Marquez (Alameda County), Lopez (Albany), Tregub (Berkeley), Morada (Dublin), Kaur (Emeryville), Keng (Fremont), Roche (Hayward), Barrientos (Livermore), Del Catancio (Newark), Brown (Oakland), Balch (Pleasanton), Rickman (San Joaquin County), Fugazi (Stockton), Nygard (Tracy), Sakakihara (Union City), CAC Chair Hernandez (Community Advisory Committee), Vice-Chair Gonzalez (San Leandro) and Chair Andersen (Piedmont)
Not Present: Members: Diallo (Lathrop)
Member Marquez joined the meeting at 22:49. She participated remotely pursuant to the Brown Act ‘just cause’ exception due to a family emergency.
2. (5:24) Pledge of Allegiance
CAC Chair Hernandez led the body in reciting the Pledge of Allegiance.
3. (5:51) Public Comment
This item is reserved for persons wishing to address the Board on any Ava-related matters that are not otherwise on this meeting agenda. Public comments on matters listed on the agenda shall be heard at the time the matter is called. As with all public comment, members of the public who wish to address the Board are customarily limited to two minutes per speaker and must complete an electronic speaker slip. The Board Chair may increase or decrease the time allotted to each speaker.
There were no speakers for public comment.
CONSENT AGENDA
4. (6:38) Approval of Minutes from November 19, 2025
5. Contracts Entered Into (Informational Item)
6. Proposal to remove opt-out fee
Adopt a resolution to remove customer opt-out fees
7. Fiscal Year 2025-2026 Q1 Financial Statements
Present the 1st quarter financial statements for current fiscal year
8. Maher contract amendment
2026 contract renewal for outsourced accounting services
9. CAC Guide Updates & Term Extensions
Update the CAC Guide to include Unincorporated SJC and other operational improvements. Extend all current terms to 4/30/26.
Member Sakakihara requested to pull Consent Item 9 – CAC Guide Updates & Term Extensions.
Ava Community Energy
Board of Directors Page | 3
Chair Andersen opened the public comment period and there were no speakers.
Member Tregub motioned to approve the Consent Agenda Items 4-8. Vice-Chair Gonzalez seconded the motion, which was approved 14/0/0/0/4 (yes/no/abstain/recuse/not present):
Yes: Members: Lopez, Tregub, Morada, Kaur, Keng, Del Catancio, Brown, Balch, Rickman, Fugazi, Nygard, Sakakihara, Vice-Chair Gonzalez and Chair Andersen.
No: none
Abstain: none
Recuse: none
Not Present: Members: Marquez, Roche, Diallo and Barrientos Member Balch motioned to approve the Consent Agenda Item 9. Vice-Chair Gonzalez seconded the motion, which was approved 15/0/0/0/3 (yes/no/abstain/recuse/not present):
Yes: Members: Lopez, Tregub, Morada, Kaur, Keng, Barrientos, Del Catancio, Brown, Balch, Rickman, Fugazi, Nygard, Sakakihara, Vice-Chair Gonzalez and Chair Andersen.
No: none
Abstain: none
Recuse: none
Not Present: Members: Marquez, Roche and Diallo
REGULAR AGENDA
10.(24:23) CEO Report
CEO Howard Chang presented the CEO Report. The written report is available in the December 21, 2025 agenda packet.
Chair Andersen opened the public comment period and there were no speakers for public comment.
11.(33:12) CAC Report
CAC Chair Hernandez presented the CAC Report.
Chair Andersen opened the public comment period.
(37:27) Public Comment: Jessica Tovar thanked CAC Chair Hernandez and CAC Member Landry for their contributions.
(38:28) Public Comment: Dohee Kim expressed appreciation for the CAC's policy regarding the customer program strategic roadmap.
Ava Community Energy
Board of Directors Page | 4
(40:35) Public Comment: Cynthia Landry thanked CAC Chair Hernandez for his leadership.
12.(42:57) 2025 Legislative Wrap-up and 2026 Preview (Informational Item) Review the California 2025 legislative session and a preview of the 2026 session Sam Sable, Principal Legislative Manager, introduced the 2026 Financial Forecast and Adjustments item and answered questions from the board.
Chair Andersen opened the public comment period and there were no comments. (1:05:29) Public Comment: Jim Lutz requested to add the CAC Guide to the Key Documents section of the website.
13.(1:01:10) Joint Powers Agreement Amendment (Action Item) Amend the Joint Powers Agreement to add clarifications and to align the Agreement with established Board practice.
John Perkins, Legal Director and Deputy General Counsel, introduced the Joint Power Agreement Amendment and answered questions from the board.
Chair Andersen opened the public comment period and there were no comments.
Member Balch motioned to approve the Joint Powers Agreement Amendment.
Member Roche seconded the motion, which was approved 17/0/0/0/1 (yes/no/abstain/recuse/not present):
Yes: Members: Marquez, Lopez, Tregub, Morada, Kaur, Keng, Roche, Barrientos, Del Catancio, Brown, Balch, Rickman, Fugazi, Nygard, Sakakihara, Vice-Chair Gonzalez and Chair Andersen.
No: none
Abstain: none
Recuse: none
Not Present: Member Diallo
14.(1:08:01) 2026 Financial Adjustments, including Value Proposition (Action Item) Request Board authorization to take rate-setting and budget-management actions to mitigate a forecasted budget deficit.
Howard Chang, CEO, introduced the 2026 Financial Adjustments, including Value Proposition, and answered questions from the board.
Ava Community Energy
Board of Directors Page | 5
(1:43:06) Public Comment: Ron Perry, CEO - Commercial Energy of Oakland, CA, urged the Board to delay action until staff provides a detailed monthly cash-flow forecast and cost-of-energy analysis.
(1:45:37) Public Comment: Chirag Kathrani suggested including the $1.5 million in efficiencies from Scenario A in Scenario B.
Vice-Chair Gonzalez motioned to adopt the Staff’s Recommendation - Scenario B.
Member Morada seconded the motion.
Member Balch offered a substitute motion to adopt Staff’s Recommendation - Scenario B with the following modification:
1. Reallocate the $13 million budgeted for on-bill credits to the rate stabilization fund.
Member Rickman seconded the substitute motion.
Member Sakakihara offered a friendly amendment to Member Balch’s substitute motion:
1. Reduce the renewable energy procurement target for calendar year 2026 from $10 million to $5 million; and
2. Increase the Renewable 100 premium from 1.5 cents/kWh to 1.75 cents/kWh
Member Balch and Member Rickman accepted Member Sakakihara’s friendly amendment.
Member Balch’s substitute motion was approved 8/6/1/0/3 (yes/no/abstain/recuse/not present):
Yes: Members: Lopez, Morada, Barrientos, Balch, Rickman, Sakakihara, Vice-Chair Gonzalez and Chair Andersen No: Members: Marquez, Kaur, Roche, Del Catancio, Brown and Nygard Abstain: Member Tregub
Recuse: none
Not Present: Members: Keng, Diallo and Fugazi
15.(2:51:42) Allocation of Surplus Revenue from Fiscal Year 2024-2025 to On-Bill Credits for CARE/FERA Customers (Action Item)
Adopt a resolution for allocation methodology of on-bill credits for CARE/FERA customers based on FY2024-2025 surplus revenues.
Ava Community Energy
Board of Directors Page | 6
Due to the passage of the substitute motion for Item 14 - 2026 Financial Adjustments, including Value Proposition, Item 15 - Allocation of Surplus Revenue from Fiscal Year 2024-2025 to On-Bill Credits for CARE/FERA Customers, was deemed moot and cancelled.
16.(2:51:48) Board Member and Staff Announcements including requests to place items on future Board of Directors Meeting Agendas
No items were requested to be placed on future agendas.
17.(2:54:09) Adjourn
The meeting was adjourned at 8:58pm.
The next Ava Board of Directors meeting will be held on Wednesday, January 21, 2026 at 6pm.
12/17/25 Ava BOD meeting
AI Generated Courtesy Summary
not official minutes
This summary has not been assessed for accuracy
Welcome & Roll Call
The meeting was called to order at 6:06 PM. The Board Clerk noted that several directors were attending remotely from various locations. Each remote director confirmed their location as required. The Board had sufficient attendance to establish a quorum. It was noted that Reza Ngoma was serving as the lead clerk for this meeting for professional development.
Pledge of Allegiance
Ed Hernandez led the Pledge of Allegiance.
Public Comment
There were no public comments on items not otherwise on the agenda.
Consent Agenda
Items 4-8 on the consent agenda were considered together:
● Approval of Minutes from November 19, 2025
● Contracts Entered Into (Informational Item)
● Proposal to remove opt-out fee
● Fiscal Year 2025-2026 Q1 Financial Statements
● Maher contract amendment
Member Triggum moved to approve consent agenda items 4-8. The motion was seconded by Vice Chair.
The motion passed unanimously.
CAC Guide Updates & Term Extensions
Item 9 was pulled from the consent agenda for discussion. The item proposed updating the CAC Guide to include Unincorporated San Joaquin County and extending all current terms to April 30, 2026.
Member Berkeley raised a question about whether there were term limits for CAC members. Staff confirmed that there are existing term limits of four terms for regular CAC members and two terms for at-large members.
CAC Chair Hernandez requested a modification to the proposal to allow Member Cynthia Landry, who has served four terms since 2017, to continue serving for a fifth term as a one-time courtesy. He noted her long-term service to the organization and value to the CAC.
Alex DiGiorgio, representing staff, explained that this would be the first time making an exception to term limits, and staff recommended applying the rules impartially despite appreciating Landry's extensive service.
Member Sakaikihara moved to approve the CAC Guide Updates and Term Extensions as presented by staff without the requested exception. The motion was seconded by Vice Chair. The motion passed unanimously.
CEO Report
CEO Howard Chang provided updates on several items:
● He reported on the December 3rd Executive Committee meeting where members received updates on the value proposition, opt-out fee removal, and community investment grants. ● He announced the next Executive Committee meeting would be on January 14, 2026, at 3 PM, noting this was different from the typical first Wednesday schedule. ● He presented the 2026 schedule for public meetings, including Executive Committee, CAC, Board, FAP, and MRL meetings.
● He noted the preparation of the power content label mailer, a compliance requirement sent to all customers that summarizes the power content mix from 2024. Different versions are being prepared for Alameda and San Joaquin counties.
● He informed the Board of plans to launch service to unincorporated San Joaquin County customers in May 2026, following the successful launches in Stockton and Lathrop earlier. ● He provided an update on the customer programs roadmap, stating that the project would be delayed by 3-6 months while staff evaluates procurement policies of member cities and counties to address concerns raised at a previous meeting about Deloitte's contracts with immigration and customs enforcement agencies.
● He concluded by expressing gratitude to staff and Board members for their work throughout the year, highlighting accomplishments including the smart home charging program, bike electric program, Healthy Communities induction cooktop program, the ribbon-cutting for the first Eva Charge site, and critical communities facilities portfolio contracts.
Vice Chair asked about the power content label, specifically whether the state dictates the format. CEO Chang confirmed that the state heavily regulates the power content portion, while Eva can design the additional information included in the mailer.
CAC Report
CAC Chair Ed Hernandez, in his last report as Chair, summarized the recent CAC meeting. The committee discussed unbilled credits, the value proposition, and future agenda items.
He read a letter into the record expressing the CAC's support for the customer program strategic roadmap but endorsing the Board's decision not to move forward with the proposed contractor. The letter emphasized that the CAC considers this program a high priority and recommended developing a policy framework to promote "no fear" in support of future requests or proposals. The CAC suggested that if Eva cannot find an appropriate contractor, it should consider developing the program in-house.
Chair Hernandez also mentioned the CAC's interest in future discussions regarding AI-related electrical demand from data centers and requested a report from Emerald Cities Collective and Local Clean Energy Alliance on the resilient hub initiative.
Several public commenters, including Jessica Tovar from Local Clean Energy Alliance, expressed appreciation for Chair Hernandez's leadership and for Cynthia Landry's service on the CAC. 2025 Legislative Wrap-up and 2026 Preview (Informational Item) Sam Saddle presented a summary of the 2025 legislative session and preview of the 2026 session:
● He reported that during 2025, staff tracked 28 bills closely and took formal positions on 12 bills (10 support, 2 support if amended). Of these, 4 were signed and 2 were vetoed. ● He highlighted several legislative wins, including amendments to SB 283 (battery safety), efforts on SB 541, collaboration on SB 254 to remove threats to CCA autonomy, and work on AB 222 to reject a hostile amendment related to data centers.
● He noted that affordability was a key focus, with climate credit timing addressed in legislation to better match when bills are highest.
● He reported on SB 254, which included a transmission infrastructure accelerator to help drive down costs for transmission and distribution.
● He discussed legislation related to data centers, noting that this would be an increasing focus in 2026. ● He presented changes to cap and invest funding allocations, highlighting that the legislature will now have $1 billion at its discretion annually.
● Looking ahead to 2026, he noted the legislative session would be condensed due to the election, meaning bills would need to be reviewed earlier. He anticipated continued focus on PUC and Energy Commission authorities, data centers, and funding challenges due to the state's structural deficit.
Joint Powers Agreement Amendment (Action Item)
Deputy General Counsel John Perkins presented six proposed amendments to the Joint Powers Agreement, characterizing them as housekeeping changes to reflect how the agency has already been operating:
● Clarifying details about the CAC Chair's role
● Updating the voting formula to remove language that only applied to the first two years of existence and clarifying how energy use is determined for weighted votes ● Confirming that the CAC Chair does not contribute to calculating quorum for the Board ● Adding language that the Board Chair shall appoint Board members to committee assignments ● Ensuring alignment between the JPA and the CAC guide
● Clarifying the appointment process for greater flexibility Member Triggum asked whether a jurisdiction without an appointed director would count against quorum.
Counsel confirmed that it would not lower the number of directors required for quorum.
Member Balch moved to approve the Joint Powers Agreement amendments. Member Roche seconded the motion. The motion passed unanimously.
2026 Financial Adjustments, including Value Proposition (Action Item)
CEO Howard Chang presented a comprehensive overview of financial adjustments needed to address a projected $250 million deficit in calendar year 2026. Key points included:
● The context of the financial changes: customer generation rates are projected to decrease by 25-30% in 2026, which is positive for customers but creates financial challenges for the agency. ● The fiscal year 2024-2025 ended with a budget surplus of approximately $130 million, but the forecast for calendar year 2026 shows a significant deficit.
● The generation rates that are inclusive of both PCIA and AVA's BrightChoice generation costs will decrease about 32% between 2025 and 2026, with AVA's generation portion decreasing by nearly 50%. ● The proposed financial adjustments were presented in three scenarios (A, B, and C), with staff recommending scenario B as a middle ground.
Scenario B included:
● Utilizing the full rate stabilization fund of $150 million ● Setting BrightChoice at a 0.5% discount to PG&E and Renewable100 at a 1.5 cent premium per kWh ● Reducing renewable energy procurement by $10 million (8.4% reduction) ● Reducing local development funds by $10 million (in unearmarked funding) ● Reducing operating expenditures by $3.5 million
● Potentially using $15 million from reserves (with authorization for up to $30 million) During public comment, Ron Perry, CEO of Commercial Energy of Oakland, expressed concerns about the presentation lacking monthly cash flow forecasts. Another commenter suggested including $1.5 million in efficiencies in scenario B.
Board discussion was extensive, with members raising questions about:
● Risk scenarios and their financial impact
● The impact on customers (approximately $15/month reduction in generation charges) ● The relationship between PCIA and EVA's financial situation ● The balance between maintaining renewable energy procurement targets and financial stability ● The implications of the on-bill credits in light of the deficit CAC Chair Hernandez reported that the CAC supported option B with modifications: not reducing renewable procurement and increasing the Renewable100 premium from 1.5 cents to 1.75 cents to offset about 67% of that change.
A substitute motion was made to modify scenario B:
● Add back the $13 million on-bill credit to the rate stabilization fund ● Increase the Renewable100 premium to 1.75 cents per kWh ● Reduce the renewable energy procurement reduction from $10 million to $5 million ● Reduce the reserve utilization to near zero
Member Balch moved a substitute motion to approve scenario B with the following modifications:
reallocate the $13 million on-bill credit to the rate stabilization fund, increase the Renewable100 premium to 1.75 cents per kWh, reduce the renewable energy procurement reduction from $10 million to $5 million, and reduce the reserve utilization to near zero with authorization for up to $15 million if needed.
Member Rickman seconded the motion. The motion passed with 8 yes votes, 6 no votes, and 1 abstention.
Allocation of Surplus Revenue from Fiscal Year 2024-2025 to On-Bill Credits for CARE/FERA Customers (Action Item)
This item became moot following the decision in item 14 to reallocate the on-bill credit funds to the rate stabilization fund.
Board Member and Staff Announcements
There were no announcements or requests for future agenda items.
The Chair thanked the Board members for their time and commitment, noting the nearly perfect attendance at the meeting. She also reiterated thanks to the staff and wished everyone happy holidays.
The meeting was adjourned at 8:58 PM.